Business Operation Model


The figure below shows you a business operation model for a manufacturing based company

For a company to operate, the core operation alone is not enough. There must be supportive operations too.

For service-oriented and other types of company, the business model would be somewhat different. However, for every company, there is always a core operation and a number of other supportive operations.

For example:

The core operation of an automobile company is to produce cars, and the core operation of Starbucks is to provide coffee.

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The figure above listed several other typical elements needed in order to make a company fully operational, such as business process and business management. The success of the company depends on the successes of all aspects of business operation

Before Business Excellence, quality was narrowly defined as the quality of product or service of the company provided to external customers; therefore, quality related only to the core operation. Core operation quality is only part of the story. Other quality critical factors for business operation success includes cost, profit, time to market, and capital acquisition.

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