A Term Paper on Business Plan

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A Term Paper on“usiness Plan!

Prottasha Poultry "irm



A Term Paper on“usiness Plan!# Prottasha Poultry "irm

Course Code : BBA 3115

Course Credit : 03

Batch : 7B

Submitted to:

Md. Mourtuza Ahamed.Lecturer in Management,

Northern Uniersit! Bang"adesh$

Submitted By:

Name ID NO

#a$!asachi Bosu BBA 0%01%0&5'

Date of Submission: June,05, 2008



Letter of Transmittal

Ma! 1%, &00(

Md. Mourtuza Ahamed.Lecturer in Management)e*artment o+ Business Administration

Northern Uniersit! Bang"adesh,hu"na Cam*us

Subject: Submission of Business plan

)ear #ir

-e are su$mitting our $usiness *"an as a term *a*er o+ the course. -e hae com*osed

as much in seuence as *ossi$"e +rom the guide"ine o+ rea" $usiness *"an. -e honest"!

ensure !ou that this $usiness *"an is *re*ared $! our se"+ and /e do not mae an! co*!

+rom an! one. -e mae this $usiness *"an h!*othetica""! +or the *ur*ose o+ term *a*er

and /e neer use this $usiness *"an in an! other *ur*oses.

-e assume that this assignment has enhanced $oth our no/"edge e2*erienced a$outthe $usiness strateg! and actiities.

But !ou hae su**"ementar! ueries on the to*ic o+ this re*ort, *"ease "et me identi+!.

haning !ou +or !our a"ua$"e adice and coo*eration.

4ours truth+u""!,

6#a$!asachi Bosu

8) No: BBA 0%01%0&5'9n $eha"+ o+ our grou*



ACKONOWLEDGEMENT

At the er! outset, /e cone! our thans to the od, the A"might! our *ro+ound

gratitude +or $est $o/"ing on us to *re*are this re*ort success+u""!. hen /e /ou"d "ie

to cone! our cordia" thans to our res*ectie course teacher Md. Mourtuza Ahamed,

Lecturer in Management, )e*artment o+ Business Administration +or assign us such t!*e

re*ort as a *art o+ our course reuirement.

-e are grate+u" to Md. ;amidur Mozumder, *ro*rietor o+ #e$a <ou"tr! =arm Boutogghata,hu"na. -e are a"so grate+u" o+ others em*"o!ees and sta++s o+ this *ou"tr! +arm /ho ta"us regarding the to*ic o+ this re*ort in s*ite i+ their $usiness and e2tended their he"*inghand $! *roiding crucia" in+ormation and suggestions /hich hae $een im*"emented tocom*"ete this re*ort.

No/ /e are in a *osition to e2*ress our thans to our senior $rothers and sisters and ourc"assmates /ho hae ins*ired us +or *re*aring this re*ort and hae discussed /ith usa$out the to*ic o+ this re*ort.



Table of contents

Chapter No Contents Page

>?>CU8@> #UMMA4 i

1 Introduction 1

1.1 9$ectie o+ the stud! 1

1.2 #co*e o+ the stud! &

1. Methodo"og! o+ Co""ecting )ata &

1.! Limitation o+ the stud! &

2 "ISC#SSI$N %N" $&'(&I') $* T+' P($B,'- 3

2.1 Mareting <"an 3

2.1.1 #a"es and mareting 3

2.1.2 <ricing #trateg! 3

2.1. )istri$ution

2.1.! AdertisingD *roduct *romotion 5

2.1. Customer serice %

2.2 Maret 9erie/ 7

2.2.1 <otentia" customers 7

2.2.2 #ize and gro/th o+ the maret 7

2.2. #trategic rou* ana"!sis (

2. 9*erationa" <"an '

2..1 >2isting core com*etencies '

2..2 =uture com*etencies '

2.. <roduct serice oerie/ '

2..! =aci"ities '

2.. <roduction and manu+acturing *rocess 11

2../ esearch and dee"o*ment 1&

2..0 Eua"it! assurance 1&

2.! ;uman esource Management and <"anning 1



2.!.1 e! issues 1

2.!.2 #tructure 15

2.!. #ta++ reuirements 17

2.!.! >2*ectations &1

2. is Ana"!sis &3

2..1 =oreseea$"e is &3

2..2 Un+oreseea$"e ris &

2./ =inancia" Management *"an &

2./.1 Assum*tion &

2./.2 =inancia" <"an &5

2./. 8ncome statement &7

2./.! Cash +"o/ statement &(

2./. <roected Ba"ance sheet &'

*indings and analsis 30

.1 8ntroduction 30

.2 <ro$"ems regarding on +arm 30

. Ana"!sis 30

.! #-9 ANAL4#8# 31

. #>N;# 31

..1 >2*erienced /orer 31

..2 he standard o+ *ou"tr! 31

.. =inancia" #u**ort 31

..! he *h!sica" maintenance 3&

.. #trong demand 3&

../ Use o+ the /astage 3&

..0 he sca"e o+ *roduction 3&

.. he diersi+ication 3&

./ ->AN>##># 3&

./.1 Maintenance cost 3&



./.2 Uneducated em*"o!ees 3&

./. he cost o+ +eeding 3&

./.! Lac o+ medicine 33

./. ;igh uses o+ uti"it! 33

.0 9<<9UN88># 33

.0.1 <otentia"it! o+ a huge maret 33

.0.2 he goernment su**ort 33

.0. he consistent demand 33

.0.! he integration o+ the distri$ution channe" 33

.0. he "ac o+ com*etition 3

.0./ ;e"*ing the econom! or societ! 3

. ;>A# 3

..1 )iseases 3

..2 Lac o+ medicines 3

.. ="uctuation o+ the +ood *rices 3

..! ;igh death rate o+ sma"" chicens 3

.. he unaai"a$i"it! o+ sma"" chicen 3

../ >nironment de*endenc! 35

..0 <ou"tr! *roducts smugg"ing 35

..3 <>#L> Ana"!sis 35

! ('C$--'N"%TI$N 4 C$NC,#SI$N 3%

%PP'N"I5 370



'5'C#TI&' S#--%(6

<rottasha <ou"tr! =arm, esta$"ished in Fanuar! 1, &007 has $een *"a!ing an im*ortantro"e in economic dee"o*ment at the "oca" and nationa" "ee" o+ the countr!. Besides itcreates o$s o**ortunities +or the unem*"o!ed and si""ed *eo*"es. his +arm is a

*artnershi* organization and it *er+orms a"" its actiities according the ru"es o+ thegoernment.

his re*ort consists o+ +our cha*ters, Cha*ter one: descri$es the $od! o+ the stud!,$acground, o$ecties, methodo"og! and "imitations o+ the stud!. Cha*ter t/o: discussa$out the actiities and strategies o+ arious +unctiona" de*artments. Cha*ter three:+inding and ana"!sis a$out arious *ro$"ems re"ated /ith the +arm. Cha*ter +our: @arious+unctiona" de*artment o+ B#B. And "ast"! cha*ter +our: contains o+ +inding andrecommendations that e2*"ored m! stud!.

<rottasha <ou"tr! =arm is no/ one o+ the "eading *ou"tr! +arm in Bang"adesh. his*ou"tr! +arm maintains sti++ ru"es and regu"ations in *roduction sectors andenironmenta" sectors. 8t *roduces 100G *ure chicens and eggs /hich are er!demanda$"e in marets. No/ the *o*u"arit! o+ this *ou"tr! +arm is a"so s*read in +oreign

marets and the *ou"tr! +arm e2*orts chicens and eggs in arious countries o+ Asia,>uro*e and U#A. his +arm a"so taes arious actiities to e2tend the $usiness areas and

in +uture /e cu"tiate *igeons and ducs $eside o+ chicens.

arketing Plan



2.1 Sales and marketing

As we are producing chickens of di%erent types and eggs so both of them will be

our premium product$ &e can also go for ducks and pigeon in near future which

will expand our product line$ ut at present we want to continue focusing on the

chickens' their eggs only$

Contract into contracts with stores in Parjatan, Hotel

and restaurants

"or increasing product awareness among the various classes of people we will go

for contracts to take our chickens for making the foods$ This will increase

awareness about our chickens and eggs$

Pricing Strategy

In a recent survey we have found that the price of chicken meat fluctuates regularly. A new

farm should try to provide slightly lower price than the prevailing Market Price.

It can buy chicken from Kazi, rack or other suppliers at a price of 35-40 taka. And can

sell these to around 80-90 !K" K#. In future the farm can plan for e$port frozen chicken

out side the country, especially the Middle %ast where the demands for chicken meat is

very high.

Also in case of eggs the price of egg is increasing rapidly$ The current price of

chicken egg is 400-420 Tk / 100 eggs at the wholesale market$ As many aseggs can sell the cost of eggs sell while come down lower and pro(t would behigher as well$

After the (ndings we have come to the point that we will use three important

factors for reaching at the price at which we will sell our product$ They are#

ost: )n case of our pricing we will focus on the (xed and variable cost

mainly$ As more farms are in action we can take some hints from them$ Thepoints we will consider are#

!i"e# $ost: As the (xed cost will be the cost of land* building*

electricity which all the other (rms also has to give$ +o in

case of (xed cost we can not change that much$



%a&iab'e $ost: )n case of variable cost the things we will focus on

are#,$ -ost of raw materials.$ -ost of labor/$ -ost of birds food

0$ -ost of birds maintenance1$ -ost of the machineries"or a (rm like us the (xed cost will always be higher$ +o* if a farm can sell

more at a lower price 2economic of scale3 it can make pro(t$

om(etition# &e tried to (gure out the following question answer through

our analysis and tried to draw an e%ective pricing strategy#

Published competitive price list and advertising

-ompetitive reaction to price moves in the past$ )nformation on competitors4 special campaigns$

-ompetitive product line comparison$

-ompetitors reported (nancial performance$

Assumption of the competitors4 pricing5marketing objectives$

As large number of (rms are out there to compete with us but not a single one of

them is up to our thinking standard$ +o if we can manage to plant all the stu%s

we can make such di%erence$

Deman## )n case of demand we will have to make the progress throughthe survey and market research$ Through our search we found that megacities like 6haka and -hittagong have higher demand for our products$ +owe can make a smooth chain of supply with the major places so theproduct doesn4t fall short and the price goes up$ )t will help to make ourimage up to our level as we don4t have to increase the price$

2.2 Distribution

6istribution is a key factor in marketing$ As this is the way to communicate

with the customers properly and in timely manner$ As we are concentrating

on the generic products* we will use di%erent distribution channels$

Transortation!



Transportation is a key factor of distribution$ As we want to be e7cient in our

distribution channels we will use the following vehicles#

8ehicle 9umber

Pick up /

:ickshaw van ,1

As we are focusing on major cities at (rst so we will start with the above

transportation systems$ &e have to support by distributing the product on

regular basis$ "or the eggs we will use the pick up to transport eggs and meatsfrom ;azipur to 6haka city$ +tarting from <arwan bazaar up to Agora and 9andan

we will cover them by using the rickshaw vans$

Channel structure strategy

Direct distribution: A+ we are having .==*=== chicken and the eggs would

be produced ,1====>,?==== per day so we have huge quantity to supply inthe market$ &e can use pickups to deliver the chickens in superstores andbazaars$ Also the vans and rickshaws can be use to send the eggs$ @ence*we will have economies of scale and bargaining power would be high and wewill have our own distribution channel to ensure the proper supply of eggsand meat at our buyer$ &e will also use retailers and wholesalers todistribute our product up to places where we will not be able to send ourproducts straightforward$

+o our distribution strategy would be#

,$ "irm$$+uperstores Su(e&sto&e))))))))))))))* )))))))+n# onsume&

2* !i&m)))))))o'esa'e&))))&etai'e&)))))+n#

onsume&

Distribution Scoe strategy

)t is extremely important for us to choose dealer who most closely match our

marketing goals and image of us$

Intensi.e #ist&ibution



This distribution will provide a farm with#

Bow degree of controlC @igher sales volume &ide customer recognition

@igh turnover Price discounting

2.3 Advertising/ product promotion:

As poultry firm we will go for supplying eggs and chickens to different shopping malls and

bazaars. &o we will focusing on basically providing outlets and maybe some time discount on

our product. !he prominent superstores of 'haka city are Agora, (andan, Meena azar. &o

besides supplying to the whole seller a farm should also try to build good relation with thesuperstores personals. )nce they will successful in doing this they can do direct marketing to

these superstores through sending salesmen to visit these superstores with occasional gifts.

Promotion-Expenditure Strategy: Promotion is a vital part in the total marketing

process. !he products that we are going to sell need very less advertising. !his is actually a

* selling. &o, the bottom line is to keep good relationship with the superstores and the

wholesalers. &o, to be successful farm promotion e$penditure should include the cost of

maintaining good relationship with the superstores and wholesalers.

+e will actually do the promotion for our products by using the followings

&o.i#ing te bue&s it #is$ount fa$i'ities: &e will provide discounts

on our products for di%erent circumstances$ "or example we will givediscounts on Dids$ Also for the bulk purchasing we will give discounts$ This willalso count for the shops as well as single customers$

oste& a#.e&tisements: &e will go for poster advertisements to post our

farm advertisements at production area and other nearby districts walls*buses* and other transportation vehicles like Escooters$ )t is possible to createvery attractive posters with colors* graphics etc which attracts a lot of people$

This can cover a wide range of people* which can be time saving and very

cost e%ective$ Also it will cover a wide segment of the people$ &e will also dopestering on the shopping centers$ +o that people can see them and give us atry$

a'en#a& an# &o$u&e a#.e&tisements: &e will publish calendars of our

(rms which will be distributed to bigger companies and potential markets of the local markets$ This will increase our identity to the mass segment of customers that we are targeting for$ Also we will make brochures which will begiven free to the customers who will come to the malls for buying products$

The brochures will have the following things# The names of the products that are currently o%ered and the

products that would be o%ered shortly

The kind of business practice they are in -ustomer responsiveness features



6iscount facilities

The hygienic features of products

The extensive level of animal healthcare facilities

Potentials in a contractual agreement with the farm

Pre-printed inserts / Newspaper insertion: Pre- printed inserts will be distributed

inside the newspapers. !his is another medium through which a farm can communicate with

out audience effectively. )n the day before the inauguration of the farm it can use newspaper

insertions in daily newspapers .!he newspaper insertion will state their mission and vision

which will help to identify who we are and what we are willing to do in present and also in

near future.

2.4 ustomer service

Fay be this option has not yet been practice in this segment of the industry yet$

ut we will try to make full utilization of it and make our customers more reliable

on us$

&e have made some selective duties and responsibilities for our customer

service$ They are#

!he manager has to take the main responsibility of the consumer goods and service.

Managers have to build strong relationship with the consumers and they have to maintain

the consumers.

ustomer should always get better service from the company and they should be the most

preferred.

The manager is responsible for monitoring the overall day-to-day activities of the farm

employees. /e will also be responsible for maintaining an e$tensive level of relationship

and contacts with the buyers and other local agents. !he manager will look after the operations of the farm staffs every day and ensure a

smooth flow of works in poultry farm. <nowledge on -ustomer :elationship management issues in the agro>based

farms$ )t is very much important for the company because this will help in thelong run for the company with the old* traditional loyal consumers$ This isvery important part of the company$ -ompany should focus on this$

-ourteous mannerism to interact with the agents of the buyers$ Dxtensive

level of knowledge in farming of poultry* livestock and poultry$

-apability of handling consumer problems$ ecause there exist all the timevarious types of consumer problems$



They should focus on more about the time to time the acceptance of no leave

decision for the welfare of the (rm$

The managers would be provided with normal form of environment$ The workload

may increase above expectations during the heavy working days$ +ittingarrangement may be con(ned$ Dxtended periods of standing or sitting may be

there so that our customers can come and communicate with ourselves$

arket Overview

2." Potential customers

-ustomers are our king$ +tarting from Agora and PG+ up to individual customers*

we have to satisfy them all from every angel$ As we are planning to deliver our

product to all over the country so we need to maintain customer satisfaction to

get more of them$ +till we do a segmentation based on the product delivery$

asically we will have two segments of customers$ They are#

#egular customers# )n case of regular customer we have two more

sides$ They are#o The $holesaler! The wholesalers will take supply from us on

regular basis to distribute our products to the bigger towns as wellas newly potential places$

o #estaurants! 9ow a day there are plenty of restaurants* fast food

shop through out 6haka city and also in other places$ They need ourproduct simultaneously$ +H they are one of our regular customers$&ho will do the bulk purchases of our meats and eggs$

%rregular customers! Hutside those customers regular customers

we are also targeting some irregular customers who buys poultry goods for aparticular occasion$ Fost of the time they need a balk amount of products* so

we can give some discount for them$ As we are giving the markup for theregular wholesalers* we give a percentage of that markup for those irregularbalk amount buyers$

2.& Si'e and growth o( the market

)*er*iew o( Poultry Sector in +angladesh



)n the last few years people have found this sector a good source of income$ +o

newer companies are coming up with good (nancing and technical support$

Poultry farms having sizes ranging from a few hundred birds to several hundred

thousand birds are mushrooming throughout the country$ This phenomenal

growth has resulted from the decline in the supply of the other two protein

sources* namely* (sh and beef$

The potential of this sector is not even half>utilized in the country* and so there is

call for a greater attention* o7cials said$ To feed the potential industry* ,/=

hatcheries and ,* ?=*=== commercial layer farms have been set up throughout

the country$

This poultry sector is growing may be because the (sh population is declining

and people are switching to poultry as a source of animal protein$ According to a

.==, census completed by the 6epartment of Bivestock +ervices 26B+3 and the

Poultry +ector 6evelopment Project 2P+6P3* there are approximately ..*1I=

commercial poultry farms housing J0*,=*=== layers and 1I*J0*1=== broilers in

angladesh 2Karjour* .==.3$ These poultry farms are producing approximately

00I0 tons every day in the country$

The #ole o( Small holder Poultry irms in the country

Poultry (rms are mainly owned and managed by women and are often essential

elements of female headed households$ Poultry are socio>culturally important

with few religious taboos attached$ Production is feasible at village level* where

only low cost technology is needed to improve production considerably$ Bow

investments only are required to achieve such change* land ownership is not a

constraint* and village production is environmentally friendly$ "amily poultry

production represents an appropriate system to contribute to feeding the fast

growing human populations and to provide income to poor small farmers*

especially women$

The %nternational -etwork (or amily Poultry

De*eloment %-PD/

)9"P6 is mainly a network for information exchange* one of its objectives being

to encourage higher standards of husbandry that can sustainable increase the

productivity of family poultry units$ The steps they are taking are#

Inte&nationa' #ono& e3o&ts



e'( of NOs an# ote& agen$ies

Constraints o( oultry de*eloment in +angladesh

Poultry is essential to the national economy of angladesh and the welfare of

human beings as well$ +everal constraints* the diseases* poor husbandry* low

productivity and shortage of food a%ect the optimal performance of this industry

in angladesh$

2.0 Strategic rou analysis

)n the strategic group analysis it is require focusing on the competitors within the

same industry$ Also focus on the way of doing business by them and how they

are building strategies to operate$ Among the major poultry (rm with whom our

(rm might face competitions are brother poultry* con(dence poultry* selim* and

saf agro poultry$ @ere are some strategic issues about our competitior#

Sa( agro!

Their goal is to start small scale production to some extent not to go for mass

production with high investment$ Try to serve the market in a best possible way$

The company is -hittagong based$ Fonthly production is going to be /===>0===

and will increase the production level accordingly$ Presently operating in a 1===

sft area$ @owever* have a capacity to increase the area up to 1=*=== sft$

Operational Plan:

2. 34isting core cometencies



&hen we will come in business we will have some competencies which will make

our product portfolio$ As we are not manufacturing anything* it is di7cult to trace

a core competency in the production process$

• "or the operational process* we have some core competencies e7ciency in

the management process over our competitors$

• &e recruit trained employees who are our one of the core competencies$

• Hur base line is our quality for the chicken foods and other required

facilities$ There will be no impurity in our chickens$

• Also the chickens will be properly taken care of which includes giving

medicines and keep in safe position$

2.5 uture cometencies

• &e will go for new product line and that will be supported by strong

(nance$ Hur (nancial strength is going to be a competency factor for us as

other (rms of this industry are not backed by proper (nancial support$

• &e are strongly depending on the equity (nancing and our adopted debt

will be much lower than the available limit$ +o* there will be a highpossibility to grow in the market$

• &ith the technological improvement* we are going to adopt technological

developments to our business and that will obviously provide us more

competencies in the industry$

2.16 Product ser*ice o*er*iew

The equipment and machinery required to set up the plant will have to be either

locally bought or imported and installed at the location$ There are several

machineries that are required for the production and these machineries can be

obtained from a number of di%erent sources$ The management will take a

decision on the equipment and machinery based on the comparison of the

machines from the di%erent sources and their prices$ The quality of the machines

will also be a key factor the decision making$



2.11 acilities

)n case of our poultry (rm we are considering on several facilities to improve the

production of chickens$ They are#

6an#: The land has to be suitable for the production of chickens$ )t must have

connection to all other facilities including good sources of workers and specially

water resource$

ui'#ing: &e are having 5 t&ee sto&e# buildings for our birds$ Fany poultry

farms are keeping chickens into non concrete building or rooms made with

fences$ This is certainly not good for the chickens as such rooms can not protectchickens from bad environment and also not hygienic as such these sorts of

rooms are not a good place for keeping chickens free from virus attack$ Hn the

other hand* Luctuation in temperature is also a great problem for the foster and

productivity of chicken$ +o the best option could have kept those chickens into

air conditioned rooms$ ut it is very expensive for us and would be di7cult to

sustain in market through competing with competitors by incurring such a huge

amount of utilities cost$ @owever* concrete building is good enough for the

current state of our country$

a&eouse: &e can use ware houses to stock the eggs and processed chickens

so that we can directly sell our product to bigger shops like Agora* PG+$ )f we can

make an agreement with them* we don4t need the help of supply chain in this

case$ &e can do stockpiling and sell our products to them$

&ofessiona' o&ke&s: &e will work with professional workers in our (rm with

good skills of production and we will introduce lessons sessions so that they can

learn about di%erent situations from practical examples$

7ti'ities: "or a poultry farm not too many utilities facilities are need$ +upply

ample amount of water and ensuring consisting supply of electricity is required

only$ To provide such facility it is a good choice to plant such farm in azitpurC

<ishorganj* where it will be easy to get water$ "or electricity supply we will

primarily take the connection from the rural electri(cation board and will have /

generators as back>up that would ensure consistent power supply$



2.12 37uiment and machinery

The equipments and tools that we will use for production are mainly available in

local market$ Also we will bring some other machinery from abroad$

Si* a&ti$u'a&s Nos* ate/Tk*

%a'ue/Tk*

No*

,$ "eeder ox ?=*=== ,/=

IJ* ==*===

.$ 6rinker 01*=== 01

.=* .1*===

/$ Baying ox /=*=== /1

,=* 1=*===

0$ &eighing balance B$+$ >

.=*===

' others

1$ -ages .*1== /*.==

J=* ==*===

Tota':

,* JJ* M1*===

si$a' !a$i'ities:

As poultry (rms don4t need of that much technological support so we will be

concentrating on physical support mainly which we will be needing the whole

time of operations$ +tarting from the feedings of the birds up to their

maintenance the whole process need of physical help$

,$ An agreement to grow chickens must be reached with a poultry company

before proceeding with any plans to build or produce a poultry operation$



.$ Property should be located within approximately .1 miles of complexfacilities>feed mill* processing plant* and hatchery$

/$ uildings 2poultry facilities3 must conform to industry standards and mayvary from company to company$ -onsult company representatives fordetails$

0$ @ouse equipment must conform to industry standards as to type* amount*installation* etc$* which will vary from company to company$

1$ "armstead* especially immediate area around the poultry buildings* mustbe prepared to accommodate feed trucks* catch and haul equipment andother vehicular tra7c$ )n addition* poultry houses should be built areasonable distance from neighbors to minimize problems$

?$ +itting of buildings should be discussed with proper authorities beforeconstruction* concerning state and local laws that may a%ect youroperation$

I$ +ize and number of houses must be settled with poultry company beforeconstruction$

J$ )f you are considering purchasing an existing poultry farm* prospectivecontracting company and5or company representatives should inspectpremises* with you* to determine suitability for growing birds$ Nou shoulddiscuss what equipment or building upgrades will need to be made beforebirds are placed$

Sstem maintenan$e

Any well>designed lighting system will deliver the light for which it was designed

only if the system is properly maintained$ A good maintenance program involves

prompt replacement of blackened or burned out lamps* washing lamps and

luminaries* periodically cleaning and repainting walls and ceilings on a scheduled

basis$

2.18 Production and manu(acturing rocess

The production process is not very critical in our company as it depends on the

nature mostly$ BikeC for poultry production we are going to fully depend on the

natural productivity of chickens to lay eggs$ The whole process is actually done

by manually with some trained workers with the direction of experts$

The project will procure dayOold chicks from <azi farm* rac farm or Aftab

farm$ These chickens are to be rearedOup to .= weeks to make them layingbirds$



At the infant stage* chicks are to be kept in brooder by maintaining speci(c

temperature and supply of food as per speci(ed quality and quantity must beensured$

Baying birds are made habituated to lay eggs in the laying box$ )t is seen that

a high breed species of layer 2e$g$ "iomi +onali* @isex &hite* +haver +tar

-ross3 generally lays .J= to /.= eggs in a year and it remains laying bird forabout ,1 to ,? months$

2.19 #esearch and de*eloment

There is very limited amount of research ' development in this sector$ Almost all

the (rms in the country still depend on research ' development done in the

western countries$

&e always require interacting with the environment$ And communicate with the

surrounding market$ &e need to know what are the customer needs* what are

our competitor doing and are we in any danger to lose our market$

Also we need proper data analysis and examine di%erent procedures that might

help us to (nd a proper way of reducing the cost as well as maintain excellent

quality$ To carry out all of these steps we need proper research and development

method which will help us to gain market share and also sustain in the long run$

2.1" :uality assurance

Guality Assurance 2GA3 procedures ensure that the quality of the products is

maintained by strict compliance with international speci(cations on raw

materials* packaging materials and (nished products$ )n addition to raw and(nished product testing* tests are carried on work>in>process to ensure the

process and hence products are always within acceptable quality limits$ A perfect

and e%ective value chain is the ultimate mean of supreme quality$ Adding value

in the every level of work ensures the real quality of the product$ The following

,? aspects have been (nally considered as comprehensive issues for

intervention$ They are#

Comrehensi*e oultry olicy! Back of comprehensive poultry policyguideline was considered as a basic constraint to ensure proper implementation



of rules and regulations pertaining to sustenance of the industry$ This was true

for the entire value chain where concerns related to bio>security* health

management* pricing policies* quality assurance* etc$ were identi(ed as issues

requiring immediate attention$

The associations! The associations of the poultry farmers across the

chain were considered weak as well as across the value chain they were found

to be competitive rather than complementary$ Thus a symbiotic relationship is

non existent resulting in exploitation by certain groups$

Technology! Back of Technical know>how* both technologies as well as

trained people to handle the technology were found to be inadequate at all

levels of the value chain$The technology related issues included knowledge

regarding rearing* disease handling* productivity* etc$

;aintenance o( bio security! Faintenance of bio security was

considered extremely important for ensuring quality consumption by human

beings$ )n case of grand parent farm or parent farm* bio security was more a

concern due to location of the farms while for the layer and broiler farms it was

more of internal environment management$

;anagement o( oerations! Fanagement of operations was

another major weakness prevalent across the value chain resulting in poor

performance* low productivity* inadequate capacity utilization* low pro(tability*

business ethics* etc$ The lack in management was mainly in the areas of

general management of the (rm* marketing operations* (nancial management*

and quality control management$

;anower! Back of trained manpower 2technical* medical* management3

to facilitate training programs at all levels was found to be another major cause

hampering growth$

Training! The training inadequacy was a result of lack of adequate

materials* low incentive for trainers* and inadequate facility for providing

practical training$



;%S! Back of proper management information system to ensure e7cient

collection* processing* and dissemination of information surfaced as another

major impediment towards success of the poultry sector$

<aboratory testing! Back of adequate laboratory testing facility which is

considered as a key to quality control of feed* medicine* chicks and disease

control measure was identi(ed as another major hurdle to inadequate quality

and disease control practices$

Handling o( medicine and *accine! )mproper handling of

medicine and vaccine was another cause of low productivity* low growth and

high mortality of chicks which has a direct impact on both layers and broilers$

The primary reason for this was identi(ed to be inadequate number of trained

medical practitioners and misuse of medication by some medical practitioners

as well as agents under intense promotional campaign resulting from sti%

competition from the manufacturers of drugs and vaccines$

Practice o( knowledge! <nowledge and practice on quality standards

for feed* medicine* vaccination* and chicks is hardly visible$ This has resulted in

availability of spurious feed and medicine and wide variation in quality of

chicks and other essential supplies$

Publicity = Promotion! )nadequate publicity and negative promotion

of the sector by the mass media was considered an impediment towards

growth of the sector and low level of consumer trust$ At the same time* the

smaller farms 2layers and broilers3 did not have adequate (nancial strength to

promote their contribution to the society which was considered essential for

inLuencing the media as a promotional vehicle$

The role o( Consumer >ssociation o( +angladesh C>+/!

The role o( Consumer! Association of angladesh 2-A3 in both

monitoring the activities of the producers as well as educating the consumers

regarding the produce was found to be highly lacking$ This was also considered

to be a major cause of unethical practices by few followed by negative media

campaigning resulting in low consumer trust$



Channel members! The dependence on the channel members both at

the intermediate as well as the end product level was considered a major

hindrance towards growth of the smaller (rms$ The problem is associated with

price control* pro(t margins* inadequate information* quality control* unethical

practices* and above all lack of integration and understanding across the

poultry value chain$

$orking caital! Access to working capital by the smaller (rms in

particular was considered a major hurdle$ This has resulted in higher

dependence on the channel members for loan and thus being dictated by

them$ Hn the other hand the (nancial institutions (nd the smaller (rms as high

risk clients since they operate under uncertainties of disaster and at the same

time are di7cult to monitor$

Distribution ;anagement! The overall distribution management of

chicks* eggs* medicine* vaccine* and poultry was identi(ed as another cause of

high mortality and low pro(tability$

%nade7uate *alue chain! The transportation* packaging* and branding

was considered as inadequate across the value chain$ "or example inadequate

cool chain resulted in low e7cacy of drug and vaccine* inadequate packagingresulted in high mortality of chicks* Poor packaging of eggs causes damage as

well as bacterial infestation* inadequate branding results in low quality

monitoring* etc$

Human Resource anagement and Planning

2.!" #ey issues

@uman :esource and its functions is the vital area of any kind of organization

and the @uman :esources are the main resources who will utilize the other

resources to come up with best product or services with highest outcome$ 9ow a

day it has become the critical issue as because* from a market study it was found

that most of the farms su%ering in the industry were due to the bad

management of its human resource$



Therefore* @: functions should be maintain such a way so that* human resources

of our (rm will be the main assets$ Though the (rm does not require a concrete

@: department but the @: functions will be maintained$ +ome key issues of the

human resource that poultry farm should follow are#

The experience of the workforce especially in the poultry industry @iring the appropriate workforce who will run the business

@aving proper Kob analysis before hiring people so that wrong people are

not selected for a certain position The training of the workforce in the related (eld

The dedication* adaptability and Lexibility of the workers

The spontaneous decision making capability of the workers at least to a

small scale Dstablishing a proper compensation package for the employees and treat

everyone equally The integration of the working condition to the technological development

by the workers @aving a ethical management with ethical leadership

oth way communication would be there

The loyalty of the workforce

Faintain a standard* friendly and common ethical culture so that all

employees or every person in the (rm will have same interest with asingle goal and the behavior to the (rm of all will be same

The complete focus of the workers on the welfare of the company

These are going to be critical issues for the workforce of our poultry business$ )f

all these issues and maintained and handled properly then it will create welfareto the (rm and the main goal and objectives is the organization would be met

ultimately with a noticeable pro(t maximizing$

2.!$ Structure

Any organizations @: structure is highly inLuenced by the organization structure$

ased on the structure a certain culture is developed in the (rm and @: policies

are related with this structure$ That is why* the (rst component would be our

poultry (rm4s organogram and that is#



Hrganogram of the poultry (rm

The @:F policies and practices creates a @:F style in any organization and this

style depends on the organization structure* it4s culture* strategic decision*

policies* @: functioned* organization culture$ @: strategy is always needed to be

aligned with the organization strategies as these strategies would be implied by

the human resources$ Htherwise* there would be ambiguity$ ased on all these*

strategic factors* organization culture* and projected @: practices we have cameup with a certain @: model that is our Proposed @: Fodel for the poultry (rm$



The organization structure of the (rm is Lat that support democratic @:F style

but the business itself and the national culture of angladesh is autocratic so*

the it won4t follow democracy in their @: practices and policies

-ontrol would be needed in the lower level of the job positions* on the other

hand* in the managerial level or middle level the employed would neededempowerment and they will participate in the decision making$

)n the lower level of the organogram the structure is tall and in top and

middle level it would be Lat and this type of mixed structure also a%ect the@:F practices and style of the poultry (rm$ That is why* the @:F style ismixed in our poultry business* where freedom will depend on job position*trust and control both will be available$

2.!% Sta&& re'uirements



Tota' sa'a& 9ea&' Tk* 2;,5;,<00

Kob

Position

9o$ of

Dmployee

+alary

:ange

2Tk3

Fedical

Allowan

ce

Total

amount5ye

ar

2Tk3

;eneral

Fanager, person

1<000-

18000

<00 18,<00

Farketing

Fanager, person

12000-

15000

<00 15,<00

+ales H7cer 0 person 5000-<000 <00 2<,400

Accountant , person8000-

10000

<00 10,<00

8eterinary

doctor, person

8000-

10000

<00 10,<00

+upervisor 0 persons <000-8000 <00 =4,400

6river / persons =000-5000 <00 1<,800

+ite &orkers ,= persons 5000 <00 5<,000

+ecurity

;uards

0 persons =000-4000<00 18,400

-leaner I person =000 200 22,400

Total /? person 2,2>,800



JO OSITION: +N+?6 @?N?+

!he manager will be responsible for taking strategic decisions and monitoring the overall

day-to-day activities of the farm employees and also be responsible for maintaining an

e$tensive level of relationship and contacts with the buyers and other local agents.

ESSENTIAL DUTIES AND R ESPONSIBILITIES The manager will look after the operations of the farm sta%s every day

and ensure a smooth Low of works in poultry farm$ The general manager will be responsible for providing updated information

and performance report to the owners both in formal and informal form$ The general manager will be responsible for the recruitment process

coordination and will provide every possible help to the owners in thisrespect$Dnsure the buyers and their agents are properly dealt with by the sta%s

Book after the input and output handling operations through an extensive

level of supervision of the jobs of the supervisors and site workers$ Providing the project coordinator with knowledge and current situations

about the market potentials and opportunities Prepare and maintain a (nancial report of the farm operational expenses

as required$ :esponsible for recruitment and selection* hires* discharges* transfers* and

promotes workers* enforces safety regulations* and interprets policies$

COMPETENCIES, SKILLS AND K NOWLEDGE R EQUIREMENTS• Fasters degree preferably in agricultural studies with 1>I years of

experience in agro>based farming activities

• -apacity and capability to promote and expand the company business

operations through preparation of a market analysis and feasibility study$

• -apability of handling labor disputes

• <nowledge on @uman :esource management issues in the agro>based

farms$

• Dxtensive level of knowledge in farming of poultry* livestock and poultry$

• -ourteous mannerism to interact with the agents of the buyers$

S?6?A

,?*===>,J*=== T<$ 29egotiable in case of extra>ordinary quali(cation3

?== T<$ Fedical Allowance

JO OSITION: @?B+TIN @?N?+



The manager is responsible for developing the marketing plan for the farm, building strong

relationships with the buyer and the superstores, introducing effective marketing strategy for

better selling of products.

ESSENTIAL DUTIES AND R ESPONSIBILITIES

The manager will be responsible for the business development of thecompany uilding strong relationship with the buyer especially with the big ones like

Agora* 9andan etc @e will (nd out new promotional ideas to boost the sales of the farm

COMPETENCIES, SKILLS AND K NOWLEDGE R EQUIREMENTS

• A or FA from any reputed niversity having at least . years real (eld

experience$

• -apacity and capability to promote and expand the company business

operations through preparation of a market analysis and feasibility study$

•

-apability of handling labor disputes• Dxtensive level of knowledge in farming of poultry* livestock and poultry$


S?6?A

,.*===>,1=== T<$ 29egotiable in case of extra>ordinary quali(cation3


JOB POSITION: ACCOUNTANT

The accountant is responsible for monitoring the overall day-to-day transactions of the firm.

/e will be responsible for all type of financial transaction inside and outside the firm related

to the firm.

ESSENTIAL DUTIES AND R ESPONSIBILITIES The manager will look after the (nancial and non (nancial operations of

the farm sta%s every day and ensure a smooth Low of works in poultryfarm$

@e will prepare the income statement* balance sheet for the (rm after

every (scal year$ @e will take note of every day transactions taken place in the farm and

with the buyer outside the (rm$


• Fasters degree in Accounting with high command over the day to dayoperation in a traditional farm

• operations through preparation of a market analysis and feasibility study$

• -apability of handling labor disputes

• <nowledge on in farming of poultry* livestock and poultry and @uman

:esource management issues in the agro>based farms$



S?6?A

J*===>,=*=== T<$ 29egotiable in case of extra>ordinary quali(cation3


JOB POSITION: SUPERVISOR

Through the initial periods of the farm* there will be two supervisors appointed inthe farm$ Hne of them will responsible for taking care of the poultry4s segment

which will supply chicken for meat and another person will look after chickens

using for producing eggs$ oth of the supervisors will be monitoring and

coordinating the activities of the site workers and also some other procurement

and logistics supervision is required$

ESSENTIAL DUTIES AND R ESPONSIBILITIES The supervisor will be responsible to report to the general manger directly

with everyday performance* events* and incidents$ The supervisor will partly responsible for the marketing and sales activities

of his department$ &ill monitor over the activities of the site workers and make sure no one is

evading their respective duties during the working hours$ The incumbent will count the number of the eggs laid by the hens in the

farm and monitor and instruct as necessary over the proper process andhandling during the egg plucking period$

&ill be responsible for reporting to the project coordinator about any sta%

related issues$-oming to the premises on time and dispense necessary activities to the

site workers$

@andle any work related grievances and disputes from the site workers

and the security guards$ )nteract with the buyers of the agents with an amicable mannerism$


• The incumbents will have to have an educational background of at least

up to the ,.th grade with />1 years works experience in the related (eld$

• Dxtensive knowledge of farming of poultry$

• The veteran experience will be a preference$


S><>#?

?*===>J*=== T<$ 29egotiable in case of extra>ordinary quali(cation3


JOB POSITION: SITE WORKERS



!he site workers will be responsible for maintaining and caring for the poultry of the farm.

!he plucking of eggs, feeding the chickens will be taken care of by these workers. !heir

salaries will be pumped up with additional bonuses depending on the farm output increment

over a certain period of time.

ESSENTIAL DUTIES AND R ESPONSIBILITIES &ill be responsible for the reporting to the supervisors directly and follow

the orders of the department supervisors strictly$ "eed the chickensC clean the wastage of the chicken and plucking of eggs

each day with careful handling$ Assistance to be extended to the other site workers as required and

instructed by the supervisor &ill be strictly responsible for every activity performed by them$


•

The incumbents will have to have an educational background of at leastup to the @$+$-$ with extensive knowledge of farming of poultry

• Previous experience in an agro>based farm is preferable$

• Any training in the relation with poultry will be an added advantage$

S><>#?

1*=== T<$ 29egotiable in case of extra>ordinary quali(cation3$

JOB POSITION: SECURIT GUARD

!he security guard will be responsible for maintaining and ensuring an overall security for

the farm through resisting and pilferage from within the farm as well as prohibiting and

barring any outside intrusions into the premises. /e will be reporting directly to the farm

supervisors and through which the farm manager will be notified of any such issues.

ESSENTIAL DUTIES AND R ESPONSIBILITIES Hpening the gate for the sta% every time they enter or leave the premises

Dxamines doors* windows* and gates to determine that they are secure$

)nforms and warns violators of rule infractions* such as loitering* smoking*

or carrying forbidden articles &atches for and reports irregularities* such as (re hazards* leaking water

pipes* and security doors left unlockedC sounds alarm in case of (re orpresence of unauthorized persons


• The incumbents will have to have an educational background of at least

up to +$+$-$ from any local school$

• Finimum knowledge on operating and maintaining intercom facilities$

S?6?A



/*===>0*=== T<$ 29egotiable in case of extra>ordinary quali(cation3


2.!( Expectations

Se) ection * +ecruitment "or the welfare of the farm* it is very important to maintain an extensively

experienced and dedicated workforce and so the selection and recruitment policy

is very important here$

&e would emphasize mostly on experience of working in the related (elds$

&ould focus signi(cantly on the attitude and the behavior of our expected

employees$

Try to hire people who are currently working in di%erent farms$ They will be

provided an attractive incentive package for the future$

Providing a good working environment with safety to our employees$

Arranging an extensive training program for most of the employees in

other private or government farms or institutions and the performance inthese training programs will ensure their stay with the farm$

;ive enough liberty to the employees to exercise their skill or decision

making ability but for that* they must prove their ability (rst$

,raining and eve)opment

After selecting some candidates from the interview process* we will conduct a

training program in some established farms of the country or send them in some

government organizations* likeC Kubo nnayan +angastha$ The training program

will be funded by the farm and the candidates will also be paid a certain amount

for their participation in the training program with a given condition that* if hepasses the training program he must join the farm for minimum one year$

Training and development of new and existing employees through>

Hn>the>job training

H%>the>job training

efore arranging any training program a farm should ensure an e%ective

employee orientation program that will help the employees to familiar about the

farm facilities and activities$ And then should go for training activities as in

poultry industry (rms are facing tremendous threats of various chicken diseases

and requires well trained employees who have ideas regarding these diseasesand well informed about how to keep farm rooms hygienic$



o Ana)ysis

&ection I.0 Proper 1ob analysis will be done so that all the duties, task andresponsibilities would be easily identified for each 1ob position. !hat will help my firm to

select and re2uite right person for the right position and create a proper compensation

package for each particular 1ob. )n the other hand, appropriate 1ob analysis help other criteria

like performance appraisal of the employees, training employees when needed, performance

development as oss these would be matched with and measured according to the 1ob

re2uirement after the proper 1ob analysis. )n the other hand, e$plicit and clear 1ob description

also helps the employees to recognize their responsibilities in the 1ob.

0otivation * ompensation

The motivating factors are required to be aligned with the jobs of the employees

in order to expedite their working process and productivity$ The employees will

be motivated to enhance their productivity according to the following processes#

ain Sa&ing# The managers and other workers will be provided with

gain sharing facilities in order to increase his performance$

onus O3e&ing: All the employees in the (rm will be provided with

compulsory bonuses during the Did festivals* which is double the salaryof the corresponding month before the Did festival$

@e#i$a' ?''oan$e: Dvery one with in the company will be provide Tk

?== medical Allowance for each month with their total salary$

?&&anging &o(e& T&aining &og&am: The supervisors* in this case*

will be responsible for training the site workers regarding various workrelated issues that are required for them to learn$

Per&ormance Appraisa)/ Emp)oyee 1eedac

The employee performance will be monitored and evaluations will be conducted

which will determine their incentive amounts$ "or instance* the site workers4

performances will be monitored on the basis of a standard goal setting approach$

@ere the site workers will be provided with a speci(c time limit within which to

conduct and (nish their jobs$

+nt& to

e&fo&man

$e

?g&eement



Performance Appraisal Cycle

)f the time limit is met* their performance will be evaluated as satisfactory and

incentives will be provided accordingly$ )ncentives will be> money* eggs* time o%

etc for the site workers$ The supervisors4 performance will be appraised on the

basis of a /?=Q performance appraisal procedure$ The site workers evaluations

will be monitored and regarded in order to justify the supervisors4 performance$

Risk Analysis

2.2 1oreseea)e +is

:isk is also a factor that all the (rms have to consider$ There are two types of risk

in poultry production$ Hne is price risk* another is production risk$

De.e'o(m

ent

'an

9t&aining

e&fo&man

$e

ating

@o#e&ati

on

e&fo&man

$e

?((&aisa'

@i#-$$'e

e.ie



Price ris

)n case of price risk* broilers are perishable* if the farmer fails to sell at theproper time* they will face a great loss$ +o* the biological nature of broilers is the

cause of price instability$ )n the study period independent farmers received price

of broiler 1?>I= tk per kg* whereas contract farmer got 10 tk per kg$ A telling

factor was that contract farmers were not much a%ected by Luctuating prices

since the price agreed upon at contract signing was (xed* regardless of market

price changes$ As a result* grower payment depends upon production outcomes

but not price outcomes$ +o* growers do not bear price risk$ esides that most of

the independent respondents stated that sometimes they faced the problem of

selling broilers at a time which a%ects their selling price$

Production +is

Production risk mainly happens in broiler farming due to death loss of the birds$

Hutbreak of disease is causing a considerable economic loss and erosion of

con(dence in poultry farming$ Again for the lacking of the employee (re can

spread out in the factory$

2.2! n&oreseea)e ris

+ird lu ! +ird @u *irus a serious threat, desiteimro*ed resonse! )n angladesh bird Lu has spread to Poultry farm

which is a big king of threat$ RThe infection was detected at a farm in westernFagura district .== km 2,.1 miles3 west of the capital 6haka and (ve farmsat +avar in the 6haka district*R a spokesman at the poultry and livestock

ministry said$ The @19, bird Lu virus has been spreading in poultry Locks inangladesh despite culling and banning of the movement of chickens in areaswith con(rmed outbreaks$

-ontaining and eradicating the virus will require a long>term (nancial and

political commitment from ;overnments* including modifying or changing

high risk poultry production and marketing practices to ensure safer supply$



Political instability! 6ue to strikes and other political problems the

distribution is a%ected most of the time which can hamper the distributionchannels$

3n*ironmental actors! 9atural calamity might occur and that willcreate a huge barrier on the way of our prosperity$ Fany farms su%ered fromnatural calamity like earth>quake* storms and so on$

. Financial anagement plan

2.22 Assumption

rowth o( the oultry rice 16A/!

Bast (ve years* the overall price increase in the poultry products egg* chicken

and processed meat of poultry chicken is nearly about ?S to IS$ ut the more

interesting thing is the increased more than ,=S during the last three years$ +o

we assume that for the next ,= years of their forecasting* prices of all poultry

goods will be increased at least by ,=S$ +imilarly because of the inLation it

should always keep in mind that the cost for operating poultry (rm would also be

increased in future$

DebtBe7uity assumtion!<ey sources of (nance for that of the farm in the initial years would be more

based upon the equity with some 0=>01S on debt among with majority would be

long term debt$ Bater on it will be a standard debt> equity form that is ?=#0=$

<oan %nterest rate!Boan interest rate from the bank for this industry is ,.S>,1S and it varies from

farm to farm$ &e assume average interest rate for our farm that is ,/$1S$

2.23 1inancia) P)an

$ays o( nancing!&e are focusing on only 6ebt> equity (nancing and we are taking loans from one

nationalized bank which is Agrani ank and one commercial bank which is ankAsia ltd$ Hur debt> equity ratio would be ?=#0=$



<and = location

The project is proposed to be located on a plot of land measuring . acre5 ten

biga$ "or our project we proposed for leasing the land which will incurs Tk$

1*==*=== as an initial payment and then Tk$ 0=*=== per year for the next ten

years$

+uildinga&ti$u'a&s ?mount/

Tk*

"our stored building* a food store house*

+heds for employees* construction of tools ,*.=*==*===

keeping rooms and others$

ehicles (or Transortation%ei$'e e& unit ost in

Tk*

Numbe& Tota' $ost

Pick up J*==*=== / .0*==*===

:ickshaw van J*=== ,1 ,.=*===

Total ,J .1*.=*===

Tools and e7uiment Si* a&ti$u'a&s Nos* ate/Tk*

%a'ue/Tk*

No*

,$ "eeder ox ?=*=== ,/= IJ* ==*===

.$ 6rinker 01*=== 01 .=* .1*===



/$ Baying ox /=*=== /1 ,=* 1=*===

0$ &eighing balance B$+$ > .=*===

' others

1$ -ages .*1== /*.== J=* ==*===

Tota': ,* JJ* M1*===

3lectricity and water

An amount of Tk$ 01*=== per annum has been provisioned in Dlectricity and twopump will cost around tk /=*===$

#eair and ;aintenance:egular repair and maintenance would be necessary for (xed assets of the

project$ This cost is estirnated at Tk$ ?=*=== per year$

Pricing&o#u$ts +"isting @a&ket

(&i$e/ Tk*

&o#u$t se''ing

(&i$e/ Tk*Dgg 0$1=5 egg 0$==5 egg-hicken M1$==> ,==$==5 kg M=$==5 kg

Project Cost = inancing Plan?mount in Taka

a&ti$u'a&s

S(onso&Cs

euit 6O+ 'oan Tota'

Band2advance and

development3 1*==*=== 1*==*===

uilding ' others

constructions ,*.=*==*=== ,*.=*==*===

8ehicles .1*.=*=== .1*.=*===



Tools and equipment ,* JJ* M1*=== ,* JJ* M1*===

Tota' !i"e# $ost /=*.=*=== /*=J*M1*=== =,=>,15,000

&orking -apital 5<,2>,800 5<,2>,800

Tota' $ost of te (&oEe$t 8<,4>,800 =,08,>5,000 =,>5,44,800

$orking Caital >ssessment &orking capital requirement to be required for maintaining liquidity and for

a&ti$u'a&s

Tie# u(

(e&io# Aea& 1 Aea& 2 Aea& =

"eed' medicine ,1 days 1=*==*=== 1=*==*=== 1=*==*===

&ages ' salaries , month 2,2>,800 2,2>,800 2,2>,800

Hther expenses , month 0*==*=== 1*==*=== ?*==*===

Tota'

5<,2>,

800

5;,2>,8

00 58,2>,800



2.24 5ncome statement

&oEe$te# In$ome Statement

Amount in Taka

a&ti$u'a&s Aea& 1 Aea& 2 Aea& =

Sa'es e.enue ,I*.J*==*=== ,J*0=*==*===

,J*0=*==*==

=

ost of oo#s So'#

Procurement of -hicken

2.*==*=== nos$ Tk$ /=$==

each3 ?=* ==*=== ?=* ==*=== ?=* ==*===

"eed M*II*==*=== M*II*==*=== M*II*==*===

Fedicine /*==*==*=== /*==*==*=== /*==*==*===

&ages and salaries 2;,5;,<00 2;,5;,<00 2;,5;,<00

tilities 01*=== 01*=== 01*===

Transportation ,*1=*=== ,*1=*=== ,*1=*===

6epreciation and write o% ==,=0,000 ==,=0,000 ==,=0,000

Fiscellanous J*==*=== ,.*==*=== ,.*==*===

Tota' $ost of goo#s

so'#: ,0*=I*J.*?== ,0*=?*,=*.==

,0*=?*,=*.=

=

Net (&oFt befo&e

inte&est9+IT /*.=*,I*0== 0*//*JM*J== 0*//*JM*J==

)nterest expense 1=*?=*=== 1=*?=*=== 1=*?=*===

Net (&oFt afte&

inte&est9NI .*?M*1I*0== /*J/*.M*J== /*J/*.M*J==



2.26

as7 &)ow statement

&oEe$te# as !'o

Statement

Amount in Taka

a&ti$u'a&s Aea& 0 Aea& 1 Aea& 2 Aea& =

Sou&se of !un#

Paid up -apital

/*/I*==*==

=

Boan

1*==*==*==

=

6epreciation ' &rite

o%

==,=0,000

==,=0,00

0

==,=0,00

0

9et pro(t after

interest

.*?M*1I*0=

=

/*J/*.M*J=

=

/*J/*.M*J=

=

Tota' sou&$e of

fun#:

J*/I*==*==

=

/*=.*JI*0=

=

0*,?*1M*J=

=

0*,?*1M*J=

=

7ti'isation of !un#

-apital expenditure

I*J?*?=*==

=

De(&e$iationG &ite

o3

uilding and other construction ,=S ,.*==*===

Tools and equipment ,=S ,J*J=*1==

8ehicles2 straigt line dep over ten yrs$3 .*0M*1==

Tota'/ Tk* ==,=0,000



)ncrease in current

assets 11*==*=== 1?*==*=== 1I*==*===

:epayment of loan 1.*==*=== 1.*==*=== 1.*==*===

Tota' uti'iHation of

fun#:

I*J?*?=*==

=

,*=I*==*==

=

,*=J*==*==

=

,*=M*==*==

=

-ash surplus2de(cit3 1=*0=*===

,*M1*JI*0=

=

/*=J*1M*J=

=

/*=J*1M*J=

=

Hpening cash

balance

.1*==*===

/=*==*===

0=*==*===

-losing cash balance 1=*0=*===

.*.=*JI*0=

=

/*/J*1M*J=

=

/*0J*1M*J=

=

Here we can see that our project generate cash in future or it gives positive cash

fow! At our starting "ear our cash surpus is ow in a#ount $ut in "ear % it generatescash at high in higher a#ount an& it increases #ore in "ear ' an& (!



2.2" Pro8ected 9a)ance s7eet

a&ti$u'a&s Aea& 0 Aea& 1 Aea& 2 Aea& =

?ssets

u&&ent ?ssets

-ash balance 1?*.M*J== ?=1==== I?11=== J0.=1==

Hther current assets 11===== 1?===== 1I=====

Tota' $u&&ent

assets 1?*.M*J== ,,11==== ,/.11=== ,0,.=1==

Ote& ?ssets

"ixed assets /*/M*,1*=== /0,1==== 0.J0==== 0J======

Tota' ote& assets /*/M*,1*=== /0,1==== 0.J0==== 0J======

Tota' ?ssets: =,>5,44,800

4,5;,00,0

00

5,<0,>5,0

00

<,21,20,5

00

6iabi'ities G

+uit:

6iabi'ities

+hort> term

liabilities 1*1/*?/= ,=*M?*J== ,.*0=*=== ,?*==*===

Bong> term liabilities .*I,*.I*I/=

.*?/*./*.=

=

.*,,*MJ*==

=

,*I=*/?*,1

=

Total Biabilities# .*I?*J,*/?=

.*I0*.=*==

=

.*.0*/J*==

=

,*J?*/?*,1

=

+uit:

Paid up capital ,*,J*?/*00= I,*.M*.== ?I*/,*0== 0/*0J*0/1

:etained earning

,*,,*1=*J=

=

.*?M*.1*?=

=

/*M,*/1*M,

1

Total Dquity ,*1J*,I*M.=

,*J.*J=*==

=

/*/?*1I*==

=

0*/0*J0*/1

=

Tota' 6iabi'ities G =,>5,44,800 4,5;,00,0 5,<0,>5,0 <,21,20,5



+uit: 00 00 00

!in#ings an# ana'sis

S$)T >-><?S%S

ST+NTS

34erienced worker

Poultry (rms are doing in our business for a longer period$ +o for generations

people of angladesh are working on poultry (rms$ Dven also now Bots of people

are employed with this industry$ As a result a good number of people who was

connecting with the poultry (rm have gained signi(cance experience in this (eld$

)n many industries which are situated in the industrial park poultry is not like

that$ )t can be establishing any where and there are always local people who are

willing to do job in the se (rms$

The standard o( oultry



Our poultry industry is not only growing but also the quality is also improving.

Now more and more people are eager to nance on poultry. +o The poultry

industry is established because it has been consistent with its quality$ Hur

product from poultry (rms are superior then our neighboring countries$ As a

result general people are always buying the products from these (rms$ Hut of

these poultry products there are also lots of further processing industries$These

industries also using poultry product for their raw materials$ The consumer in our

country has full con(dent in these products$

inancial Suort

)n several ways poultry (rms can be (nanced$ )t is possible to take loan from the

banks or also can take (nancial assistance from the micro credit institutions and

from 9;H$ The government and several development partners also try to expand

this industry$ +o in this regard there are lots of facilities are given to the

entrepreneur for (nancing the poultry (rms$

The hysical maintenance

Poultry (rm is a labor incentive industry$ +o it is necessary to maintain the

procedures that will ensure that preservation of these equipments$ The whole

(rm needs to be neat and clan as the environment has to be healthy to makesure that there is no threat of any kind of deadly disease spread$

Strong demand

angladesh has a large population$ 9ot only eggs and meats but also of their

wastage as well$ +o there is always huge demand for commodities and for daily

necessities of poultry (rms in households and also in industries$ Poultry products

enjoyed high demand through out the year within our country$

Ese o( the wastage

&e have poultry all around the rural area$ The waste from the poultry has high

demand on these poultry since these wastages are using as a (sh food for long

period of time$

The scale o( roduction



The production of big size poultry (rms are signi(cant and it some time helps to

reduce the cost and help to become more e7cient in the longer and the shorter

run$ ltimately it helps us to reach economic of scale and utilizing the resources

properly$

The di*ersication

6iversi(cation also provides assistance to the poultry industry$ Any poultry (rm

do not sell single product$ They have several di%erent product and di%erent

consumer segment$ As a result it helps to reduce the risk$ Dven if one of the

products lost its market demand others are helping to (ll the gaps$

+?BN+SS+S

;aintenance cost

Although in our country there are lots of unemployment so it is very easy to get

cheap labor$ To maintain the poultry industry we need lot of man power$ +ometime it is di7cult to (nance all the employees$ And there are also issue that are

related with the maintains$ "or example it is require having electricity for the

poultry (rm$ ut as we are su%ering from basic utility service it become very

di7cult to get the necessary energy to maintain the temperature for the hens

and chickens$ ;etting di%erent type of equipment that are used in the poultry

(rm are also very di7cult to manage$ )t requires time$ Foney and man power to

overview all these necessary things$

Eneducated emloyees

)n our country most of the labor forces are un educated$ )t requires some of the

general knowledge and also about the procedure show to deal with the poultry$

Dmployees of the poultry (rm have to understand the quantity require for the

chickens food* what will be the amount in mixture* what medicine require and

how to give these medicine$ ;enerally most of the (rm work in our country has

very little idea about this matter$ And as the most of them are illiterate it is

di7cult to give them training as it requires some educational back ground to

sustain all the information$



The cost o( (eeding

angladesh economy is su%ering from the inLation$ &hich have chain e%ect in

all the way to the agriculture sector as well$ As the cost of necessary raw

material increases the ultimate negative impact is on the (rm owners carry$ )n

the initial stage the for feeding it ) require to take extra care as in this stage mostof the chickens lost out$ +o with high initial cost it is possible to face (nancial

di7culty and under pressure$

<ack o( medicine

)n the recent years all around Asia the poultry (rms were hardly hit by the deadly

bird Lu$ The problem with the bird Lu is that it not only destroys all the chickens

but also this virus can a%ect the human being$ +o if in angladesh we can not

protect our poultries from these viruses then our poultry (rm owners might face

problems in the future$ )t is not only the medicine for bird Lu but also for the

protection from the other diseases$ The government has restriction on importing

of these medicine and some of these are not produce in our country$

High uses o( utility

The cost of using utility is increasing continuously$ To maintain a poultry (rm it

requires heavy use of electricity and also water$ +o using electricity some timesbecome burden for the poultry (rms as the (rm owners have to pay the excess

bills$ And in many places in our country the proper service of utility are not

available$ +o even the utility are exists some times these are out of service$ And

alternative of these utilities are very hard to manage$

OOT7NITI+S

Potentiality o( a huge market

angladesh is one of the biggest markets in the south Asia for the poultry

product$ As the population is booming the demand is always exceeds the supply$

+o in the poultry industry three are less risk because there will be always

consumer who will want these product$ There is also scope for more demand in

the future because now days the poultry product become more and more

popular$ There are lots of ways these poultry products are consume$ +o targeting

these huge population and future increases in demand give us encouraging

attitude towards this industry$





Heling the economy or society

Hur country has very less employment opportunity$ This situation is even worse

in the rural areas$ )t is important to create job for the well being of the societyand for the nation$ As the employment crates it also strength the rural and

national economy$ There are jobs are created directly and also indirectly those

who are involve in distribution* selling and processing di%erent products from the

poultry$

T+?TS

Diseases

"or angladesh in the poultry industry there are many diseases can be seen as

threats$ There can be more diseases exist in the poultry (rm and this could be

very much risky for the existence and to compete$ i&# u is an example of

deadly diseases* for which a poultry (rm can be lost it ground$ )t takes years to

recover if any (rm is infected with the bird Lu$ ut there are also bigger picture

once a poultry (rm is a%ected with virus it spreads very quickly though out the

region as result the whole industry su%ers$

<ack o( medicines

&e have shortage of medicines import because of complicated procedures$ Fany

poultry owners fail to get medicine in time and also su%er from shortage$ +o

have to buy this medicine in higher price$ There are also lack of coordination

between the importer and the supplier and it creates confusion and miss

communication among the poultry owners$

luctuation o( the (ood rices

"ood price are Luctuating all the time$ The inLation rate is increasing alarmingway$ &hich have also negative impact in the pricing of the poultry product$ As

the cost of raw material and utility service increase poultry product cost are

increasing too$ There is no price tag for the product$ As the price is always down

and up it is crating dissatisfaction among the general consumers$ &hen the price

increases without any prior notice the sales volume also decrease$

High death rate o( small chickens

The death rate of chicken is reach in peak if the whether is not our side$Dspecially in the summer because of hit lots of chicken lost life$ The cost of these



has to be bear by the owner$ ;enerally there is ,=>,1S loss in chicken life but if

these limit is exceed then it might seen as threat to the poultry (rm as a whole$

The una*ailability o( small chickenangladeshi poultry are su%ering from the small chickens as it is selling most of

their eggs$ )n the recent years angladesh have recently imported small chicken

from Thailand to solve this problem$ After the bird Lu has found in Thai land

angladesh government ban on importing chicken from there$ +o this can be

threat because we do not have secure supply of raw material$

3n*ironment deendency

Dnvironment of the poultry are now in the position of almost at the danger zone$

)t require sound environment for the betterment of the poultry (rm$ ut as our

environment become very much polluted it crates obstacle for the poultry (rms$

Poultry roducts smuggling)t is another problem$ angladesh is known as one of the high smuggling country

where we can get almost anything from our neighboring country )ndia$ The daily

consumer products like poultry are repeatedly smuggling from )ndia as result the

local industry su%er$ As most of the time these smuggling products are less

expensive then the local one people go for the cheaper one$ And it is also very

di7cult to come up with any di%erentiation that can be done to protect the local

product$

9." P3ST<3 >nalysis

!a$to& 6ike' to in$'u#e

o'iti$a' &orldwide* ;overnment directives* funding council

policies* national and local organizationsU requirements*

institutional policy

+$onomi$ "unding mechanisms and streams* business and

enterprise directives* internal funding models*

budgetary restrictions* income generation targets



So$ia' +ocietal attitudes to education* relation to government

directives and employment opportunities$ Also general

lifestyle changes* changes in populations* distributions

and demographics and the impact of di%erent mixes of

cultures

Te$no'ogi$

a'

Fajor current and emerging technologies of relevance

for teaching* research or administration

6ega' Duropean and national proposed and passed legislation

+n.i&onme

nta'

Bocal* national and international environmental

impacts* outcomes of political and social factors

Documents

A Term Paper on Business Plan