The Ernst and Young Business Plan Guide

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The Ernst and Young Business Plan Guide

• Chapter 10The Operational Plan

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Elements to Cover

• Approach To Manufacturing
• Sources Of Raw Material
• Processes To Be Used
• Labor Requirements
• Suppliers And Vendors

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Internal vs External Plan

• Internal Detailed And In-depth
• External
• Part Sales Tool
• More Straightforward
• Importance Depends On Business Type
• Products Orientated
• Service Business
• External Plan Discussed Here

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Issues

• Product Development
• Manufacturing
• Maintenance And Service
• External Influences

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Product Development

• Evidence Of Competitiveness in
• Product or
• Processes Used In Manufacturing
• Service Companies
• New Service Development
• Improving Delivery Methods Or Environment
• Real Product Or How Will Develop
• Avoid Being Too Scientific/Technical
• Highlight Teams Accomplishments

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Manufacturing

• Resources, Processes And Output
• Facility And Layout
• Organization Chart
• Growth Management
• Outsourcing/Contracting Plans

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Maintenance and Service

• Critical To Reputation And Success
• Possible Additional Revenue Source
• May Become Primary Revenue Source
• Consider Outsourcing
• Can Solidify Customer Relationship

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Other Influences

• Cost Of Raw Material
• Labor Cost And Environment
• Changing Technology
• Dominant Customers
• Regulations

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Protections

• Patents, Licenses, Trademarks
• Can Be Competitive Advantage
• Discuss What is Being Protected
• Provide Documentation

10
Review Plan Example In Textbook
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Questions?