CN-Blue Water Technologies

"Live Cleaner and Healthier with CN-Blue"

Business Plan
Submitted by:
Antonio, Ayla Mae

Batiola, Jeus

Colon, Raven Mitz

Dela Cruz, Ricja Alicia

Descallar, Jade Xyra

Eser, Paulynne Phillippe

Fernandez,Joseph Bryan

Manalo, Mark Joseph

Manlupig, Harold
Ping-ay, Tristan

Submitted to:

Mr. John Paul Morales, Ms. Anna Cherry Recluta, Ms. Akhira Licarte

April 2021
 STI COLLEGE CALOOCAN - SENIOR HIGH SCHOOL DEPARTMENT
ILS Monitoring Sheet for Group Works QTR: SEM: 2nd S.Y.: 2020-2021
3rd
SUBJECT: Entrepreneurship SECTION:STEM-203 GROUP NO.: 2

TEACHER: Mr. John Paul Morales ILS SCHEDULE

EXPECTED OUTPUT: Non-ABM Business Plan DAY: Monday TIME: 5:30-7:00 pm PLACE:

ACCOMPLISHED? (kindly check) TEACHER'S

DATE ILS TASKS NAME OF MEMBERS YES NO IF NOT, REASON REMARKS
03-21-21 Ch 2. Legal Structure Antonio, Ayla Mae 49/50

03-21-21 Ch.1 Desc. Of Prod. Batiola, Jeus 48/50

03-21-21 Ch. 1 Competitors Colon, Raven Mitz 48/50

03-21-21 Ch. 1 Overview Dela Cruz, Ricja Alicia 49/50

03-21-21 Ch.1 Prop. Targ. Mar. Descallar, Jade Xyra 48/50

03-21-21 Ch.1 Proposed goals Eser, Paulynne Phillippe 46/50

03-21-21 Ch. 2 Target Market Fernandez,Joseph Bryan 49/50

03-21-21 Ch.2 Company Goals Manalo, Mark Joseph 48/50

and Mission
03-21-21 Ch.2 Philosophy and Manlupig, Harold 48/50
Vision
03-21-21 Ch. 2 Business Ping-ay, Tristan LEADER
Indust.

05-21-21 Ch. 4 SWOT analysis Antonio, Ayla Mae 50/50

05-11-21 Ch. 3 Product and Batiola, Jeus 50/50
Services
05-11-21 Ch. 3 The problem the Colon, Raven Mitz 50/50
product and service
solve.
05-21-21 Ch. 4 Marketing Dela Cruz, Ricja Alicia 50/50
Program
05-21-21 Ch 8 Corporate Social Descallar, Jade Xyra 50/50
Responsibility
(cancelled)
05-21-21 ---------------------- Eser, Paulynne Philippe
05-11-21 Ch. 3 How will you Fernandez, Joseph Bryan 50/50
price your product.
05-11-21 Ch. 3 Any unique Manalo, Mark Joseph 50/50
advantages/features
05-21-21 Ch. 4 Promotional Manlupig, Harold 50/50
Budget
05-21-21 Ch. 4 Location, Ping-ay, Tristan LEADER
facilities, or proposed
location.
05-27-21 Ch. 7 Start-Up Antonio, Ayla Mae 50/50
Expenses
05-27-21 Ch. 6 Advisors Batiola, Jeus 50/50
05-27-21 Ch. 5 Inventory Colon, Raven Mitz 50/50
05-27-21 Ch. 5 Quality control Dela Cruz, Ricja Alicia 50/50
05-27-21 Ch. 6 Organization Descallar, Jade Xyra 50/50
Chart
05-27-21 ------------------------- Eser, Paulynne Philippe
05-27-21 Ch. 5 Suppliers Fernandez, Joseph Bryan 50/50
05-27-21 Ch. 6 Management Manalo, Mark Joseph 50/50
Team and
Compensation Plan
05-27-21 Ch. 5 Technology, Manlupig, Harold 50/50
Equipment, and Tools
05-27-21 Ch. 5 Ping-ay, Tristan LEADER
Production/Manufactur
ing/Service process
 Table of contents

Chapter I Executive Summary 

a. An overview of your business……………………………………………….1

b. A description of your product and/or service………………………………..1

c. Your goals for your business………………………………………………...2

d. Your proposed target market.………………………………………………..2

e. Your competition and what differentiates your business……………………3

f. Your management team and their prior experience…………………………3

g. Financial outlook for the business…………………………………………..4 

Chapter II Company Description 

a. Company mission statement…………………………………………………5

b. Company philosophy and vision…………………………………………….5

c. Company goals………………………………………………………………5

d. Target market………………………………………………………………..6

e. Business Industry…………………………………………………………....7

f. Legal structure……………………………………………………………….7

g. Logo and Tagline……………………………………………………………9

Chapter III Product and Services

a. Your company’s product and/or services…………………………...……..10 

b. The problem the product or service solves…………………………………12

c. Any unique features that give you a competitive advantage………………13 

d. How you will price your product or service……………………………….15

Chapter IV Marketing Plan

a. SWOT analysis……………………………………………………………..16

b. Target Customer……………………………………………………………18

c. Marketing Program…………………………………………………………19

d. Product Costing…………………………………………………………….21

e. Promotional Budget………………………………………………………...22

f. Location, facilities, or proposed location……………………………………22

Chapter V Operational Plan

a. Production/Manufacturing/Service Process………………………………...25

b. Quality Control……………………………………………………………..29

c. Technology, Equipment, and Tools…………………………………………33

d. Inventory…………………………………………………………………….35

e. Suppliers…………………………………………………………………….36

Chapter VI Management and Organization

a. Management Team and Compensation Plan………………………………..39

b. Organization Chart………………………………………………………….46

c. Advisors…………………………………………………………………….47
 Chapter 1
Executive Summary

a. Overview of the Business

C-H2O Organic is a self-filtrating water dispenser independently created

by CN Blue company with our academic equity. It is built to filter water using
carbon-rich materials as well as to continuously filter and eliminate impurities in
water. Created from organic and biodegradable materials that it is both economical
and sustainable.

We have come up with this title and business idea because we evaluated
some validities and dilemmas that we generally have here in the Philippines. One
of those difficulties would be the inadequate source of clean water that indigent
people usually do not possess. Upon considering, we concluded that it will be
much reasonable if we are going to manipulate rich carbon materials that are
sustainable and biodegradable. We created this partnership business, CN-Blue
Water Technologies, to prepare and develop an effective water filter for people
who cannot afford a luxurious water filter. And after we successfully created this
product, we also did not harm our environment but it also advocates strategies and
solutions on how to preserve the environment.

b. Description of the Product

C-H2Organic Water Filter is a water filter that purifies any different types
of water by using carbon-rich materials. It is 100% natural made from organic
waste that can effectively eliminate the impurities of water and also gives good
health benefits. It contains pebbles, coarse sand, fine sand for filtering debris, and
two-layer of organic activated carbon for toxin, poison, and microbe elimination. It
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also contains dried tea leaves, lemon seeds and avocado peels for anti-oxidant,
anti-bacterial, anti-heavy-metal properties, respectively. It is also cheap and
affordable for everyone because it is made from recyclable materials, and that it
can also protect our environment and healthy at the same time.

 Natural, Activated-Carbon Water Filter

 Precise and effective filtration
 Organic and healthy

c. Goals for the Business

Our main goals are to recognized our company in abroad and to increase our
market share, increase the percentage of sales made with new products or product
features, and to gain numerous shareholders and be one of the successful
companies in the world and to focus on leadership skills for team members. Also,
our goal is that our product must be successful and it should be the best to use it in
for real life.

d. Proposed Target Market

Our ideal customers in our business are those people who can't afford the
expensive water filtration. Those people who can't have clean water because of
their situation. Especially now we're facing pandemic and most of the people
doesn't have work. So, some of them/us can't afford the water filtration, that's why
we decided to create alternative water filtration for those people who want to have
their own water filtration but they can't afford it.

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 e. Business Competition and Distinctive Characteristics

The C-H2Organic water filter is durable, it is placed inside the plastic jug
that ensures it does not break easily. In terms of quality and price our product is
cheaper compared to other products, but we can promise its durability and quality.

f. Management Team

Marketing Team

Our marketing team is composed of team members that are experts in

statistics and analyzation to recognize trends and act accordingly to take that
opportunity to promote, nurture, and cultivate our product.

Production Team

Competitive experts on the field of microbiology and chemistry are

one of the members of our production team. They are the one who will test and
validate the efficacy and efficiency of our water filter technologies. Our production
team is also composed of hardworking employees that would dedicate their time
and effort to produce the best possible product for the public and its constituents.

Sales Team

Articulate and well-spoken employees are the line up of our sales

team. Mastery in communication and fluent languages will be maximized by our
sales team to talk, and attract customers, stakeholders, and investors to increase the
sales and develop the success of the business venture.

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 g. Financial Outlook

The start-up capital for this partnership would be P40,000,000 that will be
mainly used for the facilities, building, commercial and industrial lot, marketing,
and promotion that are needed to establish this business successfully. This amount
is also enough for the partnerships to have a good foundation in to the market.

Below is the material costing/price sheet for the partnership’s product. It

allows a 115% Profit Margin that allows return of monetary value to the
partnerships but it does not increases the price tremendously to allow for more
consumers, especially indigent people and people in secluded regions, that can
access our product.

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 Chapter 2
Company Description

a. Mission

To make use and innovate current knowledge and technology for indigent
people to live without worrying about their health and well-being.

b. Company Philosophy and Vision

We believe that good quality water can fuel every person with enthusiasm
in their journey towards greatness. We dedicate ourselves and our resources to
creating harmony between man and nature for a better lifestyle.

To be the top pioneer in creating a cheap and sustainable water filter is our
leading goal. Our vision is put into action through sets of methodological
approaches that use organic wastes, and recyclable materials to create a self-
filtrating water dispenser, reducing pollution that is detrimental to the environment
while providing safe and clean water for all.

c. Company Goals

As a business partnership, these are the goals we aim to achieve while operating
and expanding our business venture.

 To know the company in abroad and to increase our market share.

 To increase the percentage of sales made with new products or product
features.

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  To gain numerous partners and be one of the successful companies in the
world and to focus on leadership skills for team members.
d. Target Market

Our business’s product focuses mainly on the consumer market. However,

we plan to target specific market segment so that we can maximize our sales and
income.

 Families in Rural areas

Almost if not all families living in rural areas such as in plains and
river side, have limited to no access to clean water. The only means of
cleaning water that they have is boiling and not all communities in rural
areas have enough knowledge to make an alternative water cleaning
system.
 Families/people with low to average monthly and annual income
Living in an urban community does not necessarily mean that you
have access to safe and purified water. Unless a family/individual has
their own water filtration system which costs an average of 2000 pesos
plus the cost of its maintenance they have no guarantee that tap water is
100% clean.
 Small businesses that want to provide safe and clean water
Small time businesses such as karenderya, gyms, and others that
provide any sort of water drinking services would be very pleased to
buy our product. Not only will they be able to save in expenses this will
also mean that have more money for other services.

We are considering the possibility of opening to institutional markets once

our business is stable and successful to further accomplished our business vision.

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 e. Business Industry

Manufacturing Industry

As a business venture, we want to enter the manufacturing industry to

contribute a manufactured product for public consumption. The manufacturing
industry is a large industry that is continuously growing alongside changing trends
with approximately 12 million employed people under this industry in America
alone. Through our product, the C-H2Organic, we want to integrate sustainable
raw materials such as organic waste and carbon-rich materials to produce an
affordable water filter, mainly to adapt and integrate to a certain trend and
contribute an innovative, eco-friendly, and affordable product for the industry and
sectors that are struggling with clean water scarcity. Using such raw materials, we
want to manufacture an effective water filter without sacrificing its quality for the
benefit of society.

f. Legal Structure

The business will run as a Partnership, the individuals associated with the
organization are expecting to gain profit according to their contribution and
investment to the company.

We chose this organization for the reason that all of the general partners will
be able to give their incentives and share their motives for the success of the
company. There will also be more sources of capital for there will be limited
7
partners who are willing to be investors, and that will expand the business itself.
And since the success of the product, the CH2organic is beneficial for the people
and the community, a partnership can be a really big help because this type of
business organization has limited regulation and taxation that means an advantage
in tax treatment and will cause much lesser problems in terms of legalities.

List of Owners

Names Address Contact No. Capital

Antonio, Ayla Mae Pat. B. De Asis 09204779698 4,000,000 PHP

Leongson St. Brgy. San
Roque, Navotas City
Batiola, Jeus Jews Blk. 8 Lot 23 Elysian 09206347530 4,000,000 PHP
Homes, Meycauayan,
Bulacan
Colon, Raven Mitz Blk 28 Lot 29 Ph3 F1 H 09274087102 4,000,000 PHP
Kaunlaran Village,
Caloocan City
Dela Cruz, Ricja 333 Dona Rita St. 09178967580 4,000,000 PHP
Alicia Caloocan City
Descallar, Jade Xyra 22 Gumamela St. 09294619218 4,000,000 PHP
Longos, Malabon City

Fernandez, Joseph Blk 39 LT2 PH3 F1 09473953937 4,000,000 PHP

Bryan Dagat-dagatan,
Caloocan City
Eser, Paulynne 4,000,000 PHP
Manalo, Mark Joseph 43 C Doña Aurora St. 09568153178 4,000,000 PHP
Araneta Village Potrero
Malabon City
Manlupig, Harold Blk 37 lot 8 Ph 2 A4 09062506644 4,000,000 PHP
Navotas City
Ping-ay, Tristan 128 Burgos St. 09974919501 4,000,000 PHP
Concepcion, Malabon
City

8
 g. Logo and Tagline

Our logo symbolizes how clean and safe water (represented by the leaf-
like green water droplet behind the happy person) results in a healthy, productive
and happy person; along with our company’s water technologies (represented by
the gear that circles the entire logo) that helps in binding or connecting the clean
water and the person. The company name, "CN-Blue", portrays our main motive as
a business corporation. CN represents the statement "Clean and Natural" and
through our products and services, we want to put this statement into practice by
providing clean water using readily-available, natural and eco-friendly resources.

"Live Cleaner and Healthier with CN-Blue"

Our tagline is connected to the product that we are currently promoting. It is

the C-H2Organic Water filter that filters and makes the unfiltered fresh water
cleaner and healthier so it would be safe to drink. The CN-Blue in the last part of
our tagline is our company name.

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 Chapter 3
Product and Services

a. Your company’s product and/or services 

Our company “CN-Blue Water Technologies Co.” produces and markets a

water filter that has 9 layers that are capable of filtering numerous pollutants. Our
product was made using organic waste and carbon-rich materials. On making the
water filter, putting the organic materials in each layer and its order, and making
the contaminated water into drinkable water. So, using these materials will purify
or eliminate contaminants with high efficiency. And it is also easy to use and
ergonomically designed to be convenient for handling and usage.

Figure 1 Skeletal Model. Figure 2 Outer Model. Figure 3 Inner Model.

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The Model

The overall structure of the 3D model of the water filter is slightly similar to
other commercialized water filters but with some unique characteristics.

o 3-curve design for easy, and convenient handling

o food-grade, durable, BPA-free plastic for maximum quality and durability.
o a high-quality rotary faucet dispenser for leak-free, and easy access to
getting the filtered water.
o A 9-layered water filter that has anti-bacterial, anti-heavy metals, and anti-
pollutants, and anti-contaminants properties.
o 2 liters capacity, suitable enough for most basic needs related to water
consumption such as cooking, drinking, cleaning, etc.

Organic Wastes/Natural Materials

In processing our product, we will gather these materials namely pebbles,

coarse sand, fine sand, granular activated carbon, powdered activated carbon, dried
tea leaves, lemons seeds, cotton, and avocado peel in creating our water filter.
These organic materials can be gathered through various sources and suppliers.

o Fruit manufacturing factory.

o Small food businesses (Milk tea shops, Fruit shake stalls, vendors,
etc.)
o Rock Gardens and garden supply shops.
o Cooking oil factory and other related coconut businesses.
o Woodworking businesses

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Process of Activated Carbon

The process of creating our organic activated carbon is by superheating the

organic wastes such as lemon peels, mangosteen peels for the powdered activated
carbon. Sawdust, branches, and coconut husk for the granular activated carbon.
Lemon juice will be used as a substitute for zinc chloride to activate the
micropores of the organic activated carbon.

9-layered water filter

Arranging these materials in these orders would create the 9-layered water filter
that will be secured to the water dispenser.

b. The problem the product or service solves.

1. According to World Health Organization dated March 22, 2019,

around 1 in 10 people still do not have access to improved water
sources in the Philippines. This leads to different health-related
problems like diarrhea.
- CN Blue aims to provide clean drinking water to the low-income
household including micro-businesses like ordinary carinderia or eatery.

2. According to research, low-income families cannot afford to buy water

purifiers because of their high or expensive prices.
- CN Blue creates a solution by offering a water purifier at a lower price.
The target market is focused on low-income households since it is
neglected by the existing purifier companies today. The company
believes that every Filipinos should have access to clean drinking water,
and it is a necessity for everyone.

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 3. Littering and clutter production is one of the difficulties that our
country facing. It is expanding every day across the country.
- CN Blue utilize organic waste and waste product in creating the
affordable self-filtrating water filter.

The competitive edge is lower cost in producing the product that is the
reason why can be able to offer it at a lower price and solve preceding problems
related to water consumption to bring social impact and improve the quality of
living of our target consumers, especially secluded regions, and low-income
households.

c. Any unique features that give you a competitive advantage 

The uniqueness of the product is an advantage to the company so that

customers will notice the product more. It shows the advantages of the product to
get more the attention of consumers and also for the growth of the business.

I. Our product has a 9 layered filter that contains organic materials such as:
1. Pebbles
• For filtering the large debris.
2. Coarse sand
• For filtering the fine debris.
3. Fine sand
• For filtering finest debris.
4. Granular activated carbon

13
 • We will use the coconut huts/shell and sawdust for the granular activated
carbon to remove the toxins or poisons and other microbes (pesticides,
VOCs, bad taste, and odor) in the water.
5. Powdered activated carbon
• We will use the lemon peel, mangosteen peel, dried leaves for the powdered
activated carbon to remove the toxins or poisons and other microbes
(pesticides, VOCs, bad taste, and odor) in the water.
6. Dried tea leaves
• For its anti-oxidant properties.
7. Lemon seeds
• For its anti-bacterial and anti-parasite properties.
8. Avocado Peel
 For its heavy metal absorption.
9. Cotton
• To separate water from possible filter components

II. Our product is low priced, unlike others, because we utilize organic waste
and sustainable materials like coconut husks, lemon peel, mangosteen, and
other natural materials.
III. By the capacity of our 9-layered filter, our product will efficiently and
effectively provide clean and drinkable water for all, mainly targeting
disadvantaged people and people in the rural sectors.

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d. How will you price your product or services?

As we have stated, our product is built to be as low in production cost as

possible while also considering the quality and safeness to be at their best. The
pricing of our product will be based on “cost-plus pricing” (see figure below)
where the price of a product is determined by adding the total cost of the material
and production cost to a certain profit margin (115% profit margin in our case) to
get the final price of the product. However, we will also use a Penetration pricing
strategy to establish our brand to the market, by releasing our product at a lower
cost than its cost-plus price we would attract more customers while preventing
competitors since they have to set a lower price for them to compete with our
product, then gradually increasing the price once a stable customer base has been
established.

15
 Chapter 4
Marketing Plan

a. SWOT Analysis
The SWOT Analysis analyzes the strengths, and weaknesses of the
different aspects and sectors of the partnership, and also the
opportunities, and threats the partnership may face in the future.

Strengths Weaknesses Opportunities Threats

Product/ Service The product is a The product is Due to the growing The gathering of
Offering cheaper alternative limited with scarcity of potable raw materials
to modern carbon-rich water supply, the might get tedious
filtration system materials as its product would be since it is not
with the advantage main component, more likely to be in- always accessible
of being pure and henc,e, resulting in demand to its target in the market and
organic due to the finite variety of market to help filter the surrounding.
use of natural raw materials to water in a cheaper
materials. choose from in way.
upgrading the
product.
Brand/ Marketing Our marketing Lack of social The product has the Further
campaign is media presence potential to be developments in
focused on our can be one of the prominent after water filtration
company’s main factors that might some time since it industry can
goal: to provide affect the showcases new change the market
and be of service company’s ways and implement beyond our ability

16
 to the people. marketing strategy natural method to to adapt.
since the target filter water.
market is kind of
hard to reach.
Staff/HR Staffs are flexible The general The staffs and the Partners and staffs
to any changes and partners don’t have people involved in are quite limited
can conduct a plan any prior the business is that is a
to fix or prevent experiences in committed with disadvantage in
any shortcomings business industry. their goals and case there is need
of the company. objectives in for the mass
proposing the production of the
product that is product.
convenient to attract
investors.
Finance Manufacturing of Staffs might not be The goal and Funds might be
the product capable enough for objectives of the insufficient in
doesn’t require all the financial business can attract case of mass
large amount of matters due to lack investors and production of the
money so the of experience. organizations. product since the
starting capital has investors are
no need to be limited.
extravagant.
Operations/ The business is Due to lack of The business has Numerous sudden
Management well-planned and knowledge and been studied enough changes at the
has back-up experience, the to make the same time can
schemes in case of company might implementation make the business
emergencies and face some easier and the tactics operations
drawbacks. struggles that is more effective. vulnerable.
beyond the
capability of the
team to control.
Market The product offers Lack of strategic The product is
Changes on the
a new way to filter relationship with potential for fast
focus and the
water and it has other growth in the
techniques in
the capacity to manufacturers or market since it
water filtration of
grow and adapt suppliers of raw exhibits as a better
large competitors
within the materials that will alternative to
might pose a
business industry. be used for this existing water
significant
product. filtration techniques.
challenge to the
company.
Can any of your strengths help with improving your weaknesses or combating your threats?  If so,
please describe how below.
 The strengths we have stated focuses on the entirety of our product and its edge compared to the existing
services offered in the market, these advantages have the capability to overcome the weaknesses and future
threats the company might face. For instance, the flexibility of the staffs and the marketing team to adapt
to changes can provide solution to the drawbacks the business might face, together with the company’s

17
goals and objectives to continue and prevent the threats.
Based on the information above, what are your immediate goals/next steps?
 The product itself is already fine, it already has a strong background and undergone thorough planning,
what needs to be improved and achieved is the knowledge and the capability of the staffs to overcome
shortcomings. The immediate goal is to be able to device more strategies and techniques on how to
improve the product after some time when it’s finally on the market and competing with the existing
commercial products.
Based on the information above, what are your long-term goals/next steps?
 The long-term goal is to be the top pioneer in creating a cheap and sustainable water filter, a product that
is potential in replacing expensive and extravagant methods of water filtration. A water filter that can
provide indigent people with water that is safe, affordable, and pure.

b. Target Customer

As a business partnership, we are mainly targeting customers who do not

have access to clean, and safe water, particularly secluded regions and indigent
people by providing cheap, sustainable, and effective organic water filters.
Families that live under the poverty line and families in areas with no clean water
access are more prone to several water-borne diseases that account for a large
percentage of death causes in the said communities due to poor access to clean
water and water filtration equipment.

We also plan to integrate selling through retailers and organizations,

especially non-government organizations (NGOs). Contracting non-government
organizations to buy our product, a cost-effective organic water filter, and
distribute it to their target areas for free. Through our product, their budget on
conducting their mission/project related to improving water access in such areas
might be highly reduced due to our sustainable approach to making our product.

For consumers (indigent people, secluded regions, etc.)

Age group – all ages are included

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Gender – all genders are included

Location – Secluded regions/areas with poor clean water access

Income – Below the minimum wage per month (P11,300/month)

Occupation – All occupations are included/ Occupation that has a below minimum
wage salary

Education Level – all educational levels are included

For businesses/organizations (non-government agencies, non-government

organizations, charity, non-profit organizations, etc.)

Industry – charitable institute/charitable sectors/Manufacturing Industry

Location – Around National Capital Region with branches reaching out to target
areas (for organizations)

Size – 400 sq ft. (average commercial space for offices)

Stage in business – mature/growing

Annual Sales – For organizations - No sales

For businesses – P1,000,000 per year

c. Market Program

We aim to reach a particular business niche to increase our profits and

revenue. This product will be marketed and distributed in various ways.

A portion of our annual marketing budgets will be invested in appropriate

advertising strategies, such as:

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  Production from business cards, newspapers, magazines, brochures.
pamphlets, and service sheets.
 Internet access (including business website, email, social media, direct mails
and campaigns, etc.)
 Advertising in collaboration with wholesalers, manufacturers, or other
companies
 Usage of broadcasting stations such as radio, TV, online advertising, and
social media.
 Other strategic alliances with other companies and other initiatives.

This product will be accessible in various areas:

 Households in rural areas.

 Smaller firms that seek to have efficient and proper drinking water.

In terms of sales incentives, we can also integrate our sales to promotional

events into advertisement and marketing strategies, such as:

 Showcases at points of sale

 Demonstrations of products

Furthermore, this product can also be marketed in ways of having a website

and a business Facebook page. Having these two given sites is very essential
knowing how many people are capable of using such platforms.

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d. Product Costing

The price of a product is determined by adding the total cost of the

material and production cost to a certain profit margin (115% profit margin in
our case) to get the final price of the product. We will also use a Penetration
pricing strategy to establish our brand to the market, by releasing our product at
a lower cost than its cost-plus price we would attract more customers while
preventing competitors since they have to set a lower price for them to compete
with our product, then gradually increasing the price once a stable customer
base has been established.

21
e. Promotional Budget

f. Location, facilities, or proposed location 

For the location of the CN-Blue Water Technologies, an industrial lot in

Silang, Cavite was chosen as a suitable area for geographic, economic, and safety
aspects needed for the production of our CH2Organic Water Filter. The lot has the
following characteristics:

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Size of the location - 2518 m2 wide
Type of building – Industrial
Zoning restrictions

 The public should not be allowed to visit this facility.

 This building is not positioned in dense and populated areas (neighborhood,
community, schools, commercial establishments, etc.)
 This building is not positioned near fire sources and fire-prone areas
(restaurants, gasoline stations, etc.)
 This building is not positioned near main roads and highways.

Accessibility for customers, employees, suppliers, and transportation if

necessary

This building will not be accessible to customers for safety purposes. On the
other hand, employees, and suppliers can access this building through various main
roads and highways (SLEX, S Luzon Express Way, Epifanio de Los Santos Ave.,
Emilio Aguinaldo Hwy, etc.) that can be easily accessed for supply deliveries and
work in the establishment.

Costs including rent, maintenance, utilities, insurance, and any buildout or

remodeling costs 

Costs Description
Lot Costs P 24,550,500 -with building establishment

Rent – P 55,000/month included

-Rent is for the retail space in
MOA Bay, Pasay City
Maintenance P 1,200,000 -enough for some minor

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 Costs adjustments since the
building is well-maintained
and in good condition for
production purposes.
Utilities Electricity Bill – P 50,000/month -Electricity will be rarely

Water Bill – P 10,000/month used

Insurance AXA Business Security Insurance
Sample Quote
For a premium of 2,400 pesos, your unit
can be insured for 1,000,000 pesos*
AXA Property Insurance Sample Quote
For a premium of 1,200 pesos, your
property can be insured for 1,000,000
pesos.
-Water will be used
frequently
-May be adjusted depending
on the agreed contract
between the advisor.
-Business Security and
Property Insurance for double
protection against certain
risks.

Utilities
Electricity and Water utilities are the main requirements to run and operate the
manufacturing equipment for the production of the CH2Organic Water Filter.
Electricity will be rarely used and if needed, it will be mainly used for the lights,
ventilation, and transportation of products (using electrically powered vehicles if
needed). Water utilities will be frequently used to clean equipment, materials, and
the whole establishment. Water will be also used in processing certain materials
(activated carbon) that are needed in producing the water filter.

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 Chapter 5
Operational Plan

a. Production/Manufacturing/Service process

Production Procedure

In processing our product, we will gather these materials namely pebbles,

coarse sand, fine sand, granular activated carbon, powdered activated carbon, dried
tea leaves, lemons seeds, cotton, and avocado peel in creating our water filter. The
use of these materials, first is pebbles, for removing large debris, coarse sand for
removing the fine debris, and fine sand for removing of finest debris.

The granular activated carbon (from coconut husk, branches, and

sawdust) and powdered activated carbon (from organic wastes) can remove the
toxins or poisons and other microbes, and improve the taste and odor of the water.
We will also put dried tea leaves because it has anti-oxidant properties, lemon
seeds for its anti-bacterial properties, avocado peels for heavy metal absorption,
cotton to separate water from possible filter components.

The process of creating our organic activated carbon is by superheating

(pyrolysis) the organic wastes such as lemon peels, mangosteen peels for the
powdered activated carbon. Sawdust, branches, and coconut husk for the granular

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activated carbon using a large burner. Lemon juice will be used as a substitute for
zinc chloride to activate the micropores of the organic activated carbon.

Arranging these materials in these orders would create the 9-layered water
filter that will be secured to the water dispenser.

The organic water filter layers

Figure 4 Front View Figure 5 Worm’s view Figure 6 Perspective view

The procedure of making the components

Granular Activated Carbon

What to prepare:

• Coconut husks • Casserole with little holes • Wood/s

• Lemon/s • Extra metal container • Knife *Mortar and pestle

Step 1: Preheat the chimney with woods. (If you don’t have a chimney, you can
use the manual method that uses woods and stones to start the fire.)

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Step 2: After starting the fire, put the coconut husks inside the casserole.

Step 3: Let the casserole with coconut husks sit in the fire.

Step 4: Crush the dried coconut husk and transfer it to a metal container.

Step 5: Now, start by cutting the lemon in half.

Step 6: After cutting the lemon in half, you can take the peel of the lemon as well
as the seeds. (You can save those parts for later)

Step 7: Squeeze and pour the lemon juice into the crushed coconut husk.

Powdered Activated Carbon/Powdered Lemon Seeds

What to prepare:

• Mangosteen • Fruit peels • Dried leaves • Branches

• Sawdust • Lemon peels • Casserole with little holes

• Wood/s • Lemon/s • Extra metal container • Knife

Step 1: Preheat the chimney with woods. (If you don’t have a chimney, you can
use the manual method that uses woods and stones to start the fire.)

Step 2: After starting the fire, put the carbon-rich materials inside the casserole.

Step 3: Let the casserole with carbon-rich materials sit into the fire.

Step 4: Crush the carbon-rich materials and transfer them into a metal container.

Step 5: Now, start by cutting the lemon in half.

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Step 6: After cutting the lemon in half, you can take the peel of the lemon as well
as the seeds. (You can save those parts for later)

Step 7: Squeeze and pour the lemon juice into the crushed carbon-rich materials.

Step 8: For powdered lemon seeds: Dry the lemon seeds you acquired from the
lemon solution earlier for at least 2 days.

Step 9: Gently crush the lemon seeds you acquired from the lemon solution earlier.

Process of arranging the filter

Prepare the ff. materials:

1. Food Grade Round Water Dispenser 2. Acrylic Tube 3. Acrylic Glue

4. Powdered Lemon seeds 5. Dried Tea leaves 6. Cheesecloth

7. Granular and Powdered Activated carbon 8. Cotton 9. Strainer

10. Sediments (coarse sand, fine sand, pebbles)

Step 1: Prepare the acrylic tube with filters: Put a strainer at the bottom part of the
dispenser.

Step 2: Organize the layers of the filter inside the dispenser by positioning the
cotton at the bottom, then putting the activated carbon in order: powdered activated
carbon and granular activated carbon.

Step 3: After the activated carbon, put the organic wastes in order of lemon seeds,
dried tea leaves.

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Step 4: Proceed on arranging the sediments in the tube according to their
refinement: fine sand, gravel then lastly is the pebbles at the topmost layer of the
filters.

Step 5: Make sure to put a cloth in between the layers. Place a strainer at the top
part of the dispenser

Step 6: Arrange the filter in the food-grade round water dispenser: With the help of
acrylic glue, place the tube with filters inside the dispenser leaving 1 inch of space
at the upper part, and 5 inches of space at the bottom part.

b. Quality Control

For design implementation, construction planning, and business operations,

quality is prepared for and handled using the “Create-Do-Examine-Take” model. It
can furthermore be elaborated in terms of:

1. Create a plan
2. Do and fulfill the plan
3. Examine the products
4. Take action

The team will recruit staff who can be split into separate teams to direct the
quality management in order to achieve consistency and clarity.

1. Project Implementation Group (PIG)

2. Manager of Projects (MP)
3. Supplier of Resources (SR)

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Methodology for Quality Management Plan:

Create a plan

 Determine the quality objectives of the consumers. Assist consumers in

expressing their product preferences objectively and quantitatively.
 Determine professional requirements such as civil, ecological, cultural, code,
life protection, and fitness.
 Align consumer and stakeholder desires and preferences with expense,
timetable, and professional standards.
 Assess the risks and advantages of chosen quality goals as well as the
procedures that would be used to accomplish them.
 To meet goals, create an efficient strategy and mechanisms, including
quality assurance and quality management procedures. Evaluate the project's
risk/hazard considerations and sophistication, and adapt procedures to have
the required standard of quality.

Do and fulfill the plan

 Perform the tasks in accordance with authorized and normal security

procedures.

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  The implementation of a project is a fluid operation. It is necessary to
collaborate, interact on a regular basis, and respond to changing
circumstances.
 To ensure the project goals are fulfilled, the Quality Management Plan can
need to be modified.

Examine the products

 To guarantee objectives are met, conduct independent professional reviews,

administrative monitoring, and inspection.
 Check results and calculate thresholds to ensure that performance meets
Quality Objectives and that the strategy is adequate. To promote quality
development, share results with all involved parties.

Take action

 If key performance thresholds are met, take specific disciplinary steps to

address the underlying cause of any non-compliance, weakness, or other
undesirable impacts.
 Record quality enhancements such as necessary updates to the development
project, changes to performance management and monitoring processes, and
changes to resource assignments.

The Project Implementation Group (PIG) is accountable for:

 Recording and reporting consumer preferences and agreed-upon quality

control goals at the construction phase to aid in execution.

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  Using their integrated project partners' skills to assess the processes required
(such as external thorough analysis) to reach the desired degree of quality.
 Assuring that the consumer agrees on all of the quality priorities outlined in
the Quality Management Plan.
 Recognizing the idea of the consumer in the excellence of the project and the
Project Implementation Group's interaction with the client is critical to
delivering good service.
 Collaborating with the client involved in design to assess customer demands
and adjusting those requirements in terms of safety, economic, scheduling,
and other constraints; evaluates the cost/benefit of such product
enhancements.

The Manager of Projects (MP) is accountable for:

 Completing a high-quality project

 Actively ensuring that the overall service priorities are clearly defined.
 Keeping track of the output of their own works
 Maintaining their promises to complete their part of the project as outlined
in the Quality Management Plan.

The Supplier of resources (SR) is accountable for:

 Observing the consistency of the value created by their team members that
serve on the companies they employ to complement their in-house
capabilities.
 Actively participated in the appointment of outside contractors and
service/goods suppliers to ensure their qualifications to conduct given task.
 Designating members of staff to project teams based on their abilities and
expertise.

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  Seek advice on a regular basis to gather suggestions and make changes as
required.
 Guaranteeing that procedures are in place and that trained personnel or
consultants are required to ensure that an unbiased technical examination is
carried out.

c. Technology, equipment, tools

Facilities/Equipment

 Computer/Laptop - a machine that can be programmed to carry out

sequences of arithmetic or logical operations automatically. We can make
digital files and create 3D model.
 A large oven/burner – this will be used for burning and making the activated
carbon filters.
 Smart phone - A smartphone is a mobile device that combines cellular and
mobile computing functions into one unit. We can be able to communicate
easily with each other and make files.
 Industrial Building -- a relatively permanent enclosed construction over a
plot of land, having a roof and usually windows and often more than one
level, used for any of a wide variety of activities, as living, entertaining, or
manufacturing. anything built or constructed. the act, business, or practice of
constructing houses, office buildings, etc. This is where the business

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 partnership does their work. This building will also provide the necessary
utilities and facilities for manufacturing the products.

Platform

 MS Word - Microsoft Word is a word processor developed by Microsoft. It

was first released on October 25, 1983, under the name Multi-Tool Word for
Xenix systems.
 MS PowerPoint - Microsoft PowerPoint is a presentation program, created
by Robert Gaskins and Dennis Austin at a software company named
Forethought, Inc.
 MS Teams - Microsoft Teams is a proprietary business communication
platform developed by Microsoft, as part of the Microsoft 365 family of
products.
 Canva - Canva is a graphic design platform, used to create social media
graphics, presentations, posters, documents and other visual content.
 Vectary -VECTARY is an online 3D modeling tool designed to help create,
share and customize 3D designs.
 Microsoft 3D model - 3D Builder is Microsoft's 3D modeling software that
allows you to easily design a 3D model, visualize it or make any
modifications quickly.

Organic/high-carbon resources

 Pebble - A clast of rock with a particle size of 4–64 mm based on the

Udden-Wentworth scale of sedimentology.
 Coarse sand - Coarse Sand is our concrete sand that is washed and screened
to a larger grit than our Fine Washed Sand (masonry sand). Used to filter
water because of it blocks fine chunk of debris

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  Fine sand - A naturally occurring material with nominal size of less than 5
millimeters with a high percentage of fines on the 75 micron sieve. Used to
filter water because of it blocks fine chunk of debris
 Coconut husk - Coir is the fibrous material found between the hard, internal
shell and the outer coat of a coconut. Used to filter water because of its high
carbon properties.
 sawdust - Sawdust (or wood shavings) is a by-product or waste product of
woodworking operations such as sawing, sanding, milling, planing, and
routing. Used to filter water because of its high carbon properties.
 Organic waste - Biodegradable waste includes any organic matter in waste
which can be broken down into carbon dioxide, water, methane or simple
organic molecules by micro-organisms and other living things by
composting, aerobic digestion, anaerobic digestion or similar processes.
Used to filter water because of its high carbon properties.
 Dried tea leaves - a high carbon leaves that is useful in filtration
 Cotton - Cotton is a soft, fluffy staple fiber that grows in a boll, or protective
case, around the seeds of the cotton plants of the genus Gossypium in the
mallow family Malvaceae. Used to filter materials from the filtration system.

d. Inventory

What kind of inventory will you keep on hand (raw materials, supplies,
finished products)?

Our finished product is named CN-Blue Water Technologies. It is a self

filtrating water dispenser that is built to filter water using mainly raw materials

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such as organic and natural waste and materials to filter impurities in unclean
water. It is safe for the environment and economically sustainable as well. The
product will also use finished products and supplies such as food-grade water jugs,
acrylic tubes, and strainer will be used in creating the product.

What will be the average value of inventory (in other words, how much
are you investing in inventory)?

The finished product including the total cost and 115% profit margin comes
with the suggested retail price at only P920 each. The materials are made up of a
food-grade round water dispenser, 75mm acrylic tube, acrylic glue, lemon,
cheesecloth, clean natural pebbles, gravel, fine sand, and cotton pads. Hence, the
price of the finished product will be lessened by a penetration pricing strategy to
attract more customers to outweigh competitors competing for our products. Then
gradually increasing the price once a stable customer base has been established.

Will you need more inventory than normal during certain seasons? (For
instance, a retailer might need additional inventory for the holiday shopping
season.)

Yes, we will be needing more of the product especially when the peak season
comes to compare to the normal days. In times like this, we will be expecting more
customers to buy our discounted products from big sales, and holiday-sale events
to accommodate their needs and satisfy their wants.

What is your lead time for ordering inventory?

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 Our perfect time for inventory for cut-off is every 15 days of the month and
the lead time for ordering the inventory is annual. This is important to have in
every business, small or big, to monitor the consumption in the process of
producing goods to be sold.

e. Suppliers

For the fulfillment of the materials, we have three major or key suppliers;
Amistad Plastics for the food-grade water container; 0903fulaier.ph will provide us
with the acrylic tubes; and Build Store Manila is a backup supplier which also
supply’s acrylic tube, glue, and other stationery materials.

Information regarding the aforementioned key suppliers is listed below:

 Amistad Plastics and Packaging Inc.

o Address: 11 Toctokan near Malasimbo St., Masambong, Quezon
City. Philippines. 1115
o Websites: amistadplastics.com
o Contact: 0919.00.47952 / sales@amistadplastics.com
o Registered in the Securities and Exchange Commission, Amistad
Plastics and Packaging Inc. is a credited plastic and packaging
supplier with over 600+ customers and 98% positive customer ratings
and reviews.
o We do expect supply shortages from this supplier, which is why we
are still currently looking for another company or manufacturer that
will serve as a backup supplier.
 0903fulaier.ph
o Address: not stated on their homepage
o Websites: Their store is available in both Shopee and Lazada
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 o Created about 20months ago, 0903fulaier.ph is an online reseller shop
with over 1.5k products and has sold to more than 20k customers over
the years. It has a 4.9 out of 5 shop rating and a total of 10.7k
followers.
o Materials coming from this shop are also available on Build Store
Manila just at a higher price. Build Store serves as a backup supplier
in case supplies run out.
 Build Store Manila
o Address: TBA, 1004 Manila, Philippines
o Websites: shopee.ph/buildstoremanila
o Build Store Manila is a store that sells stationery and other crafts
materials, it is a well-credited shop with a perfect customer rating and
has done over 6000+ successful transactions.

In the case of cost changes or fluctuation in any of these three key suppliers,
our team will assess the situation based on how significant the change of the cost
is. We are also expecting discounts for the wholesale transactions of these
materials from the respective suppliers. If the price is still negotiable, then we will
still proceed to do business with these suppliers, however, if the change is too
drastic or too high, we do have backup suppliers and we will look for one as soon
as possible if the backup supplier is not available.

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 Chapter 6
Management & Organization 

a. Management and Compensation Plan

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 Gaps

For the partnership owners, all of the owners are students and may lack the
needed experience/knowledge to run a business. To compensate for this problem,
the partnership will hire a business advisor/consultant to guide the owners on the
different aspects of the business, especially in assessing threats, opportunities, and
also in decision making. The financial aspect of the business is also important and
every decision that involves money shall be thought thoroughly before committing.

A financial advisor/accountant could help in managing the finances that are going
in and out of the business, preparing assets, liabilities, managing taxes, etc.

Compensation Plan

The purpose of this incentive compensation plan is to motivate and reward

competitive and valuable employees for committing and accomplishing individual
needed tasks and goals to maintain the target quality performance in accordance
with the business target and goals.

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 Hourly Wage Compensation – The hourly wage compensation is
calculated as an hourly wage, giving extra payment for overtime work that
exceeds 40 hours per week. This would encourage the employees that are
willing to sacrifice time to provide more quality work.
 Holiday Bonuses – These holiday bonuses give the employees salary
bonuses in holidays for them to have money to spend and enjoy during their
holiday breaks. It also serves as a gift of gratitude from the partnership.
 Retirement Savings Plan – Employees will designate pre-tax contributions
to be deducted from each paycheck. For employees who contributed 5% of
their gross salary, the company will give 75% of the employees total
contribution as retirement savings.
 WISP (Workers’ Investment and Savings Program) – This is an SSS
mandatory provident fund that provides additional retirement savings upon
reaching the age of retirement.
 Health Insurance – The partnership will also provide health insurance to its
employees that also insure their spouse or dependants if available. The
health insurance fee will be deducted as a pre-tax contribution from each of
the employees’ paychecks.

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 b. Organizational Chart

The organizational chart is a diagram that shows the structure of

an organization and the relationships and relative ranks of its parts and
positions/jobs.

46
c. Advisors

 Attorney - Navigating the many forms and requirements of legal

documents, like incorporation documents, that are involved. Assurance the
the startup is being done right.
 Accountant - to accumulate and report on financial information about the
performance, financial position, and cash flows of a business. This
information is then used to reach decisions about how to manage the
business, or invest in it, or lend money to it.
 Board of Directors - most important function is to approve or send back for
amendment management's recommendations about the future direction of
the corporation. Ensuring the company's prosperity by collectively directing
the company's affairs, while meeting the appropriate interests of its
shareholders and relevant stakeholders.
 Advisory Board - a small group of business professionals who have been
selected to help advise a business owner on such issues as marketing, sales,

47
 financing, etc. These individuals can guide founders through some of the
hurdles and growing pains of getting a business off the ground.
 Insurance Agent - are licensed in their states and must comply with all
governing statutes and regulations. Who specialize in property and casualty
insurance help small business owners obtain insurance coverage from
insurers at a reasonable price (or premium).
 Consultant - works with clients on various aspects of planning, strategy,
and problem-solving. A business consultant can also provide information
and guidance to help executives or upper management master business skills
in their unique industry.
 Banker - an important role in the economy for offering a service for people
wishing to save. Banks also play an important role in offering finance to
businesses that wish to invest and expand. These loans and business
investments are important for enabling economic growth. It is also known as
initiating the service of customer loans. The services of bankers include cash
management, credit management, loan management, growth management,
and corporate finance.
 Mentors - Business mentors lever their knowledge and experience by
providing advice, counsel, network contacts, and political and cultural
know-how, together with ongoing personal support and encouragement. The
business mentor's interest is to foster the career development of the mentee.
Also to help you excel in your career and become the best version of
yourself. This may involve helping you achieve your goals, introducing you
to new ways of thinking, challenging your limiting assumptions, teaching
you life lessons, and much more.

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Curriculum Vitae

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