Training, expertise and operational manual

The training

Franchise is, by definition, a commercial formula for which the law provides a expertise transfer from the franchisor to the franchisee too, whereby expertise is defined as “the patrimony of not patented practical knowledge derived from experiences and  tests made by the franchisor, patrimony that is secret, substantial and identified ” (Law 129/2004).

The franchisor gives the franchisee the so-called operational manual containing all the necessary expertise to carry out the affiliate activities. The faster the affiliate will be enabled to work well, the greater the guarantees of income and propaganda for him, but also for the network.

The expertise
Who enters a franchising network’s store should not perceive any difference between the direct store and the affiliated one. Those who affiliate to a chain, use the franchisor’s brand, products, furniture, network management tools, which will endorse for the conduct of the business, that knowledge and methods patrimony that the franchisor has developed during the franchise’s life. Expertise is defined as “the non patented practical knowledge deriving from experiences and tests made by the franchisor, patrimony that is secret, substantial and identified ” (Law 129/2004). The expertise, then, is a complex of knowledge, result of an experience in the field by the franchisor. Once submitted, this “know how” becomes a permanent patrimony at disposal of the franchisee, who will maintain the secrecy. Among the franchisor’s duties, according to the 2004 Act, there is also to deliver to the potential franchisee, at least 30 days before the signing, the complete copy of the contract to be signed accompanied by certain documents, including the summary of the features of the business considered in the franchise.

The operational manual

In the franchise, the operational manual is the tool, in which all the detailed pieces of information for the working of the activity are collected. Align the two things is simplistic because the expertise is a whole of knowledge, whose summary is the operational manual. Expertise and operational manual can change of volume during the life of the sign. Franchisees themselves, during the activity can give a contribution, which makes them the holders of added value. The more the network grows, the wider becomes the knowledge that completes it. This makes the expertise and the operational manual, elements that grow together with the same network. The operational manual contains the information regarding the franchise’s management and the technical procedures for the production of goods and services by the franchisee. Since it is the instrument at franchisor’s disposal for the expertise transfer, it is necessary that the manual is written clearly.