Part 1

MANAGEMENT STUDY

Management study is one of the essential parts in making a business. It

describes the form of business organization that will best to the proposed project

feasibility. This part includes the people involved in making the business and also

describes the policies and agreements, the qualification and number of personnel

needed, the legal requirements needed, and the product that the business will

propose.

Objectives of the Study

1. To know the form of business and organizational structure that will best fit

the business.

2. To determine the personnel needed from top level to lower level of the

organization.

3. To know the policies and implemented by the company.

4. To determine the job requirements in the company.

5. To determine the requirements needed for the legalization of the business.

Company Logo
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VISION

After 5 years, Hexa will be the top producer of patty in the Philippines and

will be known internationally as top producer of healthy kind of patty.

MISSION

Hexa aims to have a health community by providing healthy products to

the consumers. Hexa also wants to produce healthy products without harming

the environment and the community that surrounds the company.

CORE VALUES

Our values guide our behavior, decisions, and choices that describe how

we operate as well as how we most aspire to operate. To work with our clients

effectively, we must develop strong relationships based in mutual trust and

respect. We are committed to our clients’ satisfaction; we focus on staying in

communication about what is working and what is not as well as challenging

each other’s thinking.

Name of the Business

HEXACOM is a company that produces patties that has no meat added. A

fern (Pako) leaf is the main ingredient of our product to promote healthy lifestyle.

This corporation has a story behind it. The two of the shareholders bought

hamburger in a stall. One of them is thinking how they can innovate a patty that

is healthy and what kind of herb can they use. While they are walking on their

way home, they saw a vendor selling fern leaves. It is the first time they saw a
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fern. They researched about the benefits and nutrition of it. That’s how they came

up with the idea of innovating the patty that is made from fern leaves. And that is

how Fernpat was invented. The company name “Hexa” comes from the six

shareholders who know each other for a long time, they decided to name their

company “Hexa” because six of them are the shareholders.

Forms of Business Ownership

Business ownership means having the control over a business enterprise

and being able to dictate its functioning and operations. The type of business

ownership depends on the owners of the company and how big the company will

be. Single Proprietorship, Partnership, Cooperative, and Corporation are the four

main types of a business ownership.

The HEXACOM is a partnership type of business. The partnership is a

business with multiple owners, each of whom has invented in the business. A

partnership is a kind of legal relationship formed by the agreement between two

or more individuals to carry on a business as co-owners. The six (6) individuals

agreed to cooperate to advance their mutual interest, which is to gain profit. The

compensation of partners will be based from the terms of a partnership

agreement. Individuals who work for the partnership business may receive

compensation for their labor incur before any division of profits between partners.

Proponents of the Business

The proponents are Matt Roali A.Caparas, Marlou C. Dador, Jed C. De

Torres, Ferdinand U. Garil Jr., Jerome P. Hernandez and Rommel A. Metran

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whose contribution is from their personal savings and part of the cash to

complete the capital for starting the company, borrowed from the shareholder’s

family members.

Table 1
Proponents of the Business
Name of the Citizenship Address Age
Proponents
414 Purok 6 Bigaa, City of Cabuyao,
Caparas, Matt Roali Filipino Laguna
20
Block 2 Lot 2 Mercado Compound, Platero,
Dador, Marlou Filipino City of Biñan, Laguna
19
Block 16 Lot 22 Mahogany Village, Pulo,
De Torres, Jed Filipino City of Cabuyao, Laguna
23
Block 30 Lot 16 Phase 1C San Lorenzo
Garil, Ferdinand Jr. Filipino South, City of Sta. Rosa, Laguna
20
#56 Sitio Puting Tulay St. Purok 3 Brgy.
Hernandez, Jerome Filipino Macabling, City of Sta. Rosa, Laguna
19
Block 28 Lot 24 Phase 5 Mabuhay Subd.
Metran, Rommel Filipino Brgy. Mamatid, Cabuyao, Laguna
19

Capitalization

The proponents’ starting capital is P900,000. The proponents arrived with

this amount considering the expenses in purchasing new machineries,
equipment and supplies. The capital is equally contributed by the proponents all
coming from their savings.

Table 2
Capitalization
List of Shareholders Capitalization Investment
Caparas, Matt Roali P150,000.00
Dador, Marlou C. P150,000.00
De Torres, Jed C. P150,000.00
Garil Jr., Ferdinand U. P150,000.00
Hernandez, Jerome P. P150,000.00
Metran, Rommel A. P150,000.00
TOTAL P900,000.00
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Organizational Structure

The organizational structure of the HEXACOM will determine how the

roles, powers, and responsibilities of the employees are assigned, controlled,

and coordinated. The company will use the simplest form of departmentalization

for the grouping of each employee in their respective departments. HEXACOM

composes of General Manager who will give specific directions for each

department, Marketing Manager who will be accounted for the development of

marketing strategies and action plans in order to achieve specific objectives and

handling the promotion aspect of the company to sell the product, Production

Manager who will handle the production area and guide the production workers

to ensure that the products that will be produce are having a good quality,

Finance Manager who will analyse budgets and determine strategies that will

help to improve the sales of the company, Consultant who will assigned to check

the quality of the materials that will be used, Delivery Staff who will be accounted

on delivering the products to the consumers, and Production Workers who will be

assigned on manufacturing and producing Fern Patties.

HEXACOM organizational will provide guidance to every employee by

laying out the official position that will govern the workflow of the company. This

helps to lessen the difficulties of having unclear functions and make the

employees focused on the final responsibilities. This will improves operational

efficiency for faster operation and will maintain clarity at all levels of the

company.
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Figure 1. The Organizational Structure of HEXACOM

Manpower Requirements

In the business world, it is important to have enough number of employees

in order to operate the company and to have an effective workforce who will be

responsible for the operation of the business. The main officers will be the

administrative of the company and the production workers will be the direct labor.

Manpower has a big part in running a business. Without adequate and

supportive manpower, a business cannot be successful. Staffs and workers are

important to accomplish the goals and objectives of a company. Each of the

employees has their specific tasks and obligations to perform in order to the

success of the company. Below are the descriptions and qualifications of each

employee that appropriate to their job.

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Job Description

General Manager

 Increases management’s effectiveness by selecting, orienting, training,

disciplining employees, planning, monitoring, and developing strategies.

 Develops strategic plan by studying technological and financial

opportunities.

 Sets policies and operation.

 Coordinate with local management in the company to evaluate

employees, company’s performance and efficiencies.

 Oversees all of the firm’s marketing and sales functions as wells as the

day-to-day operations of the business.

Marketing Manager

 Measures, evaluates, and analyze the marketing programs needed in the

company.

 Develops marketing strategy and written action plans in order to achieve

specific objectives.

 Leads the marketing team and prepares marketing budget.

 Coordinates internal and external marketing and promotional efforts

including merchandising, public relations, information, events, and demos.

Marketing Staff

 Supports the Marketing Manager.

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 Writing reports, organizing and hosting presentations.

 Assisting with promotional activities.

 Helping to organize market research.

 Work closely with employees in other functions, such as market research,

production, and sales.

Finance Manager

 Reviews financial reports

 Monitoring accounts

 Preparing activity reports and financial accounts

 Investigate ways to improve profitability

 Analyze markets for business opportunities

Production Manager

 Maintains work flow by monitoring steps of the process.

 Monitoring personnel and resources.

 Completes production plan by scheduling and assigning personnel,

accomplishing work results, and establishing priorities.

 Provides manufacturing information by compiling, initiating, sorting and

records data.

 Checks production output.

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Production Worker

 Responsible for operating and maintaining equipment in a factory and

warehouse.

 Prepare the items for distribution.

 Responsible for delivering the produced products to the wholesalers,

retailers, and consumers.

 Involves assembling and checking product parts.

 Carry out production, inspection, and securing the packaging.

Consultant

 Suggesting advises to the company to help improve the business

performance in terms of profitability, management, and strategy.

 Recommends product positioning.

 Contribute to the marketing and brand awareness efforts.

 Prepare marketing and advertising materials.

 Ensures that the raw materials are safe to use.

Delivery Staff

 Takes care of specific vehicle of the company

 Responsible for conveying materials, equipment, and staff of the

organization to the areas.

 Precisely finish all paper work connected with conveyance of merchandize

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Qualifications of the Employees

General Manager

 Degree holder in Business Administration Major in Management

 Having at least 4 years of experience in business

 Knows how to handle a firm

 Knowledgeable on negotiating and communicating with other companies

 Time management skills

 Leadership skills

 Problem solving abilities

 Decision-making under pressure

Marketing Manager

 Having at least 4 years of experience

 Degree holder in Business Administration Major in Marketing

 Good communication skills and advertising

 Has good computer skills

 Problem solving abilities

 Ability to work under pressure

 Good negotiation skills

Marketing Staff

 Having at least 3 years of experience

 Graduate of Business Administration Major in Marketing

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 Good communication skills and advertising

 Good negotiation skills

 Fluent in English

 Has good computer skills

Production Manager

 Having at least 2 years of experience

 Time management skills

 Good communication skills

 Graduate of any business course

Finance Manager

 Having at least 3 years of experience

 Time management skills

 Good communication skills

 Has good computer skills

 Problem solving abilities

 Fluent in English

 Can work under pressure

 Certified Public Accountant

Consultant

 At least 21 years old

 Having at least 3 years of experience

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 Degree holder in an appropriate subjects such as business; economics;

food science; nutrition; finance; and mathematics

Production Worker

 At least 18 years old and above

 High School Graduate or Vocational

 Hard working and responsible

 Ability to concentrate on repetitive tasks

 Ability to work quickly and methodically

Delivery Staff

 At least 24 years old

 Already had at least 2 years of working experience as a driver

 High School Graduate or Vocational

 Hard working and responsible

 20/20 vision

Job Requirements

Resume PAG-IBIG

Diploma Barangay clearance

Birth certificate Police clearance

SSS Medical examination

TIN Number/BIR Drug test

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All the requirements must be photocopied and should be placed inside a

long brown envelope and submitted at the given date by the company.

Recruitment is the process of hiring the best and qualified candidate for

the job. This process of recruitment includes the screening and selecting

qualified applicants. The company will have an orientation about the Do’s and

Don’ts in the company, the rules and regulations, the policies and given tasks

on the hired employees.

Compensation and Benefits

Compensation is the total amount of the monetary and non-monetary pay

provided by the company in return for the performed as required. HEXACOM will

be giving certain benefits and compensation based from the existing laws of

Labor Code of the Philippines. The salaries of the employees will vary depending

on the position in the company. The table below states the following salaries and

benefits of the employees in the company.

Table 3
Salaries and Wages
POSITION QTY. SSS PHIL DAILY MONTHLY ANNUAL
HEALTH WAGES SALARY SALARY
General Manager 1 1,760 536.25 750 19,500 P234,000
Marketing Manager 1 1,430 357.5 500 13,000 P156,000
Marketing Assistant 1 1,210 300.3 420 10,920 P131,040
Production Manager 1 1,430 357.5 500 13,000 P156,000
Finance Manager 1 1,430 357.5 500 13,000 P156,000
Production Staff 6 1,100 225 382 9,934 P119,184
(6,600) (1,350) (59,604) (P715,104)

Delivery Staff 1 1,045 225 362 9,412 P112,944

Consultant 1 1,100 225 382 9,934 P119,184

TOTAL P1,780,272
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Identification Cards and Uniforms

The employee of HEXACOM is required to wear this identification cards

and uniforms upon entering the store and office. The identification card contains

the picture of the employee with their details such as: their full names, position

inside the company, date of birth, contact number and residential address, and

will be given during the orientation of newly hired employees of the company.

The employees are obliged to provide their own uniform for the company will not

issue and it is not included in the company’s expenses.

Figure 2. Identification Cards and Uniforms

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Table 4
Uniform Expense
Items Qty. Annual cost
Polo Shirt 7 P875
Source: target mall
Pants 7 P2,450
Source: target mall
Patch 14 P1,050
Source: target mall
TOTAL P4,375

Holidays

The company will be having 6 holidays that gives the employees double

pay of their daily salary and 11 non – working holidays. The dates below of the

non – working holidays and the double pays are as follows:

Double pays:

 March 29 – Maundy Thursday

 March 30 – Good Friday

 April 1 – Easter Sunday

 August 21 – Ninoy Aquino Day

 August 27 – National Heroes Day

 December 24 – Christmas Eve

Non – working holidays:

 January 1 – New Year

 February 16 – Chinese New Year

 February 25 – People Power Anniversary

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 May 1 – Labor Day

 June 12 – Independence Day

 June 15 – Eid-al Adha

 November 1 – All Saints Day

 November 2 – All Souls Day

 December 25 – Christmas Day

 December 30 – Rizal Day

 December 31 – New Year’s Eve

Organization Policies

HEXACOM implies the following rules and guidelines and the followed

inside the workplace:

DO’s:

1. Every employee must cross the guard check point before entering the

office.

2. Every employee must wear their identification card for security guard

verification.

3. The security guard must thoroughly inspect and identify employees of the

company.

4. If the face of the employee is not similar to the identification card, the

security guard must call the senior officer of the employee for verification.

5. All employees must wear their proper uniform.

6. Employees must perform their specific task during allotted time.

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7. Employees must seek permission from their senior officer before going to

comfort room.

8. Every employee has a 1hour lunch break that will start at 12nn up to 1pm.

9. Time card will be signed by the senior officer of the company.

10. Before leaving the company, employees’ bag will be checked by the

security guard to assure that none of the employees steal company’s

properties.

DONT’s:

1. Skipping the guard’s checkpoint when entering the company.

2. Bringing alcohol drinks and cigarettes inside the company.

3. Wearing improper uniform in the company.

4. Eating even if it is not the proper time.

5. Bringing home some of the company’s properties.

6. Skipping the sanitation process before going to the production process.

7. Bringing the DTR outside of the company.

Violations Guidelines

1. No smoking within company perimeter. If caught:

 1st offense: warning

 2nd offense: 1 week suspension

 3rd offense: dismissal

2. No stealing company properties. If caught:

 1st offense: warning

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 2nd offense: salary deduction plus 3day suspension

 3rd offense: dismissal

3. Being late is equals to salary deduction

 1-5 minutes: no deduction

 6-10 minutes: warning

 7-15 minutes: salary deduction (10% of daily wages)

Dress Code Guidelines

1. All employees are required to wear their identification card all the time

during office and production hours.

2. All employees must wear their proper uniform during office hours.

3. No employee is allowed to wear inappropriate clothes such as T-shirts,

backless/ spaghetti strings/ low necklines clothes. They must wear the

specific uniform that was provided by the company (polo shirt and black

slacks), black shoes for production and office staffs.

4. Before entering in production site, staffs must sanitize their hands. Wear

proper equipment for infection control like face mask, hair net, gloves and

apron.

Legal requirements

In deciding to have a business, it has a lot of proceedings. One of those is

accomplishing the necessary business permits and licenses for business here in

the Philippines.
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Below are the following business permits and licenses that the HEXACOM

will process to make the business legalized and to perform such productions.

MUNICIPALITY PERMIT (MAYOR’S PERMIT)

It must be registered Santa Rosa City. The Mayor’s permit is secured from

the Mayor’s Office

 Four (4) copies of application form

 Registration copies of articles of corporation

 Fire department permit

SECURITY AND EXCHANGE COMMISSION (SEC)

Must be legally registered and approved by the SEC. Requirements

needed:

 Inform the SEC about the business name

 Filing of articles of corporation

 Statement of willingness to change the name of the business, if the name

of an existing business is familiar

 Deed of assignment of all property contribution

 Tax identification number of Filipino shareholders

 Securing the tax account number of the business

 Privilege tax payment

 Personal information sheet of the shareholders

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BUREAU OF INTERNAL REVENUES (BIR)

This is the obligatory requirements that must be complied with and paid

before the beginning of the business.

 Secure tax identification number (TIN)

 Secure privilege (TIN) receipt

 Residence certification of each shareholders

 Mayor’s permit

 Articles of Corporation

BARANGAY CLEARANCE/CERTIFICATE OF RESIDENCY

This certificate is used when applying for a business permit. It is known as

certificate of residency that the Philippine government issued document. This

document is required for this project feasibility. HEXACOM will fill up a form and

will pay certain amount for the certification, and then will file a recent community

tax certificate or cedula to the barangay where the company has decided to put

up the business.

FOODS AND DRUGS ADMINISTRATION (FDA)

The FDA ensures the safety, efficacy, or quality of health products which

includes in the mean of food, drugs, cosmetics or any consumers products that

may have an effect on health on which requires regulation. HEXACOM will

register to the FDA in compliance to the legality and legitimacy of product’s

effectiveness and the quality that will be delivered to the consumers.

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TAXES AND LICENSES FEE

These fees are needed to be paid by HEXACOM. These fees are needed

to provide by the company. These are also part of the budget planning of the

company as indicated in the project timetable. Below are the equivalent fees of

the requirements and this served as the expenses of the company:

Table 5
Pre – Operating Expenses
Taxes and Licenses Fee Sources
Registration with SEC P 6,700.00 https://www.sec.gov.ph
Barangay permit P 500.00 http://philpad.com/how-to-get-barangay-
business-permit-clearance-requirements-
procedures
Mayor’s permit P 1,500.00 http://www.fullsite.com/blog/business-permit-
renewal-fees/
Registration with FDA P 1,000.00 http://fda.gov.ph
Business permit P 835.00 http://invest.cfo.gov.ph
Sanitary permit P 90.00 http://www.fullsite.com/blog/business-permit-
renewal-fees/
Fire safety permit P 649.00 bfp.gov.ph
Registration with BIR P 500.00 http://bir.gov.ph
TOTAL P 11,774.00

Project Timetable of Activities

This tool is also known as Gantt chart and it is being used in project

management. This indicates the sequence of organization’s activities, the

coverage from the start to end. The HEXACOM projected their timetable from

June 2018 which the study is formulated until March of 2019. It only covers ten

(10) months of planning before introducing the business to the public. The activity

will be started at conceptualizing the ideas about the project, the selection and

communication with the suppliers of the materials, the accession and the
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installation of the equipments in the company, the product testing and lastly the

launching of the product to the market.

Table 6
Projected Timetable of Activities
Activities June July Aug Sept Oct Nov Dec Jan Feb Mar

1. Project Planning
2. Registration of the
Business
3. Contracting Equipment
and Machineries
Supplies
4. Acquisition and
Installation of
Equipment and
Furniture
5. Selection of Suppliers
for raw materials
6. Product testing
7. Product launch

8. Recruitment,
Orientation, and
Training of Employees
9. Grand Opening of the
Company