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Feasibility Study on the Production of Mixed Fruit and Vegetable Smoothie in Western Mindanao State University

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  • Western Mindanao State University Department of Industrial and Management Engineering 1

    1 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

  • Western Mindanao State University Department of Industrial and Management Engineering 2

    2 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    ACKNOWLEDGEMENT

    This feasibility study would not be made possible without the guidance and love of our

    ALMIGHTY GOD. It is true that the harder the struggle, the more glorious the triumph. We, the

    FRUGIES group is truly overwhelmed and proud that finally our sacrifices and hardships in complying this

    feasibility study as the requirement for accomplishing our course as an Industrial and Management

    Engineering student had turned out successfully.

    To our family, thank you for the support and understanding. We used to come home late, tired,

    sleepy and sometimes out of mind that were not even able to help in the household chores but rather

    leaving our bedrooms messy and untidy and our things left unfixed. Thank you so much for the trust and

    considerations and all out support.

    We would also like to acknowledge the kindness of our beloved best friends who were sincerely

    and eagerly involved in helping us to make this study easier. Thank you so much APYUGON FAMILY for

    everything, specially to our humble and reliable friend Mr. Cresente Baynos, a.k.a Bossing for

    welcoming us to his apartment and allowing us to have our fruit combinations experiment in order for

    us to come up with the best and unique combinations of fruit smoothie as our proposed product in this

    study. To our classmates who have never doubted our product and stayed loyal in consuming and

    buying our product. And of course to the ever supportive IME faculties, thank you for believing in our

    capabilities and for inspiring and pushing us to our limits.

  • Western Mindanao State University Department of Industrial and Management Engineering 3

    3 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    TABLE OF CONTENTS

    I PROJECT SUMMARY

    1. Introduction------------------------------------------------------------------------------------------------------- 1

    2. Project Title---------------------------------------------------------------------------------------------------------2

    3. Type of Business Organization---------------------------------------------------------------------------------2

    4. Project Proponents/Researchers------------------------------------------------------------------------------2

    5. Project Location---------------------------------------------------------------------------------------------------2

    6. Estimated Total Project Cost-----------------------------------------------------------------------------------2

    7. Mission and Vision------------------------------------------------------------------------------------------------3

    8. Short Term Objective and Long Term Objective-----------------------------------------------------------3

    9. Specific Objective-------------------------------------------------------------------------------------------------4

    10. Limitations and Scope of the Study--------------------------------------------------------------------------5

    11. Highlights of the Study------------------------------------------------------------------------------------------6

    12. Methodology------------------------------------------------------------------------------------------------------6

    13. Leadership Strategy---------------------------------------------------------------------------------------------6

    II ORGANIZATION AND MANAGEMENT ASPECT 14. Form of Ownership---------------------------------------------------------------------------------------------7

    15. Organizational Structure--------------------------------------------------------------------------------------8

    16. Personnel Functions and Qualifications-------------------------------------------------------------------9

    17. Feasibility Study Timetable----------------------------------------------------------------------------------16

    18. Feasibility Study Gantt chart---------------------------------------------------------------------------------18

  • Western Mindanao State University Department of Industrial and Management Engineering 4

    4 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    III MARKET ASPECT 19. Product Description-------------------------------------------------------------------------------------------20

    20. Target Demand-------------------------------------------------------------------------------------------------20

    21. Historical Data--------------------------------------------------------------------------------------------------21

    22. Projected Population------------------------------------------------------------------------------------------21

    23. Demand Analysis-----------------------------------------------------------------------------------------------22

    24. Projected Demand---------------------------------------------------------------------------------------------22

    25. Supply Analysis--------------------------------------------------------------------------------------------------23

    26. Historical Data of Supply--------------------------------------------------------------------------------------24

    27. Projected Supply------------------------------------------------------------------------------------------------24

    28. Demand and Supply Analysis---------------------------------------------------------------------------------25

    29. Supply, Market Share and New Gap for School Year 2013-2014-----------------------------------26

    30. Supply, Projected Market Share and New Gap for School Year 2014-2015----------------------27

    31. Supply, Projected Market Share and New Gap for School Year 2015-2016----------------------28

    32. Supply, Projected Market Share and New Gap for School Year 2016-2017----------------------29

    33. Supply, Projected Market Share and New Gap for School Year 2017-2018----------------------30

    34. Supply, Projected Market Share and New Gap for School Year 2017-2018----------------------31

    35. Product Selling Price------------------------------------------------------------------------------------------32

    36. Market Program and Strategy-----------------------------------------------------------------------------33

  • Western Mindanao State University Department of Industrial and Management Engineering 5

    5 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    IV TECHNICAL ASPECT

    37. The Product------------------------------------------------------------------------------------------------------35

    A. Nutrition Facts of Fruits and Vegetables---------------------------------------------------------36

    38. Product Ingredients--------------------------------------------------------------------------------------------38

    39. The Manufacturing Process---------------------------------------------------------------------------------45

    40. Qualitative Flow Diagram-----------------------------------------------------------------------------------49

    41. Quantitative Flow Diagram----------------------------------------------------------------------------------50

    42. Production Capacity and Operation Schedule-----------------------------------------------------------53

    43. Equipments------------------------------------------------------------------------------------------------------53

    44. Utensils and Materials----------------------------------------------------------------------------------------54

    45. Store Location---------------------------------------------------------------------------------------------------55

    46. Stall layout-------------------------------------------------------------------------------------------------------56

    47. Raw Materials for Gelatin-------------------------------------------------------------------------------------57

    48. Raw Materials for Verdi Smoothie--------------------------------------------------------------------------57

    49. Raw Materials for CAO Smoothie --------------------------------------------------------------------------58

    50. Raw Materials for Pia-Banana Smoothie----------------------------------------------------------------58

    51. Utilities------------------------------------------------------------------------------------------------------------59

    52. Waste Disposal Procedure-----------------------------------------------------------------------------------60

    53. Labor Requirement--------------------------------------------------------------------------------------------60

    54. Safety and Maintenance-------------------------------------------------------------------------------------61

    55. Total Production Cost-----------------------------------------------------------------------------------------61

  • Western Mindanao State University Department of Industrial and Management Engineering 6

    6 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    V SOCIO-ECONOMIC ASPECT

    56. Agricultural-------------------------------------------------------------------------------------------------------62

    57. Job Opportunities----------------------------------------------------------------------------------------------63

    58. Standard of Living----------------------------------------------------------------------------------------------64

    59. Healthy Living--------------------------------------------------------------------------------------------------65

    60. Environmental Considerations------------------------------------------------------------------------------67

    61. Government----------------------------------------------------------------------------------------------------68

    VI FINANCIAL ASPECT

    62. Financial Basis--------------------------------------------------------------------------------------------------69

    63. Total Project Cost----------------------------------------------------------------------------------------------70

    64. Pre-operating Expenses Breakdown------------------------------------------------------------------------71

    65. Working Capital-------------------------------------------------------------------------------------------------71

    66. Monthly Cash Flow Statement from November 2013 to March 2014-----------------------------72

    67. Monthly Income Statement from November 2013 to March 2014---------------------------------73

    68. Monthly Balance Sheet from November 2013 to March 2014 -------------------------------------74

    69. Frugies Smoothies Production Monthly Cost of Goods Sold Schedule November 2013 to March 2014------------------------------------------------------------------------75

    70. Frugies Smoothies Production Direct Material Schedule November 2013 to March 2014-----------------------------------------------------------------------76

    71. Financial Analysis for Actual Financial Statement------------------------------------------------------77

    72. Test of Profitability--------------------------------------------------------------------------------------------77

    a. Gross Profit Margin-----------------------------------------------------------------------------------77

  • Western Mindanao State University Department of Industrial and Management Engineering 7

    7 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    b. Net Profit Margin--------------------------------------------------------------------------------------78

    73. Assets Turnover------------------------------------------------------------------------------------------------79

    a. Total Assets Turnover---------------------------------------------------------------------------------79

    74. Test of Capital Investment -----------------------------------------------------------------------------------80

    a. Return on Investment---------------------------------------------------------------------------------80

    b. Payback Period------------------------------------------------------------------------------------------81

    75. Break-even Analysis--------------------------------------------------------------------------------------------82

    76. Cost Structure and Operating Leverage-------------------------------------------------------------------83

    77. Financial Assumption------------------------------------------------------------------------------------------84

    78. Frugies Smoothies Production Projected Annual Cash Flow Statement

    SY 2013-2014 to SY 2018-2019-------------------------------------------------------------------------85

    79. Frugies Smoothies Production Projected Annual Income Statement

    SY 2013-2014 to SY 2018-2019------------------------------------------------------------------------86

    80. Frugies Smoothies Production Projected Annual Balance Sheet

    SY 2013-2014 to SY 2018-2019------------------------------------------------------------------------87

    81. Frugies Smoothies Production Projected Annual Cost of Goods Sold

    SY 2013-2014 to SY 2018-2019------------------------------------------------------------------------88

    82. Frugies Smoothies Production Projected Annual Direct Material Schedule

    SY 2013-2014 to SY 2018-2019------------------------------------------------------------------------89

    83. Financial Analysis for Projected Financial Statement-------------------------------------------------90

    84. Test of Profitability--------------------------------------------------------------------------------------------90

    a. Gross Profit Margin-----------------------------------------------------------------------------------90

    b. Net Profit Margin------------------------------------------------------------------------------------91

  • Western Mindanao State University Department of Industrial and Management Engineering 8

    8 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    85. Assets Turnover------------------------------------------------------------------------------------------------92

    a. Total Assets Turnover---------------------------------------------------------------------------------92

    86. Test of Capital Investment -----------------------------------------------------------------------------------93

    a. Return on Investment---------------------------------------------------------------------------------93

    b. Payback Period------------------------------------------------------------------------------------------94

    87. Break-even Analysis--------------------------------------------------------------------------------------------95

    88. Cost Structure and Operating Leverage-------------------------------------------------------------------96

    VII CONCLUSION

    89. Conclusions and Recommendations-----------------------------------------------------------------------97

    VIII SENSITIVITY ANALYSIS

    90. Sensitivity Analysis---------------------------------------------------------------------------------------------98

    91. 1st Strategy-------------------------------------------------------------------------------------------------------99

    92. 2nd Strategy-----------------------------------------------------------------------------------------------------101

    93. 3rd Strategy------------------------------------------------------------------------------------------------------104

    94. Sensitivity Conclusion----------------------------------------------------------------------------------------105

    VIII ANNEXES

  • Western Mindanao State University Department of Industrial and Management Engineering 9

    9 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    PROJECT

    SUMMARY

  • Western Mindanao State University Department of Industrial and Management Engineering 10

    10 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Introduction

    Fruit and Vegetable Juice is a non-alcoholic beverage and is primarily made of extracted

    and blended fruits and vegetables concentrates. Popular in Western countries, where people

    usually make it at their homes with a juicer machine or they purchase it in cans, in bottles and

    freshly made in restaurants for convenience.

    In the Philippines it can be purchased on some restaurants that offer this kind of

    beverage. It became popular nowadays because people are now being conscious about health

    and wellness and for diet reasons. Working people, mothers with active children and students

    are always looking for a quick, tasty, healthy alternative for lunch or a mid-afternoon infusion of

    energy. These are the reasons that make it a potential product to be introduced in the market.

    As more people continue to turn toward natural and wholesome food and drinks. Fruit

    and vegetable juice have great potential for providing a healthy, refreshing and nutritious drink.

    Frugies, a mixed fruit and vegetable smoothie, the proposed product that the

    researchers will introduce in the market, were the target market are the students,

    administrative staffs and faculty members of Western Mindanao State University main campus.

    Frugies is a product that the students can afford to buy, a smoothie that has a lot of nutrients

    that young and old people will benefit and will surely love. In a stressful and hectic schedule of

    students, Frugies would be the best drink that could boost their immune system against

    sickness. The researcher decided to produce smoothie instead of juice as an innovation to the

    usual juices that are commonly offered.

    Frugies contains Malunggay, a vegetable known to be A miracle tree and a powerful

    anti-cancer and rich in anti oxidant that slows the aging process.

    1

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    11 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Project Title:

    A Project Feasibility Study on Mixed Fruits and Vegetable Smoothie Production

    Proposed Name of Firm: Frugies Smoothies Production

    Type of Business Organization: Sole Proprietorship

    Project Proponents/Researchers:

    Arranguez, Princess D.

    Dinaga, Raquel F.

    Librada, Maribeth

    Repollo, Maricar T.

    Reyes, Kate Kathelyn L.

    Usman, Rashida H.

    Project Location: The proposed project location will be at Western Mindanao State University

    Campus A, located at Normal Road, Baliwasan, Zamboanga City

    Total Project Cost: The project cost is Php9,436.21

    2

  • Western Mindanao State University Department of Industrial and Management Engineering 12

    12 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Mission

    Frugies Smoothies Production, as a source of healthy mixed fresh fruit and vegetable

    smoothie, adhere strict implementation of safety methods for consumers concern and to

    promote further development of manufacturing operations to ensure customers satisfaction.

    Vision

    To achieve the highest standard desired and required in the production operation of

    mixed fresh fruit and vegetable fruit drinks that will make Frugies Smoothies Production

    products acceptable in Zamboanga City and also competitive in the national market.

    Objectives

    To be the leading producer of mixed fresh fruit and vegetable smoothies in Zamboanga

    City and be more competitive in the market.

    Short Term Objectives

    To develop and maintain a good relationship with the consumers and the people of

    Western Mindanao State University

    To provide staff and students of Western Mindanao State University a healthy drink

    To be the number one producer of fruit and vegetable smoothie

    Long Term Objectives

    To be one of the most successful and most influential healthy drink producers in

    Zamboanga City

    To be an excellent company here in the Philippines that will expand its business in the

    other parts of the country and become the pride of Zamboanga City

    To be nationally and globally competitive in producing an excellent smoothie products

    3

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    13 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Specific Objectives

    Marketing Aspect

    To ensure that the product will be promoted in a good way in which it can penetrate the

    market

    To determine the competitive advantage of the product

    To be more creative in attracting customers

    To guarantee that the chosen promotional campaigns will not only benefit the company

    but also the customers who will purchase the product

    Management Aspect

    Focus on needs of our consumers

    Get out into the market, listen, observe, and learn

    Determine the factors that create demand for our product, and forecasting its potential

    demand

    Focus on execution in the marketplace every day

    To attain the companys aim and purpose

    To focus on the employees, their jobs, benefits and salaries, and tasks that will be done

    before starting the business

    Technical Aspect

    To get rid of uncertainties in operation and production

    To scheme the overall process in the production

    To ensure the safety and benefits of the customers

    4

  • Western Mindanao State University Department of Industrial and Management Engineering 14

    14 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Socio Economic Aspect

    To discuss the benefits of all the stakeholders involved in the operation of the business.

    To have an environmental friendly procedure.

    To showcase the ability of the workforce of the students of Industrial and Management

    Engineering

    Financial Aspect

    To have gain information about the financial status of the business

    To be able to figure out how the business deals with the trend of demand and supply

    within the circulation of the business.

    To assure that the business is profitable and feasible.

    Limitations and Scope of the Study

    The study focuses on the establishment of mixed fruit and vegetable smoothie

    production in Zamboanga City. Five aspects were presented in this study which includes the

    Organizational and Management Aspect, the Marketing Aspect, the Technical Aspect, the Socio-

    Economic and the Financial Aspect.

    The proposed product will be sold at Western Mindanao State University targeting the

    students, faculty members and administrative personnel of the Tertiary, Secondary and

    Elementary Education Department both from campus A and B. The product will be made to

    order which the researchers company will also focus on exclusive supplying of smoothies for

    the different student activities through the organization officers.

    5

  • Western Mindanao State University Department of Industrial and Management Engineering 15

    15 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Highlights of the Study

    Fresh mixed fruit and vegetable smoothie is not the usual drink that the researchers will

    introduce in the market, were the market are the students, faculty members and administrative

    personnel, in that case the study has an edge on promoting healthy lifestyle and the habit on

    drinking healthy fresh mixed fruit and vegetable smoothie daily that begins in the school. The

    researchers assures that the taste of the product will be more exciting and suits the taste of

    each customers, were one of the ingredients is vegetable.

    The customers will surely be curious of what will be the taste of the product and make

    the product trend in the market.

    Methodology

    The study was conducted with the use of primary and secondary data. Primary data

    were obtained by conducting surveys to the target market were the researchers gathered

    reliable data and by conducting interviews to every canteen within the vicinity. While the

    secondary data were gathered from reliable sources such as NFRI, DAR, DOST, MISTO.

    Leadership Strategy

    The researchers used the leadership strategy were process of strategic leadership begins

    with people. Managing change through uncertainty requires strategic leaders who possess and

    communicate a clear path of direction and alignment within their workgroups to achieve the

    desired outcomes.

    6

  • Western Mindanao State University Department of Industrial and Management Engineering 16

    16 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    ORGANIZATION

    AND

    MANAGEMENT

    ASPECT

  • Western Mindanao State University Department of Industrial and Management Engineering 17

    17 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Form of Ownership

    The proposed business will be a Sole Proprietorship type of business. The owner will be

    the manager of the business. This type of business is easy to set-up because of the following

    advantages:

    Ease in business commencement

    Absolute control

    Avoidance of double taxation

    Ease in business dissolution

    7

  • Western Mindanao State University Department of Industrial and Management Engineering 18

    18 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Figure 1.1 Organizational Structure

    The proposed business has 10 positions. But it will be handled by 6 individuals in actual

    operation for the mean time due to financial capability; some positions will be handled by a

    single person.

    Manager

    Production Supervisor

    Receiving Personnel

    Production

    Crew

    Finance

    Supervisor

    Accountant

    Purchasing Officer

    Cashier

    Sales and Marketing Supervisor

    Promotional and Advertising Staff

    8

  • Western Mindanao State University Department of Industrial and Management Engineering 19

    19 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Personnel Functions and Qualifications

    In the field of business before it starts to operate, Human Resource management

    perform recruitment and selection of new employees who are qualified for the job description

    but for the mean time the manager will be in charge of the hiring, since the manager is also the

    owner of the business. The business will be handled by 6 individuals. The qualified positions and

    description that are listed in the organizational structure are divided into six (6) persons. For

    the mean time, as a new contributor in the field of business, the researchers will be the one

    who will handle and take over the positions. All six members will be work six times a week

    during the initial run of the business. As the business grows, it will employ necessary number of

    individuals that the company needs. They will be hired according to the qualifications

    prescribed position.

    1. One person will assume the role of Manager/Production Supervisor. Specifically his/her

    roles are as follows:

    Manager - is a person who manages the work of others in order to run a business

    efficiently and make a large profit. He or she should have working knowledge of the

    areas under her, and may be a specialist in one or more. She manages everything that

    goes in and out of the company. She has the sole right for overall management of the

    authority and has the control to all personnel in the plant. She must also be responsible

    in keeping, recording and filling out papers and confidential documents of the company.

    Qualifications:

    Must be a graduate of any business related course such as (BS Industrial

    Management Engineering, BS Management, BS Business Administration)

    Female/Male, preferably 25-35 years of age.

    At least two years experience in manufacturing and service industry.

    9

  • Western Mindanao State University Department of Industrial and Management Engineering 20

    20 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Production Supervisor - is the one responsible to oversee the day-to-day

    operations in the company and as well as manages workers on production line.

    She monitors the means of production to ensure that they are operating

    smoothly, and they check the products for defects and as well as determining

    quality control standards.

    Qualifications:

    Must be a graduate of any business related course.

    Female, preferably 25-35 years of age.

    Expertise on integral planning, product design, purchasing processes

    and production scheduling.

    Must have at least two years of working experience in the related field.

    2. One person will assume the role of Production Crew/Receiving Personnel. Specifically

    his/her roles are as follows:

    Production Crew is in charge of preparing smoothie before it goes out to the

    customers. Specific duty vary, but typically include clearing off and setting

    Juicers/Blenders, stocking supplies and as well as washing or cleaning the

    juicers/blenders and utensils.

    Qualifications:

    Must have a High School Diploma.

    Male/Female, preferably 25-30 years old.

    Must have at least one year experience in related field

    With good moral character

    Health Certificate from CHO (City Health Office)

    10

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    21 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Receiving Personnel - is responsible for the verification and recording of raw

    materials and generally review purchase order.

    Qualifications:

    Must have a High School Diploma

    Male/Female, preferably 25-30 years old.

    Able to demonstrate basic math and organizational skills.

    Must have an experience in customer service or inventory

    checking positions

    With Good moral Character

    3. One person will assume the role of Finance Supervisor/Production Crew. Specifically

    his/her roles are as follows:

    Finance Supervisor is responsible for maintaining financial, accounting,

    administrative and personnel services in order to meet legislative requirements

    and support municipal operations. Finance Supervisor must administer and

    monitor the financial system in order to ensure that the municipal finances are

    maintained in an accurate and timely manner.

    Qualifications:

    Certified Public Accountant

    Female, preferably 25-35 years of age

    With at least 2 years of working experience in the related field

    Must have computer skills including the ability to operate

    computerized accounting, spreadsheet and word processing

    programs at a highly proficient level

    Must possess cultural awareness and sensitivity.

    11

  • Western Mindanao State University Department of Industrial and Management Engineering 22

    22 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Production Crew is in charge of preparing smoothie before it goes out to the

    customers. Specific duty vary, but typically include clearing off and setting

    Juicers/Blenders, stocking supplies and as well as washing or cleaning the

    juicers/blenders and utensils.

    Qualifications:

    Must have a High School Diploma.

    Male/Female, preferably 25-30 years old.

    Must have at least one year experience in related field.

    With good moral character.

    4. One person will assume the role of Accountant/Receiving Personnel. Specifically

    his/her roles are as follows:

    Accountant is responsible for analyzing financial information and prepare

    financial reports such as compiling and analyzing financial information to

    prepare entries to accounts, such as general ledger accounts, documenting

    business transactions. Accountant analyzes financial information detailing assets,

    liabilities, capital, and prepares balance sheet, profit and loss statement, and

    other reports to summarize current and projected company financial position,

    using calculator or computer.

    Qualifications:

    Certified Public Accountant

    Female, preferably 25-35 years of age.

    With at least 2 years of working experience in the related field

    Must possess analytical skills in order to analyze certain

    discrepancies on a balance sheet or income statement

    Detail oriented-- Accountants have to compile a lot of figures to

    construct balance sheets and income statements. Having the

    ability to compile a lot of information and then interpret the

    12

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    23 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    meaning is something an accountant will have to do on a regular

    basis.

    Good Computer Skills.

    Must possess good moral character.

    Receiving Personnel is responsible for the verification and recording of raw

    materials and generally review purchase order.

    Qualifications:

    Must have a High School Diploma

    Male/Female, preferably 25-30 years old.

    Able to demonstrate basic math and organizational skills.

    Must have an experience in customer service or inventory checking

    positions

    With Good moral Character

    5. One person will assume the role of Sales and Marketing Officer/Production Crew.

    Specifically his/her roles are as follows:

    Sales and Marketing Officer is the one responsible in marketing framework for

    successful positioning, promoting and distributing the products for the

    profitability of the business.

    Qualifications:

    Must be a graduate of any four year related business course

    Female, preferably 25-35 years of age

    With at least 2 year working experience in related field

    Good communication skills

    Must possess pleasing personality

    13

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    24 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Production Crew is in charge of preparing smoothie before it goes out to the

    customers. Specific duty vary, but typically include clearing off and setting

    Juicers/Blenders, stocking supplies and as well as washing or cleaning the

    juicers/blenders and utensils.

    Qualifications:

    Must have a High School Diploma

    Male/Female, preferably 25-30 years old

    Must have at least one year experience in related field

    With good moral character

    6. One person will assume the role of Purchasing Officer/Promotional and Advertising

    Staff/Production Crew. Specifically his/her roles are as follows:

    Purchasing Officer is the one responsible at some level for buying or approving

    the acquisition of goods and services needed by the company. The position

    responsibilities may be the same as that of a buyer or purchasing agent, or may

    include wider supervisory or managerial responsibilities. A Purchasing Manager

    may oversee the acquisition of materials needed for production, general supplies

    for offices and facilities, equipment, or construction contracts. Purchasing Officer

    seeks reliable vendors or suppliers to provide quality goods at reasonable prices.

    Qualifications:

    Must possess a four-year degree in any Business related course

    Female/ Male, preferably 25-30 years of age

    Minimum of 2 years of experience in related field

    Must have excellent interpersonal and negotiation skills, as

    her/his role is to receive the best possible product at the best

    possible price

    Should have great communication skills, both orally and in writing

    14

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    25 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Should possess exceptional management skills, as she may

    oversee a team of people

    Promotional and Advertising Staff is the one responsible for planning and

    directing advertising policies and programs or produce collateral materials, such

    as posters, contests, coupons, or give-away, to create extra interest in the

    purchase of a product or service for a department, an entire organization, or on

    an account basis.

    Qualifications:

    Must be a graduate of any business related course

    Female/male, preferably 23-35 of age

    With 1-2 years working experience in the field of marketing

    Good communication skills

    Pleasing personality

    Production Crew is in charge of preparing smoothie before it goes out to the

    customers. Specific duty vary, but typically include clearing off and setting

    Juicers/Blenders, stocking supplies and as well as washing or cleaning the

    juicers/blenders and utensils.

    Qualifications:

    Must have a High School Diploma

    Male/Female, preferably 25-30 years old

    Must have at least one year experience in related field

    With good moral character

    15

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    26 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Table 1.1 Feasibility Study Timetable and Gantt chart

    Project Timetable

    Activities for 1st Semester Date No. of weeks

    A. Grouping of members, assigning tasks, meeting among members of the group

    June 15 June 29 2

    B. Gathering data of the given study, conducting survey, presentation of data gathered

    June 29 - July 20

    3

    C. Preliminary presentation, Reviewing/Revising the draft presentation and consultation

    July 21 July 27 1

    D. Re-conducting survey and evaluating the result on market aspect, Preliminary presentation of prototype

    July 28 - August10 2

    E. Presentation of prototype per combination

    July 11- July 17 1

    F. Computing of data, gathering data for Organizational and management, Technical aspect, presentation of O and M and Technical aspect

    July 18 - August 24

    1

    G. Consultation of 2 aspects, gathering additional data

    August 25 - September 8

    2

    H. Revision of organizational and management and technical aspect

    September 9- October 15

    5

    I. Finalization and presentation

    of 3 aspects

    October 16 October

    27

    2

    J. Enrolment

    October 28 - November 19

    --

    K. Opening of business operation November 20

    February 22

    14

    16

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    27 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    L. Discussion and drafting on financial statement for the month of November and discussion on sensitivity analysis.

    November 21 December 6

    2

    M. Submission and evaluation of financial statement for the month of November. Discussion on socio-economic and SWOT analysis orientation

    December 7 - 20

    2

    N. Presentation of Expo materials (Brochures, layout and costing)

    December 21January 3

    2

    O. Submission and evaluation of financial statement for the month of December.

    January 4 - 10

    1

    P. SWOT analysis presentation and submission of financial statement for the month of January.

    January 11 February 4

    4

    Q. Submission of Manuscript for final presentation.

    February 5 24

    3

    R. Preparation for the final

    presentation

    February 25 - 28

    1

    S. Final presentation to the faculty and submission of thesis manuscript for Expo use

    March 1 6

    1

    T. IME Expo 2014 and preparation for the business evaluation.

    March 7 - 14

    1

    Table 1.1 shows the activities for the school year 2013-2014

    17

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    28 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Activity 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19

    A

    B

    C

    D

    E

    F

    G

    H

    I

    Scheduled Activity s

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    Table 1.2 Gantt chart of the Time Table Presented s

    Legend: 18

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    29 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Activity 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38

    J

    K

    L

    M

    N

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    P

    Q

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    T

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    MARKETING

    ASPECT

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    31 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Product Description

    Fruit and Vegetable Juice is a non-alcoholic beverage popular in Western countries,

    where people can purchase it in aluminum cans, in bottles and freshly made in restaurants.

    In the Philippines it can be purchased on some restaurants that offer this kind of

    beverage. It became popular nowadays because people have increase awareness on health and

    wellness. Some are even very particular with the food they eat and beverage they drink. The

    researchers have decided to make it into smoothie instead of just a plain juice which makes it a

    potential viable product to be sold in the market.

    The Target Demand

    The target demand of this study is the people of Campus A and Campus B of Western

    Mindanao State University which comprises of the students, members of the faculty and

    administrative personnel. There are about 19,171 individuals from Campus A and Campus B

    combined from school year 2013-2014.

    The products will be sold in an ordering basis where the seller makes and prepares the

    products while the customer waits, through a stall situated inside the campus where it is easily

    be accessible.

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    32 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    HISTORICAL DATA Table 2.1 Population of Western Mindanao State University (Year 2008 2013)

    SCHOOL YEAR POPULATION

    2008-2009 15,827

    2009-2010 17,358

    2010-2011 17,645

    2011-2012 17,257

    2012-2013 17,332

    Source: MISTO WMSU Table 2.1 shows the historical data of enrollees who enrolled from 2008-2013 of the target university. The data will be used in projecting the population for the next five years.

    Table 2.2 Projected Actual Population

    SCHOOL YEAR PROJECTED

    POPULATION

    2013-2014 19,171

    2014-2015 18,247

    2015-2016 18,538

    2016-2017 14,490

    2017-2018 15,075

    2018-2019 19,411

    Table 2.2 shows the projected population of the target university from 2013-2014 to 2018-2019. The

    population is computed using the four methods of projection and the projected values are taken from

    the method which has the least standard deviation which yields the realistic output. The population from

    school year 2013-2014 to 2015-2016 remains the same because only school year 2016-2017 until 2018-

    2019 affected in the new curriculum of K to 12 program wherein no new freshmen are enrolled in the

    said school year. (Refer to annex A from table 1.0 to table 5.2)

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    33 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    DEMAND ANALYSIS

    Fig 2.1 Annual Per Capita Consumption of juice in the Philippines

    Fig 2.1 shows the annual per capita consumption of juice in the Philippines based from Euromonitor. The data will be used to compute the projected demand of Western Mindanao State University.

    Table 2.3 Projected Demand for Juice within the vicinity of WMSU

    SCHOOL YEAR PROJECTED POPULATION ANNUAL PER CAPITA

    CONSUMPTION (L) PROJECTED

    DEMAND (L)

    2013-2014 19,171 1 19,171.00

    2014-2015 18,247 1 18,247.00

    2015-2016 18,538 1 18,538.00

    2016-2017 14,490 1 14,490.00

    2017-2018 15,075 1 15,075.00

    2018-2019 19,411 1 19,411.00

    Table 2.3 shows the computation of the projected demand for juice within the vicinity of Western Mindanao State

    University by means of multiplying the total projected population per year to the annual per capita consumption

    which is 1 liter. The projected demand will be used to determine the total volume of juice that the university is

    consuming.

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    34 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    SUPPLY ANALYSIS

    There are currently 16 present canteens that sell Juice beverage within the vicinity of

    Western Mindanao State University.

    Table 2.4 Present Supply within the vicinity of Western Mindanao State University

    CANTEEN/OWNER'S NAME WEEKLY SUPPLY (L) DAILY SUPPLY (L)

    Janny Bee 1.985 0.331

    Shanes Fastfood 2.262 0.377

    Maimona Majid 11.000 1.833

    Magsayo Store 3.358 0.560

    Oliver 32.938 5.490

    Pilang Cervantes 23.386 3.898

    Flavours 17.854 2.976

    Emanual Canteen ( Jane D. Baroquillo) 18.000 3.000

    WMSU Coop Canteen #8 (April Delos Reyes) 32.125 5.354

    Antonieta Dumen 4.180 0.697

    Social Work Canteen (Ester Carpizo) 12.700 2.117

    Islamic Canteen (Arnalyn Ibrahim) 11.020 1.837

    Forestry Canteen (Ginton Michael O. Locson) 3.320 0.553

    Merciana 83.000 13.833

    Mercedes Domocol 17.825 2.971

    WMSU Coop #3 2.250 0.375

    TOTAL 277.203 46.201

    GRAND TOTAL (year) 10,949.530 10,949.530

    Table 2.4 shows the total volume supply of juice in the vicinity of Western Mindanao State University. The data

    was then computed in terms of weekly supply with a total volume of 277.203 L per week and was converted into

    daily supply by dividing the weekly supply by 6. The total volume of juice in a year for the supply is 10,949.530 L

    per year which is obtained by multiplying the weekly supply by 39.5 and 237 for the daily supply.

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    35 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Table 2.5 Historical Data of Supply within the vicinity of Western Mindanao State University

    SCHOOL YEAR YEARLY GROWTH RATE YEARLY SUPPLY (L)

    1990-2009 - 4,205.86

    2009-2010 4% 4,368.08

    2010-2011 17% 5,093.86

    2011-2012 22% 6,203.46

    2012-2013 22% 7,589.45

    2013-2014 44% 10,949.53

    Table 2.5 shows the details of the yearly supply of canteens within the vicinity of WMSU since 1990 until

    the present. The data will serve as the historical supply of the target university which was obtained by

    subtracting the present year to the previous year divided by the previous year by using the growth rate.

    Refer to annex A Table 5.3 for the computation.

    Table 2.6 Projected Supply

    SCHOOL YEAR PROJECTED SUPPLY (L)

    2013-2014 8,072.91

    2014-2015 8,933.17

    2015-2016 9,793.42

    2016-2017 10,653.68

    2017-2018 11,513.93

    2018-2019 12,374.19

    Table 2.6 shows the projected supply which is based on the computation using Statistical Straight Line

    method which yields the realistic output. (See ANNEX A table 5.3 to table 6.4.1 for computation of

    projected supply)

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    36 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Table 2.7 Demand and Supply Analysis

    SCHOOL YEAR PROJECTED

    DEMAND (L) PROJECTED SUPPLY

    (L) GAP (L)

    2013-2014 19,171.00 8,072.91 11,098.09

    2014-2015 18,247.00 8,933.17 9,313.83

    2015-2016 18,538.00 9,793.42 8,744.58

    2016-2017 14,490.00 10,653.68 3,836.32

    2017-2018 15,075.00 11,513.93 3,561.07

    2018-2019 19,411.00 12,374.19 7,036.81

    Table 2.7 shows the volume of the unsatisfied demand or the gap per school year. The projected supply

    is subtracted from the projected demand to identify the unsatisfied demand. The unsatisfied demand

    will be used in determining the market share of the company. The demand-supply analysis is from

    school year 2013-2014 to 2018-2019.

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    37 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Figure 2.2 Supply, Market Share and New Gap for School Year 2013-2014

    Figure 2.2 shows the total demand of 19,171.00 L for the school year 2013-2014. The supply for this school year is

    8,072.91 L and the unsatisfied demand is 11,098.09 L. The company will get 1,759.73 L of the total demand which

    leaves 9,866.36 L as the new gap. The companys market share is base from the capacity of the company provided

    in Table 3.1 page 53.

    42%

    9%

    49%

    Total Demand of 19,171.00 L

    Supply (8,072.91 L)

    Market Share(1,759.73 L)

    New Gap (9,338.36 L)

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    38 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Figure 2.3 Supply, Projected Market Share and New Gap for School Year 2014-2015

    Figure 2.3 shows the total demand of 18,247.00 L for the school year 2014-2015. The supply for this school

    year is 8,933.17 L and the unsatisfied demand is 9,313.83 L. The company will get 2,652.92 L of the total

    demand which leaves 6,660.91 L as the new gap. The companys market share is base from the capacity of

    the company provided in Table 3.1 page 53.

    49%

    15%

    36%

    Total Demand of 18,247.00 L

    Supply (8,933.17)

    Market Share (2,652.92 L)

    New Gap (6,660.91 L)

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    39 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Figure 2.4 Supply, Projected Market Share and New Gap for School Year 2015-2016

    Figure 2.4 shows the total demand of 18,538.00 L for the school year 2015-2016. The supply for this

    school year is 9,793.42 L and the unsatisfied demand is 8,744.58 L. The company will get 3,546.11 L of

    the total demand which leaves 5,198.47 L as the new gap. The companys market share is base from the

    capacity of the company provided in Table 3.1 page 53.

    53%19%

    28%

    Total Demand of 18,538.00 L

    Supply (9,793.42 L)

    Market Share (3,546.11 L)

    New Gap (5,198.47 L)

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    40 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Figure 2.5 Supply, Projected Market Share and New Gap for School Year 2016-2017

    Figure 2.5 shows the total demand of 14,490.00 L for the school year 2016-2017. The supply for this school

    year is 10,653.68 L and the unsatisfied demand is 3,836.32 L. The company will get 4,439.31 L of the total

    demand which leaves -602.99 L as the new gap or no gap at all because the market share is higher than the

    gap. The companys market share is base from the capacity of the company provided in Table 3.1 page 53.

    68%

    28%

    -4%

    Total Demand of 14,490.00 L

    Supply (10,653.68 L)

    Market Share (4,439.31 L)

    New Gap (-602.99 L)

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    41 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Figure 2.6 Supply, Projected Market Share and New Gap for School Year 2017-2018

    Figure 2.6 shows the total demand of 15,075.00 L for the school year 2017-2018. The supply for this school

    year is 11,513.93 L and the unsatisfied demand is 3,561.07. The company will get 5,332 L of the total

    demand which leaves -1,771.43 L as the new gap or no gap at all because the market share is higher than

    the gap. The companys market share is base from the capacity of the company provided in Table 3.2 page

    53.

    62%

    29%

    -11%

    Total Demand of 15,075.00 L

    Supply (11,513.93 L)

    Market Share (5,332.5L)

    New Gap (-1,771.43 L)

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    42 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Figure 2.7 Supply, Projected Market Share and New Gap for School Year 2018-2019

    Figure 2.7 shows the total demand of 19,411.00 L for the school year 2018-2019. The supply for this school

    year is 12,374.19 L and the unsatisfied demand is 7,036.81 L. The company will get 6,225.70 L of the total

    demand which leaves 811.12 L as the new gap. The companys market share is base from the capacity of the

    company provided in Table 3.2 page 53.

    64%

    32%

    4%

    Total Demand of 19,411.00 L

    Supply (12,374.19 L)

    Market Share (6,225.70 L)

    New Gap (811.12 L)

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    Table 2.7 Product Selling Price

    Verdi Smoothie

    Amount CAO Smoothie

    Amount

    Pia-Banana Smoothie Amount

    Production cost per unit P15.70 P16.40 P11.28

    Markup P 4.30 (21.50%) P 3.60 (18%) P 8.72 (43.60%)

    Selling price per cup P20 P20 P20

    Table 2.7 shows the selling price per cup, it is based from the production cost. The mark up is 21.50% for

    Verdi smoothie, 18% for CAO smoothie and Pia-banana smoothie 43.60% were the profit is P4.30 for

    Verdi smoothie,P3.60 for CAO smoothie and P8.72 for Pia-Banana smoothie.

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    Market Program and Strategy

    As a new contributor in the business industry the market strategy will be applied to the

    students, administrative staff and faculty member were school is the best location to start with,

    because now a days people are already outspoken and involved on what is happening in the

    society specially the young once in terms of things that are unusual like our product Mixed

    Fruit and Vegetable Smoothie. In that case our product will be easily known in the university

    and also outside the campus.

    Product

    Mixed fruit and vegetable smoothie contains 250ml of smoothie per cup, the product

    are new to the target location so it is not difficult to market and the quality of the product

    are rest assured to be safe to consume.

    Promotion

    The company believes and is confident on the capability of Promotional and Advertising

    Staff who plans and secures the implementation of the promotional activities. One of which

    is the establishment of partnership between school organizations aiming to be the official

    supplier of healthy drinks for their activities. This helps a lot because some students want to

    try the product but has no means to afford to buy it, so through organizations they can have

    it for free. The following are other promotional activities that the company will do:

    Online Advertisement

    The company saw the potential of online advertisement through social

    media websites such as Facebook and Twitter and will take advantage of it.

    There will be a creation of a company account for the product. This will not only

    introduce the product easily on the market through social media, but also people

    can give feedbacks or testimonials about the product and the different tastes.

    The researchers had created a Facebook page for the company

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    (https://www.facebook.com/frugies?ref=br_rs) where customers can make a call

    regarding the product and will answer their complaints promptly and make

    consumers happy, whenever possible, with a speedy apology, a refund, and a

    discount on future purchases or an exchange. Sharing of photos with information

    can also be helpful by creating an appeal to the target clients.

    Personal Endorsement

    These are the following personal endorsement can be use to market the

    product, first is the Words of Mouth and by building personal relation to

    customers in verbal form. Through giving free taste of the product, possible

    consumers can give testimonials about it and provide information to the others.

    Second is by building personal relation to customers, it can help to gain

    customers trust to the company.

    Tarpaulins and Brochures

    Tarpaulin is a very useful tool to catch the attention of the market. The

    material is durable and can be used repeatedly. The information about the

    company and the products can be published through tarpaulins.

    People want printed material to take home and read at their leisure. It

    can direct them to the web page provided, but a brochure adds a personal

    touch, tells the prospect what the product or service can do for them and why

    they should buy from you. Brochures also support other advertising, direct mail,

    online promotions, and can be used as a sales tool by distributors. In short, a

    good brochure sells.

    The actual cost of tarpaulin the researchers had used is Php 133.00 in

    which the size is 2x3 ft while the brochure cost Php 20.00 per piece in which the

    size is 8.5 x 11 inches.

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    TECHNICAL

    ASPECT

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    The Product

    Mixed Fruit and Vegetable Smoothie is primarily made of fresh fruits and vegetable

    blended together. It is rich in nutrients that have unique healthy promoting compounds,

    vitamins and minerals that are essential for optimum health, benefiting for the body, such as

    vitamin A, protein, vitamin C, anti-oxidants, potassium and iron. One cup (250ml) per serving of

    Mixed Fruit and Vegetable Smoothie can give 30 vitamins and minerals to supply the nutrients

    needed of the body.

    Frugies a product name has a volume of 250ml which is equivalent to 1 cup. The

    product has three combinations of smoothies which are the Apple-Orange Smoothie with

    Malunggay gelatin, Apple-Carrots-Orange Smoothie with Malunggay gelatin, and the Banana-

    Pineapple Smoothie with Malunggay Gelatin. The 3 combination were added with evaporated

    milk and a little of refined sugar to make it more suitable to the customers taste.

    Smoothies will stay fresh in the refrigerator for up to 3 hours, but it will lose some

    nutrients as it sits in the fridge, the ideal temperature for the smoothie to last for 3 hour is

    (4C-6C) but if smoothie expose to a normal room temperature it can only last for about 30

    minutes. It will not also taste as fresh after the first 3 hours and water separation may occur.

    Personally, the researcher dont like the way smoothies taste after the said time.

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    Figure 3.1 Nutrition Facts of Fruits and Vegetables

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    Continuation of Figure 3.1 Nutrition Facts of Fruits and Vegetables

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    1. Apple-Orange Smoothie with Malunggay Gelatin (Verdi Smoothie)

    The ingredients are Fuji Apple, Orange juice extract, ice cubes, refined sugar,

    evaporated milk, and Malunggay gelatin as the additive. The ingredients for the Malunggay

    gelatin are Malunggay broth, Buko Pandan flavored Gelatin powder, water, refined sugar and

    evaporated milk.

    The nutritional facts that the Apple-Orange Smoothie with Malunggay gelatin can

    provide are iron, calcium, potassium, manganese, magnesium, vitamin A, vitamin B, vitamin C,

    folate, thiamin and protein.

    2. Apple-Carrots-Orange Smoothie with Malunggay Gelatin (CAO Smoothie)

    The ingredients for the second combination on smoothie are Fuji Apple, Carrot juice

    extract, Orange juice extract, ice cubes, refined sugar, evaporated milk, and Malunggay gelatin

    as the additive.

    The nutritional facts that Apple-Carrots-Orange Juice with Malunggay gelatin can

    provide are calcium, potassium, iron, manganese, magnesium, vitamin A, vitamin B, vitamin C,

    folate, thiamin, beta-carotene and protein.

    3. Banana-Pineapple Smoothie with Malunggay Gelatin (Pia-Banana Smoothie)

    The ingredients for the smoothie were ripe Banana, Pineapple , ice cubes, refined sugar,

    and evaporated milk and Malunggay gelatin as the additive.

    The nutritional facts that the Banana-Pineapple Smoothie with Malunggay gelatin can

    provide are potassium, magnesium, manganese, fiber, vitamin A, vitamin B1, vitamin C,

    calcium, foliate, iron and protein.

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    Product Ingredients

    The study came up with three different kinds of products with four different kinds of

    fruits and two different kinds of vegetables to be mixed.

    Apple Orange Smoothie with Malunggay Gelatin (Verdi Smoothie)

    1. Apple fruit

    The apple is the pomaceous fruit of the apple tree, species Malus domestica in the rose

    family (Rosaceae). It is one of the most widely cultivated tree fruits, and the most widely

    known of the many members of genus Malus that are used by humans. Apples grow on

    small, deciduous trees. Specifically, the researcher had used the Fuji Apple because it has a

    very long shelf life compared to other apples, even without refrigeration. It also contains

    between 911% sugars by weight but still nutritious.

    2. Orange fruit

    An orange is a type of citrus fruit which people often eat. Oranges are a very good source

    of vitamins, especially vitamin C. Orange juice is an important part of many

    people's breakfast. The "sweet orange", which is the kind that is most often eaten today,

    grew first in Asia but now grows in many parts of the world. The researchers have used

    Ponkan in its product because of its more orangy taste.

    3. Malunggay leaves

    Moringa also known as the Miracle Tree is a multipurpose plant, were the leaves, pods,

    fruits, flowers, roots and bark of the tree can be utilized. It is also referred to as Drumstick

    Tree by the Britishers. In the Philippines, they are referred to as malunggay or

    malungay. Others refer to moringa as horseradish tree, benzolive tree, kelor, marango,

    mlonge, moonga, nbday, saijhan, sajna or Ben oil tree. Moringa leaves contain: seven

    times the vitamin C in oranges, four times the Calcium in milk, four times the vitamin A in

    carrots, two times the protein in milk and three times the Potassium in bananas.

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    4. Buko Pandan Flavored Gelatin powder

    Gelatin (or gelatin, from Latin: gelatus = stiff, frozen) is a translucent, colorless, brittle

    (when dry), flavorless solid substance. The researchers have used the flavored powdered

    gelatin, specifically Buko-Pandan flavor, because it gives an appealing taste in our products.

    These can be purchased in any grocery stores.

    5. Refined sugar

    Sugar is one of the most popular sweeteners used today. From baked goods to

    beverages, this all-purpose sweetener has been a favorite for centuries. Sugar is the

    crystallized sucrose extracted from sugarcane . After harvesting the sugarcane or sugar

    beets, the juice is extracted and boiled down to remove moisture. As the moisture

    diminishes, the natural sucrose in the juice begins to crystallize. The crystallized sugar is

    removed, leaving other extracts behind in the form of molasses.

    6. Evaporated Milk

    Evaporated milk, also known as dehydrated milk, is a shelf-stable canned milk product

    with about 60% of the water removed from fresh milk. It differs from sweetened condensed

    milk, which contains added sugar. The researchers have used the canned evaporated milk

    that can be purchased in any grocery stores.

    7. Ice cubes

    An ice cube is a small, roughly cube-shaped piece of ice (frozen water), conventionally

    used to cool beverages. Ice cubes are sometimes preferred over crushed ice because they

    melt more slowly; they are standard in mixed drinks that call for ice, in which case the drink

    is said to be "on the rocks."

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    53 Feasibility Study on Mixed Fruit and Vegetable Smoothie Production

    Apple Carrot Orange Juice with Malunggay Gelatin (CAO Smoothie)

    1. Apple fruit

    The apple is the pomaceous fruit of the apple tree, species Malus domestica in the rose

    family (Rosaceae). It is one of the most widely cultivated tree fruits, and the most widely

    known of the many members of genus Malus that are used by humans. Apples grow on

    small, deciduous trees. Specifically, the researcher had used the Fuji Apple because it has a

    very long shelf life compared to other apples, even without refrigeration. It also contains

    between 911% sugars by weight but still nutritious.

    2. Orange fruit

    An orange is a type of citrus fruit which people often eat. Oranges are a very good

    source of vitamins, especially vitamin C. Orange juice is an important part of many

    people's breakfast. The "sweet orange", which is the kind that is most often eaten today,

    grew first in Asia but now grows in many parts of the world. The researchers have used

    Ponkan in its product because of its more orangy taste.

    3. Carrot

    Carrots are popular root vegetable that are easy to grow in sandy soil. They are resistant

    to most pests and diseases, and are a good late season crop that can tolerate frost. Not all

    carrots are orange; varieties vary in color from purple to white. The researchers have used

    the orange-colored carrot variety.

    4. Malunggay leaves

    Moringa also known as the Miracle Tree is a multipurpose plant, were the leaves, pods,

    fruits, flowers, roots and bark of the tree can be utilized. It is also referred to as Drumstick

    Tree by the Britishers. In the Philippines, they are referred to as malunggay or

    malungay. Others refer to moringa as horseradish tree, benzolive tree, kelor, marango,

    mlonge, moonga, nbday, saijhan, sajna or Ben oil tree. Moringa leaves contain: seven

    41

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    times the vitamin C in oranges, four times the Calcium in milk, four times the vitamin A in

    carrots, two times the protein in milk and three times the Potassium in bananas.

    5. Buko Pandan Flavored Gelatin powder

    Gelatin (or gelatin, from Latin: gelatus = stiff, frozen) is a translucent, colorless, brittle

    (when dry), flavorless solid substance. The researchers have used the flavored powdered

    gelatin, specifically Buko-Pandan flavor, because it gives an appealing taste in our products.

    These can be purchased in any grocery stores.

    6. Refined Sugar

    Sugar is one of the most popular sweeteners used in American kitchens today. From

    baked goods to beverages, this all-purpose sweetener has been a favorite for centuries.

    Sugar is the crystallized sucrose extracted from either sugarcane. After harvesting the

    sugarcane or sugar beets, the juice is extracted and boiled down to remove moisture. As the

    moisture diminishes, the natural sucrose in the juice begins to crystallize. The crystallized

    sugar is removed, leaving other extracts behind in the form of molasses.

    7. Evaporated Milk

    Evaporated milk, also known as dehydrated milk, is a shelf-stable canned milk product

    with about 60% of the water removed from fresh milk. It differs from sweetened condensed

    milk, which contains added sugar. The researchers have used the canned evaporated milk

    that can be purchased in any grocery stores.

    8. Ice cubes

    An ice cube is a small, roughly cube-shaped piece of ice (frozen water), conventionally

    used to cool beverages. Ice cubes are sometimes preferred over crushed ice because they

    melt more slowly; they are standard in mixed drinks that call for ice, in which case the drink

    is said to be "on the rocks."

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    Banana Pineapple Smoothie with Malunggay Gelatin (Pia-Banana Smoothie)

    1. Ripe Banana

    A banana is an edible fruit produced by several kinds of large herbaceous flowering

    plants of the genus Musa. In some countries, bananas used for cooking may be

    called plantains. The fruit is variable in size, color and firmness, but is usually elongated and

    curved, with soft flesh rich in starch covered with a rind which may be green, yellow, red,

    purple, or brown when ripe. The researcher used Latundan banana.

    2. Pineapple fruit

    Pineapple is a wonderful tropical fruit having exceptional juiciness, vibrant tropical

    flavor and immense health benefits. Pineapple contains considerable calcium, potassium,

    fiber, and vitamin C. It is low in fat and cholesterol.

    3. Malunggay leaves

    Moringa also known as the Miracle Tree is a multipurpose plant, as the leaves, pods,

    fruits, flowers, roots and bark of the tree can be utilized. It is also referred to as Drumstick

    Tree by the Britishers. In the Philippines, they are referred to as malunggay or

    malungay. Others refer to moringa as horseradish tree, benzolive tree, kelor, marango,

    mlonge, moonga, nbday, saijhan, sajna or Ben oil tree. Moringa leaves contain: seven

    times the vitamin C in oranges, four times the Calcium in milk, four times the vitamin A in

    carrots, two times the protein in milk and three times the Potassium in bananas.

    4. Buko Pandan Flavored gelatin powder

    Gelatin (or gelatin, from Latin: gelatus = stiff, frozen) is a translucent, colorless, brittle

    (when dry), flavorless solid substance. The researchers have used the flavored powdered

    gelatin, specifically Buko-Pandan flavor, because it gives an appealing taste in our products.

    These can be purchased in any grocery stores.

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    4. Refined Sugar

    Sugar is one of the most popular sweeteners used in American kitchens today. From

    baked goods to beverages, this all-purpose sweetener has been a favorite for centuries.

    Sugar is the crystallized sucrose extracted from sugarcane. After harvesting the sugarcane or

    sugar beets, the juice is extracted and boiled down to remove moisture. As the moisture

    diminishes, the natural sucrose in the juice begins to crystallize. The crystallized sugar is

    removed, leaving other extracts behind in the form of molasses.

    5. Evaporated Milk

    Evaporated milk, also known as dehydrated milk, is a shelf-stable canned milk product

    with about 60% of the water removed from fresh milk. It differs from sweetened condensed

    milk, which contains added sugar. The researchers have used the canned evaporated milk

    that can be purchased in any grocery stores.

    6. Ice cubes

    An ice cube is a small, roughly cube-shaped piece of ice (frozen water), conventionally

    used to cool beverages. Ice cubes are sometimes preferred over crushed ice because they

    melt more slowly; they are standard in mixed drinks that call for ice, in which case the drink

    is said to be "on the rocks.

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    Manufacturing Process

    The manufacturing process of mixed fruit and vegetable smoothie is in made to order

    basis with 3 different combinations. The process of preparing the fruit and vegetable smoothie

    is by extracting the juice from the fruit and vegetable specifically the orange and carrot, and

    blending it together with other fruits adding Malunggay gelatin as an additive. The smoothie

    will be put into 8oz cups with plastic lid cover for food safety and straw.

    1. Apple-Orange Smoothie with Malunggay Gelatin (Verdi Smoothie)

    a. Washing

    Wash the 232.5g of fuji apple as well as the 300 g of ponkan orange to remove the

    dirt, pesticide or else the chemicals present. Do not use hot nor freezing water in order to

    retain the freshness of fruits.

    b. Peeling

    After washing, use your hands in peeling the ponkan orange because it has a thicker

    skin compare to the other fruit. Make sure to wash your hands before doing it. Ponkan

    compose of 60% skin.

    c. Slicing

    Hold apple so that stem is facing straight up while apple is on top of a cutting board. Cut

    the peeled fuji apple which is 232.5 grams in weight into a medium size. Use a sharp knife

    to create the size slices of your choosing by slicing each large slice into the upward, rounded

    section of the apple pieces, so that it would be easy for the blender to blend it.

    d. Extracting

    Presses are the usual and traditional method of removing juice from the fruit. By the use

    of Imarflex extractor, the residues and juice will be separated. The researchers can extract

    the 300g of ponkan which will result to a 75.28 g of juice and 74.91% residues.

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    e. Mixing / Blending

    After the extraction and slicing/cutting process, 75.28 g of ponkan orange and slices of

    apples are mixed together in the blender. Pour it with 150 ml evaporated milk, 150 grams of

    refined sugar and 452 ml of ice cubes to produce 1 pitcher of smoothie. In order to get an

    equal taste, stir it using tablespoon or stirring rod.

    f. Filling

    It is the process of bringing the mixed juice into the container. The container is made up

    of 250 ml plastic slushy cup.

    g. Adding gelatin

    For a good and healthy taste, add 75g of malunggay gelatin in a 1 cup of smoothie.

    2. Apple-Carrot-Orange Smoothie with Malunggay Gelatin (CAO Smoothie)

    a. Washing

    Wash all raw fruits such as 232.5 g of fuji apple and 300 g of ponkan orange and 150

    g of carrot to remove the dirt, pesticide or else the chemicals present on it. Use colander in

    washing the needed raw materials. Do not use hot nor freezing water in order to retain the

    freshness of fruits and vegetable. The researcher may also use brush but not too rough for a

    certain veggies such as carrot, which have been growing in soil. Make sure there isn't any dirt

    or other items left on fruits or vegetable.

    b. Peeling

    After washing, use knife or peeler to take out the skin of the carrot, unlike on the

    ponkan orange fruit because it has its thinner peel, just used your hands in peeling the

    ponkan. Make sure to wash your hands before doing it. Hence, carrot contains 14.29% of

    skin and 60% of skin and seeds for orange.

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    c. Slicing

    Cut the apples into medium size, to ensure it will make the blender machine to blend it

    easily, slice all the large sizes. Cut the peeled carrots into medium size to make sure it will fit

    in the juice extractor machine. Use a sharp knife in slicing the 232.5 g of apple, 128.6 g of

    carrot.

    d. Extracting

    Presses are the usual and traditional method of removing juice from fruit and vegetable

    materials. By the use of Imarflex extractor, the residues and juice will be separated. The

    researchers can extract the 300 g of ponkan that will result to a 75.28 g of juice and 74.91%

    residues. In addition, by pressing the 150 g of carrot we could come up with 37.86% residues

    and 93.21 g of concentrated carrot juice.

    e. Mixing / Blending

    After the extraction process, mix the 75.28 g of ponkan orange juice and 93.21 g of

    concentrated carrot juice unto the blender together with the sliced apple. Pour it with 150

    ml evaporated milk, 150 g of refined sugar and 358 ml of ice cubes to produce 1 pitcher of

    smoothie. In order to get an equal taste, stir it using tablespoon or stirring rod.

    f. Filling

    It is the process of bringing the mixed juice into the container. The container is made up

    of 250 ml plastic slushy cup.

    g. Adding gelatin

    For a good and healthy taste, add 75g of malunggay gelatin in every 1 cup of smoothie.

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    3. Banana-Pineapple Smoothie with Malunggay Gelatin (Pia Banana Smoothie)

    a. Washing

    Wash the 550 g of ripe latundan banana fruits and 110 g of pineapple in order to

    remove the dirt present on it. Do not use hot nor freezing water in order to retain the

    freshness of fruits. The researcher may also use brush for cleaning the outside part of the

    pineapple. Make sure there isn't any dirt or other items left on fruits.

    b. Peeling

    After washing, use a sharp knife or peeler to take out the skin of the pineapple.

    Otherwise, use your hands in peeling the skin of the banana. Pineapple consists of 10% peel

    and 54.42 % for the skin of banana. Make sure to wash your hands before doing it.

    c. Slicing

    Cut the peeled 110 g of pineapple and 550 g of banana into a medium size, just to

    ensure it will easily blend into the blender machine. Use a sharp knife in slicing the fruits.

    d. Mixing / Blending

    Mix and blend the 88g of pineapple with 250.69g of sliced banana. Add the 150 ml

    evaporated milk, 150g of refined sugar and 412 ml of ice cubes to produce 1 pitcher of

    smoothie. In order to get an equal taste, stir it using tablespoon or stirring rod.

    d. Filling

    It is the process of bringing the mixed juice into the container. The container is made up

    of 250 ml plastic slushy cup.

    e. Adding gelatin

    For a good and healthy taste, add 75 g of malunggay gelatin in a 1 cup of smoothie.

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    Figure 3.2 Qualitative Flow Diagram

    Washing Peeling Cutting

    Filling Blending Extracting

    Adding gelatin Finished Product ( Smoothie )

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    Apple-Orange Smoothie with Malunggay Gelatin (Verdi Smoothie)

    Figure 3.3 Quantitative Flow Diagram

    Input Process Output

    Apple (232.5g)

    Orange (300g)

    Washing

    (535.5g)

    Peeling/slicing

    Apple (223.2g)

    Orange (120g)

    Extracting

    Orange (75.28g)

    Blending (1,500g)

    Apple (223.2g)

    Orange (75.28g)

    Evaporated Milk(150mL)

    Gelatin (450g)

    Sugar (150g)

    Ice/cold water (452mL)

    Skin & Seed

    Apple (4%)

    Orange (60%)

    Residue

    Orange

    (74.91%)

    Finished Product

    (1,500mL)/250mL

    =6 cups

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    Apple-Carrot-Orange Smoothie with Malunggay Gelatin (CAO Smoothie)

    Figure 3.4 Quantitative Flow Diagram

    INPUT PROCESS OUTPUT

    Apple (232.5g)

    Orange (300g)

    Carrot (150g)

    Washing

    (682.5g)

    Peeling/slicing

    Apple (223.2g)

    Orange (120g)

    Carrot (128.6g)

    Extracting

    Orange (7