Developing Effective SOPS & Operations Manuals

Developing Standard Operation Procedures (SOPs) and Operations Manuals is the hallmark of any good business. Regardless of size or type of business, having effective SOPs and Operations Manuals has numerous advantages and benefits.

Benefits of SOPs

1. Consistency & Efficiency
The quality of your product will become more consistent. Customers LOVE consistency – just look at the many successful fastfood business models. You become more efficient because everyone will start doing things the same way. Your quality of delivery will improve.

2. More Profits
Your bottomline will definitely improve when everyone’s working the same way and delivering their work more accurately. Your customers will return for repeat work because they know that you and your team can deliver a consistent result. Loyal, repeat customers are much easier and much less expensive than trying to obtain new ones.

3. Fewer Mistakes

The number of mistakes will invariably drop and you will have less work coming back due to staff mistakes. You must avoid mistakes at all costs as doing so will definitely translate into more business for you.

4. Greater Staff Morale

Your team will feel more confident and be more enthusiastic because they know what their roles are, and they are able to deliver. Your team will be happier as they will know exactly what is required. They know where to find things because they will have guidelines on what needs to be done. Things will actually get done without you having to ask them to be done.

5. More Time

You will no longer have to run around trying to keep control of your business. Your team will ask fewer questions and bug you less. You spend less time troubleshooting and no longer feel like you are the only one working hard while your team members take it easy

Benefits of Operations Manual

1. Company Growth
It is a resource for controlling your company’s growth. It describes how your business will survive the hard times by outlining the steps to handle necessary downsizing, while treating your employees fairly while maintaining their goodwill.

2. Project Management

It inspires new action in project management, assists in the creation of new products or services for changing markets and consumers’ preferences, and accelerates product development. It streamlines your service or production and shows your process. It designs your system for researching, organising, writing, and managing projects.

3. Customer Loyalty

It tells you how to turn dissatisfied customers into loyal clients, and eventually as raving fans. It put competent, trained people in front of your customers.

4. Staff Management
It helps curtail dependence on “key people” by providing for an effective communication protocol, and delegating accountabilities and staff training. Through the development of systems, skills and abilities are amplified and staff productivity and business results are maximised. As a result, you will have better control of your staff and workload.

5. Strategic Objective

Your company operations manual defines your company’s strategic objective by defining your management structure and career paths, how positions report to each other, and clarifying your basic goals, requirements, and activities. It creates your branding and image.

Differences Between SOPs & Operations Manual
SOPs and Operations Manuals both provide a reflection of your company’s mission, values and operating principles. However, they are two distinct documents designed to meet different organisational needs.

Key Features of SOPs

• Establish minimum parameters for acceptable operating practices
• Static and objective tool and does not have a “personality”
• Designed solely to convey detailed information about company standards, eg. sanitation and safety in the kitchen
• Reflect minimum guidelines for performance and seldom delves into variables or situational management
• Provide a legal foundation of a company’s operating procedures and is effective for contract and franchise agreements

Key Features of OM

• Dynamic sister of SOPs
• Same standards of performance as SOPs
• However, it conveys a greater sense of company culture
• Has broader operational perspective
• Addresses not just standards but also their application
• May also address variables in controlling operations from one location to the next

PROCESS

Based on the needs of your organisation, we help you determine the format – Standard Operating Procedures or Operations Manuals – that will best serve your intended audience. We then develop proprietary SOP or Operations manuals that accurately reflect the policies, procedures and operating systems for your organisation.

FEE

Development costs for SOPs and Operations Manual depend on the amount of research required to complete the project. Work for your project will generally fall into one of three levels:

1.     Design from scratch
2.     Structure and formalise existing resources
3.     Update current versions

During an assessment phase, we review your wants, needs and depth of resources to determine a plan for the project. Factors such as company size, location dynamics and infrastructure, number of departments/work groups and service expectations can all impact the amount of work required to create a quality product.

After the assessment, we produce a recommendation document that includes the scope of work, a project timeline and the cost involved.