The foregoing list includes the major items that need to be examined and documented.The search activity should conclude in written documentation that confirms the expected Costs that will accrue in carrying out the business as well the managerial and technical policies that will be used to operate the facility. When examining a service operation or a retailing venture there are different approaches concerning the third component.
Facility Operation
In running a service business, which would include the food service and hospitality industry and consulting, the primary physical asset, rather than a plant, is the facility itself. This can take the from of a golf course, a cruise ship, hotel, or consulting practice. Verification of the operation and delivery of the “service, rather than goods, include the first two parameters of (1) Management philosophy, policies and (2) Processes, technology, as in the foregoing list for manufacturing, but in place of (3) Physical plant is the operation itself.