BSIE 5-1LAGUNSAD, Divine E.MAGTIBAY, Edelyn J.PACHOCO, Aizel L.

“THE FEASIBILITY OF MANUFACTURING PAVING BRICKS

FROM USED STYROFOAM AND PLASTIC BAGS”

In Partial Fulfillment of the Course Requirement in PROJECT FEASIBILITY STUDY (INEN 3222), we will be presenting our project “The Feasibility of Manufacturing Paving Bricks from used Styrofoam and Plastic Bags” which aims to apply Industrial Engineering techniques and principles to develop a new product/service that can be helpful environmentally and economically.

INTRODUCTION

What are Paving Bricks or pavers?

Paving bricks are materials that are manufactured to be laid flat on the ground. They are different from the type made to be used vertically for walls and chimneys and other construction projects. They can withstand both hot and cold temperatures, snow and rain, and foot traffi c.

THE PRODUCT

Asphalt Concrete Brick Stone Tile WoodEarth Materials Synthetics

PAVERS CAN BE MADE FROM:

Are materials that look like the natural product but are made from unnatural material bonded together.

Examples include, sponge, sponge rubber, rubber mats, plastics, cork and various combinations of these with a binder coating material, such as asphalt.

SYNTHETICS

RecyclingPlastic bag and foamed/expanded

polystyrene, or most commonly known as Styrofoam, are major sources of waste disposed in our country especially in Metro Manila

Average of 2700 tons of these materials dumped in Payatas everyday

Material properties such as thermo plasticity which makes it possible to be melted and formed into a new shape

WHY THESE RAW MATERIALS?

Company Name: SYNTHETRIX MANUFACTURING INCORPORATEDCompany Type: PARTNERSHIPProduct: PAVING BRICKSOwners: LAGUNSAD, Divine E.

MAGTIBAY, Edelyn J. PACHOCO, Aizel L.

COMPANY OVERVIEW

OUR INDUSTRY

CONSTRUCTION INDUSTRY

Developers Constructors Materials Suppliers

RESID

ENTI

AL

NON RES

IDEN

TIAL

ADDIT

IONS,

ALTE

RATIO

NS/REP

AIRS

05000

10000150002000025000

201020112012

OUR TARGET MARKET

NICHING

MARKETING STRATEGY

Research and development related to market needs and wants

Choosing the right channels of distribution

Analyzing the company's strengths and

competitor's weaknesses to satisfy customer's needs and wants

TACTICS

Medium scale construction companies that have ongoing projects and

future contracts

OUR CUSTOMERS

Milestone Enterprises (Cement Pavers: Php 21.00-30.00/pc)

AP Roque Enterprises (Cement Pavers: Php 21.00-30.00/pc)

Manila Rubber Corporation (Ecobricks: Php 14.00/pc)

OUR COMPETITORS

They have already establish a name and good reputation in the industry

Their product line and materials

They have some big trusted clients

WHAT MAKES THEM OUR MAJOR COMPETITORS?

PLANT LOCATION:- Brgy. Kalawaan, Pasig City- 1000 sq. meters of plant and offi ce area

equipped with water and electric supply

PLANT FACILITIES- A total of 9 machines: 7 densifiers and

2 plastic shredders- A total of 22 production related workers

OPERATION AND DEVELOPMENT

OPERATION AND DEVELOPMENT

SYNTHETRIX MANUFACTURING INC.

Materials Suppliers

Material Supplier

EPS Foams Payatas Controlled Disposal Facility

Polyethylene Films Payatas Controlled Disposal Facility

Used Oil Hapi 24 Trading

Sand A.A. Alapilde Trucking

Paint Macnell Arci Paints

Plastic Sheets JMP Phils. Packaging Corp.

Corrugated Boards Goldar Ind’l Packaging Corporation

MACHINES

DENSIFIER – the main machine that will be used to transform Styrofoam and plastic bags into compressed and stronger material.

MACHINES

PLASTIC SHREDDER - This machine is where the plastic materials, both the Styrofoam and plastic bags are cut into tiny pieces for easy melting.

Process Time

Shredding 105.75 mins

Melting 150 mins

Cooling 70 mins

Stacking 8 mins

Wrapping 1.4 mins

Total Time 397 mins (6.63 hours)

CYCLE TIME

Production Capacity = 3517 bricks 80% production capacity

ORGANIZATIONAL CHART

General Manager

HR Head

HR Staff

Accounting Head/Book

keeper

Sales/Marketing Head

Sales/ Marketing Analyst

Operations Head/QC

Coordinator

QC Specialist/Supervisor

Operators

Technician and

Mechanical

FINANCIAL PROJECTIONS

2013 2014 2015 2016 2017

1783597819657174

2166936622752827 23306916

Projected Sales

2103 2014 2015 2016 20170.00

500,000.00

1,000,000.00

1,500,000.00

2,000,000.00

2,500,000.00

3,000,000.00

3,500,000.00

4,000,000.00

Projected Income

FINANCIAL PROJECTIONS

2013 2014 2015 2016 20170

2,000,0004,000,0006,000,0008,000,000

10,000,00012,000,00014,000,00016,000,00018,000,00020,000,000

Projected Cash Flow

FINANCIAL PROJECTIONS

2013 2014 2015 2016 20170

0.5

1

1.5

2

2.5

3

ROI NPMCash Flow Ratio Debt Ratio

FINANCIALRATIOS

BE Volume

=

Fixed Cost

Unit Selling Price- Variable Cost

= 8,448,399.17 14.71 - 5.51

= 918,305 units to break even

BREAKEVEN ANALYSIS

Total Investment 6,000,000.00

Average Annual Profit 2,797,433.93

Payback Period = 2.14

PAYBACK PERIOD

Payback period of approximately 2 years, 1 month and 21 days