Philippines Climate Change

Adaptation Project
(PhilCCAP)

BUSINESS
PLANNING
(Module 2)
April 22-24,2014

Review of Business
Planning Module 1
Output

Vision Statement
Is a mental image of a
possible or desirable future
state of a business
It has a quality of uniqueness
It suggests what in the future
should make the organization
singular or unequalled

MAFAMCO Vision
Statement

The members of Manga Upland

Farmers Multipurpose Cooperative
of Barangay Mangga, Penablanca,
Cagaya envision a community with a
sustainable economic growth whose
people are benefitting from it, and
who are educated, morally upright,
self-reliant, imbued with a sense of
well being, community oriented
and living in a balanced
environment.

MAFAMCO Mission
Statement

1. Creating job opportunities to increase

income of families
2. Effective and efficient delivery of basic
and social services
3. Increasing productivity through improved
support for agriculture, fishery and
forestry
4. Promoting sustainable use of natural
resources
5. Developing the human resource and
infrastructure support

MAFAMCO Goals
To uplift the socio-economic conditions of the
community members
To increase production levels by applying
appropriate and sustainable farming technologies
To generate livelihood and establish market
linkages
To promote enterprise development to create
employment opportunities
To promote environmental and biodiversity
conservation using appropriate sustainable
strategies in the Park
To empower community members to manage
their resources and affairs

MAFAMCO Objectives
1. To increase farm productivity using appropriate
farming and agroforestry technologies and
provision of irrigation facilities.
2. To construct support infrastructure and
facilities such as roads and bridges, school
buildings and health facilities, and spring
development
3. To provide access to affordable communitybased health and sanitation services
4. To promote and strengthen organization such
as community to support livelihood and
economic activities

MAFAMCO Objectives
5. To develop and sustain livelihood and income generating
projects and activities that provide sufficiency and
decent living conditions for each family.
6. To acquire managerial and technical skills required for
livelihood projects.
7. To provide communal transportation for emergency
purpose
8. To implement environmental projects that would ensure
the conservation and protection of the natural resources
of the barangay and in support to the objectives of the
PPLS.
9. To increase the level of awareness, education and skills
of adults, youth and women to enable them to
participate effectively in the political, social, economic,
environmental and cultural activities of the community.

MAFAMCO Objectives
10.To increase the level of awareness, education and
skills of adults, youth and women to enable them to
participate effectively in the political, social,
economic, environmental and cultural activities of
the community.
11.To develop community groups working cooperatively to promote the welfare of the children,
youth and adult members and the conservation of
resources
12.To strengthen local governance through strategies
that allows communities to pursue development
and conservation programs consistent with the
barangay goals

INTRODUCTION TO
BUSINESS
PLANNING

What is Business
Planning

Is a written description of your

business future
It is a document that describes
What you want to do and
how you plan to do it

Benefits of Planning

Reality in Business

Functional Areas of
Management
Market/Marke
tinging
Production/Op
e-rations
Finance
Human
Resource

Marketing
Products
Mango
Coffee
Cacao
Fuel wood
Corn

Market
Defines how big is the market, size, the
market share that we want to capture
Defines the target market
Defines the marketing strategy
(promotion of the product)
- Direct selling
- Agricultural fairs
- With assistance from government
agencies
Identifies competitors

Production/Operations
Defines the stages of
production/production flow
It also shows:
Manpower requirement
Machinery and equipment requirement
Building and other physical
infrastructure requirements
Raw materials requirement
Other operational requirements

Human Resource
No. of manpower requirement
Quality of manpower
Nature of employment
Organizational Structure and
Management Team

Finance

Projected Income Statement

Project Cash Flow
Financing Sources/Financial Plan
Key Financial Indicators

Operating Ratio
Current Ratio
Return on Investment
Payback Period
Debt to Equity Ratio
Break-even point

MangoProduction-Phils
Province
Pangasinan

Quantity
Produced (MT)
382,538

Central &
Western Visayas
Davao Region

54,642

Cotabato

51,613

32,382

International Market for

Mango-2008 data
Country

Amount in
US Dollars
10.4M

% of
Market
39%

Hongkong

6.8M

25%

USA

3.3M

12%

South Korea

1.9M

7%

Taiwan

1.0M

4%

Japan

Mango Products
Exported
Fresh

59%

Dried Mango

16%

Puree

18%

Juice Concentrate

6%

Other Information
Total Areas Planted fruit
crops
Total Areas Planted with
Mango
No. of Mango Trees

880,759 ha.

Production

967,000MT

Value of Production
% of Production Exported

158,000 ha.
7 Million
16,135 million
10% (61M USD)

SWOT

Strength
Coop is Registered with CDA
and with good standing
Has accreditation with the
LGU of Penablanca
Have 192 members
Received grants from
Conservation International:
4 sprayers, 1 motorized
sprayer
portion of a building built as
storage area for coop
agroforestry produces
transportation vehicle (Elfto
be shared with the 3 other
coops )
motorcycle

Diversified business income

sources :

Weaknesses
Regular meetings and annual
general membership meeting
are no longer conducted in
2013
No capital build-up contribution
from members
50% of capital stock subscribed
is still unpaid
Lax collection of receivables
Lack of financial resources to
purchase planting materials
70% of members are inactive
especially those with just 1
share
No tax emption certificate

Opportunities

Threat

There is a high demand for Numerous trainings required by

forest trees, bamboos and
CDA that the coop cant comply
fruit-bearing seedlings.
and afford to pay at this time
The coop can go into
seedling nursery and
bamboo cutlings production
Expand goat dispersal to
include duck or native
chicken dispersals to
members and non-members