Modification History
Release |
Comments |
Release 1 |
This version first released with BSB07 Business Training Package version 6.0 Revised unit. Required knowledge and Range Statement changed to include environmentally sustainable practices Replaces BSBSMB405A Monitor and manage small business operations |
Unit Descriptor
This unit describes the performance outcomes, skills and knowledge required to operate a small business and to implement a business plan. The strategies involve monitoring, managing and reviewing operational procedures.
Specific legal requirements apply to the management of a small business.
Application of the Unit
This work is undertaken by individuals who operate a small business.
The unit is suitable for existing micro and small businesses or a department in a larger organisation.
Licensing/Regulatory Information
Not applicable.
Pre-Requisites
Not applicable.
Employability Skills Information
This unit contains employability skills.
Elements and Performance Criteria Pre-Content
Element |
Performance Criteria |
Elements describe the essential outcomes of a unit of competency. |
Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the required skills and knowledge section and the range statement. Assessment of performance is to be consistent with the evidence guide. |
Elements and Performance Criteria
1. Develop operational strategies and procedures |
1.1 Develop an action plan to provide a clear and coherent direction, in accordance with the business goals and objectives 1.2 Identify occupational health and safety (OHS) and environmental issues and implement strategies to minimise risk factors 1.3 Develop a quality system for the business in line with industry standards, compliance requirements and cultural criteria 1.4 Develop performance measures and operational targets to conform with the business plan 1.5 Develop strategies for innovation, including the utilisation of existing, new or emerging technologies, where practicable, to optimise business performance |
2. Implement operational strategies and procedures |
2.1 Implement systems and key performance indicators/targets to monitor business performance and customer satisfaction 2.2 Implement systems to control stock, expenditure/cost, wastage/shrinkage and risks to health and safety in accordance with the business plan 2.3 Maintain staffing requirements, where applicable, within budget to maximise productivity 2.4 Carry out the provision of goods/services in accordance with established legal, ethical cultural and technical standards 2.5 Provide goods/services in accordance with time, cost and quality specifications, and customer requirements 2.6 Apply quality procedures to address product/service and customer requirements |
3. Monitor business performance |
3.1 Regularly monitor/review the achievement of operational targets to ensure optimum business performance, in accordance with the business plan goals and objectives 3.2 Review systems and structures, with a view to more effectively supporting business performance 3.3 Investigate and analyse operating problems to establish causes and implement changes as required as part of the business quality system 3.4 Amend operational policies and procedures to incorporate corrective action |
4. Review business operations |
4.1 Review and adjust business plan, as required, to maintain business viability, in accordance with business goals and objectives 4.2 Clearly record proposed changes to aid future planning and evaluation 4.3 Undertake ongoing research into new business opportunities and adjust business goals and objectives as new business opportunities arise |
Required Skills and Knowledge
This section describes the skills and knowledge required for this unit.
Required skills
- analytical skills to develop criteria and targets for the business plan
- communication skills to question, clarify and report
- literacy skills to interpret legal requirements, company policies and procedures
- numeracy skills to manage performance information and to control the finances
- technology skills to use relevant business equipment.
Required knowledge
- methods for developing and maintaining networks
- methods for implementing operation and revenue control systems
- methods for monitoring performance and implementing improvements
- OHS responsibilities and procedures for managing hazards
- principles of risk management relevant to the business, including risk assessment
- quality system principles and methods
- relevant industry codes of practice
- relevant marketing, sales and financial concepts
- relevant performance measures
- role of innovation
- systems to manage staff, stock, expenditure, services and customer service
- environmentally sustainable business practice and operation
- technical or specialist skills relevant to the business operation.
Evidence Guide
The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.
Overview of assessment |
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Critical aspects for assessment and evidence required to demonstrate competency in this unit |
Evidence of the following is essential:
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Context of and specific resources for assessment |
Assessment must ensure:
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Method of assessment |
A range of assessment methods should be used to assess practical skills and knowledge. The following examples are appropriate for this unit:
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Guidance information for assessment |
Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended, for example:
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Range Statement
The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.
Operational strategies and procedures may be determined by: |
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Business goals and objectives may include: |
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Occupational health and safety and environmental issues must include: |
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Quality system may include: |
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Operational targets may include: |
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Technical standards may include: |
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Unit Sector(s)
Management and Leadership – Small and Micro Business
Custom Content Section
Not applicable.