Demonstrate Understanding of the

4M’s of Operations

► describe the 4M’s (Manpower, Method, Machine, Materials) of operations in

relation to the business
► develop a product description
► create a prototype of the product
• define prototype of product
• explain prototype of product
• illustrate prototype of product
• organize prototype of produc
• appraise prototypes of product
 4M’s (MANPOWER, MATERIALS,
MACHINE, METHOD)

The most serious issues in the

whole production system are
the inputs and the
transformation process. Their
quality determines the quality
of the output.

The factors involved in the

output and the production
process are usually referred to
as the 4Ms of production,
namely Manpower, Method,
Machine, and Materials.
 Manpower
It refers to the personality required to a
worker’s traits, manners, values, the way he
talks, appearance and his overall physical
attributes. Educational qualifications and
experience, status of employment, numbers of
workers required skills and expertise required
for the job are some of the manpower criteria
that must be highly considered by the
entrepreneur.
Talks about human labor force involved in the
manufacture of products. It is measured as the
most serious and main factor of production.
The entrepreneur must determine, attain and
match the most competent and skilled
employees with the jobs at the most
appropriate time period.
 Materials
It talks about raw materials
necessary in the production of a
product. Materials mainly from
part of the finished product. Just in
case the resources are below
standard, the finished product will
be of unsatisfactory as well.
The entrepreneur may
consider cost, quality, availability,
credibility of suppliers and waste Fig.2 Example of Materials (www.google.com)

that the raw material may

produce.
 Machine
• Discusses about manufacturing equipment used in the
production of goods or delivery of services. In the
process of selecting the type of equipment to
purchase, the entrepreneur may consider types of
products to be produced, production system to be
adopted, cost of the equipment, capacity of the
equipment, availability of spare parts in the local
market, efficiency of the equipment and the skills
required in running the equipment.
• The specifications of a manufactured product
normally include the general and technical descriptions
of the products. The general specifications state the
basic description of the product and services while
technical portion includes detailed information related Fig.3 example of Machine (www.google. com)

to the design and construction of the products and are

normally prepared with the help of engineer.
 Method

It discusses the process or way of

transforming raw materials to
finished products. The resources
undergo some stages before it is
finalized and becomes set for
delivery to the target buyers.
The selection of the method of
production is dependent on
product to produce, mode of
production, manufacturing
equipment to use and required
Fig.4 Example of Method (www.google.com)

skills to do work.
ACTIVITY 1:
Directions:
Group yourself according to your business plan groupings. Identify the
following:
Manpower Materials Machine Method

1.
2.
3.
4.
5.
Review
How are you going to describe the 4M’s in
order to make you as an entrepreneur
become successful in the field of
business?
PRODUCT DESCRIPTION
It is the promotion that explains what a product is and why it is worth
buying. The purpose of a product description is to provide customers
with details around the features and benefits of the product so they
are obliged to buy. Here, the entrepreneur must know who their
target market is, focus on the product benefits, tell the full story, use
natural language and tone, use power words that sell, and use good
images. There are guidelines for you to have a good product
description, since some customers are very particular with it since
they consider the welfare of their family, if it is safe to used. In project
management a product description is a structured format of
presenting information about a project product.
The Structure of Structure of Product
Product Description: Description:
1.Identifier
2.Title or topic
A Product Description in 3.Purpose or aims
project management is a 4.Composition
structured format of 5.Derivation
presenting information 6.Format and presentation
about a project product. 7.Development Skill Required
Product description is 8.Quality criteria
usually created by the 9. Quality tolerances
manager and approved by 10. Quality method
the project board. 11.Quality skills required
12.Quality responsibilities
• The product description should be
audience-friendly, speak to your
target, so that conversions will be
optimized. The content will match
what the audience needs to read
to improve the conversions and
customer retention.
• For example, if one needs a
trendy tone, we’ll keep the
sentence short, quirky, and fun. If
one need in-depth, accurate
descriptions for medical products,
writers will use industry
terminology and include research.
• Convenience Products are
the lowest risk and lowest effort
products where either none or
very small decision-making is a
made by target consumers
before buying the products.
• Convenience products
became shopping goods when
sold by wholesalers and
retailers in bulk, as in the case
of sugar sold in bulk to a soft
drinks company and chicken
products supplied by Swift’s to
McDonalds.

Two Types of Convenience Products:
1. Staple goods such as rice, sugar, and other
commodities, and
2. Impulse goods such as candies, and snack
food.
• Preference Goods the consumer has specific
preferences for brands or suppliers but are
willing to make substitutions when necessary,
such as during stock-out situations. With
increasing product parity, companies should
consciously be moving their products into
preference products category.
• The distinctions between convenience
products and preference products is mainly
the perceived risk by the consumer. Branding
and advertising efforts, which aim to build
brand loyalty, are usually responsible for this
perception. The strategy in marketing
preference goods are acknowledging the risk
of consumers when buying the products
For instance:
• Known brands like Colgate, Close-up or Hapee are perceived to be
less risky than buying unknown brands, which may contain
dangerous ingredients and may end up hurting the consumer’s
gums and teeth.
• Serving cheap beer instead of San Miguel beer in a party may lead
to the host being ridiculed by his guest.
Shopping products are products that consumers feel
are worth the time and effort to compare with other
competing products. Example are provided below:
 Consumer products like bathroom tiles and appliances
usually entail some form of comparison with
alternatives.
 Consumers services like life insurance and housing
rental
 Industrial shopping services like the accounting and
audit services offered by Ernst and Young (SGV) or
Punongbayan and Araullo. (p.141 Fundamentals of
Marketing by Go 2013)
 Product Satisfying Features
• Product patronage in the market is conditioned by the strategies and
policies employed by the manufacturer and the marketing organization
on the product’s attributes. The present day customer looks for products
that will not only satisfy their needs and wants but also other social
attributes that are attached to the product. This changing customer
demand must be given attention by the marketing organization.
• Design- It matters to the elements that collectively form of good or
service that will satisfy customers and gain competitive advantage. Good
design can improve the marketability of the product through its design
and appearance. The distinctive design may significantly differentiate the
products from the others in the market.
• Product Color- It is the customer rejection or acceptance of the product.
This could be true in clothing, cars or furniture and other fixtures. The
possibility of differential advantage comes in knowing the right color
combination that will appeal to costumers. Fashion aficionados are very
difficult to satisfy when it comes to color combination. Color can be an
important consideration for highly technical products. A study shows
that consumers associate darker color to richness and value. Colorless
products run the risk of being perceived as plaint water. Transparent
products are intended to be associated to purity mildness.
• Product Quality- This is set of features and
attributes of a product or service that determine its
ability to satisfy human needs. This set of definition
varies from individual to individual depending on his
set of perfections about the product. Besides
personal taste, individual expectations also affect
judgement of quality. Optimal quality refers to a
situation that the product or service provides the
costumer with an experience that meets their
expectations.
• Product Warrantees- It is one of the most
important attribute of the product warrantee. It is
the state where the buyer is assured that the
product meets the specifications stated in the
product labels.
 Individual Activity
Task: Imagine that you have your own company. Think of a product and write its great
product description that will ultimately increase your company sales.
Example: Product Name: Dog Toy
Product description: this dog toy is design to stimulate your dog’s brain and will keep
him/her entertain for hours while you are away. This is item is made with all natural chew-
proof materials for many years of playtime. This is the must-have toy for dogs that stay home
while the owners are at work.

ProductName:
_______________________________________________________________
______
Product description: ________________________________________________________________
____________________________________________________________________________________________________________________
____________________________________________________________________________________________________________________
_.
 PROTOTYPE OF THE PRODUCT
• Prototype can help add value to a project as well as
credibility. In some instances, the company will need
to innovate to be able to prove that the concept
works and the theoretical design translates into a
working model.
• Prototyping - The Merriam –Webster dictionary
defines prototype as an original model on which
something is patterned. A duplication of a product as
it will be produced, which may contain such details
as color, graphics, packaging and directions. One of
the important early steps in the inventing process is
making a prototype. Benefits are the reasons why
customers will decide to buy the products such as
affordability, efficiency or easier of use. The features
of the product or service merely provide a
descriptive fact about the product or service. It is
better to test your product prototype to meet
customers’ needs and expectations; and for your
product to be known and saleable. Pretesting of the
product or service is similar to a sample of the
product or service given
• to the consumer free of cost in order that he/she
may try the product before committing to a
purchase.
• It is better to test your product prototype to meet
customers’ needs and expectations; and for your
product to be known and saleable. Pretesting of
the product or service is similar to a sample of
the product or service given to the consumer free
of cost in order that he/she may try the product
before committing to a purchase.
• It is better to test your product prototype to meet
customers’ needs and expectations; and for your
product to be known and saleable. Pretesting of
the product or service is similar to a sample of
the product or service given to the consumer free
of cost in order that he/she may try the product
before committing to a purchase.
 Fig.7 Example of Pre-Production Prototype
(www.google.com)

Fig.5 Example of Paper prototype (www.googlr.com)

Fig.6 Example of Scale Model of Building (www.google.com

Fig.8 Example of 3D Prototype (www.google.com)
 Steps in Prototyping
• Step 1. Document It
This is the first step to patenting the idea and
keeping it from being stolen. Write the idea down
in an inventor’s journal and have it signed by a
witness.
• Steps 2. Research It
The company will need to research the idea
from a legal and business standpoint. Before to file
a patent, one should:
Complete an initial patent search. Visit the website
to ensure the requirement for patenting, complete
a rudimentary search for free at www.
Ipophil.gov.ph to make sure no one else has
patented the idea.
Research your market. Do s preliminary research of
the target market? Is this something people will
actually buy? One can determine these costs by
comparing those of similar products currently on
the market.
• Step 3. Make a Prototype
A prototype is a model of the invention that puts into
practice all things that were written in the inventor’s journal.
This will demonstrate the design of the invention that will be
presented to the potential lenders and licensees.
Here are some general rules of thumb when prototyping
invention:
• Begin with a drawing, sketch out all the ideas into
inventor’s journal.
• Create a concept mock up out of any material that will
allow one to create a 3-D model of the design.
• Create a full-working model of the idea; consider using a
computer- animated virtual prototype.
• Step 4. File a Patent
Two main patents to choose from:
• Utility Patent (for new machines or processes)
• Design Patent (for manufacturing new, non-obvious
ornamental designs).

• Advantage of Prototype
1. It tests and refines the
functionality of the design.
2. It makes it possible to test
the performance of various
materials.
3. It will help you describe
your product more
effectively.
4. It will encourage others to
take it more seriously.
• could require a few weeks or months of listing
• Brainstorm Ideas
1. Try to make a list of all things that are
interesting. These could be hobbies, jobs, or
products that are used on a regular basis.
2. For each activity or item or interest, make a list of
possible improvements that could be made in the
form of an invention. This could include
variations of the product or activity or useful add-
ons.
3. Make a hefty list. It is better to have too many
ideas than too few, so continue listing until
nothing else to add.
4. Keep a journal at all times, to constantly add new
items to possible-invention list. Keeping ideas all
organized in one place, a journal, will also help to
remain mentally clutter-free and allow reviewing
ideas.
5. Do not rush the brainstorming process.
Inspiration may not hit one like lightning, and
ideas before epiphany strikes.
• Patenting
Create a thorough record of the invention
• Making Invention
1. Record the process of inventing the
product. List all the things that need to Reality
create it, all the possible parts and
materials for invention.
1. Create a prototype
2. Keep records of the research showing 2. Create a presentation
that no similar patented products in the
same market. 3. Present an invention to a
3. Consider the commercial sales value of manufacturer
the invention. Make sure you have
recorded the commercial value and 4. Produce your invention
potential income based on sales of you
the invention. 5. Advertise your invention.
4. Create an informal drawing of the
invention. An accurate drawing of
invention maybe required in patent
application.