Tag: business

Simply put, SOP are guidelines related to procedures that must be carried out. For example, in a company, company SOP are all the guidelines that employees need to do to get good work results.

This rule itself is not only about how to get the job done. There are SOP if there is a disaster, SOP if employees are allowed to work, SOP if employees are about to change jobs, and so on.

In essence, this SOP will arrange for everything to run properly, correctly, and effectively.

Definition of SOP

Simply put, as previously explained, SOP are a series of procedures that need to be carried out to get the desired results. Later, this will be a guide for employees on what they should do.

Meanwhile, there are some experts who also have an opinion about the meaning of SOP itself. SOP are guidelines used to ensure the operational activities of a company or organization run smoothly.

SOP is a sequence of steps in terms of implementing work, where the work is carried out. It deals with what to do, how to do it, when and where to do it, and who should do it.

SOP is a document that contains a series of written instructions. The document is standard and official.

The document contains a series of processes for administering office administration which contains how to do the work, the time of execution, the place of implementation, and also who will carry it out.

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SOP function

In its own making, SOP have several functions. At least this company SOP is a work guideline that must be obeyed by all parties.

Try to imagine if a company does not have an SOP. So, every time there is a new employee, the employee will be confused about what they should do.

The employee will also be confused about his duties, rights, and responsibilities. This is one of the functions of the existence of this standard rule.

The existing SOP will be a guide for each employee to carry out their duties. Likewise, when there are new employees, the old employees do not have to bother explaining a lot of things about work culture.

Old employees only need to explain certain things.

In addition, this rule also has several other functions, such as:

1. As a Work Guide

SOP will serve as a guide when working. With this rule, it will be easier in terms of operations .

This guide will contain the steps in doing the job. This will be very useful to assist employees in carrying out and completing their duties.

This will also help improve the performance of the company. That’s because every job will be purposeful.

In this case, employees will know what they need to do, what their rights and responsibilities are, what work standards the company expects, and the limits of their work.

Furthermore, this rule will help the company to achieve its goals. And on the other hand, by applying this rule properly, the company will also help employees to work optimally.

2. As a Legal Basis

SOP will also serve as a legal basis. This will relate to the rights and responsibilities of each party.

If later there is one party who violates this rule, then the punishment that that party will get is usually already stated in the rule.

By adhering to this guide, it will also be easier for each error to find the cause.

This is because it is enough to see which parties are working not in accordance with the existing SOP.

3. Providing Job-Related Information

In its application, company SOP are all rules or stages that will be related to work. Later, this company guideline is not only about procedures, but will also contain all the possibilities that occur while working.

This includes possible problems and obstacles that will arise during work .

The SOP will manage all the steps when this happens. In other respects, this guide will also set out what all parties need to do, in the event of a natural disaster, for example.

4. Work Discipline Guidelines

The essence of the contents of the SOP is the rules that need to be followed by all parties. This rule also contains the consequences they will get if they violate.

With this, another benefit of the company’s SOP is to create work discipline.

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Purpose of SOP

From the benefits obtained by the existence of SOP, these rules also have a purpose in making them. Some of these goals include:

1. Minimizing Errors

With the SOP in effect, it is hoped that every party present will follow it and understand what they need to do.

Later, this will be one way to minimize errors.

2. Employees Find Out More About Their Jobs

Regarding how to reduce errors. This is partly because every employee will understand what they need to do.

This in addition to minimizing errors can also be a way to improve the performance of employees.

3. New Employees Will Easily Adapt

With this guide, every new employee will be able to immediately know what their rights and responsibilities are. They will also find it easier to know about the details of the work they need to do.

4. Helping the Company Reach the Target

With the SOP, one of the goals is to help companies achieve the targets they set. This guide will contain guidance on how to work effectively and efficiently.

This will be one way to help the company achieve its targets.

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SOP Benefits

SOP itself is one thing that companies must have. In this case because these guides and guidelines themselves have many benefits.

The main benefit is of course to provide written guidance on what employees should do. In addition, other benefits of company SOP are :

1. Increase Reputation

SOP is one of the characteristics of the company’s seriousness in running a business. In the client’s eyes, companies that have clear rules are considered to know what they are doing and how to do it.

In this case, one of the benefits of SOP is to increase the reputation or good name of the company itself. When the company runs the existing rules well, the client’s assessment will be good.

2. SOP are Guidelines for Working

A company certainly does not want its employees confused about what they should do. This is one of the benefits of having SOP.

With this guide, it will really help employees to work according to their respective duties and obligations. This will make the work more effective and also avoid overlapping tasks or escaping responsibilities.

Furthermore, the guide will also make the finished work standard.

3. SOP is a system that will make it easier

In connection with the previous point, the SOP will also be a system that will simplify the work in many ways. For example, if an error occurs, then the process of tracing the error will be easy.

With this guide, all parties involved will know what they have to do, what the standards are, and to what extent.

4. Maintaining the Company’s Characteristics

Another benefit of implementing SOP is that they can maintain the company’s characteristics. Company SOP are guidelines that all employees must follow.

With this guide, whoever does the work will produce a product of the same quality and standard.

This is because each employee will not work forever. So, with the company’s SOP, it is hoped that when there is a change of employees, it will not affect the quality of production.

5. Provide Clear Rules

With the SOP, this indirectly also becomes a rule that all parties must follow. Everyone associated with the guidelines must make it a rule.

Later, in the guidelines themselves, there will be rules regarding parties who do not follow these guidelines and guidelines properly.

For example, in a company there are rules that require all employees to wear uniforms.

When there are employees who do not wear uniforms, the SOP rules will also regulate what punishments the employee will get. In this case, this guide will also be useful as a provider of clear rules.

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Tips for Making SOP

In every SOP preparation there are at least a few things that need to be considered. One of them is a matter of principle in the formulation of the rules themselves.

Principles in Preparing SOP

Because of its very important function, the making of the SOP itself cannot be made haphazardly.

At least, in its manufacture there are several principles that need to be considered. Some of these principles include:

1. Clear and Easy to Understand

Because it will be a guideline and many people will use it, every rule and step in the SOP must be clear and easy to understand.

In its application, each step in this guide must contain a detailed description so that it is easy to implement.

In addition, the making of this guide should also use simple and uncomplicated language.

This is to avoid misunderstandings when interpreting the meaning in the guide itself.

2. Effective and Efficient

One of the goals of making SOP is that all parties will easily understand what they have to do. That is why, in making this rule, it must be able to make all work systems effective and efficient.

Every work procedure in the SOP must be made efficiently. This is to maintain the efficiency of time, energy, and of course costs.

However, this efficiency will also be closely related to effectiveness. In this case, the company’s target must be the highest benchmark.

Simply put, in its manufacture, the company’s SOP must be made based on the company’s own goals. This rule will be a way to realize these goals in an efficient and effective manner.

3. Alignment

Another principle in the preparation of SOP is harmony. One of these alignments relates to the goals of the company.

In addition, this alignment is also related to the vision, mission, resources, and also several other things.

4. Dynamic

In this case, the SOP can change at any time. Of course these changes occur with prior notice.

Changes in the rules are important because they must adapt to existing conditions.

This is where the importance of evaluating the SOP itself. Later, any existing deficiencies can be corrected and produce new, better rules or guidelines.

5. Measurable

One of the goals of making SOP is to help companies achieve their goals or targets. In this case, it is this goal or target that must be measurable, both in quantity and quality.

The measurable principle in making this rule is also important, one of which is as an evaluation material. With a clear measure, it will be easy to judge whether the existing rules are still relevant or not.

6. Open

One other principle that needs to be considered when making SOP is openness. That means every rule must be transparent .

Each party must know clearly all rights and responsibilities.

This openness also means that every rule is subject to change. When the applicable rules are deemed ineffective or no longer relevant, changes can be made.

7. Legal certainty

In addition to work procedure problems, SOP will also usually regulate if an error occurs. In this case, it will also contain punishment.

Every punishment that exists must of course be in accordance with applicable law.

The SOP will also regulate if one of the parties does not follow the applicable guidelines. Furthermore, the guidelines also regulate whether an employee can be protected or not if he or she is subject to a lawsuit.

Tips for Preparing SOP

In addition to paying attention to the principles as above, in making SOP there are also some tips that can be one way to make effective and good rules.

Some tips for compiling these rules include:

1. Determining the Right Person

You probably already understand how important an SOP is for the company. That is why the manufacturing process cannot be arbitrary.

Therefore, the person or team that composes this rule cannot be an arbitrary person.

In this case, besides needing people who have writing skills, making SOP also requires people who understand the technical and non-technical matters of the company.

In some cases, company SOP are also prepared by external parties they hire.

2. Create Interesting Visuals

The SOP will contain many guidelines that will serve as guidelines for many people. This will cause problems if the existing guide is only available in text or written format.

This is because some people actually understand better when they see pictures.

In addition, the visual function of the SOP is to make people interested in reading it. A guide that contains lots of rules and guidelines will be very boring if it’s just text or text.

3. Pay attention to the writing style

In this case, always pay attention to who your target is. The mistake that often occurs is that the SOP is made with writing or language style that is not in accordance with the target.

Even though they have the same goals and objectives, the guide for the engineering section cannot be the same as the guide for the finance section. This is because the understanding of each person will be different.

If this happens, it will only cause confusion in the translation of the guide itself.

To avoid this, it is better when making SOP each division or section participates. This is useful for equalizing understanding and also creating more detailed guidelines.

4. Pay Attention to Work in the Field

In this case, every SOP making must pay attention to who will use it and also how it will be implemented later.

Also make sure if you use it later it doesn’t cause other problems.

That is the importance of paying attention to any existing guidelines. That way, when you create a new guide, you can learn what is missing. To be repaired later.

5. Do Testing Before SOP Launch

It’s a good idea, before the SOP becomes a fixed rule, do a test for a certain time. This is useful for assessing whether the new rules have met expectations or not.

In addition, this test will also assess how the response from employees or related parties. Like, whether this new rule makes it easier or makes it more complicated.

6. Make Sure Every Rule Has A Reason

In each rule will definitely raise questions about why you made the rule. Here, then you need to provide answers to these questions. Give a reasonable reason why the rule exists.

Don’t let anyone think that the rules are made only to benefit the other party.

7. Make Sure All Parties Agree

Since the implementation of this SOP will be a shared responsibility, it is also quite important to ensure that all parties involved agree on the rules. This agreement is also to avoid the emergence of conflicts in the future.

8. Always Review Existing SOP

The current rules are an improvement over the previous rules. It also confirms that the current rules are still subject to change.

This could be because the rules are no longer relevant, conditions have changed, or other factors.

This is where it is important to always monitor any applicable rules. If it is felt that there are many shortcomings, then the rules can be immediately changed.

Of course, each of these changes must also be known by all parties.

SOP Example

In its use, of course the SOP of each company will be different. This will depend on the prevailing work culture in the company.

However, in essence, each of these rules will have the same goal.

Here are some examples of SOP that you can learn:

Example of Company SOP on Computer and Internet Use

	Title	STANDARD OPERATING PROCEDURE FOR USE OF COMPUTER AND INTERNET
1	Background	1. Each employee is given a computer which is the office inventory
		2. Every computer is connected to the internet provided by the office
		3. Control the use and utilization of computers and the internet in the work environment during working hours.
2	Destination	1. Optimizing the use of computers and internet for office facilities for work purposes.
		2. Use of computer and internet office facilities for the right things.
3	Scope	Use of computers and internet for each employee
4	Responsibility	1. IT Department
		2. Spv of each section
		3. Every employee
5	Work Units Involved	1. IT Department
		2. Internal Audit
6	Implementation Procedure	1. Every employee uses the office computer and internet only for work purposes and not for other purposes outside of work.
		2. Each employee is responsible for the office inventory computer that each uses.
		3. File storage on each computer is arranged as neatly as possible. Use clear folder names.
		4. Perform anti-virus scans periodically. Use an anti-virus that is already available
		5. If there is any discrepancy or damage during use, immediately contact the IT Department.
		6. If you feel the need to improve the quality of the device, then carry out the submission procedure with the knowledge of the IT Department
7	Recording	Internal memo to each division.

Furthermore, each SOP will be signed by the maker, examiner, and those who approve.

After the SOP is published, it will become the applicable guidelines and rules.

Sample Company SOP on Uniforms

In addition to the format as before, usually this rule will also be spread in a simpler format. Usually in this format, the information provided is only about the implementation procedure.

Usually this is the format that employees see most often. Here is an example:

STANDARD OPERATING PROCEDURE

About: Uniform Use

1. Every employee is required to wear the official uniform that has been determined.
2. Every employee is required to use an ID Card while in the work environment.
3. Each employee may only wear black or dark colored shoes.
4. Every employee is prohibited from using excessive accessories during work.

That’s an example of a Standard Operating Procedure for uniform use. Rules with this format are usually the ones that will be distributed and pasted in places that are easily read by many people.

In the rules, this format usually only contains the signature of the maker or person in charge of the rule.

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In addition to the format as above, there are several other formats of making this rule. For example, using images.

Usually this is for guidance on technical matters. By using images, the hope is that users will become easier to understand.

In addition, the current guide format also uses audio-visual media. This is to make distributing this guide easier.

In addition, this format is also considered more effective, because in addition to hearing and seeing directly, users can also choose to see only or only hear.

In addition to making it more interesting, some places also make this SOP format in the form of animation. Although the format is different, but the purpose of making this guide remains the same.

Its main goal is to make it easier for users to do what they need to do. This guideline is also useful for providing clear boundaries.

If it is associated with company SOP, then the goal is that each party or division knows what their duties, responsibilities and rights are. Later, this will be the basis and benchmark in each of their work.

SOP can also be a reference standard for any existing work. In addition, SOP will also be very useful to inform all parties about what they should do when something happens such as a natural disaster or fire.

You must have heard the term “CEO” before, right?

Especially if you are quite active in socializing on professional social media such as LinkedIn, you will often come across several profiles of individuals who have CEO positions in the companies where they work.

Whether it’s for companies whose names are already quite large in Indonesia, as well as new companies that have sprung up recently.

The CEO position is often synonymous with the highest position in the company.

So, what exactly is the function of the CEO position?

Is it different from the position of director and other high positions?

Come on, let’s look at the following brief review.

What is a CEO?

CEO stands for Chief Executive Officer .

This position is the highest position in the company’s organizational structure, and is usually found in almost all startup companies .

Usually, a startup company founder also holds the role of CEO in the company.

However, if a company has a group of shareholders, often the position of CEO is determined by the results of the agreement of the shareholders.

The Chief Executive Officer of a company is tasked with leading & directing the company, so that it is in line with the vision & mission that has been determined by the company owners/shareholders.

The CEO has full control over the company’s business activities, including determining the top-level strategies that need to be carried out to develop the company.

From his duties, the position of CEO actually has similarities to the position of the President Director and the position of the President Director.

Qualified CEO Character

Then, can everyone become a CEO?

Well , because the CEO’s role is very crucial in a company, the company owners/shareholders must be really observant in choosing the CEO that fits their vision and mission.

Here are some of the characteristics of a CEO who is usually quite reliable in managing a company:

Able to work together ( teamwork )

A good CEO is certainly a good team player too.

The reason is, in leading a company, the CEO must be able to build solid teams , proficient in their fields, and able to communicate with each other.

A CEO must also be able to be a good listener, and also know who people need to talk to if a problem occurs.

Quick to adapt ( adaptability )

The mindset of a good CEO should not be rigid, and be able to quickly change according to circumstances.

Not only that, the CEO must also be able to learn from past events, and make policies that can mitigate the occurrence of undesirable things.

Always reliable ( reliability )

A good leader is a leader who can always be relied on.

For example, if there is a problem with the company, a CEO must be able to show calm and maturity; not easy to panic & not easy to lose control of his emotions.

A CEO must be able to estimate the location of the source of the problem, what things can be prepared to overcome it, and who needs to be contacted to immediately resolve the problem.

That way, the CEO will always get the full trust of the employees, and they will always be ready to accept & carry out all the directions given properly.

Able to see far ahead ( foresight )

Just as a business owner is able to see future business trends , a CEO should also be able to predict the business situation in the future.

At least for the next 1-2 years.

For example, when the company plans to open a new branch outside the city or abroad, will this have a good impact on the company?

Or even have a bad impact?

A CEO needs to have the ability to understand, and read insights about the business situation in the future.

This is useful so that companies can take advantage of opportunities and also mitigate business risks.

Have a good character ( decency )

In addition to the characters above, a CEO should also have a good character.

For example, by not taking actions that have the potential to violate the law, or issuing policies that complicate the conditions and welfare of employees.

A good CEO will always prioritize the human factor first, before making decisions related to the development of the company.

CEO Can Be Changed?

Then, can a CEO, whose role is very important in a company, be replaced?

The answer is yes.

A CEO is someone who is chosen by the owners/shareholders of the company to run the company according to their vision & mission.

If the owners feel that there are other prospective individuals who are more experienced, or whose leadership style is more in line with the business concept, then they may appoint a new CEO to replace the role of the previous CEO.

Usually, if a company’s growth slows down, shareholders will appoint a new CEO to improve conditions in the company.

However, the change could also occur because the old CEO decided to resign for other reasons.

For example, recently PT Esteh Indonesia Makmur also changed its CEO.

Artist and young entrepreneur Nagita Slavina was appointed CEO of Esteh Indonesia last July, replacing Haidhar Wurjanto. Haidhar himself is the founder of Esteh Indonesia.

The two CEO figures are both quite successful entrepreneurs at a young age.

Haidhar has other food & beverage businesses such as Momo Milk, Raindear Coffee & Kitchen, Cakekekinian, Forestthree Coffee, and Esteh Indonesia.

Meanwhile, Nagita Slavina is also experienced in managing the various businesses she owns.

Examples include RANS Entertainment, Frame Ritz and RA Picture production houses, RANS Living, Nagita Slavina Cosmetics, and many others.

The ability to manage various businesses and companies, as well as their business experience so far, make these two individuals who are suitable for holding the CEO position.

Conclusion

Like a captain who leads a ship, a CEO has an important role in a company.

Many things and high-level strategic decisions a CEO needs to make. Therefore, it must be someone who is truly experienced who is able to carry out these tasks.

The CEO must also be able to be a bridge between the daily operational activities of the company and the owners/shareholders of the company.

CEO turnover is not always due to improve the company’s unstable condition. However, it could be because there are other changes that need to be made within the company.

Whoever is chosen, whether from the business community or celebrities, as long as that person has the skills & knowledge needed, and is in accordance with the vision & mission of the shareholders, then that person is suitable to be a CEO.

Process management is the most important part of any process development and improvement effort. So process management is a way or action in dividing, allocating programs to be executed so that they are not messy and run well as they should. In its function to develop and increase the degree of efficiency and effectiveness, process management is also one of the most potential work tools in an effort to increase customer satisfaction values.

In the end, it will also be able to increase profits, business growth and the continuity of the business life cycle of the corporation/company itself. Many work organizations are motivated to manage various activities of their work organization functions by using a process management approach which consists of five main dimensions. The focus of the five dimensions of process management is on the functions of quality, efficiency, response to time, work activities and process costs.

To get maximum corporate/company business profitability, work organizations must think about reducing process costs, reducing product/process failure rates, and working together to develop and improve product/process quality. Therefore, process management is a strategic work tool that can be utilized for this purpose.

1. Process mapping
2. Process diagnosis
3. Process design
4. Process implementation
5. Process maintenance

Process mapping is one of the most important initial activities in process management whose function is to define processes and capture strategic issues. Process mapping is also part of the control functions of process design and development of initial work activities. When the objectivity and defined process functions have been fulfilled and documented, the diagnostic activity can be carried out.