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UNIVERSITY OF BATANGAS

HILLTOP SITE, BATANGAS CITY


COLLEGE OF ENGINEERING
INDUSTRIAL ENGINEERING DEPARTMENT

MANUFACTURING OF LAPTOP TABLE BAG

A Project Feasibility Study Presented to the Faculty of


College of Engineering

In Partial Fulfillment of the Course Requirements for the


Degree Bachelor of Science Industrial Engineering
ETEEAP

Researchers
Alcantara, Geofrey Julian G.
Posadas, Ma. Hazel M.
Villar, Winifredo Jr. G.
Bagacay, Michelle G.

A.Y. 2018-2019
Chapter I

MARKET STUDY

Introduction

A laptop computer is smaller than a desktop computer, generally less than


three inches thick, and weigh less than desktop computers. It is a portable
personal computer powered by a battery, or an AC cord plugged into an electrical
outlet, which is also used to charge the battery. Laptops have an attached
keyboard and a touchpad, trackball, or isometric joystick used for navigation. A
laptop also has a thin display screen that is attached and can be folded flat for
transport. It derives its "laptop" name from its easy use by resting on a person's
lap while sitting without the need of a desk or other surface. The laptop's size
makes it convenient for transportation in briefcases, backpacks and other bags.
The laptop bag is rectangular in shape like a briefcase but is almost
always made from some type of soft, non-rigid material. Laptop bags come in all
kinds of different designs, but have a few major characteristics in common. All
are made with at least one large internal compartment which is closed using a
zipper, this is where the device is stored during transport. Some comes with two
or more interior compartments, one for the mobile device and others for holding
papers and documents. Many versions come with extra, smaller compartments
either inside or on the outside of the bag. These smaller pockets are ideal for
transporting promotional computer accessories, like an imprinted mouse. Laptop
bags come with at least one set of handles so that the bag can be carried with
the hands. It may also come with an additional handle in the form of a long,
adjustable strap. The strap is secured at opposite corners of the bag on the
same side as the handles and can be worn over the shoulders so that the user's
hands can remain free for other tasks.
A laptop table helps the person perform their job efficiently. Without the
table, health problems might occur because the person has to either keep the
laptop on something else or on his/her lap. With the help of a table, the user will
help gain a more comfortable posture and would not face the burden of keeping
the laptop on their laps. This will also help the person work more efficiently
because they will not endure backache or cramps in their legs due to the
constant pressure that is applied by a laptop. These tables come in different
shapes and sizes that provides the person an opportunity to choose whichever
one is comfortable with.
To enjoy working comfortably with your laptop, our company manufactures
a laptop bag that can be converted into a laptop table – the Laptop Table Bag. It
is made of a light-weight material and is ergonomically design that can be carried
anytime and anywhere. With these product, you don’t have to carry both the bag
and the table. Our consumer will not endure backache or leg cramps anymore,
and can start working efficiently and effectively with their laptop.
Business Description
Vision Statement
“To be the leading manufacturer of innovative bags in the Philippines that
suits the needs of the consumers that give comfort and convenience”.
Mission Statement
To provide solutions to our customer’s need by providing them quality yet
affordable products, delivered on time.
Values of the Company
1. Integrity. We believe in honesty is the foundation of trust.
2. Commitment. We are committed to give satisfaction to our customer by
meeting their demands delivered on time.
3. Innovation. We are continuously striving in improving and innovating our
products.
4. Quality. We give our best in all we do.
5. Compassion. We are focus on the care of others to meet their needs in
tender manner.
Company Objectives
1. To satisfy our customers by meeting their demand and need.
2. To create a safe and healthy working environment for our employees.
3. To innovate our product continuously according to market demand, and
competitor’s strategy.
4. To increase the average sales from year to year by materializing the
above-mentioned objectives.

Company Name and Logo

Creative Bags Inc. is one of the leading bag manufacturer that will provide
solutions to our customer’s need by delivering them quality yet
affordable products. The company’s logo is an infinite sign meaning we are
continuously striving in improving and innovating our products with the help of
people, the square shape at the middle of the logo, in creating innovative
product.

Figure 1: Company Name and Logo

Product Description

A laptop computer is smaller than a desktop computer, generally less than


three inches thick, and weigh less than desktop computers. For convenient
carrying and use of laptop, some accessories are needed, the bag for
transportation and a table helps the person perform their job efficiently. The
laptop bag is rectangular in shape like a briefcase but is almost always made
from some type of soft, non-rigid material. A laptop table helps the person
perform their job efficiently. With the help of a table, the user will help gain a
more comfortable posture and would not face the burden of keeping the laptop
on their laps.
Creative Bags Inc. is a manufacturer of laptop bag. Aside from being a
bag for carrying a full-fledged laptop computer, this clever accessory has a
double function that also serve as a stand. It's called the Laptop Table Bag,
which looks like a surprisingly normal, corporate-issue laptop bag. Inside, it has
an installed board with four legs that serve as a table. It is ergonomically design
that can be carried anytime and anywhere. That way, you don’t have to put up
with having to burn a hole in your pants while you sit on a bench, balancing that
hulking portable computer to get some work done. With these product, you don’t
also have to carry both the bag and the table. Our customer will not endure
backache or leg cramps anymore, and can start working efficiently and effectively
with their laptop.

Product Testing
New products that are under development and existing products must
undergo quality testing to ensure that products work correctly and meet the
standards for quality. The conduction of any of various tests to measure the
performance or properties of a product is called Product Testing. It can be used
to verify that a product works correctly and is safe for use by consumers. Product
testing is a critical part of the product development. Manufacturers may test their
own products, or an independent laboratory or government agency may test
them, depending on the circumstances.
The ideal way to identify a product’s potential before the product
development process is through product testing. It eliminates the risk of
developing undesirable products, which could be costly and time-consuming
down the road. Product testing focuses on performance and identifies the
drivers/limiters of appeal, as well as the opportunities for improvement. A firm
may conduct product testing at any stage of product development, including the
idea, development and production phases. It is advisable that companies perform
at least one round of testing, if not several, before releasing a new product to
market.
Often, an existing formal test method is use for conducting a certain kind
of test. Other times, engineers may develop methods to meet the testing needs
they’re presented with. There is also another kind of product testing, which
involves asking consumers to use a product and gathering feedback from it.

Product Upgrade
The process of replacing the product to a new higher quality version of the
same product is upgrading (one with a new stronger function or higher
performance). Upgraded products has been recognized as an important means
by which firms continuously renew themselves in order to survive and prosper in
a rapidly changing business environment and is noticeable in durable goods
industries. Creative bags Innovation, Inc. will eventually be upgraded in line with
the trend and cope up with the demand of the consumers.

Market Description

Today, laptops are of great help whether we are in school, office or at


home. This is because it provides significant help to us which makes our lives
more efficient and easier because it is more handy and compatible. The laptop's
size makes it convenient for transportation in briefcases, backpacks and other
bags.

Laptop bags’ feature which are available in the market, is to only carry the
laptop and its accessories. With these product, you also have the table where
you can start working efficiently and effectively with your laptop without enduring
backache or leg cramps anytime and anywhere.

Demand Analysis

Demand Analysis is one of the important consideration for a variety of


business decisions like determining sales forecasting, pricing products/services,
marketing and advertisement spending, manufacturing decisions, expansion
planning etc. It is done to estimate or find out the customer demand for a product
or service in a particular market.

For a new company, the demand analysis can tell whether a substantial
demand exists for the product/service and given the other information like
number of competitors, size of competitors, industry growth etc. it helps to decide
if the company could enter the market and generate enough returns to sustain
and advance its business. Demand analysis helps in identifying key business
areas where demand is highest and areas which needs attention as very low
demand indicates different problems.

The researchers of this study were able to gather relevant data and used
mathematical projection methods. By analyzing the demand, Creative Bags Inc.
was able to distinguish the capabilities and willingness of the consumers to buy
the product.

Historical Demand
Historical demand is the basis for some very important decisions. You
want to be sure you are capturing this data correctly, so it can be properly
analyzed. Almost any business captures historical demand data and refers to it
when making decisions about the future. It helps determine how much labor,
materials and equipment to purchase for the upcoming year. It can be used to
obtain outside financing or for presentation to outside investors.

Table 1: Historical Demand for Creative Bags Inc.


Year Historical Demand
2008 2,630,849
2009 2,745,312
2010 2,859,775
2011 2,974,238
2012 3,088,700
2013 3,203,163
2014 3,317,626
2015 3,432,089
2016 3,546,552
2017 3,775,478
Source: Philippine Statistics Authority

Table 1 shows the historical demand for Creative Bags Inc. for the past
ten years. The historical demand is used as the main basis in computing the
projected demand.
Figure 2: Creative Bags Inc. Historical Demand
Figure 2 shows the demand for the Creative Bags Inc. from 2008 - 2017.
As shown in the figure, there is a gradual increase in the demand throughout the
years.

Projected Demand

Table 2: Projected Demand for Creative Bags Inc.

Year Projected Demand


2018 3,800,572
2019 3,921,327
2020 4,042,089
2021 4,162,859
2022 4,283,637
2023 4,404,424
2024 4,525,218
2025 4,646,020
2026 4,766,831
2027 4,887,649
Since the data from the Historical Demand shows an increasing trend, the
researchers used Arithmetic Straight Line Method, Statistical Parabolic Curve
Method, Arithmetic Geometric Curve Method, and Statistical Straight Line
Method to compute for the demand analysis. Among the four methods, Statistical
Parabolic Curve Method yielded the smallest standard deviation that will most
likely give the most reliable forecast. From Table 2 data shows that there is a
high demand for the Creative Bags in the next ten years.

Figure 3: Creative Bags Inc. Projected Demand

Figure 3 shows that there is a continual increase of demand for the


product for the succeeding years.

Supply Analysis

Supply Analysis is a research and analysis done to understand the supply


trends and responses to changing market and production variables. Supply
Analysis takes into account the production costs, raw material costs, technology,
labour wages etc. The analysis helps the manufacturers and companies to
understand the impact of these variables on supply and eventually demand. The
goal of demand-supply chain is to make sure that the supply and demand work
properly. The demand should be met and supply should not be more than what
expected.
Historical Supply

Table 3: Historical Supply for Creative Bags Inc.

Year Historical Supply


2008 328,716
2009 415,215
2010 465,271
2011 487,911
2012 505,004
2013 520,034
2014 565,879
2015 611,724
2016 657,569
2017 703,414
Source: http://web.psa.gov.ph/content/annual-survey-philippine-manufacturing

Table 3 shows the historical supply of laptop bag in the past ten years.
The data gathered from Philippine Statistical Yearbook served as a basis to
prove that the supply of laptop bag is increasing per year. The gathered related
data on the supply of laptop bag was used as a guide in analyzing the feasibility
of establishing a firm that will provide the supplies needed by the industry.

Figure 4: Creative Bags Inc. Historical Supply


Figure 4 illustrates the supply of Creative Bags Inc. units from 2008 –
2017. The graph shows the supply for laptop bag is increasing continuously per
year.
Projected Supply
Based on the historical supply, projected supply for the next ten years,
starting from 2018-2027 was calculated. The researchers used Arithmetic
Straight Line Method, Statistical Parabolic Curve Method, Arithmetic Geometric
Curve Method, and Statistical Straight Line Method. Based on the computation,
the researchers chose the Statistical Parabolic Curve Method because it has the
smallest standard deviation.
Table 4: Projected Supply for Creative Bags Inc.

Year Projected Supply


2018 727,865
2019 764,579
2020 801,301
2021 838,032
2022 874,770
2023 911,517
2024 948,271
2025 985,034
2026 1,021,804
2027 1,058,582
Table 4 shows projected supply data from 2017-2027. It shows that there
is an increase of supply every year for the laptop bag.
Figure 5: Creative Bags Inc. Projected Supply

Figure 5 presents the projected supply for Creative Bags Inc. for the next
ten years. The researchers used the Statistical Parabolic Curve Method in
forecasting the supply in the 10 year period. As shown in the figure, there is a
continuous increase in the supply for the product in the following years.

Projected Demand – Supply Analysis

The demand-supply gap analysis involves analyzing current market offering to


assess the extent to which the customer demands are met. Demand side gaps involve a
market situation where consumers are not satisfied buying what is available usually
either because the level of service provided is not adequate or the offerings is too
expensive. Supply side gaps, in contrast, involve firms that provide services that are
needed but ones that can be met elsewhere at lower prices.

One way of establishing the feasibility of accomplishment in the project is


to refer to a comparative analysis of the trends of demand and supply. Table 5
shows the projected demand-supply analysis that is used as a determinant of the
Creative Bags Inc. to determine the possibility of the firm to manufacture the
Laptop Table Bag.
Table 5: Demand-Supply Gap

Year Demand Supply Demand-Supply Gap


2018 3,800,572 727,865 3,072,707
2019 3,921,327 764,579 3,156,747
2020 4,042,089 801,301 3,240,787
2021 4,162,859 838,032 3,324,827
2022 4,283,637 874,770 3,408,866
2023 4,404,424 911,517 3,492,907
2024 4,525,218 948,271 3,576,946
2025 4,646,020 985,034 3,660,986
2026 4,766,831 1,021,804 3,745,027
2027 4,887,649 1,058,582 3,829,066

Figure 6: Demand-Supply Gap

Figure 6 shows the projected demand and supply of Laptop Table Bag. The
figure illustrates that both demand and supply increases overtime. The increase
in demand is higher than the increase in supply. This results in the improvement
of the marketability of the product for the coming years. The gap indicates the
percentage of needs that are not met by the production.
Market Share Analysis

Market share analysis is a part of market analysis that indicates how well
a firm is doing in the marketplace compared to its competitors. It is also the
process of benchmarking your sales in a market or product category against the
competition. Market share analysis shows not only the overall percentage a
business holds in the market, but also a more detailed analysis of its status in
different area. Understanding thus aspect of market share can help a company to
strategize future product development, whether it is to continue growing a strong
sector or to compete more strongly in other areas.

Market share is typically measured by dividing the average production


capacity with the demand-supply gap multiplied by 100%.

To identify Creative Bags Inc. daily production the researchers chose the
process with least output per day. Output per day of all processes were
computed and identify that table insertion/finishing is the process with the least
output capacity which is 332 units per day.

At 80% efficiency, less scraps and possible breakdown and work


stoppage, number of products per day is estimated at 265.

Annual Production Capacity = daily production x number of days/year


= 265 x 294
= 77,910 products per year
𝐴𝑛𝑛𝑢𝑎𝑙𝑃𝑟𝑜𝑑𝑢𝑐𝑡𝑖𝑜𝑛𝐶𝑎𝑝𝑎𝑐𝑖𝑡𝑦
𝑴𝒂𝒓𝒌𝒆𝒕𝑺𝒉𝒂𝒓𝒆 (𝟐𝟎𝟏𝟖) = × 100%
𝐷𝑒𝑚𝑎𝑛𝑑 − 𝑆𝑢𝑝𝑝𝑙𝑦𝐺𝑎𝑝
= (77910/3072707) X 100%
= 2.54% or approximately 2.5%
Table 6: Market Share

Year Demand Supply Demand- Market Units for


Supply Gap Share Manufacturing
2018 3,800,572 727,865 3,072,707 2.5% 77,910
2019 3,921,327 764,579 3,156,747 2.5% 79,468
2020 4,042,089 801,301 3,240,787 2.5% 81,058
2021 4,162,859 838,032 3,324,827 2.5% 82,679
2022 4,283,637 874,770 3,408,866 2.5% 84,332
2023 4,404,424 911,517 3,492,907 2.5% 86,019
2024 4,525,218 948,271 3,576,946 2.5% 87,739
2025 4,646,020 985,034 3,660,986 2.4% 89,494
2026 4,766,831 1,021,804 3,745,027 2.4% 91,284
2027 4,887,649 1,058,582 3,829,066 2.4% 93,110

As shown in Table 6, the researchers compared the projected demand


and supply to determine the unsatisfied demand. From the gap the researchers
computed the share of the market by establishing the proposed production
volume as against the total market size.

Figure 7: Market Share


Figure 7 presents the market share of Creative Bags Inc. for the year
2018. Based on the figure, the market share of Creative Bags Inc. Laptop Table
Bag is about three percent (3%). The company started their share in the market
on at 3% because Smart Feeder Inc. belong to the electronics industry .Since
that electronics industry is reflected as highly/intense competitive that result to
continues advancing, it may result to the existence of different threat that may
affect the market. Considering one of the factor which is the threat of new entry
of competitors that may cause intense competition, numerous and diverse
competitors and short product life-cycle. However marketing strategy may
improve market share of the company as the time passed by.

Price Study

The researchers conducted benchmarking on the price of existing Laptop


Bags and related products in the market to serve as a basis in this price study
and to justify the added mark-up to come up in a certain selling price.

Table 7: Price Study


Variable Cost
Direct Materials 36,851,235.23
Indirect Materials 257,431.18
Direct Labor Cost 3,434,400.00
Electricity Cost 776,000.68
Water Cost 74,088.00
Subtotal Cost 41,393,155.08
Fixed Cost
Indirect Labor 1,456,000.00
Employee Benefit 997,281.00
Office, Production & Helper's 49,163.00
Supplies
Government Fees 24,680.00
Repair and Maintenance 24,800.00
Fuel Consumption 108,939.00
Warehouse Rental Fee 1,627,200.00
Depreciation of Office and Production 343,560.40
Equipment
Subtotal Cost 4,631,623.40
Total Production Cost 46,024,778.48
Add Mark-up (20%) 9,204,955.70
VAT 12% 6,627,568.10
Total Amount 61,857,302.27

Total Cost 61,857,302.27


Target Production 77,910
Proposed Selling Price 793.96

Factors Affecting the Market using Porter’s Analysis

To identify the factors that will affect the Laptop Bag Industry, the
researchers use Porter’s Analysis. Porter’s Five Forces is a simple but powerful
tool for understanding the competitiveness of your business environment, and for
identifying your strategy’s potential profitability. This is useful because when you
understand the forces in your environment or industry that can affect your
profitability, you’ll be able to adjust your strategy accordingly. The identified
factors are as follows:

1. Competitive Rivalry
Where rivalry is intense, companies can attract customers with
aggressive price cuts and high-impact marketing campaigns. Also, in
markets with lots of rivals, your suppliers and buyers can go elsewhere if
they feel that they're not getting a good deal from you. On the other hand,
where competitive rivalry is minimal, and no one else is doing what you
do, then you'll likely have tremendous strength and healthy profits.

2. Threat of New Entry


If it takes little money and effort to enter your market and compete
effectively, or if you have little protection for your key technologies, then
rivals can quickly enter your market and weaken your position. If you have
strong and durable barriers to entry, then you can preserve a favorable
position and take fair advantage of it.

3. Supplier Power
This is determined by how easy it is for your suppliers to increase
their prices. The more you have to choose from, the easier it will be to
switch to a cheaper alternative. But the fewer suppliers there are, and the
more you need their help, the stronger their position and their ability to
charge you more. That can impact your profit.

4. Buyer Power
Here, you ask yourself how easy it is for buyers to drive your prices
down. How many buyers are there, and how big are their orders? How
much would it cost them to switch from your products and services to
those of a rival? Are your buyers strong enough to dictate terms to you?
When you deal with only a few savvy customers, they have more power,
but your power increases if you have many customers.

5. Threat of Substitution
This refers to the likelihood of your customers finding a different
way of doing what you do. For example, if you supply a unique software
product that automates an important process, people may substitute it by
doing the process manually or by outsourcing it. A substitution that is easy
and cheap to make can weaken your position and threaten your
profitability.

Marketing Strategies

Marketing strategy is a planned mix of the controllable elements of a


product’s or a business’ marketing plan. To effectively market the Laptop Table
Bag, there are four things that the researchers need to get right: Product, Price,
Place and Promotion. The four essentials of marketing should be regarded as
one unit and structured to support each other; otherwise the company’s
marketing strategy will be unclear and ungainly.

1. Product
The product is the central point on which marketing energy must
focus. The proposed product of the researchers is the Laptop Table Bag
that targets individuals who owns a laptop. The researchers initially
determined the target market, the preferences of the customers, and the
products’ competitiveness.

2. Price
Price is an aspect of marketing strategies that creates sales
revenue and all the others are cost. Researching consumers’ opinions
about pricing is important as it indicates how they value what they are
looking for as well as what they want to pay. Competitor pricing and
factors within its marketing environment is also considered in pricing. The
price of the Laptop Table Bag was determined by the factors needed in its
production such as: direct factors include the cost of raw materials, cost of
manpower, cost of producing and maintaining production of the machine
and support costs for the machine. The indirect factors include market
condition, taxes, government restrictions, competition, shipping and
customer’s financial capability. All these factors were weighed and
computed and were divided according to how many units are to be
produced. Then, an acceptable and reasonable mark-up value was
included in the price to result to the selling price of each product the
company manufactures.

3. Place
Place is concerned with various methods of transporting and
storing goods and making them available for the costumer. Getting the
right product to the right place at the right time involves the distribution
system. The ideal place should be convenient to the target market,
accessible to the customer, has a reasonable cost, and the area should
belong to the industrial zone.

4. Promotion
Promotion is the business of communicating with customers. It will
provide information that will assist them in making a decision to purchase
a product or service. A successful promotion increases sales so that
advertising and other cost are spread over a larger output. Promotional
campaign purpose, budget for the promotional campaign, target market for
the product are the things that will influence in promoting the Laptop Table
Bag.

Channels of Distribution

A distribution channel is the path by which all goods and services must
travel to arrive at the intended consumer. Conversely, it also describes the
pathway payments make from the end consumer to the original vendor.
Distribution channels can be short or long, and depend on the amount of
intermediaries required to deliver a product or service. Distribution channels can
include wholesalers, retailers, distributors, and even the internet.
Figure 8: Channels of Distribution

Chapter II

TECHNICAL STUDY

A technical study assesses the details on how we intend to deliver our


product to our customers with great quality at an affordable cost. These includes
the materials to be used in producing our product, their sources, quality, quantity,
and cost. Manufacturing processes involved, the machineries needed and the
machine supplies were also considered. Plant location and plant lay-out where
our business will be located is also studied. The labor requirement, utilities and
transportation method is also necessary and should also be considered.

Product Description

A laptop computer is smaller than a desktop computer, generally less than


three inches thick, and weigh less than desktop computers. For convenient
carrying and use of laptop, some accessories are needed, the bag for
transportation and a table helps the person perform their job efficiently. The
laptop bag is rectangular in shape like a briefcase but is almost always made
from some type of soft, non-rigid material. A laptop table helps the person
perform their job efficiently. With the help of a table, the user will help gain a
more comfortable posture and would not face the burden of keeping the laptop
on their laps.
Creative Bags Inc. is a manufacturer of laptop bag. Aside from being a
bag for carrying a full-fledged laptop computer, this clever accessory has a
double function that also serve as a stand. It's called the Laptop Table Bag,
which looks like a surprisingly normal, corporate-issue laptop bag. Inside, it has
an installed board with four legs that serve as a table. It is ergonomically design
that can be carried anytime and anywhere. That way, you don’t have to put up
with having to burn a hole in your pants while you sit on a bench, balancing that
hulking portable computer to get some work done. With these product, you don’t
also have to carry both the bag and the table. Our customer will not endure
backache or leg cramps anymore, and can start working efficiently and effectively
with their laptop.

Technical Description

The Creative Bags Inc. laptop table bag is a laptop bag convertible to
laptop table that made of a light-weight material, ergonomically design, and can
be carried anytime and anywhere. With these product, you don’t have to carry
both the bag and the table. You will not endure backache or leg cramps
anymore, and can start working efficiently and effectively with your laptop.
The Creative Bags Inc. laptop table bag can be described as follows:

 Provides an affordable way to improve the ergonomics of your workspace.


 Easily and quickly convert the bag to use as lap desk for your best travel
comfort and convenience.
 Right next to the laptop compartment is another zippered area, where the
table hardware can be neatly folded.
 Fold-out legs.
 Light weight.
Product Drawing

Figure 9: Creative Bags Inc. Laptop Table Bag

Plant Site and Location

The overall plant size of the plant is 678m². The plant size will
accommodate the production area, the offices, warehouse and canteen,
restrooms, guard house and parking area.
The plant site will be located at Light Industry, Science Park II Turbina,
SLEX Turbina, Calamba, Laguna. The manufacturing site was selected because
it has low danger risk, has the utilities needed in production and assures
availability of raw materials, accessibility of highways for transportation and
public markets, accessibility to ways of communication and channels of
distribution of Creative Bag Inc.
Plant Site Map

Figure 10: Creative Bags Inc. Plant Site Map

Plant Site Vicinity Map

Figure 11: Creative Bags Inc. Vicinity Map

Calamba is bounded in the east by Laguna de Bay, in the north by


Cabuyao, in the south by Los Baños and in the west by Sto. Tomas and Tanauan
in Batangas. Only 54 kilometers away from Metro Manila, the city is a haven for
industries, hence the influx of migrants. Considered as the heart of
CALABARZON (Cavite, Laguna, Batangas, Rizal, Quezon) due to the numerous
number of companies housed in its area, Calamba is the premier industrial hub
outside of Metro Manila.

According to the 2015 census, the city has a population of 453,351


people, making it the most populous local government unit in Laguna. It is the 5th
densest city in the province with more than 2,600 people per square kilometer
after San Pedro, Biñan, Cabuyao and Santa Rosa. Based on the overall rankings
of the 2014 Cities and Municipalities Index, the city ranked 18th in the overall
competitiveness (cities ranking) and 1st among cities in the Calabarzon region.

Selection of the finest location for Creative Bag Inc. is very important. In
order to attain goals of the company, it should have the best location possible
without compromise. With this, the location for the Creative Bag Inc. is
established.

Utilities
Utilities keep the operation running. Utilities are the existing expenses of a
manufacturing plant that is used for the production of goods and products such
electricity, telephone, water and waste disposal.
Absence of electricity would greatly affect the operation. Electricity would
also give enough lighting and ventilation in the production area and power to
computers and other equipment that uses electricity. The plant will rely on the
local electricity provider and will have backup power sources (generator) for safe
keeping.
Telephone, as means of communication to the supplier and customers, is
also considered. The telephone line in the office with a call waiting feature will be
installed. Internet (Wi-Fi) will be provided in the administration building for
purchasing orders, company’s records and other communication needs of the
company.
Water supply, like electricity should always be present in the production
area. It is needed by workforce, in cleaning the production area and machines,
the comfort rooms, offices and so on. In the condition of water supply, the
company will rely on the local water supplier.

Plant Lay-out

Figure 12: Front View

Figure 13: Left Side View


Figure 14: Right Side View

Figure 15: Back View


Figure 16: Top View of Factory (First Floor)

Figure 17: Top View of Office (Second Floor)

Figure 18: Isometric View of Factory (First Floor)


Figure 19: Isometric View of Office (Second Floor)

Figure 20: Emergency Exit Route of Factory (First Floor)


Figure 21: Emergency Exit Route of Office (Second Floor)

Manufacturing Processes
Process Flow Chart

Figure 22: Process Flow Chart


Production Process
Table 8: Manufacturing Process of Creative Bags Inc.
Activity Description
The Canvas and Polypropylene fabric is fed into a slicing
machine, where it’s cut into shapes of specific
measurements. The measurements are determined by
Fabric cutting whether the sides, edges or bottoms are being produced
during a given operation. The process by which the
measurements are made is automatic, which ensures
exact lengths for each cut.
At this stage, the various pieces that comprise the bag
including both the square and rectangular pieces of all the
fabric, interfacing, and zipper are put together with an
industrial sewing machine. Bags are sewn together in
Sewing
mass quantities by a team of trained hands under the
watchful eye of technical supervisors. Each seam must be
straight, tight and secure, with no creases or bends along
any of the sides or bottom ends.
After sewing process is completed, table is inserted inside
Table insertion / the bag, leg installation using a torque driver, and sewing
Finishing the open area used for table insertion is done in this
process.
Once a bags has been sewn together and table has been
inserted inside, each bag is inspected by quality control
inspectors. The purpose is to ensure each bag meets the
Inspection required standards of strength and durability for a product
line of bags. If any bags are found to be insufficiently sewn
or table is not inserted properly, they are removed and
return to the process involved.
Packing Now that a mass production of bags has been completed,
the bags are put inside a clear polythene plastic bag and
place in a corrugated box into select numbers for
distribution in quantities.

Production Process
Although several processing methods are used around the world, only
some of them are economically important from a global perspective. At the same
time, various local methods are highly valued. The process of manufacturing
Laptop table bags can be broken down into the following steps.

Table 9: Flow Chart Diagram for the Laptop Table Bag


Description Symbols Time Distance
 Preparation of
(6mins.)
materials

 To cutting area (2min.) 3m

 Cutting of fabric (1.08mins.)

 To sewing (1min.) 1.5m

 Sewing (15mins.)
 To table insertion /
(1min.) 1.5m
finishing
 Mounting of table
(5.42mins.)
and finishing

 To inspection area (1min.) 1.5m

 Inspection of
(5.33mins.)
finished product

 To packaging area (1min.) 1.5m

 Packaging of
(5.30mins.)
finished product
 To storage area (2mins.) 3m

 Storage of product (5mins.)

TOTAL 51.13mins.
35 product/
0.7188 hours
Quantity Output
(265 products
per day)

NOTE: Thirty five (35) products per day is based on a total of 450 minutes
working hours for each day.

Table 10. Flow Chart Diagram of the Manufacturing Process


SYMBOL Description Process
Operation 5
Transportation 5
Inspection 1
Storage 1
Delay 0
Total 12

Table 8 shows the process flow chart diagram of the manufacturing


process. It shows that operation consists of five processes, transportation has
also five processes, while inspection has one process, and another one process
for storage.

Product Capacity and Production Schedule


The production capacity of the plant, the number of days the project shall
operate per year, the factors determining the plant size and the expected
attainable yearly production are considered.
For the initial year, Creative Bags Inc. will be operating in a one shift basis
with 8hrs of production per day six times a week for the initial year. Further
increase would be implemented based on the result of the initial year and future
demands. Table 10 is the production schedule of Smart Feeder Inc. and the table
is the schedule for one whole cycle.

Table 11: The Legal Holidays


HOLIDAYS DATE
New Year's Day January 1
Chinese New Year (to be determined)
People Power Revolution February 25
Maundy Thursday (to be determined)
Good Friday (to be determined)
Black Saturday (to be determined)
Calamba City Day April 21
Valor Day April 9
Labor Day May 1
Independence Day June 12
Eid'l Fitr (to be determined)
Ninoy Aquino Day August 21
National Heroes Day August 29
Eid'l Adha (to be determined)
All Saints Day November 1
All Souls Day November 2
Bonifacio Day November 30
Christmas Eve December 24
Christmas Day December 25
Rizal Day December 30
New Year's Eve December 31

Companies used to view themselves as separate entities and do not


devote efforts to collaborate with other firms of the extended enterprise. This
even happened at multi-site companies owning different plants that belonged to
the same supply chain. However, manufacturing facilities of the same supply
chain should intensively share information and coordinate planning and
scheduling tasks in order to get a globally optimized solution.
There are always 52 weeks in a calendar year. Each of those 52 weeks
has 6 business days, less holidays which may or may not occur on a weekday in
any given year. Subtracting 52 days of Sundays in 365 normal annual days there
will be an average of 313 days. As calculated, Philippines have 21 non-working
holidays. The researchers subtracted the 21 holidays from 313 business day that
is equal to 294 days. The production schedule is from Monday to Saturday from
8am till 5pm, 6 days a week.

Table 12. Creative Laptop Bag Daily Production Schedule


Production Schedule
Activity Time
Production 08:00 am
Coffee Break (15 minutes) 09:45 am
Lunch Break 12:00 nn
Production 01:00 pm
Coffee Break (15 minutes) 02:45 pm
End of Work 05:00 pm

Table 13. Annual Production Schedule of Creative Laptop Bag Inc.


Year 2018 2019 2020 2021 2022 2023 2024 2025 2026 2027
Total no. of
365 365 366 365 365 365 366 365 365 365
Days/Year
Less:
52 52 52 52 52 52 52 52 52 52
Sundays
Less: Holidays 21 21 21 21 21 21 21 21 21 21
Normal Working
293 293 294 293 293 293 294 293 293 293
Days
Less:
0 -2 -2 -2 -2 -2 -2 -2 -2 -2
Maintenance
Ideal Operating
293 291 291 291 291 291 291 291 291 291
Days
Less: Possible
-1 -2 -3 -2 -2 -2 -3 -2 -2 -2
Interruptions
Less: Plant
-4 -3 -2 -1 -1 -1 -1 -1 -1 -1
Breakdowns
Normal
Manufacturing 293 293 294 293 293 293 294 293 293 293
Days
Less: Plant
0 0 0 0 0 0 0 0 0 0
Adjustment
Possible No. of
293 293 294 293 293 293 294 293 293 293
Working Days

Table 14: Production Capacity


Year Daily Annually
2018 265 77,910
2019 270 79,468
2020 276 81,058
2021 281 82,679
2022 287 84,332
2023 293 86,019
2024 298 87,739
2025 304 89,494
2026 310 91,284
2027 370 93,110

Bill of Materials
Table 15: Bill of Materials for Creative Bags Laptop Table Bag
Item Name of Components Measurement Qty. Unit Price Total
No. (Php) (Php)
1 Polypropylene Fabric Yard 0.81 47.54 38.51

2 Tetoron Cotton Fabric Yard 1.44 27.65 39.82


3 Flexible Foam Interfacing Yard 1.03 82.30 84.77
4 Nylon Fabric Webbing Yard 1.85 32.70 60.50
5 Zipper Yard 2.54 15.40 39.12
6 Polyester Thread (black) Yard 138.4 75.25 3.46
7 Plastic Swivel Snap Hook Piece 2 14.90 29.80
8 Iron Metal Hairpin (Footing) Piece 4 26.05 104.20
9 Flat Head Countersunk Piece 8 1.90 15.20
Socket Cap Screw and Nut
10 Acrylic Plastic Sheet Piece 1 48.60 48.60
TOTAL COST 504.64

Machinery and Equipment


Table 16: Machinery and Equipment Used

Item Equipment/ Price (Php) Item Name Description


No. Machine
1 Cutting Machine 343,200.00 Realtop  Speed scope:
CNC Textile 200-2000rpm
cutting for 10 sections
machine  Stitch length:
0.1-12.7mm
 Max speed:
2500RMP"

2 Sewing Machine 10,920.00 Zowei  Maximum


ZW- Z6 touch sewing
screen thickness:
automatic 13mm
single needle  Maximum stitch
industrial length: 5mm
sewing  Rotating speed:
machine 5000rpm
3 Torque Screw 1,040.00 Co-Share  Torque range:
Driver SRSD-01 0.01-0.1N.m/0.1
electric kgf.cm
torque  Rated Voltage:
screwdriver 220V-240V /
110V

4 Screw Driver Bit 13.00 / pc. Onpin  Ball head S2


Hexagon steel
(Allen) bits screwdriver
Allen bits

5 U Shape Scissor 15.00 Youki  Blade material:


U shape stainless Steel
clippers
trimming
scissors

6 Tape Dispenser 106.00 T-15089  Fit: 2" width


Tape gun tape, 45mm-
dispenser 50mm
 Material: ABS +
Rubber handle

7 Transport Trolley 2,500.00 Kingsun  Dimension:


KS-TL05 1100 x 800 x
1700mm
 Loading
capacity: 500k

Table 17: Materials Used for Laptop Table Bag

Item No. Parts Supplier


1 Polypropylene Fabric Asia Textile Mills Inc.
Km. 51 San Cristobal Calamba
City Calamba Laguna

2 Tetoron Cotton Fabric Asia Textile Mills Inc.


Km. 51 San Cristobal Calamba
City Calamba Laguna

3 Flexible Foam Interfacing Lira Tiania Textile Trading


32 Manila S Rd, Biñan, 4024
Laguna
4 Nylon Fabric Webbing Lira Tiania Textile Trading
32 Manila S Rd, Biñan, 4024
Laguna

5 Zipper YKK
Lot 10 Blk. 1 first Philippine
Industrial Park II – SEZ, San
Rafael, Sto. Tomas, Batangas

6 Polyester Thread (black) Lira Tiania Textile Trading


32 Manila S Rd, Biñan, 4024
Laguna

7 Plastic Swivel Snap Hook YKK


Lot 10 Blk. 1 first Philippine
Industrial Park II – SEZ, San
Rafael, Sto. Tomas, Batangas

8 Iron Metal Hairpin (Footing) Melisco Trading


#213 Barangay Pulo Cabuyao
Laguna
9 Flat Head Countersunk Socket Melisco Trading
Cap Screw and Nut #213 Barangay Pulo Cabuyao
Laguna

10 Acrylic Plastic Sheet Melisco Trading


#213 Barangay Pulo Cabuyao
Laguna

Table 18: Transportation Equipment

Item Price Use Quantity


Isuzu NKR 55 550,000.00 Used for 1
delivering finished
goods to the
distributor.

Waste Management
Finally, utilities and waste disposal are taken into account indicating
specific utilities like electricity, fuel, water supplies and their respective uses,
quantity required, balances, availability of sources, alternative sources and costs.
Chapter III

MANAGEMENT STUDY

Introduction

The test for the feasibility of organization and management are important
aspects of this study. These involves the process of planning, leading,
organizing, staffing and directing ensuring that things within the business are in
order so as for the business to be successful. Organization and management are
the brains behind any manufacturing company.

The management aspect means the coordination, control and accurate


usage of resources in an enterprise with the aim of attaining an organization
goals and objectives. The organizational resources include Man, Money,
Machine and Materials. It considers also the environment.

Vision Statement

“To be the leading manufacturer of innovative bags in the Philippines that


suits the needs of the consumers that give comfort and convenience”.

Mission Statement

To provide solutions to our customer’s need by providing them quality yet


affordable products, delivered on time.

Values of the Company

1. Integrity. We believe in honesty is the foundation of trust.


2. Commitment. We are committed to give satisfaction to our customer by
meeting their demands delivered on time.
3. Innovation. We are continuously striving in improving and innovating our
products.Quality. We give our best in all we do.
4. Compassion. We are focus on the care of others to meet their needs in
tender manner.
Company Objectives

1. To satisfy our customers by meeting their demand and need.


2. To create a safe and healthy working environment for our employees.
3. To innovate our product continuously according to market demand, and
competitor’s strategy.
4. To increase the average sales from year to year by materializing the
above-mentioned objectives.

Management of the Project

1. Management of the project during pre-operating period.


The pre-operating period is a part of the process that fulfils the
necessary pre-operating requirements and responsibilities, the proponents
will have to carry the following activities:
A. Research and Planning – In this period the researchers describe and
gather information about the proposed projects. Commonly, they
investigate and observe to assess if the project if feasible. Some
methodologies are used to determine accomplishment of the study.
A.1 The researchers used qualitative and quantitative method for the
plotting of the designs and to evaluate important factors need to
consider in making the project.
A.2 Researchers performed personal interviews with the target market
who would like to use a convertible laptop bag table for their personal
use and business purposes.
A.3 The researchers gather data by means of personal interview,
library and internet research to prove the feasibility of the convertible
laptop bag table.
The proponents provide and conduct interviews on households, schools
and business establishment. After answering, the respondents were asked for
their opinion regarding on the product.
Research in the library of the university was done to gather related
information about the product. Other information came from the internet.
B. Formal Organization and Procurement of Funds - Formal
organization is a system of well-defined jobs, each bearing a definite
measure of authority, responsibility and accountability, the whole
consciously designed to enable the people of the enterprise to work most
effectively together in accomplishing their objectives. It is a deliberately
designed structure with formal authority, responsibility, rules, regulations
and channels of communication. Some degree of formalization is
necessary for organizations to function effectively; to avoid taking time-
consuming decisions, to handle conflicting situations and exercise control
over the activities of subordinates.
The investors open a joint bank account and deposited their shares
under by Bank of the Philippine Island (BPI). Bank was chosen because it
offers convenience and through online banking, transactions can be
viewed from time to time. Also, it is safe and money will be protected from
theft and fire. Online banking allows you to access your account
history and transactions from anywhere. This is the quickest way to
check and see if a transaction has cleared your account. You can
also find out the amount of a transaction after you have lost your
receipt. It also allows you to find out about unauthorized transactions
more quickly, helping you resolve any issues right away.
All money transaction of the business is through with the bank. It
includes payroll, payments to the supplier, collect payments, government
payments and managing accounts and liquidity.
C. Survey of Possible Location - In this period, the researchers are
going to find the right location capable for the better and successful
operation of the business.
The proposed project site is located at Light Industry and Science
Park II, Turbina SLEX, Calamba City, Laguna. The site has an area of
1,350 square meters and it is under a leasehold contract.
D. Acquisition of Permits and Other Legal Requirements - In
establishing the business, it is necessary to comply with the requirements
rules and regulations to legalize the operation of the business.
Here are some legal requirements needed by the different agencies
of the government in establishing a business.
D.1. Municipal Permit (Mayor’s Permit) and Business License
D.2. Securities and Exchange Commission (SEC) Requirements
D.3. Bureau of Internal Revenue (BIR) Requirements
D.4. Certificate of Non Coverage (CNC) Requirements
D.5. Philippine Economic Zones Authority (PEZA) Requirements
D.6. Bureau of Customs (BOC) Accreditation Requirements
D.7. Department of Labor and Employment (DOLE)
D.8. Government mandatory requirements such as Social Security
System, Home Development Mutual Fund and Philhealth.
E. Building Renovation - In this period the researcher should have a
plan on what is the design or layout of the proposed location of the
business. The building should be built to maximize the area according to
the use of facilities. This includes utilities installation.
F. Employment of Higher Positions - Before the business precedes
to its operation the proponents will hire people that will occupy the higher
positions. These positions are determined to help the proponents to
manage all aspects of operations, to ensure revenues and profits are
maximized, risk is managed and costs controlled, consistent with the
budget and business plans.
The proponents will post job vacancy on the classified ad on job
and newspaper. Then the qualified applicant will be screen and selected
by the proponents.
G. Searching and Acquiring of Machines and Equipment Needed -
In this period, the researcher will search for the best sources of machine
makers when it comes to quality at reasonable costs. Then acquire it to
furnish the operations of the business.
H. Hiring of Laborer - After employing of higher position the assign
personnel in recruitment will determine the laborer. Job vacancies will be
coordinated in different agencies conducting job fair.
Laborers are determined to complete the workforce of the
production area.
I. Procurement of Materials (Direct and Indirect Materials) - The
assigned personnel will search for the possible supplier of raw
materials and acquiring the materials needed for the operations
of the business.
II. Positioning of Machine - The machines and equipment that has
been acquired will be set-up on the work area for the
preparation of operation.
III. Training and Orientation - All hired employee will be trained and
oriented by the personnel whose in higher position and
assigned to a certain process.
IV. Start of the Normal Operation - After completing all the details
of the business this is the period to start the normal operation of
the project.
1. Management of the project during the operating period.
A. Trial and Evaluation – in this stage, the engineering department
conduct a trial and evaluates the product to be produced. This done to
establish the specifications for mass production.
B. Qualification – The quality department checks the do sampling in
timely manner to ensure that the production produced quality products
or meet the specifications. They certify the workers after on-the-job
training and controls documented information.
C. Monitoring – The production head guides and monitors the workers,
inputs, outputs and schedules.

Form of Organization
Creative Bags, Inc. is a Corporation type of business. Corporation is
the most common form of business organization, and one which is chartered
by a state and given many legal rights as an entity separate from its owners
Creative Bags, Inc. is one of the companies in the Philippines that
manufacture and distribute Laptop Bag that is convertible to a table. It was
governed by shareholders. The company assures for providing best products
that are suitable for protecting and preserving the environment.

Type of Business Organization


Most business has economic purposes, although the primary aim is to
make profits. They also looked on the other considerations like the welfare of the
workers and employees, maintaining the good quality of the product, the kind of
business organization that is going to adopt to attain business purposes.
It also helps the management in undertaking the proper division of labor
so that all employees are properly assigned to work in accordance to their skills,
experience and abilities. This is also one way to enhance communication and
teamwork. It helps to balance the individual efforts, coordination and helps to
operate within the defined limits.
Therefore, the type of business organization that has been chosen is
corporation. A corporate structure is perhaps the most advantageous way to start
a business because the corporation exists as a separate entity. In general, a
corporation has all the legal rights of an individual, except for the right to vote and
certain other limitations. Corporations are given the right to exist by the state that
issues their charter.
Manpower Requirement
In general, manpower refers to the total supply of people available or
currently working on a specific job or task. Manpower is also the world leader in
innovative workforce solutions, has detailed key approaches for aligning the core
workplace competencies, culture, values and career paths of candidates within
the right roles and organization in the company. The researchers designed an
organization and defined functions and roles that could optimize the operation of
the plant.

Table 19. Total Manpower for Creative Bags, Inc.

Warehouse / Logistics Supervisor 1


Production Supervisor 1
Finance and Administration Supervisor 1
Product Development Engineer 1
Line Leader/Material Handler 1
Accounting Staff 1
Purchasing Staff 1
Administrative / HR Staff 1
Sales Assistant 1
Fabric Cutting Operator 1
Sewing Operator 13
Table insertion / Finishing Operator 4
Packing Operator 4
Quality Inspector 4
Technician 1
Warehouseman 1
Safety Officer 1
Driver 1
Utility 1
General Manager 1
Secretary 1

TOTAL HEADCOUNT: 42
Organizational Chart

The organizational structure provides representations of the flow of


authority. This will also identify how the duties and responsibilities are delegate to
the staff members. Job description of each employee will be then properly
identified. The following are the job description and job requirements of each
employee:

Figure 28. Corporate Structure


GENERAL MANAGER/OPERATIONS MANAGER
 Overseeing daily business operations.
 Developing and implementing growth strategies.
 Training low-level managers and staff.
 Creating and managing budgets.
 Improving revenue.
 Hiring employees.
 Evaluating performance and productivity.
 Analyzing accounting and financial data.
 Researching and identifying growth opportunities.
 Generating reports and giving presentations.
Time to devote: Full time
Qualifications:
 Male or Female
 Degree in Business Management or Masters in Business Administration.
 Good knowledge of different business functions.
 Strong leadership qualities.
 Excellent communication skills.
 Highly organized.
 Strong work ethic.
 Good interpersonal skills.
 Meticulous attention to detail.
 Computer literate.
 Proactive nature.

FINANCE AND ADMINISTRATIVE SUPERVISOR


 Secures financial information by completing data base backups.
 Maintains financial security by following internal controls.
 Prepares payments by verifying documentation, and requesting
disbursements.
 Prepares asset, liability, and capital account entries by compiling and
analyzing account information.
 Documents financial transactions by entering account information.
 Recommends financial actions by analyzing accounting options.
 Summarizes current financial status by collecting information; preparing
balance sheet, profit and loss statement, and other reports.
 Substantiates financial transactions by auditing documents.
 Maintains accounting controls by preparing and recommending policies
and procedure

Time to devote: Full time


Qualifications:
 Male or Female
 Certified Public Accountant
 Interpersonal/human relations skills
 Verbal and written communication skills and computer literate
 Good in written and oral communication skills
 At least with 5 years of experience in accounting field
 Willing to be trained in administrative task

PRODUCTION SUPERVISOR
 Supervise production operation in all allocated area of the plant or line to
ensure that products are made according to quality and quantity
specifications in timely manner.
 Plan to allocate and identify the required resources to meet the planned
volume schedule and delivery.
 Monitor performance indicator through efficiency, effectiveness
 Implement improvement plans to meet the performance indicators.

 Responsible in providing visible and real time indicators to help operator


meets the expected performance.
 Provide timely production and other performance indicator reports to the
superior as required.
 Overall responsible to ensure that the operation and output meet the
quality requirements and objectives.
 Ensure good housekeeping at all times.
 Ensure that company complies with pollution control requirements

Time to devote: Full time


Qualifications:
 Male or Female
 With bachelor’s degree, preferably graduate of Mechanical or Industrial
Engineering
 Must be proficient in written and oral communication
 Must have a sense of leadership
 Ability to initiate and maintain professional relationships
 Ability to interact with diverse groups of people
 Competent and hardworking
 Certified Pollution Control Officer

PRODUCT DEVELOPMENT ENGINEER


 Manages the new product introduction process from the creation stage of
development up to final approval according to plan, as well as
improvements of existing products.
 Work closely with engineering supervisor and production head for sample
making from marketing and sales driven product sample.
 Ensures product and packaging design are in compliance with customer
requirement.
 Strong practical and problem solving abilities.

 Good presentation skills to interpret and present data and product


development reports.

Time to devote: Full time


Qualifications:
 Male or Female
 Graduate of Manufacturing, Industrial engineering or equivalent.
 Must have at least 1 year experience related to manufacturing and product
development.
 Background in product development is as advantage
 Can work with less that supervision
 Good communication skills both written and oral
 Knowledge in AutoCAD in an advantage

WAREHOUSE / LOGISTICS SUPERVISOR


 Achieve high levels of customers’ satisfaction through excellence in
receiving, identifying, dispatching and assuring goods are in good staging.
 Measure and report the effectiveness of warehouse activities and
performance.
 Organise and maintain inventory and storage area.
 Ensure shipments and inventory transactions accuracy.
 Define staffing levels and assign workloads.
 Maintain items record, documents necessary information and utilize
reports to project warehouse status.
 Identify areas of improvement and establish innovative or adjust existing
work procedures and practices.
 Confer and coordinate activities with other departments.

Time to devote: Full time


Qualifications:
 Male or Female
 Graduate of BS Industrial Engineering
 Knowledgeable in warehousing and logistics operations.
 Hardworking, analytical and results-oriented.
 Must be adept in MS Office Applications.
 Take initiative and has strong leadership qualities.
 Must have 2-3 years’ experience in warehousing operations preferably in
a manufacturing set-up.
 Strong organisational and time management skills.

SALES ASSISTANT
 Meets revenue targeted by expanding sales in assigned accounts and
identifying new sales opportunities.
 Creates marketing materials such as brochures and advertisements
 Organize and coordinates meeting with customers
 Prepare weekly sales report
 Maintains relationships with customers by providing information,
confirmation, support and guidance.
 Represents the company at trade exhibitions and events.
 Assist in monitoring and collecting accounts receivables.
 Acts as a main POC between the company and the customers.

Time to devote: Full time


Qualifications:
 Female
 Bachelor’s degree in any business course, Marketing or related field.
 At least one year of experience in Sales and Marketing
 Must have extensive knowledge in selling/negotiation skills.
 Proficient in MS Office
 High level of customer service and interpersonal skills
 Ability to multi-task and work in a high energy environment
 Strong communication, presentation and organization skills

SAFETY OFFICER / MATERIAL PLANNER


 Establishes demand and forecasting process to connect and align all
areas involved.
 Calculates monthly, weekly, daily forecast based on historical data of
goods/items.
 Handles material requirement planning and procurement.
 Observes work in progress, ensures that proper safety equipment is worn
and procedures are followed.
 Analyses hazards and develops risk assessments for both public areas
and work sites; develop policies, plans and procedures to minimize risk to
the public and employees.
 Evaluates working conditions and work safe practices and develops
recommendations whenever necessary

Time to devote: Full time


Qualifications:
 Male or Female
 Bachelor’s degree in Engineering such as Industrial, Mechanical, Civil or
equivalent
 Strong collaborative skills and effective communication skills.
 Must have BOSH certification
 Strong personality and sense of responsibility
 Exceptional written and verbal communication skills
 At least 3 years of work experience in related field
 With knowledge in potential hazardous materials and practices
 Experience in writing reports and policies in health and safety

ADMINISTRATIVE / HUMAN RESOURCES STAFF


 Provide support for all types of organizations and businesses and their
staff members.
 Duties can include general clerical tasks, such as drafting documents and
answering telephones, as well as administrative jobs, including scheduling
and project management.
 Responds to queries and request in HR helpdesk
 Provide clerical and technical support in such areas as recruiting, hiring,
compensation, and benefits.
 Gather information on employees' training, skills, wages, promotions, and
general work history.
 Creates and update 201 file or employee database
 Prepare employee reports for managers in the organization.

Time to devote: Full time


Qualifications:
 Female
 College graduate in BS Psychology, BS Industrial Engineer, BS Nursing
or Human Resource Management
 With good communication skills
 Sound judgment
 Must have sense of urgency and responsibility
 Highly organize and has keen to details
 Newly graduates are welcome
PURCHASING STAFF
 Plans, recognizes, controls the purchasing and document control activities
of the company and participate in formulating the purchasing policies.
 Secure vendors, suppliers, and contractors’ accreditation to ascertain their
ability to meet organizations specific requirements for design,
performance, price & delivery.
 Negotiates contracts, keeping within budgetary limitations.
 Buys equipment’s, raw materials services and other supplies needed for
use or consumption by the organization.
 Keep records of cost, deliveries and performance and discusses defects
with user section with a view to rectification by supplier or change in
specification or change of supplier.
 Coordinates with Accounting Department for payment of any materials
and supplies purchased.
 Keeping records and control documents ( Internal & External )

Time to devote: Full time


Qualifications:
 Male or Female
 Graduate of any Management course or Industrial Engineer
 Knowledge in computer
 Willing to work and to be trained
 Accurate and precise attention to details
 Able to multitask, prioritize, and management time efficiently
 Excellent verbal and written communication skills; able to negotiate,
establish, and process contracts
ACCOUNTING STAFF
 Assist and participate in the preparation of financial statements such as
Balance Sheet Income Statement and Cash Flows and other management
reports.
 Perform analysis of past due accounts receivable and initiate proper
resolution in a timely manner.
 Oversee the timely and accurate submission of all statutory returns to BIR
 Ensure that balance sheet and reconciliations are reconcile in a timely
manner and that any reconciling items are properly identified and
resolved.
 Audit of payables/check voucher.
 Prepares bank reconciliation.

Time to devote: Full time


Qualifications:
 Male or Female
 Bachelors/College degree in Accountancy, Financial Management,
Accounting Technology etc.
 With experience in Accounts payable and accounts receivable and
collection monitoring.
 Experience on a construction or real estate industry is a plus.
 At least 1 year of working experience in the related field is required for this
position.
 Detail oriented, analytical, systematic and organized.
 With good oral and written communication.

LINE LEADER / MATERIAL HANDLER


 Monitors production output, yield and scheduling.
 In charge and accountable of the inventory room for pull out and release
of materials or equipment.
 Material preparation of incoming project installation. Making sure that
materials and equipment were all prepared and complete prior to project
installation.
 Responsible in checking, reserving and receiving of company materials,
equipment and product.
 Tools monitoring
 Coordinates with warehouse on materials needed and to ensure materials
releasing is on time.
 Assist accounting with the month-end and year-end inventory.
 Other task assigned by management

Time to devote: Full time


Qualifications:
 Male or Female
 Bachelor’s degree in any field
 At least 1 year of experience in related task
 Proficient in MS office

PRODUCTION ASSOCIATES
(Fabric Cutting, Sewing, Table Insertion/Finishing, Inspection, Packing)
 Responsible for operating equipment in the factory
 Preparing the materials needed
 Housekeeping in the working area
 Involve assembling and checking products
 Ensuring that machines run smoothly
 Assisting in packaging and shipment of items
 Other task assigned by superior
 Observe and follow proper work procedure.
 Check products thoroughly.
 Ensure that all the forms issued by coordinating departments are properly
filled-up when required.

Time to devote: Full time


Qualifications:
 Male or Female
 At least high school graduate, Senior High or any vocational course,
college level
 Fresh graduates are welcome to apply
 With or without experience and willing to be trained
 Must able to follow instructions
 Hardworking, honest, reliable and responsible

TECHNICIAN
 Responsible in machine and equipment maintenance.
 Production support
 Preventive maintenance and monitoring of machine performance.
 Follows occupational health and safety standards/programs
 Safe keep hardware and materials
 Inventory taking of tools and spare parts
 Perform other duties and responsibilities which may be assigned by the
superior from time to time.

Time to devote: Full time


Qualifications:
 Male
 At least Vocational graduate, Mechatronics or equivalent
 Basic knowledge in computer
 With experience as machine maintenance technician
 Must have knowledge in machine troubleshooting and problem solving
techniques or methodologies.
 Must have good interpersonal and communication skills

WAREHOUSEMAN
 Receive incoming delivery (checks the purchase order vs. sales invoice)
 Delivery of finished goods to the customers
 Responsible in issuance of materials requested by other departments
 Processing of delivery receipt and commercial invoice
 Managing, organizing and retrieving stock in the warehouse
 Carry stocks in and out of warehouse
 Responsible in safe keep of raw materials and finished goods
 Responsible for proper storage, segregation and handling of items to be
delivered.
 Arrange the products for delivery.
 Make sure to have proper endorsement to the Customer upon delivery of
goods.
 Observe proper documentation and safekeeping of documents.
 Conducts periodic inventory checks and assists with checking on any
discrepancies.

Time to devote: Full time


Qualifications:
 Male
 College level or vocational graduate
 Can drive fork lift, container van and car
 With at least 1 year of experience in related field
 Organized, responsible and flexible

UTILITY
 Clean and supply designated building areas (dusting, sweeping,
vacuuming, waxing, moping, cleaning ceiling vents, restroom, etc.)
 Perform and document routine inspection and maintenance activity.

 Carry out heavy cleansing task and special projects


 Notify management of occurring deficiencies or needs for repair.
 To clean areas quickly, neatly and efficient

Time to devote: Full time


Qualifications:
 Male
 At least High school graduate
 Helpful and hardworking
 With less than 1 year of experience in general work (Housekeeper)
 Can maintain a friendly and approachable attitude towards co-employees.
 Can work under supervision

DRIVER
 Responsible in transporting the finished goods to target customer.
 Report any problem seen during delivery.
 Perform the specific task assigned by the superior.
 Obey company rules and regulations.
 Help other section / department when the need arises.
 Perform other duties and responsibilities, which may be assigned by the
superior from time to time

Time to devote: Full time


Qualifications:
 Male
 Knowledge in driving
 Have driver’s license
 At least high school graduate
 Flexibility and the ability to do work

SECRETARY
 Manage the daily/weekly/monthly agenda and arrange new meetings and
appointments
 Prepare and disseminate correspondence, memos, and forms
 File and update contact information of employees, customers, suppliers
and external partners
 Support and facilitate the completion of regular reports
 Develop and maintain a filing system
 Check frequently the levels of office supplies and place appropriate orders
 Document expenses and hand in reports
 Undertake occasional receptionist duties

Time to devote: Full time


Qualifications:
 College graduate
 Proven work experience as a secretary or administrative assistant
 Familiarity with office organization and optimization techniques
 High degree of multi-tasking and time management capability
 Excellent written and verbal communication skills
 Integrity and professionalism
 Proficiency in MS Office

Chapter IV

FINANCIAL STUDY

The financial study is considered one of the key pillars of astute


investment decisions. It is one of the most critical stages of feasibility studies in
general and on which the investment decision to proceed will be made. The
financial study measures the extent of the project’s commercial profitability, and
determines the sources of finance and the structure of this proposed project
finance. A financial study projects how much start-up capital is needed, sources
of capital, returns on investment, and other financial considerations.

Major Assumptions

To determine the possible future revenues and expenditures of the


company, The Smart Feeder Inc. assumed the following:
1. The business will adopt the calendar year of operation starting January
2018.
2. Working days are 6 days in a week; 24 days in a month; 294 days in a
year.
3. Salaries and payroll expenses will increase by an average of 5% annually
after its first three years of operation.
4. Employees’ salaries are payable every 15th and 30th day of the month.
5. Sales return and allowances would be 1% of gross sales.
6. Ten percent of the unit’s goods available for sale for the year remain in the
inventory.
7. Selling price will depend on the direct materials used, direct labor, and
manufacturing OH plus 20% mark-up based on cost.
8. Only 80% of sales is on cash basis.
9. Price of raw materials will increase by an average of 5% yearly.
10. Supply expense will increase by an average of 5% yearly both for factory
and office.

11. Utilities expense for factory and office will also both increase by an
average of 5% yearly.
12. There will be 2% allowance for doubtful accounts based on the accounts
receivable at the year end.
13. Office supplies expense will increase by an average of 5% yearly.
14. Raw materials and indirect materials purchases will be 40% cash, 60%
credit purchases while 80% would be paid annually.
15. Repair and maintenance will increase by an average of 5% yearly.
16. Insurance expense and miscellaneous will increase by an average of 5%
yearly.
17. Income tax return rate of 30% will be used.
18. A sale in units is increased by 5% every year.
19. Sales invoice and official receipt will be both used.

Table 20: Depreciation

Useful Life in Years

Machine And Equipment 10

Office Equipment 10

Furniture and Fixture 10

Transportation 10

Building 10
Total Project Cost

All costs which have been or are estimated to be incurred by the company
with respect to the acquisition, design, development, construction, debt financing,
leasing, and completion of a project, are initially estimated in the development
budget. Total Project Costs shall include all development, licensing and leasing
fees.

Table 21: Total Project Cost


TOTAL PROJECT COST
Building and Real Estate
Building Lease 1,627,200.00
Building Rental (3 months Security Bond) 406,800.00
Total Building and Real Estate 2,034,000.00

Capital Equipment
Office Equipment 255,699.00
Transportation Equipment 550,000.00
Production Equipment 493,380.00
Furniture and Fixtures 136,525.00
Leasehold Improvement 200,000.00
Total Capital Equipment 1635,604.00

Working Capital
Raw Materials 9,036,876.34
Direct Labor 994,207.50
Indirect Materials 64,357.79
Indirect and Administrative Salary 844,862.75
Water 18,522.00
Electricity 194,000.17
Communication 17,394.00
Office Production and Helper's Supplies 12,290.75
Fuel & Toll Fee 27,234.75
Total Working Capital 11,209,746.05
Pre-operating Expense
Car Registration & Insurance 18,060.00
Government Fees 24,680.00
Advertising 40,000.00
Maintenance & Repair 24,800.00
Total Pre-operating Expense 107,540.00

Total Projected Cost 14,986,890.05


Estimated Cash for Contingencies 1,013,109.95
Total Capital Requirement 16,000,000.00

Total Project Cost 16,000,000.00


Stockholders Share (4 person) 4,000,000.00

Financial Statement

A company's financial statements provide vital information about its


financial health. These statements are compiled based on day-to-day
bookkeeping that tracks funds flowing in and out of the business. The information
the statements provide offers benchmarks and feedback that help the company
make minor adjustments and also determine its overall direction. Financial
statements are useful for making decisions regarding expansion and financing.
They also figure into marketing decisions, providing data indicating which
aspects of company operations provide the best return on investment.

Relevant financial information is presented in a structured manner and in a


form which is easy to understand. For large corporations, these statements may
be complex and may include an extensive set of footnotes to the financial
statements and management discussion and analysis. The notes typically
describe each item on the balance sheet, income statement and cash flow
statement in further detail. Notes to financial statements are considered an
integral part of the financial statements.
Income Statement

The Income Statement is one of a company’s core financial statements


that shows their profit and loss over a period of time. The profit or loss is
determined by taking all revenues and subtracting all expenses from both
operating and non-operating activities. The income statement is one of three
statements used in both corporate finance (including and accounting). The
statement displays the company’s revenue, costs, gross profit, selling and
administrative expenses, other expenses and income, taxes paid, and net profit,
in a coherent and logical manner.

The profit is the primary objective of every business. Various parties such
as management, shareholders, investors, creditors, and government agencies
are interested to know the success of business operations of the company in
terms of profitability. The companies periodically provide this information through
preparing and publishing an audited income statement. Moreover, all publicly
owned companies are legally required to prepare and publish an income
statement as a part of their annual reports.

Cash Flow Statement

Cash flow is the money (cash) that flows into and out of your business.
Having good cash flow is crucial to keeping your business up and running, and
also looks good in the eyes of potential investors and lenders/creditors. It also
can allow you to pay off debt and expand your business. The cash flow
statement (also known as the statement of cash flows) is a good consolidated
indicator of a business’s cash inflow and outflow. It breaks down these cash
flows into three distinct categories: operating activities, investing activities, and
financing activities.
Not only do these reports share vital information about your business with
interested parties (shareholders, potential lenders, and creditors, to name a few),
but you can also use them to get a good sense of whether your business is
financially healthy or headed for trouble. It’s also a great tool for your own
accounting department because it can help determine whether there’s enough
cash flow to cover upcoming expenses like payroll. It can also be useful to
compare the cash reported under the operating activities section with the net
income reported on the income statement: if the cash reported is consistently
higher than net income, that’s a good sign (the business is bringing in more cash
than it’s using), and if not, then that’s a red flag that merits some further
investigation.

Balance Sheet

A balance sheet is one of several major financial statements you can use
to track spending and earnings. Also called a statement of financial position, a
balance sheet shows what your company owns and what it owes through the
date listed. It displays this information in terms of your company’s assets,
liabilities, and equity. Assets are any items your business owns. Liabilities are
payments your business needs to make. Equity is the amount your business’s
shareholders own. On balance sheets, the assets are ideally equal to, or balance
out, the liabilities and the equity.

It’s clear that balance sheets are critical documents because they keep
business owners informed about the company’s financial standing. Typically, if
the ratio of the business’s assets to liabilities is less than 1 to 1, the company is
in danger of going bankrupt, and need to make some strategic moves to improve
its financial health. Balance sheets are also important because these documents
let banks know if the business qualifies for additional loans or credit. Balance
sheets help current and potential investors better understand where their funding
will go and what they can expect to receive in the future. Investors appreciate
businesses with high cash assets, as this insinuates a company will grow and
prosper.

Financial Ratio Analysis


Financial ratios are useful tools that help companies and investors analyze
and compare relationships between different pieces of financial information
across an individual company's history, an industry, or an entire business sector.
Numbers taken from a company's income statement, balance sheet, and cash
flow statement allow analysts to calculate several types of financial ratios for
different kinds of business intelligence and information.
Financial ratio analysis can provide meaningful information on company
performance to a firm's management as well as outside investors. Ratios serve
as a comparative tool of analysis for liquidity, profitability, debt, and asset
management, among other categories—all useful areas of financial statement
analysis. Performing an accurate financial ratio analysis and comparison helps
companies gain insight into their financial position so that they can make
necessary financial adjustments to enhance their financial performance.

Profitability Ratio
Profitability ratios are financial metrics used to measure and evaluate the
ability of a company to generate income (profit) relative to revenue, balance
sheet assets, operating costs, and shareholders’ equity during a specific period
of time. They show how well a company utilizes its assets to produce profit and
value to shareholders. The ratios are most useful when they are analyzed in
comparison to similar companies or compared to previous periods.
Table 22: Profitability Ratio

Operating Profit Margin


Year Operating Profit Net Sales Percentage (%)
2018 11,978,021.70 55,114,856.33 21.7%
2019 15,053,544.95 64,197,784.65 23.4%
2020 16,840,505.68 68,697,132.24 24.5%
2021 18,595,434.39 72,935,914.60 25.5%
2022 20,464,754.57 77,376,865.87 26.4%
2023 22,473,367.47 82,082,049.87 27.4%
2024 24,632,990.32 87,072,708.24 28.3%
2025 26,954,467.37 92,366,736.15 29.2%
2026 29,449,190.90 97,982,634.46 30.1%
2027 32,129,302.01 103,939,978.72 30.9%

Table 22 shows that on the first year of operation, 21.7% represent profit
for every peso of sales. This net profit margin will remain almost constant if the
number of devices to be sold will increase in a constant rate of 5% and no major
changes in tax laws and inflation rate. Based on the figure above the researchers
were able to conclude that the project is feasible considering that the net profit
margin is positive each year.

Return on Investment

A performance measure used to evaluate the efficiency of an investment


or compare the efficiency of a number of different investments. ROI tries to
directly measure the amount of return on a particular investment, relative to the
investment’s cost.
Table 23: Return on Investment
Year Net Income Total Investment Percentage (%)
2018 11,978,021.70 16,000,000.00 74.9%
2019 15,053,544.95 16,000,000.00 94.1%
2020 16,840,505.68 16,000,000.00 105.3%
2021 18,595,434.39 16,000,000.00 116.2%
2022 19,441,516.84 16,000,000.00 121.5%
2023 21,349,699.10 16,000,000.00 133.4%
2024 23,401,340.81 16,000,000.00 146.3%
2025 25,606,744.00 16,000,000.00 160.0%
2026 27,976,731.36 16,000,000.00 174.9%
2027 30,522,836.91 16,000,000.00 190.8%

Table 23 shows the computation of return on investment. The ratio is


aimed at determining how much profit has accrued from the total invested capital.
The higher ratio is considered better and based on the computed rates; the
constant speed of recovery is established. The above table shows that on the
tenth year, the return of investment is at 190.8%
ROI Formula

Shareholder Ratio

Shareholder ratios are measures used to assess the level of return


received by the shareholders of a company.

Table 24: Shareholder Equity Ratio


Year Equity Total Assets Shareholder
Equity Ratio
2018 27978021.71 28557042.70 98.0%
2019 43031566.65 43610587.65 98.7%
2020 56503971.19 57082992.19 99.0%
2021 71380318.70 71959339.70 99.2%
2022 86933532.18 88535790.91 98.2%
2023 104013291.45 105715980.83 98.4%
2024 122734364.10 124545034.61 98.5%
2025 143219759.30 145146503.66 98.7%
2026 165601144.40 167652624.93 98.8%
2027 190019413.91 192204900.01 98.9%

The shareholder equity ratio shows how much of the company's


assets are funded by equity shares. Table 24 shows that the ratio result is
high the more assets it has financed with equity instead of taking on debt.

Financing or Leverage Ratio

A company can finance its assets either with equity or debt. Financing
through debt involves risk because debt legally obligates the company to pay
interest and to repay the principal as promised. Equity financing does not
obligate the company to pay anything – dividends are paid at the discretion of the
board of directors. There is always some risk, inherent in any operating segment
of a business. But how a company chooses to finance its operations – the
particular mix of debt and equity – may add financial risk on top of business risk.
Financial risk is the extent that debt financial is used relative to equity.

Table 25: Debt to Equity Ratio


Year Total Debt Equity Ratio
2018 579,021.00 27,978,021.70 2.1%
2019 579,021.00 43,031,566.65 1.3%
2020 579,021.00 56,503,971.19 1.0%
2021 579,021.00 71,380,318.70 0.8%
2022 1,602,258.73 86,933,532.18 1.8%
2023 1,702,689.37 104,013,291.45 1.6%
2024 1,810,670.52 122,734,364.10 1.5%
2025 1,926,744.37 143,219,759.30 1.3%
2026 2,051,480.55 165,601,144.38 1.2%
2027 2,185,486.10 190,019,413.91 1.2%

The decreasing trend in the debt ratio from the years 2018 to 2021
indicates that the firm is becoming more independent with the borrowed funds to
finance its assets. There is a lesser risk on part of the firm for the satisfaction of
the creditors before the owners.

Liquidity Ratio

Liquidity ratio is a class of financial metrics used to determine a debtor's


ability to pay off current debt obligations without raising external capital. Liquidity
ratio measure a company's ability to pay debt obligations and its margin of safety
through the calculation of metrics including the current ratio, quick ratio, and
operating cash flow ratio.

Table 26: Liquidity Ratio


Current Current Quick
Year Current Asset Quick Assets Liability Ratio Ratio
2018 25,464,999.10 20,980,819.25 579,021.00 43.98 36.23
2019 40,862,104.45 35,715,675.17 579,021.00 70.57 61.68
2020 54,678,069.40 49,240,892.15 579,021.00 94.43 85.04
2021 69,897,977.30 64,195,976.10 579,021.00 120.72 110.87
2022 868,179,88.91 80,841,968.69 1,602,258.73 54.18 50.46
2023 104,341,739.23 98,078,403.65 1,702,689.37 61.28 57.60
2024 123,514,353.41 116,949,377.17 1,810,670.52 68.21 64.59
2025 144,459,382.86 137,577,687.97 1,926,744.37 74.98 71.40
2026 167,309,064.53 160,094,815.46 2,051,480.55 81.56 78.04
2027 192,204,900.01 184,641,469.10 2,185,486.10 87.95 84.49

As shown by the table, the current ratio had a net increase from 2018 to
2027. This shows that the firm has the capacity to meet all of its current
obligations and still have some assets left for the owners. It also indicates an
improving financial situation and liquidity of the business.

Activity Ratio

Activity ratios are a category of financial ratios that measure a firm's ability
to convert different accounts within its balance sheets into cash or sales. Activity
ratios measure the relative efficiency of a firm based on its use of its assets,
leverage, or other similar balance sheet items and are important in determining
whether a company's management is doing a good enough job of generating
revenues and cash from its resources. Activity ratios measure the amount of
resources invested in a company's collection and inventory management.
Because businesses typically operate using materials, inventory, and debt,
activity ratios determine how well an organization manages these areas.

Table 27: Activity Ratio


Total Fixed
Fixed Asset Asset
Year Cost of Sales Inventory Sales Total Assets Assets Turnover Turnover
2018 40,357,618.70 4,484,179.85 55,114,856.33 28,557,042.70 3,435,604.00 1.93 16.04
2019 46,317,863.54 5,146,429.28 64,197,784.65 43,610,587.65 3,435,604.00 1.47 18.69
2020 48,934,595.20 5,437,177.24 68,697,132.24 57,082,992.19 3,435,604.00 1.20 20.00
2021 51,318,010.81 5,702,001.20 72,935,914.60 71,959,339.70 3,435,604.00 1.01 21.23
2022 53,784,182.00 5,976,020.22 77,376,865.87 88,535,790.91 3,435,604.00 0.87 22.52
2023 56,370,020.21 6,263,335.58 82,082,049.90 105,715,980.83 3,435,604.00 0.78 23.89
2024 59,084,786.18 6,564,976.24 87,072,708.24 124,545,034.61 3,435,604.00 0.70 25.34
2025 61,935,254.03 6,881,694.89 92,366,736.15 145,146,503.66 3,435,604.00 0.64 26.89
2026 64,928,241.64 7,214,249.07 97,982,634.46 167,652,624.93 3,435,604.00 0.58 28.52
2027 68,070,878.26 7,563,430.92 103,939,978.72 192,204,900.01 3,435,604.00 0.54 30.25

Above table shows inventory turnover per year. This indicates that the
inventory management of Creative Bags Inc. is well maintained over time.

Payback Period

The payback period refers to the amount of time it takes to recover the
cost of an investment. Payback period is the length of time an investment
reaches a breakeven point. The desirability of an investment is directly related to
its payback period. Shorter paybacks mean more attractive investments. The
concept of the payback period is generally used in financial and capital
budgeting. But it has also been used to determine the cost savings of energy
efficiency technology.

Table 28: Payback Period


Cost of Annual Cash
Year Investment Inflow Balance Payback Period
2018 16,000,000.00 11978021.70 4,021,978.30 1
2019 15,053,544.95 (15,419,537.7) 0.2672
2020 1.27 years

TOTAL Project Cost = 14,986,890.05


Payback Period = (1 + 4,021,978.30) / 15,053,544.95
= 1.27 YEARS

Table 28 shows that the payback period is 1.27 years. It only shows that
the loan will be fully paid before the end of the 2nd year.
CHAPTER V
LEGAL STUDY

Business Registration
Starting a business in the Philippines is easy and does not have to be a
daunting task.

Procedure in Registering Businesses in the Philippines

1. Verify and reserve the company name with the Securities and
Exchange Commission (SEC)
Agency: Securities and Exchange Commission
The name search can be done electronically via the SEC's online
verification system, but applicants must pay for the reservation fee on site
at the SEC. Once the reserved name was approved by the SEC, it costs
PHP 100 (fixed) for the first 30 days. The reservation certificate is obtained
in-person at SEC.

2. Deposit the paid-in minimum capital at the bank


Agency: Bank
According to Section 13 of the Corporation Code, the paid-up capital of a
Philippine corporation must not be less than 5,000 pesos. Thus, it
is required that at least twenty five percent [25%] of the
subscribed capital stock should be fully paid up but the amount of which
should not be less than said PhP5,000.00. Even though a certificate of
deposit is not a requirement by the Securities and Exchange Commission
(SEC) for company registration, this procedure must be completed in order
to abide by the applicable law.
The required minimum paid-in capital is reflected in the Articles of
Incorporation and supported by the Treasurer's Affidavit as provided under
Section 14 of the Corporation Code. SEC requires a Treasurer's Affidavit
stating that the deposit has been made in the corporation's treasurer-in-
trust account.

3. Notarize articles of incorporation and treasurer's affidavit at the


notary
Agency: Notary
According to Section 14 and 15 of the Corporation Code, articles of
incorporation should be notarized before filing with the SEC. Under
Section 15 of the Corporation Code, the Treasurer's Affidavit should also
be notarized. The 2004 Rules on Notarial Practice require the presence of
the person(s) who executed the document (Articles of Incorporation and
Treasurer's Affidavit) before the notary public.

4. Register the company with the SEC and pre-registration for Taxpayer
Identification Number (TIN), Security System (SSS), Philippine Health
Insurance Company (PhilHealth), and Home Development Mutual
Fund (Pag-ibig Fund).
Agency: Securities and Exchange Commission
The company can register online through SEC i-Register, but
entrepreneurs must pay at the SEC. The following documents are required
for SEC registration:
a. Company name verification slip;
b. Articles of incorporation (notarized) and by-laws;
c. Treasurer's affidavit (notarized);
d. Statement of assets and liabilities;
e. Registration data sheet with particulars on directors, officers,
stockholders, and so forth;
f. Written undertaking to comply with SEC reporting requirements
(notarized);
g. Written undertaking to change corporate name (notarized).
On August 15, 2011, SEC launched the Green Lane Unit (GLU) that
provides 1 day registration of applications for stock corporations and
partnership. In practice, it takes 1-3 business days to process
incorporation papers and obtain SEC approval.

The pre-registered Taxpayer Identification Number (TIN) is automatically


obtained from the SEC Head Office upon registration. However, the
company must still register with the Bureau of Internal Revenue (BIR) in
order to identify applicable tax types, pay an annual registration fee, obtain
and stamp sales invoices, receipts and the books of accounts.
Cost: 1/5 of 1% of the authorized capital stock or the subscription price of
the subscribed capital stock (whichever is higher but not less than PHP
1,000) + legal research fee (LRF) equivalent to 1% of filing fee but not less
than PHP 10 + PHP 500 By-laws + PHP 150 for registration of stock and
transfer book (STB) required for new corporations + PHP 320 STB + PHP
10 legal research fee for the By-laws.

5. Obtain Barangay Clearance


Agency: Barangay
To get the barangay clearance, the following documentary requirements
should be submitted to the Barangay: Application form, SEC Certificate of
Incorporation and approved articles of incorporation and bylaws, location
plan/site map and the contract of lease over the corporation's office.
This clearance is obtained from the Barangay where the business is
located. Barangay fees vary in each Barangay since they have the
discretion to impose their own fees and charges as long as these fees are
reasonable and within the limits set by the Local Government Code and
city ordinances. In Calamba City, the fees range from PHP 500 to PHP
1300.
The clearance is obtained in one day, provided that the barangay captain
is in the office as the captain is the only official authorized to sign.
6. Pay the annual community tax and obtain the community tax
certificate (CTC) from the City Treasurer's Office (CTO)
Agency: City Treasurer's Office
The company is assessed a basic and an additional community tax. The
basic community tax rate depends on whether the company legal form is a
corporation, partnership, or association (PHP 500 or lower). The additional
community tax (not to exceed PHP 10,000.00) depends on the assessed
value of real property the company owns in the Philippines at the rate of
PHP 2.00 for every PHP 5,000.00 and on its gross receipts, including
dividends or earnings, derived from business activities in the Philippines
during the preceding year, at the rate of PHP 2.00 for every PHP 5,000.00.

7. Obtain the business permit to operate from the BPLO


Agency: Business Permits and Licensing Office
The fees vary depending on the LGU issuing the permit. The rate of
license fee imposed in Calamba City is 1/5% of 1% of the authorized
capital stock. Other permits, such as location clearance, fire safety and
inspection certificate, sanitary permit, certificate of electrical inspection,
mechanical permit, and other clearances or certificates required
depending on the nature of business, are also imposable. The rate of
these fees depends on the nature of business and land area occupied by
the proposed corporation.
The barangay clearance is a prerequisite for the issuance of business
permit to operate.
Executive Order No. 17, series of 2011 created the Business-One-Stop-
Shop to obtain a business permit. The entire procedure including getting
approval for the business permit takes around one to two weeks.
Cost: (PHP 3,750.00 business tax (25% of 1% of paid-up capital) + PHP
5,000 mayor’s permit + PHP 90 sanitary inspection fee + PHP 150
signboard fee + PHP 100 business plate + PHP 100 QCBRB + PHP 545
zoning clearance + PHP 180 garbage fee+ PHP 50 FSIC (10% of all
regulatory fees).

8. Buy special books of account at bookstore


Agency: Bookstore
Special books of accounts are required for registering with the BIR. The
books of accounts are sold at bookstores nationwide. One set of journals
consisting of four books (cash receipts account, disbursements account,
ledger, general journal) costs about PHP 200.
If the company has a computerized accounting system (CAS), it may opt
to register its CAS under the procedures laid out in BIR Revenue
Memorandum Order Nos. 21-2000 and 29-2002.
The BIR Computerized System Evaluation Team is required to inspect and
evaluate the company’s CAS within 30 days from receipt of the application
form (BIR Form No. 1900) and complete documentary requirements.

9. Apply for Certificate of Registration (COR) and TIN at the Bureau of


Internal Revenue (BIR)
Agency: Bureau of Internal Revenue
After the taxpayer obtains the TIN, the company must pay the annual
registration fee of PHP 500 at any duly accredited bank, using payment
form BIR Form 0605).
All newly formed corporations subject to SEC registration are issued pre-
generated TIN by SEC-Head Office, which is indicated on their SEC
Certificate of Registration. The corporation only has to register its pre-
generated TIN with the BIR and report all internal revenue taxes that it
expects to be liable for.
The requirements for application for COR with the BIR are:
a. Duly accomplished and filled-out BIR Form No. 1903 (Application
for Registration for Corporations);
b. Payment Form (BIR Form No. 0605);
c. SEC Certification of Incorporation;
d. Articles of Incorporation and By-laws;
e. Contract of Lease (with BIR Form No. 2000 and supporting BIR
Payment Form as proof of payment of documentary stamp tax on
the lease agreement);
f. Documentary Stamp Tax Return (BIR Form No. 2000) on the
original issuance of shares and Payment Form (for the DST
payment); and
g. Mayor’s Permit/Business Permit Application (duly stamped received
by the Business Licensing Division of the local government of
Quezon City).

10. Pay the registration fee and documentary stamp taxes (DST) at the
AAB
Agency: Bureau of Internal Revenue
The rate of documentary stamp tax on original issuance of shares of stock
shall be PHP 1.00 for every PHP 200.00 or fractional part thereof, of the
par value, of such shares of stock.
The documentary stamp tax return shall be filed and the tax paid on or
before the fifth (5th) day after the close of the month of approval of SEC
registration.
Cost: (PHP 500 registration fee + PHP 5,165.345 DST on original
issuance of shares of stock. DST on the lease contract is not included in
the computation of the cost).

11. Obtain the authority to print receipts and invoices from the BIR
Agency: Bureau of Internal Revenue
The authority to print receipts and invoices must be secured before
printing the sales receipts and invoices.
a. Accomplish BIR Form 1906 and submit the same together with the
documentary requirements to RDO where the HO is located or
concerned office under the Large Taxpayer Service;
b. Keep/File PCD and ATP copy duly received/issued by BIR for audit
purposes;
c. Taxpayer’s branch office shall furnish its RDO a copy of the ATP
issued by the appropriate BIR office having jurisdiction over the
head office.

12. Print receipts and invoices at the print shop


Agency: Bureau of Internal Revenue
a. Prepare Printer’s Certificate of Delivery (PCD) in five (5) copies and
submit to RDO where the place of business is located or concerned
office under the Large Taxpayer Service within thirty (30) days from
date of ATP and prior to delivery of receipts and/or invoices to
taxpayer;
b. Furnish the taxpayer and its branches copy of the received PCD
and approved ATP together with the taxpayer’s Sworn Statement
within thirty (30) days from the issuance of PCD. One copy thereof
shall likewise be submitted to the BIR Office that has jurisdiction
over the head office of the printer.

13. Have books of accounts and Printer’s Certificate of Delivery (PCD)


stamped by the BIR
Agency: Bureau of Internal Revenue
After the printing of receipts and invoices, the printer issues a Printer’s
Certificate of Delivery of Receipts and Invoices (PCD) to the company,
which must submit this to the appropriate BIR RDO (i.e., the RDO which
has jurisdiction over the company’s principal place of business) for
registration and stamping within thirty (30) days from issuance. The
company must also submit the following documents:
a. All required books of accounts;
b. VAT registration certificate;
c. SEC registration;
d. BIR Form W-5;
e. Certified photocopy of the ATP; and
f. Notarized taxpayer-user’s sworn statement enumerating the
responsibilities and commitments of the taxpayer-user.
The company must also submit a copy of the PCD to the BIR RDO having
jurisdiction over the printer’s principal place of business.

14. Final Registration with the Social Security System (SSS)


Agency: Social Security System
Employer registration shall be made through the Employer Registration
Form (SS Form R-1), which should be submitted with the Specimen
Signature Card (SS Form L-501) and the original and photocopy of the
following required documents, duly signed by the authorized signatory:
For corporation, including non-stock/non-profit corporations, the signatory
is the President, Chairman or corporate secretary names shown on
Articles of incorporation from SEC.
The employer shall then submit the initial Employment Report Form (SS
Form R-1A) to report his/her employees, within thirty (30) days upon
hiring. The SS Form R-1A should indicate the correct ER number, the total
number of employees reported, and complete employees’ details such as
their respective SS numbers, birth dates, employment start dates, monthly
compensation, and positions.

15. Final registration with the Philippine Health Insurance Company


(PhilHealth)
Agency: Philippine Health Insurance Corporation
To register with PhilHealth, the company must submit the following
documents or may visit website for online registration.
a. Employer data record (Form ER1);
b. Report of employee-members (Form ER2);
c. SEC registration;
d. BIR registration; and
e. Copy of business permit. Upon submission of the required
documents, the company shall get the receiving copy of all the
forms as proof of membership until PhilHealth releases the
employer and employee numbers within three months.

16. Final registration with Home Development Mutual Fund (Pag-ibig)


Agency: Home Development Mutual Fund
To register with the HDMF, the corporation must submit the following
documents or may visit website for online registration.
a. Employer's Data Form (EDF [FPF040]);
b. Specimen Signature Form (SSF[FPF170]);
c. Copy of SEC Certificate of Incorporation;
d. Copy of Approved Articles of Incorporation and By-laws; and
e. Board Resolution or Secretary’s Certificate indicating the duly
designated Authorized Representative.
Upon submission of the complete documents and payment of the first
contribution to the fund, the Pag-IBIG will issue the HDMF number and the
HDMF Certificate of Registration.
Arcticle of Incorporation

ARTICLES OF INCORPORATION OF
CREATIVE BAGS, Inc.
KNOW ALL MEN BY THESE PRESENTS

In accordance with the Republic of the Philippines, the undersigned, being


a natural person, hereby acts as an incorporator in adopting and filing the
following sample articles of incorporation for a company corporation the purpose
of organizing a business corporation.

ARTICLE I
The name of this organization is Creative Bags, Inc.

ARTICLE II
That the purpose for which such corporation is Corporation engages
business in the Philippines.

ARTICLE III
The principal office of the corporation will be located at Light Industry and
Science Park II, Turbina SLEX, Calamba City, Laguna.

ARTICLE IV
That the term for which for which Creative Bags, Inc. is to exist 50 years
from and after the date of issuance of the certificate subject to the dissolution
prior to the date of the issuance of the certificate subject to dissolution prior to the
date depending to the decision of the board and renewal in accordance with the
laws.
ARTICLE V
That the names, nationalities and residences of the incorporators of the
corporation are as follows:
Name Nationality Residence
Winefredo Villar, Jr. Filipino Calamba City, Laguna
Geofrey Julian Alcantara Filipino Batangas City, Batangas
Michelle Bagacay Filipino Sucat, Parañaque City
Ma. Hazel Posadas Filipino Calamba City, Laguna

ARTICLE VI
The number of Incorporators shall be three (3); and the names,
nationalities and residence of the directors of the Corporation are as follows:
Name Nationality Residence
Winefredo Villar, Jr. Filipino Calamba City, Laguna
Geofrey Julian Alcantara Filipino Batangas City, Batangas
Michelle Bagacay Filipino Sucat, Parañaque City
Ma. Hazel Posadas Filipino Calamba City, Laguna

ARTICLE VII
That the authorized capital stock of the corporation is 16,000 common
shares with par value of 1000 pesos; where in the capital share in excess of par
is to be divided among the incorporators.
ARTICLE VIII
That hundred percent (100%) of the authorized capital stock above started
has been subscribed as follows.
Subscribers Amount Subscribed Amount Paid
Winefredo Villar, Jr. 4,000,000 1,500,000
Geofrey Julian Alcantara 4,000,000 1,500,000
Michelle Bagacay 4,000,000 1,500,000
Ma. Hazel Posadas 4,000,000 1,500,000
ARITCLE IX
The mentioned subscribers above have paid at least twenty five percent
(25%) the total subscription.

ARTICLE X
That, Ma. Hazel M. Posadas has been elected by the subscribers as
Treasurer of the corporation to act as such, her successor is duly elected and
qualified in accordance with the by-laws, and that as such, she has been
authorized to receive for in the name and the benefits of the corporation all
subscriptions, fees, donation or contribution paid or given by the subscribers or
members.
“No transfer of stock or interest which will reduce the ownership of the
Filipino citizens to less than the required age of the capital stock as provided by
existing laws shall be allowed or permitted to be recorded in the proper books of
the corporation and his restriction shall be indicated on all stock certificates
issued by the corporation”. In witness, we have here unto signed Articles of Co.,
this 17th day of December, in Calamba City, Province of Laguna, and Republic of
the Philippines

CHAPTER VI
SOCIO-ECONOMIC ASPECT
In establishing a business, varied contribution and benefits are shared
within the community where it is located. It exists not only to the benefit of the
owner but also the workers, the customer, the community, and the society as a
whole.
Economically speaking, it helps the government in uplifting the assurance
of security of the community and business establishments, promotion of social
development program specifically through creation of productive employment
opportunities, and improvement of the living standards of the community.
As such, Creative Bag Inc. aims to achieve the following socio-economic
benefits:
1. Contribution to the Philippine Economy
Creative Bag Inc. will contribute to the economy through payment of
appropriate taxes incurred with its operation, thus increasing government
revenues for improvement of community facilities and services. Moreover, the
company will also aid the government in reducing the need for energy
consumption preserving much needed energy. It can be also a contributor to
build and develop infrastructure here in the Philippines which helps Filipinos in
their every day of living. In addition to that multiplier effect will also occur within
the local and regional economy which contributes to further economic growth.

2. Employment Generation
One of the greatest problems of the country nowadays is the mass
unemployment. The proposed project, though not necessarily hire too many
employees at the start will definitely help resolve the said problem by increasing
direct and indirect employment within the community and provide income for the
prospective workers. Creative Bag Inc. will directly prioritized applicants who are
near or resident of the place where the company is located as much as possible.
Therefore, the standard of living of the chosen employees will boost up and can
contribute to lessen the poverty rate and unemployment growth in the particular

area. The proposal constitutes a permanent change in the employment and


income profile of the community which probably bring long-term job opportunities
for community residents. With this growth in employment additional demands on
community services and resources will arise which significantly be the reason on
the birth of other businesses around the vicinity which also generates
employment within the community.
3. Area of Development
Creative Bag Inc. will contribute to the continuous stability of economy
prior to economic and area development by improving the standards of living
through providing residents job opportunity. If the majority of the residents of the
area will be given job opportunity, area of development will also arise because of
increasing employment within the community and popularity of the area due to its
company purposes and area recognition as years pass by. Industrialization within
this area will be also expected upon the entry of this plant. Development in this
area invites growth in new jobs in a community and draws new workers and their
families into the community, either as permanent or temporary residents. When
this occurs, the incoming population affects the social environment in various
ways including increased demand for housing and social services (e.g., health
care, day care, education, recreational facilities). Because residents’ needs
depend on a wide range of variables the diversity of service needs are
determined not only by the absolute size of the incoming population but also by
the old and new populations’ demographic and employment profiles. As a result,
a proposed development may have a significant impact on the community’s
ability to accommodate new residents and adapt to changes in the social
environment for existing residents. Assessing the magnitude and rate of
population change has important implications for community infrastructure and
service requirements and can play a major role in determining social impacts
associated with the proposed development.

4. Environmental Concerns
Different types of treatment will be implemented in order to protect our
environment such as:

• Recycling of the different products in order to minimize the waste


around the vicinity.
• Proper segregation of waste will be strictly observed.
5. Government
Creative Bag Inc. will definitely bring revenues. The company shall assist
the government through the contribution of taxes that will amplify the revenue
income of the country. Taxes are one of the major sources of government’s
revenues that can be used in construction of bridges, roads and schools.
Government goals, activities and programs towards ecology protection will
be supported by the company. Through the environment-friendly products of the
company, government advocacy for cleaner and greener society will surely be
strengthened.

6. Corporate Social Responsibility


We conduct monthly general assembly’s to meet with our manpower,
hear their concerns, address issues, & give them updates. It is also then that we
award our deserving employees.
We also involve our employees in outreach programs, social activities like
fun runs, and other community services. Part of our CSR is to provide vitamins
and conduct vaccinations for our employees.
MICHELLE G. BAGACAY
19375 Lirio St. Matatdo Homes Sucat, Paranaque City
Contact No.: (0905) 9207278
E-mail: michellebagacay05@gmail.com

OBJECTIVE

To find a challenging position to meet my competencies, capabilities,


education, and experience. To excel in the kind of work given to me and learn
new things and enhanced my skills.

WORK EXPERIENCE

INTEGRATED MICRO-ELECTRONICS INC.


North Science Ave., Laguna Technopark Special Economic Zone (LT-SEZ), Bo.
Binan, Binan, Laguna

Process Technician
January 2014 – Present

 New product development


 New device qualification
 Engineering evaluation
 Review and generate documents for new device and engineering
evaluation lots
 Data gathering and technical report generation
 Low yield lot verification
 Daily lot and yield monitoring

TEAM PACIFIC CORPORATION


Electronics Ave., FTI-SEZ Taguig City

Line Technician
March 2013 – January 2014

 Perform machine set-up and conversion according to production


requirements
 Perform minor repair on line equipment
 Perform daily checklist and calibration
 Maintain and fill-in machine standard requirement and monitoring form
 Line maintenance and support

AMERTRON INC.
Km. 17, West Service Road South Superhighway, Paranaque City

Line Technician
September 2007 – April 2012

 Perform machine set-up and conversion according to production


requirements
 Perform minor repair on line equipment
 Perform daily checklist and calibration
 Maintain and fill-in machine standard requirement and monitoring form
 Line maintenance and support

AMKOR TECHNOLOGY PHILIPPINES


Km. 22 East Service Road South Superhighway, Muntinlupa City

Line Technician (On-the-job-training)


November 2004 – May 2005

 Perform machine set-up and conversion according to production


requirements
 Perform minor repair on line equipment
 Perform hourly monitoring of machine status
 Line maintenance and support

SKILLS

Knowledge on how to set-up, convert, troubleshoot, and repair the following


machines:

 ESEC 2005 Died Bonder Machine\


 Orthodyne Electronics M360 Aluminium Bonder Machine
 DAD 341 Disco Automatic Dicing Saw
 Kaijo FB-118A Wire Bonder Machine
 ASM AB509 Aluminium Wire Bonder Machine
 ASM AB559 Aluminium Wire Bonder Machine
 K&S 1488 Wire Bonder Machine
 Can operate Royce System 580 Universal Bond Tester
 Can operate Dage XL6500 X-ray Machine
 Computer Literate

EDUCATION

UNIVERSITY OF BATANGAS
Bachelor of Science in Industrial Engineering
Security Management Department National Road, Hilltop Kumintang Ibaba,
Batangas City
2018 – Present

TECHNOLOGICAL UNIVERSITY OF THE PHILIPPINES


Electronics Engineering Technology
Km. 14 East Service Road, Taguig City
2002 – 2005

PARANAQUE NATIONAL HIGH SCHOOL


Dr. A. Santos Ave. Sucat, Paranaque City
1998 – 2002

PARANAQUE ELEMENTARY SCHOOL UNIT IV


San Antonio Valley I, Paranaque City
1992 - 1998
MA. HAZEL M. POSADAS
Blk 6 Lot 1, Bayabas St. Ceris III Subd.,
Canlubang, Calamba City, Laguna
+63945-793-3623
hposadas0725@gmail.com

WORKING EXPERIENCE

EVERBRILLIANT MFG. CO. INC


Quality Officer
Circuit St. Laguna Industrial Science Park 1, Cabuyao Laguna
January 4, 2016 up to present

 Supervises and coordinates the following activities related to Quality


Control and Quality Assurance of company's products.

-Incoming, in-process, outgoing checking and housekeeping audit done by


QC Auditor.
-Laboratory testing done by the Laboratory Technicians.
-Review data results during audit and laboratory testing.
-Communicate all non-conforming products, practices and other quality
issue to concerned personnel or departments.
 Tracks and Study quality results and trial materials and samples run in
production.
 Assist in skills and competency training.
 In charge of ISO Audit and Documentation Control.
 Corporate Lead Auditor

Previous designations at Everbrilliant Mfg. Co. Inc.:

Human Resource and Admin. Staff (January 2016 to September 2017)


 Provide general administrative support.
 Maintain office supplies for all departments.
 Prepare and modify documents including correspondence, reports, drafts,
memos and emails.
 In charge on timekeeping for payroll purposes.
 Assist with staff recruitment.
 In charge in maintenance of employee’s 201 files, HR filing system and
other administrative files.
 Assist employees with benefit claims.
 Perform other related tasks that may be assigned from time to time.
 Handles local purchasing
 Develops new supply sources
 Coordinates purchasing activities with manufacturing and engineering
department to maintain inventory at planned levels.
 May evaluate vendor reliability
 Make sure that all materials needed by the company will deliver on time.

Accounting Staff (January 2013 – July 2015)


 Prepares and checks accounts payable and check voucher.
 Prepares check for payment.
 Conduct Physical Inventory & Prepares Inventory Report every end of the
month.
(Raw Materials, Chemicals, Spare Parts & Tools)
 Remits payment of all statutory payments such as Pag-ibig etc. & other
monthly bills.
 Monitors and Process Accounts Payable.
 Petty Cash Fund Custodian
 Reconciliation of important documents for payment (Sales Invoice from
supplier to the Receiving Report together with the Purchase Order)
 Release checks to the suppliers
 Monitor payment to suppliers base on its terms of payment
 Check sales invoice of various suppliers and reconciled it to Delivery
Receipt.
 Record and monitor the flow of chemical inventory from issuer to user.
 Performs physical inventory of all assets every end of the year.
 Perform other tasks assigned by Superior.
 Follows work directions provided by the accounting supervisor

Manufacturing/Quality Staff (February 2012 to December 2012)


 Generating Work Instructions, documents, presentations and reports
regarding quality assurance.
 Control Forms and other documents.
 Production support.
 Encodes hourly data to FileMarker.

GINEBRA SAN MIGUEL, INC.


Quality Controller
Bo. Pittland, Cabuyao Laguna
From May 2011 to Dec. 2011

 Quality Controller, Monitor Hourly & Daily reject rate, Sorts reject per
judgment/Appearance.
TDK PHILIPPINES INC.
Operator 1
Laguna Technopark, Biñan Laguna
Feb. 11, 2008 to Jan. 25, 2012

 Operates Loader & Unloader Machine and MassPro Machines.


 Assigned as Material Handler/Assist Team Leader
 Encoding Incoming Lots
 Submit Hourly & Daily report to Supervisor.
 Cross trained to different areas.

FUJITSU COMPUTER PRODUCTS OF THE PHILS.


Production Operator
Carmelray Industrial Park I, Canlubang Laguna.
From April 2006 to September 2006

 Operates Magneto-resistive tester machine

SKILLS

Typing and Computer Literate – MS Office (Microsoft Word, Excel,


Powerpoint and Outlook)
Knowledgeable in FileMaker Pro12
Knowledgeable in Quickbooks Accounting System (Premier 2012)
Knowledgeable in BIR relief/ Alphalist/MAP
Knowledgeable in SAP (PR/PO)

TRAININGS AND SEMINARS ATTENDED

Accelerating Leadership Program November 4, 2019


8 Disciplines of Problem Solving Seminar December 6, 2018
Workshop on Leadership Development September 12, 2018
ISO 9001:2015 Lead Auditor Training Course May 7 to 11, 2018
Document Control Center (DCC) Competency March 17, 2018
Corrective and Preventive Action Training August 3, 2016
Workshop on Process Audit Checklist August 3, 2016
Internal Quality Audit July 19, 2016
Risk Management March 22, 2016
ISO 9001-2015 International Standard March 18, 2016
EDUCATIONAL ATTAINMENT
2018-Present Bachelor of Science in Industrial Engineering
University of Batangas
Hilltop, Batangas City

2016 Business Information Management


Asian Institute of Computer Studies
Crossing, Calamba City, Laguna

2005 High School Diploma


Linga National High School
Linga, Pila, Laguna

2001 Elementary Certificate


Pinagbayanan Elementary School
Pinagbayanan, Pila, Laguna

PERSONAL DATA

Date of Birth : July 25, 1989


Place of Birth : Calamba City, Laguna
Age : 30 years old
Gender : Female
Status : Married
Religion : Roman Catholic
Spouse : Jhay-Ar C. Posadas
Child : Alloysius Jheizer M. Posadas

REFERENCES
Jon-Jon Sulit
Operations Manager - Asia
Everbrilliant Mfg. Co. Inc.
(049) 530-1219 loc. 203
+63 917-309-0507
asulit@everbrilliant.com.ph
Loralie Salandanan
Finance and Admin. Manager
Everbrilliant Mfg. Co. Inc.
(049) 530-1219 loc.202
+63 932-656-9584
lsalandanan@everbrilliant.com.ph

Edu Panaligan
Facilities and Engineering Supervisor
Everbrilliant Mfg. Co. Inc.
(049) 530-1219 loc.208
+63 939-728-8400
epanaligan@everbrilliant.com.ph
WINIFREDO G. VILLAR JR
BLK.26, LOT 24, VILLA PALAO SUBDIVISION, BRGY BANLIC
CALAMBA CITY, LAGUNA, PHILIPPINES 4027
Mobile No. +63065470558
Email: jhunvillar05@yahoo.com / jhunvillar12345@gmail.com
Skype: Jhunvillar03

OBJECTIVE:

To secure a position that will utilize my education, skills, and


technical experience that will help to improve company I am
serving.

SKILLS:

 Basic troubleshooting techniques in repairing complex microprocessor


controlled electromechanical systems.
 Enjoying solving problems and driving results.
 Ability to work with hand tools.
 Working knowledge of Oscilloscope’s and DVM’s
 Strong positive attitude with excellent customer service skills.
 Being able to quickly learn new skill sets.
 Knowledge of structured problem solving techniques.
 Working software knowledge of MS office.
 Ability to work in a team environment.
 Ability to work alone and/or with limited supervision.
 Be able to interpret electronic / electro-mechanical schematics and
drawings.
 Maintain strong organizational and leadership skills.
 Ability to handle multiple tasks simultaneously.

WORK EXPERIENCE:

INTEGRATED MICRO-ELECTRONICS, INC.


Equipment Technician 4
North Science Ave. SEPZ, Laguna Techno Park,
Biñan, Laguna (Philippines)
Infineon Technologies Department
August 01, 2006 to Present
DUTIES & RESPONSIBILITIES:

 Works with customers and product marketing to understand and define


requirements in order to successfully execute projects and
demonstrations.
 Conduct Preventive Maintenance of machine based on PM schedule.
 Update machine Preventive Maintenance master list.
 Define corrective measures, to ensure proper maintenance of tools,
fixtures of Power Module machines.
 Conduct Preventive Maintenance of all gauges as per calibration
schedule.
 Responsible in remedial, maintenance of jigs, tools, fixtures, and Power
Module machines.
 Initiate training & requirements of Production Operator for process
improvement.
 Update equipment downtime & equipment damaged report that resulted
major breakdown.
 Support Production 24hrs. Operation.
 Conduct equipment year-end inventory.

QUALIFICATIONS:

Certified Equipment Technician 4 by Integrated Micro-Electronics, Inc. /


Infineon Technologies Department
Knowledge on SIP / DIP Power Module process flow.
Knowledge on Programming, Calibration & Troubleshooting of Power

Module machines such as:

 Sanyo COD SUX-100 Hybrid Die bonder


 Die Bonder : Datacon 2200 Evo
 Die Bonder : ASM AD838L
 Die Bonder : U3Hitachi
 Surface mounter : Yamaha YV100II /YV180x
 Wafer Mount : Lintec Corp. RAD 2500
 Dicing Saw : Disco DFD-6340
 Power Mount : Hitachi ( Solder Die Bonder ) SHD-400
 Screen Printer : Minami MK888MA
 Substrate Transfer : Minami MK-TRANS
 Auto Lead Frame Cut / Attach : IsIt A1201-0000
 Chip Mounter : Panasonic NPM-D
 Chip Mounter : Yamaha YS12P / YS12F
 N2 Solder Reflow : Heller 1809MK III
 Vacuum Reflow : SMT Quattro Peak M
 Flux Washing : Branson BM1216-5
 Solder Dispense : DIAS LD-833-DH
 X-Ray : SOFTEX SFX-130
 High Power Microscope: Nikon Eclipse L200N
 Profile Projector : Nikon Profile Projector
 Aluminum Wire bonder : Orthodyne 3600-Plus
 Aluminum Wire Bonder : Orthodyne Power fusion
 Aluminum Wire Bonder : Sonic URB-412 Cho unpa
 Aluminum Wire Bonder : Delvotec
 Cu Wire bonder : Eagle plus Gocu
 Plasma System : PVA TePLA Giga 690
 Transfer molding machine : Fusei Menix FMTM 250-7

SEMINARS AND TRAININGS ATTENDED:

 Electro Mechanical safety training, (IMI) Biñan Laguna, Feb 8,


2007.
 Basic Fire safety training, (IMI) Biñan Laguna, Mar 6, 2008.
 Level 2 Course Yamaha YV100II (IMI) Biñan Laguna, Aug 26-29,
2008.
 SHD-400 Hitachi PM/Calibration training (IMI) Biñan Laguna, Oct 2-
5, 2012.
 Level 2 Branson Benchmark 1216-5 (IMI) Biñan Laguna, Nov 9-15,
2012.
 PM and Calibration ASM Wirebond Eagle Express, NOL building
Madrigal Ave., Alabang Muntinlupa, Jan 24, 2018.
 Lean Manufacturing Training, (IMI) Biñan Laguna, Mar 15, 2013.
 Team Development Session Semicon, Jun 11, 2010.
 Quality Mindset, Aug 9, 2017.
 Train the Trainers, Feb 07 2018
 8 Steps Model (for SGA), Apr 11-13, 2018.
 Component Familiarization, Apr 19, 2018
 PMP Training Series, Apr 24, 2018.
 Influential for Leadership, May 03, 2018.

EDUCATIONAL BACKGROUND:

UNIVERSITY OF BATANGAS
(BSIE) Bachelor of Science in Industrial Engineering
Kumintang Ibaba, Hilltop, Batangas City
2018-Up to present
ACLC AMA COMPUTER LEARNING CENTER
(CSNT) Computer System and Network Technology
Alabang Muntinlupa City Philippines
2004-2006

LAS PIÑAS EAST NATIONAL HIGH SCHOOL


Verdant Acres Subdivision, Pamplona 3 Las Piñas City
1991-1993

PERSONAL DATA:
Age: 38 Yrs. Old
Birth date: February 3, 1981
Birthplace: Pasay City, Philippines
Civil Status: Married
Nationality: Filipino
Religion: Roman Catholic
Height: 5’8 ½ Ft.
Weight: 195 Lbs.
Father’s name: Winefredo T. Villar Sr.
Mother’s name: Ligaya G.Villar
SSS ID#: 04-11075705
TIN ID#: 252-227-463
Passport#: P547758A
Driver Lic#: D1217015229

Person to be notified in case of emergency:


Angelita C. Villar
302 SOCOL, CALAMBA CITY, LAGUNA
Mobile No. +639272171099

REFERENCES :
Jobel Guason
Product Development Engineer
Infineon Technologies
Ariel Aron
Test Engineer
Infineon Technologies
Arnold Sanchez
Engineering Manager
IMI Inc.
Mario Christopher Celino
Engineering Manager
IMI Inc.
Julian GeofreyG.Alcantara
Email: juliana@gnpowerkauswagan.com I jgalca3@yahoo.com
Address: 1225 KumintangIbaba, Batangas City, Philippines
Mobile #: +639228080388, +639168821032
JULIAN is a C&I Engineer with combined experience in Coal-Fired Power
Plant, Oil and Gas, Petrochemical, Construction, Maintenance, Commissioning
Supervision, Trouble Shooting and Project Management. Involve in
Construction, Field Engineering, Maintenance, Pre-Commissioning and
Commissioning of Instrumentation systems.

WORK EXPERIENCE
.

AREAS OF EXPERTISE GNPK 4x135MW Coal-Fired Power Plant / Kausawagan, Lanao Del
Norte Philippines GN Power Kauswagan I 1905 Orient Square Bldg.,
 Commissioning
Don Francisco Ortigas Jr Road, Pasig City
 Pre-operational Testing
 Quality and Functional
C&I QA/QC Engineer / Inspector I Oct 2018 - Present
Inspection
Main responsibilities
 Instrumentation Engineering
 Maintenance The duties and responsibilities include but are not limited to:

EDUCATION BACKGROUND 1. Provide support in claim management and documentation including


variation management and reporting and subcontract entitlements.
Instrumentation Training 2. Review procurement documentation ensuring that contractor is fully
aware of their obligations for project delivery.
CenterIndustrial
3. Review, as appropriate, non-compliance reports which may have an
Instrumentation and Process
impact on the contract.
Control Training Course for
4. Monitor and inspect the instrumentation and controls (I&C)
Instrument TechnicianI AND E erection/installation activities of the contractor with regards to
SYSTEMS SERVICES INC. – progress, compliance with the contract and applicable
codes/standards, quality, safety and environmental acceptance.
Libjo, Batangas CityI and E
5. Review and approve contractors I&C erection/installation work
(6-14-2011 to 2-06-2012) method statements. Ensure that Method Statements and Risk
Assessments are prepared for all relevant tasks.

Bachelor of Science in 6. Review and approve site related I&C equipment


design/engineering matters submitted by the contractor.
Business Management I
7. Review and approve contractors site quality assurance/quality control
UNIVERSITY OF BATANGAS (QA/QC) system proposed for all I&C erection/installation activities.
Batangas City, Philippines Apply QA/QC requirements according to field quality programs.
(1998 – 2003) 8. Promotion of safety functions and procedures; participate in
safety improvement incentives. Ensure safety functions are
integrated into all aspects of work for all personnel.
9. Review and approve the proposed I&C test procedures for
materials/equipment/plant to be tested on site by the contractor.
Witness such tests and review the related test reports.
10. Monitor and verify contractors work progress in the electrical areas
for the purpose of progress payments and assist in verifying the
progress payment certificates with all necessary backup.
1. Attend the regular (daily/weekly) site coordination meetings with the
contractor and the monthly progress review meeting.
TRAINING/QUALIFICATION
2. Prepare the regular site progress reports for the I&C related
Leadership Training parts/systems/equipment as required.
Eternal Gardens Memorial Park
3. Maintain records for the I&C part of variations by either the contractor
Corporation, Batangas City, or the owner including the necessary evidence.
Philippines I September 2007 4. Review and confirm the completeness and correctness of the
Erection Handover Packages as prepared by the Contractor.
New Trends in Marketing
Eternal Gardens Memorial Park 5. Preparation and issuance of technical and contract
correspondence, compilation of requisite records and claim
Corporation, Batangas City, submissions to validate possible claims against Contractor.
Batangas I April 2009
How to Survive in Global 6. Assist in the coordination of I&C equipment works with civil,
Market mechanical and electrical works to avoid conflicts and minimize
delays whilst ensuring the efficient, cost-effective and safe completion
Eternal Gardens Memorial Park
of the projects.
Corporation, Batangas City,
Philippines I June 2010 PAG3 420MW Coal-Fired Power Plant / PagbilaoQuezon, Philippines
Shell Safety Training (Shelter) Jacobs Project Philippines Inc. I MSE 6767 Ayala Avenue, Makati City
Pilipinas Shell Petroleum Corp. C&I Engineer / Commissioning Engineer / Consulting Engineer
Tabangao, Batangas City, (Owner’s Engineer)I Nov 2016-February 2018
Philippines I May 2012
Responsible for assisting the Project Manager for the Commissioning and
H2S (Hydrogen Sulfide)
Instrumentation (C& I) related Site inspection, Supervision facilitation and site
Awareness Seminar
management including construction planning, scheduling, field execution and
Pilipinas Shell Petroleum Corp.
administration. Coordination in all power plant project site C & I related quality
Tabangao, Batangas City,
Inspections and materials site testing assigned. Responsible in ensuring that
Philippines I May 2012
Jacobs quality and safety standards are met and non-conforming standards are
JG Summit Safety Training
recognized to avoid site delays as per agreed in project management schedule.
JG Summit Petrochemical
Review the planning of the C & I Quality Control/Assurance activities for the
Corp. Simlong, Batangas City,
Project. Ensure that the Project C & I quality inspection and test plan
Philippines I Oct. 31, 2012
requirements are followed: Processes NCR’s (Non-Conformance Reports),
Firefighting Training
CAR (Corrective Action Reports). Generate, close and sign off of related C & I
JG Summit Petrochemical
Preventive Action Requests. Review the C & I related aspects in the
Corp. Simlong, Batangas City,
Construction Work Package (CWP). Review the CWP, resolve any
Philippines I Nov. 25, 2012
deficiencies, and submit to the Client’s Quality Assurance for information.
Radiation Safety Training
Complete and submit Documents to the appropriate departments. Interface
JG Summit Petrochemical
with the Client’s Quality department members as required. Ensure that the
Corp. Simlong, BatangasCity,
Contractor complies with the electrical related approved plans and project
Philippines I Dec. 2, 2012
specifications by the Owner’s Engineer/Jacobs client. Conduct and perform C
Chemical Handling Training
& I related QA/QC daily, weekly and monthly inspection, meetings and reports
JG Summit Petrochemical
and technical review submission for the project management approvals and
Corp. Simlong, BatangasCity,
other scheduling procedures. Attend Jacobs/Clients and Contractors meetings.
Philippines I Dec. 4, 2012
Facilitate the Contractor queries and provide technical guidance and expertise
in the project site C&I construction issues in consultation with Jacobs project
management.
Emergency Response
Coordinate with other disciplines in project activities schedules. Responsible in
monitoring the progress work and recommend project management measures.
PERSONAL BACKGROUND
Ensure project tasks assigned are being within budget and schedule. Assist in
coordination with clients based on the project contract agreements with the
Date of Birth: June 19, 1980
project management.
Nationality: Filipino
Status: Married
FDC 3X135 Coal-Fired Power Plant / Misamis Oriental, Philippines
Languages Spoken:
Jacobs Project Philippines Inc. I MSE 6767 Ayala Avenue, Makati City
English and Tagalog
C&I Engineer / Commissioning Engineer / Consulting Engineer (Owner’s
Interpersonal Skills:
Engineer) I Jul 2016-Oct 2016
Hardworking, self-motivated,
and able to work methodically Responsible in assisting the Project Manager for the Commisioning and
and with minimum supervision Instrumentation (C&I) related site inspection, supervision, facilitation and site
in a fast-paced environment. management including installation planning, scheduling, field execution and
administration. Coordination in all power plant project site Electrical related
quality inspections and materials site testing. Monitoring overall EPC
Contractor commissioning planning, schedule, activities sequence and
progress for overall plant, mechanical systems, C&I systems, C&I equipment
and interfacing with external parties. Coordination with EPC Contractor
Construction Manager and their Commissioning Manager during pre-
commissioning to monitor and accept mechanical completion of equipment
packages and their turnover from construction to commissioning.Preparation of
daily progress report, weekly report and monthly reporting on the CFPP
Progress including; Progress, licensing, adequate EPC resourcing and
competence (staff and equipment) and critical areas of concern to the
owner.Review the planning of the Quality Control/Assurance activities for the
Project related to the Instrument installation and commissioning. Ensure that
the Project Instrument and Commissioning quality inspection and test plan
requirements are followed: Processes NCRs (Non-conformance Reports),
CAR (Corrective Action Reports). Ensure that the Contractor complies with the
Electrical and
Instrument and Commissioning relatedTA approved
Control Department plans and project
Level IV (Superintendent)(for
specifications by theI Jul
DMCI Power Corp) OE 2015-Jul2016
and the client.
Performs Inspection, Witness, Surveillance and Monitoring activities for
construction/installation works of 2x135MW CFB project: Installation of field
Instrumentation-Pressure, Temperature, Level, Flow Transmitters, Pressure
Indicators, Switches, Differential Pressure, Nuclear Type Level Transmitters,
Radar & Ultrasonic Type Transmitters, Level Gauges, Pressure Gauges,
Instrumentation Skid Package Systems, Instrumentation Control Panels,
Programmable Logic Controllers(PLC), Gas Leak Detection System,
UV/Flame Detection System, DCS Controls and ESD Valve Shutdown
System, Analytical Instruments MOV's, Control Valves, Field Instrument
Junction Boxes Installation, Erection & Orientation of Supports, Stanchions
and Field Instruments, Instrumentation Cable Trays,
Field Instrument Junction Boxes Installation, Erection & Orientation of
Supports, Stanchions and Field Instruments, Instrumentation Cable Trays,
Conduit Installations, Impulse Tubing Installation and Testing, Cable Pulling
Installations), Vibration Monitoring System(VMS), and related General
Instrumentation System. Witness Cable Testing & Instrumentation Loop
Checking.

2x23.5MW TM2500 Gas Turbine SLPGC │Calaca, Batangas, PHI Jul 2015-
Jul2016
Review and Study project proposals and design architecture for remote
monitoring and integration from GT PLC to Local CCR. SAT of 2 units of
TM2500 Gas Turbines and all the control system components.

2x150MW CFB SLPGC │Calaca, Batangas, PHI Jul 2015-Jul2016


Calibration and testing of differential pressure, pressure and temperature
instruments.Participates in fault finding in the event of unexpected
shutdown.Verifies instrumentation and control devices and associated
systems reliability and integrity by performing system functional
testing.Supports daily engineering, maintenance and commissioning
activities.Monitors testing and calibration of Turbine Supervisory
Instruments.Verifies the functionality of sub-systems’ automation by reviewing
DCS logic diagram and systems' response through graphical and numerical
trend.

2x135MW CFB SLTEC │Calaca, Batangas, PHI Jul 2015-Jul2016


Loop testing of I/O’s from instrument to junction box and junction box to HMI
and vice versa to verify line connection and correctness of terminal
assignment. Facilitates sequential/logic and interlock testing to check the
functionality of PLC and its program and related Instrumentation and Control
devices. Monitors the installation and configuration of PLC network for BOP
PLC. Prepares Instrument, Interlock and Pre-commissioning test sheets for
accomplishment record and hand-over documentation. Verifies the
correctness of the system by conducting field inspection and reviewing control
wiring drawings, PLC I/O list and P&ID. Inspects and monitors equipment,
structures and materials to prevent or immediately correct
errors/problems/defects. Works jointly with other section/team in performing
equipment/system functional testing.

maintenance used for measuring flow, level, temperature and pressure


instruments for Petrochemical Process Reactor, Extruder, Purification, Vent
recovery system and Utility tank farm. Loop checking, commissioning, start-up
ICE Department (for JG Summit Petrochemical Corp) I Oct 2012-June
2015
Perform daily maintenance activities such as routine and corrective/preventive
Field Calibration / 5 point check and Bench calibration of pressure, flow, level
& temperature transmitters of different make like Yokogawa, Rosemount,
Siemens, Micro Motion, Endress+Hausser, Honeywell, Foxboro, Yamatake
(Electronic & pneumatic) using Hart Communicator 275/375 and (SFC) Smart
Field Communicator and giving pressure using pressure calibrator.
Pm/Calibration and checking of pressure, level, flow and temperature switch
base on required set points from engineering data parameters. Overhauling,
servicing, Dismantling, Testing of Control Valves and Actuators including the
positioner, solenoid valve, regulator and limit switch. also replace repair kit for
Solenoid Valves. Function test/ stroke testing of Control valves, on-off valve,
Emergency shut-off valves and Solenoid valves.Trip testing of ESD field
instruments.Loop checking of pressure, level, temperature and flow
instruments from field down to DCS. Pm/servicing, gap adjustment of Bentley
Nevada 3500 vibration monitoring system at Cycle Gas and Bog
Compressor.Use of Modulator. Calibration of Master mix feeder, Solid additive
feeder, Granular feeder and Master mix blender. Calibration of Control valve,
and its I/P positioner.Pm /Testing of Deluge firefighting system in the plant.PM
of Nuclear Level Transmitter VEGA (OHMART) and shutting off and turning on
the source. Commissioning of DCS migration from Honeywell TDC 300 to
Honeywell DCS Experian. Commissioning of new VEGA (OHMART) GM17 &
GM16 level transmitter. Using OHMVIEW software for configuration.
Commissioning of Expansion of Poly Ethylene Extruder project.
Calibration/Servicing of our new feeder using Schenk Process Program Easy
Serve.
Julian Geofrey Gonzales AlcantaraCurriculum Vitae
Site Control & Instrumentation Engineer/Consultant

Andy Horsnell
Senior Site Project Manger
Jacobs Projects Philippines
+639176237652

Robert Cuthbertson
Principal Project Manager
Jacobs Projects Philippines
+63 917 870 4806
+44 7801 778 729

John Roberts
Senior Executive Engineer I Performance Engineer
Jacobs Group Australia
+61 414 784 438

Robert Cuthbertson
Principal Project Manager
Jacobs Projects Philippines
+63 917 870 4806
+44 7801 778 729

Christian Manansala
Senior Project Engineer
Shanahan Engineering Ltd. Dublin, Ireland
+63 9052761322
+63 9296475133

Frank Allen Clowes


E/I Manager
GN Power Kauswagan, Philippines
+63 9173185270

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