“LIWANAG”

A Candle Making Livelihood Project Proposal

In partial fulfillment of the requirements for Community Pediatrics

Created by:

ASMPH 2013 Year Level 8

LEC Group 8

Chua, Mary Francine

Dela Cruz, Kathryn

Joaquin, Kriska Shalin

Rayel, Renato Jr.

Redota, MennoldArchee

Teo, Greg Matthew

Uy, Angeline

PROJECT PROPOSAL OUTLINE

I. RATIONALE

A. Problem analysis

B. Stakeholder analysis

II. UNIT PRODUCT CONCEPT

III. PRICING

IV. PROPOSED PROJECT TIMELINE

V. PROPOSED PRODUCTION PROCESS

VI. PRODUCTION PROCEDURE / OPERATIONS MANUAL

VII. MARKETING STRATEGY

A. Product and people

B. Pricing

C. Packaging

D. Place

E. Promotion

F. Positioning

VIII. EVALUATION

LIST OF TABLES AND FIGURES

Table 1. Estimated Production Costs for 40 Unscented Candles

Table 2. Estimated Production Costs for 40 Scented Candles

Table 3. Total Production Costs for 80 Candles

Table 4. GANTT Chart

Table 5. Summary of Critical Path Diagram

Figure 1. Critical Path Diagram of the Candle-making Process

I. RATIONALE

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II. UNIT PRODUCT CONCEPT

The finished product would be a cylindrical pillar candle measuring around 12 cm

in height with a base diameter of 7 cm. One unit of the product would thus have a

volume of 462 cm3 and would require around 416 g of paraffin wax and around 16 cm of

wick. Other additives to the wax would be color dyes and a citronella concentrate as

fragrance and anti-mosquito component for half of the candles targeted for production.

Table 1. Calculated parameters of the product.Volume per candle=π r2h=π (3.5¿¿2)12=462 cm3¿

Mass of paraffin per candle=(0.9 gcm3 ) (462cm3 )=416g

Surface area per candle=2 πr (r+h )=2 π (3.5 ) (15.5 )=341 cm2

Surface areawit hout top of candle=πr (r+2h )=π (3.5 ) (27.5 )=302 cm2

Candles will come in five different colors: (1) old rose, (2) pine green, (3) baby

blue, (4) cherry red, (5) yellow ochre.

III. PRICING

The target number of candles to be produced for the trial period of this project is

set at 100 – half of which (= 50 candles) will be scented with citronella.

The candle molds to be used for this project would be recycled 1L mineral water

or milk PET bottles. Softdrinkcans can also be used as candle molds.

Table 4. Estimated Production Costs for 40 Unscented Candles. Bulk Cost Required number Bulk Price (in Php) Unit Price

Paraffin Wax Php 165/kg 17 kg 2,805.00 70.00 Wick Php 30/25 m 800 cm 1.00 0.02 Coloring Dye Php 85/ sachet 5 sachets for 100 candles 425.00 4.25 Barbeque Sticks Php 20/ 50 sticks 50 sticks 20.00 0.40 Miscellaneous Expenses Php 37 / candle 40 candles 1,280.00 37.00

Total 4,531.00 111.67

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Table 5.EstimatedProduction Costs for 40 Scented Candles.Note: It is estimated that around 4 vials of citronella concentrate will be used for 40 candles.

Bulk Cost Required number Bulk Price (in Php) Unit PriceParaffin Wax Php 165/kg 21 kg 3,465.00 70.00 Wick Php 30/25 m 800 cm 1.00 0.02

Coloring Dye Php 85 / sachet 5 sachets for all 100 candles 425.00 4.25

Barbeque Sticks Php 20/ 50 sticks 50 sticks 20.00 0.40 Citronella Concentrate Php 210 / vial 4 vials 840.00 21.00

Miscellaneous Expenses Php 37 / candle 40 candles 1,280.00 37.00

Total 6,031.00 132.67

Table 6.Total Production Costs for 80 Candles.Note: Excess required number is to account for possible wastage.

Price per Unit Required number Bulk Price (in Php)

Paraffin Wax Php 165/kg 35 kg 5,775.00 Wick Php 30/25 m 18 m 21.60 Coloring Dye Php 85 / sachet 5 sachets for all 100 candles 425.00 Popsicle/Barbeque Sticks for wick holding Php 20/ 50 sticks 100 sticks 40.00

Citronella Concentrate Php 210/vial 4 vials 840.00 Miscellaneous Expenses

Gas for melting wax Php 695 / 11 kg or 1 tank 1 tank 695.00

Aluminum foil for covering PET bottle candle molds

Php 64 / roll of 8mx30cm 2 rolls 128.00

Estimated Transportation Expenses 300.00

Metal Pots and Kettles 2 big pots for boiling water and 2 metallic kettles 1,000.00

Special Colored Paper for "Gift Card" Php 40 / 10 sheets 5 sheets 20.00

Ribbon for tying "Gift Card" to Candle Php 5 / meter 2 meters 10.00

Labor Costs Php 10 / candle made 80 candles 800.00 Total 10,054.60

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Given the unit costs for production, unscented candles can be sold at P140 while

scented candles can be sold at P170 to generate Php 12,400 in revenue. This would

generate a marginal revenue of Php 2,346 (23% of capital).

At the end of the initial cycle of selling all 80 candles, 50% of marginal revenue

would be given as incentive to the 30 community volunteers whichwould amount to

additional Php 40 per volunteer. Together with the Php 27 as payment for labor, each

volunteer would receive Php 67 for their participation in the project. The remaining 50%

of marginal revenuewould go to funding health projects of the Ilugin Community Center.

For succeeding cycles of the project, total production costs would only amount

to Php 9,054.60 due to availability of pots and kettles purchased in the initial cycle.

Marginal revenue would then amount to Php 3,345. Additional incentive of Php 56 can

then be given to each community volunteer. Each volunteer would essentially receive

Php 80-85 for their labor and participation in one cycle of the project to make 80

candles.

IV. PROPOSED PROJECT TIMELINE

Table 4. GANTT Chart

TaskOct 10

Oct 11

Oct 12-15

Oct 16-30

Nov 1-5

Nov 6-8

Nov 9-13

Nov 14 - Dec 25

Dec 26-31

1. Buy materials2. Learn how to make a

candle3. Assign tasks to CHVs4. Make candles5. Sell candles6. Evaluation

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V. PROPOSED PRODUCTION PROCESS

Thirty volunteers will be divided into three teams. Each team will be assigned a

task in the production of the candles as shown in the succeeding table. Teams will

switch roles after two cycles of the project.

The critical path in the process is from Activity C to Activity K (please refer to

Figure 1). If operations were to proceed without breaks, 80 candles can be produced in

22 hours. Effective manufacturing time would thus be 22 hours. However, this is not

possible and would be asking too much from the volunteers. As such, the production

process will be separated into 3 days. Team 1 will start production on Day 1 until the 1 st

cooling of wax and instillation of vent holes. On Day 2, Team 2 will take over the 2nd

layering of wax. Team 3 will also begin preparations for installing finishing touches to

the candles on Day 2. On Day 3, candles would be expected to have cooled fully and

would be easy to separate from the molds. Team 3 will then come in to apply the

finishing touches and final packaging.

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Figure 2. Critical Path Diagram of the Candle-making Process. Legend: Blue = Day 1 Activities, Green = Day 2 Activities, Orange = Day 3 Activities.

Table 5. Summary of Critical Path Diagram

Activity Prerequisite Activity

Time Needed to Complete Activity

Team Assigned to Activity

A. Preparation of Candle Molds - 1 hour 1B. Placement of Wicks A 30 minutes 1C. 1st Melting of Wax - 2 hours 1D. 1st pouring of wax B, C 30 minutes 1E. 1st cooling of wax and creation

of vent holes D 6 hours 1

F. 2nd melting of wax F 2 hours 2G. 2nd pouring of wax G 30 minutes 2H. 2nd cooling of wax H 8 hours 2I. Removal of candle from mold I 2 hours 3J. Printing of gift cards and cutting

of ribbons - 1 hour 3

K. Tying of gift cards to candles and final packaging J 1 hour 3

* Please refer to Operations Manual for details of each activity.

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VI. PRODUCTION PROCEDURE

OPERATIONS MANUAL (FILIPINO VERSION)

STEP 1: IHANDA ANG MGA MOLD NG KANDILA

1. Kumolekta ng mga plastic na bote ng mineral water o mga lata ng softdrink.

2. Linisin ang mga laman ng mga nakolektang bagay.

3. Hatiin sa dalawa ang mga bote ng mineral water. Gagamitin ang bahaging nasa ilalim bilang mold ng kandila. Lagyan ng aluminum foil ang loob ng mga bote upang tumulong sa pagtanggal ng kandila pagkatapos tumigas ang wax.

4. Tanggalin ang mga “top” ng mga lata ng softdrink.

5. Gumawa ng maliit na buta sa ilalim ng mga mold kung saan idadaan ang wick ng kandila.

STEP 2: TUNAWIN ANG WAX

1. Kumuha ng malaking kaldero at magpakulo ng dalawang tasang tubig. Hinaan ang apoy kapag kumukulo na ang tubig. Laging lagyan ng tubig ang kaldero upang mapalitan ang nawalang tubig at para hindi sumobra ang init ang kaldero. Maaring masisira ang wax sa sobrang mainit na temperature.

2. Kumuha ng isang mas maliit pang lalagyan na kung saan tutunawin ang wax. Mas maganda kung ang lalagyan na ito ay isang aluminum na pitchel. Ilagay ang lalagyan na ito sa loob ng lalagyan na may kumukulong tubig.

3. Maglagay ng wax sa loob ng pitchel at antayin itong matunaw.

4. Kapag tunaw na ang wax, ihalo na adye o coloring at pampabango. Maaring haluin ang mga bagay gamit ang isang bakal or kahoy na kutsara.

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STEP 3: ILAGAY ANG WICK NG KANDILA SA MOLD

1. Gumupit ng wick na halos 4 cm mas mahaba sa tangkad ng kandila.

2. Idaan ang isang dulo ng wick sa butas sa ilalalim ng mold. Kung masyadong malambot ang wick, maari itong lagyan ng konting wax upang titigas at maging madaling ipasok sa butas.

3. Pagkatapos ipasok sa butas ang wick, itali ang dulong ito sa isang barbeque o popsicle stick at ipatong and stick sa ibabaw ng mold ng kandila.

4. Maglagay ng konting wax sa ilalalim ng mold upang isara ang butas. Antaying titigas na parang gel ang wax.

STEP 4: UNANG BUHOS NG WAX

1. Ipuwesto ang mga bulaklak at dahon na design sa loob ng mold.

2. Ibuhos ang tunaw na wax hanggang sa 2 cm baba ng dulo ng mold. Magiwan ng konting wax para sa ikalawang buhos.

3. Antaying tumigas ng konti ang kandila hangga’t nakikitang bumubuo na ang ibabaw ng kandila.

4. Gamit ng isa pang barbeque stick, gumawa ng 3-4 na butas na 3-4 cm kalalim palibot sa wick. Ito ay upang magkaroon ng vent na kung saan lalabas ang hangin sa natural na pagliit ng wax kapag ito’y tuluyang titigas.

5. Maaring ulit-uliting itusok ang mga butas upang sila’y bubukas at masasara ng mabuti para sa ikalawang buhos ng wax.

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STEP 5: IKALAWANG BUHOS NG WAX

1. Tunawin ulit ang natitirang wax hangga’t ito ay mas mainit pa sa unong buhos ng wax. Ang mas mainit na wax ay upang maging maayos ang pagdikit ng wax at pagsara ng mga butas.

2. Ibuhos ang natunaw na wax sa mga butas hangga’t sa lebel ng unang buhos. Ang paglampas sa unang buhos ng wax ay maaring gumawa ng marka kung saan binuhos ang wax.

3. Tuluyang palamigin ang wax.

4. Maaring gumamit ng ibang kulay ng wax para sa ikalawang buhos ng wax upang gumawa ng candle na may dalawang kulay.

STEP 6: ITANGGAL ANG KANDILA MULA SA MOLD

1. Kung mahirap tanggalin ang kandila mula sa mold, maaring ilagay muna ito sa refrigerator sa loob ng 15 minutes.

2. Gupitin ang wick mula sa barbeque stick.

Reference

http://www.peakcandle.com/pillarcandlemaking.aspx

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VI. PRODUCTION PROCEDURE

OPERATIONS MANUAL (ENGLISH VERSION)

STEP 1: PREPARE THE CANDLE MOLDS

1. Collect mineral water plastic bottles, softdrink can or other

cylindrical objects lined with aluminum (eg: Pringles can)

2. Clean the collected materials.

3. Cut the mineral water plastic bottles into half. The lower half of

the bottle will be used as the candle mold. Cover the inside of

the lower half with aluminum foil. The aluminum foil will aid in

removing the candle after the wax has cooled down.

4. Cut off the tops of the softdrink cans.

5. Puncture tiny holes in the bottom of the molds where the wick

will pass through.

STEP 2: MELT THE WAX

1. Select a large old pot and boil around 2 cups of water. Once

the water has boiled, bring this into a simmer. Always refill the

water to replace lost water and to keep the pot from drying. A

dry pot would be too hot and it would destroy the wax.

2. Select a smaller container for the wax. It is recommended that

this container be an aluminum pitcher. Place this container

inside the large pot.

3. Put wax into the smaller container and allow it to melt. Add

fragrance oils. Mix using a steel or wooden spoon.

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STEP 3: POSITION THE WICK INSIDE THE MOLD

1. Cut some wick to a length of about 4 cm greater than the

height of the candle.

2. Pass one end of the wick through the hole in the bottom of the

mold. If this is too difficult because of a frayed wick, dip the

wick in wax to harden the wick and try inserting through the

hole again.

3. Tie the same end of the wick to a barbeque stick and put the

stick on top of the mold.

4. Pour a small amount of wax on the bottom of the mold and

allow it to harden into a gel state to seal off the hole.

STEP 4: 1st POURING OF WAX

1. Pour the melted wax into the mold until it reaches 2 cm below

the brim of the mold. Save some leftover wax for the second

pouring.

2. Wait for the wax to cool until the surface of the candle begins

to form.

3. Using another barbeque stick, puncture around 3-4 holes

around the wick with each hole about 3-4 cm deep. The holes

are to create a vent through which air can pass through when

the wax undergoes natural shrinkage during the cooling

process. The holes also keeps the wick in its original position.

4. The holes can be repeatedly punctured to keep them patent

during the cooling process.

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STEP 5: 2nd POURING OF WAX

1. Melt the leftover wax until it is a temperature above the wax

during the first pour. Hotter wax has better adhesion of layers

and ensures proper closure of the holes.

2. Pour the second batch of wax over the sinkholes until the level

of the first pouring. Going past the 1st pour would create a

horizontal line on the surface of the wax and would mark the

position of the sink holes.

3. Allow the wax to cool completely.

4. Wax of a different color can be used to create a multicolored

candle as long as the 2nd wax is hotter than the 1st wax.

STEP 6: REMOVE THE WAX FROM THE MOLD

1. If it’s too difficult to remove the candle from the mold, then

put it in a refrigerator for 15 minutes. Further cooling would

aid in the separation of the candle from the mold.

2. Cut the wick from the barbeque stick to around 2 cm from the

surface of the candle.

Reference

http://www.peakcandle.com/pillarcandlemaking.aspx

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VII. MARKETING STRATEGY

A. Product and People

Our candles are made from simple materials that are environment-friendly. It

comes in a variety of colors and designs that cater to different occasions, from simple

decors in the home to symbolic tribute to our loved ones during the All Saint’s and All

Soul’s day to colorful celebration of Halloween and the most awaited Filipino

celebration of Christmas season.

The premier hand-made candles are crafted by passionate volunteers in their

communal efforts for livelihood and alternative sources of income. Our product are not

just the candles, but the idea of a community helping itself to push for progress, a

community that values hard work, perseverance and takes pride in its members.

“Character candles” proposal

1. Mr. Candy cane – Christmas candle in red, green and white stripes

2. Forget me not – Simple floral design with a prayer card for All Saints and All Souls day

3. Pumpkin head – In solid tangerine color in a spooky packaging

B. Pricing

Introductory price is set at Php 170. Since we are selling for the benefit of Ilugin

community, a premium may be given. Currently, marketing research is being conducted

for this purpose.

Suggestions are as follows:

1. Additional cost for “character candles” such as the Candy cane striped candle for

Christmas

2. Additional cost for scented candles

3. Additional cost, depending on the package

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C. Packaging

- Basic package includes the candle, a prayer card wrapped with a ribbon.

Variations may come with the “character candles”.

D. Place

Candles are to be sold via a door-to-door approach, visits to Consultant’s offices

in TMC. Other possible venues are the Pedia Conference and ASMPH.

E. Promotion

Feasibility of promotions is currently being studied. The following are

suggestions:

1. Tie-up with ASMPH Sem-ender party

2. Tie-up with ASMPH scholars as brokers and profit-sharing

3. Poster outside the Pedia office

4. “Kandila rounds” – a door-to-door promotion to all the TMC Pedia consultants

about this project, to inform the consultants and possibly, to get some orders or

pledges

F. Positioning

Mga kandila na magbibigay liwanag sa ikauunlad ng Ilugin

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VIII. Evaluation of Candle-making Livelihood Program

Check the box that applies

1 2 3 41. We are attaining the objectives of this livelihood program.

Nakakamit natin ang mga layunin ng proyektong ito.2. The cost of materials and production are accounted foraccurately.

Nakekwentang eksakto ang presyo ng lahat ng materyales na ginagamit sa proyekto.

3. The products we sell fit current trends.Ang mga kandila na gawa natin ay nasa-uso para sa panahon.

4. We earn sufficient profit for a sustainable livelihood.Kumikita tayo ng sapat para maipagpatuloy ang proyektong ito.

5. The inventory turnover is adequate for profit to sustain short-term goals.Mabilis na nabebenta ang mga kandila upang magamit ang puhunan para gumawa ng bagong kandila.

6. The products designs are simple to follow.Madaling intindihin at sundin ang mga disenyo ng kandila.

7. Potential consumers have knowledge of our products.Alam ng mga tao na nagbebenta tayo ng kandila at naisasabi nila ito sa mga taong hindi tayo kilala upang kumalat ang impormasyon.

8. There is little wasted material in candle-making activities.Wala ng nasasayang na kagamitan sa paggawa ng kandila.

9. We have a consistent and reliable supply of raw materials needed.Palaging mayroong nagbebenta sa atinng mga kagamitan na kailangan natin sa paggawa ng kandila sa makatwirang halaga.

10. The candles are of equal and reproducible quality.Ang mga kandila natin ay parepareho ang kalidad kahit sino ang gumawa nito.

11. The profit is distributed to the candle makers in a timely manner.Ang tubo ng bawat isang candle-maker ay nakukuha nila agad.

1 - Strongly agree

2 – Agree

3 – Disagree

4 – Strongly disagree

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