Entrepreneurship
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4 M’s
of Production
and
Business Model
M P W
M A N P O W E R
M H N S
M A C H I N E S
M T I S
MA T E R I A L S
M H S
M E T H O D S
4 M’s of Operations
Manpower
❑Talks about human labor force involved in the
manufacture of products.
❑It is measured as the most serious and main
factor of production. The entrepreneur must
determine, attain and match the most competent
and skilled employees with the jobs at the most
appropriate time period.
Manpower
❑Educational qualifications and experience,
status of employment, numbers of workers
required, skills and expertise required for the
job are some of the manpower criteria that
must be highly considered by the
entrepreneur.
Material
❑Talks about raw materials necessary in the
production of a product. Materials mainly
form part of the finished product. Just in case
the resources are below standard, the
finished product will be of unsatisfactory as
well.
Material
❑The entrepreneur may consider cost,
quality, availability, credibility of suppliers
and waste that the raw material may
produce
Machine
❑Discusses about manufacturing
equipment used in the production of
goods or delivery of services.
Machine
❑In the process of selecting the type of equipment
to purchase, the entrepreneur may consider types
of products to be produced, production system to
be adopted, cost of the equipment, capacity of the
equipment, availability of spare parts in the local
market, efficiency of the equipment and the skills
required in running the equipment.
Method
❑Production method discusses the
process or way of transforming raw
materials to finished products. The
resources undergoes some stages before
it is finalized and becomes set for
delivery to the target buyers.
Method
❑The selection of the method of
production is dependent on product to
produce, mode of production,
manufacturing equipment to use and
required skills to do the work.
3 Important Elements in Production System
PRODUCT
INPUT PROCESS OUTPUT
3 Important Elements in Production System
The input includes the following:
INPUT [Link]
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3 Important Elements in Production System
The production process, also
PRODUCT
referred to as the transformation or
PROCESS conversion process, is a stage of
production where the materials are
transformed into the final product
with the aid of manpower and
machine.
3 Important Elements in Production System
PRODUCT
INPUT PROCESS OUTPUT
The output represents the final product
from the production process and
distributed to the customers.
Four M’s
✓ Manpower
✓ Method OUTPUT
✓ Machine
✓ Materials
Product Description
➢ is the promotion that explains what
a product is and why it’s worth
buying?
➢ The purpose of a product description
is to provide customers with details
around the features and benefits of
the product so they’re obliged to buy.
Guidelines to have good
Product Description
1. Know who your target market is
2. Focus on the product benefits
3. Tell the full story
4. Use natural language and tone
5. Use power words that sell
6. Use good images
Prototyping
➢ A duplication of a product as it will be produced,
which may contain such details as color, graphics,
packaging and directions.
➢ Benefits are the reasons why customers will decide
to buy the products such as affordability, efficiency
or ease of use. The features of the product or
service merely provide a descriptive fact about the
product or service.
Supplier
➢ An entity that offers goods and services to
another business. This entity is among of
supply chain of a business, which may offer
the main part of the value contained within
its products. Certain suppliers may even
involve in drop shipping, where they ship
goods directly to the customers of the buyer.
Suppliers
➢ are your business partners, without them your
business will not live. You need them as much as
you need your customers to be satisfied. But as an
entrepreneur you have to choose a potential
supplier that has loyalty and value your
partnership; a supplier that would lead you to the
fulfillment of your business objectives, mission and
vision.
Business Plan
➢ is an important tool for you to have
an idea about the future of your
business.
➢ will be your guide in the moment you
will be implementing and operating
your business proposal.
Business Plan
➢ use in securing investment capital
from financial institutions or lenders.
➢ It can also be used to influence
people to work for your enterprise, to
secure credit from suppliers, and to
fascinate potential customers.
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YOU