What is the 3P Framework?

The 3P Framework is a Method that helps Companies build Successful Business Models.

  • By focusing only on 3 Simple Factors.

 

The 3 Factors proposed are:

  1. Product.
  2. Process.
  3. People.

 

Although it is widely used in Business, it is also used in Lean Manufacturing.

 

Both Approaches Focus on the 3 same Factors but in a Different way.

  • The Lean Approach Optimizes each one of its Factors.
    • Reducing waste, Duplicate Operations, etc.
      • In Manufacturing Processes.

 

  • The Business Approach Improves these Factors when building Businesses.
    • In a Proactive Way

3P in Business

1. Product: Focus on Developing a Good Product that covers a Real Market Need.

  • Ensure that your Customers are Satisfied with the Product.

 

2. Process: The Manufacturing Process should be Solid and Stable.

  • Otherwise, Prices could fluctuate and Quality could be Compromised.

 

3. People: The Company must have a Management System that ensures excellence.

  • Employees must have Goals and Know exactly What they have to do and How.

 

3P Framework Template.

 

Before sharing some practical examples with you, we want to clarify one thing:

  • The 3P Framework in Lean Manufacturing.

 

As we mentioned before, this Framework is very Popular in Lean Manufacturing.

Let’s see How it is used:

3P in Lean Manufacturing

 

Lean Manufacturing Focuses on Optimizing Manufacturing Processes by:

  • Reducing the Necessary Materials.
  • Eliminating Unnecessary Operations.
  • Getting Rid of Wastes.
  • etc.

“Grosso Modo”, of course (this can have many nuances).

 

When applied to Lean Manufacturing, the 3P Framework suggests to:

  • Create a Limited and Homogeneous Product Catalog (when possible).
    • So the Manufacturing Process needs less Stocks and Pieces.

 

  • Optimize Manufacturing Processes frequently.
    • With the least number of Operations possible.

 

  • Apply the same Principle to Management and Employees.
    • Having the necessary amount of People, working Effectively.

The best way to understand the 3P Framework and How you can use it is by sharing some examples with you:

3P Framework examples

We’ll now imagine that you Have your Own Business.

You would like your Business to be more Successful, but you don’t know where to start.

 

You’ve heard of a Simple Tool that helps Companies with their Performance:

  • The 3P Framework.

 

Therefore, you decide to use it.

Let’s see how you use it:

A Pizza Restaurant - 3P Framework example

 

You Own a Pizza Restaurant.

  • Or a Italian Restaurant Specialized in Pizza.

 

Your Business is doing OK but, you don’t see your Customers Satisfied enough.

  • And you want to have the best Pizza Restaurant in Town.

 

That is why you decided to apply the 3P Framework:

 

Product

In order to “Master” your Product, you will:

  • Narrow down the Pizza options, focusing your efforts on the most Popular ones.
  • Offer Napoli Pizzas (the authentic Pizzas from Naples).
  • Modify your Suppliers so you offer the best Italian Products.

 

Process

In order to Guarantee that your Pizzas are always Perfect, you’ll:

  • You’ll make a Guide with all the Instructions to prepare each Pizza.
  • You will keep track of the time of each Dough to be optimal.
  • Modify the Time required for the Dough to rise, depending on the Season.

 

People

In the Restaurant, it is you and 2 more People. However, you:

  • Ensure that everybody Understands and Follows the Pizza-Preparation guideline.
  • Designate one of you to be the “Quality control” of the Ingredients and Dough.
  • You assign Specific Tasks for each of you to become “Masters” of what you do.

Building a Site - 3P Framework example

 

Now, we’ll imagine that you Build Websites.

  • Professionally.

 

You are doing OK, but you would like to Increase your Earnings.

  • Since there are lots of Competitors, you need a good Reputation.

 

That is why you decided to apply the 3P Framework:

 

Product

In order to Develop the Best Sites, you will:

  • Guarantee + 90 Results in PageSpeed Insights (Website Speed).
  • Include 1 year of Site Maintenance for Free.
  • Study New Designs in order to have always something New to offer.

 

Process

To ensure that your Sites maintain a high quality Standard, you:

  • Carry out interviews with each Client to know exactly what they need.
  • Hire a Professional Web Programmer to code what you’re not good at.
  • Involve your Clients in the Site Design so that the Modifications are minimal.

 

People

It is you and the Professionals you hire to outsource certain things. Then, You:

  • Establish a fluid Communication channel to Increase the Flexibility.
  • You will only Hire the best Professionals, even if your Margins drop a bit.
  • You will adopt a Goal-Oriented work philosophy with strict Deadlines.

Handmade Jewelry - 3P Framework example

 

Finally, we’ll imagine that you create Handmade Jewelry.

  • And you sell it on-line.

 

Again, you have a few clients, but you want to Boost your Business.

  • Improving your Brand reputation.

 

That is why you decided to apply the 3P Framework:

 

Product

In order to Develop the Best Jewelry Products, you decide to:

  • Offer New Designs nobody has, rather that simply copying current Trends.
  • Use the best Precious Metals in the Market, and let your Clients know.
  • Buy New Machines (for Polishing, Welding, etc) to Improve your Products.

 

Process

To ensure that your Products Comply with the best Standards, you will:

  • Create a Step-by-Step Guide for Creating each Product.
  • Track each product sold with a Code in case there are Issues.
  • Study how you can Reduce waste as it is Expensive (Lean approach).

 

People

Since it is only you and your Suppliers you will focus on your own Skills. You’ll:

  • Establish periodical meetings to check New Materials.
  • Analyze what the Market Trends are, in order to be Informed.
  • Study New Ways of Developing Products.

Summarizing

The 3P Framework is a Method that helps Companies build Successful Business Models.

 

The 3 Factors proposed are:

  1. Product: Focus on Developing a Good Product that covers a Real Market Need.
  2. Process: The Manufacturing Process should be Solid and Stable.
  3. People: The Company must have a Management System that ensures excellence.

 

When applied to Lean Manufacturing, the 3P Framework suggests to:

  • Create a Limited and Homogeneous Product Catalog.
  • Optimize Manufacturing Processes frequently.
  • Apply the same Principle to Management and Employees.

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