Universiti Teknologi Mara Perak

Cawangan Seri Iskandar

Faculty of architecture, Planning and Surveying

Department of Building

Assignment title: Business Plan ENT300

Lecturer’s name: Puan Sofia Molek Lope

Submission date:

Group members:

Name Matric number

Amir Wafiy bin Mohamad Shazali 2016567863
Muhammad Hanif bin Ali 2016368009
Muhammad Nur Irzuan bin M Sani 2016915377
Nur Ainie Izatie binti Nonazahar 2016343769
Sharifah Nur Atiqah binti Syed Muzzafar 2016900413
Shah
Najiha binti Azmi 2016336461

LETTER OF SUBMISSION

Diploma in Building
Faculty of Architecture, Planning and Surveying
Universiti Teknologi MARA Perak
 Seri Iskandar Campus
32610 Seri Iskandar
Perak

21 May 2018

Mrs Sofia Molek Lope

Lecturer of Fundamentals of Entrepreneurship (ENT300)
Faculty of Architecture, Planning and Surveying
Universiti Teknologi MARA Perak
32610 Seri Iskandar
Perak

Madam,

Submission of the Business Plan (ENT 300)

Attach is the business plan title FOOD MANUFACTURING by KAPPUKEKI to fulfil

the requirements as needed as university requirements.

Below is the list of the group members that is involved in completing this business plan:

Amir Wafiy Bin Mohamad Shazali 2016567863

Muhammad Hanif Bin Ali 2016368009
Muhammad Nur Irzuan Bin M Sani 2016915377
Nur Ainie Izatie Binti Nonazahar 2016343769
Sharifah Nur Atiqah Binti Syed Muzzafar Shah 2016900413
Najiha Binti Azmi 2016336461

Thank you,

you’re sincerely

…………………………………………………..
(Muhammad Nur Irzuan Bin M Sani)
General Manager
ACKNOWLEDGEMENT

First and foremost, we would like to praise our highest gratitude to The Almighty that
has bring easiness for our task to be completed in the meantime with flying colour. Without
His permission, not just we are unable to complete our task, the brilliant idea of ours will not
sparks with this behaviour. Alhamdulillah.

Before the list goes on, we would like to honour our lecturer, Mrs Sofia Molek Lope.
She has been so lovely yet strict as her method of teaching. As a matter of fact, we start this
semester trying our best to cope with ENT300 subject, best related to a white blank paper. It
was her that put colours of knowledge into our blank mind. The colour might be the
particularly same as other lecturers may have, but the way she paints us, is outstanding and
unique. She might go hard but there is breeze of wind to smoothen us. She will never leave
behind even one student behind. She will ask randomly to enhance our focus which is vital
for our future. She knows what best for us students as we are whining about keep being asked
out of our conscious. We have gone this far but her teaching is all we desire for. Thank you,
Mrs Sofia, for being the most wonderful lecturer and artist that created masterpiece that will
brighten the colour of the world as Jackson Pollock does.

Family is everything they said. You might have meet infamous people and settle
down with them but will never has the feeling of home. Family is the one that never turn their
back on you, instead they constantly got our back. For our family back in hometown, you all
have been amazing, and we would like to bring our thankfulness for all your endless support.
We would never made it if not because of the courageous you all have sent. Credits also
meant for all the peoples that has cooperated with full commitment. This includes which we
had interviewed, that has done our surveys and our tour guide during our visits. Not
forgotten, our classmates that being very supportive. They had their trust with full heart
contempt. We will never able to repay what they did as all we ever thought is God bless you
all.

Lastly, all of our respective group members. Every single one of you had been
amazing. There is no word to describe how this group cooperative ethics and teamwork value
has keep us going this far together. The boss, Muhammad Nur Irzuan Bin M Sani who has
been spectacular as our leader. Like a nucleus in a single cell, he drives all of us. Next is the
technical mister, Sharifah Nur Atiqah Binti Syed Muzzafar Shah, whom we admire his tool
hands. It’s like anything he touches seems electrified to function very well. Then here is our
marketing mister, Muhammad Hanif Bin Ali. Everything he said seems like hypnotic wheel
that will lure your mind to be interested in what he has to say. Not as much as he is the most
hype person in our group. Furthermore, the one that her behavioural in financing is
outstanding that is Nur Ainie Izatie binti Nonazahar and Najiha binti Azmi. Our
attainance grow in positive number if not because of their financial plans. Finally, the
mastermind of administration, Amir Wafiy bin Mohamad Shazali who has everything sorted
in order our groups work went smoothly. His efficiency and relevance has put our groups
together.
TABLE OF CONTENTS
CONTENTS PAGE

LETTER OF SUBMISSION

ACKNOWLEDGEMENT
TABLE OF CONTENTS
EXECUTIVE SUMMARY
1. INTRODUCTION
1.1 Name of business
1.2 Nature of business
1.3 Industry profile
1.4 Location of the business
1.5 Date of business commencement
1.6 Factors in selecting the proposed
1.7 Future prospects of the business
2. PURPOSE
2.1 To evaluate the project viability and growth potential
2.2 To apply for loans or financing facilities from the relevant
financial institutions
2.3 To act as a guideline for the management of the proposed
business
2.4 To allocate business resources effectively
3. BUSINESS BACKGROUND
3.1 Vision and Mission
3.2 Organizational chart
3.3 Logo and Motto
4. BACKGROUND OF PARTNERSHIPS
4.1 General manager
4.2 Administration manager
4.3 Marketing manager
4.4 Operation manager
4.5 Financial manager
5. LOCATION OF BUSINESS
5.1 Physical location of the project
5.2 Building
5.3 Basic amenities
6. MARKETING PLAN
6.1 Marketing objectives
6.2 Description of products
6.3 Target market
6.4 Market size
6.5 Market share
6.6 Sales forecast
6.7 Market strategy
6.8 Organization chart of marketing department
6.9 Manpower planning
6.10Schedule of task and responsibilities
6.11Schedule of remuneration
6.12Marketing budget
 7. OPERATIONAL PLAN
7.1 Component of operating systems
7.2 Process planning for manufacturing
7.3 Operations layout
7.4 Production planning
7.5 Material planning
7.6 Machine and equipment planning
7.7 Manpower planning
7.8 Overhead requirement
7.9 Total operations cost
7.10 Cost per unit
7.11 Productivity index
7.12 Location plan
7.13 Business and operation hours
7.14 Operations budget
8. ADMINISTRATION PLAN
8.1 Organizational chart
8.2 Manpower planning
8.3 Schedule of task and responsibilities
8.4 Schedule of remuneration
8.5 Office furniture, fitting and office supplies
8.6 Administration budget
9 FINANCIAL PLAN
9.1 Operating budget
9.2 Project implementation cost and sources of finance
9.3 Fixed asset depreciation schedule
9.4 Loan and hire purchase depreciation schedule
9.5 Proforma cashflow statement
9.6 Proforma income statement
9.7 Proforma balance sheet
9.8 Financial ratio analysis

APPENDICES
PARTNERSHIP AGREEMENT
EXECUTIVE SUMMARY

Kappukeki is a new company that operated in Seri Iskandar Perak, Malaysia. It is the
company that managed by a young entrepreneurs consist of five members. The name of our
company is come from word ‘cupcake’ in Japanese which is Kappukeki. We decided to name
it as Kappukeki because it is unique word from Japanese besides we believe it is easy to be
remember among customers when it have own disorder.
As for business, we are providing a special cupcakes with various taste of flavour. We
decided to make a cupcakes after we do a survey among peoples in Malaysia especially
students they don’t have enough time to breakfast in the early morning. So we take this
opportunity to create a breakfast food that can helps students to breakfast with cupcakes with
a minimal time taken.
The market size of our business is for all level of ages people. Our products is using a quality
ingredient.
1. INTRODUCTION

1.1 Name of business

The name of business is Kappukeki

1.2 Nature of the business

Partnership

1.3 Industry profile

Food services

1.4 Location of business

Seri Iskandar

1.5 Date of business commencement

22 October 2018

1.6 Factor in selecting the proposed business

a. Food industry especially cupcake have higher demand among
people without no doubt after we have do some research.
b. We have experiences in food industry (cupcake) that can give the
best taste to our customers
c. Cupcake markets has high value in Seri Iskandar

1.7 Future prospects of the business

a. Our cupcake have a higher popularity because of its taste
b. Our sales can be as much as possible
c. To expand our business in other states and country
2. PURPOSES

2.1 To evaluate the project viability and growth potential

 Ensure all departments meet the specific goals in accounted

time
 To make sure all department is sorted systematically
 Records keeping ensuring all the plans went as referred

2.2 To apply for loans or financing facilities from the relevant financial
institutions

 Loan from the bank with value

2.3 To act as a guideline for the management of the propose business

 All respective department has been set up its financial state.

All the demands in the future will be in the meeting according
progress between all partners

2.4 To allocate business resources effectively

 Financial department
3. BUSINESS BACKGROUND
4. BACKGROUND OF PARTNERSHIPS

General Manager

Name Muhammad Nur Irzuan bin M Sani

Identity card number 981103-10-6643
Permanent address 204 Blok A11 seksyen 4 Wangsa Maju
53300 Kuala Lumpur
Email nurirzuansani98@gmail.com
Contact number 013-4939108
Date of birth 3rd November 1998
Age 20
Marital status Single
Academic qualifications Diploma
Course attended Diploma in building
Skills Good in organizing
Experience Part time as a MCD Crew.
Present occupation Student
 Administrative Manager

Name Amir Wafiy bin Mohamad Shazali

Identity card number 980217-10-6401
Permanent address Lot 45 Jalan Sempadan 34200 Parit
Buntar, Perak
Email amirrwafiyy@gmail.com
Contact number 017-5448102
Date of birth 17th February 1998
Age 20
Marital status Single
Academic qualifications Diploma
Course attended Diploma in building
Skills Good in computer skills and soft skills.
Experience Working as a concession crew at GSC.
Present occupation Student
 Marketing Manager

Name Muhammad Hanif bin Ali

Identity card number 980702-01-6127
Permanent address NO.42 Jalan Anggerik 2,Taman Johor
Jaya, 81100 Johor Baru, Johor
Email muhammad.hanif818@yahoo.com
Contact number 011-32077270
Date of birth 2nd July 1998
Age 20
Marital status Single
Academic qualifications Diploma
Course attended Diploma in building
Skills Good in time management, fast
learner
Experience Work as a cashier at Tesco and
7eleven
Present occupation Student
 Operational Manager

Name Sharifah Nur Atiqah Binti Syed

Muzzafar Shah
Identity card number 980604-05-5456
Permanent address 190, Jalan Sri Pulai 11,Taman Sri Pulai,
Sikamat, 70400, Seremban, N9
Email naurahiman1@gmail.com
Contact number 016-4794837
Date of birth 4th June 1998
Age 20
Marital status Single
Academic qualifications Diploma
Course attended Diploma in building
Skills Manage to work under pressure and
able to work in a team as well as
independently.
Experience Part time as a canteen worker at
military and factory cafe
Present occupation Student
 Financial Manager

Name Nur Ainie Izatie binti Nonazahar

Identity card number 980610-03-6016
Permanent address Lot 806,Kampung Kubang Bunut,
17000 Pasir Mas, Kelantan
Email ainieizatie98@gmail.com
Contact number 019-5419624
Date of birth 10th June 1998
Age 20
Marital status Single
Academic qualifications Diploma
Course attended Diploma in building
Skills Good in communication skills
Experience Part time as cashier at Nissa Hijab
Present occupation Student
 Financial Manager

Name Najiha binti Azmi

Identity card number 980402-56-5036
Permanent address Batu 42, Jalan Manong, Simpang Tiga,
32800, Parit, Perak
Email najihax00@gmail.com
Contact number 011-21377092
Date of birth 2ND April 1998
Age 20
Marital status Single
Academic qualifications Diploma
Course attended Diploma in building
Skills Good in working in group
Experience Promoter
Present occupation Student

5. LOCATION OF BUSINESS

5.1 Physical location of the project

 The office is located at SIBC, Seri Iskandar. This location has been
chosen to set up the business at Lebuh SIBC 9, 32600 Seri
Iskandar, Perak because the location is strategic to facilitate
buying and selling transactions between clients and staffs in
charge.

5.2 Building

1. Type of building : A commercial shop

2. Structure of the building : A three level building
3. Size of the building: 1599 Sq. Ft.
4. The office is contributed by the general manager, Mr. Muhammad
Nur Irzuan bin M Sani.
5.3 Basic amenities
a. Utilities.
 Electricity and source of water are available as it can give
comfort to worker to do their work efficiently.
b. Toilet
 Toilet is another basic amenities that must be provided to create a
comfort working environment so that staff do not have to walk out the
office to find the facilities provided outside of the building. It may also
increase the productivity of working environment.
c. Air conditioner
 Another amenities that should be provided to create a comfortable zone
of working yet can increase the productivity of work.
6. MARKETING PLAN

6.1 Marketing Objectives

 The business that will be operating is based on pastry which is cupcakes.

 The major business of our company is basically by providing cupcakes.

 Delivery services to the customer for an event such as birthday party and any
festivals.

6.2 Descriptions

 Our cupcakes come with local fruits by using fresh ingredients direct from the

suppliers.

 There are dices slices of dragon fruit in our cupcakes with melted chocolate or cheese.
Our dragon fruits cupcakes come with fresh dragon fruits slices on top with whipping
cream.

 In our passion fruits cupcakes, we fill it the homemade passion fruit jam. Then we put
a bit of passion fruits at the top of cupcakes with whipping cream.

 We also make cupcakes with variety shape to attract the customer especially the
children to eat our cupcakes.

 The cupcakes are done by our specialist pastry chef and baked using the right ways to
keep the freshness of the ingredients and all the nutrients inside it.

6.3 Target Market

Target market is the market a company wants to sell their products and services to,
and it includes a targeted set of customers for whom it directs its marketing efforts. A target
market can be separated from the market as a whole by geography, buying power,
demographics and psychographics. Our target market is 30%, we target customers are those
who are most likely to buy from us.
6.3.1 Table of Population at Seri Iskandar, Perak.

Market Segment Population Target Market Target Market

(%)

Teenagers 7000 13 910

Families 2800 5 12

Adult 4200 12 504

Kappukeki target markets focus on:

 Demographic segmentation

Demographic segmentation is market segmentation according to age, race, religion,

gender, family size, ethnicity, income, and education. Demographics can be segmented into
several markets to help an organization target its consumers more accurately. We are
targeting the student represents by teenagers to buy our products because our shop is located
at strategic area surrounded by local university. We also are targeting the families and adults
because these groups of people tend to eat cupcakes regularly.

6.4 Market Size

6.4.1 Market Size Table

Market Segment Target Market Potential Purchase Total Potential Purchase

(RM) ( monthly) (RM)

Teenagers 910 7/ week (RM 7 x 4weeks) x 910

= 25,480

Families 140 14/ week (RM 14 x 4 weeks) x 140

= 7,840

Adult 504 7/ week (RM 7 x 4 weeks) x 504

= 14,112

TOTAL 47,432

Market size per year: RM 47,432x 12 months = RM 569,184

6.5 Market Share

Market share is the portion of a market controlled by a particular company or product.

6.5.1 Before entering the market.

Competitors Market Share Market Share / yearly

(%) (RM)

Secret Recipe 50 284,592

Living Bread 30 170,755.2

Bakery Seri Ikhwan Bakery 20 113,836.8

Total 100 569,184

6.5.2 After entering the market.

Competitors Market Share Market Share / yearly

(%) (RM)

Secret Recipe 48 273,208.32

Living Bread 28 159,371.52

Bakery Seri Ikhwan Bakery 18 102,453.12

Kappukeki 6 34,151.04

Total 100 569,184

6.6 Sales Forecast

Sales Forecast for three consecutive years

Month Sales Collection

January 17,075.52

February 28,459.2

March 39,842.88

April 22,767.36

May 28,459.2

June 45,534.72

July 62,610.24

August 39,842.88

September 51,226.56

October 45,534.72

November 93,915.36

December 93,915.36

Year 1 569,184

Year 2 (increase by 2%) 580,657.68

Year 3 (increase by 3%) 598,074.71

6.7 Marketing strategy

To ensure there is promotion, marketing strategy is one of the important parts of the
business. Marketing is a process of planning and executing the conception, pricing,
promoting and distribution of goods and services to exchange the individuals satisfy and
organizational objective. The role of marketing can be considered as one of the most critical
part of the business organization because it generates income to the business. The success of
each business is depending on the achievements of the company that offers product and
services needed by the consumers.

Marketing is always the strategy that is used by the company to increase the sales of
product or services in the market. The marketing strategy consists of four keys variable
personal. The four keys are product, pricing, place and promotion.

6.7.1 Product strategy

  For the product packaging, we choose to use a paper box for cupcakes
meanwhile we use bottle for cookies. We use a simple packaging yet classy
and easy for customer to recycle and use it for another purpose. The paper bag
is much easier to dispose and environmental friendly.

6.7.2 Pricing strategy

 For the price our product is affordable and based on cost- based pricing. We
also offer promotional price during any special event.

6.7.3 Place strategy

 We are selling our products direct to the customer through walk-in to our shop
and online shopping. The customers also can get our products from our
authorized retailers.

6.7.4 Promotion

1. Business card

For our business, we are providing a business card to distribute to the publics to expose our
business to everyone. On the business card is written our company contact number and
address in case if our customer want to visit our shop

2. Signboard

A larger signboard will be placed in front of our shop so that the people who are passing by
will be alert and noticed the existing of our shop. This signboard has designated with
attractive decorative and using bright colours to make sure our target our can be achieve.

3. Flyers

We also distribute to people flyers. We will go to a place that have so many visitors such as
shopping mall and anyone who passing by that place and give them our flyers. On the flyers
we are providing and list out our products and service that our company do in our business
6.8 Organization chart for marketing department

MARKETING MANAGER

SALES ASSISTANT

PROMOTER PROMOTER PROMOTER

6.9 List of Marketing Personnel

Position No of Personnel

Marketing Manager 1
Sales Assistant 1
Promoter 3
6.10 Task and Responsibilities of Marketing Personnel

Marketing Personnel Task and Responsibilities

Marketing Manager  Managing all marketing for the company and activities
within the marketing department.
 Developing the marketing strategy for the company in
line with company objectives.
 Coordinating marketing campaigns with sales activities.
Sales assistant  Assist manager.
 Brings good communication with manager and promoter
any related works due to any changes.
 Makes a report for manager data ease of access.
Promoter  Demonstrate and explain products and methods to
persuade customers.
 Identify interested and qualified customers which worth
to provide additional information.

6.11 Schedule of Remuneration plan of Marketing Personnel

Position Qty Monthly EPF (RM) SOCSO Total

(RM)
Salary (RM) (B) (A)+(B)+(C)
(A)
Marketing Manager 1 2000.00 220.00 46.10 5638.80

Sales Assistant 1 1000.00 110.00 23.60 1133.60

Promoter 3 1200.00 132.00 28.10 1360.10 x 3

= 4080.30
6.12 Marketing budget
Item Fixed assets Monthly Other
expenses Expenses
(RM) (RM)
Fixed asset
Signboard 3,500

Working capital
Salary/EPF/SOCSO
- Marketing Manager 56380.80
- Sales Assistant 1133.60
- Promoter 4080.30

Other expenses
Flyers 300
Business cards 75
TOTAL 3,500 61574.70 375
7. OPERATIONAL PLAN

In any business that will be operating in a short time or already being operated,
operation plan is important to ensure that the company will run smoothly and systematically.
A smooth and well organized operation can help the company to achieve their goal and sales
target.
The objectives of operational plan of our company is;
1. To ensure the business operation system runs smoothly in order to maintain the quality of
the products and services to the customer.
2. To maximize customers satisfaction and fulfil their expectation towards our ability to
provide high quality products and good services.
3. To ensure our business is making profit and to avoid any possible loss.
7.1 Component of Operating System
7.1.1 Business input
No. Type of input Input Quantity
1 Human source Operational manager 1
Chef 2
Cashier 1
Cleaner 1
Labours 9
2 Materials and machineries Bakery racks
Refrigerator
Digital scale
Gloves
Apron
Chef hat
Piping icing
Cutlery
Stove
Tray
Cupcake wrappers
Mixer
Oven
Commercial freezer

3 Raw material Sugar

Butter
Tartura cheese
Milk
Chocolate bar
Flour
Baking soda
Salt
Egg
Vanilla essence
Oil
Dragon fruit
Passion fruit

7.1.3 Transformation process for Cupcake

7.1.4 Output
 Our chocolate cupcake has Fererrorocher on the top to make it look fancy. Other than
that, our fancy cupcake also can make it as a gift.
7.1.5 Feedback
 Feedback from the customers can be collected from the feedback’s form. This will
help our bakery to improvise the product if there are some problems with it.
7.1.6 External government
 The business operations might affected by the customers, government regulations,
economy, competitors and public opinion

7.2 Process planning for manufacturing

7.2.1 Symbol of process chart

Symbol Types of activities Description

Operation Activities that modify,
transform or give value
 to the input.
Transportation Transport activities
occurs when materials
are transported from
one point to another.
Inspection Activities that
measured standard of
the in-process.
Delay Used when in-process
material is restrained in
a location waiting.
Storage Used when in-process
materials or finished
products are stored in
the storage area.

For topping
There are wide range of toppings to be chosen by the customers. They are bought right away
from suppliers except for the caramel sauce which is handmade. The toppings includes:
1. Whipping cream + dragon fruit
2. Whipping cream + passion fruit
For cupcake topping
7.2.3 Activity chart (serving customer)

Greet the customers. Shows the customer to vacant seats. Provide suitable seats
based on the number of people.

Waiter show the menu to the customers and give recommendations. Suggest the
most popular menu.

Collect the complete information from the customers about the product they
want to order. Rephrase the order to make sure no mistakes in preparing order
occur.

Employees prepare the order according to the customers’ requirements

If the customer wants to dine in, serve the cupcake on plate

If the customer wants to takeaway, the cupcake will be served in box.

Serve the cupcakes to the customer efficiently and neatly to make sure the
cupcakes received a good first impression from the customers.

After the customer finished their order, give them receipt after payment is made.
7.3 Operations layout
7.3.1 Layout based on the product
7.4 Production planning
7.4.1 Sales forecast per month

Average sales forecast per month = RM 47,432

Price / Units = RM 47,432/ RM 3.50
= 13,552 cupcakes

Working days: 26 days

No. of output / days: 13,552 / 26 days
= 522 cupcakes per day
7.5 Material planning
7.5.1 Raw material required per month (bill of material)
No. Material Quantity Safety Total Price/unit Total price
stock material (RM) (RM)
requirement

1 Sugar 360kg 36kg 396kg 2.95 1168.20

2 Butter 77kg 7kg 84kg 17.50 1470.00
3 Tartura cheese 8kg 1kg 9kg 4.90 44.10
4 Milk 180ml 18ml 198 7.34 1453.32
5 Baking powder 10kg 1kg 11kg 9.48 104.28
6 Flour 365kg 37kg 402kg 1.75 703.50
7 Chocolate bar 25kg 3kg 28kg 5.50 154.00
8 Salt 8kg 1kg 9kg 2.35 21.15
9 Egg 1840 biji 184 biji 2024 biji 0.20 404.80
10 Vanilla essence 115ml 12ml 127ml 5.80 736.60
11 Oil 250kg 25kg 275kg 2.65 728.75
12 Dragon fruit 100kg 10kg 110kg 4.00 440.00
13 Passion fruit 100kg 10kg 110kg 5.00 550.00
14 Whipping cream 50L 5L 55L 7.00 385.00
TOTAL 8363.70

7.5.2 Material supplier

Material Supplier
All raw materials except for passion or House of ingredients
dragon fruits No.19, Jalan Gangsa SD5/3F, Sri Damansara, Kuala
Lumpur Malaysia
Passion or dragon fruits Pemborong & Pembekal Buah-Buahan Tempatan
Kampung Ulu Chuchoh, 43950 Sungai Pelek, Selangor
Malaysia
7.6 Machine and equipment planning
7.6.1 List of machine and equipment required
 Bakery racks
 Refrigerator
 Digital scale
 Gloves
 Apron
 Chef hat
 Piping icing
 Cutlery
 Stove
 Tray
 Cupcake wrappers
 Mixer
 Oven
 Commercial freezer

7.6.2 The amount of machine and equipment required

Machine and equipment Amount of machine and equipment needed
Bakery racks 4
Refrigerator 2
Digital scale 4
Gloves 10
Apron 10
Chef hat 10
Piping icing 5
Tray 15
Metal spoons and cups 10 set
Cupcake wrappers 50 set
Mixer 4
Oven 3
Commercial freezer 2

7.6.3 List of machine supplier

Machine Supplier
Mixer Berjaya Steel Product Sdn.Bhd
Oven (Co. No. 301440-W)
Commercial freezer 191-5,5th Floor, Wisma Cke, Jalan Lancang
Off Jalan Cheras, 56100 Kuala Lumpur
Malaysia.
 7.6.4 Machine and equipment cost
Item Quantity Price per unit Total cost (RM)
Bakery racks 4 1,200.000 4,800.00
Refrigerator 2 1,200.00 2,400.00
Digital scale 4 20.00 80.00
Gloves 10 5.00 50.00
Apron 10 10.00 100.00
Chef hat 6 20.00 120.00
Piping icing 5 5.00 25.00
Metal spoons and 10 set 30.00 300.00
cups
Tray 15 10.00 150.00
Cupcake wrappers 50 set 17.86 893.00
(Set of 100)
Mixer 4 800.00 3,200.00
Oven 3 117.00 351.00
Commercial 2 390.35 780.70
freezer
TOTAL 13319.00

7.7.1 Organization chart for operation department

OPERATIONAL MANAGER

CLEANER
BAKERY CHEF WAITER CASHIER

7.7.2 Amount of direct labor required (calculate for every manpower)

Planned Rate of Production per day
X Standard production time
Machine productive time per day

8,278 X 0.5
 480
= 9 labors required
7.7.3 List of operational personnel
Position No. of personnel
Operational manager 1
Chef 2
Waiter 1
Cleaner 1
Labour 9

7.7.4 Schedule of task and responsibility

Position Task and responsibilities
Operational manager  Managing both raw materials and personnel
 Oversight of inventory, purchasing and supplies is
central to the job.
Chef  Supervising other kitchen workers in preparation of
dessert and teach other in pastry techniques.
 Making cupcake dough
Waiter  To serve the customers
Cleaner  To sweep the floors and cleaning the tables
Labour  Assigned to do specific task for only
particular section.
 Limited knowledge and handling

7.7.5 Schedule of remuneration

POSITION NO. MONTHLY EPF SOCSO TOTAL
SALARY CONTRIBUTIO CONTRIBUTIO
(RM) N N (RM)
(RM) (11%) (RM)
Operational 1 2,500.00 275.00 55.10 2830.10
 manager
Chef 2 1,800.00 198.00 39.40 2037.40 x
2
=4074.80
Waiter 1 1,500.00 165.00 32.60 1697.60
Cleaner 1 1,300.00 143.00 28.10 1471.10
Labour 9 1,300.00 143.00 28.10 1471.10 x
9
=13239.90
TOTAL 23,313.50

7.8 Overhead requirement

7.8.1 Operation overhead
No. Types of overhead Monthly cost (RM)
1 Utilities 500.00

7.9 Total operation cost

= Direct Material Cost (Total Raw Material) + Overhead Cost (Total Operations Overhead) +
Labor Cost
= RM 8363.7 + RM 500.00 + 23,313.50
= 32177.2

7.10 Cost per unit

= Total Operation Cost (RM) / Total number of output (Output per month)
=32177.2 / 1777
= 18.11

7.11 Production index (PI)

= Total value of Output (Sales forecast per month) / Total value of Input (Total Operational
Cost)
= RM 161723.33 / RM 32177.2
=5.05
7.12 Location plan
Location of factory
No 87, Persiaran Sibc 1, Bandar Seri Iskandar, Seri Iskandar, 32600, Perak.

The location of business for producing the cupcakes is located at, No 87, Persiaran Sibc 1,
Bandar Seri Iskandar, Seri Iskandar, 32600,Perak. As the building is three stores high we
choose to make the factory and the bakery in a same building. For the bakery shop it is on the
ground floor while for second and third floor is for the processing of cupcake. Due to that,
this will make our work become easier, as we don’t need any transportation to send those
cupcakes to our bakery shop.

Location as stated on google map:

7.13 Business and operation hours
Business hours refer to the time the business is open and close to the customers.
DAY TIME
MONDAY - FRIDAY 10 A.M – 7 P.M
SATURDAY 10 A.M – 10 P.M
SUNDAY CLOSED

Operation hours refers to the workers have to work and make preparation before starts
the work for business. For our workers:
DAY TIME
MONDAY-SUNDAY 9 A.M – 11 P.M
7.14 License, permits and regulations required
Items Types Remarks
Signboard License Approval from Majlis Daerah
Perak Tengah
Typhoid injection Regulation For every worker from Jabatan
Kesihatan Malaysia
KWSP Regulation Compulsory for all workers
Attended basic food Regulation Ministry of Health Act
management course
Halal Certification Regulation Jabatan Kemajuan Islam
Malaysia (JAKIM)
Business Registration Regulation Suruhanjaya Syarikat Malaysia
(SSM)

7.15 Operations budget

Item Fixed Assets Monthly Other Expenses Total
Expenses (RM) Expenses (RM) (RM)
(RM)
Machinery and 13319.00 13319.00
equipment
Remuneration 23,313.50 23,313.50
Raw materials 8363.70 8363.70
Utilities 500.00 500.00
TOTAL 45316.20
8. ADMINSTRATION PLAN

8.1 Organizational Chart for Administration and Finance Department

8.2 Administrative Man Power Planning

Home Number of Personnel

General Manager 1
Administrative Manager 1
Financial Manager 1

8.3 Schedule of Task and Responsibilities

 Position Task and Responsibilities
General manager  Oversee daily operations of the business unit or organization.
 Ensure the creation and implementation of a strategy designed
to grow the business.
 Coordinate the development of key performance goals for
functions and direct reports.
 Provide direct management of key functional managers and
executives in the business unit.
 Ensure the development of tactical programs to pursue targeted
goals and objectives.
 Ensure overall delivery and quality of the unit's offerings to
customers.
 Engage in key or targeted customer activities.
 Oversee key hiring and talent development programs.
 Evaluate and decide upon key investments in equipment,
Administrative manager  infrastructureadministrative
Maintains and talent. staff by recruiting, selecting,
orienting, and training employees.
 Accomplishes staff results by communicating job expectations
and disciplining employees.
 Provides historical reference by developing and utilizing filing
and retrieval systems.
 Maintains continuity among corporate, division, and local work
teams by documenting and communicating actions,
irregularities, and continuing needs.
 Maintains professional and technical knowledge by attending
educational workshops.
Financial manager  Provide financial reports and interpret financial information to
managerial staff while recommending further courses of action.
 Advise on investment activities and provide strategies that the
company should take
 Maintain the financial health of the organization.
 Manage the preparation of the company’s budget.
 Laisse with auditors to ensure appropriate monitoring of
company finances is maintained.

8.4 Schedule of Remuneration Administration Plan

Position No Monthly EPF Contribution SOCSO Amount

salary RM RM RM
General 1 5,000.00 550.00 88.80 5638.80
Manager
Administrative 1 3000.00 330.00 68.60 3398.60
Manager
Financial 1 1500.00 165.00 34.90 1699.90
Manager
8.5 Office equipment and budget
Table 8.5.1 List of furniture and fittings.

TYPE QUANTITY PRICE/UNI TOTAL

T (RM) COST
(RM)
AIR-CONDITIONER
3 1020.00 3060.00

OFFICE TABLE

3 RM 300.00 RM 900.00

OFFICE CHAIR

4 RM 80.00 RM 320.00
COMPUTER

4 RM 1500.00 RM
6000.00

TELEPHONE

4 RM 50.00 RM 200.00

FAX MACHINE WIH COPY, PRINT AND FAX

1 RM 500.00 RM 500.00
WHITEBOARD

1 RM 30.00 RM 30.00

NOTICE BOARD

1 RM 20.00 RM 20.00
FIRE EXTINGUISHER

2 RM 80.00 RM 160.00

DUSTBIN

4 RM 5.00 RM 20.00

CLOCK

1 RM 12.00 RM 12.00
RECEPTIONIST TABLE

1 RM400.00 RM 400.00

TOTAL RM11562.00

Table 8.5.2 List of office supplies

TYPE QUANTITY PRICE/ UNIT (RM) TOTAL (RM)
Rim of A4 paper 4 18.00 72.00
Pen 10 1.00 10.00
Pencil 10 0.50 5.00
Liquid paper 4 2.00 8.00
Eraser 4 0.50 2.00
Ruler 4 1.00 4.00
Stapler 4 2.00 8.00
Thumbtack 4 2.00 8.00
Scissors 4 2.50 10.00
Glue 4 2.00 8.00
Marker 3 3.00 9.00
Duster 1 5.00 5.00
Highlighter 4 2.00 8.00
Cartridge 3 25.00 75.00
TOTAL 232.00
8.6 Administration Budget
Table 8.6 Administration Budget
Item Fixed Assets Monthly expenses Other Expenses
(RM) (RM)
Fixed Asset
Furniture and Fittings 11562

Working Capital
Salary/EPF/SOCSO 10,737.30
Utilities 415

Other Expenses
Business registration 150
Stationaries 232

TOTAL 11,562 11,152.30 382

SUB TOTAL 23,096.30