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VI.

Operational Plan

Explain the daily operation of the business, its location, equipment, people, processes, and
surrounding environment.

Basically, our business totally depends online and based on third party vendors means tailor who
stitch clothes on customers demand without going anywhere, we offer clothes stitch service to our
customers at their door step via online mobile application,

We select top rated tailors around the major two cities Karachi and Lahore we maintain a profile
system to show of the rating of tailor to satisfy the customers.

Also we check and visit the place of tailors to verify the equipment’s they use to stich the clothes are
UpToDate.

We try our best to provide services to our customers in low prices and on their door steps as per
need and demand of customers, also we make a system in app to connect tailor with customer to
complete work as per customer needs to avoid any mistakes.

Production
How and where are your products or services produced?

Our products are produces in local tailor shops we collect clothing material from customers and deliver

it to our tailor who stitched and ready clothes as per customers demand.

Explain your methods of:

• Production techniques and costs


We select most talented and famous tailor from city to city they also used well maintained and
newly equipped machines to stitch the clothes.
Also we try to minimize the cost of stitch to provide best service in reasonable price.

• Quality control

After completing the job by our tailor a quality check inspector will check the stitch quality, design,
size, are correct or not, if any fault found in stitching so we resend it to tailor to remove the fault,
after full checkup of clothes we deliver clothes to our customers and allow them one week to verify
and check their clothes as per their desire or not.

• Customer service
We strongly believe on customer service and we do prompt reply to our each customers as soon as
possible to avoid loss of any valuable customers.
In our app we introduce chat option to resolve customers query on prior basis.
• Inventory control

We must verify and assure the tailors to make inventory always available during rush sessions and
well maintained their equipment to avoid any delay in service.

• Product development

An research department is always connect with our selected tailors to introduce and inform about
new market trends and development.

Location
What qualities do you need in a location? Describe the type of location you’ll have.

We choose two main cities across the country we selected famous markets and location in a city to

find out best tailor of city.

Physical requirements:

• Amount of space
We don’t have restriction to our tailors about space.

• Type of building
Usually tailor shops are open in shopping centers and local plaza.

• Power and other utilities


We confirmed from our tailors to verify the electricity source. In case of shortage of power alternate
must be available to complete task without any delay.

Access:

Is it important that your location be convenient to transportation or to suppliers?

Out tailor shops are convenient easy reachable to customers. But in our case we provide online

service to our customers so we choose main point within city to promote pick and delivery

service to our customers.

What are your requirements for shipping centers?

We hire most experience riders also use third party riding services to collect and deliver orders to our
customers with full security and instantly.

Include a drawing or layout of your proposed facility if it is important, as it might be for a


manufacturer.
We always consider the importance of layout design facility for our company business operations for
meet the organizational goals, we design and layout how the work is done, work flow, material
information through out our system, And make a system to finish stitching process with well-
functioning system.

Construction? Most new companies should not sink capital into construction, but if you are
planning to build, costs and specifications will be a big part of your plan.

At this time we offer our service totally online but in future we expand our business physically in
different cities.

Cost: Estimate your occupation expenses, including rent, but also including maintenance,
utilities, insurance, and initial remodeling costs to make the space suit your needs. These
numbers will become part of your financial plan.

We try our best to minimize our operational expenses as low as possible to provide cheap stitching
solutions to our clients.
We operate our business from one room, IT manager, quality inspector, supervisor, accountant,
and outdoor riders.

What will be your business hours?

Basically we have online system that works 24 hrs in a week But, we works in normal timing that match
with tailor shops from 11 AM to 9:00 PM, in this time we take orders and dispatched to our tailor to
finish the stitching process.

Legal Environment
Describe the following:

• Licensing and bonding requirements

We do an agreement with tailors to provide best and secure service to us and don’t leak our
designs with any other person.

• Permits

We get permit from government and also register in government agencies to secure our business
and pay tax on timely basis to run our business operation smoothly.

• Health, workplace, or environmental regulations

We provide basic health facilities to our staff in the accordance of government regulation and
policies.
• Insurance coverage

In case of any damage o loss we do insurance of our tailor and clients to maintain the loss of both
parties.

• Trademarks, copyrights, or patents (pending, existing, or purchased)

Our business has registered trade mark to avoid any copyright issue.

Personnel
• Number of employees
Basically, online business so we have minimum employees.

• Type of labor (skilled, unskilled, and professional)

We have highly skilled and professional tailors who stitch clothes with finishing.

• Where and how will you find the right employees?

We higher most talented and professional employee who deal with clients and run our business
smoothly. Source of hiring Newspaper, Hiring Websites.

• Quality of existing staff

Best analytical skills to deal with customers as well as tailor vendors.

• Pay structure

We offer handsome salary to our employees to do work most efficiently.


We offer different pay structure in level and skill and ability of the hired person.

• Who does which tasks?

Every person that relate with our business do task as per their duty and responsibility.

• Do you have schedules and written procedures prepared?

We make schedule to structure the task and how these task can be achieved and who done the task.

• For certain functions, will you use contract workers in addition to employees?

No we have not contractual employees , But we do contract with our tailors to provide services to us
as per agreement.
Inventory
• What kind of inventory will you keep: raw materials, supplies, finished goods?

We demand our tailors to keep and maintain always good amount on inventory to finish orders on
timely basis to avoid any delay.

• Seasonal buildups?

Seasonal inventory is stock which is in high demand during particular times of the year, such as
during Eid or other occasions. These periods of time we always connect with tailors to maintain
inventory level to avoid lack of inventory in peak session.

• Lead time for ordering?

We take minimum 7 days from customers to finish the cloth stitch process and deliver it to our
customers as per our settlement.

Suppliers
Do you expect shortages or short term delivery problems?

During peek sessions may be we meet with shortage of riders for deliver orders but we

make an strategy to avoid such type of circumstances.

Are supply costs steady or fluctuating? If fluctuating, how would you deal with changing
costs?

Our prices are stable but some time fluctuate due to higher demand of tailors on occasion basis.
To avoid these circumstances we offering different offers to our tailors.

Credit Policies
• Do you plan to sell on credit?
Our business have online system so we have both payment modes cash on delivery, or pay online
via debit or credit card, We give some discounts to our those customers who paid before delivery
time.

• Do you really need to sell on credit? Is it customary in your industry and


expected by your clientele?

As per our online store system we allow both option to our customers to pay
before order of after completing order.
Without such option customer not believe on our services if we don’t allow
them credit facility.

• If yes, what policies will you have about who gets credit and how much?
Our every type of customer can avail credit service their no limit, but we offer discounts to
those who pay before delivery .

• How will you check the creditworthiness of new applicants?

In the exchange of service clients give us their clothing material to ready clothes.
So there is low chances of fraud.

• What terms will you offer your customers; that is, how much credit and when
is payment due?

In our system payment will due at the time of delivery to customers must paid
the amount otherwise material not deliver to client and hold till clearance of
payment.

• Will you offer prompt payment discounts? (Hint: Do this only if it is usual
and customary in your industry.)

Yes we offer prompt discount on the basis of cart amount on different percentages.

• Do you know what it will cost you to extend credit? Have you built the costs
into your prices?

We maintain a credit system we track and trace in different levels of checking to


verify how much receivable and how much time it can take for recovery. For this
purpose we use aging system to make an report how long payment are due on
customers. Some time customers addresses change so in that case we hold clothes
certain time of period and after that we sold out this clothes in biding process to
recover our cost.

Managing Your Accounts Receivable

If you do extend credit, you should do an aging at least monthly to track how much of
your money is tied up in credit given to customers and to alert you to slow payment
problems. A receivables aging looks like the following table:

Total Current 30 Days 60 Days 90 Days Over 90 Days

Accounts 170,000 110,000 20,000 10,000 10,000 20,000


Receivable Aging

You will need a policy for dealing with slow paying customers:

• When do you make a phone call?


We make phone calls to our customers while 30 days time passed.

• When do you send a letter?


Wrong delivery address or phone number we issue letter on customer address.

Managing Your Accounts Payable

You should also age your accounts payable, what you owe to your suppliers. This helps
you plan whom to pay and when. Paying too early depletes your cash, but paying late
can cost you valuable discounts and can damage your credit. (Hint: If you know you
will be late making a payment, call the creditor before the due date.)

Total Current 30 Days 60 Days 90 Days Over 90 Days

Accounts Payable 200,000 100,000 40,000 30,000 10,000 20,000


Aging

Do your proposed vendors offer prompt payment discounts?

A payables aging looks like the following table.


We try our best to clear the bills of tailors as soon as possible we take helps of aged
payable report and payoff the bill that cross the 30 days limit.
If we delay to much in payments so there is chances to loss a skillful tailor.

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