chapter 3 - fs organization & management study

FEASIBILITY STUDY RESULTS

3.0 ORGANIZATION AND MANAGEMENT STUDY

3.1 The ALYANSA

The Alyansa ng mga Kooperatiba at Samahan Sa Carranglan Inc. (ALYANSA) is an umbrella organization comprised of various cooperatives and associations at Carranglan, Nueva Ecija. It was organized and registered with the Securities and Exchange Commission under Sec. Reg. No. A200109205 last June 27, 2001. It was established to uplift the living conditions of the members by assisting them in the establishments of livelihood facilities, services and enterprises. It operates on the strategy that people’s participation in every economic activity and increasing collaboration and partnership with GOs, NGOs, and POs will hasten the development of their individual members and the community as a whole.

3.1.1 Membership

Presently, it has 58 member organizations with no less than 1,668 individual members. The current member organizations of the ALYANSA are: BALANE Forever Association Inc.; Carranglan Multi-Purpose Cooperative; Sipag Agro-Forest Association, Inc.; Samahan ng mga Magsasaka sa Carranglan; Francisco Families Union, Inc.; Luntiang Sikap Agro-Forest Association, Inc.; Isang Bukluran at Lakas para sa Inang Kalikasan, Inc.; Integrated Tree Planters of Digdig Association, Inc.; Joson-Carranglan Operators and Drivers Association, Inc.; CLSU Credit Cooperative; Puncan Credit Cooperative; Digdig Credit Cooperative’ Bunga Women’s Primary Multi-Purpose Cooperative; Samahan ng mga Igorot Members Association, Inc.; Veterans Sons and Daughters Cooperative’ ABA Agro-Forest Association, Inc.; Pundig Based Agro-Forest Association, Inc.’ Bayan Naman Agro-Forest Association, Inc.; Federation of Kalanguya Tribal Council; Tiayaga Agro-Forest Association, Inc.; Agro-Forest Association of San Agustin; Evergreen Tree Planters Association; Greenhills Tree Farmers Association’ Digdig Irrigators Association; Samahan ng mga Magulang at Kabataan; Samahang Pang-Agrikultura ng Rehab-Maringalo; Tribal Association for Welfare Industry and Development; Mabunga Primary Multi-Purpose Cooperative; Bagong Lahi ng Luntiang Kagubatan (BALALAK); Christ Centered Church; Loyloy Organization of People Against Poverty; Kapatiran Multi-Purpose Cooperative; Mentors Association of Digdig (MAD); Salazar Minority Farmers Association (SAMIFA); Salazar Minority Development Cooperative; Igorot Gardeners Association; Capintalan People’s Multi-Purpose Cooperative; Capintalan Women’s Cooperative; Minuli Tribal Community Development Cooperative; Four “M” Growers Association; CDFM Upland Farmers and Traders Association Kabulinawan T. P. A.; Kapit-Kamay ng Kababaihan ng Puncan (KKP); Samahan ng

ORGANIZATION AND MANAGEMENT STUDY

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Magsasaka sa Kabisalan; Digdig Women’s Primary Multi-Purpose Cooperative; General Luna Women’s Multi-Purpose Cooperative; Cultural Communities CBMF Beneficiaries Association’ Segum-Baluarte Multi-Purpose Cooperative; Barangay Development Enterprise; Family Shoe Shop; Ezyque Furniture’s Shop; EVT Enterprises; Lupao-Parista Highland Farmers Agro-Forestry Association, Inc.; Pantabangan-Cadaclan Napon – Napon Greeners Association, Inc.; Mountain Builders Association, Inc.; Rizal Farmers Association PMPC; Linera Farmers Association PMPC; Rolle Fabricon 2000.

3.1.2 Organization Structure

Structure

The “Board of Trustees” serves as the policy/governing board of the ALYANSA. It is being managed by a Chairman/General Manager. Administrative staff (i.e. the bookkeeper) is an employee of LGU-Carranglan working part-time to the ALYANSA.

Officers Profile

The ALYANSA is presently manned by capable officers whose qualifications suit their respective positions. It has entered into production arrangements of cassava and coffee with San Miguel Corporation and Nestle Philippines, respectively. Continuous coordination with GOs and NGOs are being done for the establishment of other business enterprises.

Name : Manuel V. TanPosition : Chairman and Cassava Dev’t Team LeaderAddress : Digdig, Carranglan, Nueva EcijaEducational Attainment : L.L.B.

Name : Teresa F. CubillaPosition : Vice Chairperson for FinanceAddress : Bunga, Carranglan, Nueva EcijaEducational Attainment : C.P.A.

Name : Gervacio M. RosaruoPosition : Vice Chairman for OperationAddress : Gen. Luna, Carranglan, Nueva EcijaEducational Attainment : College Level


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Name : Eleonor LadoresPosition : Treasurer and Mango Dev’t Team LeaderAddress :Educational Attainment :

Name : Lido K. EpePosition : Coffee Dev’t. Team LeaderAddress :Educational Attainment : B.S. Forestry

Name : Renato S. CarascoPosition : Livestock Dev’t Team LeaderAddress : Digdig, Nueva EcijaEducational Attainment : A.B. Pol. Sci.

Name : Irene M. MarianoPosition : BookkeeperAddress : Kayapa, Nueva VizcayaEducational Attainment : B.S. Accountancy

3.2 Organizational Analysis and Proposed Organizational Changes

3.2.1 Organizational Analysis

The ALYANSA is a registered conglomeration of primary cooperatives and associations in the Municipality of Carranglan, Nueva Ecija. As such, the organization has legal and juridical personality to engage in any lawful and viable business ventures which the organization deemed worthwhile engaging into.

Membership includes primary cooperatives which are duly registered with the Cooperatives Development Authority (CDA) and associations.

One limiting factor, however, is that the ALYANSA is a non-stock/non-profit organization. Hence, it cannot distribute profits to its members.

3.2.2 Organizational Changes

Based on the above organizational strengths and weaknesses of ALYANSA, and after the consultation meeting with its officers and members, it is proposed that it organizes a new group that shall undertake the new venture, processing of oil and production


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and distribution of sampaguita garlands. It shall be registered as a separate organization and shall operate as a separately. This shall be designed to operate as a business enterprise.

For the proposed Ilang-ilang Essential Oil Production:

For the first two years of operation, no personnel will be hired for this project:

The General Manager of ALYANSA could act as the Business Manager.

As such, he will be in-charge of overseeing the whole operation of the enterprise.

He shall make the necessary plans and reports to the officers of the association.

He shall also be responsible for looking for institutional buyers of the processed oil.

On the second year of operation, a new organization shall be established to acquire a legal personality and prepare the organization in the acquisition of the facilities thru loans.

On the third year when the Ilang-ilang trees are on their flowering stage:

A machine extractor operator will be hired to extract the essential oil. It will be necessary for a Business Manager to be hired on a full-time basis

to be in-charge of marketing and supervision of the extraction process.

As the volume of production increases:

A helper/laborer could be hired to assist the machine extractor operator.

The ALYANSA’s cashier and bookkeeper will handle recording of business transactions and cashiering.

All the manpower requirements of the enterprise are locally available.


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The machine extractor operator will be sent for training at the Department of Science and Technology (DOST).

The dealer/supplier of the machine will also provide training on the use and maintenance of the extractor machine.

The people who will be hired will be receiving the following salaries and wages:

POSITION RATE PER MONTH

NO. OF MONTHS

COST PER YEAR

Business Manager 6,500.00 13 84,500.00Machine Extractor Operator

4,000.00 13 52,000.00

Helper/Laborer 2,500.00 13 32,500.00

3.2.3 Organization Structure

Given the proposed new organization, the essential oil extraction shall be treated as a new enterprise headed by a Business Manager. Additional full time staff (oil extractor operator and helper/laborers) will be hired and will be directly under the supervision of the Business Manager.

Figure 4. Organizational Structure


Board of Directors

Business Manager

Cashier Oil Extractor Operator Bookkeeper

Helper

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The current bookkeeper and cashier of ALYANSA shall perform the cashiering and bookkeeping requirements of the essential oil production enterprise until such time that it can afford to hire additional staff. The proposed structure is shown below.

3.2.4. Role of Government and Non Government Organizations in the operation of the project.

3.2.41. Local Government Unit of Carranglan (LGU)

Legislate ordinance that will support the rewarding of barangays that promotes poverty alleviation, employment generation and protection of the environment.

Provide incentives to active organizations involved in the project by integrating the features of the program in its selection of outstanding barangays

Supervise community organizing and accreditation.

Help promote and commercialize technology.

Develop changes in the marketing and resource generation as well as technical assistance as the need arises.

Recognize the organization as member of the Municipal Agriculture and Fishery Council

Undertake agricultural fora to promote the product.

Provide the necessary infrastructure support while the enterprise is still new.

3.2.41. Other Government Agencies

Department of Science and Technology

Conduct training on propagation, processing, proper care, and maintenance of extractors.

Formulate policies that will enhance the growth of essential oils industry.


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Conduct researches that will improve the technology on essential oil.

Provide financial assistance through the Technology Application, Promotion and Development

Department of Environment and Natural Resources

Conduct training on propagation, processing, proper care, and maintenance of nurseries, trees and environmental protection.

Conduct intensive advocacy on the use of community based guardians of the natural resources.

Department of .Agriculture

Facilitate surveying of planting materials.

Undertake continuous capability building.

Monitor operation of cooperative

Institutionalize a community based monitoring and evaluation.


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chapter 3 - fs organization & management study

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