FS Gr 2

CHAPTER I
EXECUTIVE SUMMARY

Filipino palate is hard to satisfy as it can easily identify what tastes good and what
tastes better. In various homes, Filipinos include sauces to go with their dishes, that even the
simplest soy sauce has become among the top condiments to be a part of almost every meal.
As new foods are added to the recipe books published either in the internet, printed and sold
in book shops, or even the hand-me-down recipes of different generations there is always a
sauce you can find in the table as an addition to the main course to amplify the tastes.
As the number of street food vendors and local restaurants progresses, the demand for
the savory condiment increases as well. The production and demand of siomai, tempura,
crispy pata, fried chicken and fish among many others contribute to the idea of creating a
sauce that suits the diversity of any cuisine. Despite the unanticipated issues arise in the
country, Filipinos’ cravings are insuppressible.
The significant presence of buyers and restaurant goers in the region made the
creation of chili garlic sauce possible and the organization’s goals achievable. It provides
health benefits towards the people as it contains home-grown ingredients mainly organic and
easily produced.
The company is determined to reach every home in the region as one of the top
condiment brands ensuring its quality and superb service while abiding the organization’s
health, security and safety protocols believing it will reach its vision.

MISSION
It is our mission to ensure the continued success to our customers, employees, and
communities by improving superior chili garlic sauces.
VISION
It is our vision to be one of the premier manufacturers and suppliers of innovative
chili garlic sauces that contribute to an affordable sauce in the province and neighboring
regions.

SHORT TERM OBJECTIVE

 To maintain good product and service qualities.
 To offer affordable prices of the different varieties produced to the customers.
 To gain numerous customers to yield high profit in a year.
LONG TERM OBJECTIVE
 To be renowned as the best sauce in the local market.
 Aiming to increase profit and providing the community with employment.
 Aiming to be the number one chili garlic sauce seller and distributor in the entire
province of Zamboanga del Sur and its neighboring regions.

VALUES
Quality. We ensure the quality of our products to meet the customers’ demands at an
affordable price.
Consistency. We assure the consistency with our products because people know the worth of
what they buy.
Passion. We work with passion as we involve everyone with the products and the people we
work with to be dedicated in creating the best sauce.
Innovation. We innovate and strive to improve the products because the customers’ tastes
change constantly.
Trust. We trust the people we work with that they are willing to invest the time and effort to
provide customer satisfaction.
Respect. We respect the difference and individuality of those we work with; from their
culture, ideas, opinions and capability.

A. NAME OF THE PROJECT

Inato is a Visayan word which means “ours”, “our own” or more commonly termed as
“homemade”. The product is the brainchild of nine BSBA students of Blancia College
Foundation, Inc. They used to come together to eat a variety of Filipino street foods but could
not find the best sauce that goes with any Filipino dish or snacks. The Filipino palate is
known to crave for chili and spicy meal and snack. The group decided to create a homemade
sauce suitable for different kinds of food served in tables.

B. DESCRIPTION OF THE INDUSTRY

The manufacturing industry is the production of goods through the use of labor,
machines, tools and raw materials. The project proposes to manufacture a condiment that
may be used in household and street food vendors branded as “INATO CHILI GARLIC
SAUCE”.

C. DESCRIPTION OF THE PROJECT

The study is about the feasibility of the “INATO CHILI GARLIC SAUCE”. We make
this product proposal for the purpose of serving our valued customers with a new product
proposal that is healthy and satisfying not only for adult but also for the young ones.
 D. LOCATION OF THE PROJECT
We have come up with the idea of choosing Barangay Maloloy-on, Molave Zamboanga
del Sur. We have chosen this location because of its accessibility to the market and the
density of semi-urban population.

E. HIGHLIGHT OF MAJOR ASSUMPTION

 If the main supplier increases their price, we will have other suppliers that can be
bought through online order platforms like Shopee or Lazada. If the price still
increases, we will be the one to produce the mason jar by doing recycling.
 We will not only be choosing college graduate applicants but also high school
graduates, because we want to give opportunities to them and this is a big help for
the municipality of Molave, Zamboanga del Sur.
 Our shop will operate from Monday to Friday only because respect different
religious beliefs as well as quality time to be spent with family.
 The plant will always follow the government regulations with regards to sanitation
and fire inspection, business permit and taxes.
 After 5 years if the production and sales increase the management will offer free
delivery to reach out to more customers.
 To ensure the safety of the plant we have the security and we will install CCTV
cameras.
 Expense on labor cost remain the same for the first 3 years then due to increase of
production and sales it is necessary to hire more staff to maintain quality and fast
service.

F. SUMMARY OF FINDINGS AND CONCLUSION

The market projection of this business is based on the surveys that are conducted and
other related information gathered within the selected barangays of Molave
Zamboanga del Sur and nearby areas. Projection of demand, supply, and sales for the
first three years of operation is based on the different factors such as market
acceptability, target population and population growth, capacity to supply, the
demand of the product and the likes.

 MARKET FEASIBILITY
The focus of this study is to produce chili garlic sauce. The product is intended by
sensory evaluation using effective test or consumer rating. The panelists of the sensory
evaluation were the teaching staffs and some students of Blancia College Foundation, Inc.,
and a number of residents in municipality of Molave. A total of 100 untrained panelists
evaluated the chili garlic sauce. Samples were given to them as well as the questionnaire to
be answered to rate the products.
 The data gathered from the distribution were tallied and being analyzed in order to
determine the target feasibility of the product. This also covered factors affecting the study
such as the products’ features, packaging, promotion and the channel distribution from the
producers to consumers and retailers. The price of the product is determined through cost-
analysis. The variable, fixed cost and percent markup were considered for the pricing of the
proposed products.

 TECHNICAL FEASIBILITY
This aspect includes the product, the manufacturing process and the raw materials.
The raw materials are directly purchased from suppliers.
The manufacturing process is comprised of three different parts; the acquisition
process, production process and the packaging process. Production schedule was discussed
briefly; the table representing the production for five years was included as well. Machineries
and equipment were chosen by the proponents according to its durability and efficiency in
functioning for five straight days.
The direct and indirect materials needed in the study were also included; these
materials will ensure the quality and safety of the products during production to distribution.
Plant building construction and site as well as the utilities were discussed to obtain the
needed capital in starting up a business.
Location of the site, the size and layout were decided by the proponents, access to
supplier and potential market were considered.

 MANAGEMENT FEASIBILITY
Management feasibility includes the design-dependent parameters such as reliability,
maintainability, sustainability, usability, disposability, supportability, affordability, etc. the
form of ownership, capitalization, organizational structure, job description, benefits, wages or
compensation and legal requirements are included in this study.
For the form of ownership chosen by the proponents, partnership form was adopted.
Capital requirements needed by each proponent was included in the study, this capital was
acquired by self-funding.
The organizational structure was composed of upper and lower positions. Job
descriptions were also discussed.
For compensation and benefits, the proponents will follow the labor code of the
Philippines; included in the law are the monthly salary of the hired personnel, benefits and
the right working hours of employees.
Organizational policies for management and workers were also stated in this study,
legal requirement for partnership from business were briefly tackled.
  FINANCIAL FEASIBILITY
This consist of initial capital, product cost, profitability and capital recovery. All the
computations were projected for five years starting from 2021to 2025.
The cost of the equipment, supplies, utilities were based on research through internet
and local canvas in public markets and other authorized stores. Final assumptions of the
company were made as part of the computation in assessing the financial feasibility of the
company. The initial capital of the partnership was based on the total project cost of the
company for two months.
The financial statement of the company was computed to assess the projected income
statement and cash flows. Financial ratios were also measured in evaluating the strength of
the business.

 SOCIO-ECONOMIC FEASIBILITY
The business would provide benefits to the people living in Molave due to the fact
that the business will earn money, and therefore the profit generated will add up to the flow
of income. The business would also acquire the mandatory licenses and permits to legally
conduct the business. The owners will pay the proper and necessary taxes to the government.
The business will perform its dealings in a just and honorable manner.

 GENERAL CONCLUSION
The feasibility study indicates that there is an opportunity of the INATO CHILI
GARLIC SAUCE in the market. For this time, Molave, Zamboanga del Sur does not
produce enough chili garlic sauce to sustain the needs for a condiment in numerous
households, local restaurants as well as diners within the town and neighboring areas.
The size of the operation was adjusted according to the labor productivity of the chili
garlic sauce. The number of the employees has been managed and adjusted according to the
number of productions required for a specific period.