National University

Fairview, Quezon City

A Distribution System Proposal presented to

College of Business and Accountancy
Marketing management Department

In a partial fulfillment of the requirements

For the subject Distribution Management System and Costing

Distribution System Proposal

Bulalo Fiesta Food Park Corporation

Submitted by:

Bañaco, Vince

Buraga, Patrick

Del Mundo, Ma. Charina

Dizon, Hazzel

Doron, Dorothy

Rocapor, Bryan

Tidoy, Michaella

Bachelor of Science in Business Administration

Major in Marketing Management
MAR213

Submitted to:
Prof. Helen B. Forca, MBA, RMP, RFA
November 08, 2022
SY 2022-2023
 Table of Contents

Chapter I: Management Aspect……...……………………………………………………...1

Executive Summary……………………………………………………………….1
Company Overview….……………………………………………………………..1
Company’s Vision and Mission…………………………………………………...2
Company Goals & Objectives.…………………………………………………….2
Form of Ownership………………………………………………………………...3
Organizational Structure…………………………………………………………..4
Management Requirement………………………………………………………..4
- Job Description & Qualifications……………………………………….4
- Employee Rules & Regulations.……………………………………….5

Chapter II: Marketing Aspect...………………………………………………………………8

Industry Analysis………………………………………………………………...8
Target Customer…………………………………………………………………9
- Value to the Customer……………………………………………………9
- Customer Relation Strategy..…………………………………………..10
Competitors Comparative Analysis………………………………………….10

Chapter III: Distribution System Proposal……………………………………………….11

Business Challenges………….………………………………………………..11
Distribution System Proposal…...……………………………………………..13
- System Process Flow…………………………………………………13
- Indirect…………………………………………………………………..13
- Forms of Transportation…………………………………………..…..14
- Sourcing of Vehicles and Costing……………………………………14
Benefits and Advantages to the company…………………………………..15
Customer Impact……………………………………………………………....16

Chapter IV: Conclusion and Recommendation…………………………………………17

Chapter V: Appendix……...…………………………………………………………………18
- Presenters’ Profile……………………………………...……………...18
- References……...……………………...………………………………18
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CHAPTER I: Management Aspect

Executive Summary

Bulalo Fiesta Food Park Corporation is a Filipino-themed restaurant and bulaluhan

owned by Vicente “jun-jun” Villasor Jr., and was first opened in 2005. Bulalo Fiesta has

certainly grown to be a successful restaurant, now having three branches, with its main

branch located in Mindanao Avenue. It has also been featured in multiple shows like:

Unang Hirit, and My Puhunan with Karen Davila. If you're hungry for some simple, rustic

Filipino food with satisfactory quality, and a good dining experience, Bulalo Fiesta Food

Park Corporation is a surefire way to satisfy those needs.

Company Overview

A flat organizational structure is practiced by Bulalo Fiesta. They utilize this so that the

chain of command begins from the CEO of the company, to the Operations Manager, to

Supervisor, to finally, the employees of Bulalo Fiesta Food Park Corporation. In addition

to this, there are a few more management roles and usually, the Operations Manager is

directly in command of the employees when needed, or in the absence of the

Department head or supervisor.

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Company’s Vision and Mission

Vision

To preserve, serve and elevate traditional and authentic Filipino cuisine and to offer

extraordinary restaurant experience while working towards the greater good, for our

customers, company, community, culture and environment.

Mission

Continuously develop delicious, healthy and quality local food and variations by

improving our customer’s changing needs based on their experiences. To produce

sustainable profit growth for our company, company’s shareholder’s franchisee and

employees.

Company Goals and Objectives

● To provide quality dishes, great service and reasonable prices.

● Keeping food cost under 35% revenue

● Keeping employees with good compensation

● A restaurant recognized with excellent food and service

● Averaging sales between Nine million pesos to Nine million seven

hundred thousand pesos per year.

● Promote and expand Bulalo fiesta in the key cities and neighboring

provinces.
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● Expand our marketing and advertising in the National Capital Region.

● Achieve a three (3) year payback period on total investment

Bulalo Fiesta's ambitions and aspirations are not just for the business itself, but also has

good intentions with the customers and its employees. First is to cater to remarkable

service and cuisine, that is worth the value. In order to manage good costs, and have

35% of sustainable revenue. Furthermore, Bulalo Fiesta aims to be valued and

appreciated, for having a wholesome and fulfilling experience of serving, as well as their

food. For their work force and manpower, to honor their hardwork and patience, by

treating them good and giving them benefits that they deserve.

In their business manner, they want to achieve a decent nine million to nine million and

seven hundred thousand pesos of sales annually. Towards expansion, their goal is to

have franchises over major capital cities, and neighboring provinces. In addition, they

want to have growth and development in their advertising and marketing, specifically

around the National Capital Region. Lastly, they target at least three years, for the

return of their total investments.

Form of Ownership

Vicente “Jun-Jun” Villasor is a former street vendor who now has his own restaurant

business, The Form of ownership of the business is Sole Proprietorship, he alone built
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his own business, and Bulalo Fiesta is now recognized as a delicious bulalohan which

serves other dishes.

Organizational Structure

Management Requirement

Job Descriptions & Qualifications

Operations Manager

Managing the company's overall operation. Plans, directs and supervises key
personnel in all branches. Communicates directly to the CEO, Management Supervisors
and or Department Head. Has direct communication and coordination with various
suppliers. Making sure that all branch needs are taken care of. Proactive and good at
decision-making.

● Proven work experience as Operations Manager or similar role.

● Knowledge of organizational effectiveness and operations management.
● Experience budgeting and forecasting.
● Familiarity with business and financial principles.
● Excellent communication skills.
● Leadership ability.
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Human Resource Manager

In-charge in interviewing, hiring and delegation of employees. Key person in checking

daily time records, administering salary, benefits and leaves of all employees. Also
in-charge in enforcing company policies, rules and regulations.

● Administration skills.
● Knowledge of human resources and employment law.
● To be thorough and pay attention to detail.
● The ability to work well with others.
● The ability to monitor your own performance and that of your colleagues.
● Excellent written communication skills.
● Business management skills.

Store Supervisor

Reports directly to Operations Manager. Attends on day to day activities of the branch.
Manages schedule, inventory and overseeing the duties and responsibilities of all his
employees. Responsive in customer’s concerns and complaints.

● Proven experience as supervisor or relevant role.

● Familiarity with company policies and legal guidelines of the field.
● Ability to learn a variety of job descriptions.
● Excellent communication and interpersonal skills.
● Outstanding organizational and leadership skills.
● Good knowledge of MS Office.

Cashier

They are responsible for handling the processing and acceptance of payments as well
as issuing receipts to customers when they leave with their purchases. Along with
providing outstanding customer service, cashiers must manage additional products like
coupons. Depending on the business, a cashier may have a variety of duties, but they
frequently include greeting guests and checking them out when they are ready to make
purchases. Additionally, cashiers provide product information to potential customers,
provide alternatives to items they have selected, and address problems that arise when
customers return an item. A great cashier is attentive to detail, customer-oriented, and
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educated about the goods sold in the business. Additionally, they must maintain
composure among irate or unsatisfied customers.

● Hands-on experience in cashier duties

● Good math abilities
● Awareness of technological devices such as cash registers and POS
● A high school diploma is preferred but not necessary.
● Computer literacy basics
● trustworthy and responsible
● Excellent interpersonal skills and a welcoming approach

Crew/Staff

You will be responsible for aiding the organization in achieving its goals and objectives.
You are responsible for assisting clients and responding to their questions, creating and
following checklists, engaging with coworkers and management, carrying out daily
tasks, and complying to safety and security regulations.

● Reliable, kind, and punctual.

● Superb communication skills.
● Physically able to stand for long periods of time and in good physical condition.
● Availability at irregular times (day and night shifts).
● Proven experience as a server or waiter in a restaurant
● Paying attention to safety and cleanliness
● Patience and customer-oriented approach
● Excellent time management and communication abilities

Employee Rules and Regulations

● The goal of our company is to foster a welcoming workplace. The Employer will

discharge any Sexual Harassment Offenders Employees. Therefore, both verbal and

physical harassment must be avoided by every employee.

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● If an employee anticipates being absent or tardy on that day, they must notify their

manager or supervisor at least one hour prior to the start of their shift. Employees

that arrive late at work are disliked by the company.

● Each employee must submit an application for a special vacation at least one month

prior to the anticipated date of request.

● The dress code must be adhered to by employees in accordance with company

authorities' instructions. The employer prefers that the employee be dressed

formally.

● While on the job, employees shouldn't smoke in places that aren't allowed.

● Employees working in restaurants are not permitted to use their phones while on the

job, although they are permitted to use them during meal and break times.

● Try not to bring expensive items to work as the restaurant management will not be

held liable for lost personal property.

● It is advisable for workers to eat during breaks. Because the employer does not

provide additional time for meals, employees are advised to spend their break time

wisely. Our company is meticulous in upholding the moral principles held by its

workers. Corruption and bribery-related misconduct by employees will result in

immediate termination.
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● Employees are also in charge of protecting firm assets used in the workplace. They

will be responsible for any damage to company property, including computers,

printers, scanners, cameras, and other devices. Employees are only allowed to

utilize company property for work-related activities.

● Alcoholic beverages will not be allowed to be consumed while an employee is

working. Additionally, no employee shall handle official machinery or drive a

company vehicle while intoxicated. Although our company does not promote or

forbid you from drinking, we do not recommend that you do so while performing your

job.

CHAPTER II: Marketing Aspect

Industry Analysis

Bulalo Fiesta lives up to its name, and is categorized in the industry that caters food and

beverages. The food business is like a semi resto bar that is available in the morning

and evening. It offers a variety of dishes, including breakfast, lunch, and dinner. The

restaurant primarily serves native poultry, meat, beef, seafood, as well as soup, pasta,

desserts, and different kinds of beverages, such as shakes, soft liquor, and beers. The

company specializes and is famously known for traditional Filipino cuisine. The prices

are very adequate and quite appropriate towards their servings. Aside from the food and

service quality, Bulalo fiesta is a type of restaurant, where they not just value the
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customers’ money, but also their enjoyment and experience, that is why they have their

entertainment. They feature bands that play music and perform songs that can also be

requested by the customers, mostly at night time.

Mindanao Avenue branch is the central warehouse of the resources, as there are three

functioning branches in the vicinity of Quezon City. The specific branch also serves as

their central commissary, wherein they process all their products which they then

distribute to their other branches. Their annual gross income averages around 3 million

pesos, before the pandemic. As for the post pandemic annual gross income, it is around

1.5 million to 1.8 million pesos.

Target Customer

Given that Bulalo Fiesta Food Park Corporation belongs in the food (and beverage)

industry, their target market are groups of consumers, in their case, Diners. However,

according to their CEO, Vicente Villasor Jr., they specifically target Family Diners,

groups of friends, and/or groups near the area. Furthermore, they aim to attract

customers who are in search of traditional Family Filipino Cuisine given that they

specialize in Filipino Food.

Value to the Customer

Additionally, they also ensure that despite the volume of food they serve, given that they

mostly serve large groups of customers at a time, the quality of their food is also of

utmost importance in addition to their quality service.

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Customer Relations Strategy

In addition, with good customer service being one of Bulalo Fiesta’s ideals, as they

accommodate customer praises, they also welcome any customer complaints and/or

concerns. They do this in order to assess, evaluate, and discuss what actions should be

taken in order to fix any given problem with regards to their food and/or service.

Competitor’s Competitive Analysis

Bulalo Fiesta Food Park Tapsi ni Vivian at Hideaway Resto-grill

Corporation Bulaluhan

- Sole Proprietorship - Sole proprietorship - Hideaway

- Bulalo Fiesta is a - A restaurant Resto-grill is a
Filipino-themed specialized in restaurant in close
restaurant and serving tapsilog and proximity to Bulalo
bulaluhan. bulalo. Fiesta’s main
branch in Mindanao
Ave.
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This section compares the direct and indirect food industries to the Bulalo Fiesta.

Typically, Quezon City is home to a number of bulalohan locations. Around the city,

there are additional fast-food chains. Bulalo Fiesta is one of Quezon City's well-known

eateries. It provides delicious food at affordable pricing. They offer a huge variety of

dishes and sweets that are well-liked by customers back home. To demonstrate how the

meals should be served, pictures of the dishes were included with the list of menu

items. This is useful for individuals who are not familiar with Filipino cuisine. Customers'

tea pots are changed and refilled as necessary by the Bulalo Fiesta personnel. They

also offer takeout if you want to go home with it.

The study of Bulalo Fiesta and its competitors is depicted based on the above figure.

Vivian bulaluhan, another well-known bulaluhan in the city, is our main rival, however

they cost more than Bulalo Fiesta. You can observe that the indirect competitor, the

Hideaway Resto-Grill, has a moderate rate for pricing. Therefore, when it comes to the

product and services, Bulalo Fiesta stands out the most.

CHAPTER III: Distribution System Proposal

Business Challenges

Challenges have continued since the outbreak of the pandemic. Despite the fact that

Bulalo fiesta is a well-known and authentic Bulalo house in the country, many restaurant
 12

chains now serve it as well as other Filipino cuisines. Because many food

establishments are now open to the public, attracting the desired customers is more

difficult, especially during the first wave of pandemic. almost no one chooses healthier,

less processed food over quick meals from fast food restaurants. Due to safety reasons,

customers prefer to buy food online rather than visiting the store, making it difficult for

Bulalo Fiesta to have a target consumer on-site for dine-ins. As a result, Bulalo Fiesta

gradually developed a method to deliver their products to their customers through a

partnership with Grab and Shopee.

The location of the store has an impact on sales as well because most Bulalo Fiesta

locations are on unfamiliar landmarks, therefore even if customers want authentic

Bulalo, they continue to choose stores that are close to and on well-known locations like

SM or Ayala Malls.That’s why in addition to Bulalo Fiesta closing down other branches

(Bulalo Fiesta-Baguio) in order to make up for losses, they made certain that their

stores were easily visible to customers. Their logo is highlighted, and their store is

visually appealing.
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DISTRIBUTION SYSTEM PROPOSAL

System flow

Indirect

Bulalo Fiesta Food Park Corporation is currently using a direct distribution system. As

seen in Figure 1., and according to Bulalo Fiesta’s CEO, they themselves source their

own materials and in order to deliver these materials from their main branch (Mindanao

Ave., Q.C. branch) to their other branches, they utilize their own private delivery vehicle,

which is a Mitsubishi L200. However, our researchers propose an indirect distribution

system wherein Bulalo Fiesta Food Park Corporation will instead utilize a third-party

supplier of their materials for the benefit of the company, benefits which will be

discussed later on in this paper. Consequently, our researchers’ proposal leads to

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Bulalo Fiesta-Mindanao Ave. branch no longer acting as the company’s direct supplier

of resources given that a third-party supplier is now present.

Forms of Transportation

Bulalo Fiesta Food Park Corporation utilizes land transportation wherein a private

delivery vehicle is used in order to distribute resources from their main branch to their

sister branches. The vehicle in question is a Mitsubishi L200. Furthermore, given that all

their current branches are within close proximity of each other, it is presumed that

Bulalo Fiesta’s current distribution system helps them minimize costs. However,

according to their CEO, 10% of the business’ total revenue goes into sourcing and

distributing resources. This most likely consists of labor costs, materials sourcing costs,

as well as miscellaneous costs such as maintenance, fuel, etc.

Sourcing of Vehicles and Costing

Mitsubishi L200

Price: 765,000
 15

Powered by: 2.5-liter oil-burner

Capacity to Carry: 4,125kgs

Annual Maintenance Cost: 547,800

Annula fuel Consumptions: 8.5 l/ 100 km

Benefits and Advantages to the company

The benefits of the proposed distribution system proposal for the Bulalo Fiesta

Restaurant are the following: it will minimize the cost by reducing expenses, it can

increase the company’s net profit and its profit margin. Also, efficiency is about getting

the most out of their resources, which means they’ll be able to produce more with less

money and less waste. With the help of our proposal the Bulalo Fiesta Restaurant can

operate day-to-day without making costly errors, it will have an easy inventory

monitoring, it will lessen any form of error regarding time, location, or quantity of the

delivery of the product, to have a better organization, to increase their customer

convenience. and having an efficient business process can have them a greater

opportunity to expand and enter new markets.

The advantages of the proposal to the Bulalo Fiesta Restaurant is that they can gather

ideas from our proposal on how they can improve their marketing strategies by

implementing good advertisements such as, giving flyers, billboards, tv commercials,

and by boosting their social media accounts. They can also have an idea to increase

their delivery vehicle for them to have easy access and to avoid delays when delivering
 16

goods in their other branches. Our proposal will give them results that the company will

experience or gain if the proposal is accepted and executed.

Customer Impact

Our proposed distribution system for Bulalo Fiesta Restaurant can greatly impact its

customers. Customers, as we all know, are the essence of any enterprise and should

always be a top priority. Dissatisfied customers can reduce the enterprise's overall

revenue. Whether an enterprise is small, medium, or large, the customer has the most

impact on its operations. Our distribution system proposal can help Bulalo Fiesta

Restaurant to achieve its goals and objectives with its customers and service more

effectively. Our proposal can increase overall their business efficiency, and having an

efficient business process can lead to a consistent stock of their inventory, ensuring that

the quality of the products received by customers is top tier. With the help of our

proposal, it may also potentially increase enterprise revenue by lowering costs, as

previously stated, which may open up opportunities for the Bulalo Fiesta Restaurant to

expand and open more branches, increasing convenience for their current customers as

they have more branches to chose to eat from and gaining attraction that can potentially

get more new customers.

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Chapter 4: Conclusion & Recommendation

Taking everything into consideration, we recommend Bulalo Fiesta Food Park

Corporation to implement our researchers’ proposed distribution system not only for the

benefit of the entirety of the business, but as well as for the benefit of their customers.

As said above, the proposed system aims to help maximize efficiency, whilst minimizing

costs given that hiring a third-party supplier to supply needed materials to the main

branch as well as other Bulalo Fiesta branches aids in reducing man-hours being put

into manually sourcing materials from Divisoria, Manila. In addition to this, it also aids in

minimizing costs as it reduces costs that come with using the business’ private delivery

vehicle, as well as labor costs due to man-hours put into sourcing and delivering

resources. Consequently, this also creates a domino effect wherein customers are

indirectly impacted by the proposed distribution system as it aids in improving the

business’ overall operating efficiency, consistency with regards to their inventory, as well

as ensuring the products’ quality.

In conclusion, this distribution system proposal aims to improve the business’ overall

operations, and it is a given that a business which maximizes in efficiency, also

maximizes in revenue, which then could lead to Bulalo Fiesta possibly expanding in the

future.
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Chapter 5: Appendix

Presenters’ Profile

References:

- https://www.facebook.com/BulaloFiestaOfficial

- https://www.google.com/maps/place/Bulalo+Fiesta/@14.7052512,121.0690808,1
7z/data=!4m9!1m2!2m1!1sbulalo+fiesta!3m5!1s0x3397b1960c9db457:0x64d613
b62aa486c2!8m2!3d14.7052512!4d121.0734582!15sCg1idWxhbG8gZmllc3RhW
g8iDWJ1bGFsbyBmaWVzdGGSAQpyZXN0YXVyYW504AEA?hl=en
 19

- https://www.google.com/maps/place/Bulalo+Fiesta/@14.7230916,121.0501038,1
7z/data=!4m9!1m2!2m1!1sbulalo+fiesta!3m5!1s0x3397b0f56c2e4fad:0x23bdaf9d
cdbf8de3!8m2!3d14.7231541!4d121.0544187!15sCg1idWxhbG8gZmllc3RhWg8i
DWJ1bGFsbyBmaWVzdGGSAQpyZXN0YXVyYW504AEA?hl=en

- https://www.google.com/maps/place/Bulalo+Fiesta/@14.6630622,121.0641566,1
7z/data=!4m9!1m2!2m1!1sbulalo+fiesta!3m5!1s0x3397b75cd0651ffd:0xdafacade
3ea59df3!8m2!3d14.6630622!4d121.068534!15sCg1idWxhbG8gZmllc3RhWg8iD
WJ1bGFsbyBmaWVzdGGSARNmaWxpcGlub19yZXN0YXVyYW504AEA?hl=en

- https://bizfluent.com/info-7785080-benefits-business-proposals.html

- https://www.ordermentum.com/blog/why-businesses-should-focus-on-being-ef
ficient

- https://ecampusontario.pressbooks.pub/businessfuncdn/chapter/ownershipforms/
#:~:text=In%20addition%20to%20the%20three,Limited%20liability%20companie
s

- http://www.mitsubishicarsphilippines.com/vehicle/l200/

- https://www.google.com/url?sa=i&url=https%3A%2F%2Falidropship.com%2Fdro
pshipping-wiki%2Fsupplier%2F&psig=AOvVaw0-1fhKsKLQQpRN9ctcLxXS&ust=
1667567591248000&source=images&cd=vfe&ved=0CA0QjRxqFwoTCODpkcGL
kvsCFQAAAAAdAAAAABAF

- https://www.zomato.com/manila/bulalo-fiesta-novaliches-quezon-city

- https://www.liveworkstudio.com/themes/customer-experience/customer-impact/#:~:text=
Productive%20customer%20engagement%20means%20meeting,and%20preempts%20
costly%20service%20failures.

- https://www.google.com/amp/s/restaurantguru.com/amp/Bulalo-Fiesta-Quezon-City-4

- https://www.facebook.com/HideAwayRestoGrill

- https://www.facebook.com/TapsiNiVivian/