Section # 5: Drawing up an organizational plan

Among all sections of the business plan:

  • Cover Page
  • Confidentiality Memorandum
  • Executive Summary
  • Investment Plan
  • Marketing plan
  • Production plan
  • Organizational plan
  • Financial plan
  • Risk analysis

it is the organizational plan that describes the project staff, initiators, their shares in project management, qualifications and remuneration of project managers, as well as staff motivation.

If you are writing a business plan to receive investments for the development of an already operating enterprise, you will need to prove to potential partners that its organizational structure is as effective as possible. If you are just planning to open a company, production or retail outlet, you will need to describe in detail how you are going to ensure the operation of the new business.

All information related to the management of the enterprise should be presented in a section called "Organizational plan". Moreover, it is this point of the business plan that will prepare the ground for writing the financial section of the project.

Business Plan Organizational Plan Structure

Legal form

First of all, in this section it is necessary to justify the choice of the form of activity. Indicate whether you are an individual - individual entrepreneur, or the founder of an organization - LLC or JSC. In the latter case, it is imperative to list the governing bodies and their powers, the composition of the founders and their rights and obligations. After that, it is necessary to describe the organizational structure of the enterprise.

Organizational structure

Organizational structure is the composition, system of relationships and functions between the various departments of the enterprise, each of which is responsible for its own area of ​​activity and is part of the hierarchical system of the organization.

There are several types of organizational structures, namely linear, functional, linear-functional, etc. However, whatever the type of structure, your task is to emphasize that it is as efficient as possible, namely:

  • Allows to establish interaction between all departments and employees;
  • Creates favorable conditions for the manufacture of high-quality products or services;
  • Promotes the development of the enterprise , its goods and services.

Organizational plan business plan example

Let's go through each aspect of the organizational plan task in order. back to contents ↑

Enterprise structure and personnel management

For the successful construction of a business, its further development, the production of quality goods or the provision of qualified services, it will not be enough to determine the working links of the personnel. It is necessary for each department to prescribe its job responsibilities, draw up a work schedule for each department, note the features and nuances.

But that's not all. In order for these links to effectively interact with each other, competent management of all personnel is necessary. Typically, this should be done by an administrator or a designated director, who should be filled by someone with experience in human resources management.

You should immediately identify such working points as:

  • Support for staff motivation (you can learn more about this here)
  • Types of incentives applied to employees of various departments <
  • Types of penalties imposed on employees of various departments
  • Elimination of emerging conflict situations, without which no work can do
to the table of contents ↑

Human Resources

Now that you have defined the structure of the enterprise, it will be much easier to indicate in detail the size of each department, and the total need for workers. In a separate document, it is necessary to prescribe the work responsibilities of each employee, indicate the mode and schedule of their work.

In the same subsection, you can specify the size of the future wages fund, criteria for its calculation, factors affecting the receipt of bonuses. Information about the form of payment for the work done, and other information will serve as a "foundation" for calculations in the financial section of the business plan. back to contents ↑

Legal regulation of business

To determine all the legal subtleties associated with the design and further implementation of the project, ideally, you need to hire a qualified lawyer, or even, if necessary, create an entire legal department. If you decide to completely take the "reins of government" into your own hands and solve all the issues that arise on your own (which is advisable when organizing a small business), you first of all need to collect all the legal documentation you have in a single package:

  • When registering an individual entrepreneur - a certificate of registration, extracts from EGRIP
  • When registering an LLC - the charter of the company and the constituent agreement
  • Documents confirming the ownership of the used working areas (sale and purchase agreement, lease , sublease, leasing, donation)
  • Architectural plan of all production and other premises, permits for connected utilities, etc.
  • License or permits for the declared type of business activity
  • Patents and certificates for products manufactured by your company or for services rendered
  • Documents related to the selected taxation regime
  • And other business-related papers

It is better to make copies of all documents in advance. You should also pay attention to the federal programs of assistance to small and medium-sized businesses operating in your region - can you take part in them and count on some kind of assistance from the state? What tax breaks can you apply to your business? For example, income tax is paid less if some part of the company's employees are persons with disabilities.

Among all sections of the business plan:
 
 Title page
 Confidentiality memorandum
 ...

Organizational plan in business planning

When drawing up a business plan, it is important to take care of the development of the organizational part. This is part of the business plan, for which it is necessary to clearly establish the order of step-by-step actions: this is the development of a product or service (production process), analysis of the sales market, development of implementation methods. It is necessary to determine the most important components of the assignment, critical circumstances that determine business success. These circumstances include:

  • organization of product exhibitions,
  • purchase of raw materials,
  • goods and materials (inventory) in the required quantity that will be required for production,
  • start of production,
  • order receipt and execution,
  • invoice payments.

Using the schedule will allow you to control the ongoing processes of the case, to anticipate and correct unforeseen circumstances that may arise, which can significantly reduce the emerging risks. A well-written timetable will show your partner the professional skills of the management team.

Drawing up an organizational plan necessarily includes a description of management, a way of distributing responsibilities between key members of the management apparatus and how they will be interconnected with each other and with each other. Investors are interested in a management team that has administrative, marketing, manufacturing, and financial management skills. It will be necessary to reflect the experience of the founders and managers in this area, as well as the duties, responsibilities and necessarily human resources.

Organizational Management Chart and Enterprise Structure

The organizational structure of an organization (enterprise) is understood as the functions, composition, interaction of all levels of the organization's enterprise. To obtain a successful, stable business and its subsequent development in the economic niche, to release a high-quality product, you need to consider all the nuances of the organizational structure of your enterprise.

The fundamental functions of the firm's management structure are as follows:

  • ensuring the possibility of interaction and cooperation between all project participants;
  • organization of conditions for stable work, production of products of the required quality;
  • to promote development and further improvement of the company's products.

Number of staff, schedule and working hours of the organization's employees

It is necessary to indicate in the organizational plan of the enterprise the main management positions and name the people who will replace them. It is helpful to provide an organizational chart.

At the initial stage, there is a possibility of not filling the staffing table for all positions. An explanation should be given to whom the additional workload will be allocated for the respective functions. An example of a well-coordinated and successful management team can be given to demonstrate the experience and skills of each, which will create an effective team. You should also indicate the rights and responsibilities of team members, who does what work, the structure of subordination, the appointment of responsible persons, decision makers in finance, production, etc. For each of the team, it is imperative to draw up a resume.

The company's prospects, belief in the success of its activities depends on the team of managers and the business qualities of the personnel. Skilled and experienced employees, especially management, can help a firm achieve success, while lazy and incapable personnel can ruin the entire business, so personnel issues are important enough for the company. That is why, when organizing a business, it is important to draw up an organizational plan correctly. We will consider its goals and structure in this article.

Content of the article:

The standard structure of a business plan includes about 12 sections, including the "organizational plan" section. Considering that it is part of a business plan, before developing it, you need to learn more about its structure, you can find this information here.

An organizational plan is needed to combine the partial sections that were previously developed into one whole, in order to present to the future sponsor a calendar plan for the creation and subsequent development of the project.

What is described in the organizational plan?

1 - organizational and legal form of business; 2 - enterprise structure; 3 - state; 4 - resources; 5 - list of products; 6 - market research and analysis; 7 - advertising methods; 8 - Risk Research.

Necessity of compilation

The main goal is to show the future sponsor that the knowledge of the existing team and the structure of the company will fully cope with the goals and objectives of the project.

One of the main tasks that should be described in detail is planning a robot that will implement an investment project. The main attention should be paid to the substantiation of the organizational and staff structure of the company and the choice of an appropriate management system for the company, sales, supply and employees.

Development requires the manager to make many significant decisions that will be directly involved in the further development of the enterprise. For example, it is important to assemble a strong staff who is committed to the idea of ​​a new business, who accepts its goals and is willing to work with deep dedication. The organizational plan needs to be developed according to a special structure so as not to miss the extremely important points.

Structure

1. Details of the organizational structure.

This is the composition of the company's divisions, their functions and interaction with each other. To withstand the competition, you need to correctly distribute responsibilities between performers and draw up clear job descriptions. The organizational structure of the company must necessarily contribute to normal working conditions and further improvement of products and the development of the entire company as a whole, it must also ensure cooperation and interaction between the project participants.

Among all sections of the business plan:

  • Cover Page
  • Confidentiality Memorandum
  • Executive Summary
  • Investment Plan
  • Marketing plan
  • Production plan
  • Organizational plan
  • Financial plan
  • Risk analysis

it is the organizational plan that describes the project staff, initiators, their shares in project management, qualifications and remuneration of project managers, as well as staff motivation.

If you are writing a business plan to receive investments for the development of an already operating enterprise, you will need to prove to potential partners that its organizational structure is as effective as possible. If you are just planning to open a company, production or retail outlet, you will need to describe in detail how you are going to ensure the operation of the new business.

All information related to the management of the enterprise should be presented in a section called "Organizational plan". Moreover, it is this point of the business plan that will prepare the ground for writing the financial section of the project.

Business Plan Organizational Plan Structure

Legal form

First of all, in this section it is necessary to justify the choice of the form of activity. Indicate whether you are an individual - individual entrepreneur, or the founder of an organization - LLC or JSC. In the latter case, it is imperative to list the governing bodies and their powers, the composition of the founders and their rights and obligations. After that, it is necessary to describe the organizational structure of the enterprise.

Organizational structure

Organizational structure is the composition, system of relationships and functions between the various departments of the enterprise, each of which is responsible for its own area of ​​activity and is part of the hierarchical system of the organization.

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