Chapter 3 Final Feasibility Study Under Graduate PDF

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Summary

Chapter 3 Technical Aspect This chapter discusses about the process of production and the activities of the business. It also states the equipment used in production and other aspect regarding bringing the raw material into finished products ready for trade. Plant layout, size and structures are all...

Description

Chapter 3 Technical Aspect This chapter discusses about the process of production and the activities of the business. It also states the equipment used in production and other aspect regarding bringing the raw material into finished products ready for trade. Plant layout, size and structures are all presented for the purpose of identifying the business operation. 3.1

Technical Process This part of the study presents the materials needed to carry through

the day-to-day operation of the proposed business. The service flow or the process on how the products and services could reach the customers is also being dealt with. 3.1.1 Raw Materials A raw material, also known as the unprocessed material or most correctly natural material, is a basic material that is used to produce goods, finished products, energy, or intermediate material which is feedstock for future finished products. Found on the next page is the table of the raw materials needed for the production of the products of the proposed business.

Table 8 Raw Materials Wood is a hard substance that forms the branches and Wood

trunks of trees and can be used as a building material or for making things. Varnish is a clear transparent hard protective finish or film.

Polyureth ane Varnish

Varnish has little or no color and has no added pigment as opposed to paint or wood stain which contains pigment. It makes the furniture to look nice. Wood glue is a strong adhesive sealant used to hold pieces

Wood Glue

of wood tightly together. It is also important to have this one. The nails are needed in making pallet furniture because it

Nails gives strength to the furniture.

3.1.2 Production Process The production process is a component appearing under the operating plan of the overall business plan. The production process is the process a product or service takes in order for it to become ready for customers to buy. Production will certainly depend on the type and nature of the proposed business. It is concerned with transforming a range of inputs into those outputs that are required by the market.

Figure 4 Standard Time Process Per Item

3.1.2.1 Process Flow A process flow is a method of visually documenting the stages involved in performing a certain business procedure. A type of process flow charts that show inputs or information requests, followed by each of the steps required to create deliverable outputs such as products or services from the inputs. Process flow would affect the general flow of plant processes and equipment. Hence, the researcher came up with a very comprehensive and customer friendly process flow found on the next page.

Acquiring of wood

Receiving of wood

Smoothing for the preparation of varnishing

Nailing of the wood

Lay-out for the design and start working on it.

Smoothing of the wood

Varnishing of the finish design or product

Figure 5 Process Flow The process flow of the proposed business Convertible Wall Beds will start by acquiring of raw materials, to be followed by receiving of raw materials. After that it will start designing for the

proposal of the product or furniture so that the carpenters can start their work. Next, will be the smoothing. Then, the nailing of the part of the furniture will follow. After that will be the smoothing of the finished product for the preparation of the varnishing. Lastly, the polishing or painting of the furniture. When everything is done, it can now be placed at the showroom. 3.1.2.2.1 Dining Table Materials: 10 Pallets 1 Wood Glue 1 Polyurethane varnish 1 box nail 3.1.2.2.2 Bed Materials: 4 Pallets 1 Wood Glue 1 Polyurethane varnish 1 box nail 3.1.2.2.3 Shelves Materials: 6 Pallets

1 Wood Glue 1 Polyurethane varnish 1 box nail

Procedure: 1. Gather all the equipment needed in the production process and prepare the pallet in making the products. 2. The lay-out artist will make a design for that product. 3. After making a design, the carpenters will cut the pallet. 4. After cutting it the carpenters will nail the pallet. 5. Then, after finishing nailing it the carpenter will sand the finish product. 6.Latly, the carpenters will paint the pallet furniture by using polyurethane varnish. The dining set will take eight hours to produce one finish product while the sala set will take a minimum of six hours to make one finish product and last, the bed will only take four hours to have a one finish product so it will have a two finish product for that day.

3.1.3 Service Flow Service flow would affect the market’s patronage of the proposed business products and services. It will show how convenient the service process is for the client. Hence, the researcher came up with a very comprehensive and customer friendly service flow.

Inquire

Will the customer avail the product?

Y Get the customer’s order E S

Tell customer the total payment

Take the cash payment

Give receipt

EXIT

Figure 6 Service Flow

NO

Exit

3.2 Location Analysis This section discusses the details about the location of the Convertible Wall Beds. The location map, vicinity map and the plant layout of the proposed business will be included in the discussion.

3.2.1 Location Map The business’ location is the key to a successful operations and overall growth. It is important for any business to have a location that is very accessible and convenient for customers. This section shows the location of the proposed business. The location of the business will be at Leon Llido Street, Brgy. Lagao, General Santos City.

3.2.2 Vicinity Map

This part will show the area and site around the location of the proposed business. There are following establishment and business that may help the business to be promoted.

3.2.3 Plant Layout This portion shows the site development plan of the proposed Convertible Wall Beds. This is the overall plant site of the business. The perspective view and elevation view was also shown on the next page to visualize more the proposed business and to clearly view each facilities of the business.

3.3 Production Needs

This section specifies the facilities, machineries, furniture and fixtures, as well as the utilities that the proposed business will need. Moreover, the proposed business will purchase and build what is needed at a lowest possible cost with favorable quality that can accommodate the operation of the business and that will be supplied by the local suppliers if available. 3.3.1 Facilities The following are the facilities within the business which will be used during business operations. The facilities used will be purchased within the locality of General Santos City that provides and meet the criteria of the desired facility of the owner. Staff/Office Area This is the area where the manager will stay and do businesses work every day. Any problems and issues that must be solved related to the business will be done in this area. Receiving Area This is where the cashier can be found and where payment and other transactions happen.

Production Area

This is the area where the storage room is located and this is where the furniture’s will be made with their designated design. The production workers will work in this area. Lounge Area It is the space given to the customers who are waiting and wants to rest for a while. Lobby Area This area is intended for inquiring and payment activity. It is where the customers could pay their fees in exchange of the product that they will order. Comfort Room This area is where the employees can use for their personal hygiene; they can also use the mirror in this area for grooming and washing their hands. Parking Area It is the space given to the customers where they could park their vehicles.

3.3.2 Machineries and Equipment Before the business would operate properly, it will require the latest technology offered in the market today.

The equipment needed for the operation of the business is available locally and online. Shown on the table on the next page is the quantity of specific equipment to be purchased and to be used in the operation.

Item

Specification

Supplier

Qty

Price

Jigsaw

Model: JFSNA-9 Brand: Pentair Sta-Rite Dimensions: 410 mm × 270 mm × 580 mm Power: 4.5 kW Electrical: 220-240V 1PH

Amci Water System Philippines, Davao City

5

4,580

Sander Model: SRP400 Brand: Pentair Sta-Rite Dimensions: 855 mm × 700 mm × 810 mm Input Capacity: 400,000 BTU/Hr (Equivalent to 117kW)

Amci Water System Philippines, Davao City

5

KCC Mall, General Santos City

2

KCC Mall, General Santos City

3

2,600

Generator Model: C15 ATAAC, I-6, 4Stroke Brand: Cat Dimensions: Min. Rating: 320 ekW Max. Rating: 500 ekW

CCTV

Model: DH-IPCHDBW4421E(AS) Image Censor: 1/3” 4 Megapixel 2688(H)x1520(V)

12,996

9,700

Jigsaw A jigsaw power tool is a jigsaw made up of an electric motor and a reciprocating saw blade. Sander A sander is a power tool used to smooth surfaces by abrasion with sandpaper. Generator It is a fuel generator useful if there’s no available electricity in the place. It will be used in the office and counter area. CCTV This is useful in monitoring the business and also for the security of the water park. 3.3.3. Store and Office Equipment In addition, there are also equipment used in the office, counter, store room, staff room, and mini store. These are the following needed equipment in contemplation of a fine and satisfactory service.

Table 10 Office Equipment Name

Specification

Supplier

Price

Qty

The Quorion QMP18 has cash drawer that holds cash

Octagon, SM Gensan

27,980

1

The Epson L210 is a 3-in-1 printer.

Silicon Valley, KCC Mall of Gensan

8,990

2

Dell IN 3043

Silicon Valley, KCC Mall of Gensan

Samsung Split Type Inverter Aircon Model: AR09MVFHHWKNTC

Abenson Veranza General Santos City

Panasonic KX-TS50

PLDT, General Santos City

Model: STF9812B/TF9316B B1G1 Brand: Dowell

Abenson Veranza General Santos City

Imarflex Hot & Cold IWD-1130W

KCC Mall of Gensan

Cash Register

Printer

Computer Set

Air-condition

Telephone

Electric Fan

30,900 1

10,799

1,700

1,530

3

1

1

Water Dispenser 12,000

2

Electronic Cash Register It is used by the cashier in the counter. Its purpose is to immediately record and print the receipt of the customers that serves as their ticket. Printer This printer can be used not only for printing but also for scanning and photocopying.

Computer Set The computer set is composed of a monitor, keyboard, CPU, and other parts of it. This is to be used by the employees especially by the manager. Air Conditioner This is used at the office area in order for the place to have good ventilation. Telephone This is for communication purposes. It will be used in order for the customers to reach out the business especially if they have some concerns or if they will inquire. It is also used for other business transactions. Electric Fan This is placed at the guard house, counter area, and for the rented space which is a small store. This gives good ventilation in the place in order5 for the employees to work well. Water Dispenser The water dispenser is composed of hot and cold.

3.3.4 Furniture and Fixture The business will also acquire its furniture and fixtures locally at a lowest cost as possible with high quality. Table 10 Furniture’s and Fixtures Name

Office Table Set

Cabinet

Specification

Supplier

The office table is used by the employees specifically the manager.

Home Solutions Gensan

This is intended for the storage room. It is storage for all cleaning materials and equipment.

Lounge Table set

Sofa

Home Solutions Gensan

It is a small chair with table intended for the customer who avail the tea and coffee.

Home Solutions Gensan

This sofa is located at the office area and it is used by the guests or visitors for seating.

Home Solutions Gensan

Price

8,749. 00

Qty

1

24,550.00

1

10,399.00

5

5,000.00

4

2,695.00

1

2,195.00

2

18,000.00

2

C This is for the office area and counter area. This is where to put the computer set to be used by the employees for any business transactions. This is used for keeping records in a file in order for the office to be organized and for the important documents to be safe.

Shelf Cas

ble This cash counter table will be placed in the cashier area.

Home Solutions Gensan

Home Solutions Gensan Home Solutions Gensan

Table 10 above shows the furniture and fixtures that the company bought and will be used in the business. It also shows the prices and amounts of each based on its quantity and all will be depreciated yearly using the straight-line method.

The supplier of the furniture’s and fixtures is the Home Solutions Depot which is located in the National Highway, General Santos City. 3.4 Office Supplies Supplies of Convertible Wall Beds are limited only to maintenance and counter supplies. Counter supplies are used to provide quality service to the customers. These supplies are readily available in KCC Mall of Gensan. Listed on the next page is the summary list of the supplies needed in the operation of the proposed business. Table 11 Office Supplies

3.5 Comprehensive Strength This part of the study explains how this convertible wall beds became more wonderful to buy than any other furniture. Furniture made from wood holds significant market share in furniture market across the globe. Growing popularity of indoor furniture made by

hardwood, pine, oak and etc. is further supporting the market growth of furniture market. Increasing application of hardwood for the manufacturing of high-quality luxury furniture products expected to drive

demand

of

wood

furniture

in

upcoming

years.

Key

manufacturers are focusing on development of wood furniture as they are more popular due to their natural look, durability, easy-touse, resilience, and maintain features.

3.6 Technical Process This part of the study introduces the materials needed to carry out the daily operation of the proposed business. The service flow or the process on how the products and services could reach the customers is also being dealt with. 3.6.1 Raw Materials Schedule for a Proposed Convertible Wall Beds These are the raw materials needed for the product to be produced of the proposed business:

Table 12 Cost of Raw Materials

3.6.2 Raw Materials Supplier Table 13 Raw Materials Supplier

Raw materials Woods Wood Glue Polyurethane varnish Nails



List of Suppliers: F.M.B Enterprises

Gensan:  Citi Hardware  Citi Hardware

3.6.3 Production area and Production equipment Safety and Condition Safety in the production area means using protective methods in the production area to avoid an accident.

This also means inspection of materials and equipment for the comfort of the workers and customers. 3.6.3.1 Equipment must be kept in good repair of such form and material that can be easily cleaned and sanitized. 3.6.3.2 Equipment used in the production of the convertible wall beds must be of good and tight condition. 3.6.3.3 Equipment must be corrosion-resistant and nontoxic, free from cracks, fractures and seams. 3.6.3.4 Upon entering the production area wear an accurate clothing and protection to avoid any accidents. 3.6.3.5 Keep a fire extinguisher in or near the kitchen and know how to use it. 3.6.3.6 After the production make sure that all the equipment are turned off and make sure the area is clean. 3.6.4 Utilities Electric Supply The electricity supply will be provided by South Cotabato Electric Cooperative (SOCOTECO II) which is

the number 1 electric provider here in General Santos City. Water Supply The water supply will be provided by the General Santos City Water District (GSCWD) which is the main source and provider of water her in General Santos City. Telephone and Internet Services The telephone and internet services would be provided

by

the

Philippine

Long

Distance

Telecommunications (PLDT), which is known to be Philippine’s biggest telecommunication company.

3.7 Waste Disposals Waste disposal involves activities that deals with the waste before and after it is produced, including its minimization, transfer, storage, separation, recovery, recycling, and final disposal. Convertible Wall Beds will provide wastebaskets splitting bio and non-biodegradable. Wastes will be properly segregated. Proper waste disposal must be observed to ensure proper sanitation and promote clean and healthy atmosphere

3.8 Policies

The policies by the management to ensure good internal control, efficiency and safety in the workplace are as follows: 1.

Employees are required to turn off all the machines and equipment after using.

2.

Follow the safety procedures on how to properly use the equipment to avoid accidents.

3.

Observe cleanliness in the working area.

4.

Employees must wear their prescribed uniform.

5.

Employees

are

mandatory

to

work

overtime

if

necessary. 6.

Customer shall be the first priority.

7.

Make sure the availability of the product.

8.

Maintain unique and great quality products.

3.9.1 Store Uniform These dress code rules always apply: 1. All employees must be clean and well-groomed. Grooming styles dictated by religion and ethnicity aren’t restricted.

2. All clothes must be work-appropriate. Clothes that are typical in workouts and outdoor activities aren’t allowed. 3. All clothes must project professionalism. Clothes that are too revealing or inappropriate aren’t allowed. 4. All clothes must be clean and in good shape. Discernible rips, tears or holes aren’t allowed. Employees must avoid clothes with stamps that are offensive or inappropriate....