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Chapter 2
Management Aspect
This aspect determines the form of business ownership the proponents
will consider in their new business. This also identifies who will manage the
business, what are the required duties, responsibilities and functions of each
position, the mission and business policies set in order to achieve the strategic
goals and vision in the foreseeable future.

2.1 BUSINESS PROFILE

2.1.1 Business Name

Cassava Milling Corporation is the proposed business name,
unfortunately, it is rejected in the Securities and Exchange
Commission (SEC) name registration site because it already exists.
The approved registered business name is Yucassava Milling
Corporation. Yucassava, is derived from the word yuca, a Spanish
term for cassava, which is the primary raw material of the company.
"Milling", is to produce something in a mill especially by grinding,
crushing, cutting, or powdering, where the company is engaged mill
cassava into flour.

2.1.2 Company Logo

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2.1.3 Business Overview
The corporation will be located at Brgy. Conchu, Trece Martires,
Cavite. The incorporators of the corporation will be Ms. Jennilyn
Asma, Ms. Fatima Elaine Atienza, Mr. Clarkson Bautista, Ms. Kim
Suzzane Fadriquela, Ms. Chelsea Anne Vidallo and Ms. Leziel
Quillosa. The required capital for this project will be 20,000,000.00
in total including pre-operating expenses and working capital. The
corporations main business activity will be milling and sales of
cassava flours. The projected number of employees will be 38 in total.

2.1.4 Type of Business Organization

Corporate form of business organization is the proposed business
form for Yuccasava Milling Corp. A corporation is an artificial being
created by operation of law, having the right of succession and the
powers, attributes and properties expressly authorized by law or
incident to its existence

2.1.5 The Incorporators

Name

Nationality

Residence

Jennilyn Asma

Filipino

General Trias, Cavite

Fatima Elaine Atienza

Filipino

Clarkson Bautista

Filipino

General Trias, Cavite

Dasmarinas City,
Cavite

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Kim Suzanne Fadriquela

Filipino

Dasmarinas City,

Leziel Quillosa

Filipino

Cavite
Trece Martires, Cavite

Chelsea Anne Vidallo

Filipino

Indang, Cavite

2.1.6 Management Style

The company will adapt the consultative style of management.
Employees will be allowed to give their views and opinions before
arriving at a decision. If employees feel that they can speak up and
voice their opinions, they are more likely to participate in problem
solving and to bring concerns to managers so that they can be
discussed and solved together. However, the power of making
decisions still rests with the manager.
.
2.1.7 Vision
To be the leading manufacturer of world class but economical
cassava flour.

2.1.8 Mission
To follow our vision through the successful operation of cassava flour
milling operation by maintaining the most efficient operating facilities and
equipment that will provide the best possible products and services at
affordable prices for all our customers.

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2.1.9 Objectives

To develop the awareness of our target market regarding the

product by using different marketing strategies

To find clients within Cavite area by conducting market search, and

strengthen companys reliability as a supplier.

To increase employee engagement and satisfaction in the

company by having recreational activities.

To support Community Outreach Programs by encouraging

the chosen community to plant cassavas.

To assure the stability and profitability of the business to

attract investors.

2.1.10 Core Values

Knowledgeable in different aspects of our manufacturing process

Advance technology. We use advanced technology to have

effective and efficient processes and transactions.

Market trust. Our company is trustworthy and we guarantee that

customers' problems regarding our products are well addressed.

Optimism. Positive outlook in every situation.

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Team work. Our company provides integrative and collaborative

environment for the employees to have harmonious relationship
and cooperation within the organization.

Ethical. We make sure that practices, transactions and processes

are based on ethical standards.

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2.2 ORGANIZATIONAL STRUCTURE

2.2.1 Organization Chart

Board of
Director
s

Preside
nt
Corpora
te
Secretar
y
CorpAor
ate
Treasur
er
Account
ing
Manage
r
Purchas
er

Account
ing Staf

Producti
on
Manage
r
Producti
on
Operato
r

Quality
Control
Personn
el

Utilities
&
Maintena
nce
Personne
l

Administrati
ve Manager

Sales
and
Marketi
ngMang
er

HR Staf

Sales
and
Marketi
ng Staf
Driver

Longsho
reman

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2.2.2 JOB DESCRIPTION AND QUALIFICATION
This section converses about the duties & responsibilities of every
position inside the organization and the qualifications that are needed to acquire
the job.

Position: Accounting Manager

Duties and Responsibilities:

Manage and oversee the daily operations of the accounting

department

Monitor and analyze accounting data and produce financial

reports or statements

Establish and enforce proper accounting methods, policies

and principles

Qualifications:

Advanced computer skills on MS Office, accounting software and

databases

Has knowledge of accounting principles, practices, standards, laws and

regulations

Certified Public Accountant

At least 25 years old

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Position: Production Manager
Duties and Responsibilities:

Make up a production schedule

Monitor the production processes

Ensure that health and safety guidelines are followed

Qualifications:

Graduate of Business Administration Major in Operation

Management

Can handle responsibility and the pressure of meeting

deadlines

Has the ability to communicate clearly with staff at all levels

At least 25 years old

Position: Administrative Manager

Duties and Responsibilities:

Recruit, select, orient, and train employees

May occasionally perform any task assigned to subordinate

staff

Maintain and keep records, consolidate the reports

Qualifications:

Graduate of business administration program

At least 25 years old

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Position: Sales and Marketing Manager

Duties and Responsibilities:

Promotion of the product

Map potential customers

Ensure customer satisfaction and manage quality of product

and service delivery

Maintain and improve relationships with the client

Qualifications:

Bachelor degree in Marketing Management

Has great interpersonal and computer skills

At least 25 years old

Position: Purchaser
Duties and Responsibilities:

Manage relationships with key suppliers to maintain quality

of goods, timely delivery and compliance to terms of
contracts

Arrange the payment of duty and freight charges

Qualifications:

Has product knowledge

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Self-confident and has good interpersonal skills

At least high school graduate

Position: Accounting Staff
Duties and Responsibilities:

Perform general bookkeeping

Prepare and analyze budgets

Maintain financial reports, records, and general ledgers

Qualifications:

Graduate of Bachelor of Science in Accountancy

Computer-literate, proficient in MS Office Application

At least 25 years old

Position: Production Operators

Duties and Responsibilities:

Operate equipment safely and effectively for production

processing

Qualifications:

At least high school graduate

Male, at least 20 years old

Position: Quality Control Personnel

Duties and Responsibilities:

Ensure the products meet acceptable quality standards

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Qualifications:

Graduate of Business Administration Program

Previous experience in manufacturing or production

At least 25 years old

Position: Utilities and Maintenance Personnel

Duties and Responsibilities:

Ensure that equipment are maintained in good and safe

working condition

Perform regular equipment maintenance to ensure production

capacity and quality

Ensure the cleanliness of the working area

Qualifications:

Know how to operate and fix machine malfunctions

At least 20 years old

At least high school graduate

Position: Human Resource (HR) Staff

Duties and Responsibilities:

Deal with grievances and implement disciplinary procedures

Assist line managers to understand and implement policies

and procedures

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Respond to applicant inquiries and facilitate new hire

orientation

Qualifications:

Able to stay calm in challenging situations

Has very good communication skills at all levels

Graduate of Human Resource Management Development or

Psychology

Female, at least 25 years old

Position: Sales and Marketing Personnel

Duties and Responsibilities:

Sell and market the product in different location

Negotiate terms, selection and down payment with clients.

Respond

to

sales

inquiries

and

concerns

by phone,

electronically or in person

Handle complaints of customer promptly and professionally

Qualifications:

Graduate of Marketing Management

Has good negotiating skill

Male, at least 25 years old

Position: Driver

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Duties and Responsibilities:

Drive the truck for the delivery of the customers order

Qualifications:

25 to 50 years old

Has drivers license

Position: Longshore man (Pahinante)

Duties and Responsibilities:

Loading and unloading of goods to be delivered

Qualifications:

Male, 20 to 45 years old

Physically fit

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5 BUSINESS POLICY/REGULATION
2.5.1 Hiring Policy
The HR Staff will recruit prospective employee for the vacant position
through job posting and newspaper ad. Candidates who respond to these
measures then come in for interviews and other methods of assessment.
Selection Process
The Selection is a process of picking the right candidate with
prerequisite qualifications and capabilities to fill the jobs in the
organization. Employee Selection Process takes place in following order:
2.5.1.1 Initial Screening
The HR Staff will check the application of new applicant if it meets the
minimum qualification requirement.
2.5.1.2 Employment test
Those qualified applicant will go through written tests that is
conducted during selection procedure. These are aptitude test and
personality test. These tests are used to objectively assess the
potential candidate.
2.5.1.3 Background Checks
The purpose is to verify factual information if it match with the
application requirement.
2.5.1.4 Final Interview
It is used to gather additional information on each applicant like
knowledge, experience, skills and abilities if it meet job expectations.
2.5.1.5 Medical examination

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Medical tests are conducted to ensure physical fitness of the
potential employee. It will decrease chances of employee absenteeism.
2.5.1.6 Job Offer
Those individual who perform successfully in the preceding step are
now considered to be eligible to receive employment offer.
2.5.1.7 Orientation
New employees will be introduced to their new jobs and work
environments. Orientation provides an opportunity for new employees
to become acclimated to their new company, department, colleagues
and work expectations.
2.5.2 Performance Evaluation Policy
Employees will be subjected to periodic performance evaluation to
monitor and assess their performance and compliance to the companys
standard. With these policy, the HR Staff can measure individual
performance throughout his or her team to identify top performers for
further development and to establish a pay-for-performance compensation
plan.
Evaluation Process
2.5.2.1 Establishing performance standards
This step requires setting the criteria to judge the performance of
the employees as successful or unsuccessful and the degrees of their
contribution to the organizational goals and objectives.
2.5.2.2 Communicating the standards

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The employees should be informed and the standards should be
clearly explained to the employees. This will help them to understand
their roles and to know what exactly is expected from them.
2.5.2.3 Measuring the actual performance
It is a continuous process which involves monitoring the
performance throughout the year. This stage requires the careful
selection of the appropriate techniques of measurement, taking care
that personal bias does not affect the outcome of the process and
providing assistance rather than interfering in an employees work.
2.5.2.4 Comparing actual performance with desired performance
The comparison tells the deviations in the performance of the
employees from the standards set. It includes recalling, evaluating and
analysis of data related to the employees performance.

2.5.2.5 Discussing results

The feedback should be given with a positive attitude as this can
have an effect on the employees future performance. Performance
appraisal feedback by managers should be in such way helpful to
correct mistakes done by the employees and help them to motivate for
better performance.

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Performance Rating
Performance rating is the step in the work measurement in which
the evaluator observes the worker's performance and records a value
representing that performance relative to the concept of standard
performance.

5- Exceptional
4- Exceeds Expectations
3- Meets Expectations
2- Improvement needed
1- Unsatisfactory

2.5.3 Promotion Policy

A promotion is a career opportunity for an employee that involves
greater responsibilities, and may also involve an increase in salary, and a
change in title. HR staff will assess all qualified employees for a promotion in
the same manner to avoid the appearance of favoritism or discrimination.
The criteria for promotion may be based on:
For managerial level:

Overall performance appraisal

Ability to finish tasks on time and up to the desired level of

efficiency.

Length of service- continuously employed for 3 years

Skills, competencies and educational attainment

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Must not have committed serious offenses or subjected to

administrative action

Peer review

2.5.4. Dress Code Policy

Proper uniforms, safety footwear and gloves, appropriate to the

operation in which the employee is engaged, should be worn and
maintained in a sanitary manner. Employees in processing areas
should wear effective hair restraints, such as hair nets.

All employees must wear slacks and company t-shirt.

2.5.5 No Id, No Entry

The NO ID, NO ENTRY policy shall be strictly enforced at the gates.

2.5.6 Working Hours

Regular Days: Regular work schedule is Monday to Friday from

8:00
AM to 5:00PM

Lunch Break: 12 NN to 1PM

Afternoon Break: 3:00 PM to 3:15 PM

2.5.7 Attendance Policy

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The Company expects all employees to conduct themselves in a
professional manner during their employment. This includes practicing good
attendance habits. All employees should regard coming to work on time,
working their shift as scheduled, and leaving at the scheduled time as
essential functions of their jobs. Good attendance habits form an integral
part of every employee's job description.
2.5.7.1 Employee Leave

Vacation Leave

Those regular employees who earned at least one (1) year of

service shall be entitled to five (5) day vacation leave every year. Also,
additional one (1) day leave with pay every year starting on third year of
service. Maximum total vacation leave is 10 days. Unused leave credits
shall be convertible to cash at the end of each year.

Sick Leave

A regular employee shall be entitled to five (5) days sick leave per
year for the first two (2) years of service. With an additional one (1) sick
leave every year starting on third year of service. Unused sick leave
credits shall not be converted in cash.

Maternity Leave
This benefit applies to all female employees, whether married or

unmarried and is entitled to sixty (60) days leave benefit in case of

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normal delivery or miscarriage and seventy-eight (78) days in case of
Caesarian section delivery with benefits equivalent to one hundred
percent (100%) of the average daily salary credit of the employee as
defined under the law. The female employee should be an SSS
member employed at the time of her delivery and have paid at least
three monthly contributions to the SSS within the twelve-month period
immediately before the date of the contingency. This benefit is granted
by the Social Security System in lieu of wages.

Paternity Leave

This is granted to all married male employees, regardless of

employment status (e.g. probationary, regular, contractual, project
basis) to allow them to lend support to their wives during the period of
recovery and/or in the nursing of their new born child. This leave
consists of seven (7) days with full pay for the first four (4) deliveries of
the employees lawful wife.

2.5.8 Salary and Wages

Salary is a regularly paid amount of money, constituting all or part of
an employees wages, paid on the 15th and 30th day of the month that is not
subject to reduction due to the quality or quantity of work performed,
overtime is paid when required.

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Holidays
1 For regular holidays as provided for under EO 203 (incorporated in
EO 292) as amended by RA 9177 the following rules shall apply:
a If it is an employee's regular workday
If worked
o 1st 8 hours - 200%
o excess of 8 hours - plus 30% of hourly rate on said day
b If it is an employee's rest day
If worked
o 1st 8 hours - plus 30% of 200%
o excess of 8 hours - plus 30% of hourly rate on said day
2 For declared special days such as Special Non-Working Day,
Special Public Holiday, Special National Holiday, in addition to the
two (2) nationwide special days (November 1, All Saints Day and
December 31, Last Day of the Year) listed under EO 203, as
amended, the following rules shall apply:
a If worked
1st 8 hours - plus 30% of the daily rate of 100%
excess of 8 hours - plus 30% of hourly rate on said day
b Falling on the employee's rest day and if worked
1st 8 hours - plus 50% of the daily rate of 100%
excess of 8 hours - plus 30% of hourly rate on said day
3 For those declared as special working holidays, the following rules

shall apply:
For work performed, an employee is entitled only to his basic rate. No
premium pay is required since work performed on said days is
considered work on ordinary working days.
Overtime work
Overtime pay is the additional compensation payable to employee for
services or work rendered beyond the normal eight (8) hours of work.

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For ordinary working day, an additional compensation equivalent to

his regular hourly rate plus at least 25% thereof.

For holiday, special day and rest day, an additional compensation
equivalent to the rate for the first eight (8) hours on a holiday or rest
day plus at least 30% thereof.

Night shift differential

Night-shift employees must be paid a differential of not less than
10% of the regular wage for each hour of work performed between 10:00
p.m. and 6:00 a.m.

2.5.9 No Smoking Policy

To provide a safe and healthful work environment, smoking is
prohibited inside of all company work areas and public spaces including
private offices, reception areas, restrooms, stairwells, hallways and work
stations, as well as all other enclosed areas. This policy applies to all
employees, clients, contractors and visitors. Employees may smoke in a
smoking area during breaks.

2.5.10 Computer and Telephone Use Policy

Employees should use the computer systems only for business
purposes. Using e-mail or the Internet for personal, non-business, purposes
is prohibited during working time. Employees may access only electronic

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files or programs that they have permission to enter. Unauthorized copying
or use of computer software exposes both the company and the individual
employee to substantial fines and/or imprisonment.
The companys telephone lines are for the exclusive use by
employees in connection with the companys business. Whilst the company
will tolerate essential personal telephone calls concerning an employees
domestic arrangements, excessive use of the telephone for personal calls is
prohibited. This includes lengthy, casual chats and calls at premium rates.
If the company discovers that the telephone has been used excessively for
personal calls, this will be dealt with under the companys disciplinary
procedure and the employee will be required to pay to the company the
cost of personal calls made.

2.5.11 Credit Policy

In order to facilitate the flow of orders and shipment of products, it is
Yucassava Milling Corp. Policy that credit will be extended to all customers
who demonstrate both ability to pay and history of timely payment of debts.
The accounting department will evaluate new customers to determine what
payment terms and methods will be required and what level of credit will be
established.

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Collection
The Accounting Department monitors all collection for the company.
The department providess Sales representatives with a weekly list of
customers who are ____ days past due. The Sales Representative makes
customer contacts and advises of results. If delinquency still exists after an
additional ___ days, orders are withheld.

Terms of Sale
Terms

of

sale

have

been

established

by

management

as

______________, and all credit worthy customers are expected to pay

within this period.

Credit policies need to be reviewed and monitored on a regular

basis to take account of changing market conditions, company
strategy, competition, and financial needs.

2.5.12 Observe Cleanliness

a. Must keep work area clean and tidy

Adopting a clean as you go policy after carrying out a

task by cleaning the work surfaces and the surrounding
work area

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Return all unused raw materials to the correct storage

area

Remove all used equipment and tools to the equipment

wash sink for cleaning, and return unused items to their
original storage area

Waste must not be allowed to accumulate

b. Keep tools, utensils and equipment in good order, in a hygienic

condition and stored correctly

Tools,

utensils,

and

equipment

require

to

be

cleaned

immediately after use, and dried thoroughly, to maintain their

good condition.

2.5.13 Termination of Employment

2.5.13.1 Resignation
An employee may put an end to the relationship without serving any
notice on the employer for any of the following just causes:
a Serious insult by the employer or his representative on the
honor and person of the employee;
b Inhuman and unbearable treatment accorded the employee
c

by the employer or his representative;

Commission of a crime or offense by the employer or his
representative against the person of the employee or any of

the immediate members of his family; and

d Other causes analogous to any of the foregoing.

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2.5.13.2 Termination/Dismissal
An employer may terminate an employment for any of the following
causes:
a Serious misconduct;
b Willful disobedience of employers lawful orders connected
with work;
c Gross and habitual neglect of duty;
d Fraud or breach of trust;
e Commission of a crime or offense against the employer,
f

employers family, or representative; and

Other analogous causes

2.6 VIOLATIONS AND THEIR RESPECTIVE DISCIPLINARY ACTION

2.6.1 Attendance
Unexcused Absence
First Offense - Written warning.
Second Offense - Within three (3) months of the first offense:
probable termination.
Third offense - termination.
No Call/No Show
First Offense: Written warning.
Second Offense: Within six (6) months of first offense- Probable
termination.
Absence Without Official Leave (AWOL)

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1 AWOL of at least thirty (30) working days shall be considered
on and shall be separated from the service or dropped from
the rolls without prior notice.
2 AWOL for less than three days can result in a maximum
penalty of confinement for one month and forfeiture of twothirds pay for one month

Tardiness

Tardiness is the quality of being late. It shall be considered

habitually tardy if he/she incur tardiness, regardless of the number of
minutes per day, ten (10) times a month for at least two (2)
consecutive months during the year. The following sanctions shall be
imposed when committed habitual tardiness:

First Offense Written Warning

Second Offense - Suspension for one (1) to thirty (30)

days
Third Offense Dismissal
Habitual Unauthorized Absences

It shall be considered habitually absent if he/she incur

unauthorized absences exceeding the allowable 2.5 days monthly
leave credits under the Leave Law for at least three (3) months in a
semester or at least three (3) consecutive months during the year. The
following shall be considered Unauthorized Absences:
a Those which were disapproved for justifiable reasons;

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b Those which were not filed
c

Those which were not filed within the prescribed period.

Disciplinary Actions:

First Offense Suspension for 6 months

and 1 day to 1 year

Second Offense - Dismissal

2.6.2 Uniform
Improper wearing of uniform.
First offense verbal warning
Second offense - 6 days suspension
Third offense termination

Unpinned Identification Card

First offense- verbal warning
Second offense - 3 days suspension
Third offense- 6 days suspension
3

Gross Misconduct
Employees who commits the following offenses will normally be

dismissed. In such cases, Yucassava Milling Corp. reserves the right to

dismiss without notice of termination or payment in lieu of notice.

Any breakage of the law, such as theft and

unauthorized possession of companys
property, fraud, deliberate falsification of
records or any other form of dishonesty.

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Willfully causing harm or injury to another

employee, physical violence, bullying or

grossly offensive behavior.

Deliberately causing damage

companys property.
Causing loss, damage or injury through

to

the

serious carelessness.
Willful refusal to obey a reasonable management instruction.
Incapacity at work through an excess of alcohol or drugs.
A serious breach of health and safety rules.
Harassing or victimizing another employee on the grounds of
race, color, ethnic origin, nationality, national origin, religion or
belief, sex, sexual orientation, marital status, age and/or
disability.

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2.7 PROJECTED SALARIES

Wages and Salaries

Position

President

60,000.00 / month

Corporate Secretary

18,000.00 / month

Corporate Treasurer

18,000.00 / month

Accounting Manager

46,000.00 / month

Production Manager

32,000.00 / month

Administrative Manager

38,000.00 / month

Marketing & Sales Manager

50,000.00 / month

Accounting Staff

18,000.00 / month

Purchaser

356.50 / day

Production operators

356.50 / day

QC Personnel

356.50 / day

356.50 / day

HR Staff

356.50 / day

Truck Driver

356.50 / day

Longshoreman

356.50 / day

Security Guard

8,000 / month

Utilities
&
personnel

Maintenance