1 III.

PRODUCTION AND TECHNICAL STUDY

2 For an effective and efficient provision of its products to the market, Zeolaub outlines

3 the flow and processes in its production. This section details the preparation of the product

4 the firm offers, the necessary materials for production, the equipment used, the source of

5 materials, the design and structure of the production site and waste disposal procedures.

6 A. Production Process

7 This section lays out the diagram of the zeolite production process and the

8 corresponding raw materials used per stage. This apart also outlines the chronology of the

9 different procedures to be undergone, including their individual duration and handling

10 instructions.

11 Diagram 3.1. Shows the processes of the bamboo ash preparation its

12 succeeding synthesis into zeolites.

13
14 The production of zeolites from bamboo leaves if divided into two main

15 parts: the first group of processes constitutes the preparation of the bamboo ash;

16 the second set of processes is the actual synthesis of the ash to form the zeolites.

17

18

19 A.1. Bamboo Ash Preparation

20 A.1.1. Collection of bamboo leaves.

21 The bamboo leaves used by the firm will primarily come from

22 Maasin, Iloilo, which is considered to be the bamboo capital of

23 Western Visayas. The leaves would be collected in bulk and

24 transported to the production site.

25 A.1.2. Washing and cutting.

26 The leaves are then washed with water to remove dust and

27 other unwanted particles from the leaves. Thus will then be cut into

28 smaller pieces, ideally around three (3) cm in length.

29 A.1.3. Drying and burning.

30 The leaves are dried then burnt by a pyrolyzer.

31 A.1.4. Cooling.

32 The burnt leaves are then cooled for about 24 hours.

33 A.1.5. Acid treatment.

34 These are then reacted with a preliminary acid treatment

35 using 1M HCl (Hydrochloric Acid) under agitation for five (5) hours
36 at room temperature. The pretreated leaves are then to be filtered,

37 washed with distilled water.

38 A.1.6. Drying (Post Treatment).

39 The treated leaves are then brought to oven for drying for

40 about 2-3 hours until it reaches a constant weight at certain level of

41 temperature.

42 A.1.7. Burning (Post Treatment).

43 The dried treated leaves are to be subjected in a furnace at

44 550-600 °C for 5-6 hours. Pure white ash will be recovered after

45 combustion.

46

47 A.2. Synthesis of Bamboo Ash into Zeolites

48 A.2.1. Preparation of silicate solution.

49 The prepared bamboo leaf ash (around 50 g) is to be mixed

50 with 3M NaOH (Sodium Hydroxide) in a separate container. The

51 mixture is then magnetically stirred at 100 °C for 45 min. After which

52 it is labeled as the “silicate solution”

53 A.2.2. Preparation of aluminate solution.

54 The aluminate solution was prepared by adding Al(OH)3 in

55 the NaOH and stirred magnetically for 30 minutes. The prepared

56 aluminate solution is then to be added slowly to the silicate whilst

57 stirring. Stirring will be done for an hour.

58
59 A.2.3. Charging to oven.

60 The hydrogel produced will be stirred for another 10 min

61 before it being charged to an oven at temperature 105 °C for drying

62 for 2-3 hours. The resulting solid product is filtered and dried at 90

63 °C for 8 hours.

64

65 A.2.4. Identification of inorganic compounds.

66 The product is then to be stored in a container before it

67 being analyzed for identification of presence of organic compounds,

68 polymers and inorganic materials.

69

70 B. Supply Chain Analysis

71 According to William Stevenson in his book Introduction to Operations

72 Management, supply chain is the sequence of organizations – their facilities,

73 functions, and activities – that are involved in producing and delivering a product

74 or service (Stevenson, 2012). This sequence shows how products evolve from raw

75 materials to a finished product ready to be used by the customers or to be a raw

76 material of another product. Thus, it can also be referred to as Value-Added Chain

77 since raw materials get added meaning and significance as it passes through

78 different stages and processes.

79 For the production of Zeolaub’s zeolite, certain efficient stages and

80 processes must be undergone to ensure the quality of product.

81
 82

83

Raw Material Product Product Product

84 Gathering Manufacturing Packaging Distribution

85

86

87
Figure 3. Zeolaub’s supply chain

88 1. Raw Material Gathering

89 Zeolaub acquires its raw materials from local providers here in Iloilo.

90 Production of zeolite needs the following fundamental raw materials: Bamboo

91 leaves, Hydrochloric acid (HCL), Sodium Hydroxide (NAoH), and Aluminium

92 hydroxide (Al(OH)3. Bamboo leaves will be initially obtained from at Maasin,

93 Iloilo until the company can set up its own bamboo plantation. The chemicals

94 needed will be purchased at a local one-stop laboratory and medical shop at

95 Jayme St., Jaro, Iloilo City. Quantity of ordered raw materials will depend on

96 the demand of the product.

97 2. Product Manufacturing

98 Once raw materials are secured, product is now ready to be

99 manufactured at the company’s own laboratory. Process will include bamboo

100 leaf ash preparation and synthesis of bamboo ash into zeolite. Our chemical

101 engineer partners will facilitate the efficient production of zeolite using their

102 knowledge and expertise on the field.

103 3. Product Packaging

104 Produced zeolite will then be packaged in double-layered sacks made

105 to secure the transportation of the product. This double layer is composed of

106 biodegradable plastic container on the inside and then a flour-cloth sack on the

107 outside. Zeolites will be separately packed in 20kgs per sack content.

108

109 4. Product Distribution

110 Well-packaged zeolite will then be distributed to its customers through an

111 outsourced trucking service provider. Based on the primary target market, zeolite

112 will most likely be shipped to some parts of Negros Province. Thus, the trucks will

113 need to cross the sea using Roll-on Roll-off ships traveling from Iloilo to Bacolod

114 to be able to reach the company’s customers. After crossing the sea, trucks can

115 now easily forward the zeolite to any point of Negros where our customers are.

116

117 C. Projected Plant Capacity and Growth

118 a. Raw Material Requirement

119 D. Raw Material Requirement

120  Raw Materials

121 a. Bamboo Leaf Ash Preparation

122 i. Bamboo Leaves

123 Bamboo is a typical plant native Asia. This plant has the shape

124 of a tall tree structure with many thorns on the branches and

125 rods. Bamboo has buds that serves to breed themselves. Almost

126 all parts of the bamboo tree can be used. Part of bamboo leaf tree

127 can be used for materials home, home furnishings, handicrafts,

128 and various types of art.

129 Bamboo can be grown in most climates. It can be grown,

130 both as an ornamental plant as well as a food source. It is also

131 the biggest type of grass. In good conditions, a bamboo plant

132 can grow up to 2 inches per day. There are hundreds of different

133 types of bamboo. Most originate in tropical regions of earth but

134 there are a few types that can survive through a light frost. This

135 kind of plant requires very little care in order to survive. Different

136 uses of bamboo are construction, paper, furniture, medicine, and

137 avoidance of erosion and deforestation. (Mikenzie Lewis, 2004.

138 Bellarmine University)

139

140 ii. Distilled Water

141 Distilled water is any water that has been filtered utilizing

142 distillation. There are numerous kinds of distillation, yet all of them

143 rely upon isolating parts of a mixture from the different boiling

144 points.
145 More or less, water is heated to its boiling point. The water is

146 purified by boiling the water and gathering the steam. Chemicals

147 found in the water that boils at low temperature are gathered and

148 disposed of. Likewise, any substances that remain after the water

149 has evaporated, they are also disposed of. The water that is

150 collected in this way has is much cleaner than the first liquid. The

151 distillation process expels most polluting contaminants, so it is a

152 reasonable method for water treatment.

153 iii. Hydrochloric Acid (HCl)

154 Hydrochloric acid or muriatic acid is a

155 colorless inorganic chemical system with the formula H2O:HCl.

156 Hydrochloric acid has a distinctive pungent smell. It is classified

157 as strongly acidic and can attack the skin over a wide

158 composition range, since the hydrogen chloride completely

159 dissociates in aqueous solution.

160 Hydrochloric acid is the simplest chlorine-based acid system

161 containing water. It is a solution of hydrogen chloride and water,

162 and a variety of other chemical species, including hydronium and

163 chloride ions. It is an important chemical reagent and industrial

164 chemical, used in the production of polyvinyl chloride for plastic.

165 In households, diluted hydrochloric acid is often used as

166 a descaling agent. In the food industry, hydrochloric acid is used

167 as a food additive and in the production of gelatin. Hydrochloric

168 acid is also used in leather processing.

169

170 b.) Preparation of 3M Sodium Hydroxide (NaOH) Solution

171 iv. Sodium Hydroxide (NaOH)

172 Sodium hydroxide, also known as lye and caustic soda, is

173 an inorganic compound with the formula NaOH. It is a white

174 solid ionic compound consisting of sodium cations Na+

175 and hydroxide anions OH.

176 Sodium hydroxide is a highly caustic base and alkali that

177 decomposes proteins at ordinary ambient temperatures and may

178 cause severe chemical burns. It is highly soluble in water, and

179 readily absorbs moisture and carbon dioxide from the air. It forms

180 a series of hydrates NaOH·nH2O. The monohydrate

181 NaOH·H2O crystallizes from water solutions between 12.3 and

182 61.8 °C. The commercially available “sodium hydroxide" is often

183 this monohydrate, and published data may refer to it instead of

184 the anhydrous compound.

185 Sodium hydroxide is used in many industries: in the manufacture

186 of pulp and paper, textiles, drinking

187 water, soaps and detergents, and as a drain cleaner.

188
189 c.) Zeolite Synthesis

190 v. Bamboo Leaf Ash

191 Bamboo Leaf Ash contains a pozzolanic material that is the main

192 component that will produce the cementitious component when

193 reacts with the ordinary Portland cement. It is the product of

194 burning the bamboo leaves in procedure (a).

195 vi. Sodium Hydroxide

196 Sodium hydroxide is also known as lye or soda, or caustic soda.

197 At room temperature, sodium hydroxide is a white crystalline

198 odorless solid that absorbs moisture from the air. It is a synthetically

199 manufactured substance. When dissolved in water or neutralized

200 with acid it releases substantial amounts of heat, which may prove

201 sufficient to ignite combustible materials. Sodium hydroxide is

202 highly corrosive.

203 Sodium hydroxide is generally used as a solid or a diluted in a 50%

204 solution. This chemical is used to manufacture soaps, rayon,

205 paper, explosives, dyestuffs, and petroleum products.

206 It is also used in processing cotton fabric, laundering and

207 bleaching, metal cleaning and processing, oxide coating,

208 electroplating, and electrolytic extracting. It is commonly found in

209 commercial drain/ oven cleaners. According to the FDA, sodium

210 hydroxide is considered a direct food recognized as safe, where it

211 serves as a pH control agent and follows good manufacturing

212 guidelines.

213 Interestingly, sodium hydroxide has been studied for its use in the

214 treatment of prion disease (as occurs in mad cow disease and

215 kuru). The use of this compound has been shown to effectively

216 reduce prion levels in an in vitro inactivation assay. (Drug Bank

217 Canada)

218

219 vii. Aluminum Hydroxide

220 Aluminum hydroxide is an inorganic salt used as an antacid. It is a

221 basic compound that acts by neutralizing hydrochloric acid in gastric

222 secretions. Subsequent increases in pH may inhibit the action of

223 pepsin. An increase in bicarbonate ions and prostaglandins may also

224 confer cytoprotective effects. (Drug Bank Canada, n.d.)

225 d.) Ethanol/Water Separation by Adsorption

226 viii. Ethanol

227 Ethanol (also called ethyl alcohol, grain alcohol, drinking

228 alcohol, or simply alcohol) is a chemical compound, a

229 simple alcohol with the chemical formula C2H6O. Its formula
230 can be also written as CH3−CH2−OH or C2H5−OH (an ethyl

231 group linked to a hydroxyl group), and is

232 often abbreviated as EtOH. Ethanol is a volatile, flammable,

233 colorless liquid with a slight characteristic odor. It is

234 a psychoactive substance and is the principal type of alcohol

235 found in alcoholic drinks.

236 Ethanol is naturally produced by

237 the fermentation of sugars by yeasts or

238 via petrochemical processes, and is most commonly consumed

239 as a popular recreational drug. It also has medical applications

240 as an antiseptic and disinfectant. The compound is widely used

241 as a chemical solvent, either for scientific chemical testing or

242 in synthesis of other organic compounds, and is a vital

243 substance used across many different kinds of manufacturing

244 industries. Ethanol is also used as a clean-burning fuel source.

245 (USA: National Center for Biotechnology Information.)

246

247  Equipment

248 o Weighing Scale

249 Weighing scales are used to measure weight of objects.

250 Industrial scales are typically designed to achieve the highest

251 accuracy possible. They are also designed for use in industrial

252 environments, which are usually harsher than your average deli
253 counter or candy store. A regulated commercial scale would

254 probably corrode if it were exposed to the kind of working conditions

255 present in an average workshop. (Circuit & Systems Inc. Arlyn

256 Scales)

257 Image courtesy of Google.

258

259

260 o Washing Equipment

261 It is used to clean and wash the materials that are needed to

262 be used in the process. Its purpose is to wash the materials on a

263 larger scale than cleaning them manually.

264
265
Image courtesy of Google.
266 o Cutting Machine

267 It is a cutting tool or cutter is any tool that is used to remove

268 material from the work piece by means of shear deformation. Cutting

269 may be accomplished by single-point or multipoint tools.

270 Cutting tool materials must be harder than the material which

271 is to be cut, and the tool must be able to withstand the heat generated

272 in the metal-cutting process. Also, the tool must have a specific

273 geometry, with clearance angles designed so that the cutting edge

274 can contact the workpiece without the rest of the tool dragging on the

275 workpiece surface. The angle of the cutting face is also important, as

276 is the flute width, number of flutes or teeth, and margin size. In order

277 to have a long working life, all of the above must be optimized, plus

278 the speeds and feeds at which the tool is run. (Stephenson, David

279 A.; Agapiou, John S., 1997).

280
Image courtesy of Google.
281

282 o Pyrolyzer

283 A pyrolyzer (or pyrolyser) is the name for a component, which

284 is installed inside a number of our detection units. A better name for

285 a pyrolyzer is decomposer unit. The decomposer unit contains a

286 decomposer filament, which heats up to a certain temperature

287 (depending on the target gas). When in contact with the filament a

288 gas converts (decomposes) to another gas or to different other

289 gases. The general purpose of the decomposer unit is to convert

290 electrochemically inactive gases to gases, which can easily be

291 detected. Some examples of gases, which are detected with a

292 detector containing a pyrolyzer: SF6, NF3, N2O, Freon®,

293 Acrylonitrile. (New Cosmos-Bie B. V., 2019)

294
Image courtesy of Google.
295 o Oven

296 An industrial oven is a heated chamber that is used for a range

297 of different heat treatment processes. They operate at extremely

298 high temperatures and can be used for both small or large volume

299 applications. The most common heat sources for an industrial oven

300 are hot water, gas, and electricity, and these heat sources are often

301 introduced into the oven via forced convection.

302

303

Image courtesy of Google.

304
305 o Furnace

306 It is a container that is heated to a very high temperature, so

307 that substances that are put inside it will burn. (Cambridge Advanced

308 Learner's Dictionary & Thesaurus © Cambridge University Press). It

309 is where the bamboo leaves are burned into bamboo leaf ashes.

310

311 Image courtesy of Google.

312 o Mixer

313 It involves the conversion of heterogeneous components into

314 homogeneous components. In this mixer, the bamboo leaf ashes are

315 mixed with different chemicals to produce zeolite.

316
Image courtesy of Google.
317 o Steel Containers

318 The containers to be utilized are made up of stainless

319 materials that are securely sealed and are recyclable after use. The

320 zeolites are then packed inside these containers and shall remain in

321 them for storage and later on transportation.

Image courtesy of Google.

322

323
324

325 o Barrel

326 Image courtesy of Google.

327 Barrels are generally used for the transportation and storage

328 of liquids and powders, it often called as ‘drums’. Drums are often

329 certified for shipment of dangerous goods. Shipped goods must be

330 matched with the make of drum necessary to comply with applicable

331 regulations. (Shagena, Jack L. 2006). It is where the unfinished

332 products are stored.

333 o Fork Lift

334 A forklift is a powered industrial truck used to lift and move

335 materials over short distances. Forklift is used to carry heavy

336 materials from a place to another.

337
 Image courtesy of Google.
338

339 o Push Cart

340 It is used to move heavy materials but on a smaller scale than

341 the ‘forklift’.

342

343
Image courtesy of Google.

344

345

346
347 o Conveyor Belt

348 A conveyor belt or a conveyor is a continuously-moving strip

349 of rubber or metal which is used in factories for moving objects along

350 so that they can be dealt with as quickly as possible. (Collins, 2019)

351 The conveyor belt is used to move the materials quickly from one

352 machine to another.

353

Image courtesy of Google.

354

355

356 b. Labor and Skills Requirement

357 Skilled labor is a segment of the workforce with specialized know-

358 how, training and experience to carry out more-complex physical or

359 mental tasks than routine job functions. Skilled labor is generally

360 characterized by higher education, expertise levels attained through

361 training and experience, and higher wages.

362 Skilled labor refers to labor that requires workers who have

363 specialized training or a learned skill-set to perform the work. These

364 workers can be either blue-collar or white-collar workers, with varied

365 levels of training or education.

366  Weighing Scale Operator

367 The personnel assigned to weigh the bamboo leaves must be

368 knowledgeable in manning the weighing scale and must have

369 a keen sense in measurement to ascertain the quantity before

370 transferring the leaves onto the next station.

371  Washing Area Operator

372 The designated washer should be able to handle the bamboo

373 leaves to avoid wastage as much as possible. The washing

374 personnel must also employ care in the washing of the leaves

375 and only use distilled water so as to preserve the necessary

376 components of the leaves.

377  Cutting Machine Operator

378 The operator for the cutter should have basic knowledge of

379 running the machine and all its controls so that the desired

380 sizes for the leaves would be achieved. This person must also

381 be informed of the safety precautions in handling the

382 machines since it involves sharp parts.

383

384
385  Pyrolyzer / Incinerator Operator

386 In operating the pyrolyzer, the assigned person must have

387 precautionary knowledge in handling the machine since it

388 involves high levels of heat. The pyrolyzer and incinerator

389 operators should receive trainings in the mechanism of the

390 equipment used including how to run it and how to engage its

391 failsafes in case of emergency.

392  Oven Operator

393 Like the pyrolyzer and incinerator operator, the personnel

394 designated for the subjection of the burnt bamboo leaves into

395 the oven should have esoteric knowledge of setting the

396 desired temperature so as not to compromise the quality of

397 the silica.

398  Furnace Operator

399 The furnace operator requires the same level of skills as with

400 the oven, pyrolyzer, and incinerator operator. The furnace

401 operator should additionally be well-versed in the settings of

402 the machine to achieve the desired temperature for converting

403 the previously bamboo leaves into white ash in a specific

404 period of time.

405
406  Mixer

407 The mixing process involves various potentially harmful

408 chemicals therefore the personnel assigned on this specific

409 task must have precautionary chemical handling training.

410 Most of the chemicals are also reactive, requiring meticulous

411 attention. Knowledge about the characteristics of the

412 chemicals and their effects is a necessary required skill.

413  Quality Control Personnel

414 After all the process, the personnel assigned for quality

415 control be informed of regulatory and customer standards that

416 are needed to be met. This person must also know the

417 scientific composition of the zeolites and its storage conditions

418 to ensure its effectivity.

419  Packaging Personnel

420 The packaging personnel, also tasked with a highly technical

421 job, must also be informed of the proper zeolite handling

422 procedures to deliver the promised effectivity of the zeolites

423 to the consumers.

424  Stockroom Personnel

425 Bamboo Leaf derived Zeolite does not have an expiration date

426 but requires a proper storage. The stockroom personnel

427 would oversee the correct storing of the products in order to

428 ensure and maintain its quality.

429
Table 11. Summary of labor and skills requirement of employees

LABOR REQUIRED SKILLS REQUIRED MINIMU

NO. OF

EMPLOYE

 Ability to identify

accurate weights.

WEIGHING SCALE  Ability to use the 2

OPERATOR weighing scale.

 Ability to operate the

washing equipment.

WASHING AREA 1

OPERATOR

 Knows how to use the

cutting machine.

CUTTING MACHINE  Ability to identify the 1

OPERATOR whether the leaves are

properly cut or not.

  Has knowledge to

operate the pyrolyzer

PYROLYZER OPERATOR and also knows how to 2

troubleshoot the

machine.

 Knowledgeable on

operating the oven.

OVEN OPERATOR (Turning on and off and 1

adjusting the

temperature of the oven)

 Has the ability to use and

fix the furnace.

FURNACE OPERATOR 1

 Ability to accurately

measure chemicals.

MIXER  Knows how to identify 1

the proper consistency of

the materials being

mixed.

 Knows the standard

quality of the product.

2
QUALITY CONTROL  Being able to identify

PERSONNEL which products are to be

rejected or accepted.

 Has the ability to know

and identify the possible

defects the product

might face.

 Knowledgeable about

the standard weight that

needs to be packed

PACKAGING inside of a sack. 2

PERSONNEL  Able to identify the

proper packing of the

product.

 Ability to ensure whether

the product is packed

securely or not.

 Knows how to maintain

the proper temperature

of the storage area in

STOCKROOM order to maintain the 1

PERSONNEL shelf life of Zeolite.

  Ability to identify whether

the products are still in

good quality or has

become defective.

430

431 c. Plant Design and Layout

432  Plant Layout

433 The figure below portrays the proposed plant building facility

434 layout for the overall production of zeolite. The design is structured

435 to simplify the production process starting from the material reception

436 stage until the storage of the completed and package product. Figure

437 4 shows the proposed layout for Zeolaub’s plant.

Figure 4. Proposed Layout of the Plant Building Facility

438
439 Figure 5. Emergency and safety blueprint of the plant. Red triangles indicate
fire extinguishers; the green arrows indicate the exit flow; and green circles
440 indicate fire exits.

441 The proposed plant building layout is comprised by the following

442 areas: preparation area, burning area, cooling area, chemical mixing area,

443 washing area, heating area, chemical mixing area II, laboratory, packaging

444 area, storage area, and barrel washing area. A blueprint of the emergency

445 exit plan is also provided, which outlines the route and identifies the exit

446 points in case of emergency. Fire extinguishers (indicated by the red

447 triangles), are placed strategically around the plant, especially on the areas

448 involving heat and the storage area.

449 The administrative building will be separately placed from the plant

450 building. It is located just on the adjacent location of the plant building.
451 Figure 6 shows the proposed layout for Zeolaub’s administrative building.

452 Figure 7 on the other hand shows the 3D layout for the same building.

Figure 6. Proposed layout of the Administrative Building

453
 Figure 7. Proposed 3D layout of the Administrative Building
454

455  Structure

456 This section discusses the functions of each area of

457 Zeolaub’s plant building. The data is presented in Table 3.2.

458
Table 12. Functions per area

Area Function

Preparation Area The preparation area will be

used for preparing the bamboo

leaves before burning it in the

pyrolyzer/incinerator. It
 includes the weighing area,

washing area, and chopping

machine.

Burning Area The burning area will be placed

next to the chopping machine.

After the bamboo leaves were

properly cut, it will now be

burned in a

pyrolyzer/incinerator.

Cooling Area The burnt leaves are then

cooled in the cooling area

which is a fully air-conditioned

room.

Chemical Mixing Area The chemical mixing area will

be used for the preliminary

acid treatment of the burnt

leaves. A mixing machine will

be used in this process.

Washing Area The washing area is where the

pretreated leaves is to be

filtered using cheesecloth and

 washed with running distilled

water.

Heating Area The heating area will consist of

two (2) oven which will all be

used for the drying the product

and a furnace to turn the

product into ash.

Chemical Mixing Area II A second round of chemical

mixing will be performed in the

chemical mixing area II where

the aluminate solution and the

silicate solution are to be

mixed. A mixer will be used in

this process.

Laboratory The laboratory will be placed

inside the plant for the quality

assurance of the zeolite. This

area will also be used for

chemical preparations and

Research & Development.

Packaging Area After the quality assurance of

the zeolite, it will now be

packed in the packaging area.

The zeolite will first be put in

the sack using the packaging

machine and then be sealed in

the sealing machine. The

sacks will be stacked in the

tray which will be carried by the

forklift from the packaging area

to the storage area.

Storage Area The storage area will consist of

two (2) storage rooms, the

finished product (zeolite)

storage room, and the raw

materials storage area, where

the bamboo leaves will be

stored.

Barrel Washing Area The used barrels throughout

the production process will be

washed in the barrel washing

area. This area will be placed

in the middle of the plant

 facility so that all the barrels

can easily be washed from the

different areas of production.

459

460  Process Selection and Facility Layout

461 A. Process Type

462 Zeolaub will practice the concept of batch production. The

463 company will set a target amount of zeolite to be manufactured based

464 on the forecasted number of orders. The finished product will be stored

465 in the storage room of the production plant. The aforementioned

466 production process will ensure that the estimated demand will be met.

467 This will also not affect the quality of the product since zeolite can be

468 used even if it has been stored for a long time. One advantage of using

469 batch production at an annual rate will enable the company to minimize

470 salary expenses to manufacturing employees.

471 B. Facility Layout

472 A facility layout needs to be structured to compliment the

473 production process and not hinder the flow of production. The facility

474 layout of Zeolaub is designed to promote a uni-directional flow to

475 efficiently utilize the space and maximize the dedicated production

476 period of the company. Zeolaub uses product layout as the dedicated

477 facility layout to compliment the production technique. Product layout is

478 where the work stations and equipment are located along the line of

479 production and work units are moved along a line.

480 Figure 8 shows the proposed production line for Zeolaub.

1 2 3

8 7 6

481 Figure 8. Proposed production line of Zeolaub

482

483 d. Waste Disposal

484  Waste Management

485 As the company will initially be focusing in one item in its product

486 line, which is the Bamboo leaf-derived zeolite for bioethanol plants, this

487 waste management plan will give more emphasis to the disposal of

488 waste that will be brought about by the zeolite’s production. The

489 following sections discuss strategies that the company will implement as

490 it begins the production as well as an overview of the waste

491 management plan in its future years.

492  Waste Water Treatment Facility for the Bamboo leaf-derived

493 zeolite

494 The bamboo leaf-derived zeolite requires several raw materials

495 for its production including bamboo leaves and various chemicals that

496 will be used throughout the process. The primary waste that will be

497 produced is the waste water made after washing the pretreated leaves.

498 This waste water includes various chemicals such as hydrochloride

499 (HCl), which might be harmful for humans and the environment. By this,

500 a waste water treatment facility will be placed near the production plant

501 to treat the waste water. After treating the waste water, the treated water

502 can then safely be disposed to the environment or it can be used for

503 cleaning the comfort rooms, equipment, and other maintenance uses.

504

505  Waste Management for Future Products

506 As Zeolaub will be producing new inventions and innovations, as

507 part of its product line in the future, a specific waste management

508 disposal plans for every product is needed and each one would be

509 dependent on the raw materials that will be used. Each waste

510 management disposal plan will thoroughly be researched while taking

511 into consideration the rules and regulations imposed by the government

512 which it concerns (if any), and will be formulated alongside the owner of

513 such intellectual property.

514 E. Proposed Operations

515 a. Working Conditions

516 Working conditions are important consideration on the operations of

517 a business enterprise. It refers to the working environment and all other

518 factors, such as job hours, physical aspects, legal rights and

519 responsibilities, that affect the productivity of employees and the quality of

520 work done (USLegal, n.d.)

521 Zeolaub will have its production operations continuously until the

522 target production quantity is reached, although the employees would only

523 have to report for 8 hours daily as a standard. A day will be allotted for rest

524 day of employees and maintenance of the facility and the equipment used.

525 In order to perform this tasks efficiently and effectively, shifting of

526 employees will be necessary. Workers will be provided with an area where

527 they could rest during their free time. This is to avoid fatigue due to

528 overwork.

529 On the other hand, the administrative office will have its normal

530 working period of 8 hours a day, from 8:00 AM – 12:00 NN and 1:00 PM –

531 5:00 PM; and five times a week, with Saturdays considered as overtime.

532 The administrative office will handle, process and maintain all the

533 paperwork including human resources files, inventory and sales records

534 receipts, and other financial data. The business’ website shall contain

535 contact details of the company to cater the requests and inquiries of the

536 customers.
537 In order to make an efficient and safe working environment, several

538 conditions must be considered. Due to the presence of chemicals and

539 equipment, the facility should be kept cool and dry to avoid contaminations,

540 unwanted chemical reactions, and damage to the equipment. Constant

541 cleaning and maintenance of the facility are also needed to ensure the

542 safety of the products and the employees. It is also important to control the

543 temperature of every parts of the facility to maintain the quality of the

544 products and avoid work-related injuries. Safety tools, such as smoke

545 detectors, heat detectors, etc., are also needed to secure the overall safety

546 of the facility.

547 To avoid work-related accidents, employees are required to wear

548 Personal Protective Equipment (PPE) such as face mask, gloves for

549 different purposes, hair net, safety vest, safety shoes, helmet, safety

550 googles, and earplugs, depending on the minimum required PPE when

551 entering certain areas of the facility. For workers who are in-charge of

552 operating equipment with high temperature, such as pyrolyzer and ovens,

553 they are required to wear heat-proof overall suit to avoid injuries or burns.

554 There will also be pedestrian lanes inside and outside of the facility where

555 workers and other employees could pass safely. Safety permits are also

556 required before entering some areas or performing certain tasks.

557 b. Production

558 The production of bamboo leaf-derived zeolites will start at the

559 scheduled date specified for the yearly plan of the business. There will be no
560 fixed days on the period of production because it will operate continuously

561 until the specified target quantity is reached. Production is continued even on

562 official and special holidays, and work during such days will be compensated

563 with a 30% additional pay. A supervisor and assistant will be in-charge of

564 overseeing the operations and reporting to the administrative heads. They

565 will be in-charge of securing enough raw materials for production period and

566 determining the timing for new orders.

567 The bamboo leaves ordered will picked-up from the suppliers and be

568 brought to the production facility. These bamboo leaves, along with the other

569 raw materials, will be measured and prepared before each batch production

570 starts. After verifying the completeness of the raw materials and securing the

571 condition of the equipment to be used, the production process of the bamboo

572 leaf-derived zeolite shall take place. The finished product, after quality

573 inspection, will then be subject to packaging. Zeolaub also ensures that they

574 have safety stocks in order to address high product demand.

575 c. Quality Control

576 Quality will be strictly observed all throughout the business

577 operations of Zeolaub. A Quality Control (QC) team will be formed in order to

578 implement quality control measures and provide solutions to resolve

579 emerging problems.

580 Prior to the start of production, each of the raw materials are checked

581 whether they meet the quality standards and qualifications set by the
582 company. The QC team shall also ensure the right amount of raw materials

583 to guarantee efficiency during the production process. Once the raw materials

584 passed the quality inspection and quantity determination, it will be then

585 carried on to the production process.

586 After each batch production, a sample will be tested to ensure that

587 each batch being produced are all of the same quality. Right after every

588 production period, where targets are met, the equipment will be subject to

589 maintenance and quality inspection to know if repairs is needed. The

590 production of another batch will start a day after the equipment are secured

591 to be in good condition.

592 d. Inventory

593 Managing inventories of Zeolaub is important given that it produces

594 huge quantities of bamboo leaf-derived zeolites. The company will have an

595 inventory facility that will be spacious enough to cater the resulting finished

596 product. The inventory facility will be divided into the raw materials section

597 and the finished product section. Both this sections should be a cool dry place

598 and secure away from fire, water, and other contaminants.

599 The ordering of raw materials will be done by the operations

600 manager, with his/her team. Economic order quantity (EOQ) and lead time

601 shall be applied to monitor and determine how much to order and when to

602 order the raw materials, and in turn, minimize the holding and ordering costs
603 of its inventories. Determining the EOQ is done by identifying the setup costs,

604 demand rate, and holding cost of the raw material, and using the formula:

2×𝑆×𝐷
605 𝐸𝑂𝑄 = √
𝐻

606 where:

607 S = Setup cost per order, and includes shipping and handling

608 D = Demand rate per year

609 H = Holding costs per year or per unit.

610 Lead time or reorder point is derived by multiplying the average daily unit

611 sales by delivery lead time, and add to the safety stock.

612 After each batch production, control numbers are placed on each

613 sack to track the quantity of bamboo leaf-zeolite produced, and so that if

614 there are reports of defective products, Zeolaub would be able to trace and

615 determine the batch to which it belongs and date it was produced. A basic

616 Management Information System (MIS) will be utilized for the monitoring

617 the inventory of the raw materials, work-in-progress, and the finished

618 products.

619 e. Processing of Orders and Distribution

620 Orders are entertained though order form to be sent to the official

621 e-mail of Zeolaub. The personnel will be assigned to take the orders and

622 process of the billing. An official e-mail confirming the order and containing
623 the billing statement will be sent to the customer within 24 hours after

624 placing the order. Notifications will be sent to the customer for updates

625 regarding the status of the order. The sales personnel will be in-charge of

626 checking and securing that orders are complete before its delivery.

627 The mode of transportation will be the outsourced transportation

628 service of Zeolaub. The days of delivery will depend on the distance of the

629 plant to the location of the customer.

630 f. Customer Support Services

631 Quality is being observed all through-out the supply chain of the

632 business, that is why Zeolaub is assured and confident that there will be no

633 issues that will arise, especially with regards to defective products.

634 However, Zeolaub is also open to suggestions and recommendations on

635 how they can further improve their products and services. The company

636 also values and observes return and exchange policies for situations such

637 as defective products.

638

639

640

641

642

643
644 F. Proposed Location and Justification

645 Since the establishment of Iloilo International Airport, the municipality of

646 Santa Barbara has undergone land conversions and rapid development.

647 Several industries, especially land developers have taken interest to the area,

648 due to its accessibility and good road network. Products can easily be

649 transported due to the presence of a nearby airport, and the convenience of

650 wide and less traffic public roads and highways. The area also has an easy

651 access to Metro Iloilo Circumferential Road for faster and hassle-free delivery.

652 Figure 9. Maps of the whole Municipality of Santa Barbara (left) and

653 Barangay Buayahon (right)

654 The proposed plant for Zeolaub shall be located at Barangay Buayahon,

655 Sta. Barbara, Iloilo. The main reason for this is the accessibility to one of the raw

656 materials in the production process which is the bamboo leaves. It will only take

657 approximately 29 minutes from Sta. Barbara to the bamboo capital of the province

658 of Iloilo – Maasin. Thus, building the plant in Sta. Barbara could reduce the
659 expenses in acquiring the raw materials. Another reason is the convenience of the

660 road networks which will make the moving in and moving out of the of transport

661 vehicles easier. Lastly, the barangay has a vast land area wherein Zeolaub could

662 build the plant away from the residential areas in order to comply with the

663 environmental and health policies of the country.

664

665

666

667

668

669

670

671

672

673

674

675

676

677
678 IV. THE ORGANIZATION

679 One important factor in starting a company is having an organizational

680 structure, which is vital for the firm’s success. Having the right people for the right

681 job is very important because this will determine the level of competitiveness of the

682 company when it comes to reaching its goals through good decision-making. In

683 short, each position plays a critical role in the decision-making process of the

684 company.

685 The organizational structure of the company identifies the systematic flow

686 of obligations, duties, and responsibilities of each position. It denotes the value of

687 proper communication process and links the relationship of each department to

688 achieve the company’s purpose. Thus, this chapter will discuss how the

689 organization will be established, what organizational structure will be adapted,

690 which types of people will be hired, what tasks will be done by who and how the

691 company will deal with the labor issues that may arise from its operations.

692

693

694

695

696

697

698
699 A. Organizational Structure

Partners

General Manager

Chief Research
Operations Marketing
Finance Manager and Development
Manager Manager
Office

Production Laboratory
Personnel Assistants

700

701 Figure 10. Zeolaub Organizational Chart

702

703 Figure 10 shows the organizational structure of Zeolaub. The business is

704 composed and founded by 11 general partners made up of (5) capitalist partners

705 that will provide the initial monetary investment and three (3) researchers that will

706 become the company’s consultants and will provide the ideas on the whole

707 process in making the product. The business will be directed by the general
708 manager who will manage all the departments in the organization, including the

709 production, marketing, and finance departments.

710 The operations manager will be the head of the overall operations including the

711 internal and external parts including the management of the warehouse where the

712 zeolites will be created.

713 The marketing manager will be in-charge on how the product will be introduced

714 to the market, as well as the spreading of awareness about the product. This will

715 include activities such as online promotions, traditional marketing tactics, word of

716 mouth and etc.

717 The finance manager will be responsible for the financial aspect of the company

718 and will help in developing the business plans and strategies of the company.

719 Lastly, the research and development supervisor will take the lead in all the

720 laboratory activities that will help in the development of the product, aided by the

721 laboratory assistants. Each department is interconnected with each other and each

722 department heads will be fully responsible for every activity in each respective

723 departments. They will also be responsible for coordinating the concerns of each

724 department to the business owners.

725

726 B. Key Personnel

727 The management team of Zeolaub is composed of the General Manager,

728 Operations Manager, Marketing Manager, and Finance Manager. Together, they

729 will identify and analyze the goals and objectives of the business and implement
730 and enforce the appropriate strategies for the business organization to become

731 successful.

732

733

734  General Manager

735 The General Manager is mainly responsible for supervising the day-to-

736 day operations of the organization, formulating an overall strategy, managing

737 people and establishing policies. He or she will be in charge of designing

738 strategies and setting goals for the company to grow, controlling budgets and

739 optimizing expenses, and ensuring that the employees are motivated and

740 productive. In addition, he or she will also be responsible in hiring, selecting,

741 orienting, training, guiding, counseling, and disciplining lower-level managers

742 such as the finance manager, operations manager, marketing manager, and

743 non-management employees (Workable, 2019).

744  Finance Manager

745 The Finance Manager is responsible for providing and reviewing

746 financial reports, monitoring accounts and preparing activity reports and

747 financial forecasts. He or she will develop long-term financial goals through the

748 timely formulation of strategies, plans, and decisions. In addition, he or she will

749 also review the budget prepared by the general manager, as well as analyze

750 markets for business opportunities such as the expansion of the business,

751 merger or acquisition (New England College, 2019).

752  Operations Manager

753 The Operations Manager oversees the production of goods and makes

754 sure that the business organization is running as well as it possibly can, with a

755 smooth efficient service that meets the expectations and needs of customers

756 and clients. He or she leads the overall operations of the company from the

757 preparation of raw materials to the delivery of the final product to the customers

758 and is responsible for the effective and successful management of labor,

759 productivity, quality control, and safety measures as established and set by the

760 company. He or she has to ensure that the deadlines are met by planning,

761 managing, and implementing the right schedules and maintaining a high-quality

762 standard of product production and delivery. Most importantly, the role of the

763 operations manager focuses on the management of the stock control and the

764 accuracy of inventory records of Zeolaub (Totaljobs, 2019).

765

766 Table 13. Summary of Management Team’s Key Functions and Job

767 Specifications

. Position Description Qualifications Compensation

General Responsible for  Filipino Citizen  Salary:

Manager overseeing all  Male or Female ₱32,000.00 per

administrative  Preferably 25 to 40 month

functions of the years old  Benefits include:

business. He or she
will set the policies,  Must have a Social Security

operations, and Bachelor’s degree in System (SSS)

coordinate with local Management or benefits,

management to related field, preferably Philhealth

evaluate employees, possessing a Master’s benefits, Pag-

company performance degree in Business IBIG benefits,

and efficiencies. Administration Overtime pay,

 With at least 3 years of Leave benefits

experience in the field

of operations,

marketing

 Has knowledge about

zeolite industry and

preferably has

mastered product

handling

 Possesses strong

interpersonal,

analytical, budgeting,

decision-making and

time management

skills, excellent

communications skills
 both written and

verbal, and leadership

skills

Finance In charge of producing  Filipino Citizen  Salary:

Manager financial reports  Male or Female ₱27,000.00 per

related to budgets,  Preferably 25 to 40 month

account years old  Benefits include:

payables/receivables,  Must have a Social Security

expenses, etc. Bachelor’s degree in System (SSS)

Developing long-term Finance, Accounting or benefits,

business plans, and any related course in Philhealth

reviewing, monitoring, the field of Business benefits, Pag-

and managing  With at least 2 years of IBIG benefits,

budgets. experience in the field Overtime pay,

of finance Leave benefits

 Understands financial

trends internal and

external to the

company, proficient in

the use of accounting

software, and

knowledgeable in

principles of
 accounting and

financial statistics

 Possesses strong

interpersonal skills,

excellent

communication skills

both written and

verbal, and leadership

skills

Operations Responsible for  Filipino Citizen  Salary:

Manager managing activities  Male or Female ₱29,000.00 per

that are part of the  Preferably 25 to 40 month

production of goods. years old  Benefits include:

He or she will manage  Must have a Social Security

both the operations Bachelor’s degree in System (SSS)

process, planning, Operations benefits,

control, performance Management or Philhealth

improvement and related field benefits, Pag-

operations strategy.  With at least 2 years of IBIG benefits,

work experience in the Overtime pay,

field of operations Leave benefits

 Highly organized,

understands the stock

 management system,

and manages time and

workload effectively

 Possesses strong

interpersonal skills,

excellent

communications skills

both written and

verbal, and leadership

skills

768

769 C. Related Service Providers / Key Non-Management Jobs

770 The work of higher management is not the only factor which contributed

771 to the success of the business but also the job of the employees who work in

772 lower management and these people are the non-management personnel of

773 the Zeolaub. They are personnel that directly involved with the process and

774 production of the zeolite or employees who work under functional/ technical

775 area of specialty.

776 The non-management personnel of the Zeolaub are the laboratory

777 supervisor and its assistant, production workers, bamboo leaf collector, and

778 driver. For the bamboo leaf collector and driver personnel, the company will

779 find workers assigned in these positions through outsourcing.

780 Furthermore, these key non-management jobs will prioritized the locals,

781 especially a non-college graduate, who seeking for job since some of the

782 needed workers do not require any bachelor degree qualification but only basic

783 skills in functional or technical area. This is a big help to the municipality of the

784 Santa Barbara and the neighboring towns in lowering their unemployment rate

785 due to the job opportunities offered by the company.

786

787  Production Workers

788 The production operation of the Zeolaub includes jobs such as bamboo leaf

789 collection, washing, cutting, drying, burning, and acid treatment of the raw

790 material. There a people assigned in the different areas of these operations

791 but some of the workers will do one to two jobs since few of the mentioned

792 tasks are not that heavy to work on for a single employee. There is not much

793 requirement as to the educational attainment of the production workers since

794 the job descriptions are mostly inclined to physical skills and basic machine

795 operations.

796

797  Chief Research and Development Officer

798 The Chief Research and Development Officer manages and headed the

799 activities inside the laboratory with him/ her is the Laboratory Assistant. He or

800 she will assist the production process of the zeolite especially for the chemical

801 ingredients needed in the process.

802

803  Laboratory Assistants

804 The Laboratory Assistant will give assistance to the Laboratory

805 Supervisor in doing the activities inside the workroom. He or she has a part in

806 the processing of raw materials especially in the mixing of chemicals needed

807 in the production of the zeolite.

808

809  Bamboo leaf collector

810 The bamboo leaf collector is the personnel assigned to gather bamboo

811 leaves and find supplier for the company. They are responsible in monitoring

812 the supply of bamboo leaf raw materials for the production process of the

813 zeolite. There is not much requirement as to the educational attainment of the

814 employees assigned in this position since the job descriptions are mostly

815 inclined to physical skills.

816  Driver

817 The driver is responsible for the delivery of the products within Panay

818 and the transport of the raw material from the supplier to the place of the

819 business operation. With him is his assistant to help in assessing the delivery

820 of the product. For this position, there is not much requirement as to the

821 educational attainment of the employees since the job descriptions are mostly

822 inclined to driving skills of the person.

823
824 Table 14. Summary of Key Related Services’ / Key Non-Management’s position,

825 job description, qualifications, and salary and benefits.

Job Position Job Description Qualifications Salary and

Benefits

Production  Responsible for the  Male/Female  Php 295.00 per

Workers production process  Preferably 23 to 35 day

especially in years old  SSS Benefits,

collecting bamboo  With at least 1 year work PhilHealth

leaf, washing, experience in the field of Benefits, Pag-

cutting, drying, the operations ibig Benefits,

burning, and acid Thirteenth

treatment of the raw Month Pay

material

Chief Research  manages and  Male/Female  Php 30,000.00

and Development headed the  Preferably 25 to 35 per month

Officer activities inside the years old  SSS Benefits,

laboratory  Bachelor’s degree in PhilHealth

 Assessing the Chemistry or related Benefits, Pag-

production process field ibig Benefits,

of the zeolite  Licensure Examination Thirteenth

especially for the Passer Month Pay

chemical (Board/Bar/Professional)
 ingredients needed  With at least 1 year

in the process. laboratory experience in

public laboratories or

private organizations

Laboratory  Give assistance to  Male/Female  Php 20,000.00

Assistant the laboratory  Preferably 23 to 35 per month

supervisor years old  SSS Benefits,

 Responsible in the  Bachelor’s degree in PhilHealth

mixing of chemicals Chemistry or related Benefits, Pag-

needed in the field ibig Benefits,

production of the  Licensure Examination Thirteenth

zeolite. Passer Month Pay

(Board/Bar/Professional)

 With at least 1 year

laboratory experience in

public laboratories or

private organizations

Driver  responsible for the  Preferably male  Php 295.00 per

delivery of the  Preferably 23 to 35 day

products within years old  SSS Benefits,

Panay and the  With work experienced PhilHealth

transport of the raw of at least 1 year Benefits, Pag-

material from the ibig Benefits,

 supplier to the Thirteenth

place of the Month Pay

business operation

Bamboo leaf  personnel assigned  Male/Female  Php 295.00 per

collector to gather bamboo  Preferably 23 to 35 day

leaves and find years old  SSS Benefits,

bamboo leaf PhilHealth

supplier for the Benefits, Pag-

company ibig Benefits,

Thirteenth

Month Pay

826

827 D. Other Labor Market Issues

828 There are issues in the company that may affect the business operation,

829 relationship between the employees and the higher management of the

830 organization, and the managers of their human resource. The Zeolaub will take

831 into account these labor management issues that possibly may arise in the

832 company.

833

834 Factors that affect recruitment process

835 A. Internal

836 The following are the factors that can be controlled by the company:
837 1. Recruitment Policy

838 The objective of the recruitment policy of the company is to establish an

839 excellent recruitment process and to select a set of qualified employees. Zeolaub

840 provided a specified recruitment policy to be followed in conducting a job hiring.

841 The company’s policies focus on the potentials and skills of the candidates on the

842 basis of merit and relevance with the job. This also abides the relevant public

843 policies and laws on hiring employees to avoid future conflicts.

844 2. Size of the Company

845 Since Zeolaub is a start-up enterprise, the company hired enough or

846 appropriate number of employee that can handle the business operations of the

847 organization.

848 3. Cost

849 Recruitment is costly process that incur huge amount of money to the

850 company so this might affect the hiring process. Some of the company, in order

851 reduce recruitment cost; they cut down some process that resulted to poor

852 employee selection. However, Zeolaub conducted a low-cost recruitment process

853 but still maintaining the proper recruitment procedures and selected qualified and

854 skilled employee.

855 B. External

856 The following factors that cannot be controlled by the company:

857 1. Supply and Demand

858 Manpower is important asset of every company. The availability of it within

859 and outside the company is an important factor in the recruitment process. Zeolaub

860 demands for a knowledgeable and skilled personnel especially in the operation

861 process and the laboratory works of the organization. If there are limited qualified

862 applicants in the market for these kinds of employees needed by the company, the

863 Zeolaub will depend upon internal sources by providing them an extensive training

864 and development programs to rear the ability of the employees.

865 2. Company Image

866 Image of the company can be a potential constraint in recruitment. As a

867 start-up business, Zeolaub’s image is not yet established. Therefore, the company

868 must market themselves to jobseeker in the same way they would to customers.

869 Raising awareness of the brand and promoting the company culture and values

870 will attract qualified employees to apply in the company. This must be done by the

871 company since having a positive or negative image determine its attractiveness to

872 those who want to apply for a job in the organization.

873

874 3. Political, Social and Legal Environment

875 Laws and regulations of the government may have a possible effect in the

876 recruitment process of the company. For example, the Labor Code of the

877 Philippines stated that “the state shall afford protection to labor, promote full

878 employment, ensure equal work opportunities regardless of sex, race or creed and

879 regulate the relations between workers and employers. The State shall assure the
880 rights of workers to self-organization, collective bargaining, security of tenure, and

881 just and humane conditions of work”.

882 Factors that affect employee retention

883 Employee satisfaction is an important in retaining workers in the company.

884 Satisfied employees are typically much less likely to leave. But there are some factors

885 that employees seek to have in their career outside the company that more likely the

886 reason of their resignation. Since Zeolaub is a new player in the market they tend to focus

887 in their product awareness than to their employees. This lack of attention to the workers

888 may result to different issues inside the company, such as poor benefits, compensation

889 and training of employees. This caused higher employee-turnover for the company

890 because of poor human resource management and thus will incurred expenses against

891 the business.

892 Career development is also one of the factors why employee leaves in their job.

893 Workers tend to find a personally determined and evolving preferred future for their

894 selves. They are looking for better career prospects, professional growth and work

895 opportunities outside the company. There are some looking for new challenges at work

896 and a change in career direction, and this may only fulfilled by leaving their current

897 workplace. This is a challenge to the organization and they must accept employees that

898 working for the company for long years may want to leave and pursue outside

899 opportunities waiting for them.

900 Other issues may include superior-subordinate relationship and the employee’s

901 relationship with their co-workers. Conflict of interest, culture differences, performance
902 issues, unresolved dispute, and lack of communication may cause employees to decide

903 not to stay longer because they feel unworthy to work in morbid environment. This kind

904 of employee’s mind-set gives to manager a hard time to convince them to stay.

905 In order for Zeolaub to lessen the chances of employee resignation, the company

906 wanted to instill an attitude for their employees and that is commitment to the organization.

907 In this kind of attitude, employee will develop loyalty to the company and will keep them

908 stay longer. This can be accomplished by giving the employees well-deserved benefits,

909 compensation, and treatment inside the workplace and thus Zeolaub can retain the

910 important asset of their business which is the human resource.

911

912 Legal requirements for employing personnel

913 A. Insurances and Membership

914 The management of Zeolaub will strictly follow and obey to the rules and

915 regulations of the government in hiring employees. One of this is under the Social

916 Security Law that requires employer and employee to be a member and make a

917 monthly contribution to Social Security System (SSS), Philippine National Health

918 Corporation (PhilHealth), and Home Development Mutual Fund (PAG-IBIG Fund). In

919 employee’s SSS contributions, it’s deducted from their salaries and withheld by their

920 respective employers on a monthly basis. Employers have a share in the monthly

921 contribution. For the PhilHealth, the contributions will be 2.75% of the employee’s

922 basic monthly salary and will be shared equally by both employer and employee.

923 While for the PAG-IBIG Fund, it is set at 200 pesos and also must be equally shared

924 by both employer and employee (KCG Recruitment, 2018).

925 Failure to remit their contributions and those of its employees to SSS, PAG-IBIG

926 Fund, and PhilHelath; the employer may put under monetary liability and criminal

927 sanctions. According to Quisumbing Torres (2016), if a juridical person is guilty of the

928 offense, its managing director, partner, president, general manager and/or the

929 responsible person are liable for the penalties. The monetary liability would involve

930 interest on the contributions that have not been remitted, computed from the date the

931 contributions fall due until they are remitted to the relevant agencies. The criminal

932 sanctions would involve a fine or imprisonment or both.

933 The Zeolaub also abides the Labor Code of the Philippines which prohibits the

934 elimination or diminution of employee benefits. This means that an employer may not

935 unilaterally take back or reduce benefits that it has voluntarily given to its employees.

936 So that this non-diminution rule will apply, the following requisites should be present:

937  The grant of the benefit is based on an express policy of the employer or has

938 ripened into a practice over a long period of time.

939  It is consistent and deliberate.

940  It is not due to error in the construction or application of a doubtful or difficult

941 question of law.

942 Lastly, the Zeolaub abides the stated rules and regulations in the Philippine

943 Constitution that reorganize and guarantee the following rights of the workers:

944  It shall guarantee the rights of all workers to self-organization, collective

945 bargaining and negotiations, and peaceful concerted activities, including the

946 right to strike in accordance with law.

947  They shall be entitled to security of tenure, humane conditions of work, and a

948 living wage.

949  They shall also participate in policy and decision-making processes affecting

950 their rights and benefits as may be provided by law.

951 These rules and regulations were incorporated in company’s policies to make sure

952 that they will rightfully provide the proper protections, benefits, and treatment for their

953 employees. The written contract between the employer and employee shall act as the

954 evidence that the company properly implemented and obeyed the rules and

955 regulations given by the government and company’s owned set of policies.

956 B. Terms and Conditions of Employment

957 The Zeolaub value the fact and recognize that employees are the important asset

958 of the company. Apropos to this, the following terms and conditions of employment as

959 stated in the Labor Code of the Philippines or Republic Act 6175, were adopted.

960 1. Minimum Wage

961 According to Philippine’s Minimum Wage Law, the minimum wage rates in

962 the Philippines vary per region and prescribed by Regional Tripartite Wages and

963 Productivity (RTWPB). Under the most recent order for the Western Visayas, the

964 minimum gross rate is 294 pesos per day (National Wages and Productivity

965 Commision , n.d.).

966 2. Work Hours and Overtime

967 An employee’s normal hours at work must not exceed to 8 hours a day.

968 Working hours shall include the whole duration when an employee is required to

969 be on duty and/or to be at a prescribed workplace; the whole duration when an

970 employee is permitted to work; and rest periods of short duration during working

971 hours.

972 For the overtime, work performed beyond the normal working hours must

973 be paid an additional compensation equivalent to an employee’s regular wage plus

974 at least 25% thereof. And those employees who work beyond 8 hours on a holiday

975 or rest day shall also be paid an additional compensation equivalent to the rate of

976 the first 8 hours plus at least 30% thereof (Kittelson Carpo Consulting, 2018).

977 3. Night Shift Differential

978 This refer to an employee performing work between 10:00 P.M. and 6:00

979 A.M. must be paid a night shift premium of not less than 10% of their regular wage

980 for each hour of work performed (Payroll Hero, n.d.).

981 4. Rest Days

982 The employees are entitled a one day rest in every week. According to

983 Article 93 of the Labor Code stipulates that when an employee is made or permitted

984 to work on their scheduled rest day, they shall be paid an additional compensation

985 of at least thirty percent (30%) of their regular wage. They shall be entitled to such

986 additional compensation for work performed on Sunday only when it is their

987 established rest day (KCG Recruitment, 2018).

988 5. Regular Holidays

 989 The Department of Labor and Employment (DOLE) has established the

990 following rules to observe by employers during regular holidays: if employees did

991 not work, they still need to be paid 100% of their salary for that day; if employees

992 overtime in their work, they shall be paid an additional 30% of their hourly rate; if

993 employees works on their rest day, they shall have an additional 30% of their rate

994 of 200%; and if employees overtime in their work during a regular holiday that also

995 falls on their rest day, they shall be paid an additional 30% of their hourly rate

996 (Office Holidays, n.d.).

997 6. Special Holidays

998 For work performed during special holidays, an employee is entitled only

999 to his basic rate. No premium pay is required since work performed on said days

1000 is considered work on ordinary working days.

1001 7. Service Incentive Leave Except for exempt employees

1002 Every employee who has rendered at least one year of service shall be

1003 entitled a yearly service incentive leave (known as vacation leave) of five days with

1004 pay. However, this provision shall not apply to those who are already enjoying the

1005 benefit herein provided, those enjoying vacation leave with pay of at least five days

1006 and those employed in establishments regularly employing less than ten

1007 employees or in establishments exempted from granting this benefit by the

1008 Secretary of Labor and Employment in the Philippines after considering the viability

1009 or financial condition of such establishment.

1010 8. Meal Period

1011 Under the Labor Code of the Philppines, every employer is mandated to

1012 give their employees not less than 60 minutes’ time-off their regular meals.

1013 9. Private Retirement Benefit

1014 The private retirement benefit was under Republic act no. 4917 that states

1015 that, “providing that retirement benefits of employees of private firms shall not be

1016 subject to attachment, levy, execution, or any tax whatsoever. Provided, That the

1017 retiring official or employee has been in the service of the same employer for at

1018 least ten (10) years and is not less than fifty years of age at the time of his

1019 retirement: Provided, further, That the benefits granted under this Act shall be

1020 availed of by an official or employee only once: Provided, finally, That in case of

1021 separation of an official or employee from the service of the employer due to death,

1022 sickness or other physical disability or for any cause beyond the control of the said

1023 official or employee, any amount received by him or by his heirs from the employer

1024 as a consequence of such separation shall likewise be exempt as herein-above

1025 provided.” (Robles, 1998).

1026 10. Maternity Leave

1027 Under the Republic Act No. 11210, every qualified female workers in the

1028 private sector is entitled to a maternity leave of 105 days of fully paid leave. During

1029 such leave, the pregnant woman shall receive daily maternity benefit equivalent to

1030 100% of her average salary credit, computed based on the formula of the Social

1031 Security System (SSS). This is extendible by another 30 days but without pay. For

1032 the case of solo parents, an additional 15 days of fully paid leave is granted. In
1033 case of miscarriage or emergency pregnancy termination, the female worker is

1034 allowed to have a 60-day maternity leave.

1035 11. Paternity Leave

1036 According to Quisimbig Torres (2016), paternity leave benefit is granted to

1037 all married male employees, regardless of employment status. It applies to the first

1038 four deliveries of the employee’s lawful wife with whom he is cohabiting. The leave

1039 shall be for seven days, with full pay, consisting of his basic salary, provided that

1040 his pay shall not be less than the mandated minimum wage. In the event the

1041 paternity leave benefit is not availed of, said leave is not convertible to cash. Under

1042 the new law, the mother can furthermore transfer 7 days to the father, extending

1043 the father’s leave to 14 days.

1044

1045 12. Parental Leave

1046 The employees are also entitled for parental leave of not more than seven

1047 working days every year shall be granted to any solo parent employee as defined

1048 in the law who has rendered the service of at least one year.

1049
1050 References

1051 Charter Selection. (2017). Marketing Manager Job Description. Retrieved from

1052 https://www.charterselection.com/marketing-job-descriptions/marketing-manager-

1053 job-description

1054 New England College. (2019). Financial Manager Career Outlook and Salary. Retrieved

1055 from https://www.newenglandcollegeonline.com/resources/accounting/financial-

1056 manager-career-outlook-and-salary/

1057 Totaljobs. (2019). Operations Manager Job Description. Retrieved from

1058 https://www.totaljobs.com/advice/operations-manager-job-description

1059 Workable. (2019). General Manager Job Description. Retrieved from Workable:

1060 https://resources.workable.com/general-manager-job-description

1061 KCG Recruitment. (2018). PHILIPPINES MANDATORY EMPLOYEE BENEFITS &

1062 CONTRIBUTIONS. Retrieved April 1, 2019, from KCG Recruitment:

1063 https://kcrecruitment.com/hr-consulting/labor-and-employment/employee-benefit-

1064 contributions/

1065 Kittelson Carpo Consulting. (2018). LABOR & EMPLOYMENT. Retrieved April 1, 2019,

1066 from Kittelson Carpo Consulting: https://kittelsoncarpo.com/labor-employment/

1067 National Wages and Productivity Commision . (n.d.). Daily Minimum Wage Rates.

1068 Retrieved April 1, 2019, from National Wages and Productivity Commision :

1069 http://www.nwpc.dole.gov.ph/
1070 Office Holidays. (n.d.). Philippine Holiday Pay Rules. Retrieved April 1, 2019, from

1071 Office Holidays: https://www.officeholidays.com/holiday-information/philippines

1072 Official Gazette. (n.d.). THE 1987 CONSTITUTION OF THE REPUBLIC OF THE

1073 PHILIPPINES – ARTICLE XIII. Retrieved April 1, 2019, from Official Gazzete:

1074 https://www.officialgazette.gov.ph/constitutions/the-1987-constitution-of-the-republic-of-

1075 the-philippines/the-1987-constitution-of-the-republic-of-the-philippines-article-xiii/

1076 Payroll Hero. (n.d.). How to Compute Night Differential. Retrieved April 1, 2019, from

1077 Payroll Hero: http://payrollhero.ph/night_differential

1078 Robles, C. (1998). REPUBLIC ACTS . Retrieved April 1, 2019, from Chan Robles:

1079 http://www.chanrobles.com/republicacts/republicactno4917.html#.XKI6Y5gzbIU

1080 Torres, Q. (2016). Guide to Philippine Employment Laws. Retrieved April 1, 2019, from

1081 Bakerm Kenzie: https://www.bakermckenzie.com/-

1082 /media/files/insight/publications/2016/01/guide-to-philippine-

1083 employment/qrg_philippines_employmentlaw_jan16.pdf?la=en

1084 All equipment photos are retrieved from Google Images.

1085

1086