Chapter III

Technical and Production Aspect

This chapter of the paper explains in detail about the design and product components used from
start to finish. This also includes the raw materials used in making the product as well the production process of it.
This chapter likewise contains the production budget, capacity and the requirement plan to be able to produce the
.projected sales volume

A. Product Design and Production Process

1. Product Design and Component

Figure 3.1 Product Design and Component

The Figure 3.1 shows you the actual Bamboo Parquet which has the unique feature of low
thermal conductivity which means it absorbs heat, acid resistance, low water absorption and easy to maintain, it
also has good thermal performance that’s perfect for various type of atmosphere. And lastly it has a long service
.life meaning it’s very durable and it can be shaped freely

Table 3.1 Product Specifications

Bamboo Material

inches X 12 inches with millimiter thickness ; the size can also be customized upon 12 Size (L x H)
request

Interior and Aesthetics for Wall Decorations, Construction Usage

Hollow Type of Tile

Heat Insulation, Acid Resistant, Wear Resistant, Water Resistant Feature

It will be in a tertiary packaging wrapped in carton box and placed in a wooden pallet Packaging

2. Production Process and Flowchart

The company will utilize the batch process due to several reasons. The first reason is that batch
production has a lower capital costs and the production itself of producing eco-friendly tile is cheaper compared to
the traditional ceramic tile due to the use of recyclable waste products. It is also beneficial due to the demand of
.the product when it is not sufficient to keep a specific equipment or machinery to operate continuously

: The list of the step by step process of making the Bamboo Parquet are as follows

Figure 3.2 Production Process and Flowchart

3. Process Description
The Process Description explains the total required employees needed to perform the task, skills
needed, the process time, equipment used and number of parquet per batch. The data presented is the number of
.parquet produced per machine and processes to produced the final product

Page | 1
 Table 3.2
Step #1: Preparation of Raw Materials and Machinery/Quality Control of Raw Materials
Number of Pcs Per Equipment Process Time Skills needed No. of Employees
batch Required

N/A N/A minutes 20 QUALITY CONTROL 2

EXPERTISE

:Process, Equipment, and Tools used

4. GANTT Chart
Table 3.10
Gantt Chart for production of Eco-tiles
4:00- 3:00-4:00 2:00-3:00 1:00-2:00 12:00-1:00 11:00-12:00 10:00-11:00 9:00-10:00 8:00-9:00 Productio
5:00 PM PM PM PM NN AM AM AM n Stage
PM

am - 8:00 Raw
8:20 am Material
Quality
Control

am - 8:20 Grinding
8:30 am of Pili Nut
Shells

am - 8:30 Shredding
8:40 am of Plastic
Bottles

am - 8:40 am - 8:40 Box Feeder

9:25 am 9:25 am

am - 9:25 am - 9:25 Extrusion

10:25 am 10:25 am

Page | 2
 pm - 1:00 pm - 1:00 am - 10:25 am - 10:25 Drying
2:00 pm 2:00 pm 12:00 pm 12:00 pm

pm - 12:00 Break-time
1:00 pm (1 hr)

pm - 2:00 pm - 2:00 Firing

3:00 pm 3:00 pm

pm 4:00 pm - 4:00 Inspection

- 5:00 5:00 pm and
pm Packaging

B. Planning and Scheduling

1. Production and Capacity Budget
● Working hours per day: 8 hours
● Number of working days per week: 5 days

Table 3.11
Daily Production Capacity

Table 3.12
Production Forecast

2. Material Requirement Plan

Table 3.13
List of Quantity per Ingredient for each batch

Table 3.14
Materials Requirement Plan
The figure above explains the forecasted amount of ingredients needed in the year 2019 and it is how
.much of each ingredient is needed in producing the required volume to the certain demand of the product
C. Managing Total Quality
1. Quality Control
Many people get confused between quality control and quality assurance. Quality control is about
evaluating whether the product of a project meets the quality standards. It is performed after the product has been
completed. Quality assurance, on the other hand, is about ensuring that the product is produced in the right way. It
.is proactive and concerned about the processes and activities during the products development

Page | 3
According to American Society for Quality (ASQ), Quality Control consists of the observation techniques
and activities used to fulfill requirements for quality. Quality controls are the activities that are used to evaluate
whether the product or service meets the quality requirements specified for a project. It's important to note that
project quality controls are performed throughout the project. The standard strength of a Bamboo Parquet is at
2500-3000 pounds per square inch at climatic conditions, so the company ensures the same tile strength per
.production
The company will follow what other tile manufacturer used in determining the quality of the product. The
most commonly method used in density determination with the new Mercurymeter4, Hg-measurement machine
:(Low cost model) which is done as follow
a) The tile samples is lowered thru an operated immersion mechanism into a mercury containing receptacle, set
on an electronic balance. The upthrust of the immersed specimen is measured directly by the balance. The simple
.and robust machine enables running a fast automatic test with a super-design stainless steel mechanism

:Schematic illustration of the Mercurymeter4 machine with mercury

Page | 4
b) In the process, the tiles are automatically cut with a specially designed cutter into specimens of the same size of
1 ft x 1 ft ( 1 square feet or 12 inches x 12 inches). The quality controller selects the press and the test process
.starts
c) The tiles are weighed stepwise and their density is then calculated and correspondingly displayed on screen in
.the tile's field of specimens
d) After testing the last specimen, all side average values, total average value of the parquet, and total average
.value of the pressing run are graphically displayed on screen and can be printed out
e) The quality controller determine whether the tiles meet the quality requirements or whether press adjustments
.are needed
In the tile industry , quality and tolerances are subject to ever more demanding requirements. Application
of the ISO 9000 standards raises the need for production documentation, so that the method of determining
.density for quality control of green tile is becoming increasingly important
2. Quality Assurance Process and Procedures

The quality assurance processes and procedures will be done in part of the production process flow so
that the company can ensure its achievement of viscosity of each tile and avoid deteriorations in the production.
This process will also help extend the lifespan of the parquet, making it durable and ready for export quality.

The quality requirements are defined during the quality planning process. They include both project
processes and product goals. These quality control tools and techniques help in three ways. Confirm that the
project is meeting the quality standards. It provides a basis for corrective action. Lastly, provide feedback about the
quality assurance process.This part of the process is a vital step in the production of the eco-friendly tile, so we can
ensure that our product is good to go for quality testing. Inspection of the product is done at different stations in
the manufacturing process.

The raw materials necessary in producing the product will undergo certain quality checkpoints so that we
can estimate the volume of the materials needed for production. In addition certain strength tests are done so we
can properly understand the behavior the tile.

The seven basic tools of quality originated in Japan where a country known for the best quality of any
product that they provide or produced. It took place when the country was undergoing major quality revolution
and had become a mandatory topic as part of Japanese’s industrial training program. These tools which comprised
of simple graphical and statistical techniques were helpful in solving critical quality related issues which most not
only a Japanese firm but all of the manufacturing companies strive to bring up the best to go with the innovation of
the world. These tools were often referred as Seven Basic Tools of Quality because these tools could be
implemented by any person with very basic training in statistics and were simple to apply to solve quality-related
:complex issues. The seven tools are
● Cause and Effect Diagrams

Page | 5
● Check sheet

● Control charts

● Histograms

Page | 6
● Pareto charts

● Scatter plots

Page | 7
 ● Flow charts

With the use of the above quality tools , the company hopes to achieve that their product is within the
standards make sure that it consistently keeps up a high quality. Defects are detected before a product or service
goes public. The company will measures the standards that go into a product or service before it goes out to the

Page | 8
public. The company quality assurance will use independent auditors in-house, to evaluate the methods that go
into making products and providing services. When a company has a good quality assurance team, that lets
corporate management, customers, regulators and government officials know that a product or service meets
quality requirements.

D. Production and Operation Facilities Requirements

1. Location

2. Plant Size / Lay-out

Figure 3.14 Factory Layout

3. Building and Facilities

In building and facilities, we will be buying our own property, which is already computed for in the capital
of the corporation. Construction of the facilities will be made. Included in this will be the office, facility that will
.house the factory machinery and equipment and other related buildings that are needed in the company
4. Factory Machinery and Equipment

The table 3.15 shows below are the necessary machineries and components of it necessary for
.production
Table 3.15 Machinery and Equipment
Factory Machinery and Equipment .4

5. Rolling Equipment (Factory)

Table 3.16 Rolling Equipment
Source Cost Specifications Equipment

Steel Push Cart Steel Platform Push Cart

Php 7,950 Size (L x W x H cm):

www.lazada.com.ph 92 x 62 x 55
(x2 = Php 15,900)
Weight: 300kg

Load Capacity: 150kg

Quantity: 2

Page | 9
 Brand Name: HAIZHILI Hydraulic Hand Lift
Trolley
HAIZHILI Php 6,500 Weight: 74kg

www.alibaba.com (x2 = php 13,000) Load Capacity: 3 Ton

Quantity: 2

6. Factory Furniture and Fixtures

Table 3.17 Factory Furniture and Fixtures
Source Cost Specifications Furniture and Fixture

ECO-Green LED Eco-friendly LED Light Fluorescent Light Bulbs

www.lazada.com.ph Php 1,199 Lighting color: Warm White

30pcs needed Voltage: AC100-240V

(x30 = Php 35,9700
Power: 9W

Length: 60cm

Width: 3cm

Height: 3.2cm

Page | 10
 MJD Steel Enterprises Doors 15 Steel Lockers

www.olx.com.ph Length: 72 inches

Marikina City Width: 36 inches

15 doors = Php 8,300
Diameter: 18 inches

Quantity: 1

Length: 10.8 cm Fire Extinguisher

Powermate Dry Chemical Width: 18.4 cm

Fire Extinguisher Php 1,500
Height: 41.6 cm
www.lazada.com.ph (x10 = Php 15,000)
Weight: 5.5kg

Quantity: 10

Page | 11
 Mounting: Ceiling Fan Industrial Ceiling Fan

Six Blades Fan Blade Material: Aluminum

$1,600 or Php 80,000 Alloy
www.alibaba.com
(x6 = Php 480,000) Voltage: 22V/380V/415V
Shanghai, China
Fan Diameter: 8.0M/26FT

Height: 1300MM

Weight: 148kg

Power: 2.2KW

PE Foam Insulatoion Type: Single Sided Roll Foam Insulator

www.olx.com.ph Php 1350 per roll Width: 1m

San Pedro, Laguna 280 rolls needed Length: 50m

(x280 = Php 378,000)
Quantity: 280 rolls

Page | 12
 Uratex Back Rest Height: 780mm Chairs

www.uratex.com.ph Php 360 Seat Height: 375mm

Quezon City (x6 = 2,160) Seat Length: 355mm

Side Leg Distance: 365mm

Seat Width: 370mm

Gross Weight: 2.2kg

Quantity: 6

Uratex Quantity: 2 Table

www.uratex.com.ph Php 1,499 Weight: 5kg

Quezon City (x2 = 2998)

7. Office Machinery and Equipment

Table 3.18 Office Machinery and Equipment

Source Cost Specifications Office Machinery and Equipment

Page | 13
 PLDT Plan 2899 mbps 10 Telephone and DSL Connection
Quantity: 1
Sorsogon City per month

Canon Pixma MP287 Printer/Scanner

Php 4,700 Size: (L x W x H cm)

Canon 45 x 33.5 x 15.3
(x2 = 9,400)
www.lazada.com.ph Connectivity Type: USB

Function: Print, Copy, Scan

Weight: 3kg

Voltage: 220v

Wattage: 8w

Quantity: 2

Panasonic Fax Machine Laser Fax Machine

Panasonic
Php 6,660 Size: (H x W x D mm)
www.lazada.com.ph 352 x 224 x 121

Weight: 2.8kg

Voltage: 220v

Wattage: 10w

Quantity: 1

Page | 14
 AMD APU 3.8ghz Computer Desktop Computer
Package

AMD APU Computers Php 15,379 Size (L x W x H cm):

49 x 37 x 50
www.lazada.com.ph (x3 = Php 46,137)
Weight: 8kg

Quantity: 3

Panasonic Standard Air-condition

Inverter Split Type
Panasonic Php 25,199
Horsepower: 1.0
www.lazada.com.ph (x2 = Php 50,398)
Size (L x W x H cm):
86 x 20 x 29

Weight: 28kg

Quantity: 2

American Heritage Water Dispenser

Size (L x W x H cm):
American Heritage Php 999 42.5 x 31.5 x 32.5

www.lazada.com.ph (x2 = 1998) Weight: 2.3 kg

Quantity: 2

Page | 15
 LG
Refrigerator
Type: Smart Inverter

Size: (L x W x H):
55.5 x 140.0 x 62.0
LG Php 16,095
Volume Capacity:
www.lazada.com.ph 7.2 cu.ft

Wattage: 80w

Quantity: 1

Fujidenzo Microwave Oven

Size (L x W x H cm):
Fujidenzo 57 x 34 x 35
Php 2,798
www.lazada.com.ph Capacity: 20 Liters

Voltage: 220

Quantity: 1

8. Office Furniture and Fixtures

Table 3.19 shows the office Furnitures and Fixtures needed by the Company in its main office in Sorsogon,
.Sorsogon
Table 3.19 Office Furniture and Fixtures
Source Cost Specifications Office Furniture

Page | 16
MyHome ● Php 2,499.00 ● Quantity: 3 ● My HomeLP Pamela
Interior ● 3pcs needed (x3 ● Materials: Office Table (Light Gray)
Furnitures Co. = Php 7497.00) Laminated,
Las Pinas Melamine
● www.Lazada.co ● 90cm(W) x
m.ph 45cm(D) x
74cm(H)
● Weight: 19kg
● Simple Light
Gray Design

Cost U less ● Php 2,799.00 ● Quantity: 3 ● Ergodynamic EHC-P14

● Main Office is in ● 3pcs needed (x3 ● Model: Cost U High Back Mesh Office
Main Office, = Php 8,397.00) less total Chair with Headrest and
Lazada Office furniture & Tilting Mechanism (Black)
● www.Lazada.co Interior
m.ph solutions-EHC-
P14
● Size (L x W x H
cm): 61 x 64 x
117
● Weight: 11.5kg

Page | 17
Cost U less ● Php 2,499.00 ● Quantity: 1 ● Sumo AT-60S WHT White
● Main Office is in ● 1pc needed = ● Model: Cost U Top Aluminum Square
Main Office, Php 2,499.00 Less total Pantry Table (White)
Lazada Office furniture &
● www.Lazada.co interior
m.ph solutions-AT-60S
WHT
● Size (L x W x H
cm): 60 x 12 x 70
● Weight: 7.7kg

Novelle Office ● Php 4,800.00 ● Quantity: 4 ● Novelle Pantry (NC448)

.Furnitures Inc ● 4pcs needed (x4 ● Model: Novelle Chair gray
● www.Lazada.co = Php 19,200.00 Office Furniture
m.ph Inc-NOVChair-4

Pearl Panda ● Php 3,479.00 ● Quantity: 3 ● Kruzo Minimalist

● www.Lazada.co ● 3 pcs needed (x3 ● Size (L x W x H Home/Office 3 Drawer
m.ph = 10,437.00) cm: 40 x 40 x 60 Cabinet brown
● Material: Wood
● Model:
KRUZOdrawer
● Weight: 15kg

Page | 18
 Over Max ● Php 499.00 ● Quantity: 3 ● Layer Desk Mesh -3
● www.Lazada.co ● 3 pcs needed (x3 ● Model: 3-Layer Organizer Document
m.ph = 1497.00) Desk Mesh (Black)
Organizer
Document Paper
Tray (Black)

E. Supply Chain and Networks

1. Logistics/ Distribution Process

This part discusses the inbound and outbound logistics of Green Folks Inc. The Company aims to utilize the
sea delivery distribution process because of the cost effective than other ways of transport of the product. It is cost
effective because of the quantity of goods over long distances and this way of logistics is already widely used
.offering a more competitive rate provided by the company

1.1 Inbound Logistics

Figure 3.15 Inbound Logistics

Page | 19
The company inbound logistics is illustrated using figure 3.13 The Inbound Delivery will follow
process from: Supplier > Trucking System > Manufacturing Plant. The Inbound Delivery will only take three steps
because the manufacturing plant is located near the raw materials (Pampanga) to lessen transportation costs. The
Inbound Logistics involves the purchasing, transportation and warehousing the raw materials from the point
.retrieval of raw materials sourced out from different suppliers

1.2 Outbound Logistics

Figure 3.16 Outbound Logistics

The Outbound Logistics will involve 4 steps from: Manufacturing Plant > Forwarder/Consolidator
> Dubai Distributor > Consumers. The company will hire a trucking company to be in charge of delivery (Pampanga)
to main carriage (Subic FreePort). The finished Bamboo Parquet will be exported using a wooden pallet standard
size of 800mm x 600mm x 163mm. Each wooden pallet will be loaded with approximately 500 Bamboo Parquet per
wooden pallet and will be wrapped with plastic. Necessary export labeling and markings will also be placed. The
labels included in the tertiary packaging included the following: handling marks, shipper’s mark, the country of
origin, the number of the package, port of entry, consignee’s mark, destination and order number. Cautionary
markings are also needed to be placed on the tertiary packaging of the product and that includes the following:
.Fragile, Handle with care and keep dry

Before exporting , the company will make sure the important documentations have been prepared and
ready for submission before shipping schedule. The Export Documents are included in the following: Export
Declaration, Export Clearance, Commercial Invoice, Packing List, Bill of Lading, Certificate of Origin, Insurance Policy
and Post-loading Certificates. This are important labeling and markings that should be included in the tertiary
.packaging in order to ensure the safe handling and identification of goods for the shipment of the goods

F. Maintenance Policies

a. Facilities Maintenance Policies: Preventive, Break down, and Contro

Facilities shall be maintained to help prevent the risk of sacrificing quality control and at the same time
safety for employees in the manufacturing plant. Production will implement certain rules and procedures to
:promote safety of everyone working in the company. The certain preventive measures are as follows
➢ The employees will go through technical training programs to learn safe and careful manufacturing
without sacrificing quality of goods
➢ Employees would be under strict supervision of an officer-in-charge during the production process to
ensure everyone’s safety.
➢ Surveillance cameras will be installed inside and outside of the facility
➢ The machinery will undergo weekly maintenance checks and inspections
➢ Floors will be cleaned every day to ensure facility cleanliness and there will be general cleaning of the
whole facility every 2 weeks during maintenance checks of equipments
➢ Installation of ceiling fans to ensure adequate ventilation through the whole facility
➢ Exhaust fans will also be installed to ensure no chemical or heat build up in the production/manufacturing
facility
➢ Sustainable lighting would also provided to illuminate the production facility and to ensure quality or
accurate measurements of composition regarding of raw materials to produce the tiles.
➢ The company’s production facility will be equipped with fire alarms and smoke detectors to ensure safety
of employees. A sprinkler system will also be installed to prevent further damage of the manufacturing
facility in case of fire. Fire extinguishers will be placed on locations based on the fire safety enforcement

Page | 20
 manual under the Bureau of Fire Protection. Evacuation drills will also be held once a year to equip
employees of basic knowledge on what to do during these kinds of events. Employees will also learn and
will be trained on how to react in case of fortuitous events.

G. Environmental and Regulatory Compliance

a. Waste Management
In Pampanga (Calleja, Bayanihan, 2004), there is already a provincial ordinance wherein it provides a “no
segregation, no-collection” of household garbage in barangay level areas. It is specifically for biodegradable,
compostable and reusable waste but the collection of non-recyclable materials and special waste will be turned
.over to the responsibility of the municipality or city
The provincial approach to recycling is that the main purpose for it is to recover waste material and
convert it to its original form, such as paper or cardboard. The Solid Waste Management Plan will advocate such
practices as it diverts a considerable amount of useful materials present in the waste stream from being disposed
The Company’s goal is to develop an in-house waste management system to assist in of in landfills.
sustainability of the environment. The Solid Waste Management Act will be covering 10 barangays which makes
up the Central Business District (CBD). LGU’s will handle and operate the city-level Material Recovery Facility (MRF)
.to recover and process wastes collected from the Central Business District (CBD)

b. Clean Air Act (R.A. 8749)

There is an existing clean air act, Philippine Clean Air Act, Republic Act No. 8749, is a policy and has
programs for air quality management that aims to achieve and maintain clean air for the people. The Company’s
approach to this Clean Air Act is to ensure that all machinery and equipment will not produce any air pollutants
.during manufacturing or processing of the Eco-tiles through scheduled maintenance and check ups

c. Water Quality (R.A. 9275)

Republic Act No. 9275 is established on 2004 for Philippine Clean Water Act to ensure that water used in
production is clean before being disposed to nearby drainages and to protect major rivers and waterways from
.pollution

d. Other Regulatory Requirements such as BFAD; FDA;SEC and those that is needed to get the product or service
:into the market
1. Securities and Exchange Commission to register as a corporation
2. Export license must be secured from Bureau of Customs
3. Register with Philippine Exports Confederation Incorporated(PHILEXPORT)
4. Register employee names to Department of Labor and Employment (DOLE)
5. Register employee names to Social Security System (SSS)
6. Philippine Health Insurance Corporation (Philhealth)
7. Business permit and license must be secured from city where business is located
8. Tax license must be obtained from Bureau of Internal Revenue
9. Business name certification must be secured from Department of Trade and Industry
10. Open bank account for export business transactions
H. Conclusion
This chapter talks about the product design and process, planning and scheduling, managing total
quality control production and operation facilities requirements, supply chain and networks, maintenance policies
.and, environmental and regulatory compliance
In product design and process, the group came up with the design and the components of the
product. Shown are the diagram, dimensions and other essential components. The production process flowchart
and the process description also identify the routine on how to produce the product and what the process does. A
.GANTT chart is also seen for the production process
In planning and scheduling, production and capacity budget, and material requirements plan. The
production and capacity budget focuses on the forecasted production volumes. The material requirements plan
.focuses on the production planning and inventory control system that the company will use
In production and operation facilities requirements, the location, plant size, building and facilities,

Page | 21
and factory and office furniture and fixtures, and equipments are presented. In supply chain and networks, logistics
have discussed. The group was able to show the ways on how to get the product from the manufacturer to the
.consumer. All variables that are needed to complete the supply chain are present
Maintenance policies include programs to help improve employee output. Other policies include
surveillance of the factory itself, being able to watch over the production even when the managers are not present.
.First aid lessons will also be taught to other employees in the event of an accident
In environmental and regulatory compliance, laws that are applicable to the company are taken
.into account to make sure everything is done legally and correctly
Thus, in the over-all the technical and production aspect of the study provide a clear and precise
.view of the manufacturing process and indicate a feasible production of the eco-tiles in this project

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