Sunday 20 May 2018

Importance of SOP for Organization’s Growth & Sustainability




Standard operating procedures are directives in succession which behaves as protocol for employee work processes. SOPs are based on the inputs by the employees and are always designed completely and clearly. SOPs can be steps in numbering or as flow charts.

Well-defined SOPs help the organization in the following ways:

Readiness for Future Growth

If the organization’s goals are to expand the business to outnumbered branch offices, designed SOPs will make the work processes handy. Fresh talent at new branches can increase the organization’s reputation by using the SOPs to mirror the products and services provided at the Head Office.

Standard Operating Procedures Simplify Performance Management

Senior Employees can always use the SOPs to measure the performance of the employees. Employees whowork in conformity with the SOPs will surely know the expectation of the organization, and shall plan accordingly to meet the goals.

When every employee follows the same process, it becomes easy to measure their performance. Performance can be adequately assessed, where best performing employees are awarded and least performing employees shall be trained or put on probation.

Control the Quality and Consistency of Your Product

Standard Operating Procedures will help the organization to maintain a high standard of quality, guide the employees and reduce the feasibility of forgotten procedures or other processes which influences the quality of final product.

Protect Yourself from Knowledge Loss

The StandardOperating Procedures of the organization should be a manual and not memorized by a senior member, as the loss of the employee could be adverse. Documentation of SOPs bears the employee attrition due to retirement, termination or resignation. It becomes hard to change trained and professional employees, but extensive SOPs makes sure that processes always brace with business.

Increased Productivity

The employees following the SOPs and understanding what is expected from them are more productive and achieve the best performance, saving the retraining time and reminding them what tasks need to be performed daily.

Allocating tasks becomes easy

Well written SOPs shall include the organization chart of the organization and details of each employee. If there is a necessity to authorize a task, KRAs designed in the SOP will make it clear and straight to assign the task.

Reduced learning curve/training time for new employees

Whenever an employee has recently joined the job, the Standard Operating Procedures will be an aid to understand how things will work. For example, if the manager asks the employee to make the arrangements for a visit to attend a workshop in some other city, the new employee can easily review the SOP and make arrangement accordingly. This helps in saving a lot of time and boosts the confidence of the employee.

Standardized processes

The Standard Operating Procedures eases to find which policies and procedures are needed to handle the repetitive cases.

Training Material

The Standard Operating Procedures are advantageous for the organization for developing the training material which shall help the new employees to climb the learning curve fast. That SOP document shall work as manual for training which will cover the key responsible areas and the processes to follow. 

Audit

SOP shall provide an efficient audit list which will cover all the operating, service and all other quality standards which will demolish the “I don’t know” answers as everything will be covered in the audit report & every audit score will give us a report card of the respective department.

SOPs create a more secure workplace.

No matter whatever the business might be, accidents can always take place. Business owners whether small or big, and employees never want this to happen. Standard Operating Procedures will reduce these type of accidents because the employees will know how to use the equipment.

About YRC: YRC is a Management Consulting Firm with its presence across India & Dubai.
We help our clients build robust management systems which shall help to reduce their involvement in daily operations. We act as “Growth Partners” to our clients and help our clients grow in an organised manner. We have served more than 100 brands till date and are associated with 85% of them.