How to Write a Business Plan: Organization and Management
The organization and management section should be utilized to discuss the business structure of the company, management team, and job responsibilities.
In the management summary section, most business owners will include a brief bio about the founder and the management team. When writing the bio, make sure to highlight skills and experiences that are associated the business and perspective industry.
Business Plan Writing Tip:
Some business owners like to believe that their business is all about them. And for a lot of small businesses, it is. However, if you examine the egocentric concept from an investor perspective, if something happens to the business owner, then the investor may lose their investment because the business would not be able to continue.
Because of this important issue, try to keep the bio section at a paragraph or less, each, for the founder and executive team. This is enough information to demonstrate experience and competence. But, not so much information that the business owner and management team become the star of the show as compared to the business.
Paul Borosky Sr., MBA., is the founder and CEO of ABC Consulting. He has started and managed numerous successful small businesses over the last ten years. Businesses started, and managed, includes a tutoring company, home repair company, and business consulting firm. For each business, he was responsible for all aspects of the organizations, from marketing to strategic planning.
The brief bio first identifies the person discussed and their job title. Following this introduction, a brief discussion about experiences was made. This showed the owner has qualifications for the new business and has supporting experiences as well.
Job responsibilities section is mainly included to help the business owner demonstrate an in-depth understanding about the company’s structure and document potential positions needed. Further, by discussing and identifying job responsibilities, the business owner can alleviate future disagreements between the executive team members. This is done by explicitly stating job responsibilities for the business owner, executive team members, and hourly staff.
Business Plan Writing Tip:
For larger companies, not all positions and job descriptions should be included. For example, a restaurant job responsibility section might list the executive team positions, chefs, kitchen help, servers, and host position. This indicates that the business owner has at least a basic knowledge of the different positions needed for the restaurant.
Job Positions and Responsibilities
- Create and execute marketing strategies for business growth.
- Align business strategies with the vision statement.
- Negotiating contracts with vendors.
- Ensure legal compliance for the business.
- Continually examine the firm’s external environment for new market opportunities.
- Control inventory to ensure optimal levels are attained.
- Manage day-to-day operations of the restaurant.
- Servers and cooks during high volume times.
- Interview and hire new employees.
- Assist in the onboarding process for new employees.
For each job position, make sure not to list more than four or five functions performed. This structure helps to limit too much discussion about any one job position. Further, by staying broad with the descriptions, the business owner is able to not reveal too much about their operational structure and strategies.