FAR EASTERN UNIVERSITY – MANILA

Institute of Accounts, Business, and Finance

Nicanor Reyes Street, Sampaloc, Manila

A Feasibility Study Presented to the Faculty of

Department of Accountancy

In Partial Fulfillment
of the Requirements for the Degree
Bachelor of Science in Accountancy

by

ABELLERA, GUILA
ABUEVA, ANGELYN
FONTANILLA, LUIS CHRISTIAN
LOPEZ, JOHN PAUL
MEDINA, REYNAN
TRINIDAD, VENIZA JOY
VEGA, JAMES BRYAN

May 2020

i
 ACKNOWLEDGEMENT

Deepest appreciation and gratitude for the help and support are extended

to the following persons whose assistance was a milestone in the completion of

this study:

To our adviser, Mr. Rodolfo Ledesma for providing us scholarly advice,

valuable comments, and constant supervision during this study. His dedication

and overwhelming attitude to facilitate helped us to a very great extent to

accomplish this task;

To Engr. Sonny Cardoza for lending us his precious time and expertise in

laying out the floor plan needed to be presented in this study;

To the Trinidad family for their hospitality shown and time spent during the

conduct of this study;

To our parents, friends, and colleagues for their unwavering effort to boost

our determination throughout this study; and

Finally, to the Almighty God, who gave us the wisdom, strength and

patience necessary to complete this study. All of these would not have been

feasible without His grace.

ii
 TABLE OF CONTENTS

Page
No.
TITLE PAGE………………………………………….………………………… i

ACKNOWLEDGEMENT……………………..……………………………….. ii

TABLE OF CONTENTS…………………………………………………..….. iii

LIST OF TABLES……………………………………………………………… vii

LIST OF FIGURES…………………………………………………………..… x

I. PROJECT SUMMARY

Background of the Study…………………………………………………... 2

Business Name……….………………………………………………......... 4

Business Logo………..………………………………………………......... 4

Brief Description of the Product…………………..……………………..... 5

Form of Business Organization…...………………………………………. 6

Business Location………………………………………………………...... 6

Objectives of the Study

o Marketing Aspect…………………………………………………… 7

o Management Aspect……………………………………………….. 7

o Technical Aspect……………………………………………………. 8

o Financial Aspect…………………………………………………….. 8

o Socio-economic Aspect……………………………………………. 9

Investment Cost……................…………………………………………… 11

Mode of Financing……................………………………………………… 11

iii
II. MANAGEMENT ASPECT

Form of Business Organization……………………………...................... 13

Legal Requirements and Steps for Business Registration…………….. 13

Project’s Timetable…………………………………………...................... 22

Organizational Chart………………………………………........................ 23

Manpower Requirements………………………………………................ 24

Salary Scale…………………………………………………….................. 29

Other Benefits………………………………………………….................. 30

Organizational Policies 21

o Recruitment Policies……………….…........................................ 33

o Employment Policies….……………………............................. 35

o Termination Policies……..………………………...................... 35

o Compensation and Benefits Policies……….…………………. 36

o Policy on Attendance……..………………………………………… 40

o Employees Conduct and Work Rules....………………………….. 43

o Dress Code and Hygiene………………………………………...... 45

o Safety, Cleanliness, Health and Sanitation………………………. 45

o Minor and Major Offenses…………………………………………. 46

Internal Control

o Physical Control…………………………..………………………… 48

o Financial Control………………………….………………………… 49

o Cash Disbursement and Inventory Control……………………… 50

iv
 o Payroll Controls…………………………...………………………… 53

III. TECHNICAL ASPECT

Step-by-step Process/Flowchart with Time Duration

o Purchase Process..………………………………………………… 56

o Pre-Production Process…..……………………………………….. 63

o Production Process…..……………………………………………. 39

o Selling Process…………………………………………………….. 65

Production Schedule……….……………………………………………. 67

Store and Office Schedule………………………………………………. 68

Time and Motion Study…………………………………………………. 69

Production Capacity………..……………………………………………. 72

Manpower Schedule……….………………………………………………. 73

Business Location……….…………………………………………………. 74

Floor Area Dimensions…….……………………………………………. 76

Floor Plan of the Business

o Floor Area Plan…………………………………………………… 77

o Production Area Lay-out and Specification……………………… 78

o Office Area Lay-out and Specification……….…………………… 80

o Store Area Lay-out and Specification………..…………………… 81

Property, Plant, and Equipment

o Production Machineries and Equipment…………………………. 83

o Production Furniture and Fixtures………………………………… 86

v
 o Office Machinery and Equipment…………………………………. 87

o Office Furniture and Fixtures……………………………………… 89

o Store Machinery and Equipment….………………………………. 91

o Store Furniture and Fixtures……….……………………………… 93

o Production Tools……….…………………………………………. 94

o Kitchen Supplies………………….………………………………… 97

o Office Supplies……………..……….……………………………… 99

o Store Tools…………………….………………………………… 102

Leasehold Improvements……….…………………………………………. 105

Product Cost

o Direct Materials Requirement……….…………………….……… 108

o Direct Labor Cost……….……….……………………….………… 110

o Schedule of Overhead and Expenses…………………………… 112

o Total Unit Cost…………………….………………………………… 119

Waste Disposal……………………………………………………………… 119

APPENDICES

Legal Requirements Forms……………………………………………….. 121

Demand Questionnaire…………………………………………………….. 131

Supply Questionnaire………….………..…………………....................... 136

REFERENCES…………………………………………………………………. 141

CURRICULUM VITAE………………………………………………………… 142

vi
 LIST OF TABLES

Table Page
Title
No. No.

1 Investment Cost…………………………………………………… 10

2 Estimated Costs of Registration………………………………… 21

3 Manpower Requirements………………………………………… 24

4 Salary Scale……………………………………………………….. 31

5 Employer’s Share…………………………………………………. 31

6 Employee’s Share………………………………………………… 32

7 Work Schedule……………………………………………………. 32

8 PhilHealth Premium Contribution……………………………….. 38

9 Home Development Mutual Fund Contribution/Pag-IBIG……. 38

10 SSS Contribution Table………………………………………….. 39

11 Deductions for Late Arrival at Work…………………………….. 40

12 Minor Offenses…………………………………………………….. 46

13 Major Offenses…………………………………………………….. 47

14 Shelf Life of Direct Materials of Taco……….…………………... 51

15 Shelf Life of Indirect Materials of Taco……….…………………. 52

16 Shelf Life of Direct Materials of Special Milk Tea……………… 52

17 Shelf Life of Indirect Materials of Special Milk Tea…………… 53

18 Production Schedule……………………………………………… 67

19 Store Schedule……………………………………………………. 68

20 Office Schedule…………………………………………………… 68

vii
21 Time and Motion Study…………………………………………… 69

22 Time & Motion Study – Preproduction Process of Milk Tea….. 71

23 Time & Motion Study – Production Process of Taco………….. 71

24 Time & Motion Study – Production Process of Milk Tea….….. 71

25 Production Capacity………………………………………………. 72

26 Manpower Schedule……………………………………………… 73

27 Production Machinery & Equipment……………………………. 83

28 Production Furniture & Fixtures…………………………………. 86

29 Office Machinery & Equipment…………………………..………. 87

30 Office Furniture & Fixtures…………………………………….…. 89

31 Store Machinery & Equipment………………………..…………. 91

32 Store Furniture & Fixtures……………………………………..…. 93

33 Production Tools……………………………..……………………. 94

34 Kitchen Supplies……………………………..……………………. 97

35 Office Supplies……………………………..……………………… 99

36 Store Supplies……………………………..………………………. 102

37 Leasehold Improvements……………………………..………….. 105

38 List of Direct Materials of Adobo Taco………………………….. 108

39 List of Direct Materials of Humba Taco…………………………. 108

40 List of Direct Materials of Hamonado Taco…………………….. 109

41 List of Direct Materials of Bistek Taco…………….…………….. 109

42 List of Direct Materials of Classic Taco…………………………. 109

43 List of Direct Materials of Special Milk Tea…………………….. 110

viii
44 Total Direct Labor Cost…………………………………………… 110

45 Payroll Register…………………………………………………… 111

46 Indirect Materials of Adobo Taco………………………………... 112

47 Indirect Materials of Humba Taco…………………..…………... 112

48 Indirect Materials of Hamonado Taco…………………………... 113

49 Indirect Materials of Bistek Taco…………………….…………... 113

50 Indirect Materials of Classic Taco……………………………..... 113

51 Indirect Materials of Special Milk Tea..………………………... 113

52 Indirect Labor Schedule………...………………………………... 114

53 Manufacturing Overhead Schedule.…………………………….. 114

54 Depreciation Schedule.……………………………….................. 114

55 Utility Schedule – Electricity.…………………………….......... 115

56 Utility Schedule – Water Bill….…………………………….......... 115

57 Utility Schedule – Telecommunications.………………….......... 115

58 Utility Schedule – Gas……..……………………………….......... 115

59 Leasehold Improvement Schedule……..……………………….. 116

60 Rent Schedule……..………………………………...................... 116

61 Variable Overhead per Unit Schedule……..…………………… 116

62 Selling Expense Portion of Payroll Schedule……..…………… 117

63 Employer’s Share Schedule for Sales-related Employees…… 117

64 Administrative Expense Portion of Payroll Schedule…………. 118

65 Employer’s Share Schedule for Admin-related Employees…... 118

66 Total Unit Cost Per Unit Schedule………………………………. 119

ix
 LIST OF FIGURES

Figure Page
Title
No. No.

1 Business Logo………………………………………………….… 4

2 Vicinity Map of Business Location………………………………. 6

3 Façade of Business Location……………………………….…… 6

4 Project’s Timetable (Gantt Chart) ………………………………. 22

5 Organizational Chart……………………………….……………... 23

6 Purchasing Process, 1 of 2……………………………….……… 56

6 Purchasing Process, 2 of 2……………………………….……… 57

7 Pre-Production Process (Taco), 1 of 2………………………….. 59

7 Pre-Production Process (Taco), 2 of 2………………………….. 60

8 Pre-Production Process (Special Milk Tea)……...…………….. 62

9 Production Process (Taco) ……………………………………… 63

10 Production Process (Special Milk Tea)…………………………. 64

11 Selling Process……………………………………………………. 65

12 Floor Area Plan……………………………………………………. 77

13 Production Area Layout………………………………………….. 78

14 Production Area Specifications………………………………….. 79

15 Office Area Layout………………………………………………… 80

16 Office Area Specifications………………………………………. 80

17 Store Area Layout…………………………………………………. 81

18 Store Area Specifications………………………………………… 82

x
PROJECT
SUMMARY

1
Background of the Study

The market Philippines’ food service industry is booming and is

considered the fastest growing industry in the global market. In fact, from 2016 to

2018, the overall sales in the sector rose at a Compound Growth Rate (CGR) of

4.8% and it is expected to reach 5.3% in 2021 (Mordor Intelligence, 2019). In

2016, the industry recorded Php 539.9 billion with 84,503 food outlets operating

in the country (Masigan, 2019). Masigan (2019) further added that in 2019, the

food service industry was seen to reach Php 616 billion with 3,126 more food

establishments operating in the country compared to 2016. In 2018, a big chunk

of the revenues from the sector came from full-service restaurants, which

accounted 30%. Other providers of food service are self-service restaurants,

quick-service restaurants, street stalls and kiosks, cafés and bars, and 100%

home delivery restaurants. With the increasing number of establishments offering

new ideas to customers, the competition is expected to tighten in the food service

industry and will boost its growing market in the country.

The industry is expected to experience a stable growth through the years.

First, with the 109 million population in the Philippines and the presence of

Filipinos in different parts of the globe, players continue to expand to other

markets offering different kinds of dishes especially Filipino foods. Second, the

demands and needs of consumers in the Philippine market are changing. Filipino

consumers are becoming more sophisticated in the food they eat (Euromonitor

International, 2019), looking for new restaurants that will give them variety of

foods and quality experience, and desire convenience. Lastly, the purchasing

2
power of consumers is influenced by factors such as the urbanization, changing

lifestyle and increasing salaries. Players in the food service industry are

constantly improving their products and developing new ones in able to adapt

and cater the needs of the consumers.

Recent developments have risen in the food service industry. The

booming market of the sector and the changing demands of the consumers

opened an opportunity for eat-all-you-can or buffet restaurants. The influx of

buffet restaurants in the country enabled the customers to eat a wide variety of

foods and drinks for a flat-rate price. Moreover, players in the industry have come

up with new and exciting ideas to attract the consumers: restaurants in a plane

and cafés where customers can play board games to mention a few. More than

the food, consumers nowadays desire more for utility and unique experience

when dining in a restaurant. Combining these factors, the proponents of this

study have come up with Taco Lab.

Taco Lab offers the customers a fusion of Mexican and Filipino cuisine.

The highlight of this proposed business is the experience the customers will get

in discovering the perfect chemistry of taco and a wide variety of scrumptious

combinations that will satisfy their tastes. Benchmarked with the business

scheme of Subway, customers may choose the type of taco and the meat,

vegetables, and other inclusions they want to have on it. The twist is that the

meat and/or fillings will be Filipino staple dishes.

3
 With the busy school and work environment suppressed by the heavy

traffic conditions and the increasing number of food establishments in the

country, the business aims to cater students and employees who seek for a new

and exciting experience, a place where they can eat foods that are of quality and

delighting to their palettes, and which will give them their money’s worth.

Business Name

The business name, Taco Lab, was inspired by the experimental and

exploratory nature of people at the present, especially those who belong in

Millennial and Generation Z demographic cohorts. Nowadays, where not only

products are patronized by the people but also the significant value of the

services they offer, Taco Lab emphasizes the utility it can provide to the

customers. Herein, the customers’ greatly diverse preferences are taken into

consideration by giving them the freedom to choose their desired combination of

ingredients for their tacos – just like creating mixtures in a laboratory.

Business Logo

Figure 1
Business Logo

4
 The business logo holistically depicts the product that the business offers

while the context of the flask particularly gives an intriguing yet instinctive insight

about the scheme of the business. The flask signifies the laboratory-like

experience Taco Lab wants its customers to delight in. Notably, the flask

contains something – a milk tea, which is chosen by the proponents of this study

to be the complement of the taco dish. Moreover, the logo accentuates the words

“Experimenting since 2021”, as Taco Lab embark on the concept of “Finding-the-

perfect-chemistry” of ingredients for one’s taco.

Brief Description of the Product

Taco Lab offers a fusion of Mexican and Filipino food. It highlights that the

typical Filipino viands do not only match with rice to which we are accustomed of,

but also to the zesty food of Mexicans – the taco. Customers are able to choose

from a variety of ingredients close to every Filipino’s sense of taste, to

complement their tacos with, such as adobo flakes, humba, bistek and

hamonado. The product brings the taste of Mexican dishes to our Filipino viands

while at the same time upgrades our staple dishes.

In today’s fast-paced nature of life and seemingly monotonous school

environment, students yearn for something new and seek for a place where they

can take the things slow. Taco Lab provides superior service to customers by

featuring a laboratory-like experience while providing quality meals, and Taco

Lab offers it unlimitedly.

5
Form of Business Organization

Taco Lab is a food business venture that is organized as a partnership

consisting of general partners and a managing partner. After complying with legal

requirements and submitting the necessary documents, Taco Lab will be duly

registered with the Securities and Exchange Commission.

Business Location

BUSINESS
LOCATION

Figure 2
Vicinity Map of Business Location

Figure 3
Facade of Business Location
6
 Taco Lab is a restaurant with a floor area of 58 square meters, which will

be situated at Legarda Corner, Rafael Street, Quiapo, Manila. Having nearby

universities and other establishments (such as Centro Escolar University, San

Beda University, La Consolacion College, San Sebastian Recoletos - Manila,

etc.) made the business location accessible enough by its target market.

Objectives of the Study

This study seeks to assess the feasibility of establishing a business which

serves a fusion of Mexican and Filipino food, highlighted with the restaurant’s

laboratory-like experience. Specifically, this study aims to achieve the following

objectives:

A. Marketing Aspect

1. To identify the target market for successful market penetration

2. To determine the current and future demand for the product

3. To identify the appropriate business location that fits the organization’s

style of operation

4. To determine the right price for the product

5. To identify competitors – direct and indirect – of the proposed business

6. To recognize the strengths, weaknesses, opportunities, and threats to the

proposed business

B. Management Aspect

1. To determine what form of business organization is best suitable with the

business proposal

7
 2. To identify the legal requirements and business permits needed in order to

operate in accordance with the law

3. To develop a clear and detailed projected timeline as to the

commencement of the operation

4. To develop a systematic organizational chart, identify the necessary

manpower and the responsibilities of each job position

5. To develop an appropriate schedule of business operations and employee

work hours

6. To arrive with basic and standard company policies that will serve as a

guide to maximize business operations and customer’s satisfaction

C. Technical / Production Aspect

1. To determine the main and alternative processes needed for business

operations

2. To design schedules for production, store and office operations

3. To determine the raw materials, machineries, equipment and supplies

needed to operate the business

4. To identify the utilities required to maintain the operations of the business

5. To develop a layout for premises that will maximize the business space

6. To determine the cost of operation

7. To identify the technical components to be used in producing the

proposed product

D. Financial Aspect

1. To determine the possible sources of financing

8
 2. To estimate the minimum initial capital requirements in establishing the

proposed business

3. To establish chart of accounts that will be used in accounting the business

4. To determine the applicable policies and estimates in developing the

financial statements

5. To develop or find appropriate assumptions in making reasonable

projections

6. To develop projected financial statements for period of five years following

the year of establishment

E. Socio-Economic Aspect

1. To identify the taxes, laws, and regulations that could influence the

business

2. To determine the industry where the proposed business belongs to

3. To determine the effect/s of the proposed business as to employment

4. To identify the best possible price of the product that the target market can

afford

5. To identify health concerns that may arise with the proposed business,

and seek measures to address them

9
Investment Cost

Table 1
Initial Investment Costs

Particulars Amount Total

Supplies/ Utensils/ Tools 38,969

Organization Fees 18,339

Inventory 600,000

Utilities Expense 170,000

Advertising & Marketing 66,115

Employee Training 25,000

Salaries & Benefits 150,175

Professional Fees 30,000

Rent Expense 80,000

Insurance Expense 3,000

Input VAT 126,600 1,308,197.79

Capital Expenditures

Rent Deposit 80,000

Machinery & Equipment 270,470

Furniture & Fixtures 85,597

Renovation Costs 758,922 1,194,989

TOTAL COSTS 2,503,186.79

10
Mode of Financing

General partners shall pool funds forming the capital of the partnership, to

have sufficient resources for the start-up of the business. Each partner shall

contribute at least ₱430,000 to obtain a total of ₱3,010,000 which shall be

enough to sustain not only the initial investment costs of the business during the

first year of operations but also the potential start-up losses of the business.

11
MANAGEMENT
ASPECT

12
Form of Business Organization

Taco Lab is a business organization that will be formed and registered in

the Securities and Exchange Commission as a general partnership. There will be

seven owners or partners who will be contributing service (industrial partners) or

money (capitalist partners), or both, who are all liable to the extent of their

personal properties after exhausting the properties of the partnership.

The business is going to be formed and operated as a partnership due to

the following benefits:

 There will be sufficient and enough funds coming from the seven partners

forming the organization;

 More lenient regulations and is easier to form;

 A better decision-making will be acquired from the partners who possess

different knowledge, skills and experiences;

 Operations of business will be easier to manage because of the number of

owners/partners; and

 Easier access to profits.

Legal Requirements and Steps to Register the Business

Taco Lab shall take the necessary steps and submit the following legal

requirements for the registration of the business:

1. Securities and Exchange Commission (SEC) Registration

13
Requirements:

 Cover Sheet

 Reservation Payment Confirmation

 Articles of Partnership (AP)

 Joint Affidavit of Undertaking to Change Name

Procedures and Required Fees:

a. Verify or reserve the business’ proposed name. Pay Php 100.00 per

reservation for 30 days.

b. Present Articles of Incorporation and By-Laws at Green Lane Unit

Ground Floor, Secretariat Bldg., PICC Complex, Roxas Boulevard

Pasay City. Pay filing fee of 1/5 of 1% of the Partnership`s capital but

not less than Php 2,000.00 plus 1% of the amount as legal research

fee.

c. Pay filing fee at the cashier located at the Ground Floor, Secretariat

Bldg., PICC Complex, Roxas Boulevard Pasay City and file application

with the Receiving Unit, CRMD located at the Ground Floor,

Secretariat Bldg., PICC Complex, Roxas Boulevard Pasay City.

d. Present Official Receipt to Releasing Unit, Ground Floor, Secretariat

Bldg., PICC Complex, Roxas Boulevard Pasay City to get the

Certificate of Recording of the Articles of Partnership.

2. Community Tax Certificate (Cedula)

Requirements:

 Valid ID

14
  Payment of Community Tax Fees

Required Fees:

 Basic Community Tax = Php 5.00

 Additional = Php 1.00 for every gross receipt derived from the business

but the additional shall not exceed Php 5,000.00.

Procedures:

a. Proceed to city hall or barangay. Ask for the designated office for the

Community Tax Certificate (CTC).

b. Present a Valid ID then fill out and submit the application form.

c. Pay the required amount and wait for issuance of Community Tax

Certificate (CTC).

d. Sign and affix thumb print on the space provided in the Community Tax

Certificate (CTC).

3. Barangay Clearance

Requirements:

 Application form

 Application fee

 Recent Community Tax Certificate or Cedula

Procedures:

a. Go to Barangay Hall. Inform the officer regarding the application for a

Barangay Clearance.

b. State the reason a Barangay Clearance is needed (ID requirement,

employment, Postal ID, etc.).

15
 c. Present the Cedula, which can be obtained from the Barangay.

d. Pay the application and processing fees and wait for the release of the

Barangay Clearance.

4. Social Security System Registration

Requirements:

 SSS R-1 (Employer Registration)

 SSS R-1A (Employment Report)

 Photocopy of Articles of Partnership (to be presented with the original

copy for authentication purposes)

5. Mayor’s Permit

Requirements:

 Barangay Clearance

 Certificate of SEC Registration / Articles of Partnership

 Contract of Lease / Tax Declaration

 SSS Clearance

 Community Tax Certificate (Cedula)

 Sketch of the Location of the Business

Procedures:

a. Fill out and submit application form to Business Permit and Licensing

Office (BPLO) in the city.

b. Submit building and occupancy permit to the City Engineering Office

for the assessment of the building fee.

16
 c. Secure a Certificate of Electrical Inspection to the Electrical

Department and pay an inspection fee to the city treasurer.

d. Secure a Health and Sanitary Permit from the Health and Sanitary

Office.

e. Pay and secure a Zoning Clearance from the Office of the Municipal

Planning and Development Coordinator.

f. Secure a Fire Permit from the Bureau of Fire Protection. Fire

extinguisher and zoning clearance are required and the BFP will

inspect the establishment.

g. Go back to BPLO to show that you already secured the

abovementioned permits and clearances and pay for necessary fees

such as Mayor’s Permit Fee, Sanitary Fee, Service Fee, Local Fire

Inspection Fee, and Business Plate.

h. Wait for the business plate to be released within 1-3 days.

6. PhilHealth Registration

Employers may conduct registration through the Philippine Business

Registry (PBR). Once registered, submission of documents is no longer

required. However, if the employer fails to register through the PBR, the

following shall be submitted:

 Duly accomplished Employer Data Record (ER-2)

 For Partnerships: SEC registration

17
 For employee registration, the following shall be submitted to any

PhilHealth Office:

 Employer Data Record (ER1) Form (in duplicate)

 PhilHealth Membership Registration Form (PMRF) for each

employee (in duplicate)

7. Home Development Mutual Fund (Pag-IBIG Fund)

Requirements:

 Submission of copies of the SEC Registration or Articles of Partnership

 By-Laws

 Original documents which will undergo authentication purposes

 Duly accomplished Employer’s Data Form (EDF, HQP-PFF-002) (if

applicable)

 Specimen Signature Form (SSF, HQP-PFF-003)

Procedures:

a. Employers can register with the Fund through Philippine Business

Registry (PBR) or Integrated Business Registration (IBR) Facility.

b. Submission of duly accomplished EDF and required supporting

documents to Members Services Office (MSO) or Members Services

Branch (MSB) servicing counter.

8. Food and Drug Authority (FDA) Registration

Requirements:

 Accomplished Application Form with Declaration and Undertaking

 Proof of Business Name Registration

18
  Site Master File (for manufacturers of drugs, devices and cosmetics)

 Risk Management Plan

 Payment of the appropriate filing fee

9. Barangay Micro Business Enterprise (BMBE) Registration

BMBE is any business entity or enterprise engaged in the production,

processing, or manufacturing of products or commodities, including agro-

processing, trading, and services with assets, not including land, no more

than P3 million, as stated in Republic Act No. 9178. BMBEs may register at

the Office of the Treasurer of the city or municipality where the business is

located.

Basic requirements for new applicants:

 Three copies of duly accomplished BMBE Form 01, signed by the

owner or manager of the entity applying for registration.

 Three (3) passport size ID pictures

Additional requirements for new applicants:

 Registration as a business entity as explained above

 Taxpayer Identification Number (TIN)

 Certificate of Registration from the Bureau of Internal Revenue (BIR)

 Mayor’s Permit or City/Municipal Business Permit

 Sworn affidavit executed by the managing partner that the enterprise is

barangay-based and micro-business in nature and scope

 Sworn Statement of Assets and Liabilities supported by pertinent

documents

19
  Pictures of the place of business and its assets, other than cash,

receivables and intangibles

 Copy of Loan Contract/s, if any, and duly-notarized Certification of

Amortization Payments on the Loan

 Income Tax Return (ITR).

10. BIR Registration

Requirements:

 BIR Form 1903

 Certificate of Registration accredited by SEC

 Mayor’s Permit- to be submitted prior to the issuance of the BIR

Certificate of Registration

 Articles of Partnership

Procedures:

a. Accomplished BIR Form 1903 with the required attachments to the

Revenue District Office having jurisdiction over the registered address

of the business establishment.

b. Payment of an Annual Registration Fee at the Authorized Agent Banks

of the RDO.

c. After the payment has been made, for the Certificate Fee and another

for the Documentary Stamp Tax, the RDO will issue the Certificate of

Registration (Form 2303), to complete the requirements.

20
 11. BIR Income Tax Exemption

Requirements:

 Photocopy of BMBE’s Certificate of Authority

 Sworn Statement of Assets with supporting documents

 Lists of branches, warehouse, factories, etc.

 List of Affiliates

 Latest Audited Financial Statements, if applicable

Procedures:

a. Register the BMBE to the Revenue District Office (RDO) located at 2/f

BIR Regional Office Building 2 Benlife Building, Solano cor. Beaterio

Sts., Intramuros, Manila.

b. Submit the necessary documents for registration.

Estimated Costs of Registration

Based on the foregoing requirements, Taco Lab shall pay the following

costs for registering the business:

Table 2
Estimated Costs of Registration

Regulatory Agency Registration Fees

Securities and Exchange Commission ₱4,400
Community Tax Certificate ₱1,300
Barangay Permit ₱500
Mayor’s Permit ₱7,639
Food and Drug Authority ₱4,000
Bureau of Internal Revenue ₱500
TOTAL ₱18,339

21
 Figure 4
Project’s Timetable (Gantt Chart)

PROJECT'S TIMETABLE (GANTT CHART)

2020 2021

August September October November December January

Activities 1st 2nd 3rd 4th 1st 2nd 3rd 4th 1st 2nd 3rd 4th 1st 2nd 3rd 4th 1st 2nd 3rd 4th 1st 2nd
Commencement / Start of Business
Launch Marketing Campaign and Soft Opening
Purchase Raw Material
Recruitment and Training Employees
Look for Supplies
Purchase PPE
Find a Contractor for Construction
Obtain Neccesary Legal Requirements
Obtain a Lease
Conduct Market Survey
Find / Decide Business Location
Look for Financing Resources
Assessment of Start-up Cost
Conceptualization of Project

22
Organizational Chart

Figure 5
Organizational Chart

The organizational chart of Taco Lab depicts a conventional top-down

organization structure. This type of structure emphasizes the vision and imperatives of

upper management. The senior management which is represented by the General

Store Manager has the highest authority within the business. The General Manager has

an Assistant Manager who acts under his supervision as regards to other business

functions. The frontline under the direct supervision of general manager are the

employees and staff who transform the top management orders into actions.

Furthermore, in between the top management and the personnel directly engaged in

providing services are the accountant and treasurer who provide overall support to the

business.

23
Manpower Requirements

General qualifications for employees:

 Must reach the age of majority (18 years old)

 Must possess good character

 Can work under pressure

 Must not have a criminal record or not have been previously convicted of crimes

involving civil interdiction

Employees of Taco Lab shall also qualify in the following requirements specific to

their job titles:

Table 3
Manpower Requirements

Job Title Qualifications Job Description and Functions

 Must belong to the pool  Responsible for:

of partners  overseeing day-to-day business
 Majority of the partners  planning day-to -day and future
must agree to his/her operations
designation  directing and motivating employees
 Must be a graduate of  controlling and making business
Managing
any business course decisions
Partner
 Must have a an  authorizing disbursements
experience in managing  handling customer complaints
business preferably in  safekeeping the necessary keys
food industry and access to the store and cash

 Must be working full time deposit

for the company  releasing the salaries of the

24
  Must have a good employees
communication and  communicating with other partners
leadership skills the condition of the business
 Must have an experience  Ensures the business compliance
in analysing financial data for legal and health requirements
 Experience in staff  Accountable for the resources
management and entrusted to the partnership
development  Lead in partnership meetings
 Implements the rules and
regulations within the organization
 Majority of the partners  Responsible for:
must agree to his/her  assisting the general manager in
designation overseeing day-to-day business
 Must be a graduate of  performing the General Manager’s
any business course responsibilities in the absence of
 Must have a fundamental General Manager
knowledge and/or  approving payroll and accountable
experience in managing for the overall Human Resource
business Management
Assistant
 Must have a good  marketing and promoting the
Managing
communication and business
Partner
leadership skills  processing purchase requisitions

 Must have a working and preparing purchase orders for

experience in purchasing supplies and equipment
and maintaining good  receiving inventory and supplier’s

relationship with suppliers invoice and issuing receiving report

 Must have fundamental  reviewing of purchase order and

knowledge and/or inspecting received inventory

experience in Human  notifying supplier about defective

Resource Management inventories and receiving credit

25
 memo
 Assist the manager in planning
operations, directing employees,
controlling the business, and
decision making.
 Secondarily responsible for keeping
the keys and access to the stores
 Must belong to the pool  Responsible for:
of partners and majority  handling the cash of the
of the partners voted for partnership
him/her to be such  providing cash for disbursements
 Must be a graduate of and preparation of checks
Bachelor of Science in  paying the supplier
Accountancy or any  financial planning and budgeting
accounting related course  raising funds and resources for the

Treasurer  Being a Certified Public partnership

Accountant is preferred  Accountable for the access and
 Must be trustworthy authority to access the cash box
 Must be keen to details  Ensures financial controls are
 Must have a good written employed by the partnership
and oral communication  Reviews petty cash receipts and
skills ensures that cash deposits are
 Must be technologically accurate
oriented

 Must be a graduate of  Responsible for:

Bachelor of Science in  verifying the accuracy of financial
Accountancy statements prepared by
Accountant
 Must be a Certified management
Public Accountant  reconciling payments, records, and
 Must be keen to details receipts

26
  Must have a good written  filing necessary requirements for
and oral communication BIR and SEC
skills  giving recommendation about the
 Must be technologically financial and non-financial
oriented implications of financial statements
 Willing to work part time  reporting financial status and
performance for manager
 periodic inspection of tangible
assets
 documenting cash disbursements
 Audits payroll
 Must have a degree in  Responsible for bookkeeping
any accounting or services
business courses  Assists in the reconciliation of
 Must have a knowledge accounts and preparation of
about bookkeeping financial statements
services and generally  Monitors the level of store and office
accepted accounting supplies
principles  Monitors (three-way) purchase
 Familiar in using order, receiving report and
Bookkeeper accounting software supplier’s invoice
 Must be keen to details  Records purchase transaction
 Proficient in using  Issues voucher payable
Microsoft programs  Administers the payroll records
 Ensures that salary breakdown of
the employees is accurate based on
the time records
 Accounts for valid documents
substantiating the deductions for
employees’ salary

27
  Shall be at least high  Responsible for:
school graduate, but  cash transaction with customers
college graduates are  issuing change, receipts, and
preferred refunds
 Must have good  counting the money at the
communication skills beginning and ending of the day
 Must be accountable and  Surrenders cash receipts to the
Cashier hardworking treasurer at the end of the day
 Possess good  Explains to customers the company
mathematical skills offers/promos and recommend to
 Must have a pleasing them other products of the business
personality  Pleasantly deals with customer
 Preferably between ages  Assists in preparing and serving
18-35 customers

 Shall be at least high  Responsible for:

school graduate, but  food preparation and presentation
college graduates are  creation, addition, modification of
preferred the existing menus
 Must have at least two (2)  planning in order to minimize food
years working experience waste and spoilage
 Must be creative and  Ensures that necessary raw
Cooks
innovative in cooking and materials are available
food presentation  Responsible for complying with
 Must be willing to learn health and sanitation requirements
Mexican cuisine  Accountable for the preparation of
 Preferably between ages requisition slips for raw materials
20-45  Responsible for reassessing of
inventory needs

Service Crew  Shall be at least high  Responsible for:

28
 school graduate, but  setting up the dining area
college graduates are  accommodating the customers
preferred  taking and serving the orders of the
 Must have good customers
communication skills  checking if customers follow the 2-
 Must be accountable and hour unlimited taco policy
hardworking  reminding the customers 30 minutes
 Must have pleasing before their 2-hour time
personality  Maintains the cleanliness of the
 Preferably between ages store
18-35
 Must be accountable and  Maintains the cleanliness of the
hardworking kitchen
 Preferably between ages  Ensures proper sanitation of
Dishwasher
18-35 utensils and kitchenware
 Responsible for timely availability of
the utensils

Salary Scale

Taco Lab shall compute and distribute employees’ salaries according to the

salary scale table. Whereas, the Managing Partner and the Partner Treasurer are

entitled to ₱15,000 and ₱10,000 salaries per month, respectively, that shall be

prioritized in the distribution of profit. Furthermore, the accountant shall be paid a

monthly retainer fee of ₱10,000.

29
Other Benefits

 Social Security System (SSS)

 Philippine Health Insurance (PhilHealth)

 Home Development Mutual Fund (Pag-IBIG)

 13th Month Pay

30
Table 4
Salary Scale
Daily Rate Daily Rate Hourly Monthly Salary deductions
Job Title Total Pay Net Pay
(8 hours) (6 hours) Rate Rate SSS Phil/health Pag-IBIG
Assistant
₱550.00 - ₱68.75 ₱14,300.00 ₱580.00 ₱250.25 ₱286.00 ₱1,116.25 ₱13,183.75
Manager
Bookkeeper ₱402.75 ₱302.06 ₱50.34 ₱7,853.63 ₱320.00 ₱175.00 ₱157.07 ₱652.07 ₱7,201.55
Cook ₱402.75 - ₱50.34 ₱10,471.50 ₱420.00 ₱183.25 ₱209.43 ₱812.68 ₱9,658.82
Cashier ₱375.90 ₱281.93 ₱46.99 ₱7,330.05 ₱300.00 ₱175.00 ₱146.60 ₱621.60 ₱6,708.45
Service
₱350.00 ₱262.50 ₱43.75 ₱6,825.00 ₱280.00 ₱175.00 ₱136.50 ₱591.50 ₱6,233.50
Crew
Dishwasher ₱350.00 ₱262.50 ₱43.75 ₱6,825.00 ₱280.00 ₱175.00 ₱136.50 ₱591.50 ₱6,233.50
Total ₱2,431.40 ₱1,411.05 ₱303.92 ₱53,605.18 ₱2,180.00 ₱1,133.50 ₱1,072.10 ₱4,385.60 ₱49,219.57

Table 5
Employer’s Share
Employee Monthly Salary SSS PhilHealth HDMF Total Employer's Share
Assistant Manager ₱14,300.00 ₱1,160.00 ₱250.25 ₱286.00 ₱1,696.25
Bookkeeper ₱7,853.63 ₱640.00 ₱175.00 ₱157.07 ₱972.07
Cook 1 ₱10,471.50 ₱840.00 ₱183.25 ₱209.43 ₱1,232.68
Cook 2 ₱10,471.50 ₱840.00 ₱183.25 ₱209.43 ₱1,232.68
Cashier 1 ₱7,330.05 ₱600.00 ₱175.00 ₱146.60 ₱921.60
Cashier 2 ₱7,330.05 ₱600.00 ₱175.00 ₱146.60 ₱921.60
Service Crew 1 ₱6,825.00 ₱560.00 ₱175.00 ₱136.50 ₱871.50
Service Crew 2 ₱6,825.00 ₱560.00 ₱175.00 ₱136.50 ₱871.50
Dishwasher 1 ₱6,825.00 ₱560.00 ₱175.00 ₱136.50 ₱871.50
Dishwasher 2 ₱6,825.00 ₱560.00 ₱175.00 ₱136.50 ₱871.50
Total ₱85,056.73 ₱6,920.00 ₱1,841.75 ₱1,701.13 ₱10,462.89

31
Table 6
Employee’s Share
Employee Monthly Salary SSS PhilHealth HDMF Total Employee's Share
Assistant Manager ₱14,300.00 ₱580.00 ₱250.25 ₱286.00 ₱1,116.25
Bookkeeper ₱7,853.63 ₱320.00 ₱175.00 ₱157.07 ₱652.07
Cook 1 ₱10,471.50 ₱420.00 ₱183.25 ₱209.43 ₱812.68
Cook 2 ₱10,471.50 ₱420.00 ₱183.25 ₱209.43 ₱812.68
Cashier 1 ₱7,330.05 ₱300.00 ₱175.00 ₱146.60 ₱621.60
Cashier 2 ₱7,330.05 ₱300.00 ₱175.00 ₱146.60 ₱621.60
Service Crew 1 ₱6,825.00 ₱280.00 ₱175.00 ₱136.50 ₱591.50
Service Crew 2 ₱6,825.00 ₱280.00 ₱175.00 ₱136.50 ₱591.50
Dishwasher 1 ₱6,825.00 ₱280.00 ₱175.00 ₱136.50 ₱591.50
Dishwasher 2 ₱6,825.00 ₱280.00 ₱175.00 ₱136.50 ₱591.50
Total ₱85,056.73 ₱3,460.00 ₱1,841.75 ₱1,701.13 ₱7,002.89

Table 7
Work Schedule
Job Title Monday – Tuesday, Thursday – Sunday (store is closed on Wednesdays)
Managing Partner 11:00 AM – 6:00 PM
Assistant Managing Partner 3:00 PM – 11:00 PM
Partner Treasurer *must report at the opening and closing of store to fulfill duties
Accountant *must report every end of the month
Bookkeeper 3:00 PM – 11:00 PM
Cashier 1 11:00 AM – 6:00 PM
Cashier 2 6:00 PM – 11:00 PM
Service Crew 1 11:00 AM – 6:00 PM
Service Crew 2 6:00 PM – 11:00 PM
Dishwasher 1 11:00 AM – 6:00 PM
Dishwasher 2 6:00 PM – 11:00 PM

32
Organizational Policies

1. Recruitment Policies

 Advertisement

Taco Lab shall use advertisements in pooling prospective applicants for

job vacancies. It will maximize the use of internet through social media such as

Facebook, Twitter and Instagram and through job portals like JobStreet, Jobs

360, and LinkedIn. The company will also utilize print ads by posting a tarpaulin

in the business location and distributing flyers around the area. The

advertisements contain the following information:

o Vacant job positions including job descriptions

o Job requirements and qualifications

o Contact details of hiring personnel

o Business location

Taco Lab shall also use the applicable aforementioned platforms to

promote the business and the product it offers.

 Application Process

Applicants will send their application forms and other necessary

requirements through the electronic mailing address of Taco Lab. The hiring

team will also accept walk-in applicants, if such was the case.

 Selection Process

In line with the mission of Taco Lab to provide quality food and

experience, its employees, more than the experience and skills required, must

embody the core values of the company: T, A, C, O which stands for

33
 Trustworthy, Accountable, Courteous and Open to new opportunities and

learnings. Putting the right people on the right job at the right time is very critical

in having a sound and effective operations in the company.

The selection process shall start after two weeks of pooling applicants.

The managing partner will screen the application forms and deliberate such

applicants who will proceed for interview. Ten (10) applicants shall be chosen for

crews and dishwashers to proceed for the interview while five (5) for cooks.

 Interview Process

The applicants chosen from the selection process shall then proceed to

the interview phase. A set of questions will be asked to the applicants to evaluate

their suitability for the job vacancy being offered. For cooks, however, they shall

have a cooking demonstration to show off their culinary prowess. After all these,

the managing partner shall deliberate once again. Finally, the accepted

applicants will be notified regarding their successful application.

 Orientation

All newly hired employees shall attend an orientation to familiarize

themselves regarding the entirety of the company. This includes Taco Lab’s

mission and vision, core values, employee rights and obligations, company policy

regarding proper behavior, customer accommodation, punctuality, absenteeism,

major and minor offenses, vacation and sick leaves, dress code, safety and

precautionary measures, bonus and other benefits as well as the target sales to

assure goal congruency within the company.

34
Employment Policies

 Probationary Period

New employees of Taco Lab will undergo a probationary period of 6

months. This will enable the managing partner to assess the skills and suitability

of the employees for the job. The employees will be given a chance to improve

and acquire the needed skills through trainings, coaching sessions and

debriefing process. Should the managing partner, after assessment, be satisfied

with the performance showed by the employee during the probationary period,

such employee will be put to permanent status. Otherwise, such when the

employee committed a major offense or the managing partner deems necessary

for the benefit of the company, the employee will be terminated.

 Regularization

Employees who passed the probationary period shall be regularized. Such

employees shall obtain all the rights given under the labor code for regular

employees such as protection against abrupt termination or termination without

valid reason and the benefits given by the company.

In line with the mission of Taco Lab to be socially responsible, the

company shall adhere to the Labor Code and other applicable laws.

Termination Policies

 Voluntary Termination

Every employee can resign on their own accord with or without justifiable

reason. However, if the employee will leave the company with unjustifiable

cause, the said employee will not enjoy the separation payment in accordance

35
 with the company’s policy. The resigning employee needs to provide a letter of

resignation for approval to the managing partner thirty (30) days before the date

of effectivity.

 Involuntary Termination

The contract of the employees may be terminated due to his/her unethical

behavior such as serious misconduct and disobedience, gross and habitual

neglect of duty, fraud and deliberate breach of trust, commission of a crime or

offense, and other similar reason. If the employee will be caught having one of

these behaviors, the company will release a written notice of dismissal explaining

the reasons of firing the employee. Then, an investigation will be conducted to

give the employee an opportunity to defend himself for disprove charges.

However, if the employee will be found guilty, the company will release a notice

of decision justifying the termination, and the involved employee will be charged

to any concurrent damages and penalties.

Compensation & Benefits Policies

 Salaries & Wages

The employees of Taco Lab will be entitled to a basic salary in compliant

with the legal rate. It will be given on a semi-monthly basis; on the 15th and 30th

day of the month.

 Overtime Pay

When an employee rendered services beyond the maximum 8-hour shift

under the law, such employee will be given an overtime pay equivalent to 150%

of the per hour wage rendered.

36
 13th Month Pay

Regular employees shall be entitled to 13th month pay equivalent to one-

month basic salary given on the 2nd Friday of December.

 Performance Bonus

A performance bonus of Php 5,000 shall be given each month provided

that the set quota sales per month are met.

 Holiday Pay

Employees who rendered services during the undermentioned National

Regular Holidays shall be entitled to 200% basic daily wage.

List of National Regular Holidays

o January 1, 2019, Tuesday - New Year's Day

o April 9, 2019, Tuesday - Araw ng Kagitingan

o April 18, 2019 - Maundy Thursday

o April 19, 2019 - Good Friday

o May 1, 2019, Wednesday - Labor Day

o June 12, 2019, Wednesday - Independence Day

o August 12, 2019, Monday - Eid'l Adha

o August 26, 2019, Monday - National Heroes' Day

o November 30, 2019, Saturday - Bonifacio Day

o December 25, 2019, Wednesday - Christmas Day

o December 30, 2019, Monday - Rizal Day

37
 Other Benefits

As part of the benefits given to employees, Taco Lab shall be compliant with

the SSS Employees' Compensation (EC) Program, help employees in medical care

assistance through PhilHealth, which is administered by the Philippine Health

Corporation, and help them in getting housing loans and financial assistance through

the Home Development Mutual Fund/Pag-IBIG. Benefits given shall be computed

based on the following table:

Table 8
PhilHealth Premium Contribution

Source: Universal Health Care Act

Table 9
Home Development Mutual Fund Contribution / Pag-IBIG

Source: Pag-IBIG Fund (pagibigfund.gov.ph)

38
Table 10
SSS Contribution Table

Source: PinoyMoneyTalk.Com

39
Policy on Attendance

 Punctuality

Employees of Taco Lab are expected to come on time for their respective

shifts and use the biometric system for attendance and time in and out. Taco Lab

does not provide a grace period and employees should come to work preferably

before the opening time. When an employee has an accumulated three (3) times

of late, he shall be given verbal reprimand; if four (4) to five

(5) times, he shall be given warning and incidence/violation report; and if more

than five (5) times, he shall be suspended for four (4) non-consecutive working

days. Employees shall also be charged of the following deductions:

Table 11
Deductions for Late Arrival at Work
Number of minutes late Deduction
1-60 minutes Equal to employee’s respective one
hourly wage rate
61-120 minutes Considered half-day; salary shall be
diminished accordingly based on daily
rate
Beyond 2 hours Considered absent; no salary for that
day

 Absences

Absenteeism is a serious case especially for a small and gradually

expanding business for it may affect the daily usual operations. Just like any

other businesses, Taco Lab adheres to the ruling that absence means no

compensation for that particular working day. Prior to absence, the employee

must give notice to the managing partner at least a day ahead of the said

absence. If an employee plans to use his vacation leave, he must give notice and

40
 at least inform another employee to take charge of his tasks especially during

holiday seasons. If the absence is unplanned or taken before or after a non-

working holiday, he must present a medical certificate or any document

supporting his reason for such absence.

 Overtime and Undertime

As much as possible, Taco Lab would like to keep its daily operating hours

strictly followed. However, if instances arise and there is a need for overtime

work, employees shall be entitled to a night differential payment in addition to

premium, and on top of overtime payment. An overtime, nevertheless, is subject

to approval of the managing partner to avoid unnecessary expense. An overtime

slip is to be filled-up by the employee and presented before the cut-off for payroll.

On the other hand, undertime work should be communicated ahead to the

managing partner, with attached document stating the reason for such

undertime. An undertime slip is to be filled-up by the employee and presented

before the cut-off for payroll.

 Breaktime of Crews, Dishwashers and Cashiers

Since these employees render only six working hours per shift, Taco Lab

promotes a flexitime on breaktimes. They may choose their breaktimes, provided

that it will not exceed 30 minutes per shift. However, they shall inform the asst.

manager of their chosen breaktime to avoid simultaneous breaks of employees.

 Vacation Leave and Sick Leave

Vacation and sick leave are legal requirements but ultimately, they keep

the employees from being burnt out of work. The company shall allow thirteen-

41
 day (13) vacation leave, with additional one (1) day every year starting on the 3rd

year of service and convertible to cash at the end of each year, up to eighteen

(18) days at maximum.

Sick leaves, on the other hand, shall be allowed for twelve (12) days for

the first two years of service and additional 1 day every year starting on the 3rd

year, up to fifteen (15) days at maximum. All unused leaves are convertible to

cash at the end of the year.

 Emergency or Special Leaves

The following are emergency or special leaves:

o Solo Parent Leave: Seven (7) working days

o Calamity Leave: Two (2) days leave are given to employees who were

affected by flood, fire and typhoon. Documents supporting such claims

must be attached to the report.

o Leave for Victims of Violence against Women and Their Children: Ten (10)

days leave shall be given to women employees who recently suffered from

grave violence for legal and medical purposes.

o Special Leave for Women of maximum 2 months: must be complied,

however, in accordance with Republic Act 4917

Such leaves are not cumulative and convertible to cash and shall be

proven without unreasonable doubt.

 Maternity and Paternity Leave

Maternity and paternity leaves are given to employees who are expecting

a child in their family. The company shall comply with such legal requirements.

42
 In addition to leaves, maternity grants are also provided to assist female

employees in the following instances: Php 3,000 for miscarriage; Php 1,500 for

home delivery; Php 5,000 for normal delivery; 80% (Employer) - 20% (Employee)

sharing for caesarian delivery.

Notably, the law provides that all married male employees are eligible for

a 7-day paternity leave, up to the fourth child birth including miscarriage of his

legitimate spouse to be availed within sixty (60) days from delivery/miscarriage.

 Holiday

Other than the normal operating days of the company, the store shall be

open and fully operative during regular holidays, giving double payments to

employees who chose to work at such. However, the store shall be close during

special/non-working holidays.

Employee Conduct and Work Rules

An Employee Code of Conduct outlines the expected appropriate behavior that a

Taco Lab employee should possess in dealing with their customers, co- employees and

other stakeholders.

Bound by their contract, Taco Lab employees are expected to follow the

Employee Code of Conduct while performing their duties. Hence, they should not be

involved in serious disputes and disruption of work environment. In case of violation of

the following components of code of conduct, the management will intervene.

 Employee Conduct

o Employees must comply to all the laws related to the business

o Employees must behave in an appropriate manner

43
 o Employees must always respect their customers, co-employees and the

overall management

o Employees should handle and use the property of the company, whether

tangible or intangible, with care and respect

o Employees must exhibit a sense of professionalism and integrity towards their

customers and other stakeholders while performing their duties

o Employees must promote open communication with their customers, co-

employees, and overall management

o Employees should encourage collaborative, friendly and a well-organized

workplace

 Work Rules

o Employees are strictly prohibited from drinking alcohol and smoking during

working hours

o Coming to work under the influence of alcohol and drugs, is also strictly

prohibited

o Employees are strictly prohibited from bringing weapon or firearms inside the

workplace

o Employees are prohibited from habitually and willingly violating health and

safety regulations

o Saying abusive words and actions toward customers and other stakeholders

is strictly prohibited

o Abusing and not giving proper care to the property of the company is being

discouraged

44
 o Using the property of the company without authority is being prohibited

Dress Code and Hygiene

Impression leaves a mark to the customers. With this, employees of Taco Lab

are expected to be presentable all the time. They must be compliant with the following

rules:

 Employees must be in their proper uniform during working hours

 Employees must be neat and well-groomed

 Employees in the production area must wear hair net and apron

 Employees are discouraged on wearing heavy make-ups, jewelries, and heavily-

scented perfumes

 Employees must use closed shoes or sandals. Wearing slippers is not allowed.

Safety, Cleanliness, Health and Sanitation

Taco Lab places emphasis on the importance of having a safe and clean

environment. This enables the provision of quality food and experience to customers.

With this, the following rules of conduct are expected to be observed:

 Employees must strictly observe the dress code and hygiene policy.

 Employees must inspect and clean the raw materials before cooking.

 Employees must ensure that their hands are clean when preparing raw materials

for cooking.

 Flatware, silverwares, cooking tools, and equipment must be cleaned properly

before using.

 Workstations must be clean at all times.

45
Minor and major offenses and sanctions

Table 12
Minor Offenses
Minor Misconduct Sanctions for Minor Offenses

Attendance
 Unusual and minimal tardiness  1st offense: Verbal Warning
 Accumulated three (3) times of  2nd offense: Written notice
late per year  3rd offense: Counselling
 Reporting for work beyond required  4th offense: Four non-consecutive
time day unpaid suspension
 Absence without leave or justifiable  5th offense: Termination
reason
 Leaving the workplace during work
hours
 Leaving undertime without prior
notice to the managing partner
Safety, Cleanliness, Health and
Sanitation
 Loitering during work hours
 Unnecessary wastage of resources

Dress Code and Hygiene

 Wearing improper and/or incomplete
uniform (wearing slippers, failure to
wear nametags etc.)
Workplace & Service Ethics
 Entertaining visitors within the work
premises without permission
 Sleeping during work hours
 Operation obstruction

46
Table 13
Major Offenses
Major Misconduct Sanctions for Major Offenses

Attendance
 Absences for 3 times without prior  1st offense: Written Notice and
notice and/or without presenting Counselling
necessary document supporting  2nd offense: Four non-consecutive
such reason day unpaid suspension

Safety, Cleanliness, Health and  3rd offense: Termination

Sanitation
 Smoking in the work premises
 Severe damages or destruction of
company's fixed assets due to
negligence or intentional conduct

Dress Code and Hygiene

 Failure to use hairnet, apron and
other hygiene-related gears
Workplace & Service Ethics
 Habitual neglect of duty
 Possession of alcoholic beverages
and drugs in the work premises
 Sexual and other forms of
harassment to customers or fellow
employees
 Possession of harmful, dangerous,
and unauthorized weapons inside
the workplace
 Misappropriation of company's
assets

47
  Collusion with suppliers or other
outside parties
 Gambling during working hours in
the work premises
 Insubordination to superiors and
company's policies
 Working under the influence of drugs
or alcohol
 Scandalous acts and indecent
outrage within the business premise
 Breach of employee-employer
relationship
 Disclosure of confidential information
to outside parties

Internal Control

All businesses face risks that may threaten the company’s ability to meet its

goals. Though cannot be eliminated completely, implementation of the following controls

aims to mitigate such risks:

 Physical Controls

1. Different areas of the store and office shall be monitored through security

cameras installed in the place.

2. Cooking utensils shall be inspected at least once a month to ensure its

completeness, which shall be performed by the accountant with the

presence of the cooks.

48
 3. Physical inspection of machineries and equipment shall also be conducted

periodically to ensure safety, and that all are fully operating.

4. The store should be locked during closing hours and the key should be

kept by the General Store Manager with a duplicate key kept by Assistant

Manager.

5. To prevent embezzlement and theft of cash, it must be kept inside a cash

safety box, limited to the access of General Manager and Treasurer.

6. The cashier and treasurer must be both present whenever the cash box is

opened to deposit cash after the daily operations.

7. Daily transactions shall be recorded in the company’s journals and ledger,

which shall be supported with source documents.

8. The general manager and the treasurer should have the access to the

keys of cash box.

9. Fire extinguishers shall always be kept in the store premises, as a

compliance with the local government’s fire department.

 Financial Controls

Cash Receipts and Sales Controls

1. The company shall employ an imprest system of cash, where daily cash

receipts are kept in the cash safety box and be deposited in the bank on

the following day.

2. The treasurer shall be responsible for disbursing small amounts of cash

while the accountant shall be responsible for documenting each payment

with a petty cash receipt.

49
 3. The imprest petty cash balance shall be maintained at the amount of

Php10,000.

4. A quarterly surprise cash count shall be performed by the accountant with

the presence of the treasurer.

5. The accountant shall be responsible for preparing the reconciliations

periodically. Generated from the system, the daily summary of the record

of sale and cash receipts shall be compared with the daily bank deposits

and the cash held. Such reconciliations shall also be signed and dated by

the accountant.

6. The treasurer should review the petty cash receipts and ensure that the

amount of cash deposited in the bank account matches the cash counted

by the accountant.

7. A change fund shall be retained in the cash safety box amounting to Php

3,000, consisting of coins and bills.

Cash Disbursement and Inventory Controls

1. At least three suppliers are needed before the commencement of the

business. Set of suppliers will be determined by the Assistant Manager.

2. Purchase requisition form from the cooks will be submitted to Assistant

Manager before purchasing certain items.

3. The Assistant Manager will forward the purchase order form to the

supplier requesting that raw materials be shipped to the company.

4. The bookkeeper will collect and record every invoice received from the

suppliers.

50
 5. The voucher shall be supported by purchase order, the receiving report

and the supplier’s invoice. The bookkeeper should match these three

documents (3-way matching) before recording.

6. The bookkeeper shall file the voucher package by due date to pay liability

on time and maximize the discounts.

7. The treasurer shall be the one who prepares the check, which shall be

authorized by the General Manager. He shall also be the one to cancel the

voucher package.

8. The company will adopt First-In-First-Out inventory management system.

Shelf life of inventories

The cooks shall consider the availability of the following inventories and their

shelf life to accordingly plan each purchase requisition:

 Taco
Table 14
Shelf Life of Direct Materials of Taco

INVENTORY SHELF LIFE (in days)

Direct Materials Unrefrigerated Refrigerated Frozen Maximum Life
Chicken 1 2 9 months 9 months
Pork 1 5 6 months 6 months
Beef 1 5 3 months 3 months
Ground Beef 1 2 3 months 3 months
Taco Shells 1 month - - 1 month
Lettuce 2 10 - 10
Cheese 3 months 3 months - 3 months
Tomatoes 3 7 - 7
White Onions 10 - - 10
Cucumber 3 7 - 7
Sauce Mix 2 5 - 5

51
Table 15
Shelf Life of Indirect Materials of Taco
INVENTORY SHELF LIFE
Maximum
Indirect Materials Unrefrigerated Refrigerated Frozen
Life
Laurel 1 year - - 1 year
Black Pepper 1 year - - 1 year
Soy Sauce 1 year - - 1 year
Vinegar 1 year - - 1 year
Red Onion 10 days - - 10 days
Plantain Banana 1 week - - 1 week
Salted Beans 1 year 1 year - 1 year
Canned Pineapple
1 year 1 year 1 year 1 year
Juice
Canned Pineapple
1 year 1 year 1 year 1 year
Chunks
Sprite 9 months 9 months - 9 months
Calamansi Until ripe 21 days - 21 days
Oil 1 year - - 1 year
Chili Powder 1 year - - 1 year
Ground Cumin 1 year - - 1 year
Garlic Powder 1 year - - 1 year
Ground Pepper 1 year - - 1 year
Tomato Sauce 1 year - - 1 year

 Special Milk Tea

Table 16
Shelf Life of Direct Materials of Special Milk Tea
INVENTORY SHELF LIFE
Direct Materials Unrefrigerated Refrigerated Frozen Maximum Life
Green Tea 1 year 1 year - 1 year
Tapioca Pearls 1 year 1 year - 1 year
Brown Sugar 1 year 1 year - 1 year
Non-Fat Milk 10 days 10 days - 10 days

52
Table 17
Shelf Life of Indirect Materials of Special Milk Tea
INVENTORY SHELF LIFE (in days)
Indirect
Unrefrigerated Refrigerated Frozen Maximum Life
Material
Can last as long Can last as long
Tubed Ice - 1
as in the freezer as in the freezer

Payroll Controls

1. The accountant must conduct a periodic audit of the payroll function to verify

whether payroll payments are being calculated correctly, employees being

paid are still working for the company, time records are being accumulated

properly, and so forth.

2. A change to an employee’s profile or personal information, withholding

allowances, or deductions is only allowed if the employee has submitted a

written and signed request for the company to do so. Otherwise, there is no

proof that the employee wanted a change to be made.

3. Activate the change tracking log and make sure that its access is only

available through a password-protected interface. This log will track all

changes made to the payroll system, which is very useful for tracking

erroneous or fraudulent entries.

4. Lock up employee files and payroll records at all times when they are not in

use to prevent unauthorized access. Use password protection if these records

are stored online.

53
5. The bookkeeper must be the one to administer the payroll records and the

General Manager must be the one to release the salaries to the employee

which are to be given on the 15th and 30th day of the month.

6. Salaries will be given on cash, placed on a small envelope, and attached

therewith is the breakdown of the salary in order for the employee to check

the accuracy of the net pay received.

7. Time records will be disclosed to the employees every salary day for the

benefit of the employees to review the validity of the said records.

8. Employees are to be provided with valid documents substantiating the

deductions from their salary.

54
TECHNICAL
ASPECT

55
STEP BY STEP PROCESS

Purchase Process

Figure 6
Purchasing Process, 1 of 2

56
 TOTAL TIME:
Figure 6 1 DAY, 86 MINS.
Purchasing Process, 2 of 2

(15 mins.)

57
 The starting point of Taco Lab’s purchase process will be the assessment

of the needed raw materials (120 mins.). After assessing, the cooks will prepare

a purchase requisition form (20 mins.) that will be authorized by the Assistant

Manager (12 mins.). If the said form will be approved, the Assistant Manager will

issue a purchase order (15 mins.) and afterwards will contact available suppliers

then submit an order (25 mins.); otherwise, inventory needs shall be reassessed

(40 mins.). Should purchase order be approved by the supplier (300 mins.),

delivery shall be made within 12 hours (720 mins,). Upon receiving the ordered

inventories and the supplier’s invoice, the Assistant Manager shall issue a

receiving report (35 mins.). In addition, the Assistant Manager shall also review

the purchase order and inspect the inventories received (120 minutes). Should

said inventories defective, the supplier must be notified immediately (10 mins.)

and a credit memo shall be received upon such notice (60 mins.). The

bookkeeper shall perform a 3-way matching of purchase order, supplier’s invoice,

and receiving report (15 mins.) then record the transaction (2 mins.). The

issuance of a Voucher Payable will follow (2 mins.), which will be approved by

the Managing Partner (15 mins.). Lastly, after approval, the treasurer will prepare

a check (2 mins.) and pay the supplier (5 mins.). Overall, the minimum duration

of the purchase process shall take a day and eighty-six minutes (1 day and 86

minutes).

58
 Pre-Production Process

 Taco

Figure 7
Pre-Production Process
(Taco), 1 of 2

59
 TOTAL TIME:
105 MINUTES

Figure 7
Pre-Production Process
(Taco), 2 of 2

In making the variants for Taco Lab’s fillings, first, wash all meat and

vegetables. Next, cut all meat into their respective cuts; pork should be cubed,

chicken should be in large cuts and the beef should be one-half ground and one-

half thin slices. After this, get the pre-marinated beef, preheat the cooking pot

and get ready to start cooking.

For the Classic Taco variant, once the cooking pot is hot, put the ground

beef, chili powder, cumin, salt, garlic powder and pepper. Cook everything under

medium high heat for 15 minutes or until the ground beef turns brown. Next, add

the tomato sauce and water and simmer it for about 8 minutes. Then, remove the

ground beef from the pot, drain it and set aside.

60
 For the Chicken Adobo variant, put the chicken breasts, 4 cloves of garlic,

soy sauce, peppercorn and laurel leaves on a hot pot. Cook it for about 7

minutes or until the garlic is soft. Then, pour in 1 tablespoon of vinegar and

simmer for around 40 minutes until the chicken is tender enough to be flaked.

Add water in the process if necessary. Once tender, flake the chicken inside the

pot and simmer for another 10 minutes. By then, the flavor should be absorbed

by the flaked chicken. Finally, remove the flaked chicken from the pot and set

aside.

For the Bistek Tagalog variant, on a hot pot, put 1 teaspoon of oil and

sauté minced onions until golden brown. Next, add the marinated beef,

calamansi, soy sauce and peppercorn then simmer for 60 minutes or until the

beef is tender. Add water in the process if necessary. Once tender, add sliced

white onions and simmer for another 5 minutes. Lastly, remove the flaked

chicken from the pot and set aside.

For Pork Humba and Pork Hamonado variants, since both almost have

the same cooking procedure, put the pork for both variants, onions, 4 cloves

garlic, soy sauce and peppercorn to the pot. Cook for about 7 minutes or until the

onions are soft. Next, pour in 160 ml of pineapple juice and simmer for 3 minutes.

Divide the simmered pork equally; one-half for Pork Humba and the other for

Pork Hamonado. For Pork Humba, let it boil for and simmer for 25 minutes or

until the pork is tender. Add water in the process if necessary. Then, add the

salted black beans and brown sugar; simmer for about 5 minutes. After that, add

61
the thin-cut plantains and simmer for another 5 minutes. Last of all, remove from

the pot and set aside.

Simultaneous with the Pork Humba, on a separate pot where the Pork

Hamonado was put, pour in 40 ml of sprite soda. Let it boil and simmer for 25

minutes or until the pork is tender. If necessary, add water in the process. Once

the pork is tender, add the pineapple tidbits and simmer for 2 minutes. Finally,

remove from the pot and set aside.

If everything worked well according to plan, assuming an ideal capacity,

cooking all variants simultaneously would render the cooks approximately 105

minutes or less than two (2) hours.

 Special Milk Tea

Figure 8
TOTAL TIME: Pre-Production Process
29 MINUTES (Special Milk Tea)

62
 To begin the preparation for Taco Lab’s special milk tea, prepare all the

ingredients necessary; Tapioca pearls, special tea and brown sugar. Second,

preheat the pot and boil 500ml of water. When the water boils, soak the Tapioca

pearls and add 1/2 cup of sugar. Cook for about 15 minutes. Stir until the pearl

softens and starts to be caramelized. Next, drain the pearls and set aside.

Simultaneously, brew 10L of special tea and transfer to the thermal jug to

preserve the heat.

It will take about 29 minutes to prepare Taco Lab’s special milk tea.

Production Process

 Taco

TOTAL TIME:
9 MINUTES

Figure 9
Production Process
(Taco)

63
 To begin the production process for the taco, the customer should choose

the taco shell whether hard or soft taco. If the customer chose the soft taco,

warm the taco shell for a minute. On the other hand, if the customer opted the

hard taco, no additional procedure is to be done. The customer then should

choose his/her preferred variant of fillings. Next, put each topping on a separate

container: shredded cheese, lettuce, cucumber, white onion, tomatoes, taco

sauce and the chosen variant of fillings. Finally, it is ready to be served. The

estimated time of these procedures would be more or less 9 minutes.

 Special Milk Tea

Figure 10
Production Process TOTAL TIME:
(Special Milk Tea) 4 MINUTES

The production process of the Taco Lab’s special milk tea shall begin by

adding 50 grams of tapioca pearls on a 500ml-sized beaker. Then, on a shaker,

pour in 400ml of brewed tea and 80ml of steamed milk. Stir the mixture

thoroughly. Next, add ice and shake for a minute. Finally, transfer the milk tea to

the beaker and serve cold. It would take approximately 4 minutes for all these

procedures to occur.

64
Selling Process

TOTAL TIME:
16 MINUTES

Figure 11
Selling Process

65
 The selling process will start when a service crew takes the order of the

customer (1 min.), which will be forwarded then to the kitchen (30 secs.). The

cook will make the necessary preparation for the orders (10 mins.). Afterward,

the orders will be served to the customers (1 min.). The customer may make

additional order as long as it is still within the two-hour limit. However, if the

additional order is beyond the two-hour limit and/or if the customer is already

satisfied and does not want to make an additional order, the said customer may

now bill out (1 min.). Upon billing out, the cashier shall issue a receipt (1 min.)

then the service crew will give it to the customer as basis for the payment. After

collecting the payment (1 min.), the service crew remits it to the cashier (30

secs.). The overall estimated time of the selling process shall be about 16

minutes.

66
Production Schedule
Table 18
Production Schedule
OPERATING DAYS CLOSING DAY
QUANTITY
TIME (SUNDAY-TUESDAY; THURSDAY-SATURDAY) (WEDNESDAY)
Cook 1 Cook 2 Dishwasher 1 Dishwasher 2
Pre-Production
(Cooking of
9:00am-10:00am
Chicken Adobo
and Beef Steak)
Pre-Production
Batch 1 (100 units)
(Cooking of
10:00am-11:00am
Pork Humba
and Hamonado) Day allotted, at least
11:00am-12:00nn Production
once a month, for the
12:00nn-1:00pm Production
Washing of accountant and crews
Pre-Production
1:00pm-2:00pm kitchen tools &
/Production to conduct inspection
utensils;
Pre-Production/
2:00pm-3:00pm Batch 2 (100 units) BREAK cleaning of of tools, machinery
Production
kitchen
3:00pm-4:00pm Production Production and equipment
4:00pm-5:00pm Production Production
Pre-Production/
5:00pm-6:00pm BREAK
Production
Pre-Production/ Washing of
6:00pm-7:00pm kitchen tools &
Production
7:00pm-8:00pm Batch 3 (100 units) Production utensils;
cleaning of
8:00pm-9:00pm Production
kitchen
9:00pm-10:00pm Production
10:00pm-11:00pm Production
11:00pm STORE CLOSING
*Dishwashers are given thirty (30) minutes flexitime break per shift.

67
Store Schedule

Table 19
Store Schedule
OPERATING DAYS CLOSING DAY
TIME (SUNDAY-TUESDAY; THURSDAY-SATURDAY) (WEDNESDAY)
Cashier 1 Cashier 2 Crew 1 Crew 2
10:50am STORE PREPARATION
11:00am STORE OPENING
11:00am-12:00nn
12:00nn-1:00pm
1:00pm-2:00pm Day allotted, at
2:00pm-3:00pm least once a
3:00pm-4:00pm month, for
4:00pm-5:00pm inspection of
5:00pm-6:00pm tools, machinery
6:00pm-7:00pm and equipment
7:00pm-8:00pm
8:00pm-9:00pm
9:00pm-10:00pm
10:00pm-11:00pm
11:00pm STORE CLOSING
*Crews and cashiers are given thirty (30) minutes flexitime break per shift, provided it will not be
simultaneous with the break of his/her co-employee.
Office Schedule
Table 20
Office Schedule

OPERATING DAYS CLOSING DAY

(SUNDAY-TUESDAY; THURSDAY-SATURDAY) (WEDNESDAY)
TIME
General Assistant
Treasurer Bookkeeper
Manager Manager
10:50am STORE PREPARATION
11:00am STORE OPENING
11:00am-12:00nn Day allotted, at
12:00nn-1:00pm least once a
1:00pm-2:00pm month, for the
2:00pm-3:00pm BREAK accountant and
3:00pm-4:00pm BREAK crews to conduct
4:00pm-5:00pm inspection of
5:00pm-6:00pm tools, machinery
6:00pm-7:00pm BREAK and equipment
7:00pm-8:00pm
8:00pm-9:00pm
9:00pm-10:00pm
10:00pm-11:00pm
11:00pm STORE CLOSING

68
Time and Motion Study

Even limited due to time restictions, a time and motion study was conducted

to appropriately set the time for the preproduction and production processes of each

variant of taco and milk tea.

Table 21
Time & Motion Study – Preproduction Process of Taco
Average
PRE – PRODUCTION - TACO 1ST 2ND 3RD
Time
Preparing the ingredients 5.5 mins 4.8 mins 4.7 mins 5 mins
Washing the vegetables and meat 8.8 mins 8.1 mins 7.1 mins 8 mins
Cutting the ingredients 15.8 14.5
14.7 mins 15 mins
mins mins
Getting the pre-marinated meat (For 1.08
45 sec 1.17 mins 1 min
Bistek Tagalog) mins
Preheating the cooking pot 2.05
2.05 mins 1.9 mins 2 mins
mins
COOKING THE FILLING
Classic
Sauteing the ground beef, chili
15.2 15.15
powder, cumin, garlic powder, and 14.65 15 mins
mins mins
pepper
Adding the tomato sauce and letting 7.95 8.03
8.02 mins 8 mins
the meat simmer mins mins
Removing the pot and setting it aside 1.12
55 secs 57.8 secs 1 min
mins
TOTAL TIME - Classic 24 mins
Chicken Adobo
Cooking the chicken breasts, 4
6.94
cloves of garlic, soy sauce, pepper 7.10 mins 6.96 mins 7 mins
mins
corn, and laurel leaves
Pouring 1 tablespoon of vinegar 27 secs 31 secs 32 secs 30 sec
Letting the chicken simmer 38.5
40.5 mins 41 mins 41 mins
mins
If necessary, adding water 29 secs 32 secs 29 secs 30 secs
Flaking the chicken and letting it
10.5 mins 9.8 mins 9.7 mins 10 mins
simmer
Removing the pot and setting it aside 1.04
59.6 secs 58 secs 1 min
mins
TOTAL TIME – Chicken Adobo 60 mins

69
 Bistek Tagalog
14 Sauteing minced onions 4.9 mins 4.9 mins 5.2 mins 5 mins
Adding the marinated beef,
1.98 2.05 1.97
15 calamansi, soy sauce, and 2 mins
mins mins mins
peppercorn
Letting the beef simmer 58.5 59.5
16 62 mins 60 mins
mins mins
If necessary, adding water 29 secs 29 secs 32 secs 30 secs
Adding sliced onions and letting 5.15 5.05
17 4.8 mins 5 mins
it simmer mins mins
Removing the pot and setting it
18 55 secs 1.1 mins 59 secs 1 min
aside
TOTAL TIME – Bistek Tagalog 73.5mins
Pork Humba
Cooking the pork onions, 4 cloves
19 of garlic, soy sauce, and 7.1 mins 6.95 mins 6.95 mins 7 mins
peppercorn
Pouring 160ml of pineapple juice
20 3.05 mins 3 mins 2.95 mins 3 mins
and letting it simmer
21 Letting it boil 4.02 mins 3.97 mins 4.01 mins 4 mins
22 Letting the pork simmer 26 mins 24.5 mins 24.5 mins 25 mins
If necessary, adding water 32 secs 31 secs 27 secs 30 sec
Adding the salted black beans
23 4.98 mins 5.05 mins 4.97 mins 5 mins
and brown sugar and simmering it
Adding the thin cut plantains and
24 5.05 mins 5 mins 4.95 mins 5 mins
letting it simmer
Removing the pot and setting it
25 59 secs 1.02 secs 59.8 secs 1 min
aside
TOTAL TIME – Pork Humba 50.5mins
Pork Hamonado
Cooking the pork onions, 4 cloves
26 of garlic, soy sauce, and 6.9 mins 7.05 mins 7.05 mins 7 mins
peppercorn
Pouring 160ml of pineapple juice
27 3.05 mins 2.9 mins 3.05 mins 3 mins
and letting it simmer
Pouring 40ml sprite and letting it 15.97 16.02 16.01
28 16 mins
boil mins mins mins
Letting the pork simmer 25.05 25.10 24.85
29 25 mins
mins mins mins
If necessary, adding water 31 secs 30 secs 29 secs 30 secs
30 Putting the pineapple tidbits 1.95 mins 2.05 mins 2 mins 2 mins
Removing the pot and setting it
31 58 secs 59 secs 1.05 secs 1 min
aside
TOTAL TIME – Pork Hamonado 54.5mins

70
Table 22
Time & Motion Study – Preproduction Process of Milk Tea
Average
PRE – PRODUCTION – MILK TEA 1ST 2ND 3RD
Time
Preparing the ingredients 3.05 3.05
1 2.9 mins 3 mins
mins mins
Preheating the pot and boiling 6.05 5.75
2 6.2 mins 6 mins
500ml of water mins mins
Soaking tapioca pearls and 15.5 14.8 14.7
3 15 mins
adding ½ cup of sugar mins mins mins
Draining the pearls and setting it 5.25 4.85
4 4.9 mins 5 mins
aside mins mins
Brewing 10L of tea and 20.2 18.8
5 21 mins 20 mins
transferring it to the thermal jug mins mins
TOTAL TIME – Milk Tea 49 mins
Table 23
Time & Motion Study – Production Process of Taco
Average
PRODUCTION – TACO 1ST 2ND 3RD
Time
Warming the taco shell (soft taco) 1.95 2.03 2.02
2 mins
mins mins mins
Letting the customer choose his/her 1.08 57.2
58 secs 1 min
preferred variant of fillings mins secs
Putting each topping on a separate 4.15 4.05
3.8 mins 4 mins
container mins mins
Serving the toppings and taco 2.05 1.98 1.97
2 mins
mins mins mins
TOTAL TIME – Taco 9 mins
Table 24
Time & Motion Study – Production Process of Milk Tea
Average
PRODUCTION – MILK TEA 1ST 2ND 3RD
Time
Adding 50g of tapioca pearls on 1.05
1 58 secs 59 secs 1 min
a 500ml-sized beaker mins
Pouring in a shaker 400ml of
2.10 2.05 1.85
2 brewed tea and 80ml of steamed 2 mins
mins mins mins
milk
Adding ice and shaking it 1.04 59.6
3 58 secs 1 min
mins secs
Transferring to the beaker and 1.15
4 55 secs 56 secs 1 min
serving it mins
TOTAL TIME – Milk Tea 5 mins

71
Production Capacity
Table 25
Production Capacity

PRODUCTION CAPACITY
Time
Total Required Sales Maximum Maximum Percentage Normal
Year Operating per unit per Capacity Annual of Capacity Annual
Minutes (in day per day Capacity Availed Capacity
minutes)
2021 720 1.90 300.00 378.95 117,473.68 79% 93,000.00
2022 720 1.52 360.00 473.68 146,842.11 76% 111,600.00
2023 720 1.33 432.00 541.35 167,819.55 80% 133,920.00
2024 720 1.22 518.40 590.16 182,950.82 88% 160,704.00
2025 720 1.13 622.08 637.17 197,522.12 98% 192,844.80

The operating store hours of Taco Lab shall be twelve (12) hours per day.

Each of the two (2) cooks shall render eight (8) productive service hours per day,

excluding a one-hour break time. Despite of the break time, production shall be

continuous due to the coinciding shifts of the cooks.

To which the budgeted capacity is expected to equal the full capacity, Taco

Lab expects on its first year to have a 79% production capacity, producing 93,000

units. As year passes, when the cooks have become more skilled and more

accustomed to the production process, Taco Lab’s production capacity is projected

to reach 98% at its 5th year. This is due to the decreasing time required to produce

one unit of product based on the given total operating minutes per day.

72
 Manpower Schedule

Table 26
Manpower Schedule
General Assistant Dish- Dish-
TIME Treasurer Bookkeeper Cook 1 Cook 2 Cashier 1 Cashier 2 Crew 1 Crew 2
Manager Manager washer 1 washer 2
9:00am- Pre-
10:00am Production
10:00am- Pre-
11:00am production
11:00am-
Production
12:00nn
12:00nn-
Production
1:00pm
1:00pm- Pre-prod./
2:00pm Production
2:00pm- Pre-prod./
BREAK BREAK
3:00pm Production
3:00pm-
BREAK Production Production
4:00pm
4:00pm-
Production Production
5:00pm
5:00pm- Pre-prod./
BREAK
6:00pm Production
6:00pm- Pre-prod./
BREAK
7:00pm Production
7:00pm-
Production
8:00pm
8:00pm-
Production
9:00pm
9:00pm-
Production
10:00pm
10:00pm-
Production
11:00pm
11:00pm STORE CLOSING

73
Business Location

BUSINESS
LOCATION

Figure 2
Vicinity Map of Business Location

Figure 3
Facade of Business Location

74
 Taco Lab is a food venture which shall be situated at Legarda Corner,

Rafael Street, Quiapo, Manila. The business location is near to schools and other

establishments, making it more accessible to a lot of consumers. Particularly, it is

near to universities such as Centro Escolar University, San Beda University, La

Consolacion College and San Sebastian College – Recoletos, which are also

chosen to be the business’ primary target market.

75
Floor Area Dimensions
2.8 meters

1.28
meters
?

Pythagorean Theorem (to compute for the sides of the triangle)

76
Floor Plan of the Business

2.8m 3.2m

1.28m

2.6m

7.0m
MAIN ENTRANCE

1.56m

3.0m 3.0m

3.50m 2.50m

Figure 12
Floor Area Plan

77
 The business premises have a 58-square meters area, which shall be

divided into store, office and production areas. The store shall have a seating

capacity of twenty (20), which are divided among the three (3) big modular tables

and four (4) small tables. The modular tables shall appear as a molecular

structure when looking at a top view, so designed to present a science-inspired

setting. The proposed floor plan is also designed with the counter situated near

the entrance for easier access to customers.

Production Area Layout and Specifications

Figure 13
Production Area Layout
78
 An access to the

production area (kitchen)

shall be available thru the

cashier.

The kitchen area shall

contain all the equipment,

tools, and supplies needed

for pre-production and

production processes.

The production area shall

also have a dishwashing

area where all utensils and

tools are kept clean and

sanitized.

The production area shall

have a built-in storage

space and an access to

the back office.

Figure 14
Production Area Specifications

79
Office Layout and Specifications

Figure 15
Office Area Layout

Figure 16
Office Area Specifications

80
 The office shall have four (4) workstations which shall be for the General

Manager, Assistant Manager, Treasurer and Bookkeeper. The workstations shall

have laptop computers available for the use of employees. The office is designed

without partitions to promote “face-to-face” communication among employees

and a more collaborative work environment. Cabinets are also available for

storage of business documents and records, as well as employees’ personal

belongings.

Store Area Layout and Specifications

Figure 17
Store Area Layout

81
 Figure 18
Store Area Specifications

The store area shall have a laboratory-like setting to provide the

customers a new and unique restaurant experience by exhibiting a picturesque

view. The store shall have three (3) big modular tables with four (4) chairs each,

which can be moved towards each other, forming a bigger dining space to cater

big groups of customers with more than four (4) people. Whereas, the small

tables shall be available for pairs or individual dining. The counter, to which the

cashier is situated, shall have an access door to the production area and back

office. The store also has a lavatory available for the use of the customers and a

television set for entertainment purposes and important announcements.

82
PROPERTY, PLANT AND EQUIPMENT
Table 27
Production Machinery & Equipment

UNIT TOTAL
EST. INPUT COST, NET
# OF COST COST DEPRECIATION
NAME IMAGE SPECIFICATIONS USEFUL VAT (IN OF VAT (IN
UNITS (IN (IN (IN PHP)
LIFE PHP) PHP)
PHP) PHP)
Dual
 Double lid
compartment
 Solid top with
Freezer
frontal
temperature
SN:
control
GOP145B20C 20 1 18,950 18,950 2,030.36 16,919.64 845.98
2A4  Freezer: 7 cu.ft;
Chiller: 3.5 cu.ft
Purchase  H: 87.6 cm; W:
Date: Nov. 15, 120 cm; L: 59.1
2020 cm

 One-door
Refrigerator
refrigerator with
deodorizing filter
SN:
and LED interior
ASD01SFDA2
lightning
5189 15 1 12,995 12,995 1,392.32 11,602.68 773.51
 Capacity: 7.4 cu.
Ft.
Purchase
Date: Nov. 15,  H: 121.6 cm; W:
2020 54.5 cm; L: 62.6
cm

83
 Gas Range
 Stainless steel
Cooker
body with glass
top cover
SN:
 Gas grill with
UN308HLAA9
rotisserie 15 2 16,790 33,580 3,597.86 29,982.14 1,998.81
AQ0
 H: 88 cm; W: 60
Purchase cm; L: 60 cm
Date: Nov. 15,  Capacity: 70
2020 liters
Range hood
 Single turbo
SN: hood motor with
ASJDIOA0123 grease filter
DAA  With recirculation 10 1 3,695 3,695 395.89 3,299.11 329.91
and carbon filter
Purchase  H: 14 cm; W: 60
Date: Nov. 15, cm; L: 50 cm
2020
Tortilla Press
 Heavy-duty
construction with
SN:
extra screw for
ASNAIV1294A
the lever
S8C 5 2 4,000 8,000 857.14 7,142.86 1,428.58
 Capacity: One
tortilla at a time
Purchase
Date: Nov. 15,  H: 9.5 in; W: 8 in;
2020 L: 2.5 in
Tea Warmer
 Stainless steel
with boil dry
SN:
protection
ASDJAXC913
 With removable
ASNA `10 2 1,500 3,000 321.43 2,678.57 267.86
and washable
filter
Purchase
Date: Nov. 15,  Capacity: 12
2020 liters

84
 Water
Dispenser
 Capacity: 22
SN: liters
JFZX941S914  H: 82.5 cm; W:
27.5 cm; L: 29 8 1 5,550 5550 594.64 4,955.36 619.42
9A9
cm
Purchase
Date: Nov. 15,
2020
Meat mincer
 Stainless steel
construction,
SN:
good for mass
PXF98655450
production
97764 8 1 12,595 12,595 1,349.46 11,245.54 1,405.69
 Capacity: 4
Purchase quarters
Date: Nov. 15,  H: 9 in;
2020 Diameter: 6 in
TOTAL 98,365 10,539.11 87,825.89 7,669.75

85
 Table 28
Production Furniture & Fixtures

UNIT TOTAL
EST. INPUT COST, NET
# OF COST COST DEPRECIATION
NAME IMAGE SPECIFICATIONS USEFUL VAT (IN OF VAT (IN
UNIT (IN (IN (IN PHP)
LIFE PHP) PHP)
PHP) PHP)
Kitchen
Hanging  Wooden
Cabinet cabinet
 Color: brown
SN:  Capacity: 400 10 1 3,999 3,999 428.46 3,570.54 357.05
1279087KHC36 pounds
 H: 34.5 in; W:
Purchase Date: 36 in; L: 24 in
Nov. 21, 2020
Kitchen
 Wooden
Cabinet and
cabinet with
Prep Table
flat plain table
 Color: wenge
SN: 10 1 5,749 5,749 615.96 5,133.04 513.30
18956KCPT6  Capacity: 600
pounds
Purchase Date:  H: 36 in; W:
Nov. 21, 2020 48 in; L: 26 in
TOTAL 9,748 1,044.43 8,703.57 870.36

86
 Table 29
Office Machinery & Equipment

UNIT
EST. TOTAL COST, NET
# OF COST INPUT VAT DEPRECIATION
NAME IMAGE SPECIFICATIONS USEFUL COST (IN OF VAT (IN
UNITS (IN (IN PHP) (IN PHP)
LIFE PHP) PHP)
PHP)
Printer  Borderless
printing
SN:  Monthly duty
UKLO9371975 cycle: up to
5 1 2,850 2,850 305.36 2,544.64 508.93
282 1,000 pages
 Hi-Speed
Purchase Date: USB 2.0
Nov. 17, 2020 connection
Laptop
Computers
 Core i7
 RAM: 12GB
SN:
8OT6005PH  Intel HD 7 4 24,490 97,960 10,495.71 87,464.29 12,494.90
Graphics 520
Purchase Date:  14-inch size
Nov. 17, 2020
Air
Conditioning  Active Energy
unit Control
 2-Way Auto
SN: Swing 10 1 18,500 18,500 1,982.14 16,517.86 1,651.79
HSJHF892573  With MF
Condenser
Purchase Date:
Nov. 17, 2020

87
  Fingerprint
Biometrics Capacity: 500
Scanner  User
Capacity: 500
SN:  Record 15 1 5,500 5,500 589.29 4,910.71 327.38
DCLO9039457 Capacity:
50,000
Purchase Date:  Display: 2.8
Nov. 17, 2020 inches TFT
Screen
WiFi router  Wifi Speed:
50mbps
SN:  Connectivity:
GYHUJ789364 USB 5.0 10 1 1,995 1,995 213.75 1,781.25 178.13
 Capacity: No
Purchase Date: maximum
Nov. 17, 2020 capacity
TOTAL 126,805 13,586.25 113,218.75 15,161.12

88
 Table 30
Office Furniture & Fixtures

UNIT TOTAL
EST. INPUT COST, NET
# OF COST COST DEPRECIATION
NAME IMAGE SPECIFICATIONS USEFUL VAT (IN OF VAT (IN
UNITS (IN (IN (IN PHP)
LIFE PHP) PHP)
PHP) PHP)
Office  Material: MDF
Table with clear acrylic
 Workstation for 2-
SN: Seater
323568870  Includes 2 pcs 10 2 2,499 4,998 535.5 4,462.5 446.25
mobile cabinet
Purchase  Dimension: W600
Date: Nov. x L2540 x H1100
23, 2020 mm
Office
Chair
 Material: Fabric
SN:  Color: Gray or
HDUYGB7 Black
5 2 2,399 4,798 514.07 4,283.93 856.79
8326187  Depth: 17″
 Starbase: D22″
Purchase  Height: 32″ – 36″
Date: Nov.
23, 2020

Cash  Digital pin keypad

safety box  Hidden lock with
emergency keys
SN:  Pre-drilled holes
DHGDEJH  Can be bolted in
10 1 4,200 4,200 450 3,750 375
FV26ED walls or cabinets
 Home, Office or
Purchase Hotel Use
Date: Nov.  Color: Gray
23, 2020  Dimension: L200
89
 x W310 x H200m
File
Cabinet
 Material:
Laminated Wood
SN:
 Color: Gray
098866776 15 1 7,880 7,880 844.29 7,035.71 469.05
 Dimension:
Purchase L1207 x W415 x
Date: Nov. H915 mm
23, 2020
TOTAL 21,876 2,343.86 19,532.14 2,147.08

90
 Table 31
Store Machinery & Equipment

UNIT TOTAL
EST. COST, NET
# OF COST COST INPUT VAT DEPRECIATION
NAME IMAGE SPECIFICATIONS USEFUL OF VAT (IN
UNITS (IN (IN (IN PHP) (IN PHP)
LIFE PHP)
PHP) PHP)
Cash Register
 Size: 14” x 12”
SN:
x 9”
19024851SC8
 Weight 10.5 kg
9121 20 1 13,500 13,500 1,446.43 12,053.57 602.68
 Power
Purchase Consumption:
Date: Nov. 19, 20W
2020
 Size: 14” x 12”
x 20”
Water
 Heating Power:
Dispenser
550W
 Cooling Power:
SN: WD-350-
90W
54128 5 1 3,300 3,300 353.57 2,946.43 589.29
 Volume of Hot
Purchase Tank: 0.8L-
Date: Nov. 19, 1.2L
2020  Volume of
Cooling Tank:
2.5L-3.0L
CCTV

SN:  Size: 4¼” x

CTV0591GDS 3½”
A272  Angle of view: 10 4 2,500 10,000 1,071.43 8,928.57 892.86
70degrees
Purchase  Lens: 4mm.
Date: Nov. 19,
2020
91
  Size: 39” x 8” x
Air
13”
Conditioning
 Power
unit
Consumption:
870W
SN:
HSJHF892573  Cooling 12 1 18,500 18,500 1,982.14 16,517.86 1,376.49
Capacity:
10,150kj/h
Purchase
Date: Nov. 19,  Energy
2020 Efficiency
Ratio: 11.7
TOTAL 45,300 4,853.57 40,446.43 3,461.31

92
 Table 32
Store Furniture & Fixtures

UNIT
EST. TOTAL INPUT COST, NET
# OF COST DEPRECIATION
NAME IMAGE SPECIFICATION USEFUL COST (IN VAT (IN OF VAT
UNITS (IN (IN PHP)
LIFE PHP) PHP) (IN PHP)
PHP)
Modular
table
 Size: 60” x
SN: MDT-
45” x 32”
2448PF 8 3 4,999 14,997 1,606.82 13,390.18 1,673.77
 Capacity:
Purchase 4pax – 6pax
Date: Nov.
25, 2020
Small table

SN: SM-  Size: 30” x

788567SD 25” x 32”
8 4 2,499 9,996 1,071 8,925 1,115.63
 Capacity:
Purchase 1pax – 2pax
Date: Nov.
25, 2020
Chairs

SN:  Size: 20” x

9987SCH 18” x 37”
6 20 1,449 28,980 3,105 25,875 4,312.50
 Capacity:
Purchase 1pax
Date: Nov.
25, 2020
TOTAL 53,973 5,782.82 48,190.18 7,101.90

93
 Table 33
Production Tools

UNIT TOTAL COST,

INPUT
DATE OF # OF COST COST NET OF
NAME IMAGE SPECIFICATIONS VAT (IN
PURCHASE UNITS (IN (IN VAT (IN
PHP)
PHP) PHP) PHP)
 Nylon handle
 Absorbs 50% less heat
 Heat-resistant up to
Turners Nov. 28, 2020 450 degrees 5 55 275 29.46 245.54
 Sanitary-sealed handle
 L: 12 in; W: 3 in; Blade
Length: 5 in
 Durable stainless steel
construction
 4-sided design with a
different size grater per
Grater Nov. 28, 2020 1 185 185 19.82 165.18
size
 With non-slip base for
stability
 H: 9 in; W: 6 in; L:7 in
 Built-in capacity
indicators for accurate
portioning
Food  Can withstand
storage Nov. 28, 2020 temperatures from -40 5 200 1000 107.14 892.86
container to 210 degrees
Fahrenheit
 H: 9 in; W: 18 in; L:26
in

94
  Durable, northern hard
birch wood construction
Wooden
cutting  Features a reversible 401.79
Nov. 28, 2020 3 150 450 48.21
board design for extended
use and increased
longetivity

 Built-in, anti-jam
stacking lugs for easy
separation and lifting
Food pan Nov. 28, 2020 5 200 1000 107.14 892.86
 Impact-resistant
 H: 4 in; W: 13 in; L:21
in

 Durable 20-gauge
stainless steel
 With riveted-on handles
Frying
Nov. 28, 2020 to ensure longetivity 2 850 1700 182.14 1517.86
pan
and secure connection
 Top diameter: 10 in;
Gauge: 20 gauge
 Durable stainless steel
construction
 With subtle satin finish
Cooking
pan
Nov. 28, 2020  Oven safe up to 300 5 800 4000 428.57 3571.43
degrees Fahrenheit
 H: 3 in; Top Diameter:
10 in

95
  High- carbon, no stain
German cutlery steel
 Resists rust, corrosion
Knife set Nov. 28, 2020 and discoloration 1 2500 2500 267.86 2232.14
 Satin finish stainless
steel
 Non-marking base

 Stainless steel
construction
 3-piece design
 Easy to disassemble
Milk tea
Nov. 28, 2020 and clean 3 250 750 80.36 669.64
shaker
 16 oz.
 H: 8 in; Bottom
Diameter: 2.5 in;
Opening Diameter: 2

Stainless  Medium weight; 18/0

steel stainless steel
Nov. 28, 2020 1 2000 2000 214.29 1785.71
utensils  Medium weight; L: 6 -
(set) 8.5 in

TOTAL 13,860 1,485 12,375

96
Table 34
Kitchen Supplies

UNIT TOTAL INPUT COST, NET

DATE OF # OF
NAME IMAGE SPECIFICATIONS COST (IN COST (IN VAT (IN OF VAT (IN
PURCHASE UNITS
PHP) PHP) PHP) PHP)
 Canvas
Waterproof
Apron
Nov. 30,  Black
Apron 3 150 450 48.21 401.79
2020  Canvas-made
with buttons
 67.5cm*74.5cm-
26.57"*29.33"

 Washable Pierre
Nov. 30,
Hair net hairnet 10 5 50 5.36 44.64
2020
 Black

 Biodegradable
trashbag
Trash bag Nov. 30,
 Large 1 250 250 26.79 223.21
(pack) 2020
 SKU: 112722

97
Dishwashing Nov. 30,  500 ml.
7 40 280 30 250
Liquid 2020  SKU: 106446

 Cast
Polyethylene
Disposable Nov. 30, Disposable
5 35 175 18.75 156.25
Gloves (pack) 2020 gloves
 Large
 SKU: 118722

 Premium Foam
Lined Gloves
Rubber Nov. 30,
 Large 2 100 200 21.43 178.57
Gloves 2020
 13” Cuff gloves
 SKU: 120998

 Cloth potholder
Nov. 30,
Potholder  Large 10 5 50 5.36 44.64
2020
 SKU: 116467

 Heavy-duty
plastic
Nov. 30,
Trash bin construction 3 500 1500 160.71 1,339.29
2020
 H: 30 in; W:
46.89 in; L: 20in

TOTAL 2,955 316.61 2,638.39

98
 Table 35
Office Supplies
TOTAL COST, NET
DATE OF UNIT COST INPUT VAT
NAME IMAGE SPECIFICATIONS # OF UNITS COST (IN OF VAT (IN
PURCHASE (IN PHP) (IN PHP)
PHP) PHP)

 Size: 8’’ x
13”
Record Dec. 1,
 80 leaves 1 80 80 8.57 71.43
Book 2020

 Colors: red,
Dec. 1, black and
Ballpen blue 5 20 100 10.71 89.29
2020

 Size: 8.5’’ x
11”
 500sheets
Bond Dec. 1,  70gsm 1 300 300 32.14 267.86
paper (rim) 2020  Color: Ultra
white

 Mini-desktop
type
 Display: 16
Dec. 1, digits
Calculator 1 500 500 53.57 446.43
2020  Power: Solar
and battery

99
 Dec. 1,
Stapler  Large-sized 1 90 90 9.64 80.36
2020

Dec. 1,  Assorted
Paper clips 1 80 80 8.57 71.43
2020 plastic

Dec. 1,
Pencil 5 10 50 5.36 44.64
2020

Dec. 1,
Scissors 2 45 90 9.64 80.36
2020

Dec. 1,
Cutter 2 45 90 9.64 80.36
2020

100
File holder
Dec. 1,  Plastic file 267.86
2 150 300 32.14
2020 dividers

Dec. 1,  Rubber
Eraser 2 15 30 3.21 26.79
2020 eraser

 Capacity: 3.2
galon
 Dimensions:
10 1/2" d x
12 3/4" h
Dec. 1,
Trash bin  Weight: 4 lbs 2 1,000 2,000 214.29 1,785.71
2020
 Setting:
Indoor
 Material:
Stainless
Steel
TOTAL 3,710 397.50 3,312.50

101
 Table 36
Store Tools
UNIT TOTAL COST, NET
DATE OF # OF INPUT VAT
NAME IMAGE SPECIFICATIONS COST (IN COST (IN OF VAT (IN
PURCHASE UNITS (IN PHP)
PHP) PHP) PHP)
 Size: 8” x 5” x
1”
 Type:
Dec. 3,
Plates Stainless 25 50 1,250 133.93 1,116.07
2020
 Maximum
Load: 2 pcs.
of taco
 Size: 7” x 3” x
1 & 5” x 3” x 1
 Type:
Divided Dec. 3, Stainless
25 20 500 53.57 446.43
Sauce Dish 2020  Maximum
capacity: 150
grams and
100 grams

 Thickness:
Silverware Dec. 3, 3.5mm
3 350 1,050 112.50 937.50
(set) 2020  Type:
Stainless

 Thickness:
Dec. 3, 1mm
Thong 15 55 825 88.39 736.61
2020  Length: 10”
 Weight: 25g

102
  Size: 18” x 12”
Dec. 3,
Food tray
2020  Type: Durable 5 50 250 26.79 223.21
plastic

 Height: 7”
 Weight: 15.4g
Stainless Dec. 3,
straw 2020  Type: 25 20 500 53.57 446.43
Reusable
stainless steel

 Thickness:
Hand 0.024mm
Dec. 3,
gloves  Type: 30 50 1,500 160.71 1,339.29
2020
(pack) Transparent
plastic

 Sizes: S
(36”x24”x30”);
M
(40”x35”x31”);
Laboratory Dec. 3,
L 25 200 5,000 535.71 4464.29
gowns 2020
(40”x27”x32”)
 Thickness:
0.25mm
 Type: Cotton

103
  Diameter: 3.5”
Beaker Dec. 3,  Height: 5”
25 150 3,750 401.79 3,348.21
Mugs 2020  Capacity:
600ml

 Size: 5” x 5.5”
Dec. 3,
Tissue  Sheets per 50 30 1,500 160.71 1,339.29
2020
(pack) pack: 1,000

 Type: Spin
Dec. 3, Mop
Mop 1 369 369 39.54 329.36
2020  Head Mop:
Microfiber

 Pole length:
35”
Broom with Dec. 3,
 Type: Plastic 1 450 450 48.21 401.79
Dustpan 2020
 Weight:
1.17kg

104
  Heavy-duty
plastic
Dec. 3, construction
Trash bin 3 500 1,500 160.71 1,339.29
2020  H: 30 in; W:
46.89 in; L:
20.31 in

TOTAL 18,444 1,976.14 16,467.86

LEASEHOLD IMPROVEMENTS

Table 37
Leasehold Improvements
EST. # OF UNIT TOTAL LABOR AND TOTAL COST, NET
INPUT VAT DEPRECIATION
NAME IMAGE SPECIFICATIONS USEFUL UNIT COST (IN PURCHASE INSTALLATION COST (IN OF VAT (IN
(IN PHP) (IN PHP)
LIFE S PHP) COST COST PHP) PHP)

Carpeting
and
Flooring  1 square
(Tiles) meter 10 60 3,380 202,800 30,000 232,800 24,942.86 207,857.14 20,785.71
flooring
Purchase
Date: Oct.
20, 2020

Electrical
and
Plumbing  Lights
Additions  20 m Wires
5 10 10,000 100,000 30,000 130,000 13,928.57 116,071.43 23,214.29
 PVC Pipes,
Purchase etc. (set)
Date: Oct.
20, 2020

105
 Interior
Walls  Set
Design wallpaper
 Size: 63.5 5 200 350 70,000 30,000 100,000 10,714.29 89,285.71 17,857.14
Purchase cm x 63.5
cm
Date: Oct.
22, 2020

Interior
Concrete  Interior
Walls or concrete
Divider walls /
10 1 45,000 45,000 25,000 70,000 7,500.00 62,500.00 6,250.00
Divider
Purchase  Size:
8mx10m
Date: Oct.
20, 2020

Ceilings  Wood plates

ceiling
10 28 1,599 44,772 30,000 74,772 8,011.29 66,760.71 6,6767.07
Purchase  Size: 200
Date: Oct. mm x 100
20, 2020

Exhaust
Fan
 ABS plastic
SN: grille casing
EFS30678  Self- 5 1 1,350 1,350 30,000 31,350 3,358.93 27,991.07 5,598.21
542 lubricating
 35 watts
Purchase
Date: Oct.
22, 2020

106
 Glass
Door

SN:  Aluminum
GDAS4568  Double 10 1 35,000 35,000 30,000 65,000 6,964.29 58,035,71 5,803.57
glass door
Purchase
Date: Oct.
22, 2020
Kitchen
Sink
 Satin finish
SN:  Welded
KSDE0047 stainless
89 10 2 5,000 10,000 30,000 40,000 4,285.71 35,714.29 3,571.43
steel
 Cross-
Purchase bracing
Date: Oct.
22, 2020
Lavatory
 Ceramic
SN: SM-
Basin
VS276
 White 10 1 10,000 10,000 5,000 15,000 1,607.14 13,392.86 1,339.29
Purchase  Voltaire 18"
Date: Oct. square
22, 2020
Store
Counter
10 100,000 10,714.29 89,285.71 8,928.57
Contract
Date: Oct.
22, 2020
TOTAL COST 111,679 518,922 240,000 758,922 81,313.07 677,608.93 91,095.71

107
PRODUCT COST

Presented hereunder are the product costs of the different variants offered

by Taco Lab.

Direct Materials Requirement

The presented unit cost of each taco and milk tea is based on direct

materials needed in producing one large-sized taco tortilla, and a 500-ml serving

of milk tea, respectively.

Table 38
List of Direct Materials of Adobo Taco
ADOBO VARIANT
QUANTITY UNIT OF COST PER UNIT
ITEM UNIT COST
REQUIRED MEASUREMENT MEASUREMENT
Chicken 50 grams ₱0.17 ₱8.42
Taco Shells 1 piece 6.53 6.53
Lettuce 10 grams 0.22 2.21
Cheese 10 grams 0.19 1.87
Tomatoes 5 grams 0.07 0.34
White Onions 5 grams 0.04 0.20
Cucumber 5 grams 0.06 0.31
Sauce Mix 2 grams 0.84 1.68
TOTAL ₱21.56
Costing based on one large tortilla of taco*

Table39
List of Direct Materials of Humba Taco
HUMBA VARIANT
QUANTITY UNIT OF COST PER UNIT
ITEM UNIT COST
REQUIRED MEASUREMENT MEASUREMENT
Pork 50 grams ₱0.20 ₱9.99
Taco Shells 1 piece 6.53 6.53
Lettuce 10 grams 0.22 2.21
Cheese 10 grams 0.19 1.87
Tomatoes 5 grams 0.07 0.34
White Onions 5 grams 0.04 0.20
Cucumber 5 grams 0.06 0.31
108
 Sauce Mix 2 grams 0.84 1.68
TOTAL ₱23.13
Costing based on one large tortilla of taco*
Table 40
List of Direct Materials of Hamonado Taco
HAMONADO VARIANT
QUANTITY UNIT OF COST PER UNIT
ITEM UNIT COST
REQUIRED MEASUREMENT MEASUREMENT
Pork 50 grams ₱0.20 ₱9.99
Taco Shells 1 piece 6.53 6.53
Lettuce 10 grams 0.22 2.21
Cheese 10 grams 0.19 1.87
Tomatoes 5 grams 0.07 0.34
White Onions 5 grams 0.04 0.20
Cucumber 5 grams 0.06 0.31
Sauce Mix 2 grams 0.84 1.68
TOTAL ₱23.13
Costing based on one large tortilla of taco*

Table 41
List of Direct Materials of Bistek Taco
BISTEK VARIANT
QUANTITY UNIT OF COST PER UNIT
ITEM UNIT COST
REQUIRED MEASUREMENT MEASUREMENT
Beef 50 grams ₱0.36 ₱18.02
Taco Shells 1 piece 6.53 6.53
Lettuce 10 grams 0.22 2.21
Cheese 10 grams 0.19 1.87
Tomatoes 5 grams 0.07 0.34
White Onions 5 grams 0.04 0.20
Cucumber 5 grams 0.06 0.31
Sauce Mix 2 grams 0.84 1.68
TOTAL ₱31.16
Costing based on one large tortilla of taco*
Table 42
List of Direct Materials of Classic Taco
CLASSIC VARIANT
QUANTITY UNIT OF COST PER UNIT
ITEM UNIT COST
REQUIRED MEASUREMENT MEASUREMENT
Beef 50 grams 0.36 18.02
Taco Shells 1 piece 6.53 6.53

109
Lettuce 10 grams 0.22 2.21
Cheese 10 grams 0.19 1.87
Tomatoes 5 grams 0.07 0.34
White Onions 5 grams 0.04 0.20
Cucumber 5 grams 0.06 0.31
Sauce Mix 2 grams 0.84 1.68
TOTAL 31.16
Costing based on one large tortilla of taco*
Table 43
List of Direct Materials of Special Milk Tea
SPECIAL MILK TEA
QUANTITY UNIT OF COST PER UNIT
ITEM UNIT COST
REQUIRED MEASUREMENT MEASUREMENT
Green tea 2 tea bags ₱6.00 ₱6.00
Tapioca
50 grams 0.13 6.25
pearls
Brown sugar 15 grams 0.05 0.75
Non-fat milk 80 milliliters 0.12 9.60
TOTAL ₱22.60
Costing based on 500ml serving of milk tea*

Direct Labor Cost

Also contributing to the product costs of each variant are the direct labor

requirements in producing one large-sized taco tortilla and a 500-ml serving of

milk tea. Presented hereunder are the schedules for total direct labor cost and

payroll register.

Table 44
Total Direct Labor Cost

TOTAL DIRECT LABOR COST

DIRECT DIRECT
HOURS TACO TACO LABOR LABOR
HOURLY DAILY
EMPLOYEE WORKED PRODUCED PRODUCED COST COST
RATE RATE
PER DAY PER DAY PER HOUR PER PER
UNIT BATCH
Cook 1 ₱50.34 8 ₱402.75 18.75 ₱1.34 ₱134.25
300
Cook 2 50.34 8 402.75 18.75 1.34 134.25
units
Total ₱100.69 ₱16.00 ₱805.50 37.5 ₱2.68 ₱268.5
110
 Table 45
Payroll Register

PAYROLL REGISTER
DAILY DAILY SALARY DEDUCTIONS
HOURLY MONTHLY
JOB TITLE RATE (8 RATE (6 TOTAL NET PAY
RATE RATE SSS PHILHEALTH PAG-IBIG
HOURS) HOURS) DEDUCTIONS
Assistant
₱550.00 - ₱68.75 ₱14,300.00 ₱580.00 ₱250.25 ₱286.00 ₱1,116.25 ₱13,183.75
Manager
Accountant - - - 10,000.00 - - - - 10,000.00
Bookkeeper 402.75 ₱302.06 50.34 7,853.63 320.00 175.00 157.07 652.07 7,201.55
Cook 1 402.75 - 50.34 10,471.50 420.00 183.25 209.43 812.68 9,658.82
Cook 2 402.75 - 50.34 10,471.50 420.00 183.25 209.43 812.68 9,658.82
Cashier 1 375.90 281.93 46.99 7,330.05 300.00 175.00 146.60 621.60 6,708.45
Cashier 2 375.90 281.93 46.99 7,330.05 300.00 175.00 146.60 621.60 6,708.45
Service Crew 1 350.00 262.50 43.75 6,825.00 280.00 175.00 136.50 591.50 6,233.50
Service Crew 2 350.00 262.50 43.75 6,825.00 280.00 175.00 136.50 591.50 6,233.50
Dishwasher 1 350.00 262.50 43.75 6,825.00 280.00 175.00 136.50 591.50 6,233.50
Dishwasher 2 350.00 262.50 43.75 6,825.00 280.00 175.00 136.50 591.50 6,233.50
Total ₱3,910.05 ₱1,915.91 ₱488.76 ₱95,055.73 ₱3,460.00 ₱1,841.75 ₱1,701.13 ₱7,002.89 ₱88,053.84

*The gray-highlighted rows are the only costs related to direct labor. Other costs are either classified as selling or
administrative expenses, to which the tabular representations are then elaborated under “Schedule of Overhead and
Expenses”

111
Schedule of Overhead and Expenses

Lastly, indirect materials and labor, and other overhead expenses are

considered in determining the product costs. Overhead and expense

requirements in producing one large-sized taco tortilla and a 500-ml serving of

milk tea are presented below.

 Indirect Materials

Table 46
Indirect Materials of Adobo Taco
ADOBO VARIANT
ITEMS REQUIRED UNIT COST
Laurel ₱0.25
Pepper 0.08
Soy Sauce 0.30
Vinegar 0.11
Red Onion 0.23
TOTAL ₱0.97

Table 47
Indirect Materials of Humba Taco
HUMBA VARIANT
ITEMS REQUIRED UNIT COST
Plantain Banana ₱0.87
Pepper 0.08
Soy Sauce 0.30
Vinegar 0.11
Red Onion 0.23
Salted Beans 0.35
TOTAL ₱1.94

112
Table 48
Indirect Materials of Hamonado Taco
HAMONADO VARIANT
ITEMS REQUIRED UNIT COST
Pepper ₱0.08
Soy Sauce 0.30
Vinegar 0.11
Red Onion 0.23
Pineapple Juice 0.49
Tidbits 0.65
Sprite 0.39
TOTAL ₱2.25

Table 49
Indirect Materials of Bistek Taco
BISTEK VARIANT
ITEMS REQUIRED UNIT COST
Pepper ₱0.08
Soy Sauce 0.30
Vinegar 0.11
Red Onion 0.23
Calamansi 0.23
Oil 0.48
TOTAL ₱1.43

Table 50
Indirect Materials of Classic Taco
Table CLASSIC VARIANT
Indirect MaterialsITEMS
of Classic Taco
REQUIRED UNIT COST
Chili Powder ₱0.30
Ground Cumin 0.60
Garlic Powder 0.30
Ground Pepper 0.08
Tomato Sauce 0.50
TOTAL ₱1.78

Table 51
Indirect Materials for Special Milk Tea
CLASSIC VARIANT
ITEMS REQUIRED UNIT COST
Tubed ice ₱0.32
TOTAL ₱0.32

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 Indirect Labor – Employer’s Contribution for the Cooks

Table 52
Indirect Labor Schedule
SSS, PhilHealth, HDMF, (COOK)
EE ER PRODUCTION ANNUAL
DEDUCTIONS OVERHEAD
CONTRIBUTION CONTRIBUTION SHARE COST
SSS ₱840.00 ₱1680.00 100% ₱1680.00 ₱20,160.00
PhilHealth 366.50 366.50 100% 366.50 4,398.03
HDMF 418.86 418.86 100% 418.86 5,026.32
TOTAL ₱1,625.36 ₱2,465.36 100% ₱2,465.36 ₱29,584.35
Costing for the two (2) cooks employed in the business*

 Manufacturing Overhead
Table 53
Manufacturing Overhead Schedule
MANUFACTURING OVERHEAD
Component Annual
Depreciation ₱127,507.23
Utilities 170,000.00
Rent 180,000.00
Indirect Labor (including share of Asst Manager 30% of Annual Gross Pay) 79,966.32
Fixed Factory Overhead (Annually) 557,473.55
Annual Capacity 117,473.68
FIXED MANUFACTURING OVERHEAD PER UNIT ₱4.75

 Depreciation
Table 54
Depreciation Schedule
DEPRECIATION
COMPONENT ANNUAL DEPRECIATION
Production Machinery and Equipment ₱7,669.75
Production Furniture and Fixtures 870.36
Office Machinery and Equipment 15,161.12
Office Furniture and Fixtures 2,147.08
Store Machinery and Equipment 3,461.31
Store Furniture and Fixtures 7,101.90
Leasehold Improvements 91,095.71
TOTAL ₱127,507.23
LEGEND: (Particularly includible to:)
Overhead Expenses Administrative Expenses Selling expenses
114
 Utility – Electricity

Table 55
Utility Schedule - Electricity
Area Percentage Monthly Annually
Production Area 10.50 sqm 18% 1,530.00 18,360.00
Store Area 40 sqm 69% 5,865.00 70,380.00
Office Area 7.50 sqm 13% 1,105.00 13,260
TOTAL 58 sqm 100% 8,500.00 102,000.00

 Utility – Water Bill

Table 56
Utility Schedule – Water Bill
Area Percentage Monthly Annually
Production Area 10.50 sqm 18% 510.00 6,119.99
Store Area 40 sqm 69% 1,955.00 23,459.97
Office Area 7.50 sqm 13% 368.33 4,420
TOTAL 58 sqm 100% 2,833.33 34,000.00

 Utility – Telecommunications
Table 57
Utility Schedule - Telecommunications
Area Percentage Monthly Annually
Production Area 10.50 sqm 18% - -
Store Area 40 sqm 69% 1,192.08 14,304.96
Office Area 7.50 sqm 13% 224.59 2,695
TOTAL 58 sqm 100% 1,416.67 17,000.00

 Utility – Gas
Table 58
Utility Schedule - Gas
Area Percentage Monthly Annually
Production Area 10.50 sqm 18% 1,416.67 17,000.00
Store Area 40 sqm 69% - -
Office Area 7.50 sqm 13% - -
TOTAL 58 sqm 100% 1,416.67 17,000.00

115
 Leasehold Improvements

Table 59
Leasehold Improvements Schedule
ALLOCATION OF DEPRECIATION FOR LEASEHOLD IMPROVEMENTS
COMPONENT AREA (SQM.) PERCENTAGE TOTAL ANNUAL COST
Fixed Overhead 10.5 18% ₱16,397.23
Selling Expenses 40 69% 62,856.04
Administrative Expenses 7.5 13% 11,842.44
TOTAL 58 100% ₱91,095.71

 Rent
Table 60
Rent Schedule
RENT
COMPONENT AREA (SQM.) PERCENTAGE TOTAL ANNUAL COST
Fixed Overhead 10.5 19% ₱180,000.00
Selling Expenses 38 68% 651,428.57
Administrative Expenses 7.5 13% 128,571.43
TOTAL 56 100% ₱960,000.00

 Variable Overhead per Unit

Table 61
Variable Overhead per Unit Schedule
VARIABLE OVERHEAD PER UNIT
Variant Variable Overhead Per Unit
Adobo Taco ₱0.97
Humba Taco ₱1.94
Hamonado Taco ₱2.25
Bistek Taco ₱1.43
Classic Taco ₱1.78
Special Milk Tea ₱0.32

116
  Selling Expenses

Table 62
Selling Expense Portion of Payroll Schedule
Annual Annual
Daily Daily Net
Hourly Monthly Salary Deductions Expenses Selling Selling
Job Title Rate Rate Monthly
Rate Rate Pag- Total Monthly Share Expense
(8hrs) (6hrs) SSS PhilHealth Pay
IBIG Deductions Rate *12
Assistant
₱550.00 - ₱68.75 ₱14,300 ₱580.00 ₱250.25 ₱286.00 ₱1,116.25 ₱13,183.75 ₱171,600 20% ₱34,320.00
Manager
Cashier 1 375.90 281.93 46.99 7,330.05 300.00 175.00 146.60 621.60 6,708.45 87,960.60 100% ₱87,960.60
Cashier 2 375.90 281.93 46.99 7,330.05 300.00 175.00 146.60 621.60 6,708.45 87,960.60 100% ₱87,960.60
Service Crew 1 350.00 262.50 43.75 6,825.00 280.00 175.00 136.50 591.50 6,233.50 81,900.00 100% ₱81,900.00
Service Crew 2 350.00 262.50 43.75 6,825.00 280.00 175.00 136.50 591.50 6,233.50 81,900.00 100% ₱81,900.00
Dishwasher 1 350.00 262.50 43.75 6,825.00 280.00 175.00 136.50 591.50 6,233.50 81,900.00 100% ₱81,900.00
Dishwasher 2 350.00 262.50 43.75 6,825.00 280.00 175.00 136.50 591.50 6,233.50 81,900.00 100% ₱81,900.00
TOTAL ₱2,701.80 ₱1,613.85 ₱337.73 56,260.10 ₱2,300.00 ₱1,300.25 ₱1,125.20 ₱4,725.45 ₱51,534.65 ₱675,121.20 100% ₱675,121.20

Table 63
Employer’s Share Schedule for Sales-related Employees
Selling Expense Annual Selling
Employee Monthly Salary SSS PhilHealth HDMF Total Employer's Share Selling Expense
Share Expense
Cashier 1 ₱7,330.05 ₱600.00 ₱175.00 ₱146.60 921.60 100% 921.60 ₱11,059.21
Cashier 2 7,330.05 600.00 175.00 146.60 921.60 100% 921.60 11,059.21
Service Crew 1 6,825.00 560.00 175.00 136.50 871.50 100% 871.50 10,458.00
Service Crew 2 6,825.00 560.00 175.00 136.50 871.50 100% 871.50 10,458.00
Dishwasher 1 6,825.00 560.00 175.00 136.50 871.50 100% 871.50 10,458.00
Dishwasher 2 6,825.00 560.00 175.00 136.50 871.50 100% 871.50 10,458.00
TOTAL ₱41,960.10 ₱3,440.00 ₱1,050.00 ₱839.20 ₱5,329.20 100% ₱5,329.20 ₱ 63,950.42

117
  Administrative Expenses

Table 64
Administrative Expense Portion of Payroll Schedule
Annual Administrative
Salary Deductions Share Expense
Daily Rate Daily Rate Hourly Monthly Net Monthly Expenses
Job Title
(8hrs) (6hrs) Rate Rate Total Pay Monthly
SSS PhilHealth Pag-IBIG
Deductions Rate *12
Assistant
₱550.00 - ₱68.75 ₱14,300.00 ₱580.00 ₱250.25 ₱286.00 ₱1,116.25 ₱13,183.75 ₱171,600.00 50% ₱85,800.00
Manager
Bookkeeper 402.75 ₱302.06 50.34 7,853.63 320.00 175.00 157.07 652.07 7,201.55 94,243.50 100% 94,243.50
Accountant - - - 10,000.00 - - - - 10,000.00 120,000.00 100% 120,000.00
Total ₱952.75 ₱302.06 ₱119.09 ₱32,153.63 ₱900.00 ₱425.25 ₱443.07 ₱1,768.32 ₱30,385.30 ₱385,843.50 100% ₱300,043.50

Table 65
Employer’s Share Schedule for Administrative-related Employees
Total Admin
Admin Annual Admin
Employee Monthly Salary SSS PhilHealth HDMF Employer's Expense
Expense Expense
Share Share
Assistant Manager ₱14,300.00 ₱1,160.00 ₱250.25 ₱286.00 ₱1,696.25 100% ₱1,696.25 ₱20,355.00
Bookkeeper 7,853.63 640.00 175.00 157.07 972.07 100% 972.07 ₱11,664.87
Accountant - - - - - - - -
Total 22,153.63 1,800.00 425.25 443.07 2,668.32 100% 2,668.32 ₱32,019.87

118
 Total Unit Cost

Table 66
Total Unit Cost per Unit Schedule
TOTAL UNIT COST
Direct Direct Variable Fixed
Total Unit
Variant Material Labor per Overhead Overhead
Cost
per unit unit per unit per Unit
Adobo Taco ₱21.56 2.69 0.97 4.75 ₱29.97
Humba Taco ₱23.13 2.69 1.94 4.75 ₱32.51
Hamonado Taco ₱23.13 2.69 2.25 4.75 ₱32.82
Bistek Taco ₱31.16 2.69 1.43 4.75 ₱40.03
Classic Taco ₱31.16 2.69 1.78 4.75 ₱40.38
Milk Tea ₱22.60 2.69 0.32 4.75 ₱30.36

Waste Disposal Management

Cleanliness and sanitation shall be maintained at all times at the

business premises. There shall be trash bins each for biodegradable, non-

biodegradable and recyclable wastes, and which shall be available at the office,

store and production areas. These trash bins shall have garbage bags inside for

easier disposal. The garbage bags for biodegradable and non-biodegradable

shall be disposed at night after operating hours to the commercial building’s

waste storage area, which are then collected by the garbage collectors every

morning. Whereas, recyclable wastes are to be recycled if such are still

completely usable, or donated to non-profit environmental organizations.

119
APPENDICES

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Food and Drug Administration (FDA) Application Form

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130
 Far Eastern University

Sampaloc, Manila

Demand Questionnaire

Dear Respondents,

We, fifth year Accountancy students of Far Eastern University, are currently conducting a
feasibility study on Taco Lab, a proposed Filipino-Mexican food venture which offers an
unlimited “find-your-own-perfect-ingredients” taco complemented with milk tea. This will serve
as our partial fulfillment of the requirements for the course Management Consultancy.

In this regard, we would like to seek your assistance and a few minutes of your time to
accomplish this questionnaire honestly and objectively. Rest assured that the data you will
provide will be treated with utmost confidentiality and will be used for academic purposes only.
Thank you for your cooperation.

Proponents of the Business

Directions: Put a check mark (✓) in the box that corresponds with your
answer.

PART I. RESPONDENT’S PROFILE

Name of Respondent: (optional) ____________________________________

Gender:
⃞ Male ⃞ Female
Age:
⃞ 18-19 years old ⃞ 22-23 years old
⃞ 20-21 years old ⃞ 24-25 years old
Name of School:
⃞ Centro Escolar University ⃞ La Consolation College - Manila
⃞ San Beda University ⃞ University of the East - Manila
Source of Income:
⃞ Allowance ⃞ Others, please specify ___________
⃞ Salary

Weekly spending on food:

⃞ Below 500
⃞ Php 501 – 1,000
⃞ Php 1,001 – 1,500
⃞ Php 2,001- 2,500
⃞ Above Php 2,500

Family Income
⃞ Below Php10,000 ⃞ Php100,001-250,000
131
 ⃞ Php10,001-50,000 ⃞ Php250,001-500,000
⃞ Php50,001-100,000 ⃞ Above Php500,000
PART II. SURVEY QUESTIONS
1. How often do you eat at an unlimited (eat-all-you-can) restaurants?
⃞ Daily
⃞ 1-2 times a week
⃞ 3-4 times a week
⃞ 5-6 times a week
⃞ 1-3 times a month

2. Which of the following do you consider when eating at an unlimited (eat-all-

you-can) restaurants?
⃞ Price ⃞ Service
⃞ Food ⃞ Facilities
⃞ Dining experience ⃞ Others, please specify _________
3. Why do you eat at an unlimited (eat-all-you-can) restaurants?
⃞ Usual lunch / dinner ⃞ Celebration (birthdays, other occasions)
⃞ Dates / Hangouts ⃞ Others, please specify _________

4. Usually, how many are you (and your companions) when eating at an eat-all-
you-can restaurants?
⃞ 1-2 persons ⃞ 5-6 persons
⃞ 3-4 persons ⃞ 7 persons and above

5. Do you eat taco? (If yes, proceed to number 7)

⃞ Yes ⃞ No

6. Are you willing to try taco?

⃞ Yes ⃞ No

7. Have you tried a taco restaurant which allows its customers make/prepare
their tacos in a laboratory-like restaurant setting?
⃞ Yes ⃞ No

8. Are you willing to try a taco restaurant which allows its customers
make/prepare their tacos in a laboratory-like restaurant setting?
⃞ Yes ⃞ No

9. Have you tried a taco restaurant which incorporates Filipino dishes in their
taco meals?
⃞ Yes ⃞ No

10. Are you willing to try (again) a taco restaurant which incorporates Filipino
dishes in their taco meals?
⃞ Yes ⃞ No

11. Have you tried a taco restaurant which offers unlimited tacos?
⃞ Yes ⃞ No
132
12. Are you willing to try (again) a taco restaurant which offers unlimited tacos?
⃞ Yes ⃞ No

13. How often do you eat/buy tacos?

⃞ Daily
⃞ 1-2 times a week
⃞ 3-4 times a week
⃞ 5-6 times a week
⃞ 1-3 times a month

14. Where do you often buy tacos?

⃞ Authentic Mexican Restaurants
⃞ Online marketplace
⃞ Local Restaurants
⃞ Street stalls/foodcarts/kiosks
⃞ Others, please specify _____________

15. Do you eat Filipino dishes? (If yes, proceed to number 17)
⃞ Yes ⃞ No

16. Are you willing to try Filipino dishes?

⃞ Yes ⃞ No

17. Which of the following Filipino dishes are you familiar with? (Check as
many as applicable)
⃞ Adobo
⃞ Humba
⃞ Hamonado
⃞ Bistek

18. Which of the following Filipino dishes have you already tried? (Check as many
as applicable)
⃞ Adobo
⃞ Humba
⃞ Hamonado
⃞ Bistek

19. How often do you eat/buy the said Filipino dishes?

⃞ Daily
⃞ 1-2 times a week
⃞ 3-4 times a week
⃞ 5-6 times a week
⃞ 1-3 times a month
20. Where do you often eat the said Filipino dishes?
⃞ Restaurants
⃞ At home
133
 ⃞ Canteen/eateries
⃞ Others, please specify _____________

21. What drink do you think will best complement our taco product?
⃞ Milk tea
⃞ Iced tea / Lemonade
⃞ Softdrinks
⃞ Water
⃞ Others, please specify _____________

22. How often do you drink/buy milk tea?

⃞ Daily
⃞ 1-2 times a week
⃞ 3-4 times a week
⃞ 5-6 times a week
⃞ 1-3 times a month

23. What time of the day do you prefer buying/eating taco meals?
⃞ Morning ⃞ Noon
⃞ Afternoon ⃞ Night
⃞ Any time of the day

24. Are you willing to buy a new variant of taco (Taco filled with Filipino dishes
said above, in addition to its usual ingredients)?
⃞ Yes ⃞ No

25. Which taco shell do you prefer more?

⃞ Hard ⃞ Soft

26. Which of the said Filipino dishes do you prefer to be combined with your
taco? (Check as applicable)
⃞ Adobo ⃞ Bistek
⃞ Humba ⃞ Just the classic taco (Mexican-Style)
⃞ Hamonado

27. How many tacos (large-sized) can you consume in a two-hour unlimited
dining?
⃞ 1-2 pieces ⃞ 5 pieces
⃞ 3 pieces ⃞ 6 pieces
⃞ 4 pieces ⃞ 7 pieces or more

28. How often are you willing to buy an unlimited taco in a month?
⃞ 1 time only ⃞ 6-7 times
⃞ 2-3 times ⃞ 8 times or more
⃞ 4-5 times

134
29. How much are you willing to pay for a two-hour unlimited taco served with a
milk tea?
⃞ Php350 or below ⃞ Php401-450
⃞ Php351-400 ⃞ Over Php450

30. What advertising materials appeal to you the most? Select only one.
⃞ Word of Mouth ⃞ Social Media Advertisements
⃞ Print Ads ⃞ Others, please specify _______________

31. What factors are deemed important to you in buying a meal? Rank the
following characteristics from 1 to 11. (Number 1 being the highest.)

Price
Taste
Presentation
Brand Name
Nutritional Value
Product Customization
Freshness
Promotion
Uniqueness of service / products offered
Restaurant experience
Accessibility of business location

135
 Far Eastern University
Sampaloc, Manila
Supply Questionnaire

Dear Respondents,
We, fifth year Accountancy students of Far Eastern University, are currently conducting
a feasibility study on Taco Lab, a proposed Filipino-Mexican food venture which offers
an unlimited “find-your-own-perfect-ingredients” taco complemented with milk tea. This
will serve as our partial fulfillment of the requirements for the course Management
Consultancy.
In this regard, we would like to seek your assistance and a few minutes of your time to
accomplish this questionnaire honestly and objectively. Rest assured that the data you
will provide will be treated with utmost confidentiality and will be used for academic
purposes only. Thank you for your cooperation.
Proponents of the Business

Directions: Put a check mark (✓) in the box that corresponds with
your answer.

Part I. Respondent’s Profile

1. Name of Business (optional): _________________________________

2. Location of the business: ____________________________________

3. Years in business:
⃞ 1 year and below
⃞ 2 – 5 years
⃞ 6 – 9 years
⃞ 10 – 13 years
⃞ 14 – 17 years
⃞ 18 – 21 years
⃞ 22 – 25 years
⃞ 25 years above

4. When you started, how many competitors did you have?

⃞0–1 ⃞8–9
⃞2–3 ⃞ 10 – 12
⃞4–5 ⃞ More than 12
⃞6–7

136
 5. In succeeding years, how many competitors are added per year?
⃞ 0 – 20 competitors ⃞ 81 – 100 competitors
⃞ 21 – 40 competitors ⃞ 101 – 120 competitors
⃞ 41 – 60 competitors ⃞ 121 – 140 competitors
⃞ 61 – 80 competitors ⃞ More than 141 competitors

Part II. Survey Questions

1. Do you operate as an unlimited (eat-all-you-can) food venture?
⃞ Yes ⃞ No

2. Do you offer special (marginal) utility to the customers other than

just serving your products? (If yes, proceed to number 3. If no,
proceed to number 4.)
⃞ Yes ⃞ No

3. What business tactics do you employ?

⃞ Product promos ( Ex. Buy-One-Take-One)
⃞ “Instagrammable” dining area / store
⃞ Birthday / holiday treats
⃞ Others, please specify: _________________

4. How many days do you operate in a week?

⃞ 1 – 2 days ⃞ 5 days
⃞ 3 days ⃞ 6 days
⃞ 4 days ⃞ 7 days

5. If operating less than seven (7) days a week, on what day/s do you
NOT operate? (Check as many as applicable. If operating for 7 days,
proceed to number 6.)
⃞ Monday ⃞ Friday
⃞ Tuesday ⃞ Saturday
⃞ Wednesday ⃞ Sunday
⃞ Thursday

137
6. How many hours do you operate in a day?
⃞ 5 hrs. and below ⃞ 15 – 17 hrs.
⃞ 6 – 8 hrs. ⃞ 18 – 20 hrs.
⃞ 9 – 11 hrs. ⃞ 21 – 23 hrs.
⃞ 12 – 14 hrs. ⃞ 24 hrs.

7. What are your operating hours? Please indicate. _________________

8. On what day/s of the week do you usually have the MOST number of
customers?
⃞ Monday ⃞ Friday
⃞ Tuesday ⃞ Saturday
⃞ Wednesday ⃞ Sunday
⃞ Thursday

9. On what day/s of the week do you usually have the LEAST number of
customers?
⃞ Monday ⃞ Friday
⃞ Tuesday ⃞ Saturday
⃞ Wednesday ⃞ Sunday
⃞ Thursday

10. On what time during the day do you usually have the MOST number
of customers?
⃞ 12 MN – 4:00 AM ⃞ 12:01 NN – 4:00 PM
⃞ 4:01 AM – 8:00 AM ⃞ 4:01 PM – 8:00 PM
⃞ 8:01 AM – 12:00 NN ⃞ 8:01 PM – 12:00 MN

11. On what time during the day do you usually have the LEAST number
of customers?
⃞ 12 MN – 4:00 AM ⃞ 12:01 NN – 4:00 PM
⃞ 4:01 AM – 8:00 AM ⃞ 4:01 PM – 8:00 PM
⃞ 8:01 AM – 12:00 NN ⃞ 8:01 PM – 12:00 MN

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12. During regular days, how many units/pieces do you sell?
⃞ 0 – 100 ⃞ 401 – 500
⃞ 101 – 200 ⃞ 501 – 600
⃞ 201 – 300 ⃞ More than 600
⃞ 301 – 400

13. During peak season, how many units/pieces do you sell?

⃞ 0 – 100 ⃞ 401 – 500
⃞ 101 – 200 ⃞ 501 – 600
⃞ 201 – 300 ⃞ More than 600
⃞ 301 – 400

14. Do you operate on holidays?

⃞ Yes ⃞ No

15. Do you have regular customers? (If yes, proceed to number 16. If no,
proceed to number 17.)
⃞ Yes ⃞ No

16. What age bracket do your regular customers come from? (Check as
many as applicable.)
⃞ 10 – 15 years old ⃞ 31 – 35 years old
⃞ 15 – 20 years old ⃞ 36 – 40 years old
⃞ 21 – 25 years old ⃞ 41 – 50 years old
⃞ 26 – 30 years old ⃞ Above 50 years old

17. On average, how many complaints do you receive in a week?

⃞ 5 and below ⃞ 16 – 20
⃞ 6 – 10 ⃞ 21 – 25
⃞ 11 – 15 ⃞ More than 25

18. How do you market your product/s? (Check as many as applicable.)

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 ⃞ Tarpaulins, posters ⃞ Social Media
⃞ Brochures ⃞ Referrals
⃞ Others, please
specify:__________

19. Do you consider your marketing strategy effective?

⃞ Yes ⃞ No

20. Is the demand for your business expanding? (If yes, proceed to
number 21.)
⃞ Yes ⃞ No

21. By how many percent is the demand for your business expanding?
Please specify. ___________

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REFERENCES:

Euromonitor International. (2019, April). Retrieved from euromonitor.com:

https://www.euromonitor.com/consumer-foodservice-in-the- philippines/report

Masigan, A. J. (2019, June 16). BusinessWorld. Retrieved from bworldonline.com:

https://www.bworldonline.com/trends-in-the-food- industry/

Mordor Intelligence. (2019). Retrieved from https://www.mordorintelligence.com/

industry-reports/philippines- foodservice-market

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