BUSINESS PLAN PAPER

NUTRICH

San Beda College Manila, 6463249

Owners:

General Manager: Kevin Nambio

Marketing Manager: JardinePanado

Operations Manager: Clarence Lasam

Human Resource Manager: Paolo De Silva

Financial Manager: Carlo Oro

Prepared on: November 2013

Name of Preparers:

Kevin Nambio

JardinePanado

Clarence Lasam

Paolo De Silva

Carlo Oro

Number of copies: 6

1

SECTION 1

Executive Summary

1.1 Company Profile

Nutrich is a start-up sandwich selling company. Nutrich

expects to catch the interest of a regular loyal customer base on

health and diet consciousness as well. The company plans to build

a strong market position in the school, due to increase of

students who become conscious of their diet.

Nutrich aims to offer its products at the lowest price

possible depending on the cost of the products to meet the demand

of the middle-to higher-class.

It is located in San Beda College Manila. The place was

chosen based on the possible target market and there are

currently little competitors. This location is within school

premises. It is a good place for such business.

The business is composed of five fourth year Legal

Management students of San Beda College. The partners chose a

healthy sandwich as their products since health is the new

trendamong college students nowadays, different pastries are in

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demand. Since the partners have connections with chefs, suppliers

and nutrionist they are interested, and willing to work for such.

1.2 Nature of the product

Nutrich offers a choice of ready-made or customized

nutritious sandwich wherein ingredients will be always freshly

bought from the market. Nutrich caters to all of its customers by

providing each customer a sandwich made to suit the customer

apetite, down to the smallest detail. It would provide quality

sandwiches with quality taste.

“Demand for baked and pastry goods is being driven by

changing lifestyles, which leaves little time to prepare meals.

Busy consumers are increasingly quick to buy convenient baked

snack foods such as wraps and sandwiches” – This is according to

U.S Department of Labor: Bureau of Labor and Statistics. This is

a good sign of developing the product since it is currently the

trend among college students according to Dr. Helen Davis.

1.3 Market Description

Based on the records of the school registrar has anestimated

population of 8,000. The College of Arts and Sciences alone has

4,916. For the needed market and demands of the business in order

to supply their products, the population of the location is

considered as good enough for the initial operations.

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It is considered that the profitability of the venture will

be good enough based on the market of the business, the

continuous growth of the population, and the non-stop changes in

the industry. The market always seeks for more new products and

services, especially in the food and beverage industry.

1.4 Management Team

Kevin Nambio is the General Manager. He is qualified for

these positions based on his experiences. Furthermore, he has

skills of handling and leading a certain group of people.

JardinePanado is the Marketing Manager. He has performed

well in managing figures and is well-reliable in terms of

marketing aspects. Therefore, this partner is right for the job.

Clarence Lasam is the Operations Manager of the business. He

has the experiences and credentials that make him very fitting

for the positions.

Paolo De Silva is the Human Resource Manager. He is well in

relations with other people and able to assess their skills and

capabilities.

Carlo Oro is the Finance Manager. He is responsible for all

the financial aspects of the partnership. This proponent deserves

the positions;

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The five partners have equal rights when it comes to

managing and owning the company. Harmonious relationship is

ensured and unanimous decisions are to consider during decision-

making instances.

1.5 Financing Requirements

The partners of “Nutrich” will invest a capital of Php. 517,

600. All the expenses will be driven from the stated amount and

it will also cover the first operations of the business.

1.6 Key Projections

By the end of the first year of “Nutrich” operations, it is

projected that the business will have a net income of Php753,

970.It is also projected that 9,600 will be its expected sales in

units per month for the first year of operations.

1.7 Proposed use of funds

81.92% (Php424, 000) of the business’ capital will be

allocated for the equipment. 13.25% (Php68, 600) will cover the

operations and miscellaneous expenses, and 4.8% will be allotted

for the allowance for other expenditures.

It is also forecasted that 25% of the annual profit of the

business will be allocated for its repairs, improvements and

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upgrades. Also, 10% of it will be reserved for future or sudden

expenses which are not expected by the partnership.

All the expenses, assets and income are shared equally by

the partners. This is decidedly so to avoid figure conflicts and

to have equal rights when it comes to owning and managing the

business as a whole.

1.8 SWOT Analysis

Strengths

• Grocery owned in Pasig Market

• Meat and vegetable shops owner and suppliers in the market are

family friends

• Farming land in Rizal

• Nutritious at the same time Affordable

• One of current food trend

• Government promotes for health and wellness

• Connections with chefs, culinary and HRM students

Weaknesses

• Non-diversified

• Campus Bound

Opportunities6

• Increasing number of Filipino Health conscious

• Obesity prevention

• Advertisements

• Offer purely vegetarian meals

Threats

• Direct and Indirect competitors

• New players in the market

• Non-stability of the economy

1.9 Competitors

Wendy’s

Strength

• More than 40 years of experience in the fast food industry

• Global presence with restaurants in around 30 countries

• Third largest burger chain with around 6650 locations

• Employee strength of 46000

• Globally recognized brand

• Strong supply chain network

• Popular for its taste and use of fresh beef instead of frozen7

• Financial stability

• Effective marketing and advertising

Weakness

• Fast food perceived as unhealthy

• Operation of franchisees is difficult to manage

• Less number of locations as compared to its competitors globally

Opportunity

• Global expansion

• Introduce the breakfast menu in all locations after revising the

menu

• Acquisition of smaller restaurants

Threats

• Tough competition from McDonalds and Burger king

• Increase in price of raw materials

• People are getting conscious about their health and avoiding

unhealthy fast food

• Diseases like obesity resulting from fast food consumption

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Pizza Hut

Strength

• Huge popular brand name and high brand loyalty

• Innovative range of pizzas under one roof

• Hygenic food and quick service

• Sound financial situation and international turnover.

• Good advertising and marketing

• Over 20,000 franchises around the world

Weakness

• Loyal customers are feeling that the satisfaction of the pizzas

is declining.

• Franchise management

• Lack of an organic pizzas, which will limit the target market

Opportunity

• New Pizzas with different crust sizes and flavors.

• Venture more into home delivery

• Venture into newer markets

Threats

• Threat from Dominos pizza, also from Mc Donald’s who have tried

to introduce a new meal that is a Pizza.

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• Health conscious people.

• The rising prices of special ingredients like cheese, used in

pizzas.

Subway

Strength

• Worldwide brand recognition and high brand loyalty

• Menu reflects demand for fresh, healthy and fast food.

• Hygenic food and quick service.

• Customizable menu offerings.

• Franchisee staff training is structured, brief and designed to

assure rapid start-up for new employees.

• Offer healthy subs sandwich that are preferred and much better as

compared to food items offered by other fast-food chains like

McDonald’s

Weakness

• No online presence

• Franchise management on a global level is a challenge

• Not diversified

Opportunity

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• Introduce better vegetarian products

• Introduce home delivery

• Emerging markets and expansion abroad.

Threats

• Threat from other eating joints/restaurants

• Health conscious people

1.8 Exit Strategy

A good exit strategy for a short-term business like

“Nutrich” is to merge with another business or be acquired by an

existing one. With this strategy, the business may continue with

other owners’ abilities. Another easy strategy is to sell the

business.

SECTION 211

BUSINESS DESCRIPTION

2.1 Mission and Vision

Mission

“To provide a snack that is healthy, tasty and affordable

that will surely satisfy the customers’ cravings.”

Vision

“To become one of the leading sandwich sellers, in different

colleges in Metro Manila and the whole country; and to satisfy

the aesthetic wants of the customers.”

2.2 Source of Idea

The partners decided to think of a snack that will surely click

to the market which will not be expensive and will tend to the

“health-conscious” market. The sandwiches come in different flavors,

and therefore flexible to the different tastes and preferences of

customers.

2.3 Legal Form of Business

“Nutrich” is a partnership business enterprise owned by Kevin

Nambio, JardinePanado, Clarence Lasam, Paolo De Silva and Carlo Oro,

all fourth year Legal Management students, whereas all the investments

and profits are shared equally.

2.4 Entry Strategy

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The proponents’ main entry strategy will involve the social media

like putting advertisements in social networking sites such as Twitter

and Facebook. After such preparations, all the other needed

requirements for the business will be made.

2.5 Product Description

Our sandwich is a delicious treat made by using different

dressings and fresh ingredients. Our sandwich is focused mainly in

providing for the health benefits towards its customersIt is also easy

to make because the meat we used is pre-cooked and can be consumed by

using microwave.Cake pops can also be a tricky-treat for kids since we

also included some vegetable-flavored pops that will surely attract

kids and other health conscious people.

Table 2.5.1 Sandwiches

ChickenSandwich - a chicken flavored

sandwich which is either fillet or

sliced into bits mixed with mayonnaise

and with different vegetables upon the

customer’s choice.

Tuna Sandwich - a tuna flavoredsandwich

dipped in olive oil matched with

different dressings and vegetables of

the customer’s choice.

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Ham - a ham sandwich paired with cheese

and mayonnaise.

2.6 Product Research and Development

The management wanted to do research and development to other

existing related company for them to improve and develop the product

and with the data that has been gathered, the management can now

decide further improvement like adding additional flavors or

additional products.

SECTION 3

MARKET ANALYSIS

3.1 Industry Analysis

The food and beverage industry is expected to grow between 5% and

10% this year, driven by demand in health foods and beverages,

according to Tradecon: a company that organizes trade expositions.

The industry for the food and beverages continuously grows and

this is a terrific sign for the business. It is easy to determine and

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conclude that this industry will keep on growing because of the fact

that everybody needs food and beverages. It is a strong quality of the

industry that it is indeed a necessity for each individual. It is not

hard to set a market especially when your price is affordable by most

of the population. Another thing is that the trends in this market

keep on changing. There are always lots of opportunities, but, as well

as threats. Competition is indeed tight and each business should have

lots of innovations to ride on the fast track of changes in the

society.

3.2 Target Market

“Nutrich” considers the college students in Metro Manila but the

operation will initially start in San Beda College. Therefore, they

are the ones that could easily gain access and consume the products of

Nutrich.

3.3 Marketing Research

The partners based their research on the internet, data about the

food and beverage industry, and past business plans. Also, interviews

with regards to the population, competition, prototypes and market

were held. The information needed by the partners was well

distinguished and acquired with the use of the research and

interviews.

The partners came up with the need to survey on a certain number

of random respondents (100). The next data were gathered and based

from the survey forms answered by the 100 randomly chosen respondents.15

3.4 Competition

As of present time, there are few direct competitors such as

Subway and the Sandwich Guy but since they are focused and located in

malls and other public places they will not directly affect the

schools as our target market. Some indirect competitors of “Nutrich”

within the vicinity are Pizza Hut, Wendy’s and some small

establishments selling breads and pastries. “Nutrich” and its

competitors share the same market and are therefore pressured to beat

each other’s potential demands.

The population is continuously growing. This means that the

market grows as well. These competitors have the advantage of being

famous around the vicinity already but that does not stand as a threat

to Nutrich. In terms of marketing, the competitors may have the

advantage of spreading news and other new products faster while in

production, these competitors are obviously bigger and more

experienced. They are capable of producing in bulk in a fast way. This

is a big threat to Nutrich since the business is new and is capable of

producing in small amounts first.

Inside out analysis

Skills

• Business experience

• Photography

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Resources

• Grocery located in marketplace

• Cooking equipment

• Microwave

• Toaster

• Farming lot in JalaJala, Rizal

Connections

• Suppliers of vegetables and meat

• Meat and vegetable shop owners

• Freelance models

• Chef

• HRM students

• Farmer

• Nutrionist / Fitness trainers

Outside in Analysis

Political

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The Congress Promotes Healthy Lifestyle > Increase Demand for

Nutritious food

(House Bill No.69)

Economic

Economic Improvement in The Philippines >The market would consider

ideas into eating a healthy lifestyle unlike before because eating

healthy is expensive.

(Jose Albert, NCSB)

Social

Lifestyle trend: The new trend is being fit >

Media Views: Slim is the new beautiful > Increased number of diet

conscious people

Fashion and role models: Actors and actresses are all into fit and

healthy lifestyle >

Technological

The rise of social networking websites > Promotions and advertisements

can be easily communicated

3.5 Barriers to Entry

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An obstacle that “Nutrich” may experience is its entry to the

market. With the present existing businesses that cater the market

with sandwiches that are already well-known, this may pressure

“Nutrich” to push its advertisements for the market to try its

products.

Operational Risks

Since “Nutrich” is a new business, it may experience some

operational risks which are inevitable.

Legal Requirements

All ventures need legalities to start its operations, there

may be requirements which may not be acquired for some

reasons.

High Start-up Costs

One of the most common problems of starting a business is in

terms of its financial requirements.

Lack of Viable Business Location

Since the business is not yet operating at present time, the

location that it is eyeing on may not be available anymore

and in schools are usually full because of the captured

market it provides.

Competition

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“Nutrich” as a starting business has its competitors as a

threat for its stability as an establishment in the food and

beverage industry.

SECTION 4

OPERATIONS

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4.1 Marketing Strategy

It is with the product development, pricing, distribution,

management, promotion and other things that will help in increasing

sales of Nutrich.

Nutrich is centered with the concept of customer satisfaction. It

is their main goal and it is important that the organization will

successfully engage with the customers, prospects and competitors in

this industry.

4.1.1 Overall Marketing Strategy

Nutrich as a beginning business holds the fact that its

competitors will be better when it comes to marketing strategies. With

this “Nutrich” sets its strategies to its early stages with easy

access to customers such as low-priced quality products.

4.1.1.1 Product Strategy

Since “Nutrich” is located inside San Beda College

which is surrounded by schools. The company has a higher

chance of sales because our main target market is student.

Students nowadays don’t just eat food with their mouth

palatability of a food is also considered one of the

greatest factor why people buy the food.

4.1.1.2 Positioning Strategy

Nutrich engage in sandwiches, competes with others and

establishments which offer similar products. It serves some

healthy products which are good for the adults and the

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children as well especially to students. The sandwich of

Nutrich can be as healthy as you think because it really is

based on its content and it is affordable especially to

students.

4.1.1.3 Points of Differentiation

Compared to other sandwiches and other establishments

selling the same, “Nutrich” serves deliciously healthy

products. The flavors are chosen with care and are assured

good for the taste buds and to the body. Since students are

considered the business’ target market, it also sells at a

low price. The products are customized depending on the

customers’ demands. The customers can give their requests;

they can get their orders after a minute and thirty seconds.

The business can also branch out to other universities.

4.1.2 Pricing Strategy

Establishments like “Nutrich” can ensure profitability and

longevity by giving attention on its pricing strategy. Since

students are the company’s primary targeted market, a lower price

and a healthy product is considered to attract customers and can

help the business to enter the market. Increase in price can be

gradually implemented depending on how the customer will accept

the product.

4.1.3 Promotions

• “Nutrich”, as a starting business, needs enough promotions for it

to be acknowledged. As a small business, it will start with easy

and low-cost promotions such as advertising through social media

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like Facebook and Twitter, flyers, and word of mouth. In

addition, it will also have its promo which gives first 5 buyers

of Nutrich sandwich will have a chance to get a free shirt,

Barkada Treat: Buy three get one and we hired freelance models

for advertisements.

4.1.3.1 Advertising

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4.1.3.2 Public Relations

“Nutrich” aims to have a good name in the industry. It

is a good strategy as well to have good public relations;

this will further keep the connection between the business

and its market. With good public relations, “Nutrich” can

use this as better connection than advertising. “Nutrich”

targets to acquire its customers’ trust.

4.2 Production Plan

The production of “Nutrich” is well-organized for the assurance

of the quality of the products and for the proper canvassing of the

equipment and supplies. Also, this will be the certified procedure

which makes everything systematized and standardized.

4.2.1 Operations Model and Procedure

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The start of the project starts at the purchasing of goods at the

market then followed by the delivery of the goods to the designated

kiosks, upon arrival at the kiosk the process of preparation starts

for a matter of an hour for the start of operation, the digital

advertisement starts after the purchase as well in order to present a

product upon check up by the consumers then the packaging which will

lead to waste management together with the preparation, then the sales

promotion which will all lead to selling.

Figure 4.2.1.1 Flowchart of Actual Business Operation

Time Personnel Daily Activities6:00 am Delivery helper Pick-up of goods

6:00 – 7:00 am Delivery helper Delivery of the28

goods to kiosk(Travel time)

7:00 - 8:00 am Delivery helper &Sales associate

Preparation ofthe purchased

goods8:00 am – 6:00 pm Sales associate Selling period6:00 - 7:00 pm Sales associate Waste disposal &

Cleaning ofpremises

The figure above shows the flow of operation of the business.

First is to canvass all the equipment, materials and supplies that is

needed for the company’s operation. Then the company can have now a

variety of choices to choose to purchase all equipment, materials and

supplies that is needed after purchasing an initial inventory must be

done. Since the company is just on a stall basis the product must be

already prepared and ready to be sell but quality control must be

implemented since food is the company’s product, sanitation is a must.

Then the product is now ready to be on sale, at the end of each day an

inventory must be done and evaluation and control is also needed to

evaluate the product sales, the customers and the personnel.

4.2.2 Business Location

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It is located at San Beda College Mendiola, Manila. The

place was chosen based on the possible target market and there

are currently little competitors.

Figure 4.2.2.1 Location of the Business

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Oven

Sink/ dishwashing area

Preparation area

Tools and equipment

Cabinet stock and refrigerator

4.2.3 Facilities and Equipment

“Nutrich” acquires different equipment for its continuous

operations. All are priced and checked within the budget of the

partners and are ensured of quality for better operations of the

business.

Figure 4.2.3.1 Nutrich kitchen layout

Figure 4.2.3.2 Kiosk Layout

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Table 4.2.3.3 Equipment Details

Facilitie

s/

Equipment

Picture Quanti

ty

Quoted

Price

(Php)

Refrigera

tor

1 14,795

Oven 1 2,000

Gas stove 1 2,028

Frying

Pan

1 1,000

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Casserole 1 2,300

Chopping

Board

1 975

Electric

fan

1 1,100

Spatula 1 350

Knife 1 425

4.3 Personnel

The management consists of the general manager, financial

manager, operations and marketing manager. They will be the one

responsible for running the business. Also, an employee will be hired

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and trained for the daily operations of the business. The employee

will be knowledgeable enough in running the operations for the

production as well.

Table 4.3.1 Key Responsibilities

Position Responsibilities

General Manager Overall in charge and the one who

over see everything.

Financial Manager Accounting of income, staff salary

and expenses

Operation Manager Identification of the needed

supplies and raw

Materials. Also the one

responsible for the overall

production of the product

Marketing Manager Developing of strategies to

increase sales

Personnel Serving the product to the

customer. The one who personally

interact with the customers & for

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purposes of delivery.

4.4 Customer Support

“Nutrich” is committed to serve delicious and healthy sandwiches.

For customer’s support, they can post their concerns regarding the

business in our facebook page.

4.5 Research and Development Plans

Nutrich provides deliciously healthy sandwiches to people

especially to students. Researches and observations are considered for

the improvement and development of the products and the company as

well.

Putting Additional flavors will be considered by the management

to satisfy more the customers. It is also considered to put up more

branches but it is still on the planning stage depending on the

customers’ feedback. The company wanted to provide loyalty card to the

frequent buyers the card will provide discounts and other perks for

the customers.

4.6 Corporate Social Responsibility Programs

After years of operation, “Nutrich” will cater to different

public-related activities such as sponsoring events for organizations

which helps people such as charities. Also, the business can sponsor

such events for helping and at the same acquiring promotions as well.

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SECTION 5

MANAGEMENT TEAM

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5.1 Responsibilities of the Management Team

Departments Brief

Description:

Cycle: Department

Head:

Rank and

File:

Marketing --incharge

to create or

develop

strategy to

increase

sales

--incharge

of

promotion,

advertisemen

ts

JardinePanad

o –

Marketing

officer

Operations

and

Production

--incharge

of

identificati

on of the

basic needed

supplies and

raw

materials

for the

daily

operation of

Clarence

Lasam –

Operations

Supervisor

Delivery/

Helper,

Sales

Associate

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the business

--incharge

of the

production

of the

product in

the kiosk

Human

Resource

--incharge

of the

identificati

on of hiring

new

employees

--incharge

of managing

the

employee's

evalutions,

job

descriptions

--incharge

of

developing

the position

description

and other

personalitie

assessment

of a new

employee

evaluation

of the

employee's

performance

Juan Paolo

De Silva -

Resource

Manager

38

s in the

business

Finance --incharge

of the

accounting

of the

business

income/expen

ses

--incharge

of all the

money that

goes in/out

of the

business

Carlo Oro –

Finance

Manager

Cashier

General

Manager

Oversees all

administrati

ve

operations;

Leads and

directs

employees;

Ensures

administrati

ve

efficiency,

implementati

Kevin

Nambio-

General

Manager

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on of

policies and

employee

morale

DIFFERENT DEPARTMENTS OF THE COMPANY

MANAGERIAL POSITIONS

General Manager

• Duties

• Increases management's effectiveness by recruiting,

selecting, orienting, training, coaching, counseling, and

disciplining managers

• Develops strategic plan

• studying technological and financial opportunities

• Plans, directs and coordinates the operations of business

• Call for meeting with the department managers for their

reports in their respective operation in the business

• establishing plans, budgets, and results measurements

• Checks Overall progress of the business

• allocating resources

• reviewing progress & making mid-course corrections

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• Maintains quality service by establishing and enforcing

organization standards

• establishing personal networks & participating in

professional societies

• Skills/Qualifications

• Finished a degree in any management or business course

• Has a experience in handling a business

• Have a basic computer skills

• Have a good communication skills in verbal or written

• Have a good leadership skills and problem solving skills

• Must feel comfortable in a position of authority that

includes coaching, rewarding and disciplining employees

in a responsible and effective matter.

• Understands organization’s culture.

• Open to various concerns and changes in the company.

• Must be proficient in developing strategy.

Marketing Manager

• Duties

• Provides information by collecting, analyzing, and

summarizing data and trends.

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• Achieves marketing and sales operational objectives by

contributing marketing and sales information and

recommendations to strategic plans and reviews

• identifying trends

• determining system improvements & implementing change

• Accomplishes marketing and sales objectives by planning,

developing, implementing, and evaluating advertising,

merchandising, and trade promotion programs

• Studying competitors' products

• Finding ways to improve the sales of products and services


• Finished any marketing management and other business

courses



• Have a knowledge of wide marketing techiniques and

concepts

• Have a creative mind

Operations Manager

• Duties

• Responsible for increasing company efficiency by analyzing

systems and recommending programs.

• Maintains an up-to-date inventory of ingredients;

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• Monitors and evaluates product ingredients;

• Designing the operation's products, services and processes

• Identifies operational problems and resolves them.

• Oversees the preparation and production of burger ingredients;

• Identifies project scopes and prepares the necessary

requirements.

• Planning and controlling

• Improving the performance of operation of the company.

• Maintains quality customer service by establishing and

enforcing organizational standards.


• A degree in operation management or any other operations and

business course.

• Demonstrated leadership ability.

• Organizational effectiveness and operations management

implementing best practices.

• Commitment to social justice and the mission

• Excellent computer skills and proficient in Excel, Word,

Outlook, and Access

• Excellent communication skills both verbal and written

• Excellent interpersonal skills and a collaborative

management style.

• Excels at operating in an fast pace, community environment

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• Ability to look at situations from several points of view

• Persuasive with details and facts

• Delegate responsibilities effectively

• High comfort level working in a diverse environment

Human Resource Manager

• Duties

• Maintains the work structure by updating job requirements

and job descriptions for all positions.

• Maintains organization staff by establishing a recruiting,

testing, and interviewing program; counseling managers on

candidate selection; conducting and analyzing exit

interviews; recommending changes.

• Prepares employees for assignments by establishing and

conducting orientation and training programs.

• Maintains a pay plan by conducting periodic pay surveys;

scheduling and conducting job evaluations; preparing pay

budgets; monitoring and scheduling individual pay actions;

recommending, planning, and implementing pay structure

revisions.

• Ensures planning, monitoring, and appraisal of employee work

results by training managers to coach and discipline

employees; scheduling management conferences with employees;

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hearing and resolving employee grievances; counseling

employees and supervisors.

• Maintains employee benefits programs and informs employees

of benefits by studying and assessing benefit needs and

trends; recommending benefit programs to management;

directing the processing of benefit claims; obtaining and

evaluating benefit contract bids; awarding benefit

contracts; designing and conducting educational programs on

benefit programs.

• Ensures legal compliance by monitoring and implementing

applicable human resource federal and state requirements;

conducting investigations; maintaining records; representing

the organization at hearings.

• Maintains management guidelines by preparing, updating, and

recommending human resource policies and procedures.

• Maintains historical human resource records by designing a

filing and retrieval system; keeping past and current

records.

• Maintains professional and technical knowledge by attending

educational workshops; reviewing professional publications;

establishing personal networks; participating in

professional societies.

• Contributes to team effort by accomplishing related results

as needed.


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• Have a degree in human resource management or any managerial

course.

• Good communication skills in verbal or written.

• Proficiency in maintaining employee needs.

• Should be knowledgeable in labor law and company relations.

• Should be able to resolve conflict and make tough decisions.

• Can work well with different kind of people within and

outside the organization.

• Able to analyze information quickly and use it to make

robust decisions.

• Able to gain commitment from different quarters in order to

benefit the organization.

Finance manager

• Duties

• collating, preparing and interpreting reports, budgets,

accounts, commentaries and financial statements;

• undertaking strategic analysis and assisting with strategic

planning

• producing long-term business plans

• undertaking research into pricing, competitors and factors

affecting performance

• controlling income, cash flow and expenditure

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• managing budgets

• developing and managing financial systems/models

• carrying out business modeling and risk assessments

• supervising staff

• keeping abreast of changes in financial regulations and

legislation.

• providing and interpreting financial information


• Prefer graduates with qualifications in accountancy,

statistics, economics, mathematics, management or business

subjects.

• Good communication skills in verbal and in written.

• Knowledge of tax and other compliance implications of non-

profit status.

• Knowledge in bookkeeping and accounting

• Has the potential to lead and motivate others;

• Strong attention to detail and an investigative nature;

• Has the ability to balance the demands of work with study

commitments;

• Good time management skills and the ability to prioritize;

• commercial and business awareness;

47

• excellent communication skills

• high numeracy and sound technical skills;

• Good at problem-solving skills and initiative;

RANK AND FILE

Sales Associate

• Duties

• Compute and record totals of transactions

• Answer customers' questions, and provide information on

procedures or policies.

• Accept payment from customers, and make change as necessary.

• Communicate with customers regarding orders, comments, and

complaints.

• Greet customers upon approach.

• Issue receipts, refunds, credits, or change due to

customers.


• Must be a high school graduate

• Knows basic problem solving in mathematics.

• Highly skilled in providing prompt and friendly customer

service

• In-depth knowledge of operating cash register and

maintaining cash drawer

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• Food handling and sanitation knowledge.

• The ability to handle pressure and maintain an adequate

energy level.

Delivery/Helper

• Duties

• General Cleaning of the stall and storage of the food for

freshness

• Cooking or preparing the order of the customer

• Buying of need supplies and raw materials

• Greet customers upon approach

• Skills Qualifications

• Must be a high school graduate

• Must be able to work during weekdays or afternoon shift.

• Initiative and common sense.

• The ability to listen and learn fast.

• Understands the importance of health and hygiene.

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5.2 Organizational Structure

The proponents decided to have a line and staff organization. It

demonstrates a simple chain of command.

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General ManagerFinanceMarketing Operations SupervisorSales AssociateDelivery/HelperHuman Resource

Figure 5.2.1 Organizational Chart of Nutrich

The figure above shows the organizational chart of “Nutrich”

where the General Manager will lead and the Operations Manager, HR

Manager, Marketing Manager and Finance Manager have equal standings.

Under the Operations Manager are the Sales associate and

Delivery/Helper man.

A partnership is critical when it comes to decision-making. It is

decided to always have not just a majority of decisions among the

partners, but to come up with unanimous ones.

5.3 The Management Team

MANAGERIAL POSITIONS

General Manager

• Duties

• Increases management's effectiveness by recruiting,

selecting, orienting, training, coaching, counseling, and

disciplining managers

• Develops strategic plan

• studying technological and financial opportunities

• Plans, directs and coordinates the operations of business

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• Call for meeting with the department managers for their

reports in their respective operation in the business

• establishing plans, budgets, and results measurements

• Checks Overall progress of the business

• allocating resources

• reviewing progress & making mid-course corrections

• Maintains quality service by establishing and enforcing

organization standards

• establishing personal networks & participating in

professional societies


• Finished a degree in any management or business course

• Has a experience in handling a business



• Have a good leadership skills and problem solving skills

• Must feel comfortable in a position of authority that

includes coaching, rewarding and disciplining employees

in a responsible and effective matter.

• Understands organization’s culture.

• Open to various concerns and changes in the company.

• Must be proficient in developing strategy.52

Marketing Manager

• Duties

• Provides information by collecting, analyzing, and

summarizing data and trends.

• Achieves marketing and sales operational objectives by

contributing marketing and sales information and

recommendations to strategic plans and reviews

• identifying trends

• determining system improvements & implementing change

• Accomplishes marketing and sales objectives by planning,

developing, implementing, and evaluating advertising,

merchandising, and trade promotion programs

• Studying competitors' products

• Finding ways to improve the sales of products and services


• Finished any marketing management and other business

courses



• Have a knowledge of wide marketing techiniques and

concepts

• Have a creative mind53

Operations Manager

• Duties

• Responsible for increasing company efficiency by analyzing

systems and recommending programs.

• Maintains an up-to-date inventory of ingredients;

• Monitors and evaluates product ingredients;

• Designing the operation's products, services and processes

• Identifies operational problems and resolves them.

• Oversees the preparation and production of burger ingredients;

• Identifies project scopes and prepares the necessary

requirements.

• Planning and controlling

• Improving the performance of operation of the company.

• Maintains quality customer service by establishing and

enforcing organizational standards.


• A degree in operation management or any other operations and

business course.

• Demonstrated leadership ability.

• Organizational effectiveness and operations management

implementing best practices.

• Commitment to social justice and the mission

• Excellent computer skills and proficient in Excel, Word,

Outlook, and Access54

• Excellent communication skills both verbal and written

• Excellent interpersonal skills and a collaborative

management style.

• Excels at operating in an fast pace, community environment

• Ability to look at situations from several points of view

• Persuasive with details and facts

• Delegate responsibilities effectively

• High comfort level working in a diverse environment

Human Resource Manager

• Duties

• Maintains the work structure by updating job requirements

and job descriptions for all positions.

• Maintains organization staff by establishing a recruiting,

testing, and interviewing program; counseling managers on

candidate selection; conducting and analyzing exit

interviews; recommending changes.

• Prepares employees for assignments by establishing and

conducting orientation and training programs.

• Maintains a pay plan by conducting periodic pay surveys;

scheduling and conducting job evaluations; preparing pay

budgets; monitoring and scheduling individual pay actions;

55

recommending, planning, and implementing pay structure

revisions.

• Ensures planning, monitoring, and appraisal of employee work

results by training managers to coach and discipline

employees; scheduling management conferences with employees;

hearing and resolving employee grievances; counseling

employees and supervisors.

• Maintains employee benefits programs and informs employees

of benefits by studying and assessing benefit needs and

trends; recommending benefit programs to management;

directing the processing of benefit claims; obtaining and

evaluating benefit contract bids; awarding benefit

contracts; designing and conducting educational programs on

benefit programs.

• Ensures legal compliance by monitoring and implementing

applicable human resource federal and state requirements;

conducting investigations; maintaining records; representing

the organization at hearings.

• Maintains management guidelines by preparing, updating, and

recommending human resource policies and procedures.

• Maintains historical human resource records by designing a

filing and retrieval system; keeping past and current

records.

• Maintains professional and technical knowledge by attending

educational workshops; reviewing professional publications;

establishing personal networks; participating in

professional societies.

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• Contributes to team effort by accomplishing related results

as needed.


• Have a degree in human resource management or any managerial

course.

• Good communication skills in verbal or written.

• Proficiency in maintaining employee needs.

• Should be knowledgeable in labor law and company relations.

• Should be able to resolve conflict and make tough decisions.

• Can work well with different kind of people within and

outside the organization.

• Able to analyze information quickly and use it to make

robust decisions.

• Able to gain commitment from different quarters in order to

benefit the organization.

Finance manager

• Duties

57

• collating, preparing and interpreting reports, budgets,

accounts, commentaries and financial statements;

• undertaking strategic analysis and assisting with strategic

planning

• producing long-term business plans

• undertaking research into pricing, competitors and factors

affecting performance

• controlling income, cash flow and expenditure

• managing budgets

• developing and managing financial systems/models

• carrying out business modelling and risk assessments

• supervising staff

• keeping abreast of changes in financial regulations and

legislation.

• providing and interpreting financial information


• Prefer graduates with qualifications in accountancy,

statistics, economics, mathematics, management or business

subjects.

• Good communication skills in verbal and in written.

• Knowledge of tax and other compliance implications of non-

profit status.

• Knowledge in bookkeeping and accounting

58

• Has the potential to lead and motivate others;

• Strong attention to detail and an investigative nature;

• Has the ability to balance the demands of work with study

commitments;

• Good time management skills and the ability to prioritize;

• commercial and business awareness;

• excellent communication skills

• high numeracy and sound technical skills;

Good at problem-solving skills and initiative;

5.4 Business Ownership

“Nutrich” is equally owned by five partners. They will likewise

invest on the business which will be used to start the business as

well as the miscellaneous expenses on the first months of operation.

Each of them will have a 20% of share which givesNutrich Php517,600as

its starting capital.

Table 5.4.1 Capitalization and Ownership Distribution

Partners Position Percent of

Ownership

Personal

Investment

Nambio, Kevin General Manager; 20% Php103,520

59

Panado, Jardine Marketing

Manager

20% Php103,520

Lasam, Clarence Operations

Manager

20% Php103,520

De Silva, Paolo HR Manager 20% Php103,520

Oro, Carlo Finance Manager 20% Php103,520

Total 100% Php517,600

5.5 Standard Operating Procedure

STANDARD OPERATING PROCEDURES AND CONTROL POLICIES

Purpose: For sanitation purposes and guaranteed food safety.

All employees:

• Must come at work neat and on time.

• Must maintain clean hands in preparing food/ingredients.

• Must always wear hairnets and gloves in preparing and serving

orders

• Must manage waste properly & maintain cleanliness of the premises

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• Must always see to it that all utensils are properly sanitized.

5.6 Performance Appraisal tool

PERFORMANCE APPRAISAL TOOL

This appraisal form is to assess and evaluate the employees' during

his/her performance in the businees. this is to improve and to develop

the daily operation of business at the same time improves the

employees' skills

NUTRICH CORPORATION

Appraisal tool

Employee Name:

Department:

Please check the box that best describe frequency of performance

measure

Customer Focus: Employee understand who his/her customers are and

proactively responds to customer needs. Employee adheres to ministry

service standards with every customers.

Never

1 2

Sometimes

3 4

Always

5Employee

Self-

Assessment

61

Employee

CommentManager’s

AssessmentManagers’

Comment

Teamwork: Employee values team interactions and works effectively with

others. Is a team player and helps encourage and orient new team

members. Is able to balance personal effort with project team effort.

Never

1 2

Sometimes

3 4

Always

5Employee

Self-

AssessmentEmployee

CommentManager’s


CommentJob knowledge: Employee understand every aspect of job tasks and

responsibilities and proactively updates job skill. Offers assistance

to help others improve job skills

Never

1 2

Sometimes

3 4

Always

5Employee

62

Self-

AssessmentEmployee

CommentManager’s


CommentCommunications: Employee communicates professionally with others in

print and shares thoughts and ideas appropriately. Listens to others

and ask questions for clarity. Controls emotions under pressure.

Never

1 2

Sometimes

3 4

Always

5Employee

Self-

AssessmentEmployee

CommentManager’s


Comment

63

SECTION 6

FINANCIAL PROJECTIONS

This section will tackle all things necessary with regards to the

financial aspects of the company. This aims to provide the initial

capital of the business and the financial projections. All required

finances and sources are also stated in this section.

7.1 Financial Assumptions

Annual increase in sales due to increase in population and target

market

Raw materials and supplies prices are increasing using the

average 3.2% inflation rate

Rental and selling expenses are projected constant for three

years

Straight line method will be used in the depreciation of machines

and equipment

All transactions are cash based

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PROJECTED INCOME STATEMENT OF NUTRICH

YEAR 1 YEAR 2(2kiosk) YEAR 3(3 kiosk)

Revenue 6,912,000 13,824,000 24,192,000

Cost of Sales 5,068,800 10,386,432 18,756,864

Gross Profit 1,843,200 3,437,568 5,435,136

Advertising 10,000 10,00010,000

Compensation 331,200 590,400 921,600

Travel/Delivery 86,400 86,400109,440

65

Lease 300,000 600,000 900,000

Utilities 36,000 72,000 108,000

Total Operating Expense 763,600 1,358,800 2,049,040

EBIDTA 1,079,600 2,078,768 3,386,096

Depreciation 2,500 5,000 7,500

Operating profit 1,077,100 2,073,768 3,378,596

Earnings before taxes 1,077,100 2,073,768 3,378,596

Income tax 323,130 622,130.4 1,013,578.8

Net Income 753,970 1,451,637.6 2,365,017.2

BREAKEVEN ANALYSIS

Quantity Price Total

Sales 115,200 P60 P6, 912,000

Variable Cost 115,200 P44 P5, 068,000 (73.32%)

66

Contribution Margin 115,200 P16 P1, 844,000 (26.68 %)

Fixed Cost P763, 600

Operating Income P1, 080, 400

Breakeven sales (fixed cost/contribution margin)

763,000 / 73.32% = 1,040, 643.75

Breakeven Sales = P 1, 040, 643.75

Breakeven Sales per day = P3, 613

Breakeven units

1,040,643.75 / P60 = P17, 344 units

Breakeven units per day = P60 units

Product costing

Tuna Sandwich

Tuna P50/can P10

White onion P80/kilo P2

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Tasty P60/loaf P12

Lettuce P80/kilo P4

Tomato P40/kilo P2

Mayonnaise P240/kilo P3

Mustard P40/bottle P2.5

Cheese P40/200g box P2.5

Cabbage P20/kilo P1

Cucumber P60/kilo P3

Packaging P2

P44

Ham Sandwich

Ham P160/kilo P12

Tasty P60/loaf P12

Lettuce P80/kilo P4

Tomato P40/kilo P2




Cabbage P20/kilo P1

Packaging P2


P44

Chicken Sandwich

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Chicken P120/kilo P10

Tasty P60/loaf P12

Lettuce P80/kilo P4

Tomato P40/kilo P2




Cabbage P20/kilo P1

Packaging P2


P44

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Machinery and equipment

Price Life Annual Depreciation

Refrigerator 14,795 10 1,479.5

Casserole 2,300 10 230

Microwave 2,000 10 200

Electric stove 2,028 10 202.8

Frying pan 1,000 10 100

Electric fan 1,100 10 110

Chopping board 975 10 97.5

Knife set 452 10 45.2

Spatula set 350 10 35

P25000 P2500

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Projected Balance sheet

Cash 68,600 822,570 1,520,257.62,433,617

Inventory 424,000 424,000 424,000424,000

Total current assets 492,600 1,246,570 1,944,257.62,857,617

Fixed assets 25,000 25,000 25,00025,000

Total assets 517,600 1,271,570 1,978,0252,882,617.2

Owner’s equity

Paid-in capital 517,600 517,600 517,600517,600

Retained earnings 753,970 1,451,637 2,365,017.2

Total equity 517,600 1,271,570 1,978,0252,882,617.2

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Projected Cash Flow

Year 1 Year 2 Year 3

Net Income 753,970 1,451,637.6 2,365,017.2

Financing Activities

Cash investment 517,600

Cash Reconciliation

Beginning Cash 68,600 822,570 1,520,257.6

72

Change in Cash 783,970 697,687.6 913, 359.4

Ending Cash 822,570 1,520,257.6 2,433,617

Owners Profiles

73

BUSINESS PLAN PAPER

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