Objective:

Describe the 4Ms

(Manpower, Method,
Machine, Materials) of
operations in relation to
the business opportunity:
 Method
- A particular form of procedure for accomplishing or
approaching something, specially a systematic or
established one.
- Describes how the entrepreneur will run the business
- Such as:
- Manufacturing of goods (Input, Process, Output
- Service Delivery process
- Distribution of goods and services
- Logistics for delivery of goods and inventory management
• Manufacturing of Goods
• The process of translating raw materials into finished
goods (Input, Process, Output)
• Must consider the efficient manufacturing
sites(LOCATION)
- Home-based
- Commercial Space for Rent
- Commercial space purchase
• Service Delivery Process
• Must prepare a detailed flowchart of the service business
to minimize BOTTLENECK
• Delivering excellent service
• Distribution Method
• Distribution – the process of bringing the product or
services to customers
 MANUFACTURER Handles the intervention,
development and
production

DISTRIBUTORS AGENTS

Negotiate with buyers as to

Buy the products in bulk for how much or how many are
a discounted price and sell to be sold
at a markup price

WHOLESALER/RETAILER
• Payment Process
• Can be in CASH, Credit Cards,
Installment Plans, or Simple
Accounts Payable (Pautang)
MANPOWER

• Qualified employees that can handle

operational functions
• One of the highest cost of operation of the
business
• Most operational
• Plot a table of organization
• Devise a detailed Job Description and Job
qualification
• JOB DESCRIPTION • EMPLOYEE
• Duties and Responsibilities QUALIFICATION
of the potential
employees • Educational
• Job title Background
• Compensation and • Work Experience
benefit range
• Duties (high level
• Specific Skill or
descriptions) knowledge
• Responsibilities and • Work Attitude
Accountabilities
• Work schedules(working
hours)
ACCOUNTANT

Bachelor Degree in
Commerce, major in
Accounting, preferably a
CPA, although not necessarily
Long-range Wise
Good in Numbers
Good in Budget Preparation
Has Knowledge in Labor law
compliance
Responsible for remitting
SSS, Pag-ibig, Philhealth
premiums
Responsible for compliance
of Tax Laws and Bir
compliance regulations and
local government ordinance
Employee Development

• Training people- starts with employee orientation

• New entrepreneurs conduct OJT
• Buddy system – training program where in the expert team
member is assigned to assist a new employee in his or her
function
• Mentor-mentee program – training program for supervisors
• Enrolling in Online Learning Programs or Webinars (seminar
on the web)
• Can conduct internal training programs
MACHINE
• An apparatus using or mechanical power and
having several parts each with a definite
function
• And together performing a particular parts.
• “Best friend” of manpower in producing goods
and offering of services
 Facilities must strategically
placed in the manufacturing
sites or in the service delivery
area
 Site must adapt to how big or
small the pieces of equipment
are
 Site must be conducive, well-
ventilated, well-lit
 The entrepreneur must
ensure that the
employee went
through training or
certification to operate
 Must allocate space for
the storage
 Must aware of the
power consumption
and analyze the costs
Telecommunication and
Information Technology
• Mandatory- regardless of any business
• Mobile phones,
• smartphones,
• tablet,
• computers,
• phablets (phone and tablet in one) ,
• landline phones,
• laptops,
• desktop computers,
• pos machines,
• software programs and business websites
MATERIALS
• The matter from which a thing is or
can be made
• Raw materials, and supplies
• Entrepreneurs should decide what
route to choose(material
requisitioning)
• Manufacturing own products or offer
services
• Outsourcing
• Purchasing own products from present
• Manufacturing own products
• Big capital
• All Expenses in manpower, machines and materials are borne by
the entrepreneur
• Must be specific in details
• Entrepreneur will have the opportunity to build his or her own
identity
• Outsourcing
• Process of appointing a third party manufacturer to do the
manufacturing operations of the business
• Saves the entrepreneur from buying the machines , renting
locations or hiring manpower
o
ACTIVITY

Describe the 4Ms (Manpower,

Method, Machine, Materials)
of operations in relation to
the business opportunity:
Give at least 5 positive
effects of applying 4 M’s of
production using the fish
structure below
Indicate whether the following statements
pertains to: Manpower, Materials, Machine and
Method

• 1. Describes how the entrepreneur will run the

business
• 2. Involves manufacturing of goods, Service Delivery
process, Distribution of goods and services and
logistics
• 3. “Best friend” of manpower in producing goods and
offering of services
• 4. eNTREpreneur can choose whether to Manufacture
own products, Outsourcing ,Purchasing own products
from present suppliers
• 5. The Entrepreneur must consider the efficient
manufacturing sites(LOCATION) of the business.
• 6. The entrepreneur must prepare a detailed flowchart of
the service business to minimize BOTTLENECK
7. The most operational and expensive.
8. Entrepreneur must consider the site must adapt to how
big or small the pieces of equipment are
9. The matter from which a thing can be made
10. Telecommunication and Information Technology is
mandatory in any business.
11-13. 3 Telecommunication technology
14-15 Draw at least 1 Distribution channel
16-18 3 employee qualification
Telecommunication and
Information Technology
• Mandatory- regardless of any business
• Mobile phones,
• smartphones,
• tablet,
• computers,
• phablets (phone and tablet in one) ,
• landline phones,
• laptops,
• desktop computers,
• pos machines,
• software programs and business websites
• JOB DESCRIPTION • EMPLOYEE
• Duties and Responsibilities QUALIFICATION
of the potential
employees • Educational
• Job title Background
• Compensation and • Work Experience
benefit range
• Duties (high level
• Specific Skill or
descriptions) knowledge
• Responsibilities and • Work Attitude
Accountabilities
• Work schedules(working
hours)
 MANUFACTURER Handles the intervention,
development and
production

DISTRIBUTORS AGENTS

Negotiate with buyers as to

Buy the products in bulk for how much or how many are
a discounted price and sell to be sold
at a markup price

WHOLESALER/RETAILER
• Site must adapt to how
big or small the pieces of
equipment are
Key answers

• 1. Fact
• 2. Fact
• 3. Fact
• 4. Bluff
• 5. Bluff
• 6. Fact
• 7. Bluff
• 8. Bluff
• 9. Fact
• 10. Fact