Entrepreneurship

4Ms

Manpower, Method, Machine, and Materials involved in operations and their relation to business opportunities.

Manpower

The skills, technology, organization, and resources contributing to workforce efficiency.

Machine

Equipment that delivers safe and reliable output at the desired quality and rate.

Method

Standard work processes ensuring consistent and safe production.

Materials

Includes information, raw materials, and consumables meeting required specifications.

Gross Profit

Total sales minus the cost of goods sold, representing revenue after direct product expenses.

Fixed Expenses

Costs that do not change with production levels, such as rent and salaries.

Variable Expenses

Costs that vary with production levels, including materials and shipping costs.

Return on Investment (ROI)

Net income per peso invested in the business, indicating profitability.

Balance Sheet

A financial statement showing assets, liabilities, and capital at a specific moment.

Recruitment

The process of identifying, attracting, interviewing, selecting, hiring, and onboarding employees.

Selection

The process of carefully choosing the best or most suitable candidate for a position.

Implementation

The process of executing a business plan to achieve set objectives.

Liquidity Ratios

Financial metrics that gauge a company's ability to meet its short-term obligations.

Profit Margin

A percentage that measures a business's production efficiency based on gross profit.

Operational Management

Daily oversight of business operations ensuring efficiency and alignment with business goals.

Business Opportunities

Sectors in which a business can grow and become profitable, utilizing the 4Ms effectively.

Employee Morale

The overall attitude, satisfaction, and outlook of employees within a workplace.

Hiring Process

The series of steps taken by a company to find and onboard new employees.

Business Record Keeping

The systematic organization and documentation of a business's financial transactions and agreements.

Objectives in Business Planning

Clear targets that guide the entrepreneur's actions towards the success of the enterprise.