Colegio de San Juan de Letran – Calamba

School of Engineering
Industrial Engineering Department

2nd Semester AY 2018 – 2019

IE101L – ProductionSystems Laboratory

Chapter IV

Submitted by:
Group #5

Avestro, Joshua R.

Escrimadora, Felvin M.

Rencio, Chelcie S.

Valderama, Janlin Claire

Viloria, Michelle Q.

Submitted to:
Engr. Ma. Kathleen L. Duran, CIE, AAE, CLSSGB

Date:
April 10, 2019
Operational Plan

The TOKWANADA has its own daily operation which includes the preparation of the foods,
cleaning, customer service and purchasing raw materials. Customers want to eat at
establishments that demonstrate a commitment to keeping tables, floors and food contact
surfaces free from dirt and germs. It is located at the front of Colegio de San Juan de Letran –
Calamba. Our equipments are bowl, kitchen knife, table spoon, fork, frying pan, plates.

Production

Making perfect Tokwanada is a skill that takes much time and practice. Empanada exists
in different versions and we came up with Tokwanada.The ingredients of Tokwanada is coming
from public market and grocery stores. It is created at Bucal, Calamba City, Laguna where the
Tokwanada stall is located.

Master production schedule

Figure 1: Master Production Schedule

Project Management

ACTIVITY DESCRIPTION PROCESSOR QUANTITY DURATION

A Preparing the - Tofu – 35 pieces 10 minutes
ingredients Flour – 2484
grams
Salt – 27 grams
 Sugar – 210
grams
Baking powder –
27 grams
Butter – 53
grams
Water – 0.21
liters
Egg – 8 pieces
B Slice the tokwa in A Tofu – 35 pieces 20 minutes
a square shaped.

C Fill a pan with B Oil – 14 grams 1 minute

enough oil.

D Put the tokwa C Tofu – 35 pieces 2 minutes

into the pan.
E Fry in about 4-5 D Tofu – 35 pieces 18 minutes
minutes (10
pieces)

F To make a A Flour – 2484 10 minutes

dough, combine grams
the ingredients in Salt – 27 grams
a medium bowl. Sugar – 210
grams
Baking powder –
27 grams
G Add the butter F Butter – 53 2 minutes
cubes.
grams

H Using a fork, G Butter 5 minutes

break up the
butter into the
flour mixture until
it is fully
incorporated.
I Add water and H Water – 0.21 4 minutes
egg
liters
 Egg – 8 pieces
J Mix it until the I 7 minutes
soft dough is
formed.

K Gather the dough J Dough 15 minutes

form a ball and
flatten to a disc.

L Place the tofu in K Tofu – 35 pieces 20 minutes

the center of the
Dough
dough.

M Wet the edge of L Dough 15 minutes

one side of
Water – 0.21
dough with
water, then fold liter
over to form a
half moon shape.
N Fold and press M Dough 10 minutes
the dough on top
of each other.
O Fry in about 3 – 4 N Oil – 14 grams 30 minutes
minutes, then put
the tokwanada in
the plate.

Table 1: Project Management

Bill of Materials (per batch)

Item No. Raw Materials Prospective Volume Costs

Sources
1 Tofu Public Market 35 pieces Php 150.00
2 Egg Public Market & 8 pieces Php 56.00
Grocery Store
3 Flour Public Market & 2484 grams Php 200.00
Grocery Store
4 Water Public Market & 0.21 liter Php 10.00
Grocery Store
5 Salt Public Market & 250 grams Php 7.00
Grocery Store
 6 Sugar Public Market & 1 kg Php 55.00
Grocery Store
7 Butter Public Market & 53 grams Php 50.00
Grocery Store
8 Baking powder Public Market & 27 grams Php 15.00
Grocery Store

Table 2: Bill of Materials

Explain your methods of:

Production techniques & costs

- The employees will focus on problem-solving, efficiency of production and quality of

products. We will use the Batch Method to produce on a large scale that one batch of
workers works one part while another group works on another. The regular cost of our
tokwanada is Php 15.00.

Quality control

- The quality control is important because it makes sure our product will meet our customers
needs. We will pay attention to the needs of our customer to have a loyal custoomer.
Having quality control will help us to adapt in changing market conditions, increase
productivity and enhance their business reputation. It will reduce defects, costs and waste.
It will increase profitability, customer satisfaction and employee morale.

Customer service

- In this strategy it is important to have a loyal client and to make a solid customer
relationship. TOKWANADA guarantee to address the issues and desires for the client.
Additionally, the group gives online reviews and criticisms to gather data from the clients
that will assist the organization with taking prompt activities against any issue.

Inventory control

- For inventory control, the TOKWANADA's wiith proficiently deal with the accessibility of
stock for production, sales and services of a business to expand the volume of business
and profits.
 Product development

- Product development may involve modification of an existing product or its presentation,

or formulation of an entirely new product that satisfies a newly defined customer want or
market. For the Tokwanada, the employees will talk to current and/or potential customers
to gauge their interest in the product you propose to create. Ask them about the features
and benefits they find most beneficial, and the price they would be willing to pay.

Location

Tokwanda business partnership consider the best area for the business which can
support our product. Since we go through pop up stall, we will sell our Tokwanda inside
the Letran-Calamba for those students, faculty and staff who are eager to purchase and
taste our item. Since our pop-up stall is situated inside the Colegio it will be helpful to get
clients while they are out for lunch/snack or in the event that they simply need to eat. The
business will work from Monday through Saturday. Long periods of activity will depend
altogether on the area and final location of each store.

Physical requirements:

 Space

In terms of space, since the group will lease in Letran-Calamba main canteen for
the product, 50 square meter is adequate for the space of the group's stall business.

 Type of building

Stall are best situated in the primary canteen of Letran-Calamba with a high
amount of consumers particularly staff, student, and a few guardians who dependably
have a pastime by looking out for their adored kids

 Power and other utilities

Tokwanda will be using electricity and water as their power and utilities.
Access

The area of the Tokwanada business is advantageous to both transportation and

to providers, so it tends to be effectively open by the students and other customer going
to or from work/school. The students, employee and staff, and walk in are the main
prioprities. It is very important the area be advantageous to transportation or to providers
for it very well may be effectively open by everybody and would encourage each procedure
in the business development.

Cooking
Cook
Area
Receiving
Worker

SERVING AREA

Figure 2: Floor Plan Layout

The expenses monthly of Tokwanada

Expenses (Monthly) Cost Total Cost

Rent Php 2,000 Php 2,000
Maintenance Php 2,000 Php 2,000
Utilities Php 2,000 Php 2,000
Insurance Php 3,000 Php 3,000
Initial Remodeling Php 1,500 Php 1,500
Total Cost Php 10,000

Table 3: Expenses
Personnel
There are five (5) people involved in running this Tokwanada business. They are Mr.
Joshua Avestro, Mr. Felvin Escrimadora, Ms. Chelcie Rencio, Ms. Janlin Clare
Valderama, and Ms. Michelle Villoria. These five (5) people has a unique contribution
in this business. The cooperation of each member will help the business to be
successful and popular at the same time.

Joshua Avestro – Skilled worker

Felvin Escrimadora – Skilled worker
Chelcie Rencio – Skilled worker
Janlin Valderama – Skilled worker
Michelle Villoria – Skilled worker

Store Manager – Manager is responsible for overseeing all operations in a retail

store. Operations can include staffing, bookkeeping, security and ensuring overall
cleanliness. Managers are held accountable for the store's profitability, so they must
develop and implement cost-cutting measures to minimize expenses.

Purchasing Manager – Purchasing manager is responsible for buying raw materials and
finished goods in all businesses. They must compare prices and determine the quality of
products a company will use to build products or sell to customers. They need to determine
the quantity of materials to buy after studying sales forecasts, but others purchase
materials only when customers place orders for finished products.

Cook – Cooks are responsible for cooking the Tokwanada and in charge of
maintaining the standard of the food and the kitchen sanitation.

Quality Inspector – Quality Inspector is responsible for the quality, food safety and
classy taste of the product.

Receiving Worker – Receiving worker is responsible for the incoming stock and
materials, picking and filling orders from stock, packing, managing, organizing and
retrieving stock in the store.

Inventory Control Worker – Inventory Control Worker is responsible for monitoring and
maintaining current inventory levels; processing of purchased orders as required;
tracks orders and investigates problems. Records purchases, maintains database,
 performs physical count of inventory, and reconciles actual stock count to computer-
generated reports.

Pay structure

Job Description # of worker/s required Salary

Store Manager 1 Average P 8,000
Minimum P 10,000
Maximum P 12,000
Accountant / 1 Average P 8,000
Purchasing
Manager
Minimum P 10,000
Maximum P 12,000
Cook / Quality 1 Average P 8,000
Inspector
Minimum P 10,000
Maximum P 12,000
Cook / 1 Average P 8,000
Receiving
Worker
Minimum P 10,000
Maximum P 12,000
Inventory 1 Average P 8,000
Control Worker
Minimum P 10,000
Maximum P 12,000

Table 4: Pay Structure

Inventory

We will be making fresh Empanadas every day. We’ll have stocks of all the
ingredients except for tofu. We will get tofu from the local tofu factory every day to make
sure that it is new. It is important to make sure that the main ingredient (Tokwa/Tofu) of
our product is kept fresh. The dough ingredients (all-purpose flour, butter, sugar, salt, egg
and water) and oil can be stored in the fridge or at room temperature.

Average value in stock (i.e., what is your inventory investment)?

INGREDIENTS AMOUNT PRICE (in PHP)

TOFU 1 PACK 40
ALL PURPOSE FLOUR 2 KG 176
BUTTER 2 (225 G) 244
SUGAR 1 KG 55
SALT 250 G 7
EGG 12 72
OIL 950 ML 88
TOTAL 682

Table 5: Inventory Cost

Our initial inventory investment cost would be 682 pesos.

Rate of turnover and how this compares to industry averages?

Suppose we make one thousand five hundred pesos from the sales of our
inventory investment, then our rate of turnover is 2.1994.

SOLN:
1500
RATE OF TURNOVER =
682
RATE OF TURNOVER = 2.1994
Seasonal buildups?

Tokwanada can be sold all year round. It doesn’t have a certain time of the
year where the demand is higher. The inventory would vary from time to time but
not drastically.

Lead-time for ordering?

We would be getting new ingredients when we see that we are almost out
of inventory. We will make sure that we wouldn’t run out of ingredients at the same
time the ingredients stay fresh. We would be using the bin system

Suppliers

Our supplier is in the market of Calamba, Laguna. The ingredients were already
there and it has low price in making TokwaNada. Most of the consumers expect to pay
cash or use a credit card when making a purchase, commercial customers typically want
to be billed for any products and services they buy for delivery policies.

Having a backup supplier in place is one of the cruel steps and there are many
markets to buy if we run out of the ingredients. If we protect its delivery schedule and
ensure the continuous supply of the product and unexpected of increasing of demand. If
we expect shortages, we can ready always take over anytime. Managing the cost of raw
materials remains a top priority for the business. Here we look at factors driving price
fluctuations and ways to handle cost volatility to achieve a competitive advantage.