BUSINESS POLICY AND STRATEGY

INTERVIEW

BIGGS DINER

BRIEF HISTORY
It all started in 1983 from the P5, 000.00 contribution of each three enterprising ladies wanted to give running a food business a shot. Having been partners in a previous business venture, Nena Bichara, Nienie Buebaflor (Carlo Buenaflors mother the current general manager) and Maricar Manjon thought that a takeout counter specializing in hamburgers and fries was perfect for Naga.

During that time, Naga hardly had any decent place to grab a meal from. More importantly it gave them a chance to practice and highlight their common passion for food while giving the Naguenos a treat of their quality but affordable food.

With individual loans from several banks, the three women opened Mang Donalds take-out window on January 18, 1983. It instantly became a hit. Finally people need not to travel to Manila to have a taste of American fare. They choose Mang Donalds because its fun and it has an easy name recall thanks to Mc Donalds.

In 1990, the partners introduced a unique dining concept like no other in Naga it is after the Penafrancia Fiesta. The idea was to adapt a fun dining experience blending with a quick service type of restaurant. The diner motif immediately appealed to Naguenos of all ages and immediately made this new passion of the partners, a success.

Mang Donalds changed image to adapt the diner motif. Its name change was changed to Carls. The reason for the Carls was that all three partners had sons with the name Carlos.

Although the theme of the restaurants were still American serving western favorites such as burgers and hot dogs, the partners introduced full meals such as Cordon Bleu, Tenderloin Tips and Pork Kebab. What set Carls Diner apart from other restaurants was its ability to serve quality food in large portions in a casual dining environment while maintain affordable prices that could easily rival fast-food chains. The partners were really on something new.

In October 21, 1994, Carls Diner became Biggs Diner. The change of name reflected the growth of what was once a small enterprise. With the new name, the partners were confident that they could replicate their success outside of Naga. Biggs Diner Old Albay opened in 1996 and true to its name; it was a big hit easily becoming the busiest restaurant in the town.

Biggs was on a roll, after a year the pili outlet opened and quickly became a favorite stop-over for travelers and locals alike. The rest, as the clich goes, was history. Biggs at present is a major Bicolano success, being known as the food chain in Bicol but also as a popular catering service.

With more than 9 system-wide stores and 5 franchise stores, and 3 of their stores are located outside the province; Biggs looks into the future with confidence that one day, it will be the countrys number one fast-casual chain.

Brief Description
The trade name BIGGS suggests several things the growth of what was then Mang Donalds. It is an extremely positive word that connotes strength, aggressiveness, growth, power, and of course the big servings that Mang Donalds came to be known.

The logo expresses everything the trade name stands for BOLD, STRENGTH, GROWTH, and AGGRESSIVENESS. Colors are limited to primary colors and also includes the two most powerful and appealing food colors- RED and YELLOW. Its western feel again enhances its image to look alike an American Diner Concept.

The circle behind the logo gives it a bullseye effect that naturally draws the attention of the customer. The name is printed in an upward sweeping motion expressing growth and motion. Overall, the logo compliments the word Biggs with its outstanding color red to accentuate aggressiveness and growth.

VISION:
Bigg's is a socially responsible and leading food service company having strong presence in major towns in the Souther Luzon by 2013, delighting customers with its unique, fast casual concept, innovative products and excellent service.

MISSION:
Stakeholders: Build respect, open communication, and lasting relationship among stakeholders by providing reasonable opportunities and development through fair industry practices. Valued Customers: Exceeding customer expectations by delivering quality, innovative, affordable products and excellent quality company-wide service beyond the borders of self-interest.

Social Responsibility: To be socially responsible and to serve the communities where Bigg's is operating. Profit: Conduct business in the tenets of moral responsibility and social accountability to ensure reasonable profit.

GOALS / OBJECTIVES :
Biggs goal is to be the WORLD CLASS COMPANY as every city deserves Biggs Diner.

Business Strategy
Four (4) Stars Audit System 1. Mystery Shoppers 2. Internal Quality 3. Officers Audit 4. Peer Audit

1. Mystery Shoppers
What is a mystery shopper? Mystery Shoppers basically act as spies for the store's upper management. They visit the store and act as normal customers all the while observing the store based on a set of questions. They are also called secret shoppers because no one in the store is supposed to know they are evaluating the store.

How do I apply as mystery shopper? Simply send an email to Lea at leafaurillo91@gmail.com with your intent to become a mystery shopper. Indicate your location and what stores you can visit in the email.

How does Bigg's mystery shopping program works? The program is really simple. Send her an email with your location and your intent to become a mystery shopper. Wait for her confirmation. Stores will be assigned on a first come, first served basis. Shoppers will be given a time period where they can visit the store. They are given normally 3-5 days to complete a visit and 24 hours to submit a report complete with narrative, accomplished form and scanned receipt. Upon receiving and verifying of the report, payments are made within 15 working days.

Note however that payment will be made only once the report is verified as accurate and satisfactory. In case there are clarifications, the shopper will be contacted to provide further explanation. Once everything is cleared, payment will then be made.

What are the qualifications of a mystery shopper? Organized Objective Observant Thorough Honest and Fair Can express their observations well in writing Can remember details Have regular access to the Internet and can meet deadlines

What should I do if I cannot complete an assignment? Please let us know immediately. This way, we can re-assign another shopper to do the visit immediately and you wont lose credibility as a mystery shopper. Mystery shoppers who do not inform us that they cannot complete an assignment lose credibility as shoppers and may have difficulties getting another spot in the future.

What should I do if I know one of the store staffs on duty at the time of my visit? If this happens, then the visit you did cannot be counted as a mystery visit because the experience you have will be different from that of a regular customer. In case this happens, let us know immediately. We will give you a different assignment and we will assign that store to someone else.

How much will I be paid for my visit?

We reimburse a maximum of P200 for the meal and pay additional P200 as service fee.
Can I do this alone or with a companion? This depends on you. If you want to dine with someone or even with your barkada, feel free to do so. Just make sure that you are able to observe the store and rate them according to your experience.

OTHER SERVICES
Aside from this they make sure that their commissary (it is where their products are being processed or precooked) are always clean and adhere to proper standards of food preparations and storage. They also expand their services by accepting a catering activity and they maintain a two (2) standby motorcycle each branch to assure their clients within the metro Naga that they can deliver their orders on time.

They choose the food chain industry because he believed that its the one of the most fulfilling business line that you can have, due to the fact that you can actually see the customers delight and it is a service activity. It is not like shopping store on which your customer will brought your product on other places for them to consume or use.

As to their motivation for their employees they treat them fairly as Mr. Buenaflor, the current general manager said You have to give your employees what you have to ought to give to them after all youll see it pays off. In addition to this you have to provide an ideal work environment, trained them well and develop a justifiable reward system.

For their promotional activities they cater their company as a better alternative to Jollibee and McDonald this can be seen on their way of choosing their store location on which they decided to always placed their store next to the two previously mentioned food chains. According to their general manger it is wise and safe move to let your competitor to do your job. Their secret is as simple as hire the best people that you can hire.

They are the most innovative industry in service, as they lead to trends of innovations in this generation in giving a quality service, good ambiance, copy and benchmark to others and as they reinvent their selves.

Aside from that it is a very challenging and competitive industry, from hiring people, choosing store location, processing food, developing strategies down to delivering services you can encounter lots of problems. In response they trained well their managers because they are the one who would actually deal with them.

They view their customers as KULANG SA PANSIN or KSP on which they give attention, sympathy, and apology as their step to handle their customers which the one who give them the satisfaction as they consume their servings.

 Another problem encountered was when a store has been in wrong location were the market shifted to other interest they decided to pull down some branches. Because in choosing be in this industry is the one in the service which you can feel the fulfilling as they get good feedback about them as they consume every single product.

In return to the public Biggs give an aggressive and passive mode of social responsibility who can give support to those people in need like in sponsorships. In 2012, they will be having an active role in CSR for having programs and helping the community.

TIPS
As young Bicolano entrepreneur we should be resilient to every task that we may encounter, innovative to explore the changes might happen, look for value to the things having our interests and pursue more entrepreneurship to bring more business in the future.

BAYCRAFTS JEWELRY

Baycrafts Jewelry is a manufacturer of costume jewelry for women which opened for business last May 2004. It is owned and managed by Ms. Marianne Olano, a development communication major graduated from Ateneo de Naga University with honors.

Baycrafts Jewelry collections range from day to day wearables to fancy formal pieces. Baycrafts combines a variety of techniques to produce uniquely designed items. As such, it produces a variety of offerings: from macram, stranded, woven, crocheted to wired jewelry.

Baycrafts is affiliated with the department of trade and industry Camarines Sur, Women Entreprenuers for Development and Advancement (WEDA) Naga City, and Philippine Manufacturers Association of Camarines Sur (PMACS). As a 8 year old business, it has been serving buyers local and international, exporting goods to US, Canada and Europe. It is also recognized as one of Naga Citys OTOP products.

In April 2008, it has managed to put up its own factory houses ten (10) workers. In May 2008; it has also put up its own showroom which caters to both wholesalers and walk-in buyers. In March 2010, it opened a factory outlet located at Pasig City, Metro Manila. It has also participated in local and national trade fairs since 2007 such as the National Trade fair Orgullo Kan Bikol, Buy Pinoy Exporters Fair, Session Road in Bloom in Baguio City and a lot more.

MISSION
Our mission is to provide women with exclusively designed jewelry which are trendy yet wearable.

VISION
Baycrafts envision that Filipino people should be the first one to experience the products of the Philippines before the foreign country.

GOAL
Baycrafts goal is to become a Small and Medium Enterprises from Micro Enterprises.

AWARDS
October 22, 2007 National Finalist, BID NETWORK BUSINESS PLAN COMPETITION, a business plan competition for SMEs sponsored by Bid Network Organization held in AIM, Makati , Manila. August 2, 2008 National awardees for PONDO SA SIPAG, PUHUNAN SA TIYAGA competition, a national search for entrepreneurs exhibiting industry, innovation and persistence in their field of business given by the Nacionalista Party under Sen. Manny Villar.

January 31, 2009 Awarded by GO Negosyo as ONE OF THE MOST INSPIRING ENTREPRENUERS OF BICOL held at the Pili Convention Center. June 2, 2010 Awardees, International competition dubbed WOMEN IN BUSINESS CHALLENGE: RETAIL CATEGORY, Bid Network, Hague, Netherlands. August 6, 2010 Winner, Creative Young Entrep Awards, JCI Philippines, Makati

Bacrafts Jewelry is located at #154 Abella St., Naga City, 4400; Philippines owned and managed by Ms. Marianne Olano a 35-year old woman. At first, she started to join trade fair selling lanterns as her so-called passion driven. As observed that selling lanterns has its low market because it is only seasonal type of product only at Christmas time.

As to other stalls at the fair the best seller products are the jewelry or the accessories. That time decided to shift from lanterns to accessories the jewelry through buy and sell. From the start she was not the one who wanted to wear accessories, her decision to shift her interest to it, she called it the market driven because the product has its market to sell.

She went to Cebu to buy items to sell but situation was the owners didnt let her to buy because the owners wanted to sell the products only to those who will export except for one (1) at starting cost of P30,000 P60,000. DTI said to her that they cant help if she wouldnt be a manufacturer of this jewels. Once again she decided to be a manufacturer of her own items to be sold started at two (2) couples as her worker.

Due to the help of her brother abroad giving her an investment of P300, 000 she bought items to produce and sold it to the one of the fair in Session Road at Baguio City during Penagbenga Festival. She earns a P180, 000 and used it to build the showroom at their house previously the place for her father for free. At first the showroom was actually their production and office area. Usually she gets her materials from Cebu and Quiapo for cheaper cost but the quality is still genuine.

One day an investor wanted to invest to Baycrafts Jewelry but Ms. Olano refuses to accept the offer because she knew that her business wasnt ready for that. She describes her business that time which was not organized because she all the one who manages it without a manager or supervisor to assists even an accountant. She had difficulty on it because she doesnt have any background about business although they have family business. She read lot of books, downloaded files for her to understand what to do.

First she secures the organizational chart, Ms. Olano as CEO. Figure 1.

She made each of them job description for them to know their accountability as employee and also the necessary penalty for not doing their work properly based on the formulated rules given to them.

Next she had done was to make the flow of the process every transaction happening inside and out of the business using flowcharts. Example is for procurement.

They make concept for design every two (2) months. After agreeing that concept, they are ready to procure the materials to be needed to make the design. They prepare a purchase order. They maintain 2 weeks lead time to order. Upon order the production manager will compare the PO to the Receiving Report and Purchase Invoice (e.g counting each item strand by strand).

If materials are ready, they can start the production labeling the item for their kind/ type, number and color (e.g NE003BRWN). Then items are ready to distribute to their channels. They maintain a Just in Time Inventory system or Zero Inventory to avoid liquid asset to be tight up to their inventory.

Baycrafts use standard costing in pricing their products. Cost consists of direct labor are given by output basis; direct material are per piece used; and overhead costs to cover administrative cost, fixed and operating costs. Also they maintain 10% spoilage or wastage for direct materials.

For packaging purposes they started with plastic with cards and labels. For change they use customize box from papelmelroti for better looking with attractive label. They add certain percentage for their mark up but before establishing the price they canvass to different malls and put a bit lower price to their items.

Other policy concerns about labor are:

a. They should seek approval for them to make a product if they do not have work to do. Made products without approval results to issue memo to the worker and output done was not to be paid. b. Overtime work also should seek approval. c. Notice for leave of absence should be done 3days before and should comply with the requirement form to avoid delay of work. d. Nine (9) days absent per month will cause to termination.

Customize design is priced three (3) times the regular price. Right for the design remains to the customer unless otherwise agreed upon. If not they used to modify the design little bit different to the original or use different color.

CORPORATE SOCIAL RESPONSIBILTY

Baycrafts conducts seminar or jewelry workshops to interested groups. They provide Basic and Advance training suited for livelihood programs, hobbyists wanting to learn new techniques or students who want to develop a new skill.

Courses offered are:

Jewelry making 101 Basic Macrame Jewelry Kids Beading Workshop Functional Jewelry Necklace Galore

Jewelry making 101 For Beginners, the workshop teaches Basic jewelry making. It includes discussion on the basic tools, materials and techniques of jewelry making. Its an 8-hour hands-on workshop and includes concepts of design and has two project output at the end of the seminar. Hand-outs are provided.

Basic Macrame Jewelry This is a follow-up course on Jewelry Making 101. This includes a short discussion on the history of macram plus an overview of the different kinds of knots. The workshop will teach students the four basic kinds of knots and will have 4 projects at the end of the day. See syllabus.

Kids Beading Workshop Targeting kids aged 6-12 years old, the workshop features three simple projects which kids and moms will love. The workshop is designed for kid-parent dou, wherein they will be taught basic knots in making simple projects like bag charms, cell charms and chokers.

Functional Jewelry This course focuses on functional accessories like bag charms, cell charms, and ID laces which the student can fun into souvenirs and giveaways. Necklace Galore This is an advance jewelry course designed to hone the skill of the students in designing necklaces. Here, the students will learn how to make different kinds of necklaces like chokers, lariats, endless and lot more. Also they conduct the Brgy. Activities for women to encourage them to earn a living out of recycle materials.

BAYCRAFTS WHOLESALE POLICY

TERMS AND CONDITIONS

Baycrafts Jewelry offers a wholesale program to those who meet its wholesale requirements. Our wholesale policy is available to business entities/individuals who want to be our distributors and meet our wholesale requirements;

HOW TO BE A WHOLESALER
a. Register in our website b. Must submit the following requirements: 1. Wholesaler Info sheet 2. Photocopy of valid ID 3. Payment of initial orders c. Must meet Initial order requirement of USD400 d. Must meet Minimum Order Quantity (MOQ) for each product code (SKU), which is 12 pcs. Per color per design. e. Must make a subsequent purchase within the next six (6) months to maintain wholesaler status.

ORDERS ON COLLECTIONS

LATEST

We come out every two months with a new collection. Pricelists for this can be downloaded once you are registered as a wholesaler. Prices posted on the web are our retail price. To avail of our wholesale trade discount a minimum order quantity of 12 pcs. Per color per design must be met. Orders are processed as soon as payment is made.

PAYMENT OF BULK ORDERS

For orders more than USD1,000; we require a 50% downpayment upon acceptance of orders. The remaining 50% is paid before shipment of orders. Shipment is made after confirmation of money transfer.

WHOLESALER STATUS
Client must maintain an active account within six months of becoming a wholesaler by placing a subsequent order. If there is no business activity in the next six months, the wholesale account will be declared inactive and client has to repurchase the amount of initial order to reactivate the account.

Subsequent orders must be at least USD200 and must meet minimum quantity requirement if ordering against a new pricelist. Orders below the minimum order amount shall fall under retail purchase, and will not be eligible for wholesaler discount.

Orders not meeting minimum order quantity requirement but meets the minimum purchase requirement is eligible for discount if made against in-stock items. Wholesaler status is non-transferable and can only be availed by the registered entity and their authorized representative.

SHIPPING
a. We ship worldwide. b. Orders are normally shipped within two weeks of receiving the Purchase Order from client. c. For bulk orders, a staggered delivery is negotiated between client and Baycrafts. d. We require payment before shipping, and an invoice will be issued to you as soon as we receive your PO with the approximate shipping cost.

e. Payments can be made via: paypal, xoom.com or via bank transfers. f. All shipping charges are FOB from our warehouse in Naga City, Camarines Sur. g. Our standard couriers are either OCS or JRS for domestic shipments and DHL for international shipments. Clients with courier accounts must inform us beforehand so we can charge them collect.

PRICES
a. Wholesale pricing will be based on the MOQ and amount of the initial order. Minimum order USD400 MOQ 12 pcs/sku = 20% discounted amount Minimum order USD1300 MOQ 50 pcs/sku = 25% discounted amount Minimum order USD4000 MOQ 100 pcs/sku = 30% discounted amount Orders meeting the MOQ, but not the minimum order amount, will automatically revert to the lower discount rate. b. Prices on invoice are valid for 30 days, unless client is informed beforehand on price changes.

CUSTOMIZED SAMPLES
Wholesalers can request Baycrafts to produce samples based on their own designs, but this will be charged at a special price.

BULK ORDERS FROM IN-STOCK ITEMS

Bulk Orders placed against in-stock items shall be given a wholesale discount rate of 20% off from its retail price as long as it meets the minimum Purchase requirement of USD400.

EXCLUSIVITY OF DESIGN
We can give exclusivity for a certain design/line of product to a wholesaler if the design they have provided is their own original design and has no existing similarity with any of Baycrafts previous designs.

EXCLUSIVITY OF TERRITORY
Exclusivity of sales territory or contract to sell exclusively in a certain geographical area will be given to wholesalers who meet the following criteria: a. They have an existing distribution channel in place b. They can maintain a minimum sales quota per month or quarter ( depending on the amount and period agreed upon by both parties)

c. They have the financial capacity to maintain minimum stocks requirement based on the size of sales area for a period of one year. d. If above criteria are met, a letter of intent should be sent to us, including : D.1 initial order D.2 wholesaler info sheet D.3 territory to be covered

Afterwhich, a contract will be made and notarized and sent to both parties stating date of effectivity and period covered.

CLAIMS
Claims for damaged, substandard quality or defective goods must be made within 10 days upon receipt of order. To claim, email us with the picture of the damaged goods and your Invoice number. A replacement will besent in the next shipment of your order. Claims made after the 10-day grace period will no longer be valid.

CONFORME Please send back this page to us, along with your Distributor Info Sheet. I have read thoroughly and understood and the Wholesale terms and conditions of Baycrafts Jewelry. By affixing my signature below, I am expressing my agreement with the company wholesale policy. I understand that noncompliance or violation of these terms may cause Baycrafts Jewelry to terminate my wholesaler status anytime. Signed: _________________________________________________

Signature over Printed Name

Date: ______________________________________________

FACTS AND QUERIES

HOW DO I PAY FOR THE ITEMS?
If youre in the Philippines, there are several payment options available to you: You can pay us via Bank to bank transactions : UCPB, BPI, G-cash, LBC Peso Pack, JRS Padala and Western Union. If youre in the United States, you can pay us via xoom.com using paypal or e-checks. If youre in another location abroad, you can pay us via bank transfers using UCPB , BPI or Western Union. However, we only ship after we have received payment, and as this will take a week or so, shipment might be delayed.

HOW DO I RECEIVE THE ITEMS?

For buyers located in the Philippines, we use Overseas Courier Service (OCS) , which is a one-day door-todoor delivery. For areas not covered by OCS, we use JRS. However, JRS charges a higher shipping rate. For buyers outside Philippines, we can use our Postal System. This is cheaper than using international couriers, but delivery can take up to 15 days to reach you. For buyers wanting immediate delivery, international carriers charge $20 to $22 dollars per 1 kilogram.

IS THERE A MINIMUM NUMBER OF ITEMS THAT I NEED TO BUY?

No. You can buy as many as you want, or you can buy only one item. The buyer shoulders the shipping, so we do not have a minimum purchase. However, for international buyers, we do recommend to purchase at least 1 kg in weight to maximize your shipping cost.

CAN I REQUEST MADE-TO-ORDER ITEMS?

Yes you can, as long as you provide us with the specifics like a picture of your design, color, size or suggested material.

IS

THERE A MINIMUM CUSTOM-MADE ITEMS?

ORDER

FOR

Yes. To save time and materials, we usually request our buyers to order at least 10 pcs. of their custom-made items. However, if there are items bought, this can be negotiable.

CAN I ORDER DIRECTLY FROM YOU WITHOUT REGISTERING AT BAYCRAFTS?

Technically, you can contact us via email without passing though Baycrafts. However, we highly encourage that you register with us when purchasing our items so that we will have a record of all our transactions. Registering also enable us to keep track of your information and buying history. In turn, this helps us improve and customize our products according to your needs.

HOW DO I KNOW IF YOU ARE A RELIABLE AND GENUINE SELLER?

Baycrafts is technically a 2 year old company, registered with the Philippines Department of Trade and Industry. It started out as a brick and mortar business under R.Olanos Handicrafts, its parent company, which is a handicraft goods retailer at the Naga City Supermarket located in Naga City, Philippines. Recently, it has ventured into online trading by putting up Baycrafts.net. But before that, Baycrafts has been selling through Ebay, under its owners alias Jessicaz28. You can check out Jessicaz28s feedbacks, which are 100% positive. In fact, some of the initial buyers of Baycrafts are previous buyers from Ebay.

HOW DO I BUY ITEMS FROM BAYCRAFTS?

You will need to register first at baycrafts before you can use our shopping cart. This is done to discourage bogus buyers who simply click away for fun, inundating our inbox with fake orders. When registered, you can use our cart and simply add item to your shopping cart. After you have done this, you will go to our check-out counter where you will be asked to provide your preferred mode of payment and shipping address. At present, we do not have tie-ups with major credit cards and at most, can only accept bank to bank transactions, g-cash or remittances through couriers such as LBC Peso Pak, JRS or Western Union.

YOUR SITE FEATURES A WORKSHOP ON DEMAND, HOW DO I AVAIL OF THAT?

As part of its mission to develop entrepreneurship in the countryside, Baycrafts gives on-demand training for handicrafts featuring a variety of topics featured in the workshop modules. To avail of the workshop on demand, send us a letter of intent via email containing the suggested location of training, no. of recipients, craft module youre interested in, and the tentative training date.

Upon getting your email, we will reply as soon as we can and send you a booking order. You will email us back the filled up booking order along with your instructions for payment Upon receipt of payment, we shall send you a confirmation letter.

CAN I BUY RAW MATERIALS FROM YOU?

Yes you can, but at present, we have not uploaded our beads and other raw materials for sale. However, we also plan to include later on bead components so you can enjoy doing your own jewelry.

ARE THE PRODUCTS FEATURED IN BAYCRAFTS EXCLUSIVELY MADE?

Baycrafts is a trader / manufacturer of costume jewelry products. So most of the products (but not all) are manufactured by us. However, our aim is to provide the best collection of the latest fashion in costume jewelry, so we buy items from time to time from our reliable suppliers.

TIPS
Everyone should posses HUMILITY and PERSISTENCE. There should be room for improvement. We should avoid bad things to happen. ANG BAKA DA-I MATABA, KUNG DA-I MINAMATA ANG BAKA TATABA, SA SISTIMATIKONG PAG ATAMAN IF THE CAT IS AWAY, THE MOUSE WILL PLAY IF YOU STEP UP FOR MONEY, YOU WILL NOT EARN MONEY

GROUP MEMBERS BS ACCOUNTANCY 5

LILIAN BACURIN STA. CLARA CAROLINE YANTO SALTARIN ROZIEL LIWAG ZANTUA JESSIELIZA DATOG TAN