PRODUCTION PLAN

Production Schedule

Kagumpao is an unique snack that has provides an epic crunch when the

customers eats it. With these given situation it will increase the buying confidence of the

customers to buy such unique and delicious snack. The main target market are the

tourists who visits the city who often buy specialties offered by the place they are visiting.

Part of the target market are also the children to young adult that often buys sweet treats.

Since the location of the business will be inside inside the school then there are

many children and teens that will be interested in buying and possibly like our home

made sweet treat.

The total number of goods to be produced is 150 pieces of Kagumpao treats within

the three day business exposition. To test out the demand for each product, only a

number of each flavors will be released in order to find out which flavors should have he

most pieces. With these number of goods, we categorized it into different flavors such as,

30 pieces of plain chocolate flavored, 30 pieces of milk chocolate flavored, 30 pieces of

mixed chocolate flavored, 30 pieces of strawberry flavored and 30 pieces of ube flavored

snack bar. The production process of these snack bar was estimated to be 40 minutes to

1 hour by batch of 40 pieces.

Production Process

1. Prepare all the necessary ingredients

2. Prepare a double boil in the stove

3. Melt chocolate

4. Mix crisped rice with the melted chocolate mixture

5. Mold the mixture into a snack bar size.

6. Let the bar cool without putting it in a freezer or chiller

7. Put the finished snack bar to its packaging.

Note that the same process will be done with other flavors, the only difference is a step

will be added in making the ube and strawberry flavored bars. The step will be after

melting the white chocolate, the flavoring and coloring must be added before adding the

crisped rice.

Processing Plant and Equipment

The location of the production process will be on the house of one of the owners

of the business, which is located on Cabantan Street Cebu City. Since the product

involves the use of baking tools then it is important to have these tools completely to

which the production area of one of he owners can easily provide.. The availability of the

equipment needed on the process are all present and very useful.
 The tools used in the production process are the following:

• Mixing Bowl- is a deep bowl that is particularly well suited for mixing

ingredients together in.

• Spatula- an implement with a broad, flat, blunt blade, used for mixing and

spreading things, especially in cooking and painting.

• Knife- is a tool with a cutting edge or blade attached to a handle.

• Baking Pan- is a flat, rectangular metal pan used in placing and forming

the snack bar.

• Whisk- is a cooking utensil which can be used to blend ingredients smooth

or to incorporate air into a mixture

• Big Spoon- is a utensil consisting of a small shallow bowl oval or round, at

the end of a handle.

• Stove- an equipment used to heat up and boil the water in order to melt

the chocolate

• Cookie Cutter- a utensil used to shape the bar proportionately

• Heat Sealer – an equipment used to seal the product to its packaging

Sources of Materials

All the sources of materials are all from Ong Kin King Baking Company located on

Harrison Place, Urgello Street, Osmena Blvd, Cebu City. Ong Kin King is a 15-minute

drive from Jy Square, Lahug. Their raw materials offered were all affordable and

reasonable and has good quality. All the necessary ingredients needed to the production

was all found in this store.

 Another source of materials that the business have is the Caro and Marie baking

shop which is located at APM, in front of SM City Cebu. Their staff is all friendly and

accommodating. They answered questions and provided recommendations. They offer

a large variety of baking essentials from baking tools down to baking ingredients with fair

prices. Both sources of materials are good suppliers chosen by the business.

Production Cost

The production costs involves all the necessary costing in producing the proposed

product. Shown in Table 2 are the specific costs of each direct materials needed in the

production process.

Table 2

Production Cost
Direct Material Cost

Crisped Rice (2kg) Php540

Chocolate Bar (1kg) Php250

White Chocolate Bars (1kg) Php200
Strawberry Flavoring Php40
Ube Flavoring Php40
Food Coloring Php50
Total cost of direct Php1120
material
Packaging Cost
Plastic (1 roll) Php90
Bondpaper Php20
Total packaging cost Php110
Total Production Cost Php1230
 As shown in table 2, the total production cost for the product is 1,230 pesos. These

already include the complete materials needed in producing the product.