Business Plan: The Management Plan

 

Managing a business requires dedication, persistence, the ability to make 19 decisions, and the ability to manage both employees and finances. Your overall management plan, along with your marketing and financial management plans, sets the foundation for the success of your business. 

Your employees are your most important resources and will play an important role in the total operation of your business. 

Consequently, it is imperative that you know what skills you do and do not possess since you will have to hire personnel to supply the skills that you lack. Additionally, it is important that you know how to manage and treat your employees. Make them part of the team. Keep them informed of any changes and ask for their feedback. 

Employees oftentimes have excellent ideas that can lead to new market areas or improvements of existing products or services that can improve your overall competitiveness. Your management plan should answer questions such as: 

• How does your background/business experience help you in this business? 
• What are your weaknesses, and how can you compensate for them? 
• Who will be on the management team?  
• What are their strengths/weaknesses? 
• What are their duties? 
• Are these duties clearly defined? 
• If a franchise, what type of assistance can you expect from the franchiser? 
• Will this assistance be ongoing? 
• What are your current personnel needs? 
• What are your plans for hiring and training personnel? 
• What salaries, benefits, vacations and holidays will you offer? If a franchise, are these issues covered in the management package the franchiser will provide? 

If your business is a franchise, the operating procedures, manuals, and materials devised by the franchiser should be included in this section of the business plan. The franchiser should assist you with managing your franchise. Take advantage of their expertise and develop a management plan that will ensure the success of your franchise and satisfy the needs and expectations of employees, as well as those of the franchiser.