The Easiest Way to Organize Your Business Production

If your small business is in the state of chaos or confusion, it’s not likely that you are producing, selling and making financial progress. In business, “organization” should be used as a verb, not a noun. There are basic steps to get your business out of confusion into a normal state of operation. It may appear over-simplified, but it works.

Start by determining who is in charge of each department.

The task of the person in charge is to sort out the components of the company’s final product that are handled only in his department. He routes the components to the various stations in his department for them to be processed. Once the components are processed, he routes them to the other departments required for the next steps of production.

The person in charge at the end of the production line sends the product to the shipping department to be shipped to the customer, and the accounting department collects the money for the sale.

In your small business, develop a pattern for the components of your product to move through the production line. Remember that it is the product components that move, not the production stations. The production stations remain stable, so that when the product component is ready to move, the station where it goes to next is right where it’s supposed to be. Picture a ball team for a moment. If a particular play is called, but the players are not in position, the ball gets dropped. Product components that flow through stable production stations effectively removes confusion.

FYI, a potential business loan lender will consider your company’s ability to produce and move your products as part of your credit-worthiness.