Why SOP is important for business

1. BUILDING TRUST THROUGH EXCELLENCE +1 718-717-2085 CASE STUDY Why SOPs are important for a business? CASE IN DISCUSSION A large client in the food industry engaged a brand-new workforce with little to no prior experience in the food industry to staff a new packaging factory. The client was concerned that when the manufacturing started, there may be unneeded delays and operational inefficiencies because there were no documented processes or training. CHALLENGES Quality Standards Consistent Losses Investing Issues New workforce being alienated to the standards expected in the upcoming packaging line Declining revenue figures and a loss making packaging segment losing out to competition Low stakeholder confidence leading to difficulties in raising finance Compliance Issues Inefficient Operations Company faced regulatory penalties due to inadequate quality control Production was below equilibrium and operations could not benefit from economies of scale

2. KEY CONSIDERATIONS Schedule a free consultation Interview one key person in each position of the company IMPORTANCE OF SOP Benchmarking industry quality standards SOPs for every role in the business, including warehouse operations, finance, shipping, maintenance, and line operations. SOPs ensure that there is consistency in the way an individual carries out an activity Checklists for the implementation and training process to be utilized during on-the-job training Helps reduce errors by providing set of instructions for a particular task SOPs, work instructions, corporate paperwork, and tools along with a list of duties to describe, exhibit, and monitor for each position must be provided. Maintain quality controls by bringing about uniformity in operational steps Increases investor confidence since proper performance is reinforced through written procedures The trainer and the trainee must sign the checklist as proof for human resources department Helps in training of new workforce using material such as checklist, instructions, and manuals Promotes safety and mitigates any possible risk through prevention

3. VALUE ADDED TO CLIENT In the first quarter of operations, the packaging line returned a profit of 23% on revenue The new workforce was trained in period of 14 days using SOPs and work instructions Upon implementation of the SOPs, the client received offers from investors valuing over $200,000 Due to benchmarking, the client averted regulatory penalties and increased its planned capacity FEEDBACK The complete project was successfully finalised and implemented prior to the start of the packaging line. The company successfully implemented three packaging lines for the first time ever. The CEO of the business gave great praise for the SOPs and training materials for this accomplishment. Schedule a free consultation BUILDING TRUST THROUGH EXCELLENCE Charlotte City Center, 25 North Tryon (+1) 718 717 2085 www.nsktglobal.com Street, Suite 1600,