What is the purpose of the Standard Operating Procedures (SOP)?

The purpose of the Standard Operating Procedures (SOP) is primarily to establish uniformity in business practices within an organization. This means that the SOP provides a framework that ensures all employees follow consistent procedures when performing tasks, which is crucial for maintaining quality, efficiency, and compliance across various operations. Having uniform procedures helps in standardizing practices, which can ultimately lead to more predictable and reliable outcomes in the organization's work.

While training manuals for new employees and documentation of regulatory requirements can be important, these functions are part of a broader alignment with organizational practices that the SOP encapsulates. Optimizing financial reporting, though vital, is not the central focus of SOPs but rather a potential benefit of having standardized and orderly practices in place. Therefore, the establishment of uniform practices is a foundational role played by SOPs in ensuring that all actions within the organization are aligned and consistent.