Managing Startup Operations

23 Jan 2013

operationsUnderstanding how your organization manages and controls its activites is what business operations is all about. At the start up phase, when transactions are low and simple, the founding team members or the founding entrepreneur through a mix of manual and automation can fulfil the requirement. It is when the business expands and customer expectations grow, that having a process driven operations management is needed. Setting business models and processes to optimize costs and allow more choice to customers becomes a necessasity. In this article we have defined some of the basic requirements that businesses should incorporate ideally during the start up phase , but certainly before they start scaling the business.

Business Model

To be fair, structuring a business model is a difficult task for most startup businesses, as ambiguity still persists in defining it. A host of terms like strategy, tactics, method, process etc. can overwhelm an entrepreneur or start up business, especially when sourcing funds and building a market are the most important elements in their thinking DNA. Business model innovation is becoming the new strategic mantra for all organization leaders and entrepreneurs must also learn how to do R&D for new business models to keep pace with them.


A way forward is to make building a business model an integral part of a venture. It is therefore imperative to take a holistic view during the business planning phase to ensure that each segment of a business is interlinked with the overall objective of the founding team. Elementary units that characterizes a robust business model includes,

  • Customer Value Proposition
  • Nature and scope of Market
  • Entrepreneur’s goals
  • Revenue Model

Business Processes

Business processes are collection of structured activities and tasks designed to serve a particular customer or market segment and create value for them. Managing the business process is a vital responsibility for an entrepreneur as it increases the efficiency and effectiveness of the business. Continuous innovation and improvisation of the business processes should also be the focal point for an organization to deliver value added services to the customer.

A business process should have,

  • SMART Objectives.
  • Specific Inputs and outputs.
  • Resources and Assets.
  • Number of tasks.

Roll-out strategies


Roll-out strategies of an organization are step by step approaches related to expand the business and increase the consumer base. When an organization is attempting to execute something new it implements its rollout strategies to grasp the future opportunities. It can be a new product, new geographical extension or different perspective of the work. Some questions need to be answered by an entrepreneur while formulating the roll-out strategies which includes,

  • Why did you decide to do this NOW?
  • Will the change match the culture and skills of employees across the organization?
  • How it will influence your organization in future?
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