4Ms

of
Operation
and
Production
2. Manpower
The entrepreneur needs to determine the people
whom he or she will need to help him or her run
the business. The entrepreneur needs to think the
number of people needed and for what specific
positions or functions he or she will designate
each person. Equally important is to have the
right people in place in terms of skills and
qualifications.
TYPES OF WORKERS
 1. Direct Workers
Are those primary jobs and
functions are directly related to the
production and operation of the
business.
Examples: carpenters, mechanics,
hairdressers, barbers, and service
crew.
 2. Indirect Workers
Are those whose primary jobs and
functions are not directly related to the
production and operation of business.
Examples: janitors, security guards,
secretaries, managers, and sales agents.
1. Methods
These represent the day-to-day operations of a
business, and describe how an entrepreneur will
run the business from all facets of the business
such as the manufacturing of goods, service
delivery process, distribution of goods and
services, logistics for delivery of goods, and
inventory management.
3. Machine
Any of the equipment, tools, instrument,
appliances or devices that you will use to make
your product or provide services to your
customers.
Machine and manpower go hand-in-hand in
providing goods and services to customers. With
technological progress, machine even replace
manpower in some cases.
4. Materials
Are all the things needed
for running your business.
Types of Materials
 1. Direct Materials
Are those directly related to the
production of your product or the
performance of the service you are
offering. These are the raw materials
you use in making your product or
the supplies you use for servicing
your clients.
 2. Indirect Materials
Are those that are not directly
related to the production of your
product or to the performance of
the service you are offering
Example: paper, ink and notebook
you use for recording sales