Business Plan

SHOPNO TRAINING & OVERSEAS LIMITED
VOCATIONAL TRAINING INSTITUTE AND MANPOWER AGENCY

PRESENTED TO: MRS. DILARA AFROZ KHAN (DAK)
Presented By:
Name Mir Razin Mahmud Farazi Sayeed Ahmed Maliha Tasnim Sadia Rahman Nitu Rubayat Mahmud ID 083-264-530 091-0155-030 091-0221-030 091-0450-030 091-0595-030 Section 4 7 7 4 7
Date: 31/ 07/ 2012
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1. EXECUTIVE SUMMARY
Shopno Training and Overseas Limited is a training institute that will provide training skills on beautification, driving and cooking. It will exclusively cater to meet the needs of the lower middle class female sector of the society. The training centre will be standing at Bashabo because it is a place where beside this area there live many helpless poor women, which means we can easily serve the helpless females on becoming self sufficient. Our training centre has been divided into two major parts; the first one will provide cooking training following the beautification training. We will contact with an outsource company to provide training facilities to those females who want to establish their career on driving profession. Aside from the vocational skills Shopno Training and Overseas Limited will also provide soft skills to the candidates. This is because; the soft skills are required for the scope of long term sustainable skills for jobs. As per soft skills Shopno Training and Overseas Limited aims to provide basic knowledge about writing and reading, general knowledge on lifestyle, health awareness, how to behave professionally, and basic computing knowledge to the students. Technologically fast paced era demands some knowledge of the computer at least to some extent. This is because we have decided to provide them with the knowledge of computer so that when our students can use these skills for their own convenience and also for job purposes. For any type jobs in abroad a driving license is a must therefore we have come to the decision of providing driving skills to our students by making an agreement with a professional driving company. Shopno Training and Overseas Limited will hire good expertise on the above mentioned vocational and technical so that practical demonstration along with theoretical knowledge can train the students well. Trainers of cooking and beautification will be chosen prior to their experience in this field and their own academic qualifications. Moreover, we will have agreements with the companies of Malaysia and Singapore. When our candidates will be eligible we will contact with them to judge the qualification of our candidates for working over there. We will help our candidates to make contact for job over there to earn better, we have five members who are the initial investors and we are equally paying the principal of the training centre. All the operations will be carried out under our inspection. We will be solely liable for the running of the training centre and we will be liable for carrying out major decisions regarding the betterment of our training centre. We are planning to launch ourselves as the community member who will try to reduce the poverty and illiteracy burden of the society especially for women.
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2. PROFILE OF THE TEAM
Figure 1- List of the Board of Directors The Principal of the institute and the person who will synchronize all the activities of the institute is one of our board of directors, Ms. Maliha Tasnim. Finance: Ms. Sadia Rahman Nitu will be the head of the finance department. She has sound knowledge about finance and he has competent knowledge about how to procure funds and make productive use of them. Human Resource: Mr. Mir Razin Mahmud will be the head of human resource management department. He has got adequate knowledge about managing the most important resource of the institute, its people. Their salaries and incentives will be handled by him and he will supervise them. He will also be responsible for the entire grievance handling mechanism. Marketing and sales: Ms. Rubayat Mahmud will be responsible for all the promotional activities and she will be also be in charge of all the sources of revenue generating activities. Her interactive skills and her interpersonal competence will be highly aligned with the marketing goals of the institute.
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Procurement and materials management: Mr. Farazi Sayeed Ahmed will be the head of this department. His bargaining power and his communication skills will enable him to carry out the functions of this department well.
Information systems: Ms. Rubayat Mahmud will be the head of the information systems of the institute. Her sound knowledge about technology and information systems will be well acknowledged by her supervision in this department. She will be responsible for all the managing of the students database and their personal information.
3. INDUSTRY OVERVIEW
Bangladesh, a country with a population of over 160 million people has one of the highest populations in the world. We are operating in a country where the population is the steering wheel of the economy. It is one of the highest exchequers in the foreign exchange reserve of this country. Since the inception of the Recruitment industry in 1976, Bangladesh has export over 7 million people abroad and earned over $100 billion over the last 35 years. The Apex trade body of the Recruitment Agency is BAIRA which is Bangladesh Association of International Recruiting Agencies, is an association of national level with its international reputation of co-operation and welfare of the migrant workforce as well as its approximately 700 member agencies in collaboration with and support from the Government of Bangladesh. With the increase in demand for Bangladeshs Human Resource abroad, another complimentary industry to the recruitment industry that grew over time in the Vocational training industry. It is the industry where unskilled or semi-skilled workforce is provided training through public and public organizations in order to increase the competencies of the workforce that will enhance in creating a better workforce. This workforce will then be utilized to full capacity by exporting them to foreign countries where it will earn remittance for the government. Bangladeshs economic development and integration in the world markets clearly show that its population has the capability to reduce poverty through their own efforts (swisscontact, 2012).
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According to the Labor Ministry of Bangladesh, in a research survey that they have conducted in many different countries, they have found that there is a potential industry for skilled that is yet to be tapped by the Bangladeshi Recruitment Agencies in countries like Malaysia, Middle-East and Asia Pacific, Singapore to be more precise. They said that there is a high demand for Bangladesh skilled workers as they put on huge effort on their work. To develop these skilled workers, Bangladesh needs to set-up Vocational Training institute with adequate technology, expertise and knowledge (mole, 2006). Ever since Bangladesh started exporting its manpower, it has sent workers to Saudi Arabia, Kuwait, UAE, Qatar, Iraq, Libya, Bahrain, Oman, Malaysia, Korea, Singapore, Brunei, Mauritius, Laos, Spain, Lebanon, Libya, USA and others. The recruitment agencies have been exporting unskilled and semi-skilled workers. While now the industry for skilled workers in emerging in the same foreign markets from Bangladesh. Singapore and Malaysia have opened its gateway for skilled Bangladeshi workers (wikipedia, 2012).
Our Position in the Industry Malaysia and Singapore is a high potential Market for skilled Bangladesh Workers and Employee. Currently the workers who are exported to these countries are either unskilled or semi-skilled. But we have differentiated into the skilled market segment of the Industry which is in the early adapters stage. Therefore the demand for the workers and employees from our company will be in a leading position as very few companies have entered into this market segment as we will be providing the vocational training as well as the recruitment services for the employees.
Our Competition Since our industry is in the early adapters stage, the competition will not be as fierce as it exists in the unskilled or semi-skilled sector. There are very limited vocational training institute in the public as well as the private sector. But it is developing rapidly. Currently there is not any institute that is providing the training facilitates that we will be providing. So the competition is not stiff yet. Once we are set-up, we will take the first movers advantage in the skilled employees sector in the industry and will be in the lead by the time competition emerges in the industry.
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4. COMPANY OVERVIEW
COMPANY NAME:
Shopno Training & Overseas Limited

4.1 MISSION STATEMENT
We are Shopno Training and Overseas Limited and we are here to provide quality training for those female individuals in our society who wish to acquire vocational skills and build a career with those skills. We will achieve this by employing qualified and experienced trainers who will be capable to deliver to the trainees according to the standards that we set. Our Values Qualified Trainers: Our qualified trainers are our most important resource. We encourage females to be self sufficient through acquiring qualified training and initiative. Customer Focus: We are committed to understanding our trainees needs and exceeding their expectations through acquiring skilled training. Adaptability: We are ready to meet the ever-changing demands of manpower industry for providing female skilled manpower. Teamwork: We understand that good decision-making, innovation and creativity are cultivated in respectful exchanges of thoughts, ideas, opinions and advice. We will create strong teamwork to make those underprivileged women become self sufficient which will help to improve countrys overall economy. Integrity: We are committed to the highest level of ethics and professional standards.
Accountability: We accept personal and professional responsibility for our actions

and results; we focus on finding solutions and achieving excellence in all that we do.
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4.2 VISION STATEMENT

To be the most trusted female training institution in the country for creating and transferring skilled manpower Our main concern is to be the trusted female training institution in Bangladesh for transferring them to make them self sufficient by transferring them in countries like Singapore and Malaysia. In our country there have been ethical problems of serious concern over the past few years regarding the injustice done by many individuals who get sent abroad by organizations for work. Ethical issues such as promising innocent females for jobs that they will later on go abroad and find out that they will never have. Most often these individuals come back to Bangladesh with no more money than they had before leaving, if not less. Also there is a security question for female workers who has faced insecurity and also faced physical harassment in abroad. An even more important issue related to our vision is that, many a times, individuals go abroad for work however they cannot perform and they do not possess the adequate skills for this we are committed to provide them the best training service in Bangladesh. The above mentioned reasons are why being the most trusted institution (nationally and internationally) for creating and transferring skilled manpower with female group is of utmost importance to us as a business and it is exactly what we want to achieve.
4.3 SERVICES OFFERED

We provide all services for the recruitment of female workers from Bangladesh as required by our overseas clients including giving the workers necessary training. We will give them vocational training on cooking, beautification and driving then we will fulfill all the necessary arrangements for the workers to send them overseas without any hassle. The services that we are currently offering are:
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The products that we are offering to our students are: 3 Months Training on Cooking and Beautification and 1 month training on Driving (Only for female) Grooming on professional attitude and health and hygiene Language Course on English
Compulsory
Technical Skill courses [Cooking+ Beautification]
Duration
->Grooming ->English) ->Health & Hygiene
Cooking Beautification Driving
3 month+ 1 month Practice -> 5 class/week -> 2 hour class/day -> 20 hour/month -> 100 hr./5 month
Table 1: Training Program
The above table shows the content and duration of our training (short) programs. Basically trainees have the option of getting driving, beautification and cooking. However with either training grooming, English and Health and Hygiene are compulsory courses. Every offered training program lasts a total of 3 months, in which one month will be allocated for examinations. Sessions will be held 5 times a week and 1 hour a day, which sums up to 20 hours a month and 100 hours throughout the program. We are giving training in the following category. Our vocational training will be female concentrated. We will provide training to those female who have the potentiality of driving, beautification, cooking or tailoring sector. Before providing them training we will check their eligibility on the basis trades/skills, aptitude, educational standards and physical fitness.
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Driving Beautification Cooking
4.4 STRATEGIC GOALS AND OBJECTIVES

Strategic Goals and objectives are the different kind of milestones the company has to put up to overcome the long-run vision. They are divided between long term criterias placed by our company to set the targets alongside. Our institutes goal and objectives are mainly listed separately on the following. Goals: To sustain the trustworthy position in manpower agency market, in terms of high performance and quality service by underprivileged female group. To explore market potential for a huge number of unemployed Bangladeshi youth especially women who has potentiality in driving tailoring cooking or beautification To find better job opportunities for skilled, semi skilled trained Bangladeshi manpower. Our goal is to provide best possible Bangladeshi manpower to the manpower sourcing countries like Singapore, Thailand and Malaysia As per the company demand our objective is to supply of competent and disciplined youth which will be provided by our vocational training course. Our objective is also to negotiate for better positions for Bangladeshi workers in the country importing Bangladeshi workforce. To establish Bangladeshi workers as the most competent and honest workforce Headhunting for professional manpower for outbound employment To reduce the countrys unemployment burden To ensure safe and secure international job opportunity for female workers.
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Objectives: We have divided our objectives based on timeframe, which are short-term and long -term objectives. Details are given bellow
Short-term objectives: Increase the number of trainees by at least 10% per year through advertisements and word-of mouth referrals Increase revenue by 10% each year The advertisement cost will reduce to 10% per year after the third month of the first year
Long-term objectives: We want to survive in the market and make a brand image in the eyes of our target customer by establishing a trustworthy company for transferring female workers.
4.5 OVERALL STRATEGY

Strategy, narrowly defined, means "the art of the general." It is a combination of the ends (goals) for which the firm is striving and the means (policies) by which it is seeking to get there. The strategies of our company is listed and taken as a whole and broken down in to short and long term goals to recognize the targets of efficient advertising schedule and the others following it. A strategy is sometimes called a roadmap which is the path chosen to plow towards the end vision. The most important part of implementing the strategy is ensuring the company is going in the right direction which is towards the end vision. Short term goals: Our foremost short term goal is to make our vocational training centre an ambience where selected candidates will not only become professionally sound but also will get to increase their technical, analytical and communication skills as they will be overwhelmed with countless opportunities to do so.
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We will polish the talents and capabilities of our students in such a manner that they become effable and we thus hope to become efficacious in our journey of effectively shaping the career of the potential candidate. Our utmost try would be to differentiate ourselves from the stereotypical manpower agency that is just sending manpower only for profitability. Our target is to become recognizable through positive word of mouth effects so that we can capture as many potential candidates as possible so that we can bring a difference in the lives of a mass number of underprivileged working woman. Long term goals: Our long term target is to capture 20% market share in leading vocational and manpower agency institute by year 5 and also it is our long term goal to achieve sales revenue of TK in order to break even and earn profit by end of year 3. Also our long term strategy is to form strategic partnership with foreign firm in order to establish our company brand as trustworthy manpower and vocational training agency. In the time span of five years for increasing brand awareness we will also become partners of social activities like awareness in female health and education facilities. We are also planning to become strategic partner of events in universities and schools of Dhaka to target professional potential students who are eligible to work in foreign countries by year 8 when our company will be established in the market. This will help us to attract a new target market to outsource skilled and professional manpower.
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5. INDUSTRY OVERVIEW AND ANALYSIS

5.1 FIVE FORCES
Porters Five Forces include the possible threat of new entrants, the threat of substitute products and the bargaining power of buyers and suppliers with the competitive rivalry among the industry. They determine the competitive position of our company, and are listed as follows: Risk of new entrants As our school has lots of potentiality to do far better than other institutes and there is a market demand for vocational training, so there is always a threat of new entrants. For this, we have to make our business competitive with the current market and as our target market is lower income level, we will provide the best teaching service and study materials at a very low cost possible. This means, we will make sure that we are in the economics of scale. The threat of new entrants is a function of both barriers to entry and the reaction from existing competitors. There are several types of entry barriers like Economies of scale: Economies of scale refer to the decline in unit costs of a product or service (a function that goes into producing a product or service). Here we can attain EOS through utilizing maximum number of experienced teachers with a minimum quantity. It means fewer teachers but all of them are extremely qualified which means effective and efficient both. Now as we have experienced faculties so our unit cost will be low because of their experience and productivity regarding the service.
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Bargaining Power of Customers

Very high in the market, as the target market can swtich to other institutions (especailly garments sector)
Competitive Rivalry within industry

High in this industry Exit barrier is low, as less number of employees and customers in the initial stage
Threat of New Entrants

Threat is high in the business Positive for us, as the traget market is only women
5 Forces
Bargaining Power of Suppliers

Supplier of human resource has high power Supplier of equipment has low power
Threat of Substitute Products

Other training centers Garments industry of Bangladesh
Figure 2: Five forces
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Product differentiation New entrants must spend a great deal of money and time to overcome this barrier. The main difference of our services is that we are focusing only on women, so that they can lead their life with self-respect. We, ourselves, can also differentiate the service by shaping students in such a manner that every student can tell the world that she is not just an ordinary girl as she has some other identity which can increase her level of dignity. We will give our candidates a perfect vocational training which they can utilize further in their lives in the future. Cost advantages independent of scale Cost advantages can include access to the best and cheapest raw materials, possession of patents and proprietary technological know-how, the benefits of learning and experience curve effects, having built and equipped plants years earlier at lower costs, favorable locations, and lower borrowing costs. Here our cost advantage is that we are focusing only four types of vocational training. The main motto behind this is that we will provide fewer types of training, but highly efficient and quality service. On the other hand we have experienced curve effect too because of our extremely qualified teachers. Also, we can reduce our cost, as we will select those female candidates only who will pass the medical examination. In terms of this business, switching cost is high because our customers or students can switch from one school to another whenever they want. We will become the most cost effective in the market, where general people will get benefit higher than their expenses.
Competitive rivalry within the industry As the business is emerging day by day and it has a large potential market, naturally there will be competitive rivalry within the industry. But for our school the competition is much more intense because our target is lower middle class and these are the people who keep on switching their products and services in hot pursuit for money value. We will try to grab female students from the rural areas and will make them understand that how beneficial is our program is. The exit barrier is comparatively low in this market, as if we switch off, students can easily move on to other companies. And the employees of Shopno can get another job according to their quality.
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Bargaining power of supplier Suppliers can exert power over firms in an industry by raising prices or reducing the quality of purchased goods and services, which will reduce profitability. For our school we have two types supplier one is human resource supplier who supplies faculties and employees and the second one is supplier of equipments e.g. chairs, tables etc. Here, human resource suppliers are dominated by few firms where equipments suppliers are dominated by many firms. So the bargaining power of supplier for human resource is high but bargaining power of supplier for equipment is low. In educational industry suppliers' products are not differentiated to such an extent that it is difficult or costly for us to switch from one supplier to another. We can produce or manage things by ourselves. But if its about our teachers and employees then its really costly and cant be differentiated so for this underlying reason, our bargaining power of supplier is high here. Bargaining power of customers As the customers or parents have lots of options regarding the admission of his /her child and there are lots of other renowned schools that are providing low-cost vocational training therefore there is a high bargaining power of customer exists here cost therefore plays a huge factor here and thus we will try to keep out costs low and competitive. The garments industry of Bangladesh is quite powerful, so the female students have the opportunity to go and work there. Though they are not in this industry, but they gave the bargaining power to the female students. Threat of substitute Our school has other substitute too in our country. Our main focus area is learning proper vocational training not for grabbing so called certificate. Here the proper vocational training means providing them with the knowledge that is sustainable for the future and through which they can earn a living. But there is some other institute who has the same thing named extra-curricular activities for developing students potentiality to do something and vocational training center where they trained their students technologically or giving students lesson about sewing, plumbing, designing and enhancing wooden furnitures etc.
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Complementary This is our sixth one where we complement our service through additional benefits and services. Our core service is giving a quality training where the complementary is creating path for students where they can identify themselves or can achieve something through vocational training. It means our language program will be free and in that course we will also help them to boost up their confidence level, dignity level, and will enhance their ways of living as well.
5.2 Pest Analysis of Malaysia & Singapore

PEST analysis stands for "Political, Economic, Social, and Technological analysis" and describes a framework of macro-environmental factors used in the environmental scanning component of strategic management. It is a part of the external analysis when conducting a strategic analysis or doing market research, and gives an overview of the different macroenvironmental factors that the company has to take into consideration. It is a useful strategic tool for understanding market growth or decline, business position, potential and direction for operations. Political Situation of Malaysia and SingaporeMalaysia political situation is attractive for foreigners. It is a developed country and currently political situation of Malaysia for overseas is good. The politics of Singapore takes the form of a parliamentary representative democratic republic country. Political factors have a big role to play in our business. It could be the sole determinant of whether we will stay in business or shut down. It is true that expansion of export labor depends on whether the government allows it or not, however, fortunately at the moment the government has no such restrictions so starting and running our business should not be a problem in terms of the legality involved. The national laws and regulations change can affect the basic service or methods of processing trainees. There are so many acts and provision followed by the government and law enforcement authorities relating to the business and marketing communications which affects the business and marketing communications in particular. The government has relaxed and licensed many institutes for labor supply with ease and at low cost.
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POLITICAL
The expansion of export of labor depends upon whether the government allows it or not. From Malaysia and Singapore point of view political environment is positive for our business.
ECONOMIC Persistent rise in the price level (inflation) will reduce the revenue for the Institute. A fall in income per capita due to recession will actually diminish our institute's revenue. Recent economic crisis in economy indicates negativity on our business.
TECHNOLOGICAL
Can influence the quality of learning and the ease of teaching butstill technology advance ment can influence negatively on our business as human needs decreases as the technology advanced.
SOCIAL
Todays trend is to go abroad and earn some money In Malaysia social envirnment is good to live for foreign workers In Thailand social environment is also positive for foreign workers.
Figure 3- PEST Analysis Economical Situation of Malaysia and Singapore Malaysia, a middle-income country, has transformed itself since the 1970s from a producer of raw materials into an emerging multi-sector economy. Malaysian people achieved a high-income status by 2020 and to move farther up the value-added production chain by attracting investments in Islamic finance, high technology industries, biotechnology, and services. The Najib administration also is continuing efforts to boost domestic demand and reduce the economy's dependence on exports. Nevertheless, exports; particularly of electronics, oil and gas, palm oil and rubber which remain a significant driver of the economy. Malaysia could be vulnerable to a fall in commodity prices or a general slowdown in global economic activity because exports are a major component of GDP.
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So, overall economy of Malaysia for recruitment of foreign workers is not positive. Economic factors currently are not in our favor. Although there is an existing demand for our products, economic factors namely inflation and per capita GDP are not in our favor. Inflation is increasing annually and per capita GDP is decreasing, this leaves our potential customer s with very little ability to purchase. Singapore enjoys a system of free economy. It is, however, a social democratic country where government plays a major and crucial role in directing economy, trade, and commerce. Its government also has an active hand in infrastructure support. Social Analysis of Malaysia and Singapore There are four main Ethnic groups in Malaysia. The main Language of Malaysia is Bahasa Malaysia which is their official language. English and Chinese is very widely spoken all across Malaysia. Tamil, Malayalam, Punjabi Thai are spoken in some parts of the eastern region. There are several indigenous languages; most widely spoken are Iban and Kadazan. Language is a big factor to meet the social challenge. The major social factor that affects the business is the growing trend of youngsters going abroad for work. This trend will be of great advantage for us and if we capitalize on it effectively we can generate a lot of profit.
Technology Analysis of Malaysia and Singapore Malaysia is a very technologically advanced country. There is a widespread use of internet all over the country. Energy such as electricity, gas and water is available is almost all across the country. The telephone communication services is available everywhere. Technological forces can influence our business in the sense that it can significantly influence the quality of the students learning and significantly facilitate the teachers teaching and trainers training. Singapore is a very small country but leads as an example in the information highway. There is a widespread use of internet all over the country. Energy such as electricity, gas and water is available is almost all across the country.
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Indicating Favorable condition
Indicating unfavorable condition
Politic al
Technolo gy
PEST
Social
Economic al
Figure 4- PEST in a glance of Malaysia & Singapor
5.3 INDUSTRY LIFE-CYCLE

A concept relating to the different stages an industry will go through, from the first product entry to its eventual decline. Like other living creatures, industry also has its circle of life. The industry lifecycle imitates the human lifecycle. The stages of industry lifecycle include embryonic, growth,, shake-out, maturity and decline.
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Currently Operating!
Figure 5- Industry Life-cycle When we compare our strategy towards the five levels of the life cycle, we are at the moment on the Growth stage of the life cycle. This means that the vocational training service of ours is on a market with an expanding and positive growth. We have a bright future of increasing growth ahead of us as the industry is still yet to prosper fully. Therefore our aim is to gather as much market share and increase our profitability. We are also willing to increase our expertise and efficiency so that we can reduce the overheads involved in running the training services business. The reduction in costs will increase our comparative advantage as competition will begin to increase with a few new other companies providing similar services in the establishing market. The increasing competition as well as the rise in efficiency will lead to a fall in price or the charge recorded in services.
We are projecting an increase in our number of female recipients due to our distinct competencies of offering a variety of services for a minimum charge. Our focus generic strategy increases this advantage and helps the firm to stay in better shape with the tight pressure of competition around the manpower market. We will also invest heavily on
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advertising since we need our voices and strategies to reach the determined and independent women all over the country. All these advertising and other overheads of running the strategy needs us to keep a significant amount of investment cost which is although less then what we do needed on the Embryonic stage. Overall with the intense level of competition as well as our locked-in core and distinctive competencies, we can expect for very high returns over the following years.
5.4 STRATEGIC GROUP ANALYSIS

Every year a total of 400 youths are being provided the following training in 12 Vocational Training Centers located in the various local YMCAs in Bangladesh. Vocational Training is offered to men and women in the trades of Sewing & Tailoring, Carpentry, Agro-Mechanics, Electronics, Electrical House Wiring and Motor Winding. After completion these trade courses many of them have been working different Tailoring shops, Garments Factories, Engineering & Electrical Workshops and Furniture Marts for earning their livelihood and to help their family to lead a better life.
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5.5 SUMMARY SWOT

Strength Target market is only female candidates. Five Forces Provide proper lessons with job security. Growth stage so high demand on our service Bargain power is high for buyers. Other new entrants emerging on the market Bangladesh government can provide subsidy to promote this. Lock in a profit fixing position and get hold of the niche market share of Singapore enjoys a system of free economy. There will be changes in the economic policies that will reduce the biasness. Weakness Other industries are also quite powerful. Opportunities One successful batch can open huge opportunity. Threats New training institutions and manpower agencies can come in the industry any time. High Competition will be faced to regain the target market share The literacy rate is very high. The society is dominated by the Chinese in Singapore. Loneliness is a big threat to the societies of Singapore People have to be very skilled in order to live in those societies.
Industry Life Cycle
PEST
Many rights groups which speak for the people on their behalf. They are very powerful as well. Legal system is a mixture of legal system of English common law, Islamic law, and customary law that is very similar to the Bangladeshi Laws. Singapore is a high income economy and Malaysia is a middle income economy Malaysia and Singapore is a very technologically advanced country.
The net migration is negative in Malaysia.
The main Language of Singapore is Mandarin which is also the official language. The net migration is very high in The State Singapore. controls the media in Foreign direct Singapore. investment (FDI) is now 12.5% of The land area is GDP. Foreign very small in investors Singapore. appreciate the countrys Singapore is very efficient and expensive. transparent bureaucracy, eradication of red tape, and a highly effective human capital base.
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6. Internal Analysis
6.1 COMPANY VALUE CHAIN ANALYSIS
Value chain analysis is the process of analyzing each area of a company's operations that bring materials one step closer to finished goods and consumption. The major links in a value chain include inbound and outbound logistics, operations and sales activities. Using value chain analysis involves mapping out all operational activities and assessing their effectiveness and efficiency in an attempt to reduce costs and improve product quality. Value-chain analysis looks at every step a business goes through, from raw materials to the eventual end-user. The goal is to deliver maximum value for the least possible total cost.
Primary activities
Teaching and Training
Employing
Marketing
INPUT (Students) Financing Administration Human Resource
OUTPUT (Students)
Support activities
Figure 6: Value Chain Primary Activities Teaching & Training:
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The first and foremost primary activity that we have is the teaching and training. In our school, we are planning to give three types of training and they are- cooking, beauty training and driving. As our school is concentrated in women, so we have chose to give these types of training and driving is included because of the high demand of drivers in those countries. The language course will be also offered so that they can enhance themselves in English and our trainers will help them to develop their knowledge about the norms and values of those countries. At the same time, we will also provide the students training about various materialistic courses, which will make them competent about how they can manage with their income and lead a healthier life. This training will be given systematically, so that they can get everything and apply in their future life. Employing: This activity is very important for us, as making those womens future secure is the primary motto of our school. After they are done with their education and training with us, then we will send them to those specific countries and will place them to various jobs according to their skills. In addition, we will also provide apprenticeships to various parlors, tailors, restaurants, etc. so that they can use their skills at hand, while they are in Bangladesh. This will make them more confident and competent about their work. Marketing: We will be doing some marketing activities so that the students actually think that we are worthy enough to give them facilities which can make their future secure. What will do is actually promoting our institution to the customers so that they get to know we are here for them. We have to make people aware about their situations and tell them what can be done to remove those miseries from their lives. For those reasons, marketing will be done extensively. And we will have a strong marketing strategy which will try to attract the village women heavily, as they are the sufferers of the poverty line. We will also do the followings: More advertising to get more investments and customers (students) Promotional activities to sustain the current rate Handle the competition by taking initiatives
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We need the support activities for fulfilling the primary activities. The activities of support units are described below: Finance Unit: In this unit, we will be having both short-term and long-term goals that will be helpful to establish our institution for future. We will be trying to focus on these objectives: Increase sales and profit through economies of scale. Try to keep operations cost low. Keep the debt/equity ratio as low as possible. Prioritize expenditures in order to allocate resources efficiently and equitably. Make better use of budgeted resources to achieve outcomes and produce outputs at the lowest possible cost. Try to attract long-term investments (more than 1 year) Financial reports
Human Resource Unit: This unit will basically work for establishing suitable working environment and engage in recruiting employees. We will be trying to focus on these objectives: Use experience curve system in the organization. Hire the skilled and experienced teachers both academic and vocational. Ensure customer responsive culture in the organization. Periodic review of employee satisfaction Performance Management and Incentive Awards Development programmes Wellness and Employee Assistance Programs
Administrative Unit: The short-term and long-term objectives of the administrative unit of this institution are described below:
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Maintain a simplified acquisition program for supplies and services Coordinates services and supplies Organization Management Maintain training information Provide training information Coordinate agency training program
6.2 EXISTING CORE COMPETENCIES AND

FUTURE COMPETENCIES
Core competence Our core competency is represented by our human resources, in other words, by the qualified teachers and technical instructors. On the other hand we are going to provide personal development programs which is our another core competence. Future competencies Our target market is female students. In our country there are so many government and non-government institution are available who wants to promote female empowerment. So we will get soul advantage from those organizations in future.
Strategy Building Block
Resources Competitive Advantage Efficiency (HighModerate) Innovation (Low) Quality (High) Customer Responsiveness (High)
Capabilities
Positioning
Differentiation Strategy Increased Value Superior Profitability
Figure 7- Core competenc

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6.3 SUMMARY SWOT

Strength Teaching and employing together. Company Value Chain Analysis Strong communication among the members. Providing all training in one building. Existing Core Competencies Future Competencies ] High quality training Huge patron opportunity & flexibility Weakness There are many materials needed for the processing which lead to higher costs. If anyone breaks the partnership, the business may fall apart Expensive than others Quality can be hampered Opportunities Threats
A rising demand Entrance of new in the domestic vocational and international institute. market. Since the students belong socioeconomic class is below C, there may be risk of quitting in the meantime. Regulation instability Regulation instability
Extension of export employees to more countries. Expansion of future market Become the largest women training center
7. MARKET OVERVIEW
7.1 POTENTIAL CUSTOMERS
Our potential customers are females of lower to lower-middle class on our society. Most of these women workers cannot afford higher degree education of driving, cooking and beautification and, moreover, they are willing to start working as soon as possible in countries like Malaysia and Singapore. Most of them prefer to go to these specific countries for valuable work hence these are our potential customers. They have the highest demand for our services and hence we will best sell our services to them. We want to make sure that we are providing supply where there is substantial demand. In order to best identify our target customers and understand their demand, we conducted a survey:-
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Survey Result and Analysis: Determining Demand Total sample size: 25 female workers 1. Do you think vocational education will create better job opportunities for you? (a) Yes: 22 response (b) No: 3 response
Vocational institute create better job opportunity

22 25 20 15 10 5 0 Yes No 3
Figure 8- Response- Survey Q1 Analysis: From the above data, we can see that majority (more than 80%) respondents have shown interest in vocational education and think that it can obtain them better job opportunity. This result valued from our sample is of high importance because it makes our project proposal stronger. 2. Do you want to go abroad for working?
(a) Yes: 18 response
(b) No: 7 response
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Going abroad for working

18 18 16 14 12 10 8 6 4 2 0 Yes No 7
Figure 9- Response- Survey Q2
Analysis: The above data shows that majority (72% to be exact) of the female workers want to work abroad from our service center towards Malaysia and Singapore. This indicates a demand of 72 out of 100 students. The rest 28 % were not that much interested in going abroad. 3. Will you pay a little extra compared to the existing cost if we ensure your job in a foreign land? (a) Yes: 16 response (b) No: 9 responses
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Paying extra for foreign job

16 16 14 12 10 8 6 4 2 0 Yes No 9
Figure 10- Response- Survey Q3 Analysis: 64% female workers are willing to pay extra money if job is ensured abroad. 36% female workers were reluctant to pay for ensure foreign job. But the irregularity here is that those students who did not wanted to go abroad for working answered negatively this question. 4. Will you pay extra money for additional courses aside the skill courses? (a) Yes: 19 response (b) No: 6 response
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Extra money for added course

19 20 18 16 14 12 10 8 6 4 2 0 Yes No 6
Analysis: 76% female workers are willing to pay for additional courses aside skill courses whereas 24% of the respondents did not want to pay extra.
5. What skill do you wish to learn from vocational institution? (a) Driving : 5 response (b) Cooking: 12 response (c) Beautification: 8 response
Analysis:
An average of 20% of the female workers wants to learn driving from our
vocational training institution. Almost 50% of the sample target customers want to be involved in cooking and the rest is up to getting regular spa training sessions for beautification.
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Skills Preferred
12 12 10 8 6 4 2 0 Driving Cooking Beautification 5 8
6. Preferred Day Shift, Evening Shift or Night Shift? (a) Day Shift: 14 response (b) Evening Shift: 6 response (c) Night Shift: 5 response
Analysis: Maximum female workers (over 50%) prefer day shift rather than evening or night.
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Preferred Shift
14 14 12 10 6 8 6 4 2 0 Day Evening Night 5
7.2 SIZE AND GROWTH OF THE MARKET

The size of the market is very much moderate. Hundreds of female workers are willing to learn the basics of driving, cooking and do advanced beautification and then go abroad for a better career aspect. This paired up with the lack of jobs in the country; these female workers are in desperate need of jobs. There is also a growing trend that is characterized by individuals going out to Middle Eastern and South Asian countries for job opportunities. Many young female individuals are enthusiastic about the idea of going abroad because there are few job opportunities within national borders and their perception promotes the idea that going abroad is their best option. So the size of the market we will to serve is very much modest and reasonable.
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7.3 MARKETING PLAN
The marketing strategy for us for the 1st year would be as follows-
JAN 2013
FEB 2013 MAR 2013 APR 2013 MAY 2013 JUNE 2013 JULY 2013 AUG 2013 SEP 2013
Initially no adveritising expenses will be incurred Word of Mouth of last three months publicizing involved Extensive advertisement through leaflets and newspaper adds Personal Communication on advertisement The process will be continued the same as previous month to attract the students No additional expnse for month 4, as we already got some students to start the journey Increase the advertising through a higher number of leaflets Continue the advertising, also through posters No advertising for month 7, as we already got some students to start the next batch Immense advertising to attract the next batch of studnets from october 2013 Continue the process of high advertising to attract the customers No advertising for month 10, as we already got some students to start the next batch Significant advertising for the next batch of the next year Advertising expenses continued for the batch of Jan 2014
OCT 2013
NOV 2013 DEC 2013
Table 2- Marketing schedule for year 1 For the 2nd year the advertising will huge than the 1st year in order to get familiar our services to the people. In the 3rd year, advertising cost will be less this year in intensity. Few effective activities will be spread out over the months. At this point, our institute is already known among our target market and their peers, so we only need to inform them about new offerings, if there any. The following years, we will continue the advertising but not that much like the first two years, as we are established company on that time.
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Advertisement No advertisement
Jan Feb Mar Apr
May
Jun
Dec
Nov
Oct
Sep
Aug
July
Figure 14- Advertisement schedule Marketing MIX:
Training and Teaching
Shopno overseas limited
PRODUCT
PLACE
PROMOTION Advertising
PRICE Ranges from Tk6000- Tk 8000
Figure 15- Marketing Mix
Product (Training and Teaching) Cooking (Initial level) Beauty training (Spa training) Driving English and Grooming
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Place (Shopno overseas ltd.) We have decided to set our office space and training center in North Basabo, as it is a convenient place to attract the customers, as there are many slums around that area. Even many lower and lower-middle class people have their homes in those surroundings. So it would be easy for them to come over here, and it would be helpful for us to attract customers. Also, the place is less expensive and e can give more investment in grooming the students. Price Our products are quite superior to others in the market, so our charges start from BDT 6000 TK to 8000 TK per month. All the courses are for 3 months. So, overall costing would be BDT 18000TK to 24000TK, but excluding the additional expenses (Visa, licensing and so on). Moreover there is an admission cost of 500 taka per student which is to be paid when the student is taking admission to the firm. Promotion Our only promotional activity will be advertising, which we will conduct across different media mixes to achieve wide geographic coverage and high reach. Customer services Students (also prospective students) are welcome to our counseling service where we have the latest and reliable news about jobs abroad. We will investigate students; expertise, are of interest and scope and match them with suitable jobs. Also prospective students can take our help to find out what course is suitable. Not only will the counseling be academic but it would also be motivational. We will also work on instilling more hope and enthusiasm in our customers.
Foreign Affiliation: We will start our networking in foreign countries (Singapore and Thailand) through personal contacts. Foreign establish HR agencies post job openings and we will affiliate as such that they ensure high salary jobs and we ensure trained personnel
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Service Marketing: Internal and external marketing is crucial to the ultimate long term success of the business. In our case, the external marketing describes the extrinsic benefits that our educational and vocational institute will offer. Internal Marketing describes training and motivating employees to serve students and other vocational trainees well. This might include the joint collaboration of the entire operational unit and the departmental functions to jointly work to produce a greater harmonization of the running of our school. Once the goal is communicated well and we
have a well spirited team we know that we can now march down the line to serve our customers well.
8. OPERATIONAL PLAN
8.1. PRODUCTION AND OPERATIONS
To run our training institution smoothly, the three primary activities of our value chain: Teaching, Training and Counseling & Career Service have been aggregated into one department, operations. Operations department is dependent on procurement and staffing rather than working in isolate TEACHING AND TRAINING (PROCESS) In the first year (starting from January 2013), we have to plan the course contents of the short course, make necessary registrations for these courses, schedule the course and deliver the finance department with our monthly cost requirement. Also, we will give the procurement department the material requirement list. By the first year, we will be responsible for providing staffing department with trainer requirements, attaining accreditation for skill training on beautification, cooking and driving. Beautification and cooking training will be provided for 3 months and driving training will be providing for 1 month.driving.
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DAYS
9 AM 11 AM UNIT 1 UNIT 2 Beauty Training Beauty Training Beauty Training Beauty Training
1 PM 3 PM
6 PM 8 PM UNIT 1 Cooking Class Cooking Class Cooking Class Cooking Class UNIT 2 Beauty Training Beauty Training Beauty Training Beauty Training
UNIT 1& 2 Grooming Session (Unit 1) Grooming Session (Unit 2) Grooming Session (Unit 1) Grooming Session (Unit 2)
Weekday Session
MONDAY WEDNESDAY FRIDAY SATURDAY
Weekend Session
Cooking Class Cooking Class Cooking Class Cooking Class
Table 3- Training Schedule
Year Jan-12 Apr-12 Jul-12 Oct-12 Jan-13 Apr-13 Jul-13 Oct-13 Jan-14 Apr-14 Jul-14 Oct-14 Jan-15 Apr-15 Jul-15 Oct-15 Jan-16 Apr-16 Jul-16 Oct-16
total capacity 120 120 120 120 120 120 120 120 120 120 120 120 120 120 120 120 120 120 120 120
Capacity utilization current utilization Beautification Cooking Total Capital Utilization 10 10 20 20 20 40 26 26 52 30 30 60 32 32 64 34 36 70 38 40 78 40 42 82 44 44 88 44 44 88 46 40 86 48 44 92 48 44 92 50 48 98 50 50 100 52 52 104 52 54 106 56 56 112 58 58 116 60 60 120
Table 4- Capacity Utilization
% of utilization 17% 33% 43% 50% 53% 58% 65% 68% 73% 73% 72% 77% 77% 82% 83% 87% 88% 93% 97% 100%
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The second year will consist of adding on extra trainers for new batches of 2nd, 3rd, 4th batches for beautification and cooking. Also a new monthly operating cost and material requirement list will be handed to financial department and procurement. The new trainer requirements will be passed on to staffing department. So to sum up, that years activities will include: conducting admission for short course for new batches. Also we will carry on with our first batch to transfer them to Singapore and Malaysia. The third year (2015) will be just adding up two training courses like food processing and tailoring. 5th, 6th, 7th batch enrollment will be continued in this year for cooking and beautification. Driving courses will be continued in each month. The fourth year (2016) will consist of enrolling of short course batch 8th, 9th and 10th batch and also the processing of previous batches will be continued to transfer abroad. The fifth year (2017) will consist of continuation of the previous batches to send them abroad. Also we will try to help the females who did not get chance in abroad. We will help them to build their career domestically in hotels, beauty parlors or companies to give them recruitment in driving.
8.2 FACILITIES
Our facility for Shopno Training and Overseas Limited is that we will take a building on rent for our company. There will be two floors. In 1st floor we will take rent 1 unit and in 2nd floor we will take 2 units for providing our training facilities and office work. Our office location will be in Bashabo. Many fixed equipments are needed such as AC, Stoves, Fan, and Lights. We will buy two micro buses from the Eastern Motors for driving facility to our trainees.
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8.3 PRODUCT/ SERVICE OVERVIEW

CookingSingapore and Thailand, both the markets have huge demand for Bangladeshi food, so we will prepare our students according to that demand, but that would be initial stage of cooking. As top chefs are highly qualified, so our students will be their right hand which is actually helpers. They will be qualified with various Bengali food items, as well as some Indian, Chinese and continental food items. We will also provide some lessons on pastry making, so that they can help the top chefs in these critical food items.
Beauty trainingBeauty training has a wide range of demand not only in the targeted market, also in to
whole world. We will provide necessary training to be a beautician, which will include eyebrows pluck, facial message, and some sort of hair cutting. We will mainly focus on the spa training, especially the foot message. It is because both the cities have nearly 5 spa centre on a single road, so it is a huge market. These are some techniques only, by which our students can earn money and can support their families bank home. DrivingNearly, 35%-40% taxi drivers are female drivers in both the countries. We will provide them driving lessons for 1 month, and then will apply for the license. When they will receive the initial learner card, which is valid for three months, they will be driving our cars, as there is no market for female drivers in our country. The night session female students will be dropped in their homes by our cars, and the female students will drive them off. In case of safety, there will be one security guard in one car to protect the female driver. Grooming sessionThis service is free for the students. We the entrepreneurs will take those classes, where we will teach them the Basic English knowledge and the manner to behave in a foreign country. We will also teach them the culture of those two countries, so that they can be familiar with the atmosphere. We will also make them confident through various grooming sessions, which will be helpful for them in their career life.
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Input (Unskilled Manpower)
Registation
Training Continued
Final Practical Training Test
Admission Form
Evaluation Test
Re Training who have Failed to Meet Criteria
Theoretical Knowledge about Traffic Law & Vehicle Policy
Start of Practical Training
Re Test of Final Practical Training Test
Input (Unskilled Manpowe r)

Registation
Figure 16-Process of Driving Training
Output (Skilled Manpower )

Basic Knowledge about Kitchen Equipment
Admission Form
Orientation
Start of Formal TrainingTest
1st Evaluation Test
Training Continued
Final Evaluation Test
Final Test
Figure 17-Process of Cooking Training
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Input (Unskilled Manpower)

Basic Knowledge about Beauty Training Equipment
Registation
Admission Form
Orientation
Start of Formal TrainingTest
1st Evaluation Test
Training Continued
Final Evaluation Test
Final Test

May 5th Jun 6th July 7th Aug 8th Sep 9th Oct 10th Nov 11th Dec 12th
Figure 18-Process of Beautification Training Jan 1st Registration Admission Form Fill Up Orientation Basic Knowledge Sharing Start of Formal Training Test 1st Evaluation Test Training Continued Final Evaluation Test Re Training who failed to Meet Criteria Final Test Feb 2nd Mar 3rd Apr 4th
Table 5- Activity planning

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8.4 EQUIPMENT
Equipments are tangible property (other than land or buildings) that is used in the operations of a business. The main task of Procurement Department is to purchase necessary equipments and machineries for every department of our institution and assure their quality. Very beginning year we purchased most of the products and we continue this task for five years more or less. But department also doing another job, it sold some of these used products which were expired so that we can get some profits at the end of the periods. At first Procurement Department divided itself into three categories and then decided what type of equipments would be sold for which category.
Details list of equipment are given in appendix
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Kitchen Equipment
Equipment Quantity Image
Stove
Sink
Deep freezer
Gas Cylinder
Exhaust fans
Beauty Training Equipment

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Equipment
Saddle Cutting Stool
Quantity 4
Image
Facial Steamer
Portable massage bed
Hair dryers & Hair straightener
Spa vanity Case & Basalt Stone
Scissor & Spray Bottles
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Office Equipment Equipment

Chairs Tables Fans AC Clock Telephones Lights Computer Printer Micro bus 2200 CC
Quantity
30 6 10 2 10 3 50 2 2 2
8.5 QUALITY ASSURANCE

Quality assurance (QA) refers to the planned and systematic activities implemented in a quality system so that quality requirements for a product or service will be fulfilled. It is the systematic measurement, comparison with a standard, monitoring of processes and an associated feedback loop that confers error prevention. This can be contrasted with quality control which is focused on process outputs. To get customer responses our main task is assure the quality of the products .Our teachers will require a minimum HSC level degree to obtain employment, and all technical/vocational instructors must have a certain level of education, not to mention expertise in their chosen fields. A part from all that we will follow some steps for quality assurance. We provide effective cooking courses so that students can become cook and when everybody considers cooking skill it will be easier for them to get good job in the restaurants. Our institution provides certificates to the students after completing their beauty training course. These certificates will help them to get good jobs both in home and abroad. We will try to arrange a government approval on the certificate, so it will easier for our students to get license in abroad. When they will receive the initial learner card, which is valid for three months, they will be driving our cars, as there is no market for female drivers in our country. The night session female students will be dropped in their homes by our cars, and the female students will drive them off. In case of safety, there will be one security guard in one car to protect the female driver. We will teach them the Basic English knowledge and
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the manner to behave in a foreign country. We will also teach them the culture of those two countries, so that they can be familiar with the atmosphere. We will also make them confident through various grooming sessions, which will be helpful for them in their career life.
9. THE HUMAN RESOURCE MANAGEMENT

Human Resource Management is the strategic planning to manage the organizations employees and workforce to efficiently operate the entire organization. The prime task is to align competencies of employees to job designs, responsibilities and duties. It is responsible for the attraction, selection, training, assessment, and rewarding of employees, while also overseeing organizational leadership and culture. Human Resource Management also leverages the quality of skills and quality of life on employees. Human Resource Management is basically the process of engineering human capabilities in the organization to increase the efficiency of human activities leading to sustainable organization.
Figure 19- HRM Human Resources Management designs, develops and implements strategies in the areas such as:
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Recruitments, hiring and selection of Employees Employee Training and development Career Development Performance Appraisal System Promotion and Demotion of Employees. Designing and implementing job analysis Design the pay system- base salary, wage, incentives and bonuses. Human Resource planning
9.1 THE KEY HUMAN RESOURCES ISSUES

The key human resource issues that we will be dealing with are as follows: 1. Employee recruitment, hiring and selection the right person who will be job fit as well as organization fit. 2. Determining the major Human Resource Needs and developing strategies to meet the needs and demands. 3. To match people and their career needs and capabilities to jobs in the organization. 4. It is the job of Human Resource to define the tasks, authority and systems of the organization and integrate it across the organization. 5. To develop a healthy inter and intra unit relationships and helping groups initiate and manage changes in the organization. 6. The final issue is to identify, assess and through planned learning, helping to develop key competencies that will enable employees to perform current and future tasks better. 7. It is also the task of HR to provide personal assistance, counseling to individual employees in the organization to increase the overall efficiency of the organization and making it more sustainable.
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9.2 THE STAFF REQUIREMENT AND EXPECTATIONS

1. Cooking Facility- two kitchens Two training Chefs- 3 year experience with certification from reputed organizations. Base Salary- Tk. 25000/Two Training assistants- 1 year experience. Should be trained from a certified vocational training institute. Base Salary: Tk. 5000/2. Beautification Facility Two training Beauticians-3 year experience with certification from reputed organizations. Base Salary: Tk. 12000/Two Training assistants-1 year experience. Should be trained from a certified vocational training institute. Base Salary: Tk. 4000/3. Driving- Should have proper government license. Outsourced to a private driving firm Cost (negotiating stage)
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9.3 THE STRUCTURE
Chairman
T&D Director
HR Director
Mkt Director
Act Director
Admin Director
Officer
Officer
Officer
Officer
Officer
Cook
Office Attendant
Beautificaiton
Assistant (2)
Office Peon
Driving
Figure 20- Organogram
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10. Risk analysis

10.1 Foreseeable and unforeseeable barriers
Every business faces various kinds of risks which are required to be solved in order to run the business properly. Therefore, an efficient management should analyze the risks extensively and take effective measures to be prepared beforehand. Risks can come from both within the firm or from outside the firm. Internal riskThese risks include: Default Risk Liquidity Risk Operational Risk Model Risk
Default riskThis is the risk of having trainees not being able to pay for the fees. In this case, we need to check whether the trainees have the affordability power to study under our program. In order to help them pay the entire tuition fees we would set our terms flexible. We would take the greater amount of money after their jobs are ensured and when they actually start working. However, in this case we need to have a strong control of these trainees even after their placements. Also it is required to check the trainees whether they have the ability to pay the fees or not. Liquidity riskSometimes we may fall short of cash and experience liquidity risk. In order to avoid this risk we need to have efficient liquidity management. We need to forecast our liquidity requirement and keep a certain amount of money in the back as cushion. We will save 5% of the total invest to protect from liquidity risk.
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Operational riskOperational risk mainly consists of legal risk, technological risk and reputational risk. All these risks are related to the operation of the institution. If there is any problem related to the placement of the trainees and if the trainees that we sends who turn out to be frauds then these will tarnish our image. This means that our operation will be hampered and the demand will reduce. To tackle such risk we need to monitor the operations very closely. Model riskThe risk associated with the faults of the model. If the speculation and the forecasting turn out to be wrong then the business will face danger. As a contingency plan, we need to consider diversification in different areas. External riskExternal risks come from external factors like political, environmental and as such. The biggest external risk that we have is if there is no demand for our trained students in the countries where we have affiliations with the Human Resource Agencies. This may destroy the promise that we are giving to the students that we will ensure their jobs. This will, at the same time, reduce our profits largely since if we cannot ensure a job to a student then s/he would not pay the money that we are charging after the students have graduated. This will mean that the money they will pay during their course will not be even enough for our overhead cost per person. Our profitability will be at risk and thus the future of the business. No external risks can be handled directly. Neither can we increase the demand of labor in those countries nor can we force the governments to take our labor even if there is no demand. In this situation, the best solution is to have affiliations with many different countries. This is, again, a sort of diversification plan that we can implement. Even under the global market crisis, the chance of having a no demand in all the countries will be minimized. Therefore, we need to spread our network in different countries in order to have affiliations with their human resource agencies.
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11. Financial management plan

11.1 Assumptions
In order to make the financial statement of the company, we have to assume some factors that affect the whole system. Revenue assumptions: The sales growth rate of the revenue that has been used throughout the 5 years of the project is as follows: Year Year1 Year2 Year3 Year4 Year5 Sales Growth 7% 12% 15% 20% 21%
The following notes justify the assumptions made In the first year, the growth rate has been assumed to be 7%. As our business model is new and the promotion will be at the beginning stage we have assumed that the growth rate of customers increasing during the first month will be steady. As this is a women oriented business, we may see less growth in the first year. During year 2, we have assumed an increased growth rate than year1 and we have set the growth rate at to be 12% which was used for entire year. We are assuming that out of 100 students, minimum 70 students will be satisfied and will eventually tell 2 persons about our service. So, our students number will increase in this rate. As our product will be advertised, more customers will buy our products and the incremental growth rate justifies the assumption. In year 3, as our business will move from the introduction stage towards the growth stage, and as there will be more promotional activities we have presumed the growth rate to be 15%. This increased growth rate also justifies for the mouth to mouth promotion that our business is likely to achieve. Also, we may offer different discounts on our services and also our customers may be able to pay in installment.
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The following year, we are going to have a sales growth of 20% due to our product quality and promotional activity. And the growth rate is assumed to be 20%, because we may successfully send women to Malaysia and Singapore within that time horizon. So, it is obvious to say that, we will get more students.
The growth rate is assumed to be 21% as our business is approaching to the industry stake-out phase.
Expenditure assumptions The costing we have in our expenditure side has different growth rate based on their need and demand according to the student number. All the assumptions are provided below: Salary expenses will have a 5% to 7% increase due to entrance of new stuff members, and we have to that as our students number will increase as well. Rent expense is assumed to be fixed. Advertising cost will increase but only for the second year, as we have top attract the customers. But later, there would be no need for additional advertising as word of mouth will help us to gain customers. Utility expenses will have a steady growth rate of 5% and little higher changes may occur in fourth year, as we will buy new assets. Freight-out cost is assumed to increase at 5% rate. Miscellaneous cost will increase at a higher rate, which is assumed to be 11% for the 2nd year; it is because increased number of students will result in purchase of those additional products. Other assumptions: Tuition receivable will increase corresponding with the growth rate. All the asset values are adjusted with the depreciations, which is given detailed in notes. Utilities and salaries payable are assumed to be 5% of the total utility and salary expense on that year. For the IRR calculation, we used interpolation method. The opportunity cost is 12.5%, which is the current FDR rate. The variable cost includes salaries and miscellaneous expenses.
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Income Distribution Assumption The net income/loss generated by Shopno Training & Overseas Ltd. is assumed to be distributed equally to the owners or partners if not re-invested in the company as Retained Earnings. These distributed earnings are then eligible for tax deduction as Personal Income Tax. Capital Budgeting Assumption The financing of our company is entirely based on Equity Financing. There is no debt financing involved as a result there is No Long Term Debt for the company. Initially, the business was opened using Tk.6000000 from the Entrepreneurs. There's no WACC for the absence of any financing cost. No interest-bearing debt and zero dividends to the owners make the WACC irrelevant.
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11.2 Income Statement
Income statement Revenue from Training Revenue from Admission fee Total Revenue Expenses Salaries expenses Rent expenses Advertising expense Utility expense Freight-out Depreciation expense Maintenance expense Miscellaneous expense Trade expense Total expenses Net income(loss)
Notes 1 2
Year 1 4182000 102000 4284000
3 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 2628000 672000 336000 540000 91200 143300 120000 401281.0368 2000 4933781.037 -649781.0368
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11.3 Balance sheet
Balance Sheet Asset Cash Tuition Receivables Total current asset Micro Bus Computer and Printer Air Condition Deep Freezer Advance payment Other asset Total Fixed asset Total Asset Liabilities and Shareholder's Equity Utilities payable Salaries payable Total Current liabilities Owners Capital Retained Earnings Total Equity Total Liabilities and Equity
Notes 4 5
Year 2013 433118.9632 79000 512118.9632 3480000 48700 52000 38000 1200000 177800 4996500 5508618.963
6 7 8 9 10 11
12.1 12.2
27000 131400 158400 5350218.963 0 5350218.963 5508618.963
13
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11.4 Financial notes
1. Revenue from Training The revenue is coming from the tuitions fees from the students. The following are the tuition fees. Here from the driving students, we are getting only Tk.1000, though they will pay Tk.6000. The rest part of the money will be given to the affiliated driving school. Also, the tuition fees are little higher than the other vocational training school, because of the service we are going to provide after they get selected and get the chance to go abroad.
Revenue From Beauty training From Cooking Training From driving Admission fee Per students 8000 8000 1000 500
The following is the first year revenue from training which was calculated based on the different monthly returns, as we will not have the same number of students in every batch.
Months Jan Feb March April May June July August September October November December Beauty 10 10 10 20 20 20 25 25 25 30 30 30 Cooking 10 10 10 20 20 20 25 25 25 30 30 30 Driving 5 5 5 7 7 7 10 10 10 12 12 12 Revenue 165000 165000 165000 327000 327000 327000 410000 410000 410000 492000 492000 492000 4182000
2. Revenue from Admission Fee This part of the revenue is generated from the admission fee, which is Tk.500 for each. So, this income will be earned in four months- January, April, July and October.
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Months Jan Feb March April May June July August September October November December
Beauty 10 10 10 20 20 20 25 25 25 30 30 30
Cooking 10 10 10 20 20 20 25 25 25 30 30 30
Driving 5 5 5 7 7 7 10 10 10 12 12 12
Admission Revenue 12500 0 0 23500 0 0 30000 0 0 36000 0 0 102000
3. Expenses 3.1. Salaries Expenses There will be total of 21 stuff members in the Sopno Training & Overseas Ltd. Along with the manager, there will be four officers to handle the customers. Two officers will sit in the main office (Ground floor) and other two will be sitting in the cooking and beauty training side (1st floor). There will be three beauty trainers and three chefs for the first year and they will be contracted on the basis that they have to give service to all students of the first year. And later, based on the new students and market demand, the trainee numbers will be increased. We do not need any driver because our driving students will drive our cars for their practice.
Post Manager Officer Beauty Trainee Chefs Helpers for parlor Helpers for kitchen Gate-keeper No. 1 4 3 3 4 4 2 Monthly Salary Yearly amount 18000 216000 12000 576000 12000 432000 25000 900000 4000 192000 5000 240000 3000 72000 79000 2628000
This salary structure is just the initial costing, later based on the numbers of students, staff members will be increased as well.
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3.2. Rent Expenses Our office and training center is in the same place, which is in Basabo. We will rent the ground floor but one side of the building. And the 1st floor will be rented full for the purpose of cooking and beauty training.
Rents Front Office Beauty Training center Cooking Training center
Monthly rent Yearly Rent 20000 240000 18000 216000 18000 216000 672000
3.3. Advertising Expense For the promotional purpose we have chosen to only go for the Banners, leaflets and posters. The rationale behind choosing this promotional strategy is listed below: Using banners, leaflets and posters are the most appropriate forms of advertising because as Sopno Training & Overseas Ltd. is primarily focusing on the lower-level families, mainly the female members of those families. As, those people cannot afford to buy newspapers and even they are unable to watch television in some cases, so we are choosing these three forms of advertising, which will attract the customers easily. As we are starting our journey from January 2013, our initial customers will come from the word of mouth advertising, which we will do for the months of October, November and December. Later, we will advertise every two months before starting a new batch. As example- to catch the April-month batch, we will advertise in February and March, and so on. Leaflets and posters are the most cost-effective method for advertising for our business. The advertising cost regarding the advertising expense is listed below:
Advertising Expenses Leaflet Posters Banner Per Unit cost Monthly Usage Monthly Cost(Tk) 6 1500 9000 40 200 8000 500 50 25000 42000 59 | P a g e
Months Jan Feb March April May June July August September October November December Total Cost (Yearly)
Costing(Tk) 0 42000 42000 0 42000 42000 0 42000 42000 0 42000 42000 336000
3.4. Utility Expense The utility expenses consist of the electricity, water, gas, telephone, etc. As we have total three places, we are assuming that the accumulated monthly cost will be 45000. So, in a year it will stand to tk. 540000.
3.5. Freight-out We will have our two micro-buses and it has some costing as well. For cost saving advantage we have decided to use Compressed Natural Gas (CNG) compatible vehicle for our use. We are assuming that the fuel costing of one month would be Tk.6000 and it can be fluctuated a little based on the use. The garage rent would be Tk. 800 per month. So, the yearly costing stands Tk. 91200.
Fright-out Fuel costing Garage rent (800tk for each) Monthly cost Yearly Cost COST (Tk) 6000 1600 7600 91200
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3.6. Depreciation Expense

Depriciation Years amount 10 5 2 5 5 60000 2900 1750 4000 3000 No. of items 2 2 2 2 2 Total Depriciation 120000 5800 3500 8000 6000 143300
Depriciations Micro bus 2200 CC Computer Printer AC Deep Freezer
Value 1800000 24500 4500 30000 22000
Salvage Value 1200000 10000 1000 10000 7000
3.7. Maintenance Expense The maintenance expenses that are most likely to be incurred by us are mainly based on the repairs needed for the machines, vehicles, inventory in the store and we assume that the yearly costing would be approximately Tk. 120000. 3.8.Miscellaneous Expense
Miscellaneous Expense Toner Facial Cream Facial Mask Bleach Cream Hair Spray Spa Cream Cooking Materials Vegetables Rice Ingredients Spices Baking Materials No. 5 4 4 4 6 4 20 Depends 8kg Depends 10kg Depends Monthly Cost(TK.) 600 1200 2000 700 700 1500 5000 1500 560 5000 4000 3000 25760
These are some of the miscellaneous costing. This is for the first years monthly costing. But based on the number of students this cost will be increasing as well. If we assume that for the first year the monthly costing is 25000 Tk. than it will be wrong, as we are starting with only 25 students and this amount is needed for those only. Based on the numbers of students of the year 2013, we can say that we may have the following miscellaneous expense for the first
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year. The month of April, July and October has increased costing due to the increased number of students.
Month Jan Feb March April May June July August September October November December Yearly Cost Miscellaneous Expenses 25760 25760 25760 27820.8 27820.8 27820.8 36445.248 36445.248 36445.248 43734.2976 43734.2976 43734.2976 401281.0368
3.9. Trade Expense In order to do the business, we have to give the government these fees to be registered and we have to renew this every year.
4. Cash The cash amount in hand for the year 1 is Tk.433118.9632. Initially we are having this amount so that we can meet all the payable obligations which can come due anytime. Also our miscellaneous expense is changing on a regular basis, so it is safe to hold some money. On the other hand, we have to buy the other assets, whenever necessary, so for that reason this amount is required.
5. Tuition Receivables Generally, we are taking the salary in advance from the students. So, we are having a receivable for one month only, and later the receivable may change based on the new entrants number.
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6. Micro-bus We will have two micro-buses, each for Tk. 1800000. The carrying value of this asset in the balance sheet is given below:
Yearly Depreciation Expense(Tk) 3600000 3480000 3360000 3240000 3120000 3000000 120000 120000 120000 120000 120000 120000
Year Year 1 Year 2 Year 3 Year 4 Year 5 Year 6
Cost
Carrying amount(Tk) 3480000 3360000 3240000 3120000 3000000 2880000
7. Computer and Printer We have two computers and two printers, so their values and deprecation adjusted value is given below:
Computer Printer Year Year 1 Year 2 Year 3 Year 4 Year 5 Year Year 1 Year 2 Cost 49000 43200 37400 31600 25800 Cost 9000 5500 2 2 30000 60000 4500 9000 Yearly Depreciation Carrying Expense(Tk) amount(Tk) 5800 5800 5800 5800 5800 Yearly Depreciation Carrying Expense(Tk) amount(Tk) 3500 3500
43200 37400 31600 25800 20000
5500 2000
8. Air Conditioner We have two air conditioners for the main office which is in the ground floor. We are not having in air condition in the 1st floor due to cost effectiveness. Also, the students whom we are going to teach are not in need of that. The students would be happy enough to have fans, and proper service.
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Year Year 1 Year 2 Year 3 Year 4 Year 5
Cost 60000 52000 44000 36000 28000
Yearly Depreciation Carrying Expense(Tk) amount(Tk) 8000 8000 8000 8000 8000
52000 44000 36000 28000 20000
9. Deep Freeze Our company will have two freezers for the cooking materials. Their carrying value is given below:
Yearly Depreciation Carrying Expense(Tk) amount(Tk) 6000 6000 6000 6000 6000
Year Year 1 Year 2 Year 3 Year 4 Year 5
Cost 44000 38000 32000 26000 20000
38000 32000 26000 20000 14000
10. Advance Payment The advance payment would be tk. 1200000 and it is our asset, as after the expiration of the contract, we will get this amount of money. This amount is also a part of the investment as we have to give the money to the land-lords. But as we will eventually have the money in our hand, so it is our asset. 11. Other Assets There are some other assets which are needed for our training services. Some of them are listed below and these assets will change accordingly when the student number will increase. So, this assets growth depends on the students enrollment growth.
Others Stove Sink Exhaust Fan (Large) Saddle Cutting stool Facial Steamer Portable message bed Hair dryers Hair straighter No. of units Per Unit Cost Total Cost 2 5000 10000 2 8000 16000 2 1500 3000 4 2500 10000 2 4000 8000 6 5000 30000 2 1500 3000 2 2000 4000 64 | P a g e
Spa Vanity case and Basalt stone Scissors and spray bottles Chair(office) Chair Tables Fans Clock Telephones Lights
4 6 10 20 9 10 10 3 50
1300 100 700 250 4000 2500 100 500 250
5200 600 7000 5000 36000 25000 1000 1500 12500 177800
12.1 Utilities Payable We are assuming that the utility payable will be 5% of the total utility expense of that year. We are just approximating this figure.
Utility expenses Utilities payable (5% of total utility expenses) 540000 27000
12.2 Salaries Payable The salaries payable will also be 5% of the total salary expense.
Salaries Expenses Salaries Payable (5% of total salary expenses) 2628000 131400
13. Capital The initial investment is Tk. 6000000 for our company Sopno Training and Overseas Ltd. The five owners contributed Tk. 1200000 each to fulfill the business requirement. After adjusting with the net profit we have the capital for the end of 1st year.
Owner's capital statement Capital Add: Investment Net profit or loss Capital (at the end of 1st year) Tk. 6000000 -649781.0368 5350218.963 Year 2013 0
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11.5 Pro-forma statements

Income statement Revenue from Training Revenue from Admission fee Total Revenue Expenses Salaries expenses Rent expenses Advertising expense Utility expense Freight-out Depreciation expense Maintenance expense Miscellaneous expense Trade expense Total expenses Net income(loss) 2628000 672000 336000 540000 91200 143300 120000 401281.037 2000 4933781.04 -649781.04 2759400 672000 352800 567000 95760 143300 108000 445422 2000 5145682 -347602 2924964 672000 352800 595350 100548 147950 110160 3129711 672000 388080 637024.5 105575.4 150950 110160 3286197 672000 407484 668876 110854 150950 112363 653868 2000 6064592 1947242 Year 2013 4182000 102000 4284000 Year 2014 4683840 114240 4798080 Year 2015 5386416 131376 5517792 Year 2016 6463699 157651.2 6621350 Year 2017 7821076 190758 8011834
494418.37 568581.1 2000 5400190.4 2000 5764083
117601.63 857267.9
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Balance Sheet Asset Cash Tuition Receivables Total current asset Micro Bus Computer and Printer Air Condition Deep Freezer Advance payment Other asset Total Fixed asset Total Asset Liabilities and Shareholder's Equity Utilities payable Salaries payable Total Current liabilities Owners Capital Total Liabilities and Equity Owner's capital statement Capital Add: Investment Net profit or loss Capital (at the end of 1st year)
Year 2013 433119 79000 512119 3480000 48700 52000 38000 1200000 177800 4996500 5508619
Year 2014 200587 88480 289067 3360000 39400 44000 32000 1200000 204470 4879870 5168937
Year 2015 321941.85 101752 423693.85 3240000 97400 36000 64000 1200000 235140.5 4872540.5 5296234.3
Year 2016 1303459 122102.4 1425562 3120000 74500 28000 52000 1200000 270411.6 4744912 6170473
Year 2017 3350065 147743.9 3497808 3000000 64000 20000 42000 1200000 310973.3 4636973 8134782
27000 131400 158400 5350219 5508619 Year 2013 0
28350 137970 166320 5002617 5168937 Year 2014 5350219 -347602 5002617
29767.5 146248.2 176015.7 5120218.6 5296234.3 Year 2015 5002617 117601.63 5120218.6
31851.23 156485.6 188336.8 5982137 6170473 Year 2016 5124869 857267.9 5982137
33443.79 164309.9 197753 7937028 8134782 Year 2017 5989787 1947242 7937028
5350219
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Cash Flow Statement Net Profit After Tax Depreciation Increase in Tuition Receivable Increase in utilities payable Increase in salaries payable Cash flow from operating activities Purchase of asset Purchase of other asset Cash flow from Investment activities Investment by owners Distribution to owners Cash flow from Financing activities Net cash inflow/outflow
year 2013 -649781.037 143300 0 0 0 -506481.037 -4718700 -341700 -5060400 6000000 0 6000000 433118.9632
year 2014 -347602 143300 -9480 1350 6570 -205862 0 -26670 -26670 0 0 0 -232532
year 2015 117601.63 147950 -13272 1417.5 8278.2 261975.33 -109950 -30670.5 -140620.5 0 0 0 121354.83
year 2016 857267.9 150950 -20350.4 2083.725 10237.374 1000189.4 0 -18671.1 -18671.1 0 0 0 981518.28
year 2017 1947242 150950 -25641.5 1592.561 7824.279 2081967 0 -35361.74 -35361.74 0 0 0 2046605
11.6 Capital budgeting techniques for feasibility
Net Present Value

Financial feasibility can be determined by calculating Net Present Value. It is the difference between the present value of cash inflows and the present value of cash outflows. NPV is used in capital budgeting to analyze the profitability of an investment or project. NPV analysis is sensitive to the reliability of future cash inflows that an investment or project will yield. NPV compares the value of a dollar today to the value of that same dollar in the future, taking inflation and returns into account. If the NPV of a prospective project is positive, it should be accepted. However, if NPV is negative, the project should probably be rejected because cash flows will also be negative.
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Cash Inflow/ (Outflow) Year (Initial 0 Outlay) 201 3 201 4 201 5 201 6 201 7
Calculation of NPV Discount rate
PV (6000000) (450205.366 ) (162656.356 ) 183993.6506 624413.3036 1155343.711
year
(3-month T-bills rate) (506481.0368 0.125 (As of Dec 13, ) 2013) (205861.9508 ) 261975.3346 1000189.376 2081966.883
1 2 3 4 5
NPV
(4649111.057)
The Net Present Value comes out to be negative. In the first year, however, we would not generate very high revenue and so the value is quite unlikely to be positive. In usual case when the Net Present Value is negative you should not invest in that project. But we believe that the Net Present Values for the next years onwards are going to be positive because the business has huge potential. The internal rate of return (IRR) is a rate of return used in capital budgeting to measure and compare the profitability of investments. It is also called the discounted cash flow rate of return or the rate of return. In the context of savings and loans the IRR is also called the effective interest rate. The term internal refers to the fact that its calculation does not incorporate environmental factors.
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IRR Calculation
Cash Inflow/ (Outflow) Required Rate (10%) Year 0 2013 2014 2015 2016 2017 NPV @ 10% -4457864.77 Cash Inflow/ (Outflow) Required Rate (14%) Year 0 2013 2014 2015 2016 2017 NPV @ 14% With 4% the difference is So , IRR -4752359.047 -294494.2763 -1.35826E-05 =(10%+1.35%) =11.35% Discount rate PV -6000000 -444282 -158404 176825.9 592192.4 1081308 Discount rate PV -6000000 -460437 -170134 196825.9 683142.8 1292738
(3-month T-bills rate) -506481.0368 0.125 -205861.9508 261975.3346 1000189.376 2081966.883
(3-month T-bills rate) -506481.0368 0.125 -205861.9508 261975.3346 1000189.376 2081966.883
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Break- Even Analysis:

In the linear Cost-Volume-Profit Analysis model, the break-even point (in terms of Unit Sales (X)) can be directly computed in terms of Total Revenue (TR) and Total Costs (TC) as:
Where:

TFC is Total Fixed Costs, P is Unit Sale Price, and V is Unit Variable Cost
Assumptions:
Revenue per unit (P)= 17500 Variable cost per unit (V) =((262800+401281)/60)=12374.5 Total Fixed cost at (TFC)= 499650
Break-even units 95 units
From the above breakeven result, we can that our total cost & total revenue will be same if we are able to train 95 students. On the other, ww will be in a break even position if we are able to utilize our 77% capacity
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Payback Period
\Payback period refers to the time the company will take to give back to its owners the money that was initially invested in the business. For Shopno Training and Oversees limited the initial start-up cost was Tk.6000000 and the payback period for the company is depicted in the chart below: Year Net Income Payback 2013 2014 2015 2016 2017 (649781) (347602) 117602 857268 1947242 (649781) (997383) (879781) (22513) 1924728
From here, the pay-back period cannot be found, because our initial investment is huge. So, in order to have this, we have to forecast for some more years. Thats it only showing some amount of recovery, but the initial investment tk. 6000000 is yet to recover.
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11.7 Performance analysis

RETURN ON EQUITY (ROE)
30.00% 25.00% 20.00% 15.00% 10.00% 5.00% 0.00% -5.00% -10.00% -15.00% -12.14% 2013 2014 -6.95% 2015 2016 2017 2.30% 14.33% 24.53%
Ratios 2013 2014 2015 2016 2017
ROE -12.14% -6.95% 2.30% 14.33% 24.53%
Interpretation: The return on equity is the net income generated by the bank in relation to the total shareholders equity the company acquires. In year 1, the company has generated a net loss
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of $12.14 for every $100 in total equity. This means that the owners lose $12.14 out of $100 investment. From the time-series analysis, Shopno Training & Overseas Limited has improved its ROE significantly in the future years. The ROE is -6.95% in year 2, 2.30% in year 3, and 14.33% in year 4 and 24.53% in year 5 respectively. In the last three years it has positive ROE due to increase in net profit.
RETURN ON ASSET (ROA)
Return on Asset (ROA)

30.00% 25.00% 20.00% 15.00% 10.00% 5.00% 0.00% -5.00% -10.00% -15.00% 23.94%
2.22% 2013 -11.80% 2014 -6.72% 2015
13.89%
2016
2017
Ratios 2013 2014 2015 2016 2017
ROA -11.80% -6.72% 2.22% 13.89% 23.94%
Interpretation: ROA signals how much of the net income is being generated from the total assets. In year 1, the company has generated Net Loss of $11.80 out of every $100 in total assets. From the time series graph, the ROA has been increasing consistently over the years. In 2014 they also
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have a negative return on assets of -6.72%. But from 2015 we have managed to keep a positive net profit margin of 2.22%. This is good news for the companys bright future as this will lead to increasing Net Profits for the future years to come. To increase the ROA we should concentrate more on increasing the net profit by reducing expenses and increasing revenues in comparison to total assets.
NET PROFIT MARGIN
Net Profit Margin

30.00% 24.30% 20.00% 10.00% 2.13% 0.00% 2013 -10.00% -20.00% -15.17% 2014 -7.24% 2015 2016 2017 12.95%
Ratios 2013 2014 2015 2016 2017
NPM -15.17% -7.24% 2.13% 12.95% 24.30%
Interpretation: In year 1, our company has generated Net Loss of $15.17 out of every $100 in sales. From the time series graph, the Net Profit Margin has been increasing consistently over the years. In year 2 they also have a negative net profit margin of -7.24%. But from year 3 we have managed to keep a positive net profit margin of 2.13%. This is good news for the companys bright future as this will lead to increasing Net Profits for the future years to
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come. To increase the Net Profit Margin we should concentrate more on increasing the net profit by reducing expenses and increasing revenues.
CAPITAL RISK:
Equity capital/total asset

97.80% 97.60% 97.40% 97.20% 97.00% 96.80% 96.60% 96.40% 96.20% 97.57% 97.12% 96.78% 96.95%
96.68%
2013
2014
2015
2016
2017
Ratios 2013 2014 2015 2016 2017
NPM 97.12% 96.78% 96.68% 96.95% 97.57%
Interpretation:
Capital risk measures the portion of the owners equity to the total amount of asset of Shopno Training & Overseas Limited. For the first three years the capital risk has fallen as the equity capital gradually decreased when the total assets increased. After the three years from 2016 this risk has increased because of higher owners equity when compared with its total asset. Overall the scenario
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felt that Shopno Training & Overseas Limited have experienced a decrease and than increase capital risk structure as shown in the diagram.
DEGREE OF ASSET UTILIZATION:
Degree of Asset Utilization

120.00% 100.00% 80.00% 60.00% 40.00% 20.00% 0.00% 2013 2014 2015 2016 2017 77.77% 92.83% 104.18% 107.31% 98.49%
Ratios 2013 2014 2015 2016 2017
Asset Utilization 77.77% 92.83% 104.18% 107.31% 98.49%
Interpretation: This ratio has been rising and then gradually falling for our company as the total operating revenue have been falling or rising very slowly when compared with the total assets. The first four years starting from 2013 to 2016 and then fell to 98.49% on 2017. It increased from over 77 % in 2013 to over 107 % in 2016 as the figure above predicted.
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12.
Long term sustainability
From the long term aspect, the project needs a bit modification. There can be various scenarios which can hinder the growth of the firm. These scenarios are listed below: There can be no demand in the hospitality sector in Malaysia and Singapore There can be visa problems for the students who got jobs in these countries. The trainees who do not want to go to Malaysia and Singapore. The hospitality sector is not profitable enough and there are layoffs. To deal with these possible scenarios and at the same time grow as a firm we need to either go for extending the training programs offered or extending the list of countries human resource agencies with who we are affiliated with. However, the best option, according to us, is to do both at the same time. This means that we will increase the number of countries and number of affiliations and also we will increase the number of programs offered. This will ensure our opportunity to explore in the other markets and at the same time work as a defensive mechanism for tackling worst case scenarios. Therefore, for the long time sustainability we will:
Extending the Programs Offered
Extending the Countries
Extending the Programs Offered
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In the first year we are providing only training on becoming Beautification, Driving and Cooking. From the next year onwards we will also include the diploma course on becoming Chef. We can utilize the kitchen even more and train some trainees in becoming different kinds of chefs and this way we can increase the palate of diploma courses. Nursing Sector:
There is a huge market demand for nursing sector so in future we can capture this demand and can provide nurses to abroad. We can give them training on nursing to increase our profitability in this sector. Hotel Management: We can give training on hotel management to groom women to become successful hotel management. This is a very attracted sector in abroad where hotels required enough workers. EXTENDING THE LIST OF COUNTRIES HUMAN RESOURCE AGENCIES WITH WHO WE ARE AFFILIATED WITH Currently we are sending our trainees in Singapore and Malaysia. However, from long term sustainability we can include other countries. This may include Saudi Arabi, Thailand and as such. This is not only increase the potential of the acceptance of the students but also it will increase the confidence of the trainees on Shopno Training and Overseas Limited.
13.
Conclusion
This is the end of our business plan. We initially invested Tk. 60 lakhs for starting our institute. We are optimistic of our business therefore we are completely positive of our operations. Though our investment counts low in terms of monetary options but we are expecting profits from the third year. We have tried to demonstrate our utmost concern about trying to serve the economy by giving praiseworthy training to those poor women at an affordable cost so that no one is deprived of earning. We have even demonstrated our efforts to make our economy prosperous and skillful by providing vocational and technical skills to the candidates of our institute to make our female working population more feasible to use their knowledge for productive output.
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We plan to hire knowledgeable teachers and experts for our training side and our vocational and technical training section. Our trainers are competent and they are down to earth to act in the most humble manner to teach and give the students utmost attention from whichever class they come from. We are the five members of the board of directors and we also plan to check onto the administrative side of the institution. We will ensure clear and notable administrative measures so as to ensure a highly disciplined and good culture in the institute.
Our opportunities regarding our existence is that we plan to reduce women unemployment in the country due to lack of skills and training and this is the sole reason of why we wish to provide trainings to our vocational and technical section candidates in a very cost effective and efficient manner. We also wish to provide training to the women coming from the lower segment of our society so that they are not seen working on the risky and unsafe job. We wish to outgrow the capacity of our female from the sixth year so that we can afford to give quality training to most of the female approaching us. We plan to outgrow ourselves through expansion and this is only possible if we can procure funds from the donators. Our purpose of serving the economy by prospering the mind of our next female generation and our countrys labor force will definitely come to limelight and we will be able to procure funds for our operations successfully. There are certain risks that prevail in our operations. We plan to hire competent trainers and expertise for the training we wish to provide but we are not initially in a position to give high salary to our employees and staff. Therefore not all of them will be willing to come and work for us for serving the economy. They will not be in a position to align their interests with our overall strategic goals and mission. Also employees at time can leave their jobs for better opportunities as we cannot afford to have an employee job contract with providing them such a less salary. Also a change in government policy can hamper the overall operations of our organization. Keeping all these in mind we hope to do better in this sector and we are optimistic of our future.
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SHOPNO TRAINING & OVERSEAS LIMITED

VOCATIONAL TRAINING INSTITUTE AND MANPOWER AGENCY

Date: 31/ 07/ 2012

2. PROFILE OF THE TEAM

Shopno Training & Overseas Limited

Accountability: We accept personal and professional responsibility for our actions

4.2 VISION STATEMENT

4.3 SERVICES OFFERED

Technical Skill courses [Cooking+ Beautification]

->Grooming ->English) ->Health & Hygiene

Cooking Beautification Driving

Table 1: Training Program

Driving Beautification Cooking

4.4 STRATEGIC GOALS AND OBJECTIVES

4.5 OVERALL STRATEGY

5. INDUSTRY OVERVIEW AND ANALYSIS

Bargaining Power of Customers

Competitive Rivalry within industry

Threat of New Entrants

Bargaining Power of Suppliers

Threat of Substitute Products

Figure 2: Five forces

5.2 Pest Analysis of Malaysia & Singapore

Indicating Favorable condition

Indicating unfavorable condition

Figure 4- PEST in a glance of Malaysia & Singapor

5.3 INDUSTRY LIFE-CYCLE

5.4 STRATEGIC GROUP ANALYSIS

5.5 SUMMARY SWOT

Industry Life Cycle

The net migration is negative in Malaysia.

Teaching and Training

INPUT (Students) Financing Administration Human Resource

Figure 6: Value Chain Primary Activities Teaching & Training:

6.2 EXISTING CORE COMPETENCIES AND

Strategy Building Block

Figure 7- Core competenc

6.3 SUMMARY SWOT

Vocational institute create better job opportunity

(b) No: 7 response

Going abroad for working

Figure 9- Response- Survey Q2

Paying extra for foreign job

Extra money for added course

Figure 11- Response- Survey Q4

Figure 12- Response- Survey Q5

Figure 13- Response- Survey Q6

7.2 SIZE AND GROWTH OF THE MARKET

7.3 MARKETING PLAN

Figure 14- Advertisement schedule Marketing MIX:

Training and Teaching

Shopno overseas limited

PRICE Ranges from Tk6000- Tk 8000

Figure 15- Marketing Mix

MONDAY WEDNESDAY FRIDAY SATURDAY

Cooking Class Cooking Class Cooking Class Cooking Class

Table 3- Training Schedule

8.3 PRODUCT/ SERVICE OVERVIEW

Input (Unskilled Manpower)

Final Practical Training Test

Re Training who have Failed to Meet Criteria

Theoretical Knowledge about Traffic Law & Vehicle Policy

Start of Practical Training