"Plans are of little importance, but planning is essential.”
Think of your business as a ship. You need to make sure everything is working properly to stay afloat while cruising to your planned destination. However, there’s no point in sailing if you don’t know how you’re getting there.
''Your operational plan is the lighthouse that’ll remind you which
way to go and highlight any possible threats to your journey''.
While it’s important for entrepreneurs and organizations to develop a strategic plan for their venture, an operational plan is just as important.
In this post, we’ll talk about the benefits of operational planning and how to develop a successful operational plan for FMCG Organizations.
Benefits of Operational Planning
Generally, an operational plan serves as a written guidance for tasks and activities in your organization. However, it can be flexible, which allows business owners and employees to follow a pre-conceived model toward business success.
A few benefits of operational planning:
- Overall Guidance
An operation plan enables employees to use a proactive approach to their objectives instead of reacting to change or crisis as it happens. The operational plan helps influence and speed up decision-making.
- Business Model
The operational plan will be your business model throughout your business process from initial marketing to production, supply chain, sales, and customer service.
- Manage Tasks
A successful business has goals, and all individual tasks must be completed to reach those goals. Operational planning keeps everyone on track with pre-defined milestones.
- Track Progress
Without a plan, there’s no way to track progress and performance.
How to Develop a Successful Operational Plan
So, what do you need in order to develop successful operational plans for FMCG companies? While there’s no single template for all businesses, there are main elements in most robust plans.
Here’s how to develop an FMCG operational plan in 3 major steps:
What are your strategic goals and priorities? This is where you brainstorm goals and possible outcomes, then write them down. Prioritize tasks and activities as you see fit. As yourself, "what market shares do I need in 6 months?” or "how can we improve production efficiency?” These questions will help you determine what you want to achieve.
- Set Milestones
Set individual tasks and divide large goals into smaller ones to achieve your overall priority goals. Don’t wait too long to reward your staff in order to ensure they stay motivated throughout. For instance, if you want to increase your sales margin, tasks could include reducing production waste, improving Customer Service, and outsourcing to improve efficiency.
- Financial Data
Your operational plan should include a financial plan. You cannot reach your goals without knowing your revenue streams. More importantly, how do you know your cash flow will allow you to continue smooth operations? Do you need a loan? An investor?
Your financial data is your plan to pay for your business operations.
An operational plan is just as important for SMEs as it is for giant, global corporations. Without a plan or model for conducting your business, you could be in trouble. Take the time to develop your plan and hire operational planning experts for the process.
At ProClipse Consulting
, we can help your organization sail smoothly by collaborating to devise a proven, successful operational plan.
To get your plan in action, contact us now