Learn how to benefit from operations manuals through the experience of other businesses.
Some companies ask us if they really need business operations manuals and staff training manuals. After all, if their organisation is already doing okay, what’s the point of adding another document to the shelf?
Others ask why they should bother updating existing operating manuals, operating procedures, handbooks, franchisee manuals or training etc., if those have been in place for years and seem to be doing a good enough job?
In both cases, the answer is the same:
If you want to perform at your best, to gain a competitive advantage, to increase profitability and efficiencies, to protect and sustain your business, to survive emergencies (such as COVID) and to develop your value (i.e. for future floatation, refinancing, sale or merger) – your business must be systematised with the latest best practice, procedures and standards.
And these systems must be written into good operations manuals and tools (such as training, quick-reference booklets and online resources) that are unique to your business, current, irrefutable and that inspire your staff (or franchisees) to perform.
Learn from the real experiences of other businesses
Over the last 20+ years, we’ve worked with many UK companies and big national brands to develop and update operations manuals (and franchise manuals) and training. In some cases, we’ve had to fix issues that you simply wouldn’t believe large businesses of that calibre would face, all because they’ve neglected their manuals and training.
Here are 10 REAL examples (we’ve dealt with) of what can go wrong without an operations manual or when they’re out of date – and what you can learn from them:
Example one:
A high-street business in the banking sector that had no manuals in place and so suffered decreasing standards and a lack of uniformity in branches – putting some at risk of closure.
We put new manuals and training in place that fixed the issue.
You might operate one branch without an operations manual (although that lays an unnecessarily heavy burden on management). BUT every additional branch you open without systematised procedures will dilute the standards, performance and image of your business. A good manual (and integrated training and tools) ensures ALL branches operate to the same high standards and efficiency.
Example two:
A hospitality chain that didn’t have a coherent manual in place and so could not complete the multi-million-pound sale of their business – because the buyer didn’t believe continuity would be secure in the absence of systematised procedures. (Even though that business had managed okay without them up to that time).
We put manuals in place that allowed the sale to go ahead.
Good operations manuals, up-to-date procedures and decent training can increase the value of your business for sale in the future. The absence of a comprehensive manual will reduce the value of your business or may even prevent its future sale (as was the case here until we put good operations manuals and training programmes in place).
Example three:
Several privately-owned businesses (some with 100+ branches and multi-million-pound turnovers) that still relied on micromanagement and direction from originating family members because no operational systems or manuals were in place (just statutory policies on HR and Health & Safety etc.).
We implemented operations manuals and training that allowed these owners to step back with confidence, enjoy a better lifestyle and still drive increased performance in their businesses.
Some owners find it difficult to relinquish direct control. But, if a business relies solely on its owners for direction (because no procedures are systematised), it’s more likely to fail if anything happens to them. This came to the fore recently in some businesses that sadly lost key owner-managers through COVID.
Without systems and operations manuals, a business may also have less value and its owners less opportunity to enjoy the lifestyle they want (because they need to be running things all the time).
Example four:
A home-improvement chain that had been using manuals with the wrong branding for more than 5 years, because they couldn’t edit the files given to them by the original author.
Ensure that you get licensed copyright and editable versions of files from whoever writes manuals and training for you – else you won’t be able to update them and they will quickly become invalid.
(All our manuals are delivered with licensed copyright and are in editable formats).
Example five:
A national hospitality chain that suffered poor reviews on TripAdvisor due to rooms not being cleaned or maintained to a high standard – because no standardised cleaning procedure existed in manuals (several sites used different procedures) and no examples had been given to housekeeping and maintenance managers of what constituted good and bad results.
We created new procedures, manuals, training, photography and other tools that fixed the problem.
Sometimes it’s not enough just to set out a basic procedure (although that’s still better than none being in place). The best manuals drill-down into significant detail to define standards exactly.
To get good results (using the above example) you can’t just say ‘first change the sheets, then clean the toilet before mopping or vacuuming the floors’. Instead, you must be more specific (e.g. ‘fit the bottom sheet using hospital corners, then smooth down…’) and give clear examples of the expected results (e.g. ‘the finished bed should look like this photo…’) and keep tools (such as albums) to demonstrate good and bad results when training.
Example six:
A dry-cleaning chain that had not accounted for a step-change in technology in their manuals. This made their old procedures completely defunct, diminished faith in the rest of their manual and meant branches had to learn how to use new equipment their own way – with varying degrees of success.
We updated the manuals with uniform procedures for the new technology.
A good operations manual should be a ‘living’ document that is quickly changed to account for new standards, technology and equipment (etc.) – and so disseminate that crucial new information to all branches without delay.
Without an operations manual in place, there is no easy way to quickly communicate change to all branches, which means your business will be slower to implement improvements than your competition.
Example seven:
We’ve met several national franchise chains that were still using the cheap and cheerful off-the-shelf (‘copy and paste’) manuals they got in a package from some franchise consultant when they started 10 or even 20 years before:
Almost all of these were already out of date when they were ‘written’ and did not reflect the culture, personality, values, standards and current best practice of the company using them.
Many of these contained references to procedures that were defunct (or worse, that belong to another company or are now illegal).
Some even included references to other brands (because the ‘writer’ forgot to overwrite them when copy-pasting!).
Some caused confusion (at best) and others led to legal disputes (at worst) because they were inadequate, out of date or misleading (or because they contained obligations copied from another franchise that couldn’t be met by the franchisor using them).
E.g. We know of more than one fast-food business using manuals copied from those of a major American brand – and several property franchises that use identical manuals copied from another brand from the 1980s! We’ve even seen a manual for a shoe retailer that mistakenly contains pages about serving drinks and alcohol licensing laws?!
We put modern bespoke franchisee operations manuals and head-office operations manuals in place for these clients that drove higher performance in their franchise networks (with fewer disputes and renewed enthusiasm and engagement amongst franchisees).
To perform at your best and protect your business, you need operations manuals (and or franchise manuals) that are written bespoke (not a copy of someone else’s), that are NOT ‘off-the-shelf’ jobs (from a template or package) and that are up to date. Head office staff and your franchisees deserve something better than an off-the-peg manual.
Example eight:
A distribution business that didn’t have a dedicated section in their operations manual to control and set standards for their national sales force, with the result that their sales team wasted time and money duplicating each other’s efforts and caused disputes with customers.
We created new procedures, systematised them into sales-operations manuals and retrained staff to use systems and software properly. This fixed the problem, improved efficiency and helped drive better sales results.
You need a good operations manual in place on which to build effective training and efficient systems. Without a manual and the tools it underwrites, it’s more difficult to drive and control any function or team in your business.
And, if you already have a manual, consider if it goes into enough depth to effectively manage all your departments. Many companies still use manuals written years ago in the early days of their growth. These may no longer be comprehensive enough to successfully drive performance, procedures and standards in the bigger teams they now operate.
Example nine:
The master franchisee of an American food chain, using manuals given to them by the USA franchisor, which had not been properly adapted to the UK market and UK laws. This put them (and 40+ franchisees) at risk of losing business because subtle changes were required to better approach UK consumers AND at risk of breaking the law.
We worked with the UK master and the USA franchisor to better adapt manuals for the UK.
A good up-to-date manual will help protect your business.
But ensure the manual you are using is written for your current purpose, place and circumstances and adapt it if changes are necessary. Review manuals often to ensure they remain compliant with continually changing UK laws and statutory requirements.
If you don’t have a manual, you are not protected.
Example ten:
A company serving contracts for multi-national petroleum giants that had a full set of policies in place (HR, Health & Safety, Environmental, GDPR, etc.) in manuals written to ISO standards (ISO 9001, 14001, etc.), as required for them to tender for the contracts they served – but not a single word about how to work day-to-day in the business. This meant that although they theoretically operated to the highest standards, many of their staff had little guidance how to actually do their jobs, so performance slipped.
We created operations manuals and quick-reference tools that covered the ‘how to’ operational procedures they were missing. Their performance improved tendering and serving the contracts they won.
It’s surprisingly common to find businesses of any size (including nationals and PLCs) that have a full set of statutory policies (because they have to) and ISO certifications (because customers expect them to) but precious little about the real procedures used in the business day-to-day.
This is frankly ridiculous, because it is these day-to-day operational procedures that REALLY drive performance and efficiencies in a business, so it can serve more products and services of a higher standard to happier customers with more profit. (Not 32-page ISO policies on how they intend to recycle paper!)
Yes, you need statutory policies; and yes, customers might like to see an ISO mark; but don’t neglect operations manuals and training that gives your staff the step-by-step ‘how to’ guidance they need to do their jobs well.
