OPERATING PLAN The operating plan offers information on how the product will
be produced or the service provided; its importance varies from venture to venture.
This plan discusses such items as location and facilities: how much space the business will need and what type of equipment it will require. (These aspects of the operating plan are discussed at length in Chapter 11.) The operating plan should also
explain the firm's proposed approach to assuring quality, controlling inventory, and
using subcontractors or obtaining raw materials. (These aspects are discussed in detail in Chapter 20.)