Business Plans; Making The Production And Operation Plan

Business Plans; Making The Production And Operation Plan 

Business Plans; Making The Production And Operation Plan
Business Plans; Making The Production And Operation Plan – there are several information that have been written down for you for free of charge in this Business Plans; Making The Production And Operation Plan Article. As a matter of facts, important tips were also given a highlighted information. 


Although, there more to say that meets the eyes on business plans. 
Writing a business plans is unique in different ways, this is why will do advice clients to get professionals like us to get the work down. 

In like manner, there are related information in favour of Business Plans; Making The Production And Operation Plan in this under list topics; 


Important keys of discussion in writing a Business Plans under Making The Production And Operation Plan, Emphasizes should be on;


  1. Explain the role of the production and operation plan in the business plan 
  2. Describe contents of a production and operation plan 
  3. Describe the process of preparing a production and operation plan 
  4. Explain bases for decision making in planning for production    

THE IMPORTANCE OF A PRODUCTION PLAN 

A production plan or an operation plan in terms of serving a company, is describes how an organization will meet the demand for product establishment in the sales projections or sales objectives.

And the above terms tries to answer the following question

  • How the product will be made? 
  • Which resources will be used?
  • What will be cost of production?
  • The production plan will examine the following;
  • If current capacity is able to meet sales demand?
  • If the company can provide products on time for the market?
  • What will be the action plan and what resources are needed? 


  • Description and proposed production volume 
  • Description of production procedures 
  • Plans for equipment and machinery 
  • Plans for raw materials and other resources 
  • Estimation of operation costs (cost of investment and cost of production)
  • Operating competitive advantages 

PRODUCTION PLANNING PROCESS  

Business Plans; Making The Production And Operation Plan

Our production planning procedure is a basis of determining the demand on equipment, machinery and the factory. Demand for raw materials and other resources depend on production procedures, competitive advantages and equipment. 

HOW TO DETERMINE PRODUCTION QUANTITY 


Revenue proposed in marketing plan 

Stock-holding policy; refers to how much of the finished d goods we want to keep in other for us to avoid stock out when we produce 

HOW DO WE DETERMINE PRODUCTION PROCEDURE? 


Which process plan to be used 
Manual?
Automated? 

Produce in-house or have subcontractors produce complete product or some components? 

BASIS FOR DECISION MAKING FOR COMPETITIVE ADVANTAGES 

  • 1. State of the art technology 
  • 2. Cost of production 
  • 3. Quality 
  • 4. Know-how 

Machinery and equipment decisions 

  1. Buy new equipment or use existing?
  2. Which equipment? With what capacity? 
  3. What is area location and layout of factor?

BASIC FOR DECISION MAKING 

  • 1. Capacity requirement plan 
  • 2. Current capacity 
  • 3. Production procedures and process plan 

RAW MATERIALS AND OTHER RESOURCES 

  • 1. What should be the quality of the raw materials needed? 
  • 2. Who will be suppliers? 
  • 3. What should be level of stock?
  • 4. How many workers are needed?
  • 5. What are the skills and qualification requirements? 

BASIS FOR DECISION MAKING

  • 1. Competitive advantage on product quantity, production cost, technology. 
  • 2. Time of delivery, terms of payment 
  • 3. Cost of stock, characteristic of material cost of purchasing 
  • 4. Production procedures and process plan 

DETERMINE COST OF INVESTMENT 

  • Land and infrastructure 
  • Building and plant 
  • Machinery, equipment 
  • Working capital 

ESTIMATION OF COST OF PRODUCTION 

  • VARIABLE COST
  • FIXED COSTS

VARIABLE COST;

  • Materials cost 
  • Direct labour cost 
  • Other production costs 

FIXED COSTS; 

  • General production costs 
  • Indirect labour cost 
  • Depreciation cost 

When writing a production plan in a business plan, writers need to pay attention to the following issues;

  • Be clear about the target readers of the business plan and their motivation 
  • Information in a production plan should be convincing but should not provide information on corporate secrets. 

If business plan is prepared to plan for company’s future activities and strategies, and the target reader is board of management, it should provide alternatives, and other analysis 

If the target readers are outsiders, it should be prepare to convince the reader of the feasibility of the decision and how profitable is the business

If the business plan is for starting up, a new business, information of cost, raw materials, equipment’s, labour and so on must be presented clearly in the production plan or business plan. 

Those companies who make a plan to expand production scale, should carefully assess current production capacity and capacity of existing equipment. 

MAKING THE FINANCIAL PLAN 

  • Describe contents of a financial plan 
  • Describe the steps of the financial projection process 
Explain the financial factors which need to be considered before making any investment decision 

In terms of content, we look at; 

Roles of financial projection 

Content of financial plan 

Process of preparing a financial plan 

ROLES OF A FINANCIAL PLAN 

  • 1. Demonstrates the viability of the project in terms of profitability, investment return and ability to repay debt in order to get financing 
  • 2. Prove this feasibility with a financial index in the financial projection 

CONTENT OF A FINANCIAL PLAN 

  • 1. Summary of history financials; include the growth of turnover, property turnover for about 2 years should not be over two pages long. This is not applicable to new business 
  • 2. Summary of forecasted financials; should not be over 3 pages estimated result, feasibility, financial outlook of the project 
  • 3. Appendices; detailed calculations; attached at the back of your work 

PROCESS OF DEVELOPING A FINANCIAL PLAN 

Business Plans; Making The Production And Operation Plan


Lets Develop A Business Plans And A Feasibility For You  

Why the worry, when Chris farm Nigeria specializes on such issues, Contact them today to fix that up for you.

On the issues of grant, and government financing issues, Chris Farm Nigeria has written several thousand business plans and feasibility reports for candidate who finally won the competitions and also got the fund on the long run.
Instant of going around, and putting yourself on the horns of dilemma, Specialist can help you do the job.




Catfish Production, Farming, Marketing, Business Plans and Feasibility Report


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Chris Farm Nigeria develops well self-explanatory, irresistible feasibility studies or business plan for your Business start ups, Business Growth or Expansions through either personal funds, Grants, or loans, which could be new or existing ones. We delight in writing for people under Academic sectors, production sectors, manufacturing sectors, processing or packing sectors, advertising sectors, marketing sectors and other related sectors on mini, middle and large scale businesses.

For your Agribusiness, either production, processing, marketing of any Agro-industry, our feasibility studies or business plan are explicit.

Generally, our feasibility study and business plans are developed so well that it becomes irresistible when you show them to your investors or sponsors. It gives you a clear picture of what you are expected to see when you put the feasibility study or business plans into use. It also shows how much it will cost you to own your desired business, what your money can afford. The kinds of product you will need to minimize input in other to maximize output, and how much returns you will get at the end of each accounting year until your business break-even on its initial investment capital. This will give the intending business person or investor or farmer, a vivid idea on the possible benefit he or she stands to gain, when he or she starts doing the business. With that, the intending business person or investor or farmer will not need a soothsayer to make decision for him or her.


You can use this format in developing your own business Plans and feasibility Study 

OUR TABLE OF CONTENT INCLUDE;

  • SECTION I – EXECUTIVE SUMMARY
  • NAME OF BUSINESS / COMPANY
  • OFFICE & SITE LOCATION
  • MOTIVATION
  • MISSION STATEMENT
  • SOCIAL/ECONOMIC VALUE
  • PROJECT STATUS & START UP
  • WHY PREPARE THIS BUSINESS PLAN?
  • SECURITIES FOR THE PROPOSED LOAN
  • REPAYMENT
  • SECTION II – STUDY AREA
  • STUDY AREA
  • COMPANY OVERVIEW
  • MANAGEMENT TEAM
  • DEPARTMENTS IN THE COMPANY
  • EXPERIENCE
  • MANAGEMENT TEAM GAPS
  • SECTION III – INDUSTRY ANALYSIS
  • DEFINING YOUR INDUSTRY
  • YOUR INDUSTRY SIZE GROWTH RATE AND SALES PROJECTIONS
  • INDUSTRY STRUCTURE
  • MARKET OVERVIEW
  • MARKET SEGMENTATION
  • RELEVANT MARKET SIZE
  • KEY SUCCESS FACTORS
  • LONG TERM PROSPECTIVE
  • MARKET CHARACTERISTICS
  • SAMPLING TECHNIQUE
  • SECTION IV – CUSTOMER ANALYSIS
  • TARGET CUSTOMERS
  • CUSTOMER NEEDS
  • MARKET NEEDS / SOCIAL PROBLEMS AND SOLUTIONS
  • BUYERS BEHAVIOUR
  • MARKET SHARE
  • SALES FORECASTING
  • SECTION V – COMPETITIVE ANALYSIS
  • DIRECT COMPETITORS
  • COMPETITIVE ADVANTAGES
  • SECTION VI – MARKETING PLAN
  • PRODUCTS & SERVICES
  • FINISHED PRODUCTS
  • PRODUCT QUALITY AND PRODUCTION QUANTITY
  • PRODUCTION CAPACITY
  • PRICING
  • PROMOTIONS PLAN
  • DISTRIBUTION PLAN
  • SECTION VII – OPERATIONS PLAN
  • GENERAL APPROACH TO PRODUCTION
  • TECHNICAL ANALYSIS / PRODUCTION PROCESS
  • EQUIPMENT
  • PACKAGING REQUIREMENTS
  • SECTION VIII – FINANCIAL PLAN
  • REVENUE MODEL
  • FINANCIAL ANALYSIS
  • FINANCIAL ASSUMPTIONS
  • FINANCE CHARGES
  • FINANCIAL PROJECTIONS
  • FUNDING REQUIREMENTS/USE OF FUNDS
  • CRITICAL ASSUMPTIONS



  • FINANCIAL MODELS
  • SUMMARY OF PROJECT COST
  • BUDGET OF FIXED ASSETS / CAPITAL EXPENSES / INVESTMENTS
  • DEPRECIATION
  • UTILITIES
  • OPERATING EXPENSES (OPEX)
  • TOTAL REQUIRED INVESTMENT OUTLAY (REQUIRED START-UP CAPITAL)
  • FINANCING PLAN
  • INSTALLED / AVAILABLE EQUIPMENT
  • BREAK-EVEN ANALYSIS
  • LOAN REPAYMENT SCHEDULE AND INTEREST PAID
  • FORECAST OF PROFIT AND LOSS
  • CASH FLOW
  • BALANCE SHEET
  • GENERAL ASSUMPTIONS (BREAK EVEN ANALYSIS)
  • BUSINESS RATIOS - PROFITABILITY ANALYSIS
  • CONCLUSION
  • SECTION 3 – APPENDIX

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·         NOTE; According to our policy, we are not “allowed / permitted” to disclose peoples business or written feasibility study, “to anyone”, irrespective of their personality.

·        BUT, WE are permitted to display only executive summary.
·         This is just a sample of our executive summary on poultry feasibility study and business plan, carried out in Rivers State. 

·         1st sample;

These Feasibility study on poultry farming business (specializing on layers and boilers production), was conducted using projections, impressive publications, compounding interest/values, tables, graph, bar chart, pie chart, profits analysis and cash flow positions in other to give a clear picture of what is obtainable in that location, using eight plots of land, at Esemdiary village, Off Effurun Sapele Road, Okpe LGA of Delta state, Nigeria as a case study. 


Esemdiary village is a community in Okpe Local Government Area of Delta State with coordinates 05°26’N 5°57’E, which also plays the host community to the Warri Airport, which is actually located at Osubi. 


Okpe Local Government is a territory that used to be part of the original Okpe Kingdom, its headquarters is at Orerokpe, with a population of 128,398 people whose primary occupations include commercial farming, fishing, hunting, trading and gas exploration. 


After carrying out the feasibility study on Esemdiary village, Off Effurun-Sapele Road, Okpe LGA of Delta state, Nigeria, it was discovered that, farming generally will do well both on crop and animal production.

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