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infection home to your family. Hand sanitizer can assist you in this matter,

when there is no convenient source of soap and water.

Aside from this uses, our product can also be used as mosquito

repellent because of its scent. Citronella and tea tree oils are said to have this

effect.

A business enterprise can be more competitive when fused to another

resilient class of business thus, giving a green personal care business a big

shot on the Philippine market. The aim of this study is to associate

environmental friendly and personal health product in constituting a product,

coming up with a product which is not only an all-in-one hand sanitizer but

also a product that is eco-friendly since it only uses 100% natural ingredients.

Project History

Hand sanitizer, is a supplement or alternative to hand washing with

soap and water. Various preparations are available, including gel, foam, and

liquid solutions, was first available as a production in 1946 created by Goldie

and Jerry Lippman in Akron, Ohio. Jerry and Goldie worked in the rubber

plants during World War II where dirty hands are their way of life and their co-

workers. Soils like graphite, tae, and carbon black were difficult to remove

and the chemicals like benzene can get the dirt off, but they were dangerous

to use and they irritated the skin. The Lippman found a better, safer way for

rubber workers to clean their hands when Jerry, in cooperation with Clarence

Cook of Kent State University, invented a grease- cutting soap that could be


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used with or without water. And in 1988 they introduced the Purell hand

sanitizer. At the same time the popularity of hand sanitizer began to soar and

is now particularly popular among parents who have small children.

Earlier in 1960s, hand washing had been the most fundamental way of

promoting a healthy living, with the use of soap to clean your hands and water

to wash it out. But this practice is somehow inconvenient especially to those

who are in the middle of busy schedule and also in traveling. People

nowadays are being more conscious about their time, but of course, doing

something easier without compromising their health is the main concern.

Lupe Hernandez of Bakersfield, California was studying to become an

RN. During one of her research in 1966, she found out that alcohol can be

delivered through the medium of gel to provide near instantaneous cleansing

in an environment where there is no time to find a sink and wash with soap

and warm water. Since their invention, hand sanitizers or hand antiseptics

started gaining popularity and many companies started patenting their

products. Since then, hand sanitizers can be found everywhere like in every

household, malls, hospitals and schools.

Experimental procedures undergone by chemists, had prolonged the

evolution of hand sanitizers, continuously conducting researches unto some

alternatives since alcohol found to be an agent in making skin dry. The critical

allegations on alcohol establish the need of human for substitute, meaning,

looking for something that disinfects like an alcohol but does not possess its

characteristics of drying someones skin.


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Natural products are found to be environmental friendly and effective,

giving people the idea that it can be used as an alternative. Research

conducted through the years has proven that the use of products with

benzalkonium chloride may increase bacteria resistance that alcohol-based

bacteria hand sanitizers do not provide.

Background of the Study

CMC Company is an entity which dedicates themselves to in the field

of personal care industry. The formation of which is initiated by the time the

partners, Belza, Gacot and Miranda, came up with the idea of providing

people the care they be worthy of.

PreppyHands Hand Sanitizer is the product that has been developed

by the entity, itself. It is a means of personal care put into a bottle comprising

the benefits of mosquito repellent, moisturizer and hand sanitizer in one

product.

CMC Company aims to give consumers an appropriate value for their

money. It is to provide them a product which does not only concentrate on

being a hand sanitizer with mosquito repellent and moisturizer, but also being

environmental welcoming in a sense that it only uses components that do not

harm the ecosystem.

Scope and Limitation


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This study was conducted from the first week of January to first week

of March 2013. This study only focused on know whether the business is

viable and if yes, also the extent of its profitability.

The mere population around Pasay City, specifically men and women

at the age between 15 to 44 years old, will be the main target of this study,

and from that population, the researchers will use purposive sampling in order

to get the sample space appropriate for this study. In terms of the

respondents, it must be the people, especially students, residing there.


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MISSION

CMC Companys mission in part of its vision is to

continuously manufacture a hand sanitizer at a

reasonable price without compromising its quality and to

incessantly strive hard in aiming its vision.

VISION

To become the top manufacturer of Hand Sanitizer in the

country which meet the highest quality, affordability and

efficiency standards that will provide our customer

protections against the spread of germs and serious

public health threats.


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In order to get these objectives into reality, the four basic management

functions which are planning, organizing, influencing and controlling, must be

always considered.

Planning is an activity involving choice of tasks that must be done in order to

attain organizational goals, delineating who, when, what and how is going to

do specific jobs. This phase of management is significant for it serves as the

stepping point towards the attainment of the entitys goal.

In speaking of Organizing, it is defined to be as the point of creating a

mechanism in putting what have been planned into actions.

In order to achieve a certain goal, every individual in the organization must

possess the will and urge to do the task they are up to, and to ascertain this,

management must consider influencing manpower. The main purpose of this

is to increase the productivity and efficiency in each of the departments.

And lastly, the controlling part, this could be the most crucial part

because aside from checking actual performance against the standards or

plans, it is an ongoing process and deals a lot of courage and effort to be

done effectively.

Pre-operating period Management

Project originators:

Belza, Charmaine N.


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Gacot, Maria Teresa A.

Miranda, Cristel Jane S.

Form of Business Ownership

Partnership will be the form of organization to be used in this business

and the entity shall be named as CMC Company and will be operated under

the partners, named Charmaine Belza, Maria Teresa Gacot and Cristel Jane

Miranda. Among the three partners, one will act as the managing partner. The

partners solely agree that they will consult all partners in transactions that

appear to be material. The partners agreed among themselves that the profit

must be divided equally.

Capitalization

Each of the partners, Belza, Gacot and Miranda will invest P220, 000

respectively from their own funds and will no longer lend money from any

financial institutions. The initial capital will be used in acquiring the raw

materials, equipment, 1 month advance and 2 months deposit of their rented

space, salaries for employees, and other overhead expenses intended for the

business.

Organizational Structure


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Figure 2.1

Organizational ChartManaging Partner

Job Specifications

Responsible for supervision in administrative, marketing and

production aspect and hiring workers.

Responsible to manage staffs and hire new workers.

Responsible in ensuring the cost effectiveness of the production

Responsible for implementation of plans whether marketing or

production related.

Responsible in the work back of personnel.

Responsible in reviewing and managing office budget and expenditure.

Responsible to attend performances and other events as required out

of normal office hours.

Responsible to support the overall marketing objectives of company

both externally and internally

Responsible to report on campaigns to ensure effective departmental

communications.

Managing Partner

OfficePersonnel

ProductionPersonnel


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Responsible to maintain liaison with external and internal suppliers,

assisting in commissioning and delivery of marketing material.

Responsible personnel for social networking promotional activities.

Responsible in ensuring the making of website, if there is any.

Responsible for making proposal related to marketing.

Responsible in reviewing the marketing strategy of business.

Job Qualifications

Must be one of the partners of the company

Must have a minimum of three years experience in business

management, planning and financial supervision.

Must have a three years experience in personnel management

including supervision and hiring.

Must be computer literate

Must speak English fluently

Must be excellent in verbal and non-verbal communication skills

Must have some knowledge with regards to making layout for print

ads.

Must be creative and willing to work over time.

Production Personnel

Job Specifications


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Responsible for supervision in administrative, marketing and

production aspect and hiring workers.

Responsible to monitor the production processes and adjusting

schedules as needed.

Responsible to make sure that the products are produced on time

and are of good quantity.

Responsible for the safe keeping of raw materials and equipments

needed for production.

Responsible to report any setbacks with the production system

Responsible in ensuring the cost effectiveness of the production.

Responsible in packing the products.

Responsible in transferring the product to the person in charge for

delivery.

Responsible in proper handling of finished products.

Responsible in putting tag prices if needed.

Job Qualifications

Must be 19 years of age but not above 40 years old.

Must be at least high school graduate.

Must be hard working.

Must be willing to work under pressure

Office Personnel

Job Specifications


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Responsible in creating schedules to ensure sufficient and well-

organized staffing at all times.

Responsible to answer telephones, file documents, make copies,

send faxes, sign for packages, distribute mail, maintain office

supplies, and support staff members in project work.

Responsible for arranging and confirming appointments

Responsible in handling incoming mail and other material

Acts as office receptionist.

Responsible in safe keeping of office supplies and equipments.

Job Qualifications

Must be know how to use MS applications, internet and fax

machine.

Must be at least high school graduate.

Must possess pleasing personality.

Must be willing to work under pressure

Must be 19 years old and above.

Must be at least 51 in height.

Manpower Requirement

Table 2.1

Manpower Requirement


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POSITION REQUIRED NUMBER

Managing Partner 1

Production Personnel 1

Office Personnel 1

TOTAL MANPOWER 3

Company Policies

I. Employment Policies

a. Hiring Procedure

i. The manager of the company will be responsible for

hiring new employees as well as his or her training if

needed.

ii. Equal Pay. Gender will not be a basis for giving salaries

and wages to the employees.

iii. Hostile Environment Standards. CMC Company prohibits

any and all practices ranging from sexual harassment.

iv. CMC Company is committed in providing equal

opportunities to individuals with disability.

v. Zero Tolerance for Violence in the Workplace. In

response to this, CMC Company will require each

applicant to submit NBI and Police Clearance upon

hiring.


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vi. Health Examination. Since CMC Company deals with a

personal care product, applicants are required to submit

at least Phase 1 Medical examination for sanitary

purposes.

II. Employee Information

a. Upon admission to the company, the employee will be classified

as either contractual or regular employee. Contractual

employees are those who are bound to work for the company in

a definite period, on the other hand, regular employees are

those who are required to work 8 hours a day or 40 hours a

week and is entitled to receive bonuses as deemed necessary

by the manager.

In the contrary, manager is not entitled to be given extra pay for

overtime hours.

b. Employees Personnel File. Because this contains personal

information of the employees, the company, specifically the

manager, will be responsible in safe keeping the files and

keeping in confidential.

III. Starting to Work

a. Employees Anniversary Date or the first date of report will be

used in computing his compensation.

b. Work Schedule. During regular operations, CMC Company is

open from Monday to Friday by 8:00AM to 5:00PM. During


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holidays, specific designation of schedule will be done by the

manager.

c. Meal Periods. Each employees are bound to take an hour break

during 12:00 NN and return to operation by 1:00PM, and 15-

minute break from 3:00PM to 3:15PM.

d. Compensation. Being one of the most fundamental

requirements for putting up a business and establishing a better

working environment for each asset of the company, primary the

people who makes up the manpower, there is a need for a

proper allotment of compensation. The employees of CMC

Company will be paid accordingly to the daily minimum wage

rate as proposed by Department of Labor and Employment

under the sector of manufacturing establishments regularly

employing less than 10 workers which is P419.00 inclusive of

COLA. The table below shows the wage for each employee:

Table 2.2

Compensation Schedule

POSITION

DAILY WAGE

2014 2015 2016 2017 2018

ManagingPartner 1,000.00 1,030.00 1,060.00 1,090.00 1,120.00

ProductionPersonnel 426.00 439.00 452.00 465.00 478.00

OfficePersonnel 426.00 439.00 452.00 465.00 478.00


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POSITION

MONTHLY WAGE

2014 2015 2016 2017 2018

ManagingPartner 20,000.00 20,600.00 21,200.00 21,800.00 22,400.00

ProductionPersonnel 8,520.00 8,780.00 9,040.00 9,300.00 9,560.00

OfficePersonnel 8,520.00 8,780.00 9,040.00 9,300.00 9,560.00

POSITIONMONTHLY WAGE

2014 2015 2016 2017 2018

ManagingPartner

240,000.00

247,200.00

254,400.00

261,600.00

268,800.00

ProductionPersonnel

102,240.00

105,360.00

108,480.00

111,600.00

114,720.00

Office

Personnel 102,240.00

105,360.00

108,480.00

111,600.00

114,720.00

e. Wages. This includes the compensation an employee receives

in a form of salary or bonus.

i. Time records. The office personnel are the one

responsible for the records in a log book. This will be the

basis of compensation to be given for each employee

aside from the manager. The time records of office


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personnel will be tracked by the manager for

independence.

ii. Payroll Deductions. This is for the withholding taxes and

other contributions as deemed necessary by the

government.

iii. Paycheck Distribution. Paychecks will be distributed by

the manager.

1. Error in Pay. For this instance. The employee

must feel free to inform the concern to the

manager.

2. Overtime. 20% of the hourly pay in excess of 8

hours a day.

iv. Working on Special Non-working Holidays. Employees

who will work during these days are bound to receive

another 50% of their daily wage for that specific date.

v. Payroll Advances. This will duly depend on the manager.

IV. Profession Standards.

a. Open door policy. Everyone is encouraged to speak out

whatever concern they have on the workplace.

b. Business Incentives given by customers shall be informed to the

manager for this may constitute conflict of interest in the

workplace.

c. Dress Code and Personal Appearance


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i. Manager must wear smart casual at all times as well as

the marketing and office personnel to inhibit professional

environment around the workplace.

ii. Production personnel and its staffs are bound to wear the

uniform provided by the management.

iii. Utility person may wear anything as long as it is not

vulgar or inappropriate.

V. Benefits

a. PhilHealth

b. SSS Membership

c. Pag-ibig Membership

d. Sick Leave Pay- Each full-time employee, as of the first

anniversary of his or her date of hire as a full-time employee,

will have available 48 hours of sick leave. Sick leave available

for a particular anniversary year cannot be carried over to future

anniversary years nor will the remaining available sick leave be

paid at the end of employee's current anniversary year.

Likewise, employees terminating employment will not be paid

any unused sick leave still available to them.


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The compensation scheme to be implemented by CMC Company is

derived from this table provided by Department of Labor and Employment

(DOLE)

DAILY MINIMUM WAGE RATES for National Capital Region (NCR)

Per Wage Order No. NCR-17

Effective: 01 November 2012

Table 2.3

Daily Minimum Wage Rate

Sector/Industry

Basic

Wage

after

COLA

Integration

COLA

Effective

3 June

2012

COLA

Effective

11/1/12

New

Minimum

Wage

Rates

Non-Agriculture P 426.00 P 20.00 P 10.00 P 456.00

Agriculture (Plantation and

Non Plantation)

P 389.00 P 20.00 P10.00 P 419.00

Private Hospitals with bed

capacity of 100 or less

P 389.00 P20.00 P10.00 P 419.00

Retail/Service

Establishments employing

15 workers or less

P 389.00 P20.00 P10.00 P 419.00


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Manufacturing

Establishments regularly

employing less than 10

workers

P 389.00 P 20.00 P 10.00 P 419.00

Source: http://www.nwpc.dole.gov.ph/pages/ncr/cmwr_table.html

a. This Covers the Cities of Caloocan, Las Pinas, Makati, Malabon,

Mandaluyong, Manila, Marikina, Muntinlupa, Paranaque, Pasay, Pasig,

Quezon, San Juan, Taguig, and Valenzuela and Municipalities of

Navotas and Pateros.

Grants the following to all minimum wage workers in the private sector

in the region:

a. Integration of P22.00 COLA under W.O. No. RB-NCR-16 into the

basic wage.

b. P30.00 COLA per day to be given into two (2) tranches:

> P20.00/day upon effectively of this Wage Order.

> P10.00/day effective November 1, 2012
http://www.nwpc.dole.gov.ph/pages/ncr/cmwr_table.htmlhttp://www.nwpc.dole.gov.ph/pages/ncr/cmwr_table.htmlhttp://www.nwpc.dole.gov.ph/pages/ncr/cmwr_table.html


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Figure 2.2

Gantt Chart for Management

Activities2013 2014

Jan Feb March April May June July Aug Sept Oct Nov December January

Feasibility Study

Business Registration

Capital Accumulation

Site Completion

Equipment Acquisition

Supplies Acquisition

Hiring of Employees

Training of Employees

Promotional Activities

Blessing

Start of Normal Operation


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Legal Requirements

Aforementioned on the commencement for the operation of business,

law requires prescription on securing necessary permits and licenses. The

following government agencies together with the requirements, in which CMC

Company has to comply, are as follows:

Barangay Clearance

Can be get to the barangay hall for the business to operate.

Secure Mayors Permit

Obtained from the local municipality where the business is located.

1. Go to the Business Permits Office, located at the 2nd floor

Room 209 of the Pasay City Hall, and have the receiving or

processing clerks furnish you an application form and inform

you of the requirements.

2. Proceed to the Engineering Department at the 3rd floor and

have them Order of Payment for your Annual Inspection fees for

building, electrical, plumbing, mechanical, and other

requirements. Then proceed to the City Planning and

Development Office 2nd floor Room 216 and have them also

Order of Payment for Location Clearance fee.

3. Proceed to BPLO 2nd floor Rm. 209 for your Business Account

Number (BAN).


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4. Proceed to Ground floor Rm. 103 Treasury office for your

Assessment of

taxes and fees, pay the necessary amount at the Teller Division

and secure an official receipt.

5. After payment, proceed to the following office for counter-signed

of the Business Permit application.

Rm. 116 Sanitation Office

Rm. 216 City Planning and Development Office

Rm. 219 Tourism Office

Rm. 315 Engineering Office

City Fire Marshall (Dolores St., in front of Pasay City

Cockpit)

6. Go back to the Business Permit for the Mayor's permit and

approved business permit/license

Department of Trade and Industries

Reserve and register your business name

Securities and Exchange Commission (SEC)

Basic Requirements

1. Name Verification Slip;

2. Articles of Partnership; and


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3. Joint affidavit of two partners undertaking to change partnership name,

provided in its Articles of Partnership or as amended thereafter,

immediately upon receipt of notice or directive from the Securities and

Exchange Commission that another corporation, partnership, or person

has acquired a prior right to the use of that name or that name has

been declared misleading, deceptive, confusingly, similar to a

registered name, or contrary to public morals, good customs, or public

policy (not required if Articles of Partnership has provision on this

commitment).

Additional requirements

1. Endorsement/clearance from other government agencies, if applicable

2. For partnership with foreign partners

a. SEC Form No. F- 105

b. Bank certificate on the capital contribution of the partners

c. For foreign partners who want to register their investments with

the BSP: Proof of remittance

Social Security System (SSS)

In partnership, any of the partners of a partnership firm should

accomplish SSS Forms R-1 (Employers Data Record) and R-1A (Initial or

Subsequent List of Employees) and submit these forms together with a

photocopy of the Articles of Partnership. The original copy of the Articles of

Partnership must be presented for authentication.


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Department of Labor and Employment (DOLE)

For businesses with five workers or more

Business Permit and License Requirements

1. Location Clearance Prior to Business Permit. (New Applicants &

Change of Business Address ONLY)

2. Lease Contract between the Lessor and the Lessee. If leased, attach

Mayors Permit registration of the building owner/landlord as a Real

Estate Lessor. If not, Lease Contract between the Lessee and the Sub-

Lessee with conformity of the Owner of the Building Administration. If

owned, transfer Certificate of Title (TCT) or Tax Declaration

(photocopy). (New Applicants & Change of Business Address ONLY)

3. Article of Incorporations Partnership (approved by S.E.C.) (New

Applicants ONLY)

4. Barangay Clearance.

5. Public Liability Insurance.

6. Financial Statement of Assets and Liabilities / B.I.R. Income Tax

Return. (For Renewal ONLY)

7. Resident Certificate

Securities and Exchange Commission (SEC) Registration Requirements


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1. Name Verification slip.

2. Articles of Partnership.

3. Registration Data Sheet.

4. If it is Limited Partnership, the word Limited is added to the name.

Articles of limited partnership should always be under oath on

(JURAT) and not acknowledged by the partners before a notary public.

5. Partnerships need clearance from concerned government agencies.

6. License of custom brokers for custom brokerage

7. For Foreign partnerships:

Foreign Investment Agent Application Form

Proof of Inward Remittance of non-resident alien partner or affidavit

manifesting intention not to register investment with the Bangko

Sentral ng Pilipinas.

If the document was signed abroad, it must be authenticated by

the Philippine Consular Office in the country it was executed.

8. If franchise holder of business name

Certified photocopy of franchise agreement (to be certified either

by the franchisor or franchisee).

Photocopy of the franchisors business name certificate

Procedure:

Secure name verification slip from the Records Division.

Proceed to Cashier for payment of filing fee.

Submit documents to the Receiving Unit of the Records Section.


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The documents are then forwarded to the company Registration and

Monitoring Department (CRMD) and assigned to processors.

Typing pool prepares Certificate of Registration and returns to a

processor (or a lawyer) and Assistant Director for initials.

Director of CRMD signs the Certificate of Partnership.

The certificate of registration is forwarded to the Releasing Unit of the

Records Division (ground floor), where it may be claimed by the

applicant upon presentation of receipt as proof of payment of the filing

fee

Bureau of Internal Revenue

Tax Form BIR Form 1903 Application for Registration for

Corporations/Partnerships (Taxable/Non Taxable), including GAIs and LGUs

Documentary Requirements:

SEC Certificate of Registration (Certificate of

Incorporation/Certificate of Co-Partnership) or License To Do

Business in the Philippines in case of resident foreign corporation

Mayors Permit or application for Mayors Permit to be submitted

prior to the issuance of the BIR Certificate of Registration

Procedures:


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Accomplish BIR Form 1903 and submit the same together with the

required attachments to the Revenue District Office having jurisdiction

over the registered address of the business establishment.

Pay the Annual Registration Fee (P 500.00) at the Authorized Agent

Banks of the RDO.

Pay P 15.00 for the Certification Fee and P 15.00 for the Documentary

Stamp Tax (in loose form to be attached to Form 2303).

The RDO shall issue the Certificate of Registration (Form

2303).Taxpayer must pay the Documentary Stamp Tax on the Articles

of Incorporation as prescribed under Section 175 of the NIRC, on the

5th

of the month following the date of issuance of said article (per RR 4-

2000).

Deadline: Corporations/partnerships/joint ventures shall accomplish and file

the application before the commencement of the business operation.

Generalization

Management is one of the most fundamental parts of starting up a

business, in relation to this, it is important to have effective organizational

structure and once through this, everything will follow.

Job qualification and specification when significantly addressed makes

the human force adequate for the whole business enterprise. Thus, in terms


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of this subject, the researchers plotted specifically what kind of people CMC

Company will need to properly perform the business transactions as planned.

Salary is one of the go-getters of the prospective employees, so in order to

get quality workers; there must be corresponding salary scheme.

Gantt chart must be followed to effectively do the business transaction.


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use not only for sanitizing, but also for other purposes like acting as an

mosquito repellent.

Subjects of the study

Men and women residing in Pasay City that ages 15 to 44 years old

were the subject respondents for this feasibility study. The researches have

chosen them since it is very evident that teen age individuals are fond of

buying products like hand sanitizers because it appears to be trendy.

Consequently, individuals aging above the teen age also tend to buy hand

sanitizer for their own consumption as well as for their children. Many people

nowadays are being fond of using personal care products like hand sanitizer

due to awareness to some viruses that they can avoid by being hygienic.

Data gathering instrument

Survey questionnaires were the instrument used by the researchers to

gather information. This is an effective way of data collection since it gives its

respondents to answer with all their knowledge and truthfulness the survey

questionnaires provided by the researchers. The researchers prepared the

questionnaires depending on the data that they will need.

Data gathering procedure


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Distribution of survey questionnaires took place on some different places in

Pasay City. Data gathering of the respondents through survey took for less

than one week. During the research and collection of information for this

study, a survey was done and distributed to 100 respondents of different age

bracket who had been at sight, roaming within the vicinity of the proposed

business location.

Projected Population

Below is the figure that shows the projected population in Pasay that whom

the researcher will be conducting the survey.

Figure 3.1


Market Survey Results

214000

216000

218000

220000

222000

224000

226000

228000

230000

232000

1 2 3 4 5

Projected

Pop

ulation

Years


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Respondents Profile

Figure 3.2

Percentage of Respondents According to Age

The graph shows that out of 100 respondents, 30% of them were 15 to

19 years old, 42% ages 20 to 24 years old, 6% ages 25 to 29 years old, 8%

ages 30 to 34 years old, 5% ages 35 to 39 years old and 9% ages 40 to 44

years old.

Table 3.1

Age Bracket

Profile: Age Bracket

Response Respondents Percentage

15 to 19 30 30%

20 to 24 42 42%25 to 29 6 6%

30 to 34 8 8%

35 to 39 5 5%

40 to 44 9 9%

Total 100 100%

30%

42%

6%

8%

5%9%

15 to 19

20 to 24

25 to 29

30 to 34

35 to 39

40 to 44


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Figure 3.3

Percentage of Respondents According to Gender

Based on the survey conducted by the researchers, the respondents

composed mostly with the female group at 76% and 24% for the male group.

Table 3.2

Gender

Profile: Gender


Male 24 24%

Female 76 76%

Total 100 100%

24%

76%

Male

Female


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Questions:

Figure 3.4

Percentage of Respondents who are fond of using hand sanitizer

According to the survey, 63% of the business target market is fond of

using hand sanitizer while 37% are not.

Table 3.3

Survey Question Number 1

Question: Are you fond of using personal care product like hand

sanitizer?


Yes 63 63%

No 37 37%

Total 100 100%

63%

37%

Total

100


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Figure 3.5

Percentage of Respondents According to willingness of using personal

care product like hand sanitizer (answered No in the previous question)

From the 37% of respondents who are not fond of using personal care

product like hand sanitizer, 94.59% of which are willing to use and 5.41% of

which are not.

Table 3.4


Question: If no, are you willing to use personal care product like hand

sanitizer?


Yes 35 94.59%

No 2 5.41%

Total 37 100%

95%

5%

Yes

No


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Figure 3.6

Percentage of Respondents According to where they usually want tobuy hand sanitizer

Most of the respondents usually buy their hand sanitizer in the grocery

stores as shown in the above table which has 36%, next is 28% at the

drugstores and 3% at the school auxiliary. The 33% of the respondents

answered the others section, stating the supplier and convenience stores.

Table 3.5


Question: Where do you usually buy hand sanitizer?


Grocery 36 36%

Drug Store 28 28%

School Auxiliary 3 3%

Others 33 33%

Total 100 100%

36%

28%

3%

33% Grocery

Drug Store

School Auxiliary

Others


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Figure 3.7

Percentage of Respondents According to what they consider mostwhen buying hand sanitizer

Based on the survey done during the research for this study, it shows

that a consumer prefer most is the effectiveness of the product.

Table 3.6


Question: What do you consider most when buying hand sanitizer?


Effectiveness 57 57%

Scent 22 22%

Promotional Activities 3 3%

Price 5 5%

Brand 13 13%

Total 100 100%

57%22%

3% 5%

13%

Effectiveness

Scent

Promotional Activities

Price

Brand


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Figure 3.8

Percentage of Respondents According to how many hand sanitizersthey usually buy monthly

Based on the survey, most of the respondents usually buy hand

sanitizers only once a month. On the other hand, respondents who buy hand

sanitizer twice and thrice a month covers the 35% and 2% respectively.

Table 3.7


Question: How many hand sanitizers (30mL) do you usually buy

monthly?


One 63 63%

Two 35 35%

Three 2 2%

Four 0 0%Others 0 0%

Total 100 100%

63%

35%

2%

One

Two

Three

Four

Others


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Figure 3.9

Percentage of Respondents According to brand they usually use

The figure shows that the respondents usually used the Green Cross

and there are 3% who are using other brands such as Bactigel, Best buddy,

Sakura, Hygienix and Megan.

Table 3.7


Question: What brand of hand sanitizer do you usually use?


Eskulin 6 6%

Green Cross 59 59%

Biohands 7 7%Bench 14 14%

Cleene 9 9%

Others 5 5%

Total 100 100%

6%

59%

7%

14%

9%

5%

Eskulin

Green Cross

BioHands

Bench

Cleene

Others


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Figure 3.10

Percentage of Respondents According to being able to see a handsanitizer with mosquito repellent

Some of the respondents (3%) had seen a hand sanitizer with

mosquito repellent and mostly (97%) havent yet. This survey result can

possibly mean that manufacturing hand sanitizer with insect repellent will

bring new option to the consumers.

Table 3.9


Question: Have you seen a hand sanitizer with mosquito repellent


Yes 3 3%

No 97 97%

Total 100 100%

3%

97%

Yes

No


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Figure 3.11

Percentage of Respondents According to willingness to try handsanitizer with mosquito repellent

96% of the respondents are willing to try the hand had sanitizer with

mosquito repellent and the rest are not.

Table 3.9


Question: Are you willing to try hand sanitizer with mosquito repellent?


Yes 96 96%

No 4 4%

Total 100 100%

96%

4%

Yes

No


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Figure 3.12

Percentage of Respondents According to how much they are willing topay for 30mL of Hand Sanitizer with insect repellent

Respondents, who are willing to pay P40 to P49 for a 30 mL hand

sanitizer with mosquito repellent, covers the majority (36%). On the other

hand, respondents who are willing to pay 50 to 60, 61 to 70, 71 to 80, 81 to

90 and 91 and above covers the 12%, 20%, 15%, 5% and 9%.

Table 3.10


Question: How much are you willing to pay for 30 mL hand sanitizer

with mosquito repellent?


40 to 49 36 36%

50 to 60 12 12%

61 to 70 20 20%

71 to 80 15 15%

81 to 90 5 5%

91 and above 9 9%

Total 100 100%

36%

12%21%

15%

5%

9%

40-49

50-60

61-70

71-80

81-90

91 and above


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In order for the researchers to get the projected demand for the

product, they first have to compute for the projected population based on the

Special Release 2010 Census of Population and Housing Final Result

obtained by the proponents from Pasay City Hall, Community Planning Office,

which is 211,528 and continues to grow at a rate of 1.02% per year. Individual

of both sexes that ages 15 to 44 years old were the target market of the

respondents which is equivalent to 220,291 individuals. The following

information is used for the demand projections for the next 5 years.

To get the sample space, the respondents used the Slovens Formula.

Slovens Formula

Based on the formula, it is said that 100 respondents is the sample

space given a 10% margin of error.


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Table 3.11


Year Growth Rate Projected Population

2009 205,182.162010 - 211,528.00

2011 1.0102 213,685.59

2012 1.0102 215,865.18

2013 1.0102 218,067.00

Table 3.12


Year Growth Rate Projected Population2014 1.0102 220,291

2015 1.0102 222,538

2016 1.0102 224,808

2017 1.0102 227,101

2018 1.0102 229,418

DEMAND AND SUPPLY ANALYSIS

Demand Analysis

Table 3.13

Historical Demand

Year Projected Population Annual Consumption Projected Demand2009 205,182.16 17 3,488,096.72

2010 211,528.00 17 3,595,976.00

2011 213,685.59 17 3,632,654.96

2012 215,865.18 17 3,669,708.04

2013 218,067.00 17 3,707,139.06


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Table 3.14

Projected Demand

Year Projected Population Annual Consumption Projected Demand

2014 220,291.29 17 3,744,9522015 222,538.26 17 3,783,150

2016 224,808.15 17 3,821,739

2017 227,101.19 17 3,860,720

2018 229,417.62 17 3,900,100

The demand increases as the population also increases. Based on the survey

results, it showed that 96% of the consumers are willing to buy PreppyHands

Hand Sanitize

Supply Analysis

As the researchers gather data for this study, they conducted an informal

interview with the crews of different establishments to serve as basis for the

supply situation.

Table 3.15

Historical Supply

Year Projected Supply

2009 1,493,119

2010 1,580,949

2011 1,651,213

2012 1,721,478

2013 1,756,610


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Table 3.16

Projected Supply

Year Projected Supply

2014 1,809,3082015 1,862,007

2016 1,914,705

2017 1,967,403

2018 2,020,102

Table 3.17

Market Gap

Year Projected Demand Projected Supply Market Gap

2014 3,744,952 1,809,308 1,935,644

2015 3,783,150 1,862,007 1,921,144

2016 3,821,739 1,914,705 1,907,034

2017 3,860,720 1,967,403 1,893,317

2018 3,900,100 2,020,102 1,879,998

Table 3.18

Market Share

Year Market Gap Annual Production Market Share

2014 1,935,644 48,000 2.48%

2015 1,921,144 54,000 2.81%

2016 1,907,034 60,000 3.15%

2017 1,893,317 60,000 3.17%

2018 1,879,998 60,000 3.19%


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Market Strategy

In order for PreppyHands Hand Sanitizer to penetrate the market,

CMC Company must consider proper marketing strategy. Since using internet

is being rampant nowadays, this appears to be one of the most effective ways

of making your market aware of your product. Most of the people are using

internet to socialize and commercialize their products. Aside from vast

network being created by the internet, it is also cheaper compared in making

TV commercials. Thus, for a starting up business with an initial investment

less than P2 million, internet is a better start for creating a market.

Product Strategy

PreppyHands Hand Sanitizer is a product that concentrates in personal

care, specifically in hygienic means. Its very convenient nature works well in

his anti mosquito properties. Because of its ingredients such as Aloe Vera

gel, essential oils, and witch hazel extracts, this product tends to be effective

with a reasonable price.

In terms of uses, PreppyHands Hand Sanitizer does not only provide

an anti microbial efficacy, but it can also be used as a mosquito repellent. It is

a product that sanitizes the hands without the use of soap and water, making

it a substitute mostly on the peaks of your times.

Category


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PreppyHands Hand Sanitizer falls under the personal care category of

products.

Price Strategy

Since the business will be located at Pasay City, the price strategy that

will be used in this product will depend to the target market. In relation to this,

we will sell our product at a very reasonable price in which our market could

afford without compromising its quality.

Place Strategy

Pasay City is one of the most urbanized places around Metro Manila. It

comprises different educational institutions and hospital which basically caters

a lot of individuals. Even Pasay City had been noted as the third smallest

political subdivision in National Capital Region, the mere fact that Pasay City

General Hospital, churches and educational establishments are erected there

constitutes that many people constantly go there. Pasay City is somehow the

best place to put up a hand sanitizer manufacturing business. Aside from

easier access to CMC Company target, there are still some possibilities that

more individuals will get into there since the main office and

CMC Company plant is near establishments such as hospital, church and

schools.

Promotion Strategy


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The product, all-in-one eco friendly hand sanitizer, serves as the

promotional strategy for the company itself. The given fact that it is non-

alcohol natural hand sanitizer is going to play as its edge among its

competitor hand sanitizers available in the market nowadays. Being a

company which encompasses the brigade for a greener tomorrow, the

product itself will carry the slogan Yes to green, No to germs which defines

the brigade for eco friendly products trend as well as its sanitizing effects.

Promotional advances are important in this kind of business since not

everyone is aware to this kind of product. Due to this fact, we will use

following advertising strategies:

1. World Wide Web

2. Print ads and flyers

3. Free samples

Our World Wide Web advertisement consists of advertisement through

social networking sites such as Facebook, Twitter, Ayos Dito, Sulit and

MySpace, and also by putting up our PreppyHands Manufacturing Companys

own website. This kind of promotional strategy gives us more access to

broader market, not only in Pasay City, but to the whole world as well. This

opens doors to more customers and greater chances of having greater profits

without being too costly like commercials.


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Print ads and Flyers will be designed appropriately for the product,

constituting classy, cute, sanitizing and catchy features. These will be

distributed along the main office as well as during sponsorship events.

Giving free samples once in a while is one way of promoting CMC

Companys PreppyHands Hand Sanitizer to the market. By this way, it will

give individuals the chance of trying the product for free and then buy their

own if impressed.

Figure 3.13

Facebook Page


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The figure above shows the proposed Facebook account of

PreppyHands Hand Sanitizer. Pink and green are the primary colors used by

the researches since those were the trademark of CMC Companys

PreppyHands Hand Sanitizer. This Facebook account will also be one way of

knowing the PreppyHands Hand Sanitizer.

Figure 3.14

Twitter Page

This is the proposed Twitter account for PreppyHands Hand Sanitizer.

The researchers agreed that the page must be a girly type and carries the

trade colors of the company. This account will be used in making updates


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regarding the product as well as other informative Information. This will serve

as CMC Companys way of interaction to their clients.

Distribution Channel

The supplies will then be gathered from its respective suppliers to be

transferred to CMC Company in order to be processed. Certain procedures of

manufacturing will be done by CMC in order to come up with the finished

product, hand sanitizer, which will sold to our target market which are the

male and female at the age of 14-60 years old at Pasay City. Expansion of

plant layout and capacity will then be subjected depending on the first 5 years

of performance. If CMC Company appeared to be profitable for these years,

then it will consider expansion.

Figure 3.15

Distribution Channel

Supplier of

Raw Materials

Supplier of

Bottles

Manufacturing

of Products Retailer


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Packaging and Labeling

In regards with the packaging of PreppyHands Hand Sanitizer, we

decided to serve it in a box containing twenty four (24) pieces of the product.

Table 3.19 shows the distribution cost

Table 3.19

Packaging and Labeling

Particulars 2014 2015 2016 2017 2018

Label 72,000.00 83,430.00 95,481.00 98,345.43 101,295.

79

Plastic Bottles 96,000.00 111,240.00 127,308.00 131,127.24 135,061.

06

Box 6,000.00 6,952.50 7,956.75 8,195.458,441.32

Total 174,000.00 201,622.50 230,745.75 237,668.12 244,798.

17


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SWOT Analysis

Figure 3.16

SWOT Analysis

Strengths

Affordable price

Natural and eco friendly

product

New to market

Threats

Risk of being new entrant in

personal care industry.

Risk of not being able to make

innovations of the product after 5

years.

Opportunities

Product can be sold even

beyond CMC Companys

target market.

Weaknesses

Less storage life

Subject to further

researchers and innovation.


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Product Logo

Figure 3.17

Product Logo

PreppyHands Hand Sanitizer is a product that constitutes qualities that

must always work together elegance intact with health sensitivity. In doing

the logo, CMC Company owners decided to use pink and green to use as the

primary colors. Green, being associated with nature, health, healing and the

environment, creates a sense of compassion and nurturing. It is a very ideal

color to promote this natural environment-friendly product.


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Company Logo

Figure 3.18

Company Logo

CMC Company is the name of the propsed partnership to manufacture

the PreppyHands Hand Sanitizer. CMC Companys name originated by the

combination of the partners first name initials which are C, M and C which

stands for Charmaine, Maria and Cristel. Green and pink had been chosen

since this partnership will be owned by an all-girl group. Pink suggests

femininity and green symbolizes calmness. The font used in this logo was

chosen because of its simplicity and elegance which the partners hope to

initiate to their clients. The shape beside the company illustrates a soft touch

of calmness and foundation.

Generalization


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Marketing will constitute a great impact on the companys success.

Demand and Supply are computed based on the projected population and

market survey and assumptions. Men and women residing in Pasay City that

ages 15 to 44 years old were the subject respondents for this feasibility study.

The researches have chosen them since it is very evident that teen age

individuals are fond of buying products like hand sanitizers because it

appears to be trendy.

The price strategy that will be used in this product will depend to on the

production costs and competitors. In relation to this, we will sell our product at

a very reasonable price in which our market could afford without

compromising its quality.

PreppyHands Hand Sanitizer is a product that concentrates in personal

care, specifically in hygienic means. Its very convenient nature works well in

his anti mosquito properties. Because of its ingredients such as Aloe Vera

gel, essential oils and witch hazel extracts, this product tend to be effective


In terms of uses, PreppyHands Hand Sanitizer does not only provide

an anti microbial efficacy, but it can also be used as a mosquito repellent. It is

a product that sanitizes the hands without the use of soap and water, making

it a substitute mostly on the peaks of your times. These qualities are some of

the basis why PreppyHands Hand Sanitizer can possibly penetrate the

market.


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product that sanitizes the hands without the use of soap and water, making it

a substitute mostly on the peaks of your times.

Manufacturing Process

CMC Company is an entity that manufactures an all-in-one hand

sanitizer with mosquito repellent, agents for mosquito bites moisturizer,

soothing scent and healing, promotes hygienic living with the touch of class

and eco-friendly trend. This chapter will focus on how this all-in-one hand

sanitizer is manufactured, including its production process and the materials

needed.

The process in making hand sanitizer as well as the raw materials will

differ depending on the qualities of the product, whether it is in a form of

foam, liquid, gel or wipes.


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Table 4.1

Raw Materials

Particulars Description

Aloe Vera Gel - It came from the

plant aloe Vera which is a stem less

or very short-stemmed succulent

plant It has no alcohol, no

chemicals, no fragrances and no

coloring that may dry your skin and

cause irritations. It helps retain

moisture and promotes healing

which is some of its uses. Others

are, it was use for shaving gel, for

sunburn, acne, skin irritations, and

mosquito bites

Tea Tree Oil - is an essential oil

obtained by steam distillation of the

leaves of Melaleucaalternifolia,

commonly known as narrow-leaved

tea tree, a plant native to Australia.

It contains elements called

terpenoids which have been found

to have antiseptic and antifungal

activity. Tea tree oil is applied to the

skin for infections such as acne,

fungal infections of the nail, lice,


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athletes foot and ring worm.

Lavender Oil - It has fresh, sweet,floral, aroma that is soothing and

refreshing. Lavender essential oil

has ability to nervous tension,

relieve pain, disinfect scalp and skin,

enhance blood circulation and treat

respiratory problems. It has also

been traditionally used in making

perfumes. This oil is very useful in

aromatherapy and many aromatic

preparations are made. Lavender

essential oil is used in various forms

including aromatherapy oil, gels,

infusion, lotion and soaps as well as

hand sanitizer.

Citronella Oil - It has slightly sweet,

lemony smell. It has slightly sweet,

lemony smell. This oil can be used

for balancing oily skin, fighting

excessive perspiration and it is used

as a repellent for insect such as

mosquitoes, black flies and fleas

and therefore, preventing its bites.


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Witch Hazel is an astringent skin

cleanser containing natural witch

hazel. It gently tones and cleanses

the skin removing excess oils and

tightens skin, not only that but its

also good in anti- itch remedy when

it was combined to aloe, glycerin or

petroleum jelly. And in the hand

sanitizer, it will be mix to the aloe

Vera to lessen its viscosity.

The raw materials shown above were the ingredients in order to

manufacture the hand sanitizer proposed in this feasibility study.

Physical and Chemical Properties

Tea tree Oil

Odor Spicy

Taste Not Available

Color ColorlessBoiling Point Not Available

Melting Point Not Available

Dispersion Properties Not dispersed in cold and hot water

Solubility Insoluble in hot water


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Citronella Extract

Physical State Liquid

Odor Pungent, fruity

Color Colorless to light yellow

Boiling Point 200CMelting Point Not Available

Dispersion Properties Not Available

Solubility Partially soluble in cold water

Witch Hazel Extract

Physical State Liquid

Odor Strong

Color Clean Colorless

Boiling Point 88CMelting Point (8)C

Dispersion Properties Not Available

Solubility Easily soluble in cold and hot water.Soluble in methanol, diethyl ether,acetone


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Annual Quantity Requirements

Table 4.2 shows the quantity of raw materials that will be using in the production annually.

ITEM 2014 2015 2016 2017 2018 TOTAL

Aloe Vera Gel 1,200 L 1,296 L 1,399.68L 1,511.65 L 1,632.59 L 7,040 L

Tea Tree Oil 19.2 L 20.74 L 22.39 L 24.19 L 26.12 L 112.64 L

Citronella Oil 14.4 L 15.55 L 16.80 L 18.14 L 19.59 L 84.48 L

Lavender Oil 14.4 L 15.55 L 16.80 L 18.14 L 19.59 L 84.48 L

Witch Hazel Extract 192 L 207.36 L 223.95 L 241.86 L 261.21 L 1,126.39 L

Table 4.2Annual Raw Materials Requirement


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Cost of Raw Materials

Table 4.3 shows the cost of raw materials daily that will be using for

the production.

ITEM QUANTITY UNIT PRICE TOTAL AMOUNT

Aloe Vera Gel 5L 600/ L 3,000

Tea Tree Oil 80 ml 825/ L 66

Citronella Oil 60 ml 1,200/ L 72

Lavender Oil 60 ml 825/ L 49.5

Witch Hazel Extract 800 ml 200/ L 160

TOTAL 3,347.50

Table 4.3

Cost of Raw Materials


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Process Flow

Chart

Figure 4.2

Flow Chart

Prepare raw materials.

Measure the materials needed for production.

The Production officer will evaluate the

measurement.

Are the measurements

accurate?

Put the materials in the mixer.

Start the mixing process.

Does the product

properly done?

Start the acka in rocess.

Yes No Go back to Step 2

Dispose the

product that did

not pass the

quality control.

Go back to step 1

YesNo


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Figure 4.3

Gantt chart

ProductionProcess

1 hour 1 hour 1 hour 1 hour 1 hour 1 hour

15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15 15

Preparationof RawMaterials

Measurementof

Ingredients

Evaluation ofMeasurement

Putting RawMaterials inthe machine

Raw MaterialProcessing

QualityControl

Packaging


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Step 1 Preparation of ingredients and equipment (15 minutes)

To start the production, prepare the necessary ingredients and equipment

needed for making the product.

Step 2 Measurements of the ingredients (45 minutes)

Improper measurement of the ingredients may affect the effectiveness and

texture of the product. Measurement must be properly monitored.

Step 3 Evaluation of measurement (45 minutes)

The production officer will evaluate the measurements to determine whether

the ingredients are properly measured to achieve the standard measurement.

Step 4 Putting the raw materials in the machine (15 minutes)

It is important to put the raw materials in the machine properly and gently to

avoid the disposal of it. The first raw material to be put is the aloe vera. Next

are the essential oils, such as tea tree oil, lavender oil and citronella oil, and

the witch hazel.

Step 5 Raw Material Processing (1 hour)

Using mixing machine helps mixing the ingredients properly and faster than

manual mixing

Step 6 Assessing the quality control (1 hour)


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Having quality control helps to maintain the standard required for the product.

If the product did not achieve the required standard go back step 1 to adjust

the

measurement of the ingredients put.

Step 7Packaging (1 hr. and 30 minutes)

There will be an equipment to be used for packaging, thus, lessening the time

and manpower requirement. The bottle or container is then put to the

equipment and let it be filled accordingly to its size. After that, the finished

products will then be packaged depending on its volume.

Production Schedule

The table shows the daily, monthly and annual production that CMC

Company can produced. It is important to identify to know the minimum and

maximum capacity of the plant and its capacity to use its resources. The CMC

Company would be having 8 hours a day, 5 days a week, and 20 days a

month. We assume that the production would be increase 8% annually.


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Table 4.4Production Schedule

Machinery and Equipments

Factory

Year Daily Monthly Annually

2014 200 4,000 48,000

2015 216 4,320 51,840

2016 233 4,666 55,987

2017 252 5,039 60,466

2018 272 5,442 65,303


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Hand Sanitizer Making Machine

This liquid wash making machine that will use is multifunctional .It can

make hand sanitizer, shampoo, bath foam, dish washing soap, and laundry

liquid detergent and others alike.As for the manufacturer, the material of

machine is food-grade stainless steel. This machine is said to adopt

frequency conversion operation; variable frequency regulating speed makes

the operation efficient and easy. The machine structure setting is simple

according to the manufacturer; no need for engineer, few workers, you can

just assemble pipes provided by them directly with the serial numbers and

instructive pictures and specification, thus, lessening the costs for factory

overhead costs. The total production line of this machinery includes making

machine, filling machine, and controller cabinet.

Availability of the spare parts

In terms of availability of spare parts during unexpected irregularity to

the machine, the supplier will provide spare parts upon delivery which CMC

Company will be using. Supplier will provide some common wearing parts to

CMC Company together with the machine after the purchase of machine. If

some parts of the machine will be damaged, the supplier will send some new

spare parts via express company.

Selection of Supplier


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CMC Company had chosen the supplier of the machine thru

alibaba.com in consideration to the cost and use of the machine needed for

the production.

Quotation from the Supplier

Based on the suppliers quotation, small production line of 300 pieces

(30mL) per hour will cost PHP 80,000.

Arrangements with the supplier

As discussed by the sales representative of the supplier, they will send

the machinery by sea and accept Telegraphic Transfer as the payment

scheme. CMC Company will have to pay 50% down payment as a deposit

and consequently, they will prepare the machine within a span of 15 working

days. CMC Company representative whose in-charge has the option to visit

the supplier to receive training on machine operation but if this will not be

possible, CMC Company will be demanded to pay the balance left. Upon

settlement of the obligation, the supplier will send the machine set together

with some technical documents, formula and operation to be able to grasp the

machine operation very easily.


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Exhaust Fan. This will be used in the

workshop and storage room to control

the room temperature.

Table 4.5

Factory Equipment

Particulars Amount Useful Life

Machine 80,000.00 15

Exhaust Fan 1,540.00 5

Total 81,540.00

A. Office

This is a desktop computer which

CMC will need in preparing financial

statements, managing social

networking sites and other clerical


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activities needed for the operation. This computer set consists of a monitor,

central processing unit (CPU), a mouse and audio output accessory.


Spare parts are easily available since computers are being used in

many different organizations and individuals. In terms of system breakdowns,

the desktop computer acquired can be brought to the supplier for fixing.


CMC Company had chosen the supplier of the machine thru

canvassing in different computer retail shops in consideration to the cost and

use of the machine needed for the production.


Based on the suppliers quotation, a desktop computer with a good

quality will cost P20, 000.00.

Reliability of the supplier

HDCC Computer Trading is a company known by the partners.

Based on the personal transactions before, it has been evidential that the

supplier is reliable in providing the product.

This is the type of printer that CMC

Company will need in printing out


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business related transactions and other documents. This is an all-in-one

printer with scanner and photocopier.


Spare parts will not be needed since Canon MP258 is a color inkjet

printer that can print, scan and copy that can handle 100 pages of paper per

printing session.


CMC Company had chosen the supplier of the printer thru canvassing

in different computer retail shops and online stores in consideration to the

cost and use of the machine.


Based on the suppliers quotation, a Canon Pixma Printer with a good

quality will cost P5,000.00

Arrangements with the supplier

As discussed with the supplier, CMC Company will have to pay the

printer in cash upon delivery. The desktop computer will carry one (1) year

service warranty.


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This is a Stand Fan. This will be used as

alternative for air-conditioned during peak

hours.

A calculator will be used for quick

computations and other related

transactions.


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Table 4.6

Office Equipment


Computer 20,00.00 5

Printer 5,000.00 5

Stand Fan 1,500.00 5

Calculator 180.00 5

Total 26,680.00

Furniture and Fixtures

A. Factory

This working table will be used in the

packaging process of manufacturing the

hand sanitizers.

These chairs will be used by the

production workers for their own

convenience.


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Table 4.7

Factory Furniture


Working Table 892.86 5

Mono block Chair 133.93 5

Total 1,026.79

B. Office

This office desk will be used by

the manager and office personnel

in doing their tasks. This is where

their respective computers will be

placed and will also serve as their

working tables.

Swivel chairs will be used by the

manager and office personnel as a

counter part of their tables which

enable them to be more efficient in

their duties as well as for their own

convenience.

Files and other documents held by

CMC Company will be stored in a

filing cabinet


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This foldable table will be used as a

cupboard for coffee and foods which

will be available in the office for the

benefit of the employees and all

employees.

Table 4.8Office Furniture

Cleaning Materials

This mop will be used as cleaning

material for the workshop and also for

the office. This comes with pail and

dipperamounting to P500.00.

Office Furniture Amount Useful Life

Office Table 3,000.00 5

Swivel Chair 2,000.00 5

Foldable Table 200.00 5

Bench 2,000.00 5

Cabinet 3,000.00 5

Inventory Shelf 3,000.00 5Total 13,200.00


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Rag will be placed in front of door

to minimize dirt coming inside the

office, thus maintaining its

cleanliness. This will cost P35.00

each to be bought in Baclaran

Table 4.9

Cleaning Materials

Particulars Quantity Unit Price Amount

Dust Pan 1 50.00 50.00

Mop Set 1 350 350.00

Rags 20 3.25 65.00

Rugs 4 25.00 100.00

Garbage Bag 50 5.00 250.00Garbage Bin 2 100.00 200.00

Detergent 24 10.00 240.00

Broom 2 150.00 300.00

Space Improvements 10,000

Total 11,555


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Other tools and Equipments

Measuring Cups will be used to

measure the raw materials to be put on

the machine before processing. This is

to ensure the consistency of formula to

be used in making hand sanitizer with

insect repellent.

Weighing Scale will be used to weigh

the products accordingly to ensure that

they all weigh the same. This is for

uniformity of the product as well as

quailty control.

Table 4.9

Other Tools & Equipment


Measuring Cups 500.00 5Weighing Scale 750.00 5

Total 1,250.00


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Miscellaneous

Gloves will be used by the production

personnel for sanitation purposes.

T-shirt will be used as uniform for the

production personnel.

Table 4.10

Miscellaneous Expense



Gloves 240 10.00 2,400.00Hairnet 10 10.00 100.00

T-Shirt 1 250.00 250.00

Total 2,750.00


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Table 4.11

Office Supplies


Stapler 1 100.00 100.00

Puncher 1 75.00 75.00

Paste 1 20.00 20.00

Pens 1 box 150.00 150.00

Pencil 1 box 150.00 150.00

Marker 1 box 150.00 150.00Flash Drive 2 250.00 500.00

Paper Clips 5 10.00 50.00

Staple Wires 5 10.00 50.00

Accounting Books 1 set 400.00 400.00

Folders 3 pack 15.00 45.00

Envelopes 3 pack 15.00 45.00

Bond Paper - S 1 rim 200.00 200.00

Bond Paper - L 1 rim 200.00 200.00

Ink 2 set 1,500.00 3,000.00

Fire Extinguisher 2 1,200.00 1,400.00Receipts 2,000.00 2,000.00

Total 8,535.00


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Table 4.12

Repairs and Maintenance

Schedule No. 4 - Repairs & Maintenance

Particulars Quantity Amount

Dust Pan 1 50.00Mop Set 1 350.00

Rags 20 65.00

Rugs 4 100.00

Garbage Bag 50 250.00

Garbage Bin 2 200.00

Detergent 24 240.00

Broom 2 300.00

Space Improvements 10,000.00

Total Repairs & Maintenance 11,555.00

Plant Location


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Figure 4.4

Plant Location

This is the location map wherein CMC Companys office and plant

will take place. This area is near to its prospective markets and the place

wherein CMC Company will supply its products. The place is near the road

and LRT station, wherein a lot of vehicles and people pass by.

Plant Layout

Figure 4.5

Office and Plant Layout

a. Plant Layout Description


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The main office and plant of CMC Company will come as one

consisting seven (7) rooms for the storage room of raw materials, wastage,

workshop (wherein the main machine will be located), finished products

utilities, toilet and kitchenette.

b. Layout Effect on Production Flow

Based on the office and plant layout of CMC Company, the first

transaction which is purchasing of raw materials will start at the office then the

materials will be stored in the stock room to be manufactured latter in the

workshop. The finished products will then be stored in the inventories section

and will be purchased on the office. The placing of the rooms has a significant

effect on the production flow. Processes that will happen consequently are

near with each other in order to promote efficient production schedule.

Utilities

In order to start the normal business operation of the business, there

will always be a need for utilities such as electricity, telecommunication

services and water. These will be presented in this section:

Users


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The main individuals that will consume most of these utilities were

the office and production personnel. These include the manager, and office,

marketing and production personnel.

Quantity required

This will depend on the operation of the business from time to time.

Availability

Electricity, water and telecommunication services will be available

from the time of application and settlement of dues from the respective

sources. For the direct materials, raw materials will be purchased at Quezon

City and indirect materials will be purchased near the plant/main office of

CMC Company.

Sources

The main source for electricity will be Meralco, Maynilad for water

and Smart Telecommunications and Bayantel for telecommunication services

needed by CMC Company.

Reason for chosen source

1. Meralco has been chosen since solar panel installation and

generator are costly for a newly opened business. CMC


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Company prefers to pay monthly bills based on their monthly

consumptions.

2. Maynilad had been chosen since it provides faster service

installation and repairs based on partners experiences.

3. Sun Cellular provides fast and reliable internet connection


4. BAYANTEL offers cheap rates for local calls that come up.

Table 4.13 shows the utility expenses annually

Table 4.13

Utilities Expense

Particulars 2014 2015 2016 2017 2018

Electricity 62,448.48 64,321.93 66,251.59 68,239.14 70,286.31

Water 6,000.00 6,180.00 6,365.40 6,556.36 6,753.05

Telecommunication 19,188.00 19,188.00 19,188.00 19,188.00 19,188.00

Total 87,636.48 89,689.93 91,804.99 93,983.50 96,227.36

Direct Labor Requirements

Human resources are important in achieving any company objectives.

It is in their hands and minds that the realization of plans and goals will take


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effect. Thus entire manpower must have the necessary skills, attitude and

interest to carry out the business.

Waste Disposal

Every operating day as inputs are being utilized, not all of this all

resources are maximized. Effective management also calls for effective

disposal of waste materials. Manufacturer of Hand Sanitizer with Mosquito

Repellent should be aware of proper waste management system in order to

maintain cleanliness and orderliness within the enterprise.

Waste material will be properly sorted in trash bags and the garbage

collector will collect it. In addition, as a part of the waste management

program, scrap papers will be used in printing papers and documenting

reports. Empty plastic bottles of raw materials used will be donated to the city

government garbage collectors. This will be one of the ways that CMC

Company could to do help the whole community.

Generalization

The product is primary made up of witch hazel extract, Aloe Vera Gel

and essential oils, just right for an environmental cause. The partnership

office and plant site will be located in Pasay City. This place had been chosen

by the researchers because of its convenience. It is place that is near to the

market, public hospital, educational institution, residential area and

commercial locale where our target market can easily see us. The plant

layout design pictures out the kind of space needed for the production. As


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seen in the layout, it appeared that storage room and workshop place is

adjacent to each other, thus, lessening the time to transfer raw materials in

the workspace.

The manufacturing process that as to be undergone by the product is

not complicated since it only concentrates on proper evaluation of raw

materials and mixing.

The company will produce 48,000 units annually and will continue to

increase by 8% in the following years.

Disposal of wastes will not be too much burden for the company since

the city government of Pasay City has a campaign for collecting garbage. The

plastics and other recyclable garbage will be donated to the city government

as a cause for environmental awareness.


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