7.

Operational Plan

7.1 Production Processes

7.1.1 Operational Processes

The Barquillos Best Operation Flow will start by planning. At

this stage the owner/s will be establishing the business’ product

costing and budgeting, advertising, marketing, formulation and

creation standard policies and procedures. Once organized,

purchasing essential cooking/baking tools and ingredients for

productions is done. Purchases are made with suppliers of good

quality and reasonable prices. Production process starts by following

the standard recipe and procedure and applying the quality standard

measure in making Barquillos. After being prepared and cooked, it is

required to package and label each product ready for storage and for

selling to various distribution channels.

7.1.2 Raw Materials

Below is the list of ingredients with the estimated cost per

pack sold, which are readily available at Bankerohan Market

(wet market). However, prices at the markets vary thus finding a

right supplier is an advantage.

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7.1.3 Quality Monitoring and Supply

The following stated below are the Quality Monitoring and

Supply control set to Barquillos Best.

Storage

 Prepare a master list of stocks produced carrying the

following information: Date manufactured and expiration.

 Apply inventory management. The company will follow FIFO

policy, thus releasing products to channels according to its

useable period.

 Always separate raw goods that are half used. Sealed tightly

and consumed as soon possible once used, to avoid

contamination and spoilage.

Production

 The company must establish a product standard recipe

and procedure to assure consistent quality. This

includes record keeping of the following but not limited

to, size, weight, color, and shape.

 Food safety and sanitation must be followed such as

clean working area, sanitized tools and equipment,

fresh ingredients and the person involve in its

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 preparation must wear proper gear to avoid food

contamination.

 Secure proper packaging and labelling of the finished

product and make sure to store the product securely to

keep the product protected and sealed

 Keeping away from hazardous and uncleaned areas or

storage to avoid contamination.

7.1.4 Waste Disposal System/Plan

As a small business having P 500.00 as losses for spoilage

and wastes is enough. To avoid this, proper handling and

storage must be planned.

 Proper handling, storage, and quality control must be

followed.

 Checking of inventory from time to time to check for

spoilage or wastes.

 If they are still consumable, scraps and substandard

products may be sold right away.

 The company will allow at least Php300.00 losses per

quarter.

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7.2 Facilities

7.2.1 Manufacturing Plant and Other Buildings

The company will be manufacturing its products within the

owner’s residence at Deca Homes Tigatto. Below is the shared

kitchen layout for production.

7.2.2 Machinery & Equipment

The below are equipment and machinery essential for

production.

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 All the equipment is readily available at the proprietor’s

residence. Thus, depreciated value or estimated cost are presented

above. The set of stove w/LPG is essential in production, where the

main product is cooked. One unit of refrigerator is essential where

ingredients and raw materials are kept and stored to maintain its

freshness. One unit of Roti Maker an automatic kitchen appliance

that makes the wafer rolls of the barquillos. The company also needs

one unit service vehicle (Multi-cab) for transportation in procuring raw

materials as well as the delivery of the products to various distribution

channels.

Below are the other kitchen tools needed for production.

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 7.2.3 Maintenance & Repairs Plan

The company sets no applicable cost for maintenance and

repairs since all of which are to be handled by the owner/s

during the 1st year of its operation.

7.3 Staffing Requirements

Owner/Manager

Quality Control Cook/Kitchen

Personnel Clerk
Staff

Delivery Crew Utility Worker

The company will be solely managed by the Proprietor. He will

be assisted by 2 personnel (cook and quality control in-charge) in

procuring ingredients and to produce the main product of the

business. The Clerk will handle all documentary requirement of the

business including receipts, disbursement, financial reports, and the

like. A Delivery Crew will the in-charge of the delivery of products to

various channels thus, he must have a professional diverse license.

Delivery crew will be assisted by the Utility Worker in the

performance of his delivery duties. Otherwise, the Utility Worker will

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take charge in the maintenance of orderliness & cleanliness of the

manufacturing area and the administrative office as well.

7.4 Operational Cost and Budgets

Presented below is the projected budget cost for Barquillos Best before

its formal operation in May 2022.

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8. Organizational Plan

8.1 - 8.2 Legal Structure of Business and Ownership

Barquillos Best is a sole proprietorship and solely owned by

Loida T. Pilapil. The initial capital is Php 400,000.00, Php

300,000.00 of which is a loan amount.

8.3 Organizational Structure & Key Personnel

Owner/Manager

Quality Control Cook/Kitchen

Personnel Clerk
Staff

Delivery Crew Utility Worker

The owner, Loida T. Pilapil is the manager of the business. She

will be hiring 5 working force which includes the Quality Control

Personnel who will take charge of checking product quality as to

taste, packaging, and expiration date. The Cook or Kitchen Staff will
Figure SEQ Figure \* ARABIC 27 : Organizational Chart with Labor Cost

be assigned to do all the preparation of the product. All transactions

which involve financial & monetary transactions will be handled by the

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Manager and assisted by the Clerk. The clerk will do all reportorial

requirements including but not limited to permits and taxation.

Delivery Crew will be handling all transaction that will involve freight

services such as purchase of raw materials and delivery of goods to

various channels. Utility Worker will assist the Delivery Crew when

the need arises, nonetheless, he is responsible in the maintenance of

the office and manufacturing area.

8.4 Pre-Operating Activities

The owner aims to start by January of 2022 and to fully carry

out in May 2022. To pursue with the project, targeted schedule of pre-

operating activities. Activities started from Planning until the start of

its operation.

8.5 Fixed Assets for Administrative Office

The clerk will be provided with one Laptop for administrative

tasks. This will be used as storage of all records and transaction that

will take place before the start of the operation of the business. Where

all inventories, notes and accounting records are kept.

8.6 Administrative Costs & Budget

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 Since the company is in the owner’s house, a shared agreement

is set for the administrative cost based on the monthly billed amount

for utility expenses of which the owner will set amount on a pro-rate

basis.

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