business plan business plan glass decoration training and enterprise centre glass decoration...
TRANSCRIPT
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Business Plan
Glass Decoration Training and Enterprise Centre
Glass Decoration Training and Enterprise Centre
Created: 9th May 2012
Prepared by:
Ms Eva Suto,
Regional account manager
South African-Hungarian Economic, Cultural and Educational Association of bilateral
Association
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Content
1.Our mission
2. History of Project
3. Presentation of glass decoration profession and Mr. Paul Mata, craftsman
4. The Project Structure
A) General information
B) Operational Levels
C) Training and Career Center
D) Business Development Center
E) SWOT Analysis
5) Conditions for Implementation- Operational Plan
A - K Preparatory phase
Q - X Installation and continuous operation
6) Financial Plan
A) Basic Training
B) Center Implementation
C) Continuous Operation
7) Sales
A) Location
B) Forms of sales
C) Prices and pricing
D) Sales support services
E) Product development
D) Market development
8) Marketing
A) Description of the product
B) Unique product identification
C) Competition
D) Target groups of customer
E) Psychological characteristics of target customers
F) Marketing mix
9) Human Resources
A) Senior officers
B) Personnel policy and human strategy
C) Initial organizational structure and definition of manpower necessary
10) Summary
Attachments 1. Shorted articles of Association
2. Deed of Foundation
3. Official Registry of Association
4. References
5. Professional Qualifications
6. Specialties
7. Product categories and Prices
8. Anti-Counterfeiting Progress – ACP ETAR/SPIS) – The new system that revolutionizes anti-
counterfeiting protection
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1. Our Mission
Glass Decoration Training and Enterprise Centre aims to bring together acclimatization and
acquirement of a traditional profession in a modern business enterprise form.
Thus will be able to:
- Create jobs
- To encourage the entrepreneurial spirit
- To promote employment of disabled
- Introducing disabled and multiple disadvantage people in the labor market
-Eradication of poverty
- Rural Development
- Creating a Brand and South African unique product lines
-Create products for export
Affect other sectors of the economy as:
- Tourism
- Trade
- Industry (glass industry)
- Catering
- Other services such as logistics
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2. History of Project
2009th October: Twenty Hungarian companies assisting in forming Economic Associations,
regarding four African countries: South Africa, Namibia, Botswana and Angola (No. 1.
Annex - short articles of association)
2010 January: South African-Hungarian Economic,Cultural and Educational Association of
bilateral cooperation is officially registered. Annex 2. – Deed Record
2010 March: Official contact is made with the Embassy of the Republic of South Africa in
Hungary, with Honorable Ambassador Lani Taka (Taki) Netshitenzhe and Mrs. Stanley N.
Netsimboni, first secretary.
2011 October: Representing the Association, Eva Sütö spent a month in South Africa with the
purpose of building contacts and gathering general information.
2011 November: Businessman Petrus Legwati in Johannesburg will get a mandate to
represent the Association.
2012 February: For representing the Association and it’s partners, Eva Sütö arrives in South
Africa, to develop further relationships and contacts and to promote the projects of the
partners.
2012 April 13: With the assistance of Mr. Kalman Meszaros (Hungarian Embassy, Pretoria),
Economic and Commercial Counsellor, operating also SAHU business development network,
Eva Sütö and Mr. Goitsemang Seane are officially connected.
2012 April 27: The first personal meeting, which took part at the Embassy on behalf of
Kalman Meszaros and Sean Goitsemang, Harmath Csaba and Eva Sütö.
Than begins in an intensive joint labor process and cooperation, which the first step is today's
presentation.
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3. Mata crystal - The classic value
The polished crystal more, than substance. Centuries carry his knowledge the artisan-
techniques prepared pieces, and so vocational tricks of the trade reside for preparing him
behind his process, of which they take care in that manner today,, even onto the schemes of
the mints of the Middle Ages. This tradition is reflected in one of the last citadels of the
domestic glass production, the Mata-workshop. Single crystal collections, which carry their
creator's knowledge, his creativity, the affection of his profession in themselves, are born
here. The Hungarian glass art on international markets the creator of one of the most
requested Mata Pál glass grinder master, from the workshop of who invaluable piece and
quality crystals are found West European concerned onto Japanese markets, on himself- or
into public collections.
Pál Mata recognized the bases of his trade on Parádsasvár, the old man acquired masters'
knack, his trick of the trade on Budapest though. After his master's examination with seven
years, gained a national vocational first prize in 1975, received a glass industry degree then.
The vocational a Bavarian field trip helped in proceeding, because of this it chance, that for
the creator on a later Germanic area - in Nürnberg, Innsbruck, Maastricht-ban, in Graz, Bad
Breisigban - concerned it Italy - open exhibition in Arezzó.
The peculiarity of the Mata crystals which can be got today, that the stock 24 percentile lead
crystals, which one in the Parádfürdő workshop a specális, with a procedure drawn up here
colour. All pieces the samples, the carrying up of all colours make unique since manual work
beget a burning happening on a given temperature demands.
The demanding lead crystal stock decides the ornateness. The thicker glass neoclassic, rich
forms, requires his baroque splendour, his sketching. This valuable, onto weight prestigious
pieces bear the brightness of the old gold, his blue elegance well, or his wine-red velvet
sensation. The easy-more going vases, glasses require modern, soft motives entirely even
though. Prepared in the Parádfürdő artisan workshop collections - coloured, graven lead
crystal vases, souvenirs -, the most beautiful, most requested pieces of the Hungarian glass
art, today already on several of the world's dots visible, because of from Las Vegas to Tokyo,
as the valuable part of an alley and private collections.
Crystal clear love
Exciting process the crystal polishing, since innumerable occasions arise for it in order for a
piece to be never ready. The polishing breaks, a more delicate sample cracks, gets holed, and
you are the furnace, burning where he melts there if he survived everything explodes. There is
not this much excitement in one single creator process possibly, than in the crystal polishing.
The coloured crystal is one of Pál Mata trademark. Under years, many hundred thousand
forint stocks (and a furnace) on his price experimented, that which paint on how many
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degrees is needed for the glass to burn, that his colour beautiful and let him be lasting. All
colours get to the product on a different temperature, and he has an opportunity to snap for the
glass as many times as the creation polished ready anyway already gets into a furnace yet, to
melt.
The repeated burning happening in the furnace since only the faultless, so-called stress-free
products endure it.
The crystal more than plain of use object: is an ornamental device.
Those who are admitted into the crystal palace, Mata Pál house feel this. The most valuable
pieces since here can be found. Some of these values is over the more million forints. There is a
goblet, which it was necessary to cut into two in the course of the making, because neither at
his weight, neither he may not have been caught in one at his greatness to polish. The largest,
most elaborate pieces may be made through more months.
The world's most famous crystal vases, his dishes, his sculptures are visible behind museums'
glass showcases, on royal residencies, in ambassadors' salon. Some appears at every step
between them characteristic, nobody else master handmade creation which cannot be mixed
up, the maker of which somebody else is not, than Pál Mata.
He the Hungary crystal buffer the outstanding individuality of a trade like that, for who to
forge his motives, his individuality his coloration technique and to make a copy impossible
(was innumerable attempt with regard to this though). The knowledge of centuries resides the
artisan prepared techniques behind pieces, which one few people are in possession of
knowledge. They take care of the vocational tricks of the trade in that manner today, than
once the mediaeval mints onto their schemes.
Single works of art are born in Pál Mata workshop. The museum piece value and quality
pieces can be found from Los Angeles to Tokyo on the world everywhere, on himself and in
public collections, museums equally.
The only challenge is to transfer his knowledge and training, teaching future
generations of glass sanders, to find a worthy successor, with whom he can share his all the
guarded secrets of his profession - secrets acquired in forty years.
Why Africa?
Craftsman Pál Mata set the goal that he wants to transfer his knowledge in such a country for such
people - for whom this knowledge is livelihood and also a way of self-expression of the boundless
African creativity.
Pál Mata believes that the knowledge he accumulated will give the ability to change people's lives
and make it better.
That’s the reason, he decided two years ago that his knowledge, workshop, machines and tools he
made available at disposal of Association.
He also mandates the Association to represent His ideas, plans, and we assist in its implementation.
This business plan was made authority and professional approval of craftsman Pál Mata.
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4. Structure of project
4/A. General information
The glass ornament is a traditional handicraft profession, which is co-developing the
technology of the modern age, but is also able to keep its uniqueness.
The special traditional crafts and computer design, lettering, engraving names before checking
with a quick email, or design templates for sandblasting and cutting, today is unthinkable
without the advances of technology. Therefore, introduction of the glass ornaments affects
many other services, thereby strengthening their ability on the market.
Glass ornaments because of its many forms and ways, and the complexity of the tools needs
multi-stage training. Already one year after the training, students will be able to carry out
various decorative processes and can create their own businesses. So they integrate very
quickly into the economic bloodstream.
The use of glass ornaments can be used in several dominions. From ordinary beer and wine
bottles engraving to unique pieces of decoration products on a very large scale.
The market for glass decoration products is wide. There is no other art form which is so
widely for use, such a decorated glass: everyday objects (ashtray, champagne glasses, cake
plates), on special occasions the typical gifts(wedding glasses, Christmas bells), exclusive
apartments and office furnishings (candy dish, offering bowls, cigar ashtray, souvenirs with
company logo),hotels, wineries own branded glass stores, tourist products (big-game image
decorated cups, jugs, bowls,) prizes, cups, special, unique, high-value diplomatic gifts, etc
The glass ornament has no pollution and a minimal waste.
- Some processes of the work can be performed also from wheelchair.
- No age-related.
- Some processes could be done at home under minimal conditions.
- Also suitable for the employment of multiple disadvantage (low education,disabilities, age
over 40,)
- Glass ornamentation can be performed as self-employment, as well as outworker system.
This business model is suitable for training and also to help the self-entrepreneurship - in
parallel to operate an outworker network, and actual business enterprise is to have employees,
subcontractors, suppliers, and an to give framework for special talented individuals, career
plans for the implementation of an ongoing technical development.
Due to this business model is not taking place unnecessary specialist trainings, production and
sales can adapt quickly for the needs of market.
4/B. Operating levels
(Organizational Structure, Details under Human Resources Strategy)
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4/B/a/a Strategic level
Enterprise-wide strategic planning, operation, development and supervision of the centers,
strategic relations
4/B/a/b strategic areas
Training
Product development,
Enterprise development
Investment
Information
Security
Procurement
Sale
Logistics
Marketing
Management
Human Resources to ensure
Financial Resource Management
4/B/b/a Server level
Its mission: to ensure the daily operating conditions
4/B/b/b Server areas
raw material storage
finished goods warehouse
maintenance
repair
transport
cleaning
security service
building operation (facility)
4/B/c Directorates within the organization, but independent as business units
Training and Career Center
(detail in 4 / C section)
Business Development Center
(Details in the 4 / D points)
4/B/d Long-term Vision: Design Center Logistics Center Packaging Technology Center
own raw material production unit (glass-blower shop, glass-manufacturing unit)
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4/C. Training and Career Center
Leader: Director of Training at all times
The Training and Career Centre run by the school itself, as well as provide training
opportunities for both business and professional level
School The multi-step training system ensures for everyone to get the highest degree for their
own situations and capabilities .
The multi-step training system can avoid over-training; that experts leaving from the training will be able to start work.
Glass decoration: theoretical and practical vocational course; part of which is built on each
other (sanding techniques, motives, knowledge, materials), while others are acquired as a
separate module (like strassing, sandblasting, engraving).
In addition: the necessary business skills, basic knowledge of marketing, management and education
– applied to the quantity and content.
The fourth and fifth years takes place of talent development and teacher training. Among
the most committed students with deepest professional knowledge will be selected from the
prospective teachers as well as craftsman capable of producing professional artistic products.
The professional training material has 3 volumes, 900 pages. Currently available only in Hungarian.
The full syllabus and educational material is available within a year.
The Career Center has also to coordinate the special talents: help, study tours, exhibitions,
marketing, etc. This will ensure the positive image of the business and the profession in public.
4/D. Business Center Manager: Business Development Director of the respective
The business center will run the (visual) workshop, their own shops, showroom and own gallery.
The business center is responsible for ensuring the flow of information, sales, product development,
training, human and marketing areas: product information, pricing, marketing needs, customer
feedback, etc..
The business center task is to help students become self-employed. Powered by the
necessary advice, registrations. Prepare contract for construction, equipment
purchase, lease, purchase of raw materials, finished product sales center and in exceptional
cases the bank guarantees.
The business center has the task the outsourcing network operations, logistics related tasks. Outsourcing network
A process to prepare a sub-contracted professionals. Center provides the tools.
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The delivery of raw materials; delivery of products to deadline and paid at the same time.
This form of employment is ideal for the multiply handicapped or reduced employment. Each product is a plug-in process, performs only one part of the job - but in large quantities and high quality.
These products usually gain the final shape at the central workshop, with receive gilding, coloring,
or after combustion.
Visual workshop: in addition to the education, in parallel with production, as production is going on in the workshop.
The visual workshop is part of the entire workshop.
The visitors, supporters, or customers have a priority to gain insight into the process of glass
decoration.
The visual workshop is suitable for promoting its industry, media advertising and events recording. 4/E. SWOT Analysis
The SWOT analysis can not only list the project's strengths, weaknesses, opportunities and threats,
but the key to
- Reveal the areas, which are closely related to the strategy, -Areas which have high impact on project implementation - Find out the factors that are more important than others in the construction of strategy or in terms of market situation - Notice the consequences and see other areas should also explore in the creation of strategy
Strengths: internal factors, which work well, and it is our influence to improve
- 40 years of professional experience
- High social capital (purchases)
- A wide range of products
- Production of high-end product life
- Known throughout the world, popular and requested traditional products
- Wide sales opportunities
- High Quality
- Minimum waste,
- Low overhead
- Can be performed in parallel activities (education and production)
- High job creation
- South African trained professionals (management)
- Genetically high potential for ethnic groups, such as training target (excellent manual
dexterity, good stereoscopic vision)
Weaknesses - internal factors that do not work well, but it is our influence to make it work better
- Hungarian professional curriculum
- Additional training resources must be more user-friendly (entrepreneurial skills, marketing skills)
- High transport costs (in South Africa - in relation to Hungary.) - Specifically the high cost of education in Hungary
- Machinery, equipment is high (European) purchase price - High start-up costs
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Opportunities: External factors: characteristics, which we cannot control. Positive options, building on these we can take advantage of the strengths
- State support
- Private equity
- Bank loans
- A stable political background
- High unemployment (which provides the base for training)
- Constantly growing African market and purchasing power
Threats: external factors, barriers, which we cannot control. Reduces chances of success, means risk.
- A drastic increase in fuel prices - closing of traditional European glass factories - the project cannot be set up without external financing Strategic factors and their effects
Raw material purchases
The high quality, stress-free, perfectly processed raw materials we have to obtain from Europe now. In addition, you should consider whether the glass industry in South Africa – should be able to serve the material needs of this project and the currently operating workshop in Johannesburg, glass-
blower's ability is to produce high quality raw material for ornamental purposes.
We have also to be informed about the quality of the glass-making operation in Swaziland. If we have to import permanently quality raw material from Europe continues we have to be
prepared for the continuous rise of fuel prices and rising transportation costs.
In addition, other sources of danger in closing in series of European glass factories. It should be
noted - that a factory closure and liquidation should have positive consequences for this project: the factory stocks are usually purchased at cost price or even a smaller should relocate in the South African Republic.
We can prevent all these factors optimally on a long-term: realization of our own raw material
production.
Hungarian-language curriculum
The 21st century no longer is problem the linguistic diversity.
Professional translation of the Hungarian curriculum in English is time consuming, but we should face deeper problems. The Republic of South Africa has eleven official languages - of which only one is English. Official languages of neighbouring countries are also Portuguese and French, so it’s a question, whether is sufficient that training materials are only in English.
If not - what are the preferred languages?
How long does it take to translate the English curriculum in other languages?
Translation in other languages should happen in parallel with the operating courses?
This delays the start of the project?
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Training in Hungary
In order to start the project quickly and seamless – it’s needed to implement a pre-training.
Proposed number of participants: 4-6 persons.
Recommended duration: minimum 6 months - ideally one year.
Venue of training is Hungary, Parádfürdő.
The course is essentially practical training. Accelerated education, with the aim of the following:
- The participants on trainings should be able to encourage and support the practical training, - Learn the basics of glass decoration - Be able to perform the maintenance tasks that will be necessary in the daily operation
- Participate in relocation of machinery, equipment, raw materials
- Be aware of the raw materials, their handling, storage, handling and storage of chemicals used
- Be aware of the power tools (electric oven, engraving, grinding, sanding machines, etc.)
If the pre-training course cannot be realized, the first two years of training can include only a smaller
staff (20-member team, 2x10-person practice group ) can function effectively. In the ordinary
education system at least two years teaching is necessary to
achieve someone Assistant certification.)
After pre-training this can pose a number of groups up to 60-80 people/ 10-person practice groups. Financing
This project is a very short period of time will be able to produce profit.
The short and long term risks can be easily avoided.
This project is viable, but can fulfil the tasks with the right external supports.
This project supports the government's efforts and its short and long term objectives. Thus there’s realistic chance to opt for government support.
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5. Implementation requirements - Operational Plan The implementation process
A) Enterprise establishment and registration
B) Financial background (grants, bank loans, private capital)
C) For the raining, start (Hungarian partners: South African – Hungarian
Association). Trainees' selection, 3-month intensive Hungarian language course (integration in local
environment, promotion) training time, entry visas, ensure airline
tickets purchases, Hungary, transfer on Location in Parádfürdő, accommodation in
pension (full board), residence legalization and administration, start training. A further period of theoretical knowledge and training materials in time and off-
site sessions conducted raw material of knowledge is required (wholesale,
glass factory, depot, etc.). Continuous supervision of training and of the trainees, permanent
interact with customers assisted by the South African- Hungarian Association’s representative, Edina B. Szabo.
D) In parallel with the one-year training course, to locate the right building, the operational
conditions in place (office, classroom theory, training workshops, storage, social rooms,
reception, pattern shop, parking, cargo and personnel entrances).
Failing this, the organizations can not stand cannot be prepared for the workshop.
E) In parallel with the one-year training and the strategic areas of management find staff for
executive positions (operation, HR, finance, marketing), work on the short-and long-
term strategies, appointments. Launching the basic activities of organizations, F) In parallel with the one-year training preparing the entire educational curriculum in English,
translation, transform for the needs of target group. G) in parallel with the one-year training course announcement of the
admission procedure, preparation for schooling.
H) In parallel with one year for training course, launch the project related communications
campaign, planning, website preparation, first publications of the Centre's opening
ceremony , protocol gifts match (and within the framework the pre-training, preparation of
protocol gifts)
I) In parallel with one year for training course purchase of equipment like auxiliary machinery,
tools, electric oven, sandblaster cabin, material resources mapping, obtaining samples.
J) In parallel with one year for training course testing and harmonization of registration system,
accounting, IT systems, the unique product ID system.
K) In parallel with one year for training course, packaging and shipment of the Hungarian instrument park, row material stock, finished goods inventory (pre-
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training products as finished goods in the system), residence permit and administration for
Hungarian specialists going to South Africa , preparing the housing and conditions. L) Arrival of of the Hungarian professionals and trainees; placement of the Hungarian
professionals (5 persons)
M) Supervising of the curriculum, printing and reproduction.
N) Report and evaluation of the effectiveness of pre-training, experiences of staying
in Hungary (integration, inclusion, language problems, forms, official administration, technical
difficulties).
O) Start-up workshop, carrying out the necessary modifications, testing, inventory control,
sample shop equipments.
P) Start-up presentations and product demonstrations of individual products for sale
(authorities, diplomatic corps, business, sports and cultural events-organizers)
Q) Opening ceremony of the Center. Priority, protocol events: the main state dignitaries, diplomats,
sponsors, management, Hungarian experts, students from the raining course and participation of the media.
R) Start-up training within the Training Centre.
S) Launch of production activities with participated undergraduate students.
T) Move the focus of marketing activities on sales and image-building
U) Start sales full operation (business networks, distributors and foreign markets)
V) Continuous mapping of supply sources, expansion, raw material testing W) Launch the Enterprise Development Center, the information flow between sales and
production as well as preparation for a broad range the graduates in becoming self-employed.
X) The company's complete operation. Continuous improvement and feedbacks.
Strategic terms, without which the project can not be implemented
- Financial funding
- Pre-training
- Teaching materials at least in English.
- Adequate building
- Experts in the Management
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6. Financial Plan The financial perspective is part of the start-up costs and operating expenses
Start-up costs:
A) Pre-training costs (6 persons)
3 month intensive language course (a week 3x3 hours, 108 hours):
- Room rent (flipchart table, pens)
- Instructor fee: 35 USD / hour, total: $ 3,780
- Textbooks and workbooks, vocabulary, writing material: 60 USD / person, a total of 360
USD
- Vocabulary expansion DVD (5): 70 USD
- 40 USD dictionary / dictionary 6 persons: 240 USD
- Shipping costs: estimated 420 USD
Travel
- Visa administration: 150 USD
- Flight Tickets: expected $ 1,000
- Transfer Budapest - Parád between 400 USD
-Pre-training (a year - 360 days)
- Hotel and meals (3x daily), 40 USD / person / day, total: 86,400 people USD/year/6
- Workshop overhead cost: 680 USD / month, a total of $ 8,160 / year
- Education Award: $ 2,500 / month, total: $ 30,000 / year
- Cost of raw materials: 1-6 months: 800 USD / month /, a total of 4800 USD, the 6-
12 month: 600 USD / month, total: 3600 USD, a year total: $ 8,400
- Teacher-interpreter availability for three months: $ 5,600
- Temporary teacher, interpreter availability: $ 3,000
- Travel costs (visits to factories, wholesalers within Hungary to visit, once per
month): 12.000. the U.S.
B) Cost of the Center implementation
Necessary facilities and start-up size:
400 sqm + parking
workshop (one unit must be physically handle): 140 sqm
- Workshop: 10 per 60 sqm
- Design room: 2 people, 10 sqm
- Repair and maintenance parts: 4 sqm
- Etchant: 16 sqm
- Preparation: 20 sqm
- Workshop depot: 20 sqm
- 2 toilet (separate): 4 sqm
- Electric oven: 4 sqm
- roads
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Training Room: 40 sqm
- Under 30 persons 2 sqm/ person
- Over 30 persons 1.5 sqm / person
Offices and meeting: 100 sqm
- one area work place
- Management Offices (10-12 nm / office) and meeting (20 sqm),equipped with
a soundproof glass wall
- Executive levels in the inner arc, American style open work spaces located 2 sqm/ person
- Reception: 30 sqm (+30 sqm buffet complemented)
Social rooms: from 40 sqm
- for workers from workshops, storage areas and security workers/ separate changing rooms
for male and female workers/shower/toilet/sink, 2 sqm/pers
- Visitors toilet for men and women (reception area): 10nm
- Administrative and other field workers for men and women toilet 20 person / one
unit (a unit: 6 sqm, male / female, split)
- (Every second toilet completed with shower, + 4 sqm)
Warehouse: from 40 sqm
- Storage of incoming raw material products, stationery, cleaning materials and
warehouse inventory
- The outgoing finished products warehouse, warehouse inventory and commercial services
Shop and Showroom: from 40 sqm
- Should be inserted within the complex, later to become separated
- Because of the necessary advanced placement of special unique products, later needed
a large surface area
- Cash register and space must be separated for at least two conference/meeting corners
Facilities, equipment
(suitable equipment for practical training of 20 students at one time )
Available machines and appliances from Hungary, on-site installation and
basic education and starting materials, value: $ 110,000
- 4. Sóspecial hollow glass sander
- 30 pcs. diamond wheel
- 2. engraving machine
- 30 pcs. diamond tool
- 2. hand-engraving machine
- 1. diamond machine
- 1. plain grinding machine
- 1. diamond wheel
- 10 pcs. other abrasives
- 1. etchant equipment
- 1. check machine
- 1. check disc machine
- Swarovski rhinestones
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- Glass paint
- row material: lead crystal
- row material: potassium glass
- some finished goods
Extra cost
Transport of equipment and materials in RSA:
Transported to the site:
Additional, on-site equipment purchase: $ 45,000
1 pc. acid pump
Acid: 75% Fluorine
Sulfur 95%
Hydrated lime: Neutralization
1 electric kiln
1 pc. fire truck cab
Sand: 50 kg.
1 x Graphtec vágóplotter
Film: 20 m.
1 Loctite glue doser (970069)
Glue activator, tweezers
Mini compressor (glue doser)
Great compressor (sand blasting)
10 workshop lamp
Packing Materials
10 height-adjustable swivel chair
Shelf stable mounting system
Extra cost
Workshop for staff uniform clothing (one-piece overalls without pockets)
Preparation room of 20 sqm
- Packing table, accessible from all sides, the optimal size: 160 cm x 300 cm, must be
purchased or prepared depending on the size of the packaging room
-Shelf stable mounting system (on-site procurement)
Store-workshops of 30 sqm-
- Shelf stable mounting system (on-site procurement)
Extra cost
- Lockers for additional materials
- Separate lockable cabinet for etching
Etchant room of 15 sqm
- Etchant Equipment (supplied from Hungary)
Extra cost:
- Hand washers
Maintenance and repair shop
in total to be purchased on the spot
Drilling machine
Drill stand
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Welding transformer
Plastic Welding
Angle grinder
Cramp and cramp bench-
Hand Tools
Other accessories such as screws, etc..
Extra cost
- table
- Wall shelf
- storage compartments
Areas requiring on-site implementation
Classroom design and equipment: (a European standard: 3,650 usd / person,
minimum 20 seats only)
- Student desktops
- Student Chairs
- Teacher's desk
- Teacher's chair
- Shelves for storing samples
- Flipchart
- Projector
- Teaching and computers software
- Student Computer and software
- Flat pattern drawing pad foe design
- Pencil Set
- (Paper) Notebooks
- Writing tool
- Adequate ceiling lighting
- Darken the appropriate window
- Hot and cold air conditioning
Note: student’s computers: ideally 1 person / one computer, but minimal need is 4 persons/1
computer, for two main groups, one group 20 pers.
Reception design and equipment: $ 5,500
- A 2 reception desk (reception and security staff)
- Message and post box
- 2 chairs
- 1 computer software
- Webcam, colour printer and wrapper for preparing access cards
Office design and furnishings, $ 6,800 / person (managerial level: $ 8,000 / person)
- Screens
- Desks
- Office Chairs
- PC and software
- Table lamp
- Writing instruments and stationery
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- A central printer, copier, scanner, shredder, corsets and wrapping machine
- Meeting table
- Chair
- Kitchenette (coffee, tea serving water)
- Adequate lighting, shading
- Heating-cooling air-conditioning
Social facilities
- Locker 1/1 Cabinet
- Changing bench
- Toilet, sink,: 10/1 (6/1 if separate training rooms )
- Shower: 5/1
- Kitchen, microwave oven and kettle
- Shared refrigerator
Warehouse and equipment (material handling)
- Shelving
- Incoming and outgoing finished goods storage
Row material separation area (row materials: cca cost of raw material 4000 USD/ employer
3-5% waste; for students on average $ 1,000 monthly cost of raw material, with an
average of 30% of reject)
- Chemical storage allocation:
Hydrofluoric acid (71-75% and 60 liters per month)
95% sulfuric acid, 120 kg,
For acid neutralization: 100 kg of hydrated lime (in EU is not protected and hazard material)
- 1 electric forklift for handling goods
- PC with warehouse inventory software
Facility
- Establishment and operation of parking lots
- Facility Maintenance and overhaul
- Cleaning
- Waste treatment
- Electrical network and lighting
- Hot and cold water supply
Sample shop design and furnishings :
- Individual lockable glass cabinets for the special pieces
- Shelves
- Retail counter and packaging
- Cash desk
- Meeting Corner
Security and access control system
System planning is needed, covering the internet and mobile networks, logistic of persons and
goods, and harmonization with the unique product identification.
IT systems
- General office software
- E-mail systems
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-Graphics and cutting software
-Registration programs
-Telephone operator and sound recording programs
-Anti-virus and firewall protection
Curriculum translation, printing and reproduction
- Hungarian language translation into English: 120 USD / page
- Preparation of additional material
- Print and reproduction
Wages and contributions
- Director level: 1500-3500 USD / month / person
- Administrative and server level: 800 - 1500 USD / month / person
- Producer level:
Master's Level: $ 3,500 / month / Educational level: $ 1,000 / month /
Teaching assistant level: 800 USD / month / person
Vocational/Workman level: performance pay
- Quarterly and annual performance evaluations related to a proportion of premiums
Hungarian experts accommodation
- As a permanent solution: a two-bedroom apartment rental
- On a temporary basis (1-1 months) to ensure one-bedroom apartment
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7. Sales
7/A. The Regional Location
The centers are located on a site, except from the gift shops.
That site should located preferably in Johannesburg or Pretoria - being both cities
with strategic importance.
Primarily preferred in Johannesburg, besides this in Pretoria a special gift shop with
additional services full-time opening (engraving, initials, strass?)
7/B. Forms of sales
- At the location of factory: visual workshop, showroom (gallery), the exclusive products
shop, retail and wholesale services
- Gallery: at least 60 square meters exhibition area
- An independent samples shop: 40 sqm the area if at least 30 square meters space for sale
- An independent gift shop: under 40 sqm the surface area, but at least 15 square meters space
for sale
- Independent distribution network in commercial spaces (shelves, desk, table, etc.)
- Separate sales areas in different units, hotels, airports, tourist shop
- Agents, distributors towards for hotels, wineries, restaurants, etc
- Online: webshop. Transport at the buyer's responsibility exclusively
- Other: exhibitions, auctions
7/C. Price and pricing
- In pricing procedure the cost plus value-added principle is applied.
- While demand affects pricing - the price of decorated glass typically does not move in
negative direction.
- When a price product group is considered permanently high (due to bad pricing or low
demand) the group of products is temporarily withdrawn from the market. In case of bad
pricing, the product group renamed, and the motives - if possible - will be revised and with
the new name a right price comes back.
- The quality of decorated glassware must represent the highest standards in every case
Pricing calculations
- I. product groups: low-value products with high added value (sanded bowl):
Raw material price: 6 USD
Added Value: 4 USD
Overhead: 2 USD
Production costs: 12 USD
Selling price: 24 USD
100% profit, and the product is made in large quantities
- II. product groups: low-value products with low added value ("happy birthday"
engraving on not sanded bowl)
Price of raw material: 4 USD
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Added value: 1 USD
Overhead: 1 USD
Production cost: 6 USD
Selling price: 18 USD
200% profit, the product is made in large quantities
- III. product groups: high-value products with high added value (40 cm frame,
sanded, engraved, strass, gilt)
Raw material price: 100 USD
Added value: 50 USD
Overhead: 50 USD
Production cost: 200 USD
Selling price: $ 1,200
500% profit, plus because of the unique legacy of marketing communications is manifested.
- IV. Product groups: high-value products with low added value (only engraved,
strassed like a trophy for awards)
Raw material price: 60 USD
Added value: 10 USD
Overhead: 10 USD
Production price: 80 USD
Selling price: 200 USD
150% profit, plus the value of marketing communications
The distribution of finished products
I Product group: 30%
II. Product group: 40%
III. Product group: 10%
IV. Product group: 20%
7D/Other D, sales support services
- Rental: party shops, hotels, restaurants
- Repairing of damaged products
- Stock replacements, additions
7/E. Product Development
- Continuous
- Patterns, shapes, materials and techniques used in both
- Product withdrawals should be avoided. Efforts must be made in small series of motives -
that enhance the uniqueness
7/F. Market Development
- Internal market: market research, customer feedback analysis, exhibitions, trade fairs
- Foreign trade - exhibitions, trade fairs, the continuous development of distribution network
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8. Marketing
8/A. The Product
Decorated glass are unique, handmade pieces. Even the simplest, smallest, commodity
products are available to anyone carries the uniqueness and peculiarity. This is the primary
communication in the era of mass production.
8/B. Unique product ID
Each piece bears a unique label maker, and a unique product identifier (No. 7.Appendix A).
The product ID can be read with a simple smartphone. The amount of information stored is
endless, The product ID.has dual-function: follow the path of the product from producer to
consumer , and the product can be identified at any time, eliminate falsification over 90%.
The unique product ID to be able to store all relevant information: product description, the
presenting the author, time and place of production, designer, or advertising information (for
example on a glass of whiskey can be stored the history of whiskey making, or advertising of
a brand – for an advertising fee from the producer, of course.)
The high-quality, unique pieces ID are not visible for the eyes.
The unique product ID is not wide spread - so ideal as a marketing tool to take part in the
communication of the product.
8/C. Competitors
All high quality and unique products are in competition, whether interior design, culinary
accessories or gifts
If the material is made of porcelain, enamel, leather and fur, wood, marble, - our products
may be complements. A high quality porcelain tablewares indispensable parts are lead crystal
glass, vases with the same pattern of flower, ashtrays for cigar, etc...
A distinction must be made between industrial, automation made, mass-produced glass
and custom made decorated glass. Untrained eye cannot observe – so that’s why products
have a unique product identifier, which is also on the packaging to draw attention.
8/D. Customer target group features
- Age, gender, educational attainment, marital status, independent
- Available for the lower middle class
- Individual customers: special events (weddings, wedding anniversary, name day, birthday,
Christmas), and for own household, usually 3-4 times a year
- Religious customers: candle holders, presents for church dignitaries in a year at least once
- Companies, institutions, sport, cultural and social events
- Companies and institutions: promotional gifts and promotional items -usually once a year in
a larger amount (based on annual budget), plus unique gifts, fees, donations, etc..
- Hotels, restaurants and party service, wine, generally once a year, purchase for an annual
occasion, except for replacements, custom orders
-Tourists: generally buying right from the producer or at the airport/gift shops
- Hunters: product decorated with the picture of hunted game, up on the spot or at the airport
(additional or secondary trophies)
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8/ E. The psychological characteristics of the target group
- Individual customers: purchasing unique and decorated glass is a status symbol. The simpler
and cheaper products available to a broad base creates the illusion that the purchaser is on a
higher social status.
- As a status symbol in a beautiful apartment, a luxury car - a status symbol is also a
beautifully laid table. The traditional family model, holidays and events for large families,
enhance the quality of catering to the need to buy the products.
For societies preferring the luxury, unique and monogrammed products, gifts
- An absolute measure of a company that gives priority and unique gifts for its partners. The
decorated glass products - up to complement drinks, perfume, chocolate - box, or company
logo or initials for partners- suitable gift even for the most delicate taste.
- There is a constant demand for decorated glass products for 40 years
- This business is able to cover all demands.
- This business is liable to become the largest server for the social, diplomatic, artistic and
sporting events (gift, prize, trophy, etc.) in five years
- This business is liable to be displayed in five years for the householding and design market.
Significant market share in the luxury product category will be achieved.
8/F. Marketing Mix
- Promotion of the decorated glass products should be as unique and special as the product
itself.
- Printed media: PR article of high quality, 1/1 page colour photograph, at least two sides, or
1/1 page image ad-
- Television: the product, including production and special products, events, presentation,
discussion about the work, etc
Minimum time: 3-5 minutes, or image ad. Specific occasions for 10 seconds.
- Radio: only conversation event associated with a minimum of 5 minutes.
- Online Modes: DM your own website and in email
Preferred promotions
- Own applications (at least annually)
- Own events (ball prize)
- Donations, charity events, auctions, awards,
- Own publications, quarterly appearance
Collaborations
- Using the unique product ID, product blending (eg, a particular brand of whiskey
advertising, box set design, with two decorated glasses)
Forbidden:
- leaflet
- Action (paying one get one free)
- SMS promotions
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9. Human Resources
9/A. The Chief Officers
- The company's founders
- Active investors
- Key staff: teachers
- Advisory Board
- Legal representation
- Financial Advisor
- Directors
Directors
- CEO
- Executive Director (legal issues, contracts and resolution of the internal registers,
harmonization of regulations and cooperation with the Advisory Council)
- Technical Director (Operations and Maintenance, Information Technology, Security)
- Business Development Director (procurement, investment, marketing and product
development, raw materials and finished, goods storage, operating system, plug-ins, logistics
and business center leader)
- Director of Training (training, continuing education, courses, additional
training, staff associates, craftsman/teacher contracting, exams organizing and managing,
issuing of certificates and career center director at the same time)
- Director of Marketing (product and event marketing, company publication, books, catalogs,
event organizing and management, design co-ordination of external events, contacts with the
media and public personalities, internet)
- Human Resources Director (staff selection, recruitment, promotion, evaluation, career
planning, organization development)
- Chief Financial Officer (finance, accounting, bookkeeping, controlling, self-supervision
of financial centers)
9/B. Personnel Policy and Strategy
- Selection (curriculum vitae, evidence of professional qualifications, personal interview, as
individual competence assessment tests, situational exercises, tests, tasks, etc.)
Only the selection of leaders, or to fill specific job outside company takes outsourcing
- All jobs have a fixed monthly remuneration + and / or commission
- Each job has a unique incentive, which is the basis of a regular (quarterly) assessment
- A Career Center for talented professionals in career training and other tasks as well
(language training, business training and marketing skills, etc.)
- The Training and Career Center takes care of talented professionals, up to the artistic level;
and besides the professional training takes other training tasks as well (language
training, business training, marketing knowledge, organizing courses, computer skills, etc.).
9/C. Definition of initial organizational structure and workforce needs
Structure of Center: 12 persons
- CEO
- Combined level of Directors
-Financial: Director + 1 person Administrator + a main contractor: accountancy office
-Human + Training + Marketing + Sale: Director + 3
administrators + subcontractor marketing agency
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-Technical + investment + supply + operation: Director + 2 Administrators+ 1 Maintainer + 1
Storekeeper +subcontractors: Security, IT, cleaning services, logistics
Combined secretariat: 2 persons (can be also sub-contractors)
Schooling: 5-7 persons
- A leader Course Director
- Trainer Assistants (in same number of participants in pre-training )
- Temporary Assistants: 2 persons
Organization Development
- Primarily the administrators' levels will be separated: marketing and sales, training and
human level, as well as procurement.
- After the first education cycle will separated the Enterprise Development Center
- After first education cycle, within one or two years is established the outsourcing/outworker
network
The director’s levels will separated gradually; The final organizational structure of the
Company can best be achieved optimally in 4-5 years.
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10. Summary
This project entails all the necessary elements of a 21th century South African success story.
A good example of European and African culture successfully united in a joint venture.
Excellent example of knowledge transferring, as one of the safest and most
profitable investments.
Acclimatize a new profession, South African economy will also get an opportunity, and will
have a serious, long-term impact on the reduction of unemployment, poverty.
In addition, unique and special group of products will be created in South Africa will,
which affect tourism, hospitality.
This project is an excellent example of a small country like Hungary is able to
invest anywhere in the world – in form of intellectual capital, knowledge can be
transmitted between continents.
With international communication, this project is likely ideal to draw attention on itself, on
the importance of education and knowledge transfer of the whole African continent.
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The name of the Association
South African - Angolan-, Botswanan-, Namibian-, Hungarian Economic, Educational and
Cultural
Association of Bilateral Cooperation (henceforth: Association)
Seated
Hungary, 1068 Budapest, Városligeti fasor 24.
Legal entity
The Association is a non-governmental organization with independent legal entity, which
supplies
asks related to trade, representing and reconciliation interest and economy between, South
Africa,
Angola, Botswana, Namibia and Hungary related to economic, educational and cultural
connections.
The operational time of Association
The founders decided the establishment of association on 29 October 2009.
This Association is founded to indefinite time on 6 December 2009 by founders.
Date of official judicial registration: 18 January 2010
The independent associations representing the President, the Secretary General and the
representative
of the country. Associations of the common representation in Hungary: Edina B. Szabó
chairwoman
and in african country Eva Sütő regional account manager.
The aim and activity of Association
The aim of the Association is the improvement and contribution of Hungarian- South African,
Angolan, Botswanan, Namibian economic, educational and cultural conditions.
The activity of the Association covers the whole area of Hungarian Republic and foreign
countries.
With its pursuit would accede to boost the economic, educational and cultural connections
between
two countries.
The Association executes the following tasks related to execute the abovementioned aims:
cooperates with national and foreign partner organizations, institutions among others
universities and
professional chambers, etc.;
executes informative, marketing and promotional activity and involves the informative and
cultural
programs;
be in connection with lobby and social organizations, administration organizations,
professional
exhibitions, consultancies, meeting and arrange professional travels, as well as working as a
participant events such like abovementioned;
publishes professional issues;
executes activities which belongs or leads to achieve the abovementioned aims and
enlargement,
attendance and improvement of connections defined in aims.
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The Association own members and the enquirers on own site and via newsletter and with
personal
connection informs the activity of Association, results and aims.
The Association does not practice direct political activity and abides any ideological activity
as well.
Membership of the Association
Every natural person corporation or social organization would get association membership, or
its
membership is adjudged by the presidency beneficial related to improvement of the
connections or the
aims between Hungary and, South Africa, Angola, Botswana, Namibia.
The members could get regular, honorary and advocacy membership.
Regular member could be anyone if agrees the aims of the Association, accepts the disposals
of
constitutions with written entrance declaration, pays in the yearly membership charge, as well
as that
organization its representative declares to agree the aims of the Association, and assumes to
support
financial or other way. The entrance may valid after the approval of presidency. The
Association
decides the new member and in case of dismissive order there is a possibility to appeal to the
General
Assembly in 15 days after receiving. The charter members are regular members.
The General Assembly affiliates as a member person in state function, diplomacy,
merchandise,
education or culture. The honorary members are registered by the Association.
Advocacy member could be anyone if declares that to agree the aims of Association and if
assumes to
support financial to its fulfillment.
The Association decides the entrance of advocacy members. The advocacy members are
registered by
the Association.
The method of joining
The entrance pronouncement with the identification data must be sent to the ‘dr Nagy and
Társa’ layer office via email, fax or personally.
Fax: +36-1-352-7289, email: [email protected], address: Hungary, 1068 Budapest,
Városligeti
fasor 24.
The presidency may decide the entrance requests next in line in the course of the chair set.
Following the decision the membership will be valid by to pay the membership charge.
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Solo exhibitions
Italy: Arezzo
Netherlands: Maastricht
Germany: Nürnberg, Bad Breisig
Austria: Graz, Innsbruck
Hungary: Alfa Art Hotel Budapest, Sofitel Hotel, Budapest, Alfa Art Gallery, Szentendre,
Suzuki House Gallery, Budapest
Product Show:
Las-Vegas, Brussels, Nice,
Major References
Diplomatic gifts:
Pakistani Embassy (Budapest)
British Embassy (Budapest)
Angolan Embassy (Budapest)
South African Embassy (Budapest)
Namibian Embassy (Vienna)
Italian Embassy (Budapest)
Chinese Embassy (Budapest)
When Liu Ching (Chinese Parliament)
Saudi Crown Prince
Namibian government dignitaries main
Offices and Local Governments:
Prime Minister's Office, Hungary
Ministry of Economic Affairs, Hungary
Ministry of Education, Hungary
Country Image Centre, Hungary
County Authorities: Texas, Nógrád, Veszprém, Borsod county
Municipal governments in Eger, Parad, Recsk, Small Circle, Szilvásvárad, Diocese of Eger
Hungarian events and businesses meetings:
OTP Bank, K & H Bank, Erste Bank Hungary
Antenna Hungaria Ltd. Hungary
Gambling Hungary Ltd.
Hungary Magyar Posta
T-Mobile Telecommunications Ltd., Hungary
RTL Klub Hungary
Gia Pty Ltd (Budapest)
Gia Romania (Brasov)
Air Traffic and Airport Administration, Hungary
September Festival (Hungary - culinary and cultural festivals)
Hungarian Association of Athletics Federations
Hungarian Football Association
Hungarian Swimming Association
Foreign businesses and events:
Diamond Trophy (Namibia - sports event)
Sunshine Explorer Southern Africa (Namibia)
Blue Zambezi Group (Burundi)
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Professional Qualifications 001 jpg: Master (Craftsman master) Degree for Paul Mata, 1968 002: Craftsman Diploma, issued by Hungarian Artisanal Craft Council, for P.Mata 003: First prize and Master in Glass Industry Diploma, issued by Hungarian Glass Works, for P.Mata, 1975 004: Skilled worker and craftsman degree, issued by Craftsman Examination Board, for P.Mata, 1978 005: „Excellent quality”- qualification certificate issued by Artisans Association, for P.Mata, 1986 006: „Great Master of Industry”- diploma, issued by County Council, for P.Mata, 1987 007: 3 prize, on Heves County Exhibition, 1986
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Anti-Counterfeiting Progress – ACP (ETAR/SPIS) – The new system that
revolutionizes anti-counterfeiting protection
Today, one of business’s most serious challenges is the counterfeiting and piracy activity
worldwide that causes tens of billions of dollars in lost profits, lost jobs and ruined
reputations. Despite ever increasing spending to identify and interrupt these activities, the
efforts cannot keep pace with the spiraling illegal activities.
The ACP is a cheap, rapid, reliable, and secure primary product identification system
developed and tested by Hungarian IT engineers over several years of research.
The system offers a secure way to authenticate a product not only for the manufacturer but
also for the consumer. Due to the flexible operation everyone in the anti-counterfeiting chain
(authorities, law firms, PIs and anti-counterfeiting experts etc.) can be connected to the
system by using mobile devices such as mobile phones, iPhones, code readers, scanners and
more. Due to its rapidity, flexible operation and its extreme efficiency, it discourages
counterfeiting through its ability to cause ongoing frustration to the counterfeiters, thus
reducing or eliminating the illegal activity indirectly. Just think what could happen if every
counterfeit product could be immediately identified and seized in Hamburg!
How the system functions
The product receives a randomly generated and unrepeatable 16-figure ID number (it can be
expanded indefinitely, if needed) in the last phase of the production process in a restricted
area. The ID number, made up of 0-9 numerical and A-F alphabetical symbols, is generated
randomly on a generator operated by the supplier. It could be a bar code or a quadratic code
(from 2x2 mm to 25x25mm, or even larger) affixed through laser, sticker, printer etc. in the
form of a data matrix. If the code is larger than 25x25 mm, even the location of the checking
(i.e. the shop/store in which the product was bought, customs terminal, law office etc.) can be
located through the Internet. The ID is non-reusable and even if damaged during production
or transport, the ID will be registered as damaged and cannot be reused.
It can be applied to any material such as textile, paper, wood, glass, metal, synthetic etc.
Other information (production, usage, marketing, product information etc.) can be included in
addition to the ID code, based on the Client’s needs.
The system communicates in every applicable language.
The information is stored both physically and electronically by the supplier in an independent,
reference-standard and qualified safe data center.
The coded tag (mark, card), suitable for storing the code, can be designed and made either by
the client or by the supplier. Other security identifiers such as a hologram, RFID, tear-proof
sticker etc. can be added as well.
The Client, ideally at the end of the manufacturing process, affixes the code and signs and the
data (codes and the added information) are activated in the data center during the packaging
procedure. Afterward, any manipulation registers as an unauthorized operation.
It is the Client’s decision whom and to what degree others in the supply chain may have
access to the data center. The identification process takes place through inter- or intranet.
Feedback from the data center is in place immediately after the data matrix is read (by mobile
phone, iPhone, code reader etc.) at the venue.
Any access or check is registered in the data center and can be used for statistical purposes by
the Client, if needed. The system sends an instant alarm message to the terminal in the case of
counterfeit or manipulated merchandise.
Wire diagram (PP)
35
Will be placed in here
Identification signs
Barcode
Data matrix Additional security tools
Tear-proof 3-D hologram
RFID
The Supplier
A state-owned company EI Zrt established by the Hungarian Ministry of Defense coordinated
the research work of the developing Consortium made up of many Hungarian IT firms. EI Zrt
provides the secure technical conditions for the system as well.
ADVANTAGES
Aside from the security inherent in the system, it is low cost. Expenses consist of:
Manufacturing of the code (bar code, quadratic code, tag and additional information)
Affixing the code
Operational costs
Based on tests and research, one code placement would cost total approximately (1. 2. 3.) $
0.02-0.08 (2-8 Cents).