ACM

LAND
HOLDINGS
Together, we can make a
village

A brief overview

PROPERTY
DEVELOPMENT

A brief overview

THE PHILIPPINES, AND ITS

CONSTRUCTION
& REAL ESTATE INDUSTRY

OUR CHOSEN COMPANY

Vision:
To be for its customers, the most preferred developer of
affordable, quality homes and a steward of sustainable and
earth-friendly communities

Mission:
1. To build for our customers quality and environmentally sustainable
communities that will not only satisfy but will ultimately exceed
customer expectations
2. To remain for our customers as a strong and professionally
managed company that continually instills in its people the spirit
of entrepreneurship and ownership which will transform them into
stakeholders of the company

OUR CHOSEN COMPANY

Target Market
Low Middle Class

Key Customers
OFWs particularly
seafarers

OUR CHOSEN COMPANY

Competitors:
Pro-Friends, Inc.
Vista Land & Lifescapes, Inc. (Camella
Homes Inc.)
Ayala Land Inc. (Amaia Land Corp. and
Avida Land)
AXEIA (formerly known as the Asiatic Group
of Companies)

OPERATIONS STRATEGY

OPERATIONS STRATEGY
Overall Strategy
Primarily on providing affordable homes whose
quality exceeds the customers expectations.
Acquired through home and village design that
is made to promote a better sense of intimacy
and comfort within the community.

OPERATIONS STRATEGY
Key Success Factors

1.
2.
3.
4.

Location
Land Cost, Supplies & Materials
Information and Connections
Branding

OPERATIONS STRATEGY
Conversion Process

MAJOR INPUTS

MAJOR OUTPUT

VALUE CHAIN ANALYSIS

PRODUCT
AND
PROCESS
DESIGN

PROCESS DESIGN
Land Acquisition
The company searches
for a suitable land that
corresponds based on:
Financial, Market,
Technical, and Legal
Feasibility
1.

PROCESS DESIGN
2. Pre-Development Phase
The Company creates a development plan
Includes necessary permits and documents for
juridical rights of the subdivided lots of land

PROCESS DESIGN
3. Land Development Phase
Executes the approved development plan
Company searches for potential property
buyers as soon as the land development is
nearly done.

PROCESS DESIGN
4. Housing Construction
Will only proceed if buyer has paid
partial/down payment amount.
Company gets necessary building permits and
housing subcontractors for house construction
once buyer has paid.

PROCESS DESIGN
5. Turnover
The company will transfer ownership of the
house to the buyer/new owner once
construction of the house is complete and has
been fully paid,

FACILITY AND LOCATION

MANAGEMENT

FACILITY AND LOCATION MANAGEMENT

General Location of Operations
Two types of Company Sales Offices:
Fixed
Mobile
Two main Management Offices
One Central Site Office

FACILITY AND LOCATION MANAGEMENT

Employed Facility Layout
Nature of ACMs operations favors a fixed
position layout
+ Work center is stationary.
+ Easier to oversee the main operations of the
business
- Delivery of materials and equipment must
be scheduled
properly

FACILITY AND LOCATION MANAGEMENT

Land Acquisition
Crucial to the success of the Companys
operations
Checklist:
1. Price
2. Terms of Agreement
3. Area Profile (nearby places, accessibility to
public transport)
4. Development Profile (Land Characteristics,
etc)

FACILITY AND LOCATION MANAGEMENT

FACILITY AND LOCATION MANAGEMENT

Land Acquisition
Description of Key Steps:
1. Initial Due Diligence
2. Full Legal and Technical Due Diligence
Legal Due Diligence
Technical Due Diligence

HUMAN RESOURCE
MANAGEMENT

HUMAN RESOURCE MANAGEMENT

HUMAN RESOURCE MANAGEMENT

HUMAN RESOURCE MANAGEMENT

Key skills needed when searching for potential
employees:
a)

General Skills

Leadership Skills
Interpersonal Skills

Technical Skills
c) Other Qualifications
b)

Integrity & Loyalty

Familiarity with Industry Functions
Initiative & Open-mindedness

QUALITY MANAGEMENT

QUALITY MANAGEMENT
Quality Tools
Material Tests:
A. Concrete Hollow Blocks
B. Metal
C. Wood
D. Cement Composition
E. Other Materials

QUALITY MANAGEMENT
Quality Tools
Land Development Quality
Assurance
Inspections and tests on land during
the development phase:
Field Density
Compression
Pressure
Water Flow

QUALITY MANAGEMENT
Quality Tools
Other Quality Tools:
Use of Calipers, Lasers, Moisture
Content Testers

QUALITY MANAGEMENT
Quality Control Checkpoints
Quality Assurance team must oversee in checking
the overall quality of the product throughout the
supply chain process:
1. Before procurement of construction materials
2. Upon delivery of materials
3. Various points or milestones in Land
Development
4. Various points or milestones in House
Construction

QUALITY MANAGEMENT
Common Defects Found During Quality Control
I.
II.
III.
IV.

Concrete / Hollow Block Laying

Concrete Honeycombing
House Wall Corner Deformation
Paintworks

QUALITY MANAGEMENT
Six Sigma Practices
ACM has only adopted a number of material and
product (quality) standardization procedures in this
product or service delivery process.
The most they do for observing Six Sigma quality in
the construction stage is verify that plans are going
as specified and check them for quality and
possible defects

QUALITY MANAGEMENT
ISO Certification
Accredited for ISO 9001 Certification (Quality
Management System) in 2008
Transition to ISO 9001 in 2015.

SUPPLY CHAIN
MANAGEMENT

SUPPLY CHAIN MANAGEMENT

ACM vs. Traditional Goods Manufacturer

What exactly ACMs Product is

How it is Distributed
Who Supplies the Company

SUPPLY CHAIN MANAGEMENT

Distribution of ACM
Selected brokers sell
to potential clients
All clients who are
interested must still
go through the inhouse sales team of
ACM.
Brokers who wish to
sell ACM properties
need approval of the
company in order to

SUPPLY CHAIN MANAGEMENT

Suppliers of ACM
Construction
materials
Landowners who
must be bargained
with in order to
acquire land.
Third party
contractors that
provide ACM with
labor for construction

SUPPLY CHAIN MANAGEMENT

Property
Development
Supply
Chain

SUPPLY CHAIN MANAGEMENT

Property
Development
Demand
Chain

OVERALL EVALUATION OF THE

COMPANY

MAJOR COMPANY PROBLEMS

MAJOR COMPANY PROBLEMS

Issues in Operations
Standardization of Processes
Massive Variable Time Schedule for Project
Development

Issues in Human Resources Related to Operations

Trouble in Hiring Field Engineers

Issues in Quality Control Related to Operations

Defects previously mentioned due to
improper workmanship

MAJOR COMPANY PROBLEMS

Issues in Supply Chain Management
Land Supply
Saturation of Competitors
Inventory Management
Information Flow

RECOMMENDATIONS AND
IMPLEMENTATIONS

RECOMMENDATIONS AND IMPLEMENTATIONS

With Regards to HR Hiring Issue:

Hire more top-graduate engineers from

Cavite or their major sites
Travel and lodging costs they will incur might get
reduced/removed. Compared to engineers from Manila where
travel and lodging costs are higher.

RECOMMENDATIONS AND IMPLEMENTATIONS

With Regards to Quality Control Issue:

Have separate groups managing the HR

of the subcontracted party and
constructions group output
Devise a mechanism of placing
accountabilities to workers showing
improper workmanship
Workers will tend to do their jobs better when they are held