Qperations Plan Finally, you should cover the Operations Plan, including manufac
ID: 330104 • Letter: Q
Question
Qperations Plan Finally, you should cover the Operations Plan, including manufacturing (if applicable). In this section, you should describe the day-to-day operations of the company. Be sure to detail whether you will outsource certain functions to third parties, what (if any) partnerships you will put in place to support your operations, how you will insure quality control, and how you will provide customer support. You will have briefly described some of this in an earlier assignment -you need more depth in this paper. Lay out the major tasks/functions involved in getting customers, obtaining orders, delivering your service or producing and delivering your product, invoicing customers, collecting payments, and any other tasks involved in delivering your value chain. NOTE - plan to show, in process flow (flow-chart) form, two mportant business processes for your particular business.Explanation / Answer
1) The operations plan should include the following components.
a) The business should start with a clear objective. The objective for the said business would include 'Providing quality, medical grade cannabis to dispensaries from reputed suppliers who care for the community'.
b)The next step would include Lisiting out the activites that would enable to deliver cannabis to dispensaries from reputed suppliers.
i) Firstly narrow down on the area of operation.
ii) Secondly conduct a survey on the availablity of reputed suppliers of cannabis in the area of operation or in the adjacent areas.
iii) Listing down on the number of dispensaries available, who are willing to use cannabis as part of their medical regime.
iv) SUrvey the dispensaries to find out wether cannabis would be used by then in the raw form or does cannabis require any processing.
v) The next step is to prepare cash flow statement. The cash flow statement would include
a) Operating activities:- Includes various operating expenses such as salaries, merchandise purchase,sales recepits etc
b)Investing activities:- Includes buying assets, loan etc
c)Financing activities:- Repaying loans
vi) Based on the survey done on the number of dispansaries who are willing to buy cannabis , a sales forecast should be done i:e estimating the future sales of cannabis.
c) The next step is staffing estimates. This includes the number of employees needed to collect, sort,store,supply and maintain the office.
2) The day to day operations of the company would include.
i) Collection of the cannabis from the suppliers,
ii) Sorting and grading of cannabis,
iii)Transport and Storage of cannabis to warehouse,
iv)Maintaining inventory,
v) Supplying of the cannabis to the dispensaries and taking new orders,
vi) Maintaing the data for all the above operations for analysis and regulatory requirements,
vii) Miscellaneous activities
3) Certain functions would be required to outsource
i) Transportation;- The intial investments to buy and run a transporting fleet is expensive and will require a transport operator.
ii) warehouse;- It is expensive to own a warehouse for a new venture. The warehouse will be leased to maintain inventory.
4) Partnerships.
To avoid any backslash ,the company should partner with the stake holders such as community members,local government,patients etc to convince that the cannabis supplied are for medical use only.
5)Customer support
a) A dedicate staff should look into issues raised by the dispensaries, patients and suppliers alike.
b) A proper heirarchy and channel should be established to address the issues and take them to logical conclusion.
c) A CRM software and data base should be maintained to keep track of the issues.
d) Channels should be opened for customers to raise issues.