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ENTREPRENEURSHIP
Quarter 1 – Module 5

Describe the 4Ms (Manpower,

Method,
Machine, Materials) of operations
in relation to the business
opportunities.
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 WHAT I NEED TO KNOW

Module Describe
5: the 4Ms (Manpower, Method,
Materials)
f operations in relation
Machine, thebusiness
to
opportunities
o
.
This method has been used for a long time, especially in the root cause
analysis which many entrepreneurs believe that in manufacturing
environment, people are very friendly on how to apply this method in
business. However, per observations of other industries such as service,
healthcare, etc., even in non – production function/departments of a
manufacturer, 4Ms are not well-understood and applied effectively. Hence,
the target in this module is to present a comprehensive discussion of the
4Ms.

Learning Competency
The 4Ms (Manpower, Method, Machine, Materials) of
operations in relation to the business opportunities.
Code: CS_EP11/12ENTREP-0h-j-12

Learning Objectives:

After going through the module, you are expected to:

1. Describe the 4Ms (Manpower, Method, Machine, Materials) of

operations in relation to business opportunity.
2. Apply the 4 Ms in making a homemade peanut butter; and,
3. Demonstrate interest in accomplishing tasks

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 WHAT I NOW

Task 1

1. This is the most important

factor in the production.
A. People B. Product
C. Place D. Position

2. It refers to the equipment used for processing raw

materials______________
A. Method B. Machine
[Link] D. Material

3. This refers to the process of making raw materials to attain final

product______________
A. Method C. Manpower
B. Machine D. Material

4. This refers to the things that can be made for new

products________
A. Method C. Machine
B. Manpower D. Materials

5. This refers to human talent, capital and workforce _________

A. Method C. Material
B. Manpower D. Machine

6. In choosing, cost, quality and availability should be considered.

A. Product C. Material
B. Price D. Machine

7. It determines what should be sold.

A. Skills for work C. Equipment
B. Mode of production D. Product to produce

8. All these belong to the 4Ms except one.

A. Money C. Machine
B. Manpower D. Marine corps

9. This is an employee qualification except one.

A. Work Experience C. Work Attitude
B. Educational Background D. Family Connections
10. It represents the day-to-day operations of a business.
A. Methods C. Manpower
B. Machines D. Money

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 WHAT’S IN

Task 2

DIRECTIONS: Explain what the illustration

below suggests. Do this in notebook.

Manpower Method

Business
Opportunities

Machine
Materials

WHAT’S NEW

Task 3

Direction: Identify whether the

pictures suggest: manpower, material, method and machine.
Accomplish the task in your notebook.

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 1.

2. .

3.

4.

5.

Images sources: [Link]

Explore!

1. How did you find the activity?

2. Was it easy/hard to identify and indicate the four Ms of operation? 3.
Do you think these four Ms should be part of the plan in having
business? Justify your answer.
4. Do you think the four Ms are necessary to the success of management
in any business? Explain very briefly.

WHAT IS IT

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 The 4M’s of operation in relation to business opportunity means that
the four critical domains, usually attributed to manufacturing are: man,
machine, material and method should work together. These four critical
domains are also applicable to business opportunities since business in
essence is tied to manufacturing as well. When putting up a business,
manpower is critical as well as the other elements. The businessman must
take all of these into account. Let us look at each one in detail.

huMan (Skill, Technology, Organization, Resources) o Do our

associates have the skill (and the will) to do what is
expected of them safely, consistently and effectively?
Machine (Equipment) o Are our machines capable of safe and reliable
output at the desired quality and rate? Do breakdowns, defects or
unplanned stoppages inhibit their ability to meet that goal?
Method (Process, Schedule, Procedure) o Do we have standard
work methods in place which ensure and support consistent,
safe production?
Material (Information, Raw Materials, Consumables, Quality) o Do they
meet the required specifications – are there no defects and shortages? Is
excess handling or movement reduced or eliminated? Are they stored
appropriately? Source: [Link]

Running a business is a complex process and all of these elements

interplay. It is not just one machine for example but many. Manpower
issues could also arise, which would challenge the method that has been
set up. It is up to the businessman to identify and solve these issues.
Source: [Link]

Figure 1 – Group to different categories

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Source: [Link] -4ms-long-bao/

The idea of 4M model is simply to give a systematical and total point

of view on what individual factor as well as what factor-to-factor
interaction are able to influence on the expected output (or final results).

In many situations, companies in their manufacturing process have

primarily machine or automate equipment, tend to narrow their focus on
the machine and underestimate impact of factor Man. Their continuous
improvement framework focuses on improving the equipment efficiency
as much as possible. Meanwhile, companies which their manufacturing
depend on operator’s skills tend to narrow their focus on the people
productivity, and lack of focus on the potential of the machine and
technology.

By the same approach, you can do the 4M analysis and improvement

in any process of any industries.

Figure 2 – Man, Machine, Method in the service environment

Source: [Link]

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But is 4Ms only for process improvement?

Not yet. Of course 4Ms is a powerful method for process improvement, but
it’s also the most important method you should apply during the process
design and/or product design phase, and in daily operation
management.

Many improvement projects or investment project on new process

and/or new products lack 4Ms review and design. The obvious effect of
this missing is the final solution not to work or fit-to-spec or purpose, and
additional budget required to fix for the lack-of-4Ms review and design. A
lot of over-processing and over-budget is due to lack of 4Ms review and
design.

Absolutely, the 4Ms technique is able to apply in any phase of a

process from the concept to design phase, from prototype to mass
production, from daily control to continuous improvement, innovation, etc.

By understanding and using it effectively, you can add much

valuable in your continuous improvement activities.

Source: [Link]

WHAT’S MORE

Task 4

DIRECTIONS:
Accomplished what are asked on the table
4Ms Brief Description Example

Manpower

Materials

Machines

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 Methods

WHAT I HAVE
LEARNED

Task 5

Direction: In your notebook, complete the following

statements.
1. I have learned that
_____________________________________________________________________

2. I have realized that

_____________________________________________________________________

3. I will apply what I have learned

____________________________________________________________________

[Link]

All it takes is a few minutes, some peanuts, and a food processor to make
all-natural Homemade Peanut Butter that’s better than any you’ve ever
had, anywhere.

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Task 6

Describe the 4 Ms in making the homemade peanut butter, give the

significance on each M in making the homemade peanut butter. Among
the 4 Ms of management, which do you think is the most important to
production and operations management and why? Answer briefly in your
activity notebook.

1.

2.

3.

4.

ASSESSMEN
T

Task 7

Direction: Write only the letter of your choice.

1. In order to create a brand image for a particular product, what

does a business adjust to? A. The marketing mix
B. Product
C. Price

2. This is the most important element of the marketing mix.

A. Price
B. Product
C. No single element is the most important

3. It determines the overall marketing mix of a firm.

A. Marketing strategy
B. Marketing objective
C. Profit from marketing

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4. They are protected by consumer protection laws.
A. Businesses and customers
B. Just customers
C. Just businesses

5. This is excluded in the marketing mix?

A. Price
B. Profit
C. Promotion

6. Where are premium products most likely to be sold?

A. In supermarkets
B. In designer stores
C. On market stalls

7. When is a business most likely to adjust the marketing mix of a

product?
A. If costs change
B. If customer needs change
C. If management changes

8. A supermarket's own brand range of products:

A. Has its own marketing mix
B. Has no marketing mix

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C. Has no promotional mix

9. How is a business most likely to increase sales of a premium

branded product?
A. By cutting price
B. By increasing promotion
C. By using supermarkets for distribution

10. What does the overall marketing mix create?

A. Customer needs
B. Business objectives
C. A unique selling point for a product

11. Which of the following descriptions provides the best definition of

the marketing mix?
A. The way products are arranged in a retail store to maximize sales
B. The way a business combines the main marketing elements to
sell products that meet the needs and wants of customers
C. The way a business distributes its products through retailers and
wholesalers.

12. The marketing mix which concerns on how much a customer pays for
the goods or services being offered.
A. Product
B. Price
C. Place

13. What do the 4 P's achieve when these work together?

D. Target customers
E. Profit margins
F. Create marketing plan

14. What are the four Ps in the Marketing Mix?

A. Problem, platform, program, procedure
B. Product, place, price, promotion
C. Plain, progress, post, process

15. Brenda's Beauty Salon offers customers hair styling. This is an

example of __________. A. Physical product
B. Tangible product
C. Service

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Methods- the process to be followed in effectively manufacturing or
delivering a product or service. It is the day-to-day operations of a
business. Internally, the process must abide with industry standards and
policies (ex. ISO
Certification).

Manpower - this is the worker. When setting up a business, finding

honest and capable people is always a challenge. In my experience,
people can be honest but may not be capable or competent and some are
capable but not honest. It is a rare find to find someone with all the ideal
qualities. So for a businessman, they must be able to treasure their
employees who are both capable and honest as they are integral to the
growth of the business
Materials - sourcing raw materials is critical in any business endeavor as
the businessman would want to have the cheapest possible at the highest
quality.
Advertising- As with all marketing activity, is an investment and creates
opportunities for the product to be discovered by the market
Machines - machinery is also important. Without the proper equipment,
you will not be able to perform the needed tasks efficiently. You may be
able to use the manpower to do it but it is usually more efficient if
machines are able to automate the work.

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