Final Papers

A Feasibility Study in Manufacturing of Foldable Griller with Stove
ALCARAZ, Jonathan L.
ALVIAR, Dannico A.
DEL CASTILLO, Justine F.
ROBIS, Dave E.
An Undergraduate Feasibility Study Presented to the Faculty of the Department of Engineering

Of the
SAN PEDRO COLLEGE OF BUSINESS ADMINISTRATION
In Partial Fulfilment of the Requirement of the Degree
Bachelor of Science in Industrial Engineering
San Pedro City, Laguna

December 2021
APPROVAL SHEET
This Study Entitled
A FEASIBILITY STUDY IN MANUFACTURING FOLDABLE

GRILLER WITH STOVE
Prepared and Submitted By:
ALCARA
Z,
Jonathan
L.
ALVIAR,
Dannico A.
DEL
CASTIL
LO,
Justine F.
ROBIS,
Dave E.
In partial fulfillment of the requirements for the degree BACHELOR OF

SCIENCE IN INDUSTRIAL ENGINEERING has been examined and
is recommended for acceptance and approval for oral examination on
December 2021.
RODOLFO L. DE GUZMAN
Adviser
PANEL OF EXAMINERS
Approved by the panel on oral examination with grade of %

Panelist Panelist
Accepted and approved in partial fulfillment of the requirements for the degree
BACHELOR OF SCIENCE IN INDUSTRIAL ENGINEERING.
BENJAMIN S. REYES
Dean of College
CERTIFICATION OF ORIGINALITY
We certify that our Feasibility Study entitled "A

Feasibility Study in Manufacturing Foldable Griller with
Stove" in partial fulfillment of the requirements for the Degree
Bachelor of Science in Industrial Engineering presented to the
faculty of the Department of Engineering of the San Pedro
College of Business Administration in the First Semester Year
2021-2022 is our own and is our original work except as
specified in the acknowledgement and in reference.
Any conclusion, results or recommendation taken from

the other existing works or studies are used nearly as basis or
reference for this study. No part of this research is plagiarized
from other studies intentionally or not except were properly
acknowledge in the study.
ALCAR
AZ,
JONAT
HAN L.
ALVIAR
DANNIC
O A.
DEL
CASTIL
LO,
JUSTIN
E F.
ROBIS,
DAVE E.
SAN
PEDRO
CITY,
LAGUN
A AY.
2021-
2022
ACKNOWLEDGEMENT
Foremost, we would like to offer this endeavor to our

Almighty God to the wisdom He bestowed upon us, the strength,
peace of mind, good health in order to finish this study.
We, the researchers would also want to extend our

deepest gratitude to our professor, ENGR. Rodolfo L. De
Guzman for guiding and helping our group to improve our
product. He has given us the chance to work together to bring
the best in us and to apply all the methods and ideas we have
learned from him to finish the said study.
We would also like to thank our parents who support us

ever since this study started. They have given us their love,
patience, financial and moral support and undoubtedly stays at our
side at all times. We are much thankful to Estrelita Alcaraz and
Vera Lynn Endico for the unwavering support and motivation to
our papers and Mr. Garry Nambio for helping us with our product
until the end. To all our friends, classmates, relative who support
us and encourage us, we would like to express our deepest
gratitude. This thesis becomes a reality with the kind support and
help of many individuals. All the hardship, efforts and time we
spend for this study are all paid off.
Thank you. To God be all the Glory.
Al
c
a
r
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,
J
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a
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a
n
L
.
A
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v
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,
D
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A
.
Del Castillo, Justine F.
Robis, Dave E.
TABLE OF
CONTENTS
APPROVAL SHEET..............................................................................................
CERTIFICATION OF ORIGINALITY..............................................................
ACKNOWLEGMENT.........................................................................................
TABLE OF CONTENTS......................................................................................
LIST OF TABLES................................................................................................
LIST OF FIGURES.............................................................................................
Chapter 1: Summary of the Study........................................................................
Name of the Firm.....................................................................................................
Mission.....................................................................................................................
Vision.......................................................................................................................
Location....................................................................................................................
Brief Description of the Study.................................................................................
Objectives of the Study............................................................................................
Project Summary Market Feasibility.......................................................................
Management Feasibility...........................................................................................
Technical Feasibility................................................................................................
Financial Feasibility.................................................................................................
Socio-Economic Feasibility.....................................................................................
Chapter 2: Background of the Study...................................................................
Objectives of the Study............................................................................................
Marketing Aspect.....................................................................................................
Technical Aspect......................................................................................................
Management Aspect.................................................................................................
Financial Aspect.......................................................................................................
Socio-Economic Aspect...........................................................................................
Definition of Terms................................................................................................
Scope and Limitation of the Study.........................................................................
iv
Chapter 3: Marketing Study...............................................................................
Industrial Profile and History.................................................................................
Objectives of the Study..........................................................................................
Methodology..........................................................................................................
Research Instrument...............................................................................................
Sample Size............................................................................................................
Population..............................................................................................................
Survey Results:.......................................................................................................
Demand..................................................................................................................
Annual Demand for the Past Year.........................................................................
Projected Demand..................................................................................................
Supply....................................................................................................................
Projected Supply....................................................................................................
Demand and Supply Gap Analysis........................................................................
Projected Sales and Market Shares........................................................................
Marketing Strategies and Program.........................................................................
Product Strategy.....................................................................................................
Name and Image of the Product.............................................................................
Pricing Strategy......................................................................................................
Promotions/Advertising Strategy...........................................................................
Placement Strategy.................................................................................................
Chapter 4: Technical Study.................................................................................
Description of the Product.....................................................................................
Features..................................................................................................................
Machinery and Equipment.....................................................................................
Production Equipment............................................................................................
Personal Protective Equipment..............................................................................
Furniture and Fixtures............................................................................................
v
Other Supplies........................................................................................................
Ventilation..............................................................................................................
Office Supplies.......................................................................................................
Production Supplies...............................................................................................
Packaging Materials...............................................................................................
Manufacturing Process...........................................................................................
Description of the Process......................................................................................
Program Evaluation and Review Techniques........................................................
Standard Time........................................................................................................
Standard Output.....................................................................................................
Plant Capacity........................................................................................................
Production Schedule...............................................................................................
Direct Labor Requirements....................................................................................
Plant Location........................................................................................................
Plant Layout...........................................................................................................
Utility.....................................................................................................................
Waste Disposal.......................................................................................................
Chapter 5: Management Study...........................................................................
Form of Business Ownership.................................................................................
Capitalization.........................................................................................................
Organizational Structure........................................................................................
Manpower Job Description Requirements.............................................................
General Employee Requirements...........................................................................
Organizational Policy.............................................................................................
Employee’s Conduct..............................................................................................
Office Hours and Attendance Policy......................................................................
Administrative Policy.............................................................................................
SWOT ANALYSIS................................................................................................
vi
Employee Compensation.......................................................................................
Overtime Pay Rates................................................................................................
13th Month Pay......................................................................................................
Employee Benefits.................................................................................................
Legal Requirements...............................................................................................
Chapter 6: Financial Study.................................................................................
Major Financial Assumptions................................................................................
Project Cost............................................................................................................
Source of Financing...............................................................................................
Raw Materials Inventory........................................................................................
Accounts Receivable..............................................................................................
Supplies Expense...................................................................................................
Property, Plant, and Equipment...........................................................................
Accounts Payable.................................................................................................
Sales.....................................................................................................................
Raw Materials Used.............................................................................................
Direct Labor Cost.................................................................................................
Statement of Cost of Goods Manufactured..........................................................
Statement of Cost of Sales...................................................................................
Salaries and Wages..............................................................................................
Utilities Expense..................................................................................................
Depreciation.........................................................................................................
Repair and Maintenance.......................................................................................
Income Statement.................................................................................................
Statement of Changes in Equity...........................................................................
Statement of Financial Position...........................................................................
Statement of Cash Flows......................................................................................
Product Costing....................................................................................................
vii
Chapter 7: Socio-Economic Study.......................................................................
Objectives of the Study........................................................................................
Contribution to the Philippine Economy..............................................................
Employment Generation......................................................................................
Social Desirability................................................................................................
People...................................................................................................................
References...........................................................................................................
APPENDIX.........................................................................................................
GRAMMARIAN CERTIFICATE...................................................................
viii
LIST OF
TABLES
Table 1. Population................................................................................................
Table 2. Annual Demand of Griller.......................................................................
Table 3. Number of Projected Consumer..............................................................
Table 4. Projected Demand....................................................................................
Table 5. Annual Supply..........................................................................................
Table 6. Projected Supply......................................................................................
Table 7. Gap between Demand and Supply...........................................................
Table 8. Projected Sales.........................................................................................
Table 9. Pricing Strategy........................................................................................
Table 10. Machineries............................................................................................
Table 11. Production Equipment............................................................................
Table 12. PPEs.......................................................................................................
Table 13. Furnitures and Fixtures..........................................................................
Table 14. Other Supplies........................................................................................
Table 15. Ventilation..............................................................................................
Table 16. Office Supplies.......................................................................................
Table 18. Raw Materials........................................................................................
Table 19. Packaging Materials...............................................................................
Table 20. Standard Time-Traditional Griller.........................................................
Table 21. Standard Time-Korean Griller...............................................................
Table 22. Standard Time-Stove..............................................................................
Table 23. Standard Time-Charcoal Drawer & Oil Catcher....................................
Table 24. Standard Time-Ash Drawer...................................................................
Table 25. Standard Time-Stand..............................................................................
Table 26. Standard Time-Handles..........................................................................
Table 27. Standard Time-Assembly.......................................................................
Table 28. PERT Traditional Griller.......................................................................
Table 29. PERT Korean Griller.............................................................................
ix
Table 30. PERT Stove............................................................................................
Table 31. PERT Charcoal Drawer & Oil Catcher..................................................
Table 32. PERT Ash Drawer.................................................................................
Table 33. PERT Stand............................................................................................
Table 34. PERT Handles........................................................................................
Table 35. PERT Assembly.....................................................................................
Table 36. Standard Output.....................................................................................
Table 37. SWOT Analysis.....................................................................................
Table 38. Salary.....................................................................................................
Table 39. Legal Requirements...............................................................................
Table 40. Project Cost............................................................................................
Table 41. Partner’s Capital Share...........................................................................
Table 42. Raw Materials Inventory........................................................................
Table 43. Accounts Receivable..............................................................................
Table 44. Supplies Expense...................................................................................
Table 45. Property, Plant, Equipment..................................................................
Table 46. Accounts Payable.................................................................................
Table 47. Sales.....................................................................................................
Table 48. Raw Materials Used.............................................................................
Table 49. Direct Labor Cost.................................................................................
Table 50. Statement of Cost of Goods Manufactured..........................................
Table 51. Statement of Cost of Sales...................................................................
Table 52. Salaries and Wages..............................................................................
Table 53. Utilities Expense..................................................................................
Table 54. Depreciation.........................................................................................
Table 55. Repair and Maintenance.......................................................................
Table 56. Income Statement.................................................................................
Table 57. Statement of Changes in Equity...........................................................
Table 58. Statement of Financial Position...........................................................
x
Table 59. Statement of Cash Flows......................................................................
Table 60. Product Costing....................................................................................
xi
LIST OF
FIGURES
Figure 1. Company Logo.........................................................................................
Figure 2. Vicinity Map of ADAR Manufacturing...................................................
Figure 3. Consumption of Griller...........................................................................
Figure 4. Type of Griller........................................................................................
Figure 5. Consumption of the Product...................................................................
Figure 6. Familiarization of Korean Grill..............................................................
Figure 7. Product Feature Valuability....................................................................
Figure 8. Product Acceptability.............................................................................
Figure 9. Factors Consider in buying the Product..................................................
Figure 10. Location of the Market.........................................................................
Figure 11. Form of Advertisment...........................................................................
Figure 12. Recommendation of the Product..........................................................
Table 13. Foldable Griller with Stove....................................................................
Table 14. Packaging...............................................................................................
Table 15. Brand Logo............................................................................................
Table 16. Company Logo.......................................................................................
Figure 17. Foladable Griller with Stove CAD Project...........................................
Figure 18. Flyers....................................................................................................
Figure 19. Online Advertisement...........................................................................
Figure 20. Features and Parts of Foldable Griller with Stove................................
Figure 21. Process Flow Chart...............................................................................
Figure 21. Vicinity Map of ADAR Manufacturing...............................................
Figure 22. Plant Layout..........................................................................................
Figure 23. Plant Layout Legend.............................................................................
Figfure 24. Organizational Chart...........................................................................
Figure 25. Hiring Process.......................................................................................
xii
A Feasibility Study on Manufacturing of
Foldable Griller with Stove
1
Chapter 1: Summary of the Study
Figure 1. Company Logo
Name of the Firm
ADAR Manufacturing is a newly established company dedicated and
specialized in manufacturing a highly innovative and quality griller and
stove in one. The name of the company was derived from the proponents’
surnames first letter, "A" stands for Alcaraz, "D" for Del Castillo, “A” for
Alviar, and "R" for Robis.
Mission
ADAR Manufacturing is aiming to build, develop and innovate quality
products at a competitive price that can provide benefit to customers and to
strive with utmost integrity to achieve an excellent customer satisfaction
Vision
The vision of ADAR Manufacturing is to be a premier manufacturer
and one of the most prominent manufacturing groups in the country of

griller by providing an excellent quality product to consumers of the San
Pedro City, Laguna.
SPCBA RESEARCH CENTER

2
Location
Figure 2. Vicinity Map of ADAR Manufacturing
The company covers an area of 1,224 square meters which is
located at WH6 Zara Compound, Magsaysay Road, Brgy. San Antonio,
San Pedro City, Laguna. The site of the company was selected due to its
geographical location and its accessibility to different suppliers. Other
factors are the following:
1. In terms of delivering raw materials and other supplies, the location
has a wide road and is very convenient to various suppliers.
2. The location is close to a major road or highway. In that regard, it is
well connected to other municipalities such as Binan, Muntinlupa, and Sta.
Rosa City, as well as other nearby cities;
3. Furthermore, the location is convenient for the company's

prospective product distributors, which include Shopwise Pacita, Savemore San
Pedro, and Robinsons South Galleria.

3
Brief Description of the Study
The grill is usually used by Filipinos when someone wants to cook with
charcoal, it is an extra tool or equipment when there is no use for cooking
with gas. The foldable grillers with stove or further improved and made
grilling easier. It has three types of cooking that use charcoal, the first has a
stove that can be cooked using pots, pans and others commonly used in
ordinary cooking. Second is the Korean grill. Filipinos now love the style of
grilling of Koreans. It is called samgyupsal.
This grill pan is used to cook small meats while eating. The third is the
traditional grill, ordinary grilling of the Filipinos. Each grill is a type of box
measuring 17 inches long and 12 inches wide and 5 inches high. It also has a
box inside that will hold charcoal and another box that will drop the ashes
from the charcoal. When it comes to the back of the box, it has railings for air
to enter and not to lose the burning charcoal. The foldable grillers with stove
are all made of stainless steel to prevent rusting because it is about food the
cooking needs to be clean. This product is made for people who love grilling
and samgyupsal that can be taken anywhere. It is small, folding and easy to
carry and it also does not take up space in the area where it will be used.
4
Objectives of the Study:
The objective of this study is to determine and identify the feasibility
of Foldable Grillers with Stove and further recommend the product for
commercial use. There are generally five
(5) major components of this study, namely: Marketing, Technical,
Management, Financial, and Socio-economic desirability.
m
m
b
i
The market feasibility describes the current and future potential
competitors, sales, current and prospective buyers. This is an important
aspect to identify whether there is enough demand for the proposed product.
Based on the survey conducted by the researchers, ordinary griller and
electric griller are considered as the nearest competitors of the foldable
grillers with stove. According to the researchers' survey, the traditional
griller is the closest competitor to the Foldable Griller with Stove. Foldable
Griller with Stove has a market acceptability of 34.1 %, which means that
136 out of 398 respondents are willing to buy it. Due to the high demand for
high-quality grillers in the market, it is a marketable product.
Management Feasibility
A well-designed management system will ensure the long-term
success of a new business. The right business form is decided by this
characteristic, which the researchers determined to be a general partnership
organization. Because of the company's location in San Pedro City, Laguna,
the company will establish a legal corporation to recruit and train

5
employees, and the provincial compensation rate will be used.
ADAR Manufacturing is a partnership in which the earnings and losses
of the company are shared among the partners. Each of the four (4) partners
chose to split the start-up funds evenly between them. To meet the company's
needs, the corporation formed various divisions such as Production,
Accounting, Marketing, and Production/Manufacturing.
Employees will run the company and work Monday through Friday from 8:00 a.m.
to 5:00
p.m. In addition, the company must comply with all local and regulatory
regulations.
Technical Feasibility
Having an organized process of manufacturing is a priority for most
companies especially if the company is a newly established. To produce a
quality product machines such as Laser Cutting Machine, Bending Machine,
Welding Machine, Grinder Machine are essential to manufacture the
foldable grillers with stove and its mechanisms.
The base of the proposed product is made up of stainless metal sheet,
most of the components of the product are made up of stainless metal sheet
that will avoid the product from rusting and maintain the durability and
quality over the years.

Financial Feasibility
ADAR Manufacturing must have strong financial backing and be
able to finance its operations at a fair cost. Because the four (4) partners
will each contribute 25%, they may both invest in cash using their own
funds.
The researchers determine the financial needs of the company by

determining the

6
required starting capital, determining the cost and values of manufacturing
the product and running the business, and examining the capabilities and
potential of the company.
ADAR Manufacturing's profitability is measured by financial analysis
and the evaluation of the return on invested capital. These calculations are
based on marketing, management, and technological aspects, as well as
potential profitability stated in pesos. Financial reports such as an income
statement, a balance sheet, and a cash flow statement are required by the
company.
Socio-Economic Feasibility
The study's socioeconomic component focuses on the company's
economic and environmental participation activities. Because ADAR
Manufacturing is a new firm, it will help the local community by giving
financial assistance for unemployed individuals to find work. In addition, the
corporation will assist the government by paying annual taxes for government
finances.
7
Chapter 2: Background of the Study
Grilling is a form of cooking that involves dry heat applied to the surface of
the food.
Grilling usually involves a significant amount of direct heat and operates with
the use of charcoal. People use griller in various gatherings like a family
reunion, outing, camping, and other activities. Nowadays, a lot of people are
patronizing grilled foods, particularly Korean grill foods. This griller is
commonly used for those people who like grilling foods wherever you go. This
foldable griller is installed with a stove, Korean grill, and traditional grill,
which operate with charcoal. The product can perform various functions at the
same time as a high possibility. We have presented the design of a foldable
grillers with stove in several ways to be effectively adopted.
In addition, the foldable grillers with stove have drawers for charcoal in
each griller and stove. It is a foldable product where customers can quickly
transfer and move wherever they want. It also has supporting stands to elevate
the product from the ground and a ventilation grill at the back of the drawers
that the smoke can quickly come out. The product used to create with high ease
and speed to produce the product cost-effectively makes the inventory less
expensive. The requirement for developing the portable griller and stove is vital
in using basic tools to perform more. This product can help reduce costs and
improve production and the skill at the required level.

8
The main objective of the study is to determine the feasibility of
manufacturing the Grove in the city of San Pedro, Laguna in terms of
Marketing, Technical, Management, Financial and Socio-Economic Aspect.
Marketing Aspect
 To determine the total number of potential markets
 To formulate and develop strategies in relation to marketing programs
 To identify and forecast the present and future demand of the product
 To determine the acceptability off the product to the customers
 To determine the major factor affecting the demand of the product
Technical Aspect
 To determine the product's functional usability
 To establish standard operating procedures for the product's manufacture.
 To measure and calculate the overall cost and price of the materials,
equipment, and supplies that will be consumed in the production and
office.
 To determine the required capacity, production schedule, number
of shifts per day, and daily working hours.
 To plan the company's location along with the layout of the facility.
 To determine the company's technical support and other supplies.

 To ensure that production waste is properly discharged.

9
Management Aspect
 To provide each employee with an accurate job description
 To establish ADAR Manufacturing's guidelines and standards
 To improve worker production efficiency while complying to the
company's rules and regulations
 To establish unity, participation, and empowerment for all employees
 To maximize the performance of a company
Financial Aspect
 To figure out how much capital you'll need to launch your new business.
 To determine the costs and values associated with manufacturing
the product and operating the business.
 To conduct a financial analysis to determine ADAR Manufacturing's
capabilities and profitability.
 To determine the return on investment (ROI).
Socio-Economic Aspect
 To determine the company's economic engagement activities.
 To determine the company's environmental engagement activity.
 To create a budget contribution to the local economy by paying taxes.
 To offer consumers with a functional design that will allow them to

get the most out of the product.

10
Definition of Terms
Bolt – A bolt is a long metal object which screws into a nut and is used to
fasten things together.
Korean pan – It is a type of grill pan originated at Korean which is non-
greasy and suitable for frying and grilling.
Latches Lock – A latch is a lock on a door which locks automatically when
you shut the door, so that you need a key in order to open it from the outside.
Loose Pin Hinger – A loose pin butt hinge is a door hinge that has a center
pin that can be easily removed from the barrel to separate the hinge.
Metal sheet – Sheet metal is metal formed into thin and flat pieces. It is one
of the fundamental forms used in metalworking and can be cut and bent into
a variety of different shapes.
Shafting – Shafting, also known as ‘Turned Ground and polished’ shafting,
refers to round bars made with fine precision and high-quality steel.
Stainless - resistant to discoloration, discoloration resulting from corrosion;

rust-resistant.
Scope and Limitation of the Study
The scope of this study is to determine the feasibility of Foldable
Grillers with Stove. This feasibility study entitled “Manufacturing of
Foldable Grillers with Stove” is restricted to city of San Pedro, Laguna and
will be based on market, management, technical, financial and socio-

economic aspect. The proponents have limited its scope to three hundred
ninety- eight (398) respondents from different barangays of the city. The
study is conducted from August 2021 up to December 2021

11
Chapter 3: Marketing Study
This study analyses the location considering the huge space available for
future expanding and development, with the additional consideration for the
relief of the transportation of materials, products, and employees with regards
to travel distance. It is also easily reached or approached because it is near the
residents which can ensure high demand rate in the company. With this
strategy, our company can acquire more profits, investments, and can be easily
advertised to the market that can be used for continuous improvement of our
services and products. For future development, the researchers are aiming to be
the first or pioneering manufacturer of Foldable Griller with Stove which will
serve as a benchmark of this new idea.
Industrial Profile and History
The history of grilling begins shortly after the domestication of fire,
some 500,000 years ago. The backyard ritual of grilling as we know it,
though, is much more recent. Until well into the 1940s, grilling mostly
happened at campsites and picnics.
In suburban Chicago, George Stephen, a metalworker by trade and a
tinkerer by habit, had grown frustrated with the flat, open brazier-style grills
common at the time. Once he inherited controlling interest in the Weber Bros.
The beginning of grilling can be traced back to the 17th century when
you look at the Arawak tribe of the Caribbean and South America. These
people used sticks to create a flame over a fire and place the meat on it. They
called this method of cooking Barbacoa. This idea was adopted by conquerors
from Spain, who evolved it until the 18th century when people in

12
southeastern America took up the idea. Pigs spent hours roasting over a fire,
and various sauces and different types of wood were used to give different flavors
to the meat.
Korean BBQ and grill have truly come a long way from its ancient tribal
origins to the point of global popularity that it is enjoying today. Given that
Korean BBQ is close to all of our
hearts, we believe that it just proper that we take a look back at how Korean BBQ,
or at least
the concept behind it, got introduced to the world. Today’s article will
briefly feature the
historical origins of Korean BBQ that you probably haven’t heard before.
ADAR Manufacturing is a newly established company that
manufactures a high quality and innovative equipment designed specifically
for grilling is the Foldable Grillers with Stove. The product can provide
benefit to consumers by griller with many functions such as; traditional
griller, Korean griller and stove, it all works through the use of charcoal. It is
a multi-purpose type of griller where all the components can work and use
simultaneously. The Foldable Grillers with Stove is distributed to the nearest
supermarkets and respective malls in San Pedro City, Laguna area. Online
platforms are the permanent advertising of the company will be utilized
while flyers will be disseminated in San Pedro City, Laguna area for the span
of one (1) year only. The product is made out of stainless metal sheet. The
Grove has three (3) components (2) grillers and (1) stove and each has
drawers for charcoal. The product has three (3) drawers for charcoal with ash
catcher. The two (2) set of the stand is 8 inches tall that support the product
for elevation from the ground and one (1) oil catcher located under the
Korean grill pan.

13
 To determine the total number of potential markets
 To formulate and develop strategies in relation to marketing programs
 To identify and forecast the present and future demand of the product
 To determine the acceptability off the product to the customers
 To determine the major factor affecting the demand of the product
Methodology
The appropriate statistical method was utilized by the researchers to
obtain the relevant data and information for this study on the product’s
feasibility. This chapter goes over what kind of research instrument will be
used, who will be the respondents, and where the study will be done. The target
market, product details, pricing, and promotion plan that are required for this
study have all been determined.
The researchers used surveys to collect the information required to
finish the study. The data collected must be appropriate and sufficient to meet
the research’s aims. The questionnaire will include ten (10) questions for the
respondents to answer. The collected data will be tallied and summarized.
Research Instrument
In this study, the researcher’s primary instrument will be a

questionnaire. It’s a written questionnaire in which respondents react to a 10-
item one-part question that determines the consumers’ wants and needs. The
survey approach is more convenient and easier to use than any other method
that requires a lot of effort to obtain data.

14
Sample Size
The respondents are residents of the City of San Pedro, Laguna. The
researchers determined the sample size of the population through Slovin’s
formula which is used to calculate an appropriate sample size from a
population.
𝑁
Slovin’s Formula 𝑛=
1+(𝑁𝑒2 )
where:
N
=
P
o
p
u
l
a
t
i
o
n
S
i
z
e
S
a
m
p
l
e
S
i
z
e
e=
Margin of Error
(5%) By substituting
the given data,
72,776
𝑛=
1 + 72,776(.05)2
72776
𝑛=
1 + (181.94)
72776
𝑛=
182.94
n = 397.81 or 398 respondents
Therefore, there are 398 households that will come from the
various barangays of city of San Pedro, Laguna as the respondents for
conducting this study

15
Population
Based on the data given by the City Planning and Development
Coordinating Office (CPDCO), there are 72,776 households and 326,001
residents residing in the city of San Pedro, Laguna from different twenty-
seven (27) barangays on the year 2020. The respondents of the study are the
three hundred ninety-eight (398) residents of the city chosen randomly and
pure random sampling is applied.

16
Table 1. Population of San Pedro City, Laguna
Population Households Percentage Respondents

Barangay % 2020
2020 2020
Bagong Silang 5,736 1,235 2.26 9
Calendola 3,797 1,070 1.26 5
Chrysanthemum 12,433 2,335 3.77 15
Cuyab 21,422 4,840 6.03 24
Estrella 8,025 1,668 2.76 11
Fatima 6,491 1,939 2.26 9
G.S.I.S 2,828 653 1.01 4
Landayan 33,235 6,981 9.05 36
Langgam 30,946 6,593 8.54 34
Laram 6,536 1,405 2.26 9
Magsaysay 12,793 2,713 3.27 13
Maharlika 5,580 1,415 3.02 12
Narra 2,297 549 1.26 5
Nueva 4,286 1,117 2.01 8
Pacita 1 22,581 4,556 5.78 23
Pacita 2 11,993 2,858 3.77 15
Poblacion 5,771 1,318 2.26 9
Riverside 3,028 724 1.51 6
Rosario 5,911 1,257 2.26 9
Sampaguita Village 4,941 1,284 1.51 6
San Antonio 59,368 13,746 17.84 71
San Lorenzo Ruiz 5,800 1,141 1.76 7
San Roque 7,161 1,572 1.51 6
San Vicente 27,561 5,821 8.79 35
Santo Nino 3,892 941 1.01 4
United Bayanihan 5,385 1,583 1.76 7
United Better Living 6,204 1,462 1.51 6
Total 326,001 72,776 100 % 398
Source: City Planning and Development Coordinating Office (CPDCO),
San Pedro City Laguna

17
o
f
Figure 3. Consumption of Griller
The figure 3 shows that 71.1% (283 out of 398) of the respondents
are eating grilled food and 28.9% (115 out of 398) of the respondents are not
eating grilled food.

18
Type of Griller
Figure 4. Type of Griller
The figure 4 shows that 34.1% (136 out of 398) respondents are using
standard griller for grilling. 24.4% (97 out of 398) respondents are using
improvised griller. 22.9% (91 out of 398) respondents don’t have griller. 18.6%
(74 out of 398) are using electric griller.

19
Consumption of the Product
Figure 5. Consumption of the Product
The figure 5 shows that 53.2% (212 out of 398) respondents are using
griller twice a month. 39.5% (157 out of 398) respondents are using griller 3 or
more times a month. 7.3% (29 out of 398) respondents are using griller once a
month.
20
Familiarization of Korean Grill
Figure 6. Familiarization of Korean Grill
The figure 6 shows that 94.7% (377 out of 398) of respondents are
familiar with Korean grill, 5.3% (21 out of 398) of respondents are not familiar
Korean grill.
21
Product Feature Valuability
Figure 7. Product Feature Valuability
The figure 7 shows that 39.2 % (156 out of 398) respondents are into all
features of the product. 29.8% (119 out of 398) respondents are into griller.
21.9% (87 out of 398) respondents are into stove. 9.1% (36 out of 398)
respondents are into Korean griller.

22
Acceptability of the Product
Figure 8. Product Acceptability
The figure 8 shows that 91.7% (365 out of 398) of the respondents are
willing to buy the Foldable Griller with Stove and 8.3% (33 out of 398) of the
respondents are not willing.

23
Factors Consider in Buying the Product
Figure 9. Factors Consider in Buying the Product
are considering the product quality. 22.1% (81 out of 365) of the
respondents are considering the functionality of the product. 15% (55 out of
365) of the respondents are considering the size/weight of the product and
14.8% (54 out of 365) of the respondents are considering the conveniency.
24
Location for the Market
Figure 10. Location for the Market
The figure 10 shows that 56% (223 out of 398) of the respondents
want to purchase the product on online/social media shops. 32.7% (130 out
of 398) of the respondents are want to purchase the product on
malls/supermarket. 11.3% (45 out of 398) of the respondents want to
purchase the product on public market.

25
Form of Advertisement
Figure 11. Form of Advertisement
are attracted on online/social media advertisement. 18.6% (74 out of 398) of
the respondents are attracted on television/radio advertisement. 5.8% (23 out
of 398) of the respondents are attracted on newspapers/magazines and 5%
(20 out of 398) of the respondents are attracted on tarpaulin/poster.

26
Recommendation of the Product
Figure 12. Recommendation of the Product
are willing to recommend the Foldable Grillers with Stove and 5.8% (23 out
of 398) of the respondents are not willing.

27
Demand
Demand is the relationship of the price and quantity. It refers to the
quantity of a product, commodity or service that can afford at specified
price. Determining the past and present demand of the market to a certain
product helps in assessing the market effectivity.
Annual Demand for the Past Year
Table 2. Annual Demand of Griller for the Past Years
YEAR DEMAND
2017 9,689
2018 9,808
2019 10,002
2020 10,306
2021 10,411
Source: San Pedro Public Market
Table 3. Number of Projected Consumers in San Pedro City,

Laguna
NO. OF
YEAR PROJECTED CONSUMERS
RESPONDENTS
2021 72,776 66,736
The table above shows the number of projected consumers in San
Pedro City, Laguna. Computation is done based on the respondents who are
using griller. 91.7% answered yes, thus, the number of projected consumers
is determined.

28
Projected Demand
The demand of the product is the customer’s desire and willingness to pay
for the product. Computing the demand is essential for it serves as evidence that
the proposed project is feasible and as assurance of a long-term success
Table 4. Projected Demand for the Next Five Years
ACTUAL YC (COMPUTED
YEAR
DEMAND IN
X X2 XY
DEMAND IN
UNIT (Y) UNIT)
2017 9,689 1 1 9,689
2018 9,808 2 4 19,616
2019 10,002 3 9 30,006
2020 10,306 4 16 41,224
2021 10,411 5 25 52,055
TOTAL 50,216 15 55 152,590
2022 6 10,625.80
2023 7 10,820.00
2024 8 11,014.20
2025 9 11,208.40
2026 10 11,402.60
The table above shows the computed projected demand for the
proposed product within the area of the target market in the succeeding five
(5) years from the present year. This data will be used as basis for
identifying the growth of the market.
*Computed Demand
To get the actual demand, the formula to be used is:
PROJECTED DEMAND = a + bx
29
Using the formula below, the value of a and b will be determined:

(∑𝑥2∗∑𝑦)− (∑𝑥∗∑𝑥𝑦) (n∗∑𝑥𝑦) −
𝒂 = 𝒃=
(∑𝑥∗∑𝑦)
(n∗∑𝑥 2) − (∑x )2 (n∗∑𝑥 2)
2
− (∑𝑥)
(55∗50,216
)− (5∗152,590) − (15∗50,216)
(15∗152,59 (5∗55) − (15)2
0)
=
(5∗55) − (15)2
=
(2,761,88
0) − (762,95
(2,288,8 0) −
50) (753,24
= 0)
(275)−(225)
= (275)−(
225)
4
7 9
3 ,
, 7
0 1
3 0
0
= 5
= 50 0
𝒂. = 9,460.60 𝒃 = 194.20
Therefore,
Y2022 = 9,460.60+ (194.20∗ 6) = 10,625.80
Y2023 = 9,460.60+ (194.20∗ 7) = 10,820.00
Y2024 = 9,460.60+ (194.20∗ 8) = 11,014.20
Y2025 9,460.60+ (194.20∗ 9) = 11,208.40
Y2026 = 9,460.60+ (194.20∗ 10) = 11,402.60
Supply
The quantity of goods and services offered for sale at a particular time or
at one piece. It describes the total amount of a specific good that is available to
customer. It also refers to the amount of product that manufacturers and firms
are willing to sell at given price when all others factors held constant.

30
Table 5. Annual Supply of Griller for Past Years
YEAR SUPPLY
2017 2,207
2018 2,398
2019 2,501
2020 2,677
2021 2,790
Projected Supply
The quantity of goods and services offered for sale at a particular time
or at one piece. It describes the total amount of a specific good that is available
to customer. It also refers to the amount of product that manufacturers and
firms are willing to sell at given price when all others factors held constant.
Table 6. Projected Supply for the Next Five Years
YEAR ACTUAL SUPPLY X XY YC (COMPUTED

X2
IN UNIT (Y) SUPPLY IN
UNIT)
2017 2,207 1 1 2,207
2018 2,398 2 4 4,796
2019 2,501 3 9 7,503
2020 2,677 4 16 10,708
2021 2,790 5 25 13,950
TOTAL 12,573 15 55 39,164
2022 6 2948.10
2023 7 3092.60
2024 8 3237.10
2025 9 3381.60
2026 10 3,526.10
31
* Computed Supply
To get the actual supply, the formula to be used is:
PROJECTED SUPPLY= A+BX
Using the formula below, the

value of a and b will be determined:
(∑𝑥=
𝒂 2∗∑ )− (n∗∑𝑥𝑦)−
𝑦 𝒃=
(∑𝑥∗∑𝑦)
(∑𝑥∗∑𝑥𝑦) (n∗∑𝑥 2)
(n∗ 2
∑𝑥 − (∑𝑥)
2)
−
(∑
𝑥
2)
(55∗12,57
3) − (5∗39,164) − (15∗12,573)
(15∗39,16 (5∗55) − (15)2
4)
=
(5∗55) − (15)2
=
(69
1,5 (195,82
15) 0)−(188,
−(5 595)
87, (275)−(
460
) 225)
=
(275)−(225)
=
1
0 7
4 ,
, 2
0 2
5 5
5
= 5
= 50 0
𝒂. = 2,081.10 𝒃 = 144.50
Therefore,
Y2020 = 2,081.10+ (144.50∗ 6) = 2,948.10
Y2021 = 2,081.10+ (144.50∗ 7) = 3,092.60
Y2022 = 2,081.10+ (144.50∗ 8) = 3,237.10
Y2023 = 2,081.10+ (144.50∗ 9) = 3,381.60
Y2024 = 2,081.10+ (144.50∗ 10) = 3,526.10

32
Demand and Supply Gap Analysis
It is essential to identify the gap between the demand and supply of
the product in the market so as to measure the penetrability of ADAR
Manufacturing once it enters the market circulation. This analysis will be
used to determine the level of sufficiency of the current supply to the
current demand.
Table 7. Gap between the Demand and Supply for the Next Five
Years
MARKET
YEAR PROJECTED PROJECTED UNIT GAP SHARE
DEMAND SUPPLY
(35%)
2022 10,625.80 2948.10 7,677.70 2687.20
2023 10,820.00 3092.60 7,727.40 2704.59
2024 11,014.20 3237.10 7,777.10 2721.99
2025 11,208.40 3381.60 7,826.80 2739.38
2026 11,402.60 3,526.10 7,876.50 2756.78
Projected Sales and Market Shares
The market share of the company is 35% which is from the existing
competition in the market. To get the unit price, 4.5%, a new rebased
series of Philippine Inflation Rate as of April 2021 is used. ADAR’s
projected sales and unit price are determined below:
Table 8. Projected Sales and Market Share
MARKET SHARE PROJECT

YEAR GAP (35%) % UNIT SALES
PRICE
2022 7,677.70 2,687.20 ₱2,915.81 ₱7,835,362.
2023 7,727.40 2,704.59 ₱3,047.03 ₱8,240,956.
2024 7,777.10 2,721.99 ₱3,184.14 ₱8,667,187.
2025 7,826.80 2,739.38 ₱3,327.43 ₱9,115,092.
2026 7,876.50 2,756.78 ₱3,477.16 ₱9,585,756.

33
Marketing Strategies and Program
The marketing strategy will help to define the overall direction and
goals of the marketing study. This strategy will identify how the product
should be delivered to satisfy the customers. The marketing program is
consisted of four (4) P's - product, pricing, promotional, and placement.
ADAR Manufacturing strives to build a great company image that
will lead to client satisfaction and positive feedback. This includes reasonable
pricing, a good promotional and placement strategy that is tailored to the
specific needs of ADAR Manufacturing and its customers.
Product Strategy
A product strategy unifies the organization and keeps employees
focused on what matters most. It also communicates the organization’s
objectives.
Griller exist in a variety of types and materials depending on their use.
The Foldable Griller with Stove is mainly composed of aluminum, stainless
steel and plastic, as the base of the proposed product. Stainless metal sheet has
a high level of durability that contribute to the quality of the product. Stainless
steel is an excellent material for any purpose because of its corrosion resistance.
The most commonly utilized metals are aluminum and stainless.

34
Name and Image of the Product
Company logo is intended to communicate the uniqueness identity
of the product and the company. Logo connects the image a company
wants to represent. ADAR came from the combined initial of the surname
of the proponents which are “A” for Alcaraz, “D” for Del Castillo, “A”
for Alviar and “R” for Robis.
Figure 13. Foldable Grillers with Stove

35
Figure 14. Packaging
Figure 15. Brand Logo

Figure 16. Company Logo

36
Figure 17. Foldable Grillers with Stove CAD project

37
Pricing Strategy
Customers typically desire a reasonably priced products for practical
living. The product will have a high starting price because it is made of pure
stainless metal sheet. The goal of ADAR Manufacturing is to break into
the market at the most affordable price as possible.
Table 9. Pricing Strategy
PRICING STRATEGY
Raw Materials Quantity Price Total Amount

Stainless metal sheet 1 1,100.00 1,100.00
Stainless steel shaft 1 220.00 220.00
Non-stick griller pan 1 180.00 180.00
Bolts and Nuts 4 11.20 44.80
Loose pin hinger 4 8.33 33.32
Latches lock 3 22.50 67.50
Cabin hook 1 72.00 72.00
Box 1 22.00 22.00
Styrofoam corner protector 4 22.88 91.52
SUBTOTAL 1,831.14
Direct labor 171.48
TOTAL UNIT COST 2,002.62
VAT (12%) 240.31
SELLING PRICE - VAT 2,242.93
Inclusive
Mark-up (30%) 672.88
SELLING PRICE 2,915.81
38
Promotions/Advertising Strategy
The objective of production marketing is to improve potential
consumers’ perceptions of the product and thus increase sales. Because
the company is a newcomer to the sector, it will use promotional schemes
to introduce and encourage potential clients to try the product. As a result,
advertising and commercial activities will be designed to address the
market’s ignorance about ADAR Manufacturing’s entry into the business.
The corporation will use various advertising strategies and commercial
ways to deliberately enlighten and promote awareness of what the
company can provide in the market through online advertisement.
Figure 18. Flyers

39
Figure 19. Online Advertisement
Placement Strategy
The company’s manufacturing facility is located at San Pedro City,
Laguna. This implies that it has a geographic distribution and logistical
advantage. Shopwise, Pacita Commercial Center, Robinsons Pacita, and
Robinsons South Galleria are among the places where the product will be
introduced and distributed. Because the facility is located in an area where the
company can readily and comfortably access target consumers, personally
distributing the items to the mentioned channels will not be a problem for the
company.
40
Chapter 4: Technical Study
This chapter looks at the technical components of making a
Foldable Griller with Stove. It consists of identifying manufacturing
processes as well as the materials, machineries, equipment, office, and
production supplies needed to create and convert raw materials into
finished product and deliver them to customers. Lists of machinery,
equipment, and supplies are listed, along with their prices, quantities, and
potential providers. A geographical map is used to locate the proposed
manufacturing location. The plant layout is shown for creating the floor
plan and arranging the various departments and other facilities to ensure
that business activities move smoothly. Other topics covered in this
chapter are utilities and safe trash disposal.
Objectives of the Study
 To determine the product's functional usability
 To establish standard operating procedures for the product's manufacture.
 To measure and calculate the overall cost and price of the materials,
equipment, and supplies that will be consumed in the production and
office.
 To determine the required capacity, production schedule, number of
shifts per day, and daily working hours.
 To plan the company's location along with the layout of the facility.
 To determine the company's technical support and other supplies.

 To ensure that production waste is properly discharged.

41
Description of the Product
The grill is usually used by Filipinos when someone wants to cook
with charcoal, it is an extra tool or equipment when there is no use for
cooking with gas. The grill is usually big, heavy and can’t be carried
anywhere to be used wherever you want and there are also those who just
make their own grill or DIY grill. The foldable grillers with stove or further
improved and made grilling easier. It has three types of cooking that use
charcoal, the first has a stove that can be cooked using pots, pans and others
commonly used in ordinary cooking. Second is the Korean grill. Filipinos
now love the style of grilling of Koreans. It is called samgyupsal in Filipino
term.
This grill pan is used to cook small meats while eating. The third is
the traditional grill, ordinary grilling of the Filipinos. Each grill is a type of
box measuring 17 inches long and 12 inches wide and 5 inches high. It also
has a box inside that will hold charcoal and another box that will drop the
ashes from the charcoal. When it comes to the back of the box, it has railings
for air to enter and not to lose the burning charcoal. The foldable grillers with
stove are all made of stainless steel to prevent rusting because it is about food
the cooking needs to be clean. This product is made for people who love
grilling and samgyupsal that can be taken anywhere. It is small, folding and
easy to carry and it also does not take up space in the area where it will be
used.

42
Features
Figure 20. Features and Parts of Foldable Griller with stove

43
Machinery and Equipment
Table 10. Machineries of ADAR Manufacturing
Suppl
Machine Qty. UOM Unit Price Total Price /
Deal
1 pieces ₱1,505,450.00 ₱ 1,505,450.00 Harsl
Laser Cutting Machine
2 pieces ₱151,473.00 ₱ 302,946.00 Harsl
Bending
Machine
2 piece ₱1,399.00 ₱2,798.00

Bosc
Grinder
Machine
Gol
Ape
2 piece ₱5,500.00 ₱11,000.00 Tools
Hardw
e Co
Tungsten Welding
Machine
TOTAL ₱1,822,194.00
44
Production Equipment
Table 11. Production Equipment of ADAR Manufacturing
Equipment Qty. UOM Unit Total Price Supplier

Price
1 box ₱340.00 ₱340.00 Backje

Philippines
Cutting Disc Inc.
2 piece ₱140.00 ₱280.00 Backje

Philippines
Measuring Steel Inc.
Tape
Backje
3 piece ₱40.00 ₱120.00 Philippines
Stainless Steel Inc.
Scale
JansTech
Precision
4 piece ₱960.00 ₱3,840.00 Manufacturin
Corp
Workstation Table
JansTech
Precision
1 piece ₱2,350.00 ₱2,350.00 Manufacturin
Metal Rack Corp
45
ACE
10 Box ₱400 ₱4,000.00 Hardware
Welding Rod
TOTAL ₱ 10,930.00
46
Personal Protective Equipment
Table 12. Personal Protective Equipment for Production

Operators
Name and Picture Qty. UOM Unit Total Price Supplier

Price
SafetyWel
5 box ₱500.00 ₱2,500.00 Marketing I
Dust Mask
SafetyWel
5 pair ₱250.00 ₱1,250.00 Marketing I
Safety Shoes
SafetyWel
10 piece ₱80.00 ₱800.00 Marketing I
Safety Goggles
SafetyWel
10 pair ₱70.00 ₱700.00 Marketing I
Safety Gloves
TOTAL ₱ 5,250.00
47
Furniture and Fixtures
To support the business operations of ADAR Manufacturing, the
proponents enumerate essential furniture and fixtures for the company and
distributed all the items in both production and admin area. The following
are listed below:
Table 13. Furniture and Fixtures of ADAR Manufacturing
Name and Picture Qty UOM Unit Total Price Supplier

Price
Good Morni
Furniture S
4 piece ₱760.00 ₱3,040.00 Pedro Lagun
Office Table
Good Morni
Furniture S
4 piece ₱1,000.00 ₱4,000.00 Pedro Lagun
Office Chair
National
Bookstore
3 piece ₱800.00 ₱2,400.00 Robinsons
South Galer
Filing Cabinet
National
Bookstore
South Galer
Whiteboard

48
Good Morni
Furniture S
2 piece ₱4,500.00 ₱9,000.00 Pedro Lagun
Long Table
PC Express
4 piece ₱8,500.00 ₱34,000.00 Pavillion ma
Desktop Computer
PC Express
3 piece ₱8,000.00 ₱24,000.00 Pavillion ma
Printer
1 bundle ₱1,399.00 ₱1,399.00 PLDT
Telephone And Internet
1 piece ₱8,599.00 ₱8,599.00 Abensons

Television
MB Manila St
1 piece ₱7,000.00 ₱7,000.00 Enterprises
Locker
49
10 piece ₱130.00 ₱1,300.00 Uratex
Monoblock Chairs
2 piece ₱1,339.00 ₱2,678.00 Abenson
Water Dispenser
Office
warehouse
Sta. Rosa
First Aid Cabinet
Jeciadryl
Trading
1 piece ₱250.00 ₱250.00 Inc.
Fire Alarm
OMNI
Electrical
3 piece ₱450.00 ₱1,350.00 and
Emergency Light Lighting
TOTAL ₱ 101,066.00
50
Other Supplies
Table 14. Other Supplies of ADAR Manufacturing
Unit Total
Name and Picture Qty. UOM Price Price Supplier
Jeciadryl
Trading Inc
3 piece ₱500.00 ₱1,500.00
Fire Extinguisher
Office wareho
Robinsons S
3 piece ₱110.00 ₱330.00 Rosa
Flashlight
Office wareho
Robinsons S
6 piece ₱80.00 ₱480.00 Rosa
Trash bin
1 piece ₱130.00 ₱130.00 Abenson
Wall Clock
TOTAL ₱2,440.00
51
Ventilation
For employees to work comfortably, a well-ventilated workspace is
essential. The following is a list of the necessary ventilation equipment:
Table 15. Ventilation of ADAR Manufacturing
Name and Picture Qty. UOM Unit Price Total Price Supplier
2 piece ₱2,000.00 ₱4,000.00 Iwata
Industrial fan
2 piece ₱900.00 ₱1,800.00 Iwata
Exhaust fan
4 piece ₱9,998.00 ₱39,992.00 Abenson
Air conditioner
3 piece ₱500.00 ₱1,500.00 Iwata
Standard wall fan
TOTAL ₱47,292.00
52
Office Supplies
Table 16. Office Supplies of ADAR Manufacturing
Name and Unit

Qty. UOM Price Total Price Supplier
Picture
1 piece ₱200.00 ₱200.00 Shopwise Sa

Pedro,
HDMI Cable
National
Bookstore
Robinsons So
1 piece ₱100.00 ₱100.00 Galeria
Calculator
2 piece ₱100.00 ₱200.00 Shopwise San

Pedro,
Extension
50 piece ₱10.00 ₱500.00 Office WareHo
Notebook
Office WareHo
12 pack ₱15.00 ₱180.00
Ballpen

53
Office
12 piece ₱14.00 ₱168.00
WareHouse
Whiteboard marker
Office
6 piece ₱40.00 ₱240.00 WareHouse
Permanent marker
Office
5 piece ₱20.00 ₱100.00
WareHouse
Scissors
Office
5 piece ₱25.00 ₱125.00
WareHouse
Ruler
Office
5 piece ₱25.00 ₱125.00
WareHouse
Stapler
Office
5 box ₱50.00 ₱250.00
WareHouse
Staple wire

54
Office
Puncher
Office
20 piece ₱5.00 ₱100.00
WareHouse
Tape
Office
5 piece ₱55.00 ₱275.00
WareHouse
Tape Dispenser
Office
File Holder
Office
10 pack ₱160.00 ₱1,600.00 WareHouse
A4 bondpaper
Office
10 pack ₱160.00 ₱1,600.00
WareHouse
Short bondpaper
55
Office
12 piece ₱20.00 ₱240.00
WareHouse
Double sided tape
Office
Folder
Office
2 piece ₱33.00 ₱66.00
WareHouse
Fastener
Office
6 pack ₱100.00 ₱600.00
WareHouse
Time Card
TOTAL ₱7,951.00
56
Production Supplies
Raw Materials
Table 18. Raw Materials for Production of Foldable Grillers with stove
of
ADAR Manufacturing
Materials Unit Quantity Price Supplier
4ft. x 1 Gold Apex

₱1,100.00
2ft. Tools &
Hardware Co
Stainless metal sheet
Gold Apex
Tools &
1/4inch 4
₱220.00 Hardware Co
5ft.
Stainless steel shaft
13in. x 15in ₱180.00 Korean

1 Wholesaler
Boutique
Non-stick griller pan Manila
M6 X 20 4 ₱11.2 Gold Apex Tools
& Hardware Co
Bolts and Nuts

57
1 ½ inch Gold Apex

4 ₱8.33 Tools &
Hardware Co
Loose pin hinger
Gold Apex
2 inches ₱22.5
Tools &
3 Hardware Co
Latches lock
Gold Apex Tools

1 ₱72.00 & Hardware Co
3 inches
Cabin Hook
TOTAL ₱1,717.62
58
Packaging Materials
Packaging materials are required to retain and protect the product
throughout storage in the finished goods warehouse and transportation to
customers. The following are the materials that will be used:
Table 19. Packaging Materials for Foldable Grillers with stove of ADAR
Manufacturing
Name and Required

Specs Quantity Total Supp
Picture
30inch x Goke
20inch 1 ₱22.00 Packagi
Philippi
Box
Goke
4 x 4 x 3 inch
1 set ₱91.5 Packagi
Philippi
Styrofoam corner
protector
TOTAL ₱113.50
59
Ma
nuf
act
uri
ng
Pro
cess
Flo
of
Pro
duc
tion
The production flow chart shows the process of how the Foldable
Griller with Stove is manufactured. It undergoes into different processes
like cutting, bending, welding, polishing, assembly and inspection to
produce a foldable griller with stove.

Figure 21. Process Flow Chart

60
Description of the Process
Cutting
Raw materials are measured before being cut to ensure that they meet
the product's specified standard measurements. To guarantee that the
measurements are correctly identified, markings are placed on the surface of the
raw materials. To cut each stainless-steel sheet, a laser cutting machine will be
used to cut the marks on the raw materials according to its specifications. This
laser machine is also used to make holes in the charcoal drawer and the airways
of each griller and the stove.
Bending
After the cutting process, the next operation is the bending process,
which involves molding all of the cut parts to their appropriate shapes.
Welding
In this method, all the bended parts (except the stand and the handles)
had been fused together using heat, pressure, or a combination of the two,
establishing a join when the components cool.
Polishing
All the parts that had been only processed through welding will undergo
polishing which is the process of rubbing or chemically treating a surface to

create a smooth and glossy finish, leaving a clean surface with a high degree of
specular reflection.

61
Assembly
Assembly is the process of arranging the product's components together
until it is completed. Every component of the product must be assembled
correctly to identify the possible adjustments to rework.
Inspection
The product must be inspected to identify the possible defects or rejects in

the product.
It is necessary to ensure the quality of the product.
Packaging
After all the process is done, the product will be covered in Styrofoam and
placed in its
box.
62
Program Evaluation and Review Techniques
 Optimistic Time (O) – Best Case Estimate
The amount of time it takes if there are no delays or other
unanticipated events and everything goes as planned.
 Most-Likely Time (M) – Probable-Case Estimate
The time it will most likely take is based on employee outcomes
and capacity to complete the activity.
 Pessimistic Time (P) – Worst-Case Estimate
The longest time that a task is expected to take to finish.

63
Standard Time
Table 20. Standard Time for Traditional Griller
Traditional Griller
Activity Process Standard Time
A Cutting 74.12
B Bending 72.13
C Welding 108.59
D Polishing 81.02
TOTAL 335.86
Capacity Requirements
Based on the expected time in the Program Evaluation and Review
Technique (PERT) of Foldable Griller with Stove, the standard time is
335.85 minutes.
To determine the output per day:
(𝑁𝑜. 𝑜𝑓 𝑊𝑜𝑟𝑘𝑒𝑟)(𝑁𝑜. 𝑜𝑓 𝑊𝑜𝑟𝑘𝑖𝑛𝑔 𝐻𝑜𝑢𝑟𝑠) (60 𝑚𝑖𝑛𝑢𝑡𝑒𝑠)

= 𝑥 𝐿𝑖𝑛𝑒 𝐸𝑓𝑓𝑖𝑐𝑖𝑒𝑛𝑐𝑦
(𝑆𝑡𝑎𝑛𝑑𝑎𝑟𝑑 𝑇𝑖𝑚𝑒 )
(4)(6 hours)(60 𝑚𝑖𝑛𝑠)

= 𝑥 50 %
(335.86 𝑚𝑖𝑛𝑠)
𝑶𝒖𝒕𝒑𝒖𝒕 𝒑𝒆𝒓 𝒅𝒂𝒚 = 2.14 𝒖𝒏𝒊𝒕𝒔 𝒐𝒓 𝒂𝒑𝒑𝒓𝒐𝒙𝒊𝒎𝒂𝒕𝒆𝒍𝒚 2 𝒖𝒏𝒊𝒕𝒔

64
Table 21. Standard Time for Korean Griller
Korean Griller
A Cutting 74.13
B Bending 71.94
C Welding 62.12
D Polishing 62.31
TOTAL 270.5
Technique (PERT) of foldable Griller with Stove, the standard time is
270.5 minutes.

(4)(6hours)(60 𝑚𝑖𝑛𝑠)
= 𝑥 50 %
(270.5 𝑚𝑖𝑛𝑠)
𝑶𝒖𝒕𝒑𝒖𝒕 𝒑𝒆𝒓 𝒅𝒂𝒚 = 2.66 𝒖𝒏𝒊𝒕𝒔 𝒐𝒓 𝒂𝒑𝒑𝒓𝒐𝒙𝒊𝒎𝒂𝒕𝒆𝒍𝒚 3

𝒖𝒏𝒊𝒕𝒔
65
Table 22. Standard Time for Stove
Stove
A Cutting 94.12
B Bending 76.55
C Welding 94.27
D Polishing 76.23
TOTAL 341.17
341.17 minutes.


= 𝑥 50 %
(341.17 𝑚𝑖𝑛𝑠)

66
Table 23. Standard Time for Charcoal Drawer & Oil Catcher
Charcoal Drawer & Oil Catcher

A Cutting 36.12
B Bending 39.28
C Welding 44.32
D Polishing 40.54
TOTAL 160.26
160.26 minutes.


= 𝑥 50 %
(160.26 𝑚𝑖𝑛𝑠)

67
Table 24. Standard Time for Ash Drawer
Ash Drawer
A Cutting 36.45
B Bending 44.21
C Welding 32.12
D Polishing 36.48
TOTAL 149.26
149.26 minutes.


= 𝑥 50 %
(149.26 𝑚𝑖𝑛𝑠)

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Table 25. Standard Time for Stand
Stand
A Cutting 20.77
B Bending 26.41
TOTAL 47.18
47.18 minutes.


= 𝑥 50 %
(47.98 𝑚𝑖𝑛𝑠)

69
Table 26. Standard Time for Handles
Handles
A Cutting 36.15
B Bending 25.14
TOTAL 61.29
Based on the expected time in the Program Evaluation and
Review Technique (PERT) of foldable Griller with Stove, the
standard time is 61.29 minutes.


= 𝑥 50 %
(61.29 𝑚𝑖𝑛𝑠)

70
Table 27. Standard Time for Assembly
Assembly
Standard
Activity Process
Time
E Assembly 84.39
Final
F 45.17
Inpection
G Packaging 32.14
TOTAL 161.7
Based on the expected time in the Program Evaluation and
Review Technique (PERT) of foldable Griller with Stove, the
standard time is 161.7 minutes.


= 𝑥 50 %
(161.7 𝑚𝑖𝑛𝑠)

71
Production of Foldable Griller with Stove
Table 28. Program Evaluation and
Review Technique Traditional
Griller
Time Estimates
(O+4M+P)/6
(seconds)
ACTIVITY DESCRIPTION PREDECESSOR Expected
OT MT PT Time (ET)
A Cutting - 72.40 74.12 76.12 74.17

B Bending A 70.33 72.13 74.34 72.20
C Welding C 104.44 108.59 111.01 108.30
D Polishing D 79.02 81.02 79.21 80.39
TOTAL 326.19 335.86 340.68 335.05
Review Technique Korean Griller
Time Estimates
(O+4M+P)/6
(seconds)
ACTIVITY DESCRIPTIO PREDECESSOR Expected
N OT MT PT Time (ET)
A Cutting - 73.81 74.13 76.03 74.39
B Bending A 69.32 71.94 73.69 71.80
C Welding C 60.44 62.12 64.19 62.19
D Polishing D 60.61 62.31 64.22 62.35
TOTAL 264.18 270.50 278.13 270.72
Review Technique Stove
Time Estimates
(O+4M+P)/6
(seconds)
OT MT PT Time (ET)
A Cutting - 92.96 94.12 95.78 94.20

B Bending A 74.85 76.55 77.41 76.41
C Welding C 93.14 94.27 96.32 94.42
D Polishing D 74.14 76.23 78.21 76.21
TOTAL 335.09 341.17 347.72 341.25
72
Table 31. Program Evaluation and Review Technique
Charcoal Drawer & Oil Catcher
Time Estimates
(O+4M+P)/6
(seconds)
OT MT PT Time (ET)
A Cutting - 34.32 36.12 39.41 36.37

B Bending A 37.09 39.28 40.89 39.18
C Welding C 43.21 44.32 46.32 44.47
D Polishing D 39.45 40.54 42.55 40.69
TOTAL 154.07 160.26 169.17 160.71
Review Technique Fabrication of
Ash Drawer
Time Estimates
(O+4M+P)/6
(seconds)
OT MT PT Time (ET)
A Cutting - 35.10 36.45 37.51 36.40

B Bending A 40.19 44.21 46.33 43.89
C Welding C 31.74 32.12 34.61 32.47
D Polishing D 34.85 36.48 39.12 36.65
TOTAL 141.88 149.26 157.57 149.42
Review Technique Stand
Time Estimates
(O+4M+P)/6
(seconds)
OT MT PT Time (ET)
A Cutting - 19.41 20.77 23.97 21.08

B Bending A 25.63 26.41 30.14 26.90
TOTAL 45.04 47.18 54.11 47.98
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Table 34. Program Evaluation and Review Technique
Handles
Time Estimates
(O+4M+P)/6
(seconds)
OT MT PT Time (ET)
A Cutting - 34.47 36.15 38.02 36.18

B Bending A 24.01 25.14 27.21 25.30
TOTAL 58.48 61.29 65.23 61.48
Review Technique Assembly of
Time Estimates
(O+4M+P)/6
(seconds)
OT MT PT Time (ET)
E Assembly B,D 82.01 84.39 85.21 84.13

F Final Inspection E 44.65 45.17 47.57 45.48
G Packaging F 31.02 32.14 34.48 32.34
TOTAL 157.68 161.7 167.26 161.96
74
Standard Output
Table 36. Standard Output Foldable Griller with Stove
Parts Output per day

Traditional Griller 2.14
Korean Griller 2.66
Stove 2.11
Charcoal Drawer & Oil Catcher 4.49
Ash Drawer 4.82
Stand 7.63
Handles 5.87
Assembly 2.23
TOTAL 4.00
Plant Capacity
Since each production produce 4.06 units per day. Therefore, the
plant capacity of ADAR Manufacturing is computed below:
𝑃𝑙𝑎𝑛𝑡 𝐶𝑎𝑝𝑎𝑐𝑖𝑡𝑦 = (𝑊𝑜𝑟𝑘𝑖𝑛𝑔 𝐷𝑎𝑦𝑠) (𝑂𝑢𝑡𝑝𝑢𝑡 𝑝𝑒𝑟 𝑑𝑎𝑦)
= (6 hours x 4 days x 4 weeks x 12 months) (4.00)
𝑷𝒍𝒂𝒏𝒕 𝑪𝒂𝒑𝒂𝒄𝒊𝒕𝒚 = 4,602.64 or 4,603 𝒖𝒏𝒊𝒕𝒔 𝒑𝒆𝒓 𝒚𝒆𝒂𝒓

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Production Schedule
Production schedule is the timetable for the use of resources and
processes required by a business to produce goods or provide services. The
fundamental objective of scheduling is to arrange the manufacturing activities
in such a way that the cost of production is minimized and the goods are
delivered on due dates. The office hours will be six (6) hours a day from
8:00am to 5:00pm. These shifts included a one (1) hour break for the
employees. The production operation would be conducted six (6) hours a day
from 8:00am to 2:00pm and four
(4) days a week from Monday to Thursday
Direct Labor Requirements
Choosing the right people that would fit to the needs of the ADAR
Manufacturing Company is important as bringing effectiveness and efficiency
to the overall operating of the business. People is the most important resources
of the organization. The organization success depends on the skills of the
employees in their work which is their performance. ADAR Manufacturing
Company would need one (1) employee who would work fulltime as a Finance
and Administrative Officer and six (6) operators that will operate in the
production in producing the product. The labor force of ADAR Manufacturing
Company must be skillful in various process and in operating the tools and
machineries used in production of Foldable Griller with Stove. Employee’s

performance has played an important role in achieving the company goals that
is why ADAR Manufacturing Company has to be careful in selecting the best
employees that would fit the company requirements.

76
Plant Location
Figure 21. Vicinity Map of ADAR Manufacturing
The company covers an area of 1,224 square meters which is located at
WH6 Zara Compound, Magsaysay Road, Brgy. San Antonio, San Pedro
City, Laguna. The site of the company was selected due to its geographical
location and its accessibility to different suppliers.

77
Plant Layout
Figure 22. Plant Layout of ADAR Manufacturing
Figure 23. Plant Layout Legend

78
Utility
Utilities is considered as a vital in the daily operation of the business.
The following utilities would be needed in the daily operation of ADAR
Manufacturing Company: Electricity- it is one of the most necessarily needed to
run the manufacturing business because devices and machineries needed in the
production of Foldable Griller with Stove must use electricity.
Telecommunications- this will help to preserve the good relationship in terms
of the communication to the suppliers as well as the customers. This kind of
utility would help the company on promoting the product which is the Foldable
Griller with Stove that would bring higher income.
Waste Disposal
ADAR Manufacturing Company planned to implement a manner on
reducing, reusing, and recycling the scrap metals and materials used in the
production of Foldable Griller with Stove. Waste management disposes of the
products and substances that you have use in safe and efficient manner. This is
something that each and every household and business owner in the world
needs. The ADAR Manufacturing Company would provide trash bins that must
be labeled to simplify the process of waste segregation to ensure cleanliness
and an adequate septic system that consist of pumps and pipes that connected in
the drainage system that would filter the waste water in the tank. The local
garbage collector is the in-charge in collecting the non- biodegradable wastes
for the proper disposal. In terms of excess metal, it could be sold to be melted
and reshaped.

79
Chapter 5: Management Study
The ADAR Manufacturing Company is a business started by four (4)
partners. The start- up capital that will equally divided into four by the
stakeholders which is the twenty-five percent (25%) per proponents. Six (6)
Operators for each process and one (1) Finance and Administrative Officer will
be the number of hiring in the company that will be required to work in one
shift only. The shifts will start from 8am to 5pm, Monday to Friday for the
employee and 8:00am to 2:00pm from Monday to Thursday for the operators.
Under the labor code, the employees are entitled to compensation or wages,
overtime pay, holiday pay, SSS, EC, NHI, remittances, service incentive leaves,
and retirement pay. This could guarantee that the company will have a
successful function when it comes to business and employee support.
 To provide each employee with an accurate job description
 To establish ADAR Manufacturing's guidelines and standards
 To improve worker production efficiency while complying to the
company's rules and regulations
 To establish unity, participation, and empowerment for all employees
 To maximize the performance of a company
Form of Business Ownership

ADAR Manufacturing Company regarded General Partnership as the
company's ownership structure. A general partnership is formed when two or
more people carry on a business as co-owners. The four (4) individuals who
own the company will invest time, money,

80
knowledge, obligations, and rights in the company.
As there are four (4) owners, more capital is available for the business,
there is opportunity for income splitting specifically for tax savings, and
changing the legal structure is easier if circumstances change.
Capitalization
Every new business needs a start-up capital to start and run the business,
Since ADAR Manufacturing Company is a new business the four shareholders
of the company will be having a contribution of share that will be divided into
four for the start-up capital. Each shareholder needed to provide a 25% of the
ideal capital. When it comes to the authority in the business one of the four
shareholders will gain more profit compare to other shareholders due to the big
role assigned to him/her in managing the company that’s why partners will not
have an equal share of authority in the business.
Organizational Structure
Organizational structure of ADAR Manufacturing Company consists of
institutional rules and policies designed to outline how various worked roles
and responsibilities are controlled and coordinated. Organization structure
determines how information flows from level to level within the company. It
also defines the employee’s job and how it fits with the overall business. The
structure is based on the company’s objectives and strategy. The projected
organization structure of the ADAR Manufacturing Company is shown in the
figure 15.

81
Figure 24. ADAR Manufacturing Organizational Chart
Manpower Job Description Requirements
In the process of hiring employees, there is a specific characteristic
needed to fulfill the specification of the job requirement. Businesses have
certain qualifications during employee hiring.
Position: Finance and
Administrative
Manager Job
Description:
The Finance and Administrative Manager is in charge of

preparing asset, liability, and capital account entries by compiling,
analyzing, and documenting financial transactions by entering account
information. He is also in charge of the company's administrative
support, which includes scheduling, budget and office reporting,
invoicing, and customer service.

82
Job Qualifications:
 Graduate of Bachelor of Science in Accountancy or
any four (4) year course
 Excellent in verbal and communication skill
 Knowledgeable in accounting principles
 Willing to be assigned in San Pedro City, Laguna
Position:
Pr
od
uc
tio
pe
ra
to
Jo
es
cr
ip
tio
n:
The Production Operator is in charge of utilizing the
equipment and other steps along the production line to achieve the
desired product quality. They are also in charge of general cleaning
and keeping the building and its facilities in good condition. Clean up
spills with the proper equipment, perform minor repairs, and provide
information to superiors about major repairs.
Job Qualification:
 Able to multi task to ensure that production

deadlines are constantly met
 At least High School graduate
 Preferably certified in any technical vocational course
 Proficient in measuring equipment and techniques
specifically used in production processes
 Willing to be assigned in San Pedro City, Laguna
 With at least 6 months experience

83
ADAR Manufacturing consists of 8 potential employees prior to
operation of the firm. The stated daily wages, monthly total and annual
total of wages above will be the estimated wages of the employees.
General Employee Requirements
 2x2 picture
 Good Moral
 Medical Examination result (Dental and Drug test included)
 NBI and Police clearance
 Resume
 SSS, Phil-health and PAG-IBIG
 Tax identification number
 Transcript of Records Hiring Process

84
Figure 25: Hiring Process

85
Organizational Policy
It is a set of guidelines and best practices put in place to protect the
company, employees, and customers. Policies are made to determine all major
decisions, actions, and all activities takes place within the boundaries. The set
of rules, principles, and guidelines must be adopted by the organization to reach
its long-term goals. On the other hand, the procedures are the specific methods
employed to express policies in action in day-to-day operations of the
organization
Employee’s Conduct
ADAR Manufacturing ensures that quality standards are maintained and
that employees have a pleasant working environment. Employees are expected
to be loyal and efficient in their service to the company and its programs, as
well as to cooperate with coworkers in carrying out the work and duties
assigned to them.
ADAR Manufacturing's reputation is extremely valuable, and it must be
preserved by performing duties in accordance with the highest professional
standards and applicable code of ethics. Failure to follow the company's rules
and regulations necessitates correction and disciplinary action. The following
are considered violations of the company's rules of conduct and may result in
disciplinary actions and, in extreme cases, termination of employment.

 Consecutive absence and habitual tardiness
 Consuming alcohol while working
 Disrespectful conduct

86
 Failure in cooperating, working efficiently and effectively within the

organization
 Falsification of any personal information upon employment application
 Fraudulent falsification or manipulation of timesheets
 Fraudulent use of ADAR Manufacturing earnings, funds or finances
 Mistreatment or abusive behavior within the organization or co workers
 Theft or inappropriate possession of property or equipment
 Violation of policies, rules and regulations
 Violation in data privacy
Office Hours and Attendance Policy
The operator’s working days would be from Monday to Thursday, while
the office has been planned to open at 8:00AM to 5:00PM. The standard
working hours or normal working hours refers to the legislation to limit the
working hours per day, per week, per month or per year. If an employee needed
to work overtime, the employer would need to pay overtime payments to
employees as required in the law. Regular attendance and punctuality are
necessary for the operation of the company. The company wanted to establish
uniform guidelines that would ensure a consistent and fair approach to solving
attendance problems. Therefore, the company has developed the following
attendance policy
If an employee is not able to attend to work in a day, it is necessary to

notify the manager or higher position available and file an emergency, sick
or vacation leave immediately if possible. Job abandonment is considered
when an employee is not attending to work in 3 consecutive days.

87
The following stated below are the reasons the company will not
consider during absences or tardiness. Other invalid reasons will be stated in
the policy when encountered during the operation of the company.
 Bad weather excluding extreme typhoon conditions
 Heavy traffic conditions and delays due to road constructions
 Invalid personal reasons
 Waking up late
 Leaving work prior to the scheduled work time
without approval to any superior in the company

88
Administrative Policy
A company’s human resources department established the
policies that usually in the employee handbook that their providing for the
employees with proper conducting of orientation to further explain of the
details. It would help employees understand basic rules of the A Feasibility
Study in Manufacturing of Foldable Griller with Stove. The employee that
would break the rules and regulation of the company could face penalties and
might lose their job. In any instances the employees do not comply with the
company’s rules and regulations, this shall be taken with manager’s
discretion or any higher position in the workplace available.
 Dress code is necessary in the workplace for safety and
formality purposes.
 Employees are required to be in their respective
working areas 8:00 a.m. every Monday to Friday.
 Employees are expected to do their job efficiently and
effectively. They are expected to meet the deadline
coordinated with the customer and the company.

89
SWOT ANALYSIS
The table below presented shows the SWOT ANALYSIS of
ADAR Manufacturing and illustrates the internal and external factors of
the company. It includes the strengths, weaknesses, opportunities and
threats of the company.
Table 37. SWOT Analysis
STRENGHTS WEAKNESSES
 Quality product  Lack of experience
 Innovative product  Lack of marketing expertise
 Competitive company  Minimum sales
 Effective and efficient employees  Starting company
OPPORTUNITIES THREATS
 Company expansion  High competition in the market
 Online advertisement
 Wide range for marketing
90
Employee Compensation
ADAR Manufacturing employees are receiving their salaries every 15th
and 30th day of the month.
Table 38: Salary of ADAR Manufacturing workers
MONTHL
DAIL
NUMBER OF Y PER ANNUALL
Y
POSITION EMPLOYEES PERSON Y (PHP
WAGES
(PHP)
(PHP)
Finance and Administrative
Officer
1 ₱720.00 ₱14,400.00 ₱172,800
Production Operator 1 1 ₱470.00 ₱9,400.00 ₱112,800
Overtime Pay Rates
Overtime hours are not permitted for employees unless there are
pending tasks that must be completed immediately. Employees are required to
complete an overtime form, which must be approved by the respective
directors. Overtime forms that are lost or unapproved are not accepted and are
not reflected in their payroll. The amounts given to employees when there are
instances of overtime hours are listed below:
13th Month Pay
Employees are entitled to 13th month pay regardless of their duties and
responsibilities. Employees who are eligible for 13th month pay must have
worked for the company for at least one month during the calendar year. It is
delivered no later than December 24 of each year.

91
Employee Benefits
The company will provide benefits to regular employees such as SSS,
PAG-IBIG and Phil-Health to cover all of the employee as stated by the law.
SSS (Social Security System)
Social Security System (SSS) is a government agency and provides
social insurance for the employees of the Philippines. The following listed
below are the benefits of SSS:
 Death
 Disability
 Funeral
 Maternity
 Retirement
 Salary loan
 Sickness
PhilHealth
PhilHealth is a government owned and controlled corporation. It ensures
the health of every Filipino regardless of social status. The following listed
below are the benefits of PhilHealth:
 MDG Benefits
 Mother and Child Benefits
 Outpatient Benefits

92
 TSeKaP (Tamang Serbisyo para sa Kalusugan ng Pamilya)
 Z Benefits
An entrepreneur can consult to a legal professional according to the
requirements needed by the company.
PAG-IBIG/HDMF
Home Development Mutual Fund or more popularly known as the
Pag-IBIG Fund is a government owned and controlled corporation. It is
responsible for the administration of the shelter financing program to provide
affordable houses for the Filipino workers. The following listed below are
the benefits of Pag-IBIG:
 Housing loan
 Provident loan
 Short term loan
Paternity leave
Paternity leave is granted for those married men regardless of their
status of employment. It is utilized when a husband needed to provide
assistance to his wife during recovery after pregnancy. 10 paternity leave is
given to the working fathers.

93
Solo Parent Leave
Solo Parent Leave is provided to the employees who is left alone with
their responsibility as a parent to their child due to death, detention, mental
incapacity or legal separation with spouse. The employees is required to
provide solo parent identification card issued by DSWD to have annual
credit of one day parental leave.
Legal Requirements
One of the important parts of establishing a business is to provide legal
requirements set by the country rules and regulations. It is significantly
important to a business to find and familiarize a start- up laws that apply to
the business.
An entrepreneur can consult to a professional regarding to the
completion of legal requirements such as licenses, contracts and leases.
Providing legal requirement initially is the right path for the company to
avoid hindrance regarding to the business structure.
The following are the legal requirements as to partnership:
1. Filling the articles of co-partnerships with the Security and Exchange

Commission.
a. Filling tax account numbers of each partner and of the

partnership.
b. Verification of Partnership.
c. Certification of business registration.
2. Registration of the business name with the Department of Trade and

Industry.
3. Mayor’s Permit and Residence Certificate after paying the local tax.
a. Barangay clearance.

94
b. Police clearance.
c. Business location.
d. Clearance location.
e. Articles of Partnership.
f. Community tax certificate of the partners.
4. Filling the article of Co-partnership with the Bureau of Internal
Revenue as pre- requisite for the payment for registration of the
business name.
a. Mayor’s permit.
b. Getting tax identification number.
c. Copy of Securities and Exchange Commission registration.
d. Registration with the social security system.
The partners are obliged to provide an additional registration
requirement with the social security system for the employees.
 Copy of articles co-partnership
 Employee’s data record.
Table 39: Legal Requirements
Legal Requirements
SEC ₱ 3,000.00
Mayor's Permit ₱ 3,500.00
BIR ₱500.00
DTI ₱ 2,500.00
Seller's Permit ₱ 2,500.00
Total ₱12,000.00
95
Chapter 6: Financial Study
This chapter evaluates the study's financial aspects. This also determines
start-up capital and its sources, investment returns, and other financial
considerations. This includes a variety of financial statements such as the cost
of sales, income statement, breakeven analysis, projected balance sheet with
vertical and horizontal analysis, and projected cash flows. These will be used
to determine whether or not the company will remain profitable.
 To figure out how much capital you'll need to launch your new business.
 To determine the costs and values associated with manufacturing
the product and operating the business.
 To conduct a financial analysis to determine ADAR Manufacturing's
capabilities and profitability.
 To determine the return on investment (ROI).

96
Major Financial Assumptions
1. Depreciation is based on the capacity to produce for the property, plant,
and equipment that are directly using in order to create the product, and
straight-line method for other property, plant, and equipment that are
indirectly related to the product.
2. Income tax is based on the 30% corporate tax, that will be paid, on or
before April 15 of the following year.
3. Inflation rate which is 4.5% is based on the actual inflation rate.
4. Salaries and wages will have its 4.5% annual increase based on the
performance of the company and assessment of the employees.
5. Payday will be on the 15th and 30th day of the month.
6. Employees' benefits is the total amount of SSS, PhilHealth, and HDMF

(Pag-ibig)
7. SSS, Philhealth and Pag-ibig are computed based on the applicable

contribution table.
Amount incurred in the month is paid next month.
8. Utilities, and other expenses are aligned and directly correlated to the
inflation rate.
9. Sales and Cost of Sales will increase based on the result of supply and
demand analysis in the market study.
10. Pricing strategy will be based on the price of the direct materials, direct
labor, factory overhead, and have enough mark-up in order to have
sufficient margin to cover all fixed expenses by the company.
11. Selling price is inclusive of 12% VAT.

12. Selling price markup is 30%
13. Repairs and Maintenance is set a 5% of the total Property, Plant and
Equipment.

97
Project Cost
Table 40. Project Cost of ADAR Manufacturing
Project
Cost
Raw Material Inventory (good for 3 months) 1,046,772.21

Furniture and Fixture 148,978.00
Machines, Tools, and Equipment 1,829,284.00
Safety and Security Equipment 2,100.00
Personal Protective Equipment 5,600.00
Prepaid Rent 660,000.00
Office and Production Supplies 27,142.00
Total 3,719,876.21
Source of Financing
To be able to start the business, the company planned to acquired and
other assets through the partners’ capital contributions, suppliers of the raw
materials, machinery and other equipment and the customers. The members
of the boards which the proponents will invest in cash using their own
resources.
Table 41. Partner’s Capital Share

Partne Owner Percentage Amount
r
A Alcaraz, Jonathan 25% 1,250,000.00
B Alviar, Dannico 25% 1,250,000.00
C Del Castillo, 25% 1,250,000.00
Justine
D Robis, Dave 25% 1,250,000.00
TOTAL 5,000,000.00
98
Raw Materials Inventory
Table 42. SCHEDULE 1: Raw Materials Inventory
SCHEDULE 1: RAW MATERIALS

INVENTORY
2022 2023 2024 2025 2026

Raw Materials Inventory, - 1,126,159 1,135,669 1,145,212 1,15
Beginning
Add: Purchases 5,592,889.29 4,514,145.90 4,552,218.94 4,590,426.21 4,619,3
Less: Raw Materials Used 4,466,730.29 4,504,636.03 4,542,675.53 4,580,849.17 4,619,1
Raw Materials Inventory, Ending 1,126,159.01 1,135,668.88 1,145,212.29 1,154,789.33 1,155,0
Accounts Receivable
Table 43. SCHEDULE 2: Accounts Receivable

SCHEDULE 2: ACCOUNTS
RECEIVABLE
2022 2023 2024 2025 2026

Accounts Receivable, Beginning - 1,253,657.99 1,820,016.28 2,114,756.59 2,304,31
Add: Credit Sales 3,134,144.98 3,296,382.71 3,466,875.20 3,646,036.83 3,834,30
Less: Collections 1,880,486.99 2,730,024.42 3,172,134.89 3,456,476.05 3,683,17
Accounts Receivable, Ending 1,253,657.99 1,820,016.28 2,114,756.59 2,304,317.37 2,455,44
99
Supplies Expense
Table 44. SCHEDULE 3: Supplies Expense

SCHEDULE 3: SUPPLIES
EXPENSE
Office Supplies Quantity Price Total Time of Purchase per Total Annual C
Year
HMDI cable 1 200.00 200.00 1 2
Calculator 1 100.00 100.00 1 1
Extension 2 100.00 200.00 1 2
Notebook 50 10.00 500.00 2 1,0
Ballpen 12 15.00 180.00 3 5
Pencil 3 49.00 147.00 6 8
Whiteboard 12 14.00 168.00 1 1
Permanent marker 6 40.00 240.00 3 7
Scissors 5 20.00 100.00 1 1
Ruler 5 25.00 125.00 1 1
Stapler 5 25.00 125.00 1 1
Staple wire 5 50.00 250.00 2 5
Puncher 5 55.00 275.00 1 2
Tape 20 5.00 100.00 2 2
Tape dispenser 5 55.00 275.00 1 2
File holder 5 100.00 500.00 1 5
A4 bondpaper 10 160.00 1,600.00 2 3,2
Short bondpaper 10 160.00 1,600.00 2 3,2
Double sided tape 12 20.00 240.00 2 4
Folder 60 6.00 360.00 2 7
Fastener 2 33.00 66.00 2 1
Time card 6 100.00 600.00 6 3,6
Flashlight 3 110.00 330.00 2 6
Trash bin 6 80.00 480.00 3 1,4
SUBTOTAL 8,761.00 19,3
Production Supplies Quantity Price Total Time of Purchase per Total Annual C
Year
Cutting Disc 1 340.00 1,020.00 1 1,0
Measuring steel tape 2 140.00 280.00 1 2
Safety shoes 5 250.00 1,250.00 1 1,2
First Aid Kit 1 350.00 700.00 1 7
Safety goggles 10 80.00 3,200.00 1 3,2
Safety gloves 10 70.00 350.00 3 1,0
Dusk mask 5 500.00 100.00 3 3
SUBTOTAL 6,900.00 7,8
TOTAL 15,661.00 27,1
100
Property, Plant, and Equipment
Table 45. SCHEDULE 4: Property, Plant, Equipment
SCHEDULE 4: PROPERTY, PLANT, AND

EQUIPMENT
Machineries, Furniture Safety and Personal

Total
Tools, and and Security Protective
Equipment Fixtures Equipment Equipment
Cost
At January 1, 2022 - - - -
Additions 1,829,284.00 148,978.00 2,100.00 5,600.00 1,985,962
At December 31, 2022 1,829,284.00 148,978.00 2,100.00 5,600.00 1,985,962
Additions - - - -
At December 31, 2023 1,829,284.00 148,978.00 2,100.00 5,600.00 1,985,962
Additions - - - -
At December 31, 2024 1,829,284.00 148,978.00 2,100.00 5,600.00 1,985,962
Additions - - - -
At December 31, 2025 1,829,284.00 148,978.00 2,100.00 5,600.00 1,985,962
Additions - - - -
At December 31, 2026 1,829,284.00 148,978.00 2,100.00 5,600.00 1,985,962
Accumulated depreciation
At January 1, 2022 - - - -
Depreciation Expense (see Schedule) 329,271.12 18,095.76 378.00 1,008.00 348,752
At December 31, 2022 329,271.12 18,095.76 378.00 1,008.00 348,752
Depreciation Expense 329,271.12 18,095.76 378.00 1,008.00 348,752
At December 31, 2023 658,542.24 36,191.52 756.00 2,016.00 697,505
At December 31, 2024 987,813.36 54,287.28 1,134.00 3,024.00 1,046,258
At December 31, 2025 1,317,084.48 72,383.04 1,512.00 4,032.00 1,395,011
At December 31, 2026 1,646,355.60 90,478.80 1,890.00 5,040.00 1,743,764
Book value
At December 31, 2022 1,500,012.88 130,882.24 1,722.00 4,592.00 1,637,209
At December 31, 2023 1,170,741.76 112,786.48 1,344.00 3,584.00 1,288,456
At December 31, 2024 841,470.64 94,690.72 966.00 2,576.00 939,703
At December 31, 2025 512,199.52 76,594.96 588.00 1,568.00 590,950
At December 31, 2026 182,928.40 58,499.20 210.00 560.00 242,197
Accounts Payable
Table 46. SCHEDULE 5: Accounts Payable
SCHEDULE 5: ACCOUNTS
PAYABLE
2022 2023 2024 2025 2026

Accounts Payable, Beginning - 2,013,440.15 2,833,156.61 3,338,692.79 3,655,76
Add: Credit Purchases 3,355,733.58 2,708,487.54 2,731,331.36 2,754,255.72 2,771,63
Less: Payments 1,342,293.43 1,888,771.08 2,225,795.19 2,437,179.40 2,570,96
Accounts payable, ending 2,013,440.15 2,833,156.61 3,338,692.79 3,655,769.11 3,856,44

101
Sales
Table 47. SCHEDULE 6: Sales
SCHEDULE 6:
SALES
2022 2023 2024 2025 2026

Units Sold 2,687 2,705 2,722 2,739 2,757
Selling Price 2,915.81 3,047.03 3,184.14 3,327.43 3,477.16
Sales 7,835,362.45 8,240,956.78 8,667,187.99 9,115,092.08 9,585,756.47
Raw Materials Used
Table 48. SCHEDULE 7: Raw Materials Used
SCHEDULE 7: RAW
MATERIALS USED
2022 2023 2024 2025 2026

Units Sold 2,687 2,705 2,722 2,739 2,
Raw Materials Per Unit 1,662.23 1,665.55 1,668.88 1,672.22 1,675
Raw Materials used 4,466,730.29 4,504,636.03 4,542,675.53 4,580,849.17 4,619,157
Direct Labor Cost
Table 49. SCHEDULE 8: Direct Labor Cost
SCHEDULE 8: DIRECT
LABOR COST
2022 2023 2024 2025 2026

No. of Operators 6 6 6 6
Multiply By No. Of Days 192 192 192 192
Total Annual Wokringdays 1,152 1,152 1,152 1,152 1,
Multiply By Labor Rate 400.00 412.00 424.36 437.09 450
Direct Labor Cost 460,800.00 474,624.00 488,862.72 503,528.60 518,634
Divide: Annual Production 2,687 2,705 2,722 2,739 2,
Direct Labor Cost Per Unit 171.48 175.49 179.60 183.81 188

102
Statement of Cost of Goods Manufactured
Table 50. SCHEDULE 9: Statement of Cost of Goods

Manufactured
ADAR Company
Statement of Cost of Goods Manufactured
For the years ended December 31, 2022 -
2026
Schedules 2022 2023 2024 2025 2026
Raw Materials Inventory, Bbeginning - 1,126,159.01 1,135,668.88 1,145,212.29 1,154,

Add: Purchases During the Year 5,592,889.29 4,514,145.90 4,552,218.94 4,590,426.21 4,619,
Raw Materials Available For Use 5,592,889.29 5,640,304.91 5,687,887.82 5,735,638.50 5,774,
Less: Raw Materials Inventory, Ending 1 1,126,159.01 1,135,668.88 1,145,212.29 1,154,789.33 1,155,
Raw Materials Used 7 4,466,730.29 4,504,636.03 4,542,675.53 4,580,849.17 4,619,
Direct Labor Cost 8 460,800.00 474,624.00 488,862.72 503,528.60 518,
Total Variable Cost 4,927,530.29 4,979,260.03 5,031,538.25 5,084,377.77 5,137,
Factory Overhead
Salaries and Wages 11 586,560.00 612,955.20 640,538.18 669,362.40 699,
Utilities Expense 12 6,962.97 7,276.30 7,603.73 7,945.90 8,
Repair and Maintenance 14 92,353.65 92,353.65 92,353.65 92,353.65 92,
Depreciation 13 332,522.64 332,522.64 332,522.64 332,522.64 332,
Production Supplies 3 7,800.00 7,800.00 7,800.00 7,800.00 7,
Total Factory Overhead 1,026,199.26 1,052,907.79 1,080,818.21 1,109,984.59 1,140,
Cost of Goods Manufatured 5,953,729.54 6,032,167.82 6,112,356.45 6,194,362.36 6,278,
Statement of Cost of Sales
Table 51. SCHEDULE 10: Statement of Cost of Sales

ADAR Company
Statement of Cost of Sales
As at December 31, 2022 -
2026
Schedule 2022 2023 2024 2025 2026
Finished Goods Inventory, Beginning - - - -

Add: Cost of Goods Manufactured 9 5,953,729.54 6,032,167.82 6,112,356.45 6,194,362.36 6,278,2
Cost of Goods available for sale 5,953,729.54 6,032,167.82 6,112,356.45 6,194,362.36 6,278,2
Less: Finished Goods Inventory, Ending - - - -
Cost of Sales 5,953,729.54 6,032,167.82 6,112,356.45 6,194,362.36 6,278,2
103
Salaries and Wages
Table 52. SCHEDULE 11: Salaries and Wages

SCHEDULE 11: SALARIES AND WAGES
Salaries and wages 2022 2023 2024 2025 2026

Administration 149,760.00 156,499.20 163,541.66 170,901.04 178,5
Factory Overhead 586,560.00 612,955.20 640,538.18 669,362.40 699,4
Total 736,320.00 769,454.40 804,079.85 840,263.44 878,0
Utilities Expense
Table 53. SCHEDULE 12: Utilities Expense
SCHEDULE 12: UTILITIES

EXPENSE
Utilities Expense Production Administration Total

Electricity 6,362.97 123,365.70 129,728
Water 600.00 12,300.00 12,900
Total 6,962.97 135,665.70 142,628
Depreciation
Table 54. SCHEDULE 13: Depreciation

SCHEDULE 13:
DEPRECIATION
Depreciation Production Administration Total

Furniture and Fixture 2,016.72 16,079.04 18,09
Machines, Tools and Equipment 329,271.12 - 329,27
Safety and Security Equipment 226.80 151.20 37
Personal Protective Equipment 1,008.00 - 1,00
Total 332,522.64 16,230.24 348,75
104
Repair and Maintenance
Table 55. SCHEDULE 14: Repair and Maintenance
SCHEDULE 14: REPAIR AND

MAINTENANCE
Repairs and Maintenance Production Administration Total

Furniture and Fixture 546.45 6,902.45 7,448.
Machines, Tools and Equipment 91,464.20 - 91,464.
Safety and Security Equipment 63.00 42.00 105.
Personal Protective Equipment 280.00 - 280.
Total 92,353.65 6,944.45 99,298.
Income Statement
Table 56. Income Statement

ADAR Company
Income Statement
For the Years Ended December 2022 - 2026
Schedule 2022 2023 2024 2025 2025
Sales 6 6,995,859.33 7,357,997.12 7,738,560.71 8,138,475.07 8,558,

Cost of sales 10 5,953,729.54 6,032,167.82 6,112,356.45 6,194,362.36 6,278,
Gross Profit 1,042,129.79 1,325,829.31 1,626,204.25 1,944,112.71 2,280,
General and Administrative Expenses
Salaries and Wages 11 149,760.00 156,499.20 163,541.66 170,901.04 178,
Rent Expense 660,000.00 660,000.00 660,000.00 660,000.00 660,
Utilities Expense 12 135,665.70 141,770.65 148,150.33 154,817.10 161,
Depreciation 13 16,230.24 16,230.24 16,230.24 16,230.24 16,
Repair and Maintenance 14 6,944.45 6,944.45 6,944.45 6,944.45 6,
Office Supplies 3 19,342.00 19,342.00 19,342.00 19,342.00 19,
Miscellaneous 5,802.60 5,802.60 5,802.60 5,802.60 5,
Total General and Administrative Expenses 993,744.99 1,006,589.14 1,020,011.29 1,034,037.43 1,048,
Net Income Before Tax 48,384.80 319,240.16 606,192.97 910,075.28 1,231,
Income Tax Expense 14,515.44 95,772.05 181,857.89 273,022.58 369,
Net Income After Tax 33,869.36 223,468.11 424,335.08 637,052.70 862,
105
Statement of Changes in Equity
Table 57. Statement of Changes in Equity

ADAR Company
Statement of Changes in
Equity
As of December 31, 2022 - 2026
2022 2023 2024 2025 2026
Alcaraz, Beginning Balance 1,250,000.00 1,258,467.34 1,310,334.37 1,411,618.14 1,565,1

Share in Net Income (Loss) 8,467.34 55,867.03 106,083.77 159,263.17 215,5
Additional Investment (Withhdrawal) - (4,000.00) (4,800.00) (5,760.00) (6,9
Alcaraz, Ending Balance 1,258,467.34 1,310,334.37 1,411,618.14 1,565,121.31 1,773,7
Alviar, Beginning Balance 1,250,000.00 1,258,467.34 1,311,334.37 1,413,818.14 1,568,7

Alviar, Ending Balance 1,258,467.34 1,311,334.37 1,413,818.14 1,568,761.31 1,779,1
Del Castillo, Beginning Balance 1,250,000.00 1,258,467.34 1,313,334.37 1,418,218.14 1,576,0

Del Castillo, Ending Balance 1,258,467.34 1,313,334.37 1,418,218.14 1,576,041.31 1,789,8
Robis, Beginning Balance 1,250,000.00 1,258,467.34 1,314,334.37 1,419,218.14 1,577,0

Additional Investment (Withhdrawal) - - (1,200.00) (1,440.00) (1,7
Robis, Ending Balance 1,258,467.34 1,314,334.37 1,419,218.14 1,577,041.31 1,790,8
Net Income (Loss) After Tax 5,033,869.36 5,249,337.47 5,662,872.55 6,286,965.24 7,133,6
106
Statement of Financial Position
Table 58. Statement of Financial Position
ADAR Company
Statement of Financial
Position
December 31, 2022 - 2026
Schedule 2022 2023 2024 2025 2026
ASSET
S
CURRENT ASSETS
Cash 2,533,647.73 3,595,879.38 4,686,604.49 5,911,958.12 7,300,1
Raw Material Inventory 1 1,126,159.01 1,135,668.88 1,145,212.29 1,154,789.33 1,155,0
Accounts Receivable 2 1,253,657.99 1,820,016.28 2,114,756.59 2,304,317.37 2,455,4
Prepaid Rent 660,000.00 660,000.00 660,000.00 660,000.00 660,0
Office and Production Supplies 3 27,142.00 27,142.00 27,142.00 27,142.00 27,1
Total Current Assets 5,600,606.73 7,238,706.54 8,633,715.37 10,058,206.82 11,597,7
NONCURRENT ASSETS
Property, Plant, and Equipment - net 4 1,637,209.12 1,288,456.24 939,703.36 590,950.48 242,1
TOTAL ASSETS 7,237,815.85 8,527,162.78 9,573,418.73 10,649,157.30 11,839,9
LIABILITIES AND PARTNERS'

EQUITY
LIABILITIES
Accounts Payable 5 2,013,440.15 2,833,156.61 3,338,692.79 3,655,769.11 3,856,4
VAT Payable 168,356.40 341,262.15 382,361.01 425,765.86 472,7
Income Tax Payable 14,515.44 95,772.05 181,857.89 273,022.58 369,5
Salaries Benefit Payable 7,634.50 7,634.50 7,634.50 7,634.50 7,6
Total Liabilities 2,203,946.49 3,277,825.31 3,910,546.19 4,362,192.05 4,706,3
EQUITY
Alcaraz, Capital 1,258,467.34 1,310,334.37 1,411,618.14 1,565,121.31 1,773,7
Alviar, Capital 1,258,467.34 1,311,334.37 1,413,818.14 1,568,761.31 1,779,1
Del Castillo, Capital 1,258,467.34 1,313,334.37 1,418,218.14 1,576,041.31 1,789,8
Robis, Capital 1,258,467.34 1,314,334.37 1,419,218.14 1,577,041.31 1,790,8
Total Equity 5,033,869.36 5,249,337.47 5,662,872.55 6,286,965.24 7,133,6
TOTAL LIABILITIES AND EQUITY 7,237,815.85 8,527,162.78 9,573,418.73 10,649,157.30 11,839,9
107
Statement of Cash Flows
Table 59. Statement of Cash Flows
ADAR Company
Statement of Cash Flows
As of December 31, 2022 - 2026
Schedule 2022 2023 2024 2025 2026
CASHFLOW FROM OPERATING ACTIVITIES

Net Income (Loss) Before Tax 48,384.80 319,240.16 606,192.97 910,075.28 1,231
Adjustments for:
Depreciation 13 348,752.88 348,752.88 348,752.88 348,752.88 348
Operating income before changes in
operating assets and liabilities 397,137.68 667,993.04 954,945.85 1,258,828.16 1,580
Changes in operating assets and liabilities
Decrease (increase) in:
Raw Material Inventory 1 (1,126,159.01) (9,509.87) (9,543.41) (9,577.04) (
Accounts Receivable 2 (1,253,657.99) (566,358.29) (294,740.31) (189,560.78) (151
Prepaid Rent (660,000.00) - - -
Office and Production Supplies 3 (27,142.00) - - -
Increase (decrease) in:
Accounts Payable 5 2,013,440.15 819,716.47 505,536.17 317,076.32 200
VAT Payable 168,356.40 172,905.74 41,098.87 43,404.85 46
Salaries Benefit Payable 7,634.50 - - -
Cash generated from (absorbed by) operating activities (480,390.27) 1,084,747.09 1,197,297.16 1,420,171.51 1,676
Income Taxes Paid - (14,515.44) (95,772.05) (181,857.89) (273
Cash generated from (used in) operating activities (480,390.27) 1,070,231.65 1,101,525.12 1,238,313.62 1,403
CASHFLOW FROM INVESTING ACTIVITIES
Acquisition of property, plant and equipment 4 (1,985,962.00) - - -
Cash generated from (used in) investing activities (1,985,962.00) - - -
CASHFLOW FROM FINANCING ACTIVITIES
Partners' Contributions 5,000,000.00 - - -
Partners' Withdrawals - (8,000.00) (10,800.00) (12,960.00) (15
Cash generated from (used in) financing activities 5,000,000.00 (8,000.00) (10,800.00) (12,960.00) (15
Net Increase (Decrease) in Cash 2,533,647.73 1,062,231.65 1,090,725.12 1,225,353.62 1,388
Cash, Beginning Balance - 2,533,647.73 3,595,879.38 4,686,604.49 5,911
Cash, Ending Balance 2,533,647.73 3,595,879.38 4,686,604.49 5,911,958.12 7,300
108
Product Costing
Table 60. Product Costing
PRICING STRATEGY
Raw Materials Quantity Price Total Amount

Stainless metal sheet 1 1,100.00 1,100.00
Stainless steel shaft 1 220.00 220.00
Non-stick griller pan 1 180.00 180.00
Bolts and Nuts 4 11.20 44.80
Loose pin hinger 4 8.33 33.32
Latches lock 3 22.50 67.50
Cabin hook 1 72.00 72.00
Box 1 22.00 22.00
Styrofoam corner protector 4 22.88 91.52
SUBTOTAL 1,831.14
Direct labor 171.48
TOTAL UNIT COST 2,002.62
VAT (12%) 240.31
SELLING PRICE - VAT 2,242.93
Inclusive
Mark-up (30%) 672.88
SELLING PRICE 2,915.81
109
Chapter 7: Socio-Economic Study
The business must not only profitable but also advantageous to the
economy and society therefore, ADAR Manufacturing proponents studied the
socioeconomic desirability when it comes to the workers that shall be
employed to the company as well as the employees and company taxes to be
paid in the government, also the accrue benefits for the people in the
community and vicinities. This part of the study has an impact to the
governments, consumer, suppliers and society either the benefits that they gain
from the company.
 To determine the company's economic engagement activities.
 To determine the company's environmental engagement activity.
 To create a budget contribution to the local economy by paying taxes.
 To offer consumers with a functional design that will allow them to
get the most out of the product.
Contribution to the Philippine Economy
ADAR Manufacturing will help the Philippine economy by producing
a useful product that will meet the needs of future consumers and the
community.
To maximize the amount of money that consumers will spend, the
company has chosen the best quality and types of materials to be used for the
product, as well as conceptualized the functionality and features that this
product can offer.

110
Employment Generation
The structure of the proposed project was to provide employment
opportunities for the residents of San Pedro City. ADAR Manufacturing
Company would need staff or personnel that will be part of current and future
overall operation of the business considering the proximity to the
manufacturing site for the easiest way to transport and communicate to the
workers. The company will focus on choosing the workers that will fit to the
requirements needed in order to be more effective and efficient.
The employment rate of area will stimulate as the company prioritize
the hiring of workers from residents of San Pedro City.
Social Desirability
The company will manufacture Foldable Griller with Stove to
customers so that they can use it when they will be having an occasion. The
Foldable Griller with Stove has more features than other grillers that are not
intended for use with grilling.
People
People were consisted of consumer, suppliers, employee and residents
living near the manufacturing or site, which have a big part in the operation
of the business. For the socio-economic responsibility of the customers, the

mission of ADAR Manufacturing Company was to satisfy the customer by
providing a good quality of product. ADAR Manufacturing Company wants
to be partner of the consumer to test the Foldable Griller with Stove and to
satisfy the customer.

111
References:
High quality 304L stainless steel pipe. (n.d.). Retrieved
March 27, 2018, from
http://www.xiyemetal.com/product_detail/high-quality-304l-
stainless- steel-pipe- 15204738386872964.html
RBS STAINLESS STEEL SUPPLY AND FABRICATION COMPANY

| Metal
and Steel Manufacturing | 5th Road, Muntinlupa City, Metro
Manila. (n.d.). Retrieved March 27, 2018, from
http://www.yellow-pages.ph/business/rbs- stainless-steel-
supply-and- fabrication-company
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(n.d.). Retrieved March 27, 2018, from
https://www.google.com.ph/maps/place/RGG Stainless
Steel and Metal Fabrication
A Brief History of Grilling. (n.d.). Retrieved November
14, 2021, from

https://www.foodnetwork.com/recipes/articles/a-brief-
history-of-grilling

112
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report- consumer-price-index-2012100-september-
2021#:~:text=Philippines&text=This%20brings%20the
%20country's%20aver age,September%202021%20at
%204.5%20percent.&text=The%20slower% 20pace%20in
%20the,percent%20in%20the%20previous%20month
Thread: Amount of electricity used by a 13" South
bend lathe. (n.d.). Retrieved from
https://www.practicalmachinist.com/vb/south-bend-
lathes/amount-electricity-used-13- south-bend-lathe-
250945.
Estimating your Power Demands. (n.d.).
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www.rpc.com.au/information/faq/system-design/estimate
demands.html.
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bend lathe. (n.d.). Retrieved from
https://www.practicalmachinist.com/vb/south-bend-
lathes/amount-electricity-used-13- south-bend-lathe-
250945.

113
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consumption.
Four factors to consider when purchasing a grinder: You get
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Retrieved from
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Electricity usage of a CFL Light Bulb. (n.d.).
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llightbulb.htm
114
Electricity usage of a CFL Light Bulb. (n.d.). Retrieved from
http://energyusecalculator.com/electricity_cfllightbulb.htm
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Robertson, L., Fox, O., & Palmer, G. D. (n.d.). How Many
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Saving Electricity. (n.d.).

Retrieved from
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consumption-revealed.
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Industrial EmergencyLight: 12 Volt: 50 or 100 Watt.
(n.d.). Retrieved from
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116
APPENDI
X
117
Survey Questionnaire
118
119
Survey Results
QUESTIONS FREQUENCY PERCENTAGE
1. Do you have griller at home?
a. Yes 283 71.10%
b. No 115 28.90%
398 100.00%
2. What type of griller do you usually use?
a. Standard griller (Traditional griller) 136 34.10%
b. Electric griller 74 18.60%
c. Improvised griller (sariling gawa) 97 24.40%
d. I don't have any 91 22.90%
398 100.00%
3. How often do you use griller?
a. Once a month 29 7.30%
b. Twice a month 212 53.20%
c. 3 or more times a month 157 39.50%
398 100.00%
4. Are you familiar with Korean griller?
a. Yes 377 94.70%
b. No 21 5.30%
398 100.00%
5. Which feature in the product is more
valuable for you?
a. Traditional Griller 119 29.80%
b. Korean Griller 36 9.10%
c. Stove 87 21.90%
d. All of the above 156 39.20%
398 100.00%
6. Are you willing to buy our product?
a. Yes 365 91.70%
b. No 33 8.30%
398 100.00%
7. Which factor do you consider in buying
our product?
a. Quality 175 48.10%
b. Size/weight 55 15%
c. Functionality 81 22.10%
d. Conveniency 54 14.80%
365 100.00%
8. Where do you want to purchase our
product?
a. Online/Social Media Shops 223 56%
b. Public Market 130 32.70%
c. Malls/Supermarket 45 11.30%
398 100%
9. What form of advertising attracts you the
most?
a. Online/social media Advertisement 281 70.60%
b. Newspapers/Magazines 23 5.80%
c. Tarpaulin/Posters 20 5%
d. Television/Radio Advertisement 74 18.60%
398 100.00%
10. Will you recommend our product to others?
a. Yes 375 94.20%
b. No 23 5.80%
398 100.00%

120
SSS Contribution
https://www.sss.gov.ph/sss/DownloadContent?
fileName=2021-
CONTRIBUTION-
SCHEDULE.pdf
121
PAG-IBIG Contribution
https://techpilipinas.com/pag-ibig-contribution-table-payment-
schedule/
PhilHealth Contribution
https://www.philhealth.gov.ph/news/2019/new_contri.php
(I f D A SINE SSADMINISTRATION
GRAMMARIAN'S
CERTIFICATE
This is to certify that the undersigned has reviewed and went
through all the pages of the Feasibility Study Manuscript entitled
"A Feasibility Study in Manufacturing of Foldable Griller with
Stove" developed by Jonathan Alcaraz, Dannico Alviar, Justine Del
Castillo and Dave Robis, aligned with the set of structural rules
that govern the composition of sentences, phrases, and words in the
English language.
Signed:
Joh eles
Grammarian
KM30, OLD NATIONAL HIGHWAY, BARANGAY NUEVA, SAN PEDRO CITY,
LAGUNA, PHILIPPINES 4023
Tel. No.: (02) 8869-1573 (02) 8869-7397 Telefax: (02) 8808-2258 00@
mySPCBA
www.spcba.edu.ph

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A Feasibility Study in Manufacturing of Foldable Griller with Stove

An Undergraduate Feasibility Study Presented to the Faculty of the Department of Engineering

SAN PEDRO COLLEGE OF BUSINESS ADMINISTRATION

In Partial Fulfilment of the Requirement of the Degree

Bachelor of Science in Industrial Engineering

San Pedro City, Laguna

This Study Entitled

A FEASIBILITY STUDY IN MANUFACTURING FOLDABLE

Prepared and Submitted By:

In partial fulfillment of the requirements for the degree BACHELOR OF

Approved by the panel on oral examination with grade of %

BACHELOR OF SCIENCE IN INDUSTRIAL ENGINEERING.

We certify that our Feasibility Study entitled "A

Any conclusion, results or recommendation taken from

Foremost, we would like to offer this endeavor to our

We, the researchers would also want to extend our

We would also like to thank our parents who support us

Thank you. To God be all the Glory.

Chapter 1: Summary of the Study

Figure 1. Company Logo

Name of the Firm

ADAR Manufacturing is a newly established company dedicated and

specialized in manufacturing a highly innovative and quality griller and

Alviar, and "R" for Robis.

ADAR Manufacturing is aiming to build, develop and innovate quality

products at a competitive price that can provide benefit to customers and to

strive with utmost integrity to achieve an excellent customer satisfaction

The vision of ADAR Manufacturing is to be a premier manufacturer

and one of the most prominent manufacturing groups in the country of

Pedro City, Laguna.

SPCBA RESEARCH CENTER

Figure 2. Vicinity Map of ADAR Manufacturing

The company covers an area of 1,224 square meters which is

located at WH6 Zara Compound, Magsaysay Road, Brgy. San Antonio,

geographical location and its accessibility to different suppliers. Other

factors are the following:

1. In terms of delivering raw materials and other supplies, the location

has a wide road and is very convenient to various suppliers.

2. The location is close to a major road or highway. In that regard, it is

well connected to other municipalities such as Binan, Muntinlupa, and Sta.

Rosa City, as well as other nearby cities;

3. Furthermore, the location is convenient for the company's

Pedro, and Robinsons South Galleria.

SPCBA RESEARCH CENTER

Brief Description of the Study

charcoal, it is an extra tool or equipment when there is no use for cooking

grilling of Koreans. It is called samgyupsal.

Objectives of the Study:

The objective of this study is to determine and identify the feasibility

commercial use. There are generally five

(5) major components of this study, namely: Marketing, Technical,

Management, Financial, and Socio-economic desirability.

The market feasibility describes the current and future potential

competitors, sales, current and prospective buyers. This is an important

Based on the survey conducted by the researchers, ordinary griller and

electric griller are considered as the nearest competitors of the foldable

grillers with stove. According to the researchers' survey, the traditional

high-quality grillers in the market, it is a marketable product.

A well-designed management system will ensure the long-term

success of a new business. The right business form is decided by this

characteristic, which the researchers determined to be a general partnership

organization. Because of the company's location in San Pedro City, Laguna,