Response to Requirements

LUMBER INDUSTRY INNOVATION

Major Canadian Corp. Vancouver, British Columbia, Canada V6T 1W5

President and CEO Major Canadian Corp.

Proposal Submitted

by Mohire’s Innovations

Toronto, ON, Canada

Proposal No: 001

June 15, 2012

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Executive Summary

In troduction

IT Innovators proposes a complete program of services to assist Major Canadian Corp, Canada,

in the incremental and breakthrough Technological Innovation. We offer a unique set of services

that covers working with architects, engineers, and outside contractors to design, develop,

customize and integrate the necessary IT and Computer Engineering products, design efficient

processes, services and control mechanisms ; and installing and upgrading all computer

networks, operating systems, and Web sites as per the specified requirements.

The program will be accomplished in three phases and will produce deliverable results that

meet or exceed all technical requirements set forth in the request for proposal. We understand

that Major Canadian Corp is working within a very tight schedule to complete the work, and we

feel confident that our company can meet the twelve-month time frame stated in the proposal.

Our three-phase program focuses on the preparation of block diagrams and requirements,

detailed requirements for bid specifications of goods and services to be procured, and support

for Forintek’s design and development bidding process. In addition to providing assistance with

the new facility, we also offer Major Canadian Corp continuous support to maintain its network

and data-processing services throughout the design and renovation stages. IT Innovators

specializes in maintaining uninterrupted computer services while developing new systems.

Our Approach

The three-phase program that we propose will enable Major Canadian Corp to select the best

design for their Softwood Lumber Manufacturing, develop precise specifications for soliciting IT

and Engineering development bids, and ensure the most efficient use of the 10,000 square feet

space leased in the Vancouver area for prototype and engineering works. The prototype center

will be able to provide fully integrated services to all their clients with increased speed and

efficiency.

Phase I consists of a close examination of the innovations requirements to develop the base IT

and engineering plan and data center design, command and control center using latest cloud

based service features. This phase also includes establishing criteria for the selection of

environmental friendly equipment and completing specific documents for all facets of

construction (e.g., electrical, fire protection, and security interfaces).

Phase II involves creating detailed requirements from which Major Canadian Corp’s architect

and engineer can develop a bid specifications package. Our consultants have devised a

particularly time-saving method of determining how to select bids from among those solicited.

Phase III, which will be initiated once Phases I and II have been approved by Major Canadian

Corp, consists of support for the firm’s design and construction process. We will help Major

Canadian Corp staff review bid specifications for conformance to project requirements and

adjust the design to the firm’s configuration. To accomplish the tasks in Phases I and II, we will

form a joint IT Innovators & Major Canadian Corp task force that will report directly to the

president of Major Canadian Corp. We will hold weekly review meetings with the firm’s staff and

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work closely with their technical group. Such coordination will enable us to stay on schedule and

solve in a timely manner any problems that arise.

Proposed P ro jec t Resu lts

Once Phases I and II have been completed, we will present Major Canadian Corp with a set of

design drawings and requirement books. These include:

• Phase I: Block diagrams of IT and Engineering products, computer data center design,

anticipated total loads for computer data center, requirements for closets; design development

documents and blueprints for network, websites, backup and storage devices, electrical supply,

security, fire protection, and high-voltage AC.

• Phase II: Detailed diagrams and Technical specifications of the overall project with in-house

estimates on effort, cost, and managerial activities. Also a baseline for vendor selection will be

developed and will assist Major Canadian Corp engineers in arriving at the final bid

specifications and anticipated package of products, services and inventory of all the tangible

assets.

Phase III: This is the contract sign off with vendors and IT Innovators will assist in construction

of the IT and Engineering facility and will scope the work that can be delegated to vendors and

Major Canadian Corp mainly coordination and signoff. This phase will run through the various

implementation cycles and will be under our strict supervision and quality control or every

deliverable of the project.

Management Overv iew

To ensure that the project proceeds smoothly, we will form a task force with Major Canadian

Corp senior management to maintain close communication throughout the three phases of the

work. We will appoint a project manager to oversee all aspects of the relocation from design to

installation. The manager will be on-site at all times to make sure that assigned tasks are

completed, all time schedules are met, and all phases of the project are completed to the

client’s complete satisfaction.

Time and Cost Overv iew

We anticipate meeting Major Canadian Corp schedule of completing Phases I and II by October

15 2012 and Phase III ten weeks later after receiving approval to proceed with the final stage.

Our extensive experience IT Industry and design projects often enables us to streamline work

tasks without compromising safety and quality.

Our pricing structure is based on standard industry practices of quoting a fee for each phase of

the project. Our fees include support for all design work, bid specifications, and vendor selection

until the design center is completed. All out-of-pocket expenses incurred by IT Innovators on

behalf of Major Canadian Corp will be billed at actual cost. The proposal pricing, configuration,

and terms stated are valid for 60 days from the date on the cover of the proposal.

IT Innovato rs

IT Innovators was founded in 2012 to assist firms in the process of IT project design of

datacenter, and data processing facilities. Today, our firm is recognized internationally as one of

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the leading companies in this field. We have pioneered many of the current techniques used to

design data center layouts, safeguard power systems, and provide security systems that

prevent the loss of key data during transfer. We have experience with a wide range of

mainframes, servers, and interactive networks used by firms similar to Major Canadian Corp.

The design of a data-processing facility is a highly complex and specialized task that requires

an experienced, dedicated team and close coordination between the company staff and

consultants. We believe that IT Innovators offers a unique blend of experience, expertise, and

custom services to meet Major Canadian Corp requirements for this project.

Our expertise lies in delivering precise and high quality solution backed by fifteen years of

experience in IT and Engineering technologies. We have received several certifications ranging

from Computer Management to IT Technology. We are pleased to inform that we have a team

that comprises resources holding Double Masters in IT and Management from premier

institutes. They have been instrumental in delivering quality solutions along with key project

reports, technical papers and research oriented thesis in wide areas of Information Technology.

The resources also hold memberships from International Computer and Engineering societies

and also are actively involved in sharpening their skills and providing better solutions year after

year.

Unders tand ing o f requirements

As a result of our examination of the Request for Proposal and our conversations with Major

Canadian Corp., management, we have developed the following understanding of the

company’s situation:

The following sections systematically capture the needs.

Descrip tion of the bus iness area a ffected by project

Over the past nine years, the Canadian lumber industry has been exporting, on average,

over 70 per cent of its production, which makes it a major contributor to the country’s

trade surplus, and a significant component of Canada’s economic success. It also

represents a substantial factor in this country’s rural economy. Over the same nine-year

period, total shipments more than doubled to reach $19.6 billion in 1999. Value-added

products only represent a small percentage of this total, but they have experienced

tremendous growth, and attracted industry and government attention for their ability to

maximize wood product value and exports while creating employment opportunities.

Business env ironment: related ac tivit ies , s takeholders

Recommendations are set out as a basis for the development of strategic plans for the

Canadian lumber industry. They cover such areas as the acquisition and transfer of

technical and scientific knowledge, the setting of priorities for the industry’s R&D

program, the acquisition of market knowledge, the development of value-added

opportunities, and the critical efforts required in training and education.

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Recommendations apply to all stakeholders including industry, government and

research organizations; they are intended to benefit both the lumber industry and its

Canadian suppliers.

Overv iew of business ob jectives

For the longer-term, improved utilization of the resource means improved forest

management in order to produce trees better suited to tomorrow’s needs, but the results

of these efforts will not be felt in any significant way within the ten-year horizon set for

the present document.

For the short- and medium-term, improved utilization means enhanced knowledge of the

available resource, including knowledge of individual species, and measures to ensure

that log allocation allows for maximum value recovery. This will have an impact, not only

on the lumber industry, but also on other industry sectors relying on the wood resource,

especially the pulp and paper, and wood panel sectors. The development of the

Canadian lumber industry over the coming decade will largely rest on its ability to take

advantage of innovation in the fields of artificial vision and information. To be

effective, adoption of new technology needs the support of advanced process

development and control, focusing not only on manufacturing centers but integrating

all process parameters that impact on production efficiency, including material

flow, handling and maintenance. This will require technology networks involving

company personnel, equipment manufacturers, software suppliers, R&D organizations,

educational institutions and other service suppliers

Scope of p ro jec t

Softwood Lumber Manufacturing

Raw Material

Incremental Technological Innovation

Generally create data links between sawmills and optimized log processors for timely parameter updates.

Breakthrough Technological Innovation

To create comprehensive databases for forest management and basic log allocation. Provide full data integration between forest managers, harvesting operators and log users to generate a single database accessible to all, and to facilitate rational resource utilization decisions.

Develop a supply chain utilization system to integrate all supply inputs affecting profitability into decision aids for improved profitability

Log-Yard Management

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Incremental Technological Innovation

Develop inventory control tools integrating mill requirements as well as all factors affecting log quality and value to facilitate optimum decisions by the yard supervisor

Breakthrough Technological Innovation

Re-evaluate yard management principles and log handling equipment performance with a view to minimizing holding time, eliminating log damage, and increasing supply flexibility. Develop decision-aid tools to support optimum decisions. Assuming that information has been obtained on forest stands and expected mill requirements, these could include software to simulate scenarios and recommend best yarding solutions

Network

Create a science and technology network to support development of the

breakthrough technologies identified in the program, and accelerate technology

transfer

This should be reinforced and expanded, especially with equipment manufacturers and engineering firms, because innovations issuing from laboratories frequently need to be demonstrated at pilot plant level, and integrated into existing or new machinery before industry can benefit from them

Adopt advanced mechanisms for the collection of intelligence on market

opportunities

The industry requires market intelligence of the type more commonly associated with consumer goods, and modern market research methods that are borrowed from that sector to predict desirable product attributes on the basis of trends in economics, consumer preferences and government legislation. Advanced market intelligence is also essential to effective design development. All initiatives in this domain need to consider e-commerce and its potential for the Canadian wood industry. One objective of this search for innovative applications should be to reduce intra-industry competition, reinforce the industry’s position against competing building materials, and maximize penetration of new markets

Education and Training

Reinforce training and re-training programs

Training and the adoption of positive attitudes to new technology will be facilitated by the development of computer-based tools which can be used to simulate processes; test the impact of various decisions on cost, quality, etc.; and demonstrate the benef its of specific innovations. Strategies should be developed to use the Web as a vehicle for the transfer of educational material, in addition to CD-ROMs, videos and teleconferencing. Partnerships should facilitate the development of decision-aid and expert systems as

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needed to meet the technology requirements of smaller producers, particularly those in the value-added sectors.

Major Canadian Corp. is seeking assistance from IT innovators to help its engineers, architects,

and vendors expedite the design and construction of the IT and engineering products, storage,

computer support, and the data center. This required assistance does not include the design of

offices, communications cubicles, or market data communications rooms outside of the main

computer room.

Bidder’s Effo rt requ ired

The following table details the estimated effort required from Industry Canada and Major

Canadian Corp. over the duration of the project. This is a ball park estimate and the final figures

can be concluded in a meeting with the officials of the concerned corporate.

Task Level ( H/M/L) Man days Description

Project management

M 60 Need Foreintek Manager to oversee activities and advice on their needs of reporting structure and stakeholder. This is a continued effort and needs Hi level supervision by Forintek.

Explanatory Seminars

H/M 10 Forintek managers and engineers need to provide eye-openers

Functional design

M 10 This will provide a baseline for our engagement in design

System Usability M 10 This will aid us in understanding the needs of the users

General business inputs

M 10 Modus operandi and the status of existing systems

Interviews with stakeholders

H/M/L 10 General survey to understand the needs of stakeholders

Sign -offs H 3 High level agreements and sign off

TABLE 1.1 We will assume that the above mentioned corporate will provide us with the necessary

resources and knowledge sharing to ensure staged, smooth and proper progression of the

solution at all phases and also in obtaining the necessary approvals and sign off at key

milestones of solution delivery

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Deta ils of our Approach

The specified details as in the Requirements section will be handled in three phases.

Phase I Prepare a set of block diagrams and requirements to be used to develop the base building and

data center designs. Specifically:

Study of Current and future requirements Data center design development requirements documents, (including architectural

and mechanical, electrical, and plumbing approaches; fire protection; and specialized security interface)

Phase II Develop detailed requirements from which Major Canadian Corp architects and engineers can

develop a bid specifications package. This includes detailed:

IT and Computer Architectural requirements Mechanical requirements Electrical requirements Fire protection requirements Security and monitoring requirements

Phase III Support Major Canadian Corp design and construction efforts by:

Reviewing bid specifications for conformance to project requirements Applying enhancements and changes resulting from the Major Canadian Corp

computer configuration adjustments Assist in the implementation of project for the datacenter, computer services and

engineering services Provide the Test cases for UAT as part of client needs Integrate with the existing technologies and conduct Integration testing Develop High level documents for support, Training and Technical Provide continued support of related items under warranty period Release of final prototype working model and service entities to Major Canadian

Corp Report the final expenses report and obtain approvals from Major Canadian Corp or

any final settlement and hand off of project Complete Govt. regulations and project closing formalities for IT innovators

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TECHNICAL SECT ION

The table 1.2 outlines the high level response to the key functional requirements in terms of

technical work to be completed by IT Innovators

Req. No

Requirement description Our response

1 Generally create data links between sawmills and optimized log processors for timely parameter updates

As part of the data center services this will be an activity to develop Wired and Wireless Network as required

2 To create comprehensive databases for forest management and basic log allocation. Provide full data integration between forest managers, harvesting operators and log users to generate a single database accessible to all, and to facilitate rational resource utilization decisions.

A 3 tier web application will be developed that will allow the forest managers, operators and log users to save the details to the database in the datacenter. The database will be of OLTP for day to day operations and a data warehouse for Business Intelligence for decision making.

3 Develop a supply chain utilization system to integrate all supply inputs affecting profitability into decision aids for improved profitability

The web application will be an integral part of the new proposed ERP solution that will take care of the Sales, Logistics, Finance and Accounts keeping. Relevant user interfaces will be developed to suit the needs of the various types of users like office and remote users in the forest

4 Develop inventory control tools integrating mill requirements as well as all factors affecting log quality and value to facilitate optimum decisions by the yard supervisor

The proposed solution will carefully study and capture the type of control tools needed may be it a mechanism or a engineering tool we will provide the integration as to enable the yard supervisor in taking right decisions for the mills inventory needs

5 Re-evaluate yard management principles and log handling equipment performance with a view to minimizing holding time, eliminating log damage, and increasing supply flexibility. Develop decision-aid tools to support optimum decisions. Assuming that information has been obtained on forest stands and expected mill

We will capture the existing process and the issues that are posing risks to the supply chain by delays and decision related issues.

We will arrange for various

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requirements, these could include software to simulate scenarios and recommend best yarding solutions

What-If scenarios and also represent them for visual aid and better decision making. These tools will be easy for changing parameters and can include the different combinations for arriving at the best yarding solution.

6 Create a science and technology network to support development of the breakthrough technologies identified in the program

Our network experts will capture the breakthrough needs and will suggest the new solutions that will integrate and scale to the future needs

7 Advanced market intelligence on market opportunities

We have tie ups with major market intelligence that provide opportunities for various types of demands in the International market. These service providers data will be integrated into this datacenter web application and provide the needed intelligence for different types of users of the lumber industry

8 Strategies should be developed to use the Web as a vehicle for the transfer of educational material, in addition to CD-ROMs, videos and teleconferencing

Our educational partners will provide the best of tools and latest learning tools to educate the users. Virtual presence and tele conference using web and use of IPTV features will enable forest user getting educated from TV sets itself.

TABLE 1.2

Detailed technical documentation is being worked out and will be sent across shortly. This will include the data center layout diagram, racks and servers to be installed their technical configurations, proposed network, educational CD structure and training content. Due to the quick response requested by Major Canadian Corp in two days we have provided the possible details we currently have in mind.

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MANAGE MENT SECTION

Projec t Management

We estimate the project will take 12 months. Details of this is provided in the following sections

Projec t P lan

Task Start Date End Date

Design Jan 05 2012 Jan 30 2012

Data Models Jan 15 2012 Jan 30 2012

User Interfaces Jan 15 2012 Feb 05 2012

Non-functional requirements

Feb 01 2012 Feb 10 2012

System Design Feb 01 2012 Mar 10 2012

System Build and Testing

Mar 01 2012 May 30 2012

Other tasks

Project Mobilization

Jan 01 2012 Jan 15 2012

Project Management

Jan 01 2012 Dec 30 2012

Documentation Feb 10 2012 Sept 30 2012

Configuration management

Oct 10 2012 Nov 30 2012

Installation Dec 01 2012 Dec 15 2012

Training Dec 15 2012 Dec 30 2012

TOTAL: 336 elapsed days excluding weekend days and anticipated 12 days holidays

TABLE 1.3

TIME AND COST ES TIMATES

Projec t es timation

The project estimates is based on the following

We examined the required number of use cases We identified the required number of components We classified each one using the function point and COCOMO estimation and arrived at

high level effort Using rations and percentages we extrapolated the efforts and arrived at the other

stages of the solution

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The table below provides the breakdown of the man days for each task

Item. No

Task Number of Mandays

1 Project Management 150 days

2 Business Analysis 20 days

3 Functional Design 40 days

4 Technical Design 40 days

5 Development 300 days

6 Software Testing 60 days

7 UAT 30 days

8 Graphic Design 30 days

9 Training 30 days

10 Documentation 90 days

TOTAL 780 man days

TABLE 1.4

Risks

Issue No.

Category H/M/L

Detail of Risk Detail of Impact Mitigation actions

1 M Time delays due to non cooperation from existing vendors

Access to existing systems and non availability of accurate data or in timely solution from our side

Well an intermediate will ease the risk

H Non availability of Wireless network at particular forest areas

This will impact the solution for such areas and we need to add additional costs for wire based solutions

Accurate measurement data and survey is needed that might come for a small price

TABLE 1.5

Issues

Issue No.

Category H/M/L Detail of Issue Mitigation actions

1 M Integration of existing legacy systems might degrade network performance

Careful alternatives need to be acceptable if the proposed main solutions do not provide the needed

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results

TABLE 1.6

Assumptions

Assumption Assumption detail Impact on estimates

1 We assume that the impact on the existing systems that are not in scope will not be part of this plan

Isolation of our scoped units need to be added if we encounter dependencies

2 Out of pocket expenses will be considered and reimbursed

If this is not approved we need to add a small fee or this based on the best judgment of anticipated situations

TABLE 1.7

Costs

No itemized Budget

Item. No

Item description Cost

1 Personnel $208,472

2 Data Center Development cost

207,025

3 Hardware 36,050

4 Software 44,665

5 Prototype Field Testing:

(OS/Web site/relocated

equipment/software)

22,830

6 Project Management 99,050

7 General and Administration 62,426

8 Design and Monitoring 66,650

9 Taxes 9,776

10 % Overhead Applied 21,250

Total Direct Cost $778,194

Total Indirect Cost (18.1%) $140,853

TOTAL COST $919,047

TABLE 1.8

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ORGAN IZAT ION AND STAFF IN G

A key element in our approach to this project is the assignment of senior personnel who have

significant data center design, planning, operations, and management experience. We have

selected a project team that not only possesses a seasoned, realistic perspective but also can

provide practical suggestions for improvement in such areas as workstation layouts, data center

construction, and testing.

The project team will consist of the following personnel:

Engagement Director Mr. Vijay Mohire, Founder partner

We are anticipating that Major Canadian Corp, personnel, architects, and engineers will be

available to work with us. Such coordinated teamwork will greatly assist our data-gathering

efforts during the early weeks of the project.

OUR EXPER IENCE AND QU ALIFIC AT IONS

We believe that “Mohire’s Innovations” is well qualified for this assignment. We have managed

numerous data center design, construction, and relocation projects for organizations similar to

Major Canadian Corp. These firms include:

Indian Telephone Industries Satyam Computer Services Wipro Technologies HP India Glaxo smith kline

In addition, the project team members all have strong backgrounds in data processing

operations and technical support management. Our senior staff has an average of 10 years

experience in all areas of data center relocation, design, operations, systems, applications,

technical support, and administration.