Business Resources

Business resources are the inputs required to run business. Some inputs are easily available but for other inputs more efforts and legal procedures are required to get and start business. Various inputs like employee, physical equipment, raw material, funds etc. are must to start business. These are the main resources because without these resources business can’t run.

Land: 

Land is a natural resource which is used for setting up workshops, offices, warehouses, buildings and free space for tree planting, parking and other required reasons. Land can be acquired by purchasing from suitable area. Another option is to get land by purchasing from industrial development corporation. If purchasing is not possible, land or workshop can be taken on lease. Based on financial planning and funds available anybody can take decision of getting land for business. It is better to think on private and self-owned land to avoid lengthy procedure and investing more for land. Ready workshops or buildings are also available on lease and that also can be preferred for time being.

Transportation:

After and before production vehicles are required for receiving the material and sending products to the market. At the beginning of business one should find supply chain for transportation which is third party support for delivering the product from factory to customer. There are number of private transportation companies which give good service to business. Such companies are working with right time, right delivery and right quality service. So it is better to use third party transportation. Transportation types are road transport which includes trucks, tempos etc, water transportation includes transportation by ships, air transport includes aeroplanes, rail transportation by trains. Using various modes of transportation products can be delivered anywhere in world.    

   

Water and electricity:

Water is basic need so it is mandatory to plan for supply of water, storage of water. If industry is based on processing industry, chemical industry or water processing plant then there is more demand of water. Planning of water must be on first priority. Electricity runs all the machines so according power of machines and equipment required electric power is estimated and then it is planned to get supply from electricity suppliers.

  

Water and electricity are also primary things which can be included in resources. We can get water, electricity etc easily but there are some other resources for which a vigorous study and search is required. I want to share my friend’s experience that he spent more time on getting material, may be because of searching so many suppliers and conducting meetings with them. Another reason is initially he didn’t get good response from suppliers, as he was willing to start his production with less quantity.

In engineering management or in production management five resources are to be studied and those business resources are like man, material, machine, method and money.

Man:

Human being as a worker or employee of a company who is directly and indirectly involved to run business. In a business, this is an important factor as a resources because he plays different roles like an operator to operate the machine, instructor to give instructions to all helper and workers, supervisor to do supervision and control production line, engineer to see technical details regarding machine, tools and methods, manager as a higher authority of any department etc. Skilled, semiskilled and fresh persons can be recruited as per the requirement of business. Even though recent businesses are automatic, it requires some employees for monitoring the tasks.   

Material:

It is in the form of raw material or semi-finished material which is transformed into the final product. If any production related business is there then material is very necessary input factor. Quality material is always seen by manufacturer by comparing different supplier’s material. Quality testing is to be done by applying some required parameters during various testing methods. Not only quality is to be seen but cost and availability is to be considered at the time of finalizing material from any supplier. If any supplier gives assurance, it’s very good for dealing with him.

Machine:

Used for manufacturing processes and those are manual, semiautomatic and automatic controlled. Several machines are available in market but based on our plan, funds, type of production suitable machines are to be decided for the plant or business. Old and traditional machines are available with lower costs, new and advanced machines are with high cost. Main differences in these two types of machines are accuracy in production, production capacity. Machines with manual control are giving less accuracy and a self-controlled or fully automatic machine gives superior quality. It is better to decide by optimized way, what types of machines are required.

Method:

Way of doing tasks is method. Some new and advanced methods are being adopted to get required output. How to reach upto output is decided by methods. Now days advanced tools and technology are emerging into businesses those tools and technologies helps to bring quality output and achievement of objectives. By choosing methods, strategies for running business from available number of methods activities are to be carried out. There are some definite methods which are very known by multinational companies and are followed by these companies to get standard work. So work study and method study is an important factor in business.

Money:

Funds required running business from start to end. There is always optimized way followed for investment. Self-finance, government schemes and findings, banks, finance companies, shares contribution are the resources of finance for business. Funds requirement is decided after preparing project report. Project report includes detail information of cost related to physical assets like machines, material, employee’s salaries, manufacturing cost, depreciation value of machines, land, water, electricity, annual return etc.

Apart from this there are some other resources which are coming indirectly to run business. Resources like consultancy for technical as well as non-technical things can be guided and it becomes easy to take further steps in business, advertisers who can help to business to grow in short span etc. Conclusion of this post is to go through all the resources and be prepared for starting business.