Your Manufacturing System

This is your primary production system. It controls the work that fulfills the reason you are in business. This is where your business adds the primary value to your products and services that earn you a profit. If you manufacture desks, for example, then this system controls the way they are made. This might include the use of special equipment, the order in which parts are created or prepared, and the method by which they are assembled.

If yours is a service business, then this system controls the way your services are applied. For example, it might document the standard approach an electrician takes to complete a job. In this case it might be called a Client Servicing System, rather than a Manufacturing System.

The level of detail you go into is up to you, but remember that systems help to eliminate mistakes and nowhere are mistakes more costly than in the manufacturing process.

List the general manufacturing or service rendering activities that take place in your business. In all likelihood, this will become a collection of connected subsystems. Create your Manufacturing System based on this list. Service businesses may prefer to call it a service implementation system. In the end, it's the process that matters.

It can be tempting to go beyond capacity when it means satisfying a large client, but pushing your production beyond capacity only causes delays, backlogs, and increased expenses. In the long run, it is rarely a beneficial strategy. Of course that doesn't mean your company shouldn't grow. Growth is essential. It just means that you should plan for it. If you grow your business on your own terms, it will be an exciting and profitable experience.