edp finaledp

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INTRODUCTION TO SMALL SCALE INDUSTRY

In most of the developing countries like India, Small Scale Industries (SSI) constitute an

important and crucial segment of the industrial sector. They play an important role in

employment creation, resource utilisation and income generation and helping to promote

changes in a gradual and phased manner. They have been given an important place in the

framework of Indian planning since beginning both for economic and ideological reasons.

The reasons are obvious.

The scarcity of capital in India severely limits the number of non-farm jobs that can be

created because investment costs per job are high in large and medium industries. An

effective development policy has to attempt to increase the use of labour, relative to capital to

the extent that it is economically efficient.

Small scale enterprises are generally more labour intensive than larger organisations. As a

matter of fact, small scale sector has now emerged as a dynamic and vibrant sector for the

Indian economy in recent years. It has attracted so much attention not only from industrial

planners and economists but also from sociologists, administrators and politicians.

Defining small-scale industry is a difficult task because the definition of small-scale industry

varies from country to country and from one time to the another in the same country

depending upon the pattern and stage of development, government policy and administrative

set up of the particular country.

Every country has set its own parameters in defining small-scale sector. Generally, small-

scale sector is defined in terms of investment ceilings on the original value of the installed

plant and machinery. But in the earlier times the definition was based on employment. In the

Indian context, the parameter are as follows.

The Fiscal Commission, Government of India, New Delhi, 1950, for the first time defined a

small-scale industry as, one which is operated mainly with hired labour usually 10 to 50

hands.

Fixed capital investment in a unit has also been adopted as the other criteria to make a

distinction between small-scale and large-scale industries. This limit is being continuously

raised up wards by government.


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The Small Scale Industries Board in 1955 defined, "Small-scale industry as a unit employing

less than 50 employees if using power and less than 100 employees if not using power and

with a capital asset not exceeding Rs. 5 lakhs".

'The initial capital investment of Rs. 5 lakhs has been changed to Rs. 10 lakhs for sma

industries and Rs. 15 lakhs for ancillaries in 1975. Again this fixed capital investment limit

was raised to Rs. 15 lakhs for small units and Rs. 20 lakhs for ancillary units in 1980. The

Government of India in 1985, has further increased the investment limit to Rs. 35 lakhs for

small-scale units and 45 lakhs for ancillary units.

Again the new Industrial Policy in 1991, raised the investment ceilings in plant an machinery

to Rs. 60 lakhs for small-scale units and Rs. 75 lakhs for ancillary units.

As per the Abid Hussain Committee's recommendations on small-scale industry, the

Government of India has, in March 1997 further raised investment ceilings to Rs. 3 crores for

small-scale and ancillary industries and to Rs. 50 lakhs for tiny industry.

The new Policy Initiatives in 1999-2000 defined small-scale industry as a unit engage in

manufacturing, repairing, processing and preservation of goods having investment in plant

and machinery at an original cost not exceeding Rs. 100 lakhs.

In case of tiny units, the cost limitation is up to Rs. 5 lakhs. Again, the Government of India

in its budget for 2007-08 has raised the investment limit in plant and machinery of small-

scale industries to 1.5 corers An ancillary unit is one which is engaged or proposed to be

engaged in the manufacture c production of parts, components, sub-assemblies, tooling or

intermediaries or rendering services and the undertaking supplies or renders or proposes to

supply or render not less than 50% of its production or services, as the case may be, to one or

more other Industries undertakings and whose investment in fixed assets in plant andmachinery whether held on ownership terms or lease or on hire-purchase does not exceed Rs.

75 lakhs.

For small-scale industries, the Planning Commission of India uses terms 'village an small-

scale industries'. These include modern small-scale industry and the traditional cottage and

household industry.


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INTRODUCTION TO MOBILE SOFTWARE DEVELOPMENT

INDUSTRY

Mobile application development is the process by which application software is developed

for low-power handheld devices, such as personal digital assistants, enterprise digital

assistants or mobile phones. These applications can be pre-installed on phones during

manufacturing, downloaded by customers from various mobile software distribution

platforms, or delivered as web applications using server-side or client-side processing (e.g.

JavaScript) to provide an "application-like" experience within a Web browser. Application

software developers also have to consider a lengthy array of screen sizes, hardware

specifications and configurations because of intense competition in mobile software and

changes within each of the platforms.

Smartphones and tablets are two types of mobile devices that have become

compulsory in enterprises both large & small. With rise in the use of these mobile devices,

the manufacturing of mobile apps that have to be preinstalled or downloaded in order to

complete both professional & personal work has also increased. Also, most enterprises today

have introduced the BYOD (bring your own device) strategy, thus providing the mobile app

development industry more opportunity to make use of creative technology while designing

applications. A research concluded towards the beginning of 2012 reveals that there has been

a rise of at least 63 percent in the number of business units deploying mobile applications

over the past one year. According to the research results, 50 percent among these enterprises

had to adopt mobile apps succumbing to demands made by the workforce. More than 200

percent is the growth rate of increase in deployment rate of mobile apps in enterprises

worldwide. According to the study, the mobile app development industry has become the

largest revenue earning unit of the IT sector. Most of the apps produced every year are used

for professional purposes; but there apps released for personal use are also rising.

The phenomenal growth that has been recorded in the mobile app development industry has

benefitted not only app development companies.

Here we take a look at the areas of enterprises which have benefitted more than others from

the growing popularity of mobile app development industries:


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1. Sales and MarketingIt is because of the presence of so many apps in the market that an

enterprise can effectively promote its products & services amidst a large user base. This leads

to greater sales of a product within the same area over a shorter span of time. Increased sales

means increased demand and hence increase in the productivity level of an enterprise.

2. Operations Study reveals that deployment of mobile apps has directly affected

enterprise operations by raising its efficiency levels. The time & cost involved in conducting

operational activities within an enterprise also reduce by the deployment of mobile apps.

3. SecurityWhile several analysts are of the view that mobile app development has led to

jeopardizing the state of security in enterprises, it is in reality the contrary. For example,

deployment of mobile apps means a clear division of duties as each employee now has access

to only one mobile device. It also means that data stored in one device can be accessed by

only the employee using that device. Since there is no sharing of data, security of information

is established.

4.BusinessMost importantly, the increase in the number of mobile applications has led to

improved business mobility for enterprises. Deployment of mobile application services also

assists an enterprise to develop business strategies that will contribute towards workforce

satisfaction & productivity levels.

It is therefore clear that the growth in the mobile app development industry has benefitted

several departments of an enterprise; alternatively, the increased use of apps in enterprises

inspires the application development industry to introduce more innovative technology in the

apps manufactured. The current growth rate projects a revenue generation of over $40 billion

for the mobile app development industry towards the end of 2016. The importance of the

mobile app development industry for business mobility in todays enterprises stands


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HISTORY OF SOFTWARE INDUSTRY

The word "software" had been coined as a prank by at least 1953, but did not appear in print

until the 1960s. Before this time, computers were programmed either by customers, or the

few commercial computer vendors of the time, such as UNIVAC and IBM. The first

company founded to provide software products and services was Computer Usage Company

in 1955.

The software industry expanded in the early 1960s, almost immediately after computers were

first sold in mass-produced quantities. Universities, government, and business customers

created a demand for software. Many of these programs were written in-house by full-time

staff programmers. Some were distributed freely between users of a particular machine for no

charge. Others were done on a commercial basis, and other firms such as Computer Sciences

Corporation (founded in 1959) started to grow. The computer/hardware makers started

bundling operating systems, systems software and programming environments with their

machines.

When Digital Equipment Corporation (DEC) brought a relatively low-priced microcomputer

to market, it brought computing within reach of many more companies and universities

worldwide, and it spawned great innovation in terms of new, powerful programming

languages and methodologies. New software was built for microcomputers, so other

manufacturers including IBM, followed DEC's example quickly, resulting in the IBM AS/400

amongst others.

The industry expanded greatly with the rise of the personal computer ("PC") in the mid-

1970s, which brought computing to the desktop of the office worker. In subsequent years, it

also created a growing market for games, applications, and utilities. DOS, Microsoft's first

operating system product, was the dominant operating system at the time.

In the early years of the 21st century, another successful business model has arisen for hosted

software, called software-as-a-service, or SaaS; this was at least the third time[citation

needed] this model had been attempted. From the point of view of producers of some

proprietary software, SaaS reduces the concerns about unauthorized copying, since it can

only be accessed through the Web, and by definition no client software is loaded onto the end

user's PC.


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INDUSTRY STATUS

The mobile application market is rapidly growing and gaining popularity as an emerging job

opportunities market. India is the third fastest growing app market in the world. As perGartner report, Indias active mobile connections will exceed 900 million by 2016, which

translates to 72% penetration. According to Trai in January 2012 the number of active mobile

connections in India has reached 659.99 million and the total mobile subscriber base stands at

903.72 million.

It is estimated that every Indian user spends nearly 52 minutes per-day using mobile apps.

Similarly, mobile app economy-estimated at nearly $4 billion (Rs 20,000 crore) in 2009 and

expected to grow to $18 billion in half a decade-continues to expand exponentially.

There is an increase in the demand of mobile applications as more and more people are using

smart phones. It has been projected that mobile value-added services market (which includes

mobile apps) will reach Rs 214.1 crore by the end of 2012 from Rs 158.6 crore in 2011.

Revenue generated by mobile VAS was INR 122 billion, as on March 2011. It is estimated to

reach Rs 482 billion by 2015.

GROWTH AREAS

The future is mobile and all the services and offerings are going to run through application.

India has more mobile connections than PCs or TVs and landline phones. Mobile app

development is evolving to integrate with television, in-car navigation and entertainment,

shopping, commerce and banking. It is safe to say that the future of apps is This talks about

future growth prospects in the industry.Mobile operators have seen a significant growth in revenues through VAS, which has

significantly increased demand for mobile application developers. This booming industry is

struggling to get quality developers who have ideas and creativity. Go to any job site and you

will observe the number of jobs that come under the M-VAS industry. Here the demand and

supply ratio is inadequate and industry is looking for talented professionals. Planning a career

in this industry will surely be a good move.


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OVERVIEW OF APP MARKETS AND DEVICES

Since the release of the original iPhone in 2007 and the subsequent opening of the Apple App

Store, content producers have had an ever-growing number of options for delivering their

content to consumers. Each of the major platforms has strengths and weaknesses, and the

choice of which device and market to focus on can have a significant impact for companies

wishing to deliver their content digitally.

Apple iOS and App Store

The Apple App Store for iOS, serving the iPad, iPhone, and iPod line of devices, has thelargest market share of any provider, with an estimated $85+ of every $100 spent on apps

going to the Apple App Store. Apples mobile devices are also market giants, with 43% of

smartphone owners using an iPhone. Even more striking is the percentage of smartphone-

driven online traffic deriving from iPhone users nearly 60%, which indicates that Apple

devices not only have a significant user base, but that this base is also especially active in

accessing online content. Apples iPad dominates the tablet market as well. About 80% of

tablets sold in 2011 were iPad2s, and 97.2% of tablet-driven Internet traffic came from iPad

users. Apples App Store made its debut in July 2008, creating the world of third-party app

publishing for mobile devices. From just 500 third-party applications at its launch, the

number of apps has grown to more than 500,000, with tens of billions of apps downloaded

overall. Half of all app downloads are games by far the most popular segment with

entertainment apps a close second.

To be published in the App Store, apps must be approved by Apple and are tested for

reliability and content. Once approved, the developer sets the price of the app and takes a70% share of sales, with the remaining 30% going to Apple. In February 2011, Apple

introduced subscription-based app services. Though publishers have been slow to adopt this

approach, as new subscriptions purchased through the App Store are subject to the 70-30

split, it also gives the option of selling through the developers own Web site, allowing the

developer to keep 100% of the sale price.


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Android Devices and Googles Android App Market

After many years as the worlds leading search provider, Google entered the smartphone

market with its first Android OS-based device in October 2008. Unlike Apples iPhone,

where the hardware and operating system are exclusively an Apple product, Android

handsets are manufactured for use with the Android OS by HTC, Samsung, Motorola, and

others.

The first Android tablet, the Motorola Xoom, was released in February 2011.Googles

Android OS has gained some traction in the smartphone market, but Android-based tablets

have lagged far behind the immensely popular iPad. This may be partly due to cost, with

Android-based tablets such as the Xoom priced at $549, not much less than an iPad. With

Amazons release of the $199 Android OS-based Kindle Fire in fall 2011, however, the first

true challenger to the iPads ubiquity has appeared.

Early estimates indicate that 3.9 million Kindle Fires shipped in 2011, leaping to second

place in the tablet market in less than two months

3 Though Android-based smartphone users are slated to outnumber iPhone users soon, they

are less active in app downloads, and Androids market share of app revenues remains small.

This can be attributed in part to the higher proportion of free apps on the Android Market

67% of all Android apps are free, compared to only 37% distributed through Apples App

Store

4 The Android Market follows a similar structure for developers as Apples App Store, with

the developer taking 70% of the price of the app, and various intermediaries, such as mobile

phone carriers, the remaining 30%.


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PROFILE OF ENTREPRENEURS

ANSHU BHAKKAR

Anshu Bhakkar has done his degree of engineering from the Indian Institute of Technology

amd later his MBA from the Indian Institute of Management, Bangalore and has also

undergone training in Marketing Management at Central Institute of Event Management

Singapore.

RISHI KHANDELWAL

Rishi Khandelwal has done his Bachelor of Engineering from the prestigious University of

Pennsylvania in Computer Engineering. He has also done his MBA from London Business

School and has done social work in India through Teach India initiative.


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Executive Summary

The world is going mobile and entrepreneurs are fast-becoming major users of mobile

applications (apps) to run their enterprises. Apps on mobile devices are helping small

business owners save time; reduce costs; increase revenue and productivity; work more

effectively; and better serve customers.

We are developing an app that will help the college going students to find their way. Many

colleges have large campuses and it becomes difficult for students to find their way across the

campus. This app will track the current position of the student inside the campus and help

them find their destination.

We are further planning to expand our business in hotel and retail industry by launching

different maps for leading hotels like leela, oberoi, taj etc and famous shopping complexes as

well. Thus this app will be useful for not only students but other users as well.

We are located in Bangalore (INDIA), the silicon valley of the country famous for its growth

in IT sector. Therefore we expect our firm to evolve as a leader in this sector because of the

favourable conditions towards our business.


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APPROXIMATE INVESTMENT

PARTICULARS AMOUNT

Partners Capital

- Anshu Bhakkar

- Rishi Raj Khandelwal

12,00,000

8,00,000

Goldman Sachs Young Entrepreneurs Debt

Scheme at 6% interest over period of 5 years

10,00,000

TOTAL 30,00,000


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FEASIBILITY OF THE PROJECT

The major factors supporting the feasibility of the project are as follows:

The APPLICATION is cheap and priced at 1.99$, every student using a smart phonecan afford it.

GPS tracking is free for public channels and no charge is to be paid to the governmentfor satellite bandwidth

Small scale project, so greater possibility of success as compared to a large scaleproject.

Low development cost ( only 2000$) Mobile applications gained a lot of popularity in last few years and most of the users

are students and as our application is specially for students it is anticipated to gain

popularity among youngsters.


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SWOT ANALYSIS

STRENGHTS WEAKNESS

Time-to-market is less

Ease of development

user-friendly and simple to use

Availability of skilled developers

Faster and easy access to markets

Favourable revenue sharing terms

Security issues: iPhone 5encryption is

weak and extremely vulnerable

Fragmented market: Thousands of

application developers

Lack of focus on single platform

Developers need time to re-learn as new

operating system, new user interface, new

functionalities and capabilities are coming

OPPORTUNITIES THREATS

Growing market: High demand

Expand to other areas like hotels,vetc.

Sale of virtual goods and redemption of the

coupons and promotions.

Fierce competition

Average selling price decreasing

Carriers have control over the distribution

of apps (will change as economics shift, off-

deck providers become stronger, and to a

lesser extent, ad-supported games emerge.)


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Present and future scenario of India Software

It is the IT Services which are going to rule the present and future scenario of India Software

Company. It is the software subject which is now over the minds of all the entrepreneurs.

They go through different segment of forums and magazines, only to study the scenario of the

Outsourcing Market and how India Software Outsourcing will be beneficial for the country

and the people in the Industry. There is once again high-level purchase of all software and

hardware products and the purchaser are intelligent, and mad about the technology and so

very selective in their product. So it is not the money that is spent, but the entrepreneur wants

to know how much should he invest on such a software product.

Yes, it is indeed true, that in the Software world of today, people have loosen their purse-

strings, but yet are critical as to where and how do they invest their money and how much

will they be gaining out of it. The smart Outsourcing vendors want to be one-step ahead in

the IT Competition. They want monopoly to maintain; monopoly specially pertaining to

novel idea.

By shorter cycle of sale in India Software Companies, the customers are forced to keep a very

good and long-lasting relation with the service providers. Good financing packages, attracts

the consumers and thus the relationship built between the client and customer is well intact.All the credit goes to Software Outsourcing for investing pains and strategies in rebuilding

the service products by talented and skilled human resources .


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COMPETITION

College GPS application is a new concept as no such application with a detailed maps of a

specific area are available in any software market so there is no competition for now. But we

expect an upcoming competition from Google maps and other GPS service providers

CHALLENGES

Server breakdown- Regular maintenance of server is required for GPS application towork smoothly without any glitches.

Certain colleges install signal jammers to block any type of mobile internet signalusage within the premises.

Popularity is the biggest challenge with mobile applications. Making the app popularamong students will be tough task.

WORST CASE SCENARIO AND CONTINGENCIES

The app might not gain the anticipated popularity among students as they may notfind the app worth downloading.

There can be glitches in the satellite signal reception due to heavy traffic in publicchannels (as we are operating on a public channel to reduce cost).

Management of the colleges may not allow us to design schematics of their buildingsdue to security issues


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USP

COMPANY NAME is the only company to design a mobile app which provides maps for

some of the most famous colleges of India.

Many of the students studying in colleges having huge campuses have problem of finding the

directions to a particular area. Our app helps them to resolve this problem and they can easily

find directions to places they want to visit in the campus.


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STP ANALYSIS

SEGMENTATION

Market segmentation is undertaken in order to focus on the subsets of the prospects that are

most likely to purchase our offering. This will in turn help us take the best returns from our

marketing and entertainment expenditures. Based on the need our service satisfies, the market

is segmented into diverse sections. They are:

Demographic segmentation: These include factors like age, social esteem, and income

levels which purely relate to college going students of age between 19-23 years using smart

phones

Geographical segmentation:This takes into consideration the region to which the customer

belongs to or prospects to visit..Our application is specially designed for college going

students and the success of this product purely depends upon the college/university location

Behavioural Segmentation: It is based on the benefits sought in the service, usage rate of

the service and the social status enjoyed by the population. The benefits that the customer

derives from the service as well as the prospects preferences determine the acceptance and

complete incorporation of the service

Segmentation

demographic

geographical

behavioural


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Supplier Power (LOW)

Platform specific applications. Inputs required easily available at competitive price. Substitute products are high in numbers. Key: Innovativeness and user friendly. Asp is decreasing so the emphasis is now on volume.

Buyer Power (HIGH)

Huge buyers volume- more than 10.5 bn downloads and2.625 bn users. Switching cost: same platform is low. Switching cost: different platform is high. Customer loyalty with application and application developer is low. Buyers are highly informed through app store websites.


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Threat of Substitute Product (HIGH)

Proliferation of developers for all types of platform resulted in high availability andlow cost.

Relative price of substitutes is similar. Relative quality of substitute in terms of user friendliness. 45 percent incremental effort required to port an application from one platform to

another.

Barriers to Entry (MODERATE)

High entry barriers for fledging developers- low on learning curve. Barriers are now reducing. Easy access to required inputs.


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4Ps OF MARKETING

PRODUCT: Our product is a mobile app that helps the college students to getdirections to the places they want to visit in their campus. Many students dont know

which room is situated in which building. Thus, this app will give them a complete

overview of their campus.

PRICE: The app will be sold to the consumers at $1.99. PLACE: The product will be mostly sold to the students of various colleges across

India. It will cover most of the colleges having huge campuses.

PROMOTION: Initially we are promoting this appthrough word of mouth as we aretargeting youngsters. We will interact with small- small group of people at a time and

will tell them the benefits of this app. We will also be doing the following things:-

Blogs, Twitter, Facebook We will write and announce and review in ourpersonal blogs, ask our followers to repost, tweet the links, make a Facebook fan

page.

iPhone app review websites- iPhone app review websites are hungry for newapps. We will submit reviews of our app for free as many times as we can.

Friends and family They don't hesitate to promote the app to friends,neighbours, colleagues and family, they are our launching pad in App Store.

AdvertisingWe will make a short cut and use this old, good but mostexpensive way to become famous.

Free TrialWe will give our app to the students for free trial so that they cometo know about the benefits of this app.


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ADVERTISEMENT COPY


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ORGANISATION CHART

GENERAL MANAGER

ACCOUNTANT ENGINEERS

TECHNICAL

STAFF

OFFICE &

ADMINISTRATION

STAFF

MAINTENANCE

STAFF

GENERAL

STAFF SECURITY


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EMPLOYEE POSITIONS AND SALARIES

Post Number of persons

required

Salary per month

(per person) (Rs.)

Salary per Annum

General manager 1 25,000 300000

Accountants 1 12,000 144000

Engineer 6 20,000 1440000

Maintenance Staff 2 4000 96000

Security 1 3,000 3000

Technical staff 2 8,000 192000

General staff 2 5,000 12000

Total 13 77,000 2187000


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PROFILE OF PERSONNEL REQUIRED:

GENERAL MANAGER:

Qualification:Under graduate pass out with good Human Resource skills.

ENGINEER:

Job Description:Excellent knowledge about software application development

Qualification:Passed out from a reputed engineering college with a good percentage.

TECHICAL STAFF:

Job description:Assistance in setting up the computers and mobiles

ACCOUNTANT:

Job Description:Keeping all the accounts, records and the entire financial work.

Qualification: Under graduate pass out with the minimum knowledge about tally and

computer accounting.

Specification:Soft skills, computer knowledge and knowledge about accounts and e- filings.


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ORGANISATION CULTURE

Organisation culture is an invaluable leadership technique that assists in developing a

positive, customer-oriented culture and a genuine level of employee commitment that

pervades the entire work environment.

TOTAL QUALITY MANAGEMENT

We believe in TQM which provides employees with opportunities for participation, problem

solving, and teamwork, it creates a tremendous level of motivation within each employee. In

fact, employees TQM techniques result in employees' contributing to attain the companies

objectives without a pushing or shoving style of leadership are more than motivated--they are

empowered.

EMPOWERMENT

Empowering the employees is one of the main principles of our company. Empowerment is a

force that energizes employees to perform. Empowered employees take a personal interest

empowered employees improve the overall performance of the agency, which results in

higher levels of morale. Developing empowered employees is a key element in the

formulation of a positive departmental culture and responsibility in setting and achieving the

department's goals.

* Ensuring leaders actively listen to their employees and respond with empathy which will

help in making sure ensure not only that leaders fully understand their employees' concerns

but also the, at employees feel understood.

* Leaders will seek input from employees by either approaching individuals directly or byforming employee groups, such as advisory councils.

* combining the core principles of several leadership techniques and modifying them to suit

our work environment.

* developing a healthy culture--which includes values, beliefs, and behaviours--effective

leaders build a solid foundation that enables them to foster truly committed employees with

high morale, and in turn, genuinely satisfied citizens


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EMPLOYEE RETENTION STRATEGIES

The increase in demand for forensic services creates an increase in job flexibility and a

choice of job possibilities so keeping this in mind we have decided upon the following

retention strategies.

Traditional employee satisfaction surveys will be expanded to include an assessment of the

interaction between managers and employees.

*Monthly allowances of Rs. 1000 to staff in maintainence.

Employees will be encouraged to assume responsibilities that are traditionally performed by

supervisors, such as scheduling work and distributing overtime.

Career ladders and promotional opportunities will be developed for employees, including

increased responsibility and challenges.

Empowering the employees by giving them the authority to get things done and give ideas to

the management.

Making employees realize that they are the most valuable asset of the organization.

Having faith in them and trusting them , providing them with the information of all our work

and being transparent with them.

Recognising them and appreciating their efforts which will boost their morale.

To help people improve in their skill set we can allow for managers to take on apprentices to

learn the ropes of higher management.


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CRISIS MANAGEMENT FRAMEWORK

Crisis managementis the process by which an organization deals with a major unpredictable

event that threatens to harm the organization, its stakeholders, or the general public. Three

elements are common to most definitions of crisis: (a) a threat to the organization, (b) the

element of surprise, and (c) a short decision time. Crisis management consists of:

Methods used to respond to both the reality and perception of crises.

Establishing metrics to define what scenarios constitute a crisis and should consequently

trigger the necessary response mechanisms.

Communication that occurs within the response phase of emergency management scenarios.

Crisis management methods of a business or an organization are called Crisis Management

Plan.

Crisis management is occasionally referred to as incident management, although several

industry specialists such as Peter Power argue that the term crisis management is more

accurate.

The credibility and reputation of organizations is heavily influenced by the perception of their

responses during crisis situations. The organization and communication involved in

responding to a crisis in a timely fashion makes for a challenge in businesses. There must be

open and consistent communication throughout the hierarchy to contribute to a successful

crisis communication process.

The related terms emergency management and business continuity management focus

respectively on the prompt but short lived "first aid" type of response and the longer term

recovery and restoration phases.

Crises faced by our line of work are loss of employees.


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HR POLICIES

RECRUITMENT POLICY

We accept almost anyone with a scientific and caring spirit and the ability to work well in

harsh conditions It runs parallel with the company philosophy that we seek to excel in what

we do through our employees.

Specific work requirements, applicants will be checked for evidence of a criminal record. We

perform extensive background checks prior to employment. And we hire only those who have

a clean record.

Strict policies against substance abuse and lower tolerance for illegal drug use. If the

candidate fails the drug test then he is not considered to be eligible for working with us.

We expect our employees to be exceptionally trustworthy, and creative who is not afraid to

think out of the box.

The ability to handle stress, and to think fast on ones feet with creativity and spontaneity are

also certain qualities we expect our potential employees.

Each employee must maintain a strict balance.


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Identify vacancy Prepare job description and person specification Contact Institutions and contacts Compile background information Short-listing Arrange interviews and skill tests Decision making


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SOURCES OF RECRUITMENT

We aim to attract the best talent and those candidates with an intense desire to excel, learn,

take calculated risks and grow with us. We would broadly divide our employees into 2

categories.

1] Fresh Graduates

We would be aiming at recruiting fresh graduates out of top colleges across the nation. We

will focus on mechanical engineers, electrical engineers and civil engineers. The different

colleges that we will source our graduates from are:-

Banglore Instt. of Technology

BMS Banglore

Bharti Vidya Peeth, Pune

Cummins College for Women, Pune

Bharti Vidya Peeth, Delhi

Maharaha Agrasen Engg. College Delhi

D.Y. Patil Pune

Instt. of Technology & Mgmt. Gurgaon

Maharashtra Institute of Technology

PICT, Pune

Priyadarshini Engg. College, Nagpur

PESIT, Banglore

Ramaiaha Instt. of Technology, Bangalore

R.V., Bangalore


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2] Candidates in Job Transition

We welcome those in transition. Personnel who have previous work place experiences ,as

long as the candidates have good people skills, good language skills, can handle living in

harsh conditions, can handle stress, and have the ability to empathize, chances are we would

end up hiring them. This source of recruitment will be reached into by interacting with

associates. This also gives us extensive information into their skill set, personality,

professionalism and background. This is a source of recruitment that will be exercised when

there is a need for higher level employees and people to innovate.

Pre-Selection Medical Check-Up Procedure/ Drug abuse and Substance

abuse

All final recruits need to undergo a pre-selection medical check-up which will be arranged by

the company. The joining of the final recruits will be subject to being declared medically fit

to able to successfully perform the role selected for subsequent to the check-up.

The results of the Medical test would be looked into and the final decision concerning

employment would be that of the HR team.

Disqualifiers

Heart problems

Epilepsy

Mental Disorders

Drug abuse


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Background Checks

Background check is done with internal sources, wherever possible, and with external

agencies.

As soon as we receive a fully complete set of background investigation forms, we will

commence with the potential employees background investigation. .

Background check will be done for every candidate before issuing the offer letter.

The data received would be documented and would be part of the candidates personal file.

Harassment policy

There are many different kinds of harassment from sexual innuendos to religious

discrimination; however, all forms of harassment present an element of risk in the office, so

we maintain a zero tolerance of harassment in the workplace. HR policies on harassment

encourage employees to report incidents immediately, so the issues can be addressed and

resolved timely by the manager. Rules against harassment are put into place to protect

employees and to maintain a safe and comfortable work environment. The repercussions will

be very severe if harassment occurs in the office.

Training and development

The employees will be given training and development so as to get updated with the latest

technology.

Vacation policy

Paid vacation days are time off work our company voluntarily provides employees as a

benefit. The number of paid vacation days will be accrued by employees based on years of

service to the organization and the level of their position.

Maternity leave policy

As per the The Maternity Benefit Act 1961 women employees are eligible for a leave of 90

days. This 90 days are inclusive of Saturdays, Sundays and holidays.


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Sick leave policy

Employees who are unable to work due to illness or injury should notify their direct

supervisor. Sick leave benefits are intended solely to provide income protection in the event

of illness or injury, and may not be used for any other absence. Unused sick leave benefitswill not be paid to employees while they are employed or upon termination of employment.

Personal appearance policy

To bring about a relaxed and comfortable atmosphere all our employees will be expected to

dress semi formally so that they are comfortable.

Grievance policyWhilst employed by the Company, it is hoped that all employees will be working in an

environment in which they are comfortable. However, from time to time individuals may

experience situations and circumstances which give rise to unhappiness or discomfort. The

University wishes to assist employees in resolving any such issue. To expedite this, the

Companys grievance policy provides a framework which aims to facilitate a resolution at:

(a) an informal level without recourse to any subsequent action, or

(b) a formal level where the informal method has failed or proves inappropriate.

Loan Grant Policy

The employees will not be provided with any type of loans for any assistance they require.


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FLOOR PLAN


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QUALITY POLICY

Our firm is committed to meeting our customers expectations by supplying products and

services that are reliable, meet functional requirements and are delivered on time.

To ensure we meet this commitment we use a quality management system that consists of

effective and efficient business processes.

We are dedicated to the continuous improvement of this quality system through

measurement, analysis and action.

We communicate our quality objectives and performance against these objectives throughout

the company and to interested parties.

It is the responsibility of all our staff to work together to ensure we meet this commitment to

quality.

Our firm is an ISO 9001:2008 certified company.

MACHINERY USED

4 laptops to be used for the purpose of designing the software 3 mobile phones used for the purpose of testing the app Servers used for storage of data.


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INITIAL INVESTMENT

INITIAL

INVESTMENTS

PARTICULARS AMOUNT DESCRIPTION

WORKSHOP AREA 100000 It is taken on rent. Rs.1Lakh is the security deposit

amount.

ELECTRICAL

EQUIPMENTS

756000 It is the equipments required for testing and development

of the app.

FURNITURE 49,000 It covers the basic furniture required for an office setup.

AIR

CONDITIONER

30,600 1 split a/c, Haier Air conditioner, HC18DIVAR, 1.5 ton,

15 SEER

DEKSTOPS AND

PRINTER

260000 4 Acer Laptop AMD processor Athelon 4200 1.86

GHzdual core Acer751, Ram 1 GB DDR2, HD 160 GB

with 15 TFT monitor and canon printer.

LIGHTS AND FAN 25500 Basic lightings required for the office

INVERTER WITH

BATTERY

68600 Inverter for power back-up alongwith the battery.


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WI-FI ROUTER 5000 Belkins router with high speed

INTERNETDONGLE

14000 4G airtel internet dongle

MOBILE PHONES 100000 3 mobiles each of android, iphone and blackberry

operating systems.

TOTAL (A) 14,08,700

START-UP-

EXPENSES

LEGAL CHARGES 12000 These are the charges for registering the firm

MARKETING

EXPENSES

750000 Initial Marketing expenses of the firm.

MISCELLANEOUS 30000 Expense incurred while starting of the firm.

TOTAL (B) 7,92,000

RESERVES AND

SURPLUS (C)

2,50,000


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WORKING

CAPITAL (D)

5,49,300 The working capital will help the company in the short

run and help initially a lot.

TOTAL (A+B+C+D) 30,00,000


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SOURCES OF FUNDS

PARTICULARS AMOUNT

Partners Capital

- Anshu Bhakkar

- Rishi raj Khandelwal

12,00,000

8,00,000

Goldman Sachs Young Entrepreneurs Debt

Scheme at 6% interest over period of 5 years

10,00,000

TOTAL 30,00,000


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DEPRECIATION ACCOUNT

1ST

YEAR

PARTICULARS OPENING VALUE DEPRECIATED VALUE

Desktops and printer (60%) 260000 1,04,000

Air conditioner (20%) 30,600 24,480

Furniture and fixtures (10%) 49,000 44100

Lights and fan (20%) 25500 20400

Electrical equipments (20%) 756000 604800

Internet Dongle (20%) 14000 11200

Wi-fi Router (20%) 5000 4000

Inverter ( 20%) 68600 54880

Mobile Phones (15%) 100000 85000

Total 1308700 952860


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2ND

YEAR

PARTICULARS OPENING VALUE DEPRECIATED

VALUE

Desktops and printer (60%) 104000 41600

Air conditioner (20%) 24,480 19584

Furniture and fixtures (10%) 44100 39690

Lights and fan (20%) 20400 16320


Internet Dongle ( 20%) 11200 8960

Wi-fi Router ( 20%) 4000 3200

Inverter ( 20%) 54880 43904

Mobile Phone (15%) 85000 72250

Total 952860 729348


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3RD

YEAR

PARTICULARS OPENING VALUE DEPRECIATED VALUE

Desktops and printer (60%) 41600 16640

Air conditioner (20%) 19584 15667

Furniture and fixtures (10%) 39690 35721

Lights and fan (20%) 16320 13056


Internet dongle 8960 7168

Wi-Fi Router 3200 2560

Inverter (20%) 43904 35123

Mobile Phones 72250 61413

Total 729348 513007


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PROFIT & LOSS ACCOUNT

PARTICULARS YEAR 1 YEAR 2 YEAR 3

SALES 3260000 4192500 5224000

(+) Non-operating income 350000 470000 520000

Total Income 3610000 4662500 5744000

LESS: EXPENSES

Salaries 2187000 2405700 2646270

Advertising/Promotion 750000 570000 480000Stationery and Printing 10000 9000 7700

Depreciation 355840 223512 216341

Repairs & Maintenance 12000 15000 17000

Accounting And Legal 3500 4500 5200

Rent 197000 216700 238370

Telephone 9000 10300 11100

Miscellaneous Expenses 30000 37000 43000

Interest on Loan 60,000 48000 36000

Transportation 2500 3400 3700

Web Hosting 30000 30000 30000

Payment to App Stores 280000 410000 490000

Preliminary Expenses

Written Off (20%)

158400 126720 82672

Total Expenses 4025240 4061832 4307353

Corporate Tax (33%) 0 198200 474093

NET ROFIT/LOSS (4,15,240) 4,02,468 9,62,554


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CASH FLOW STATEMENT

PARTICULARS YEAR 1 YEAR 2 YEAR 3

Cash Received

Cash from Operations: 3260000 4192500 5224000

Cash Sales/ cash received

against other services

350000 470000 520000

Cash from Receivables 0 0 0

Subtotal Cash f rom

Operations

3610000 4662500 5744000

Additional Cash Received:

Amount given by bank 0 0 0

Amount taken as a

unsecured loan

10,00,000 0 0

Capital contribution from

the partners

20,00,000 0 0

Subtotal Cash Received 66,10,000 46,62,500 57,44,000


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Expenditures

(Expenditures fromOperations:

Cash Spending 32,01,000 36,63,600 39,72,340

Payment of taxes & duties 0 198200 474093

Payment of interest 60,000 48,000 36,000

Subtotal Spent onOperations

32,61,000 39,09,800 44,82,433

Long-term Liabilities

Principal Repayment

2,00,000 2,00,000 2,00,000

Start-up expenses 7,92,000 0 0

Purchase Long-term

Assets

14,08,700 0 0

Drawings 0 0 10,00,000

Subtotal Cash Spent 56,61,700 41,09,800 56,82,433

Net Cash Flow 9,48,300 5,52,700 61,567

Previous years Cash b/d 0 9,48,300 15,01,000

Cash Balance 9,48,300 15,01,000 15,62,567


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BALANCE SHEET

Particulars Year 1 Year 2 Year 3

ASSETS

Long-term Assets 14,08,700 10,52,860 8,29,348

Less: Accumulated

Depreciation

3,55,840 2,23,512 2,16,341

Total Long-term Assets 10,52,860 8,29,348 6,13,007

Current Assets

Cash 9,48,300 15,01,000 15,62,567

Other Current Asset 0 0 0

Total Current Assets 9,48,300 15,01,000 15,62,567

Miscellaneous Expenses

Preliminary Expenses 7,92,000 6,33,600 5,06,880

Less:- written off 158400 126720 82672

Total Assets 26,34,760 28,37,228 25,99,782


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LIABILITIES YEAR 1 YEAR 2 YEAR 3

Capital

Partners Capital 20,00,000 15,84,760 19,87,228

Add: Net profit after interest

and tax

(4,15,240) 4,02,468 9,62,554

Less: Drawings 0 0 10,00,000

Reserves and surplus 2,50,000 2,50,000 2,50,000

Total Capital ( Net Worth) 18,34,760 22,37,228 21,99,782

Long-term Liabilities

Loan from Goldman Sachs 10,00,000 8,00,000 6,00,000

Less:- Repayment of Loan 2,00,000 2,00,000 2,00,000

Current Liabilities

Provision for tax 0 0 0

Creditors 0 0 0

Total Current Liabilities 0 0 0

Total Liabilities 26,34,760 28,37,228 25,99,782


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BREAK EVEN ANALYSIS

SALES = 32,60,000

REVENUE PER MONTH = 32,60,000 / 12= 2,71,666

FIXED COST = 40,25,240

BREAK EVEN POINT = EXPENSES INCURRED / REVENUE PER MONTH

= 40,25,240 / 2,71,666

= 14 MONTHS

= 1YR. 2 MONTHS approx

PAYBACK PERIOD

PAYBACK PERIOD = TOTAL INVESTMENT / ANNUAL CASH INFLOW

= 39,00,000 / 9,48,300

= 4 YRS 2 MONTHS APPROX..


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IMPLEMENTATION STRATEGY

This application will be introduced in 3 operating systems android, iOS and Blackberry

namely. We will be launching this application for 10 colleges in India during the first 6

months. Further we plan to launch it in 20 more colleges. The next year we will be targeting

40 more colleges. In the third year we plan to expand our business to hotel industry targeting

leading hotels of india such as leel, oberoi, taj etc. We will contact with several hotels and

built a separate individual app for each hotel.


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CONCLUSION

The research conducted reveals that if the project is taken through with efficient management

and proper planning keeping in mind the present and future scenario, our venture can be a

long run profitable for the both the partners. The profit figure shows that MIO APP is

booming sector and innovative in its own kind. Our venture can open pathways for a new

business altogether in the country. Proper planning and management is of utmost important in

the success of our venture. It is required at every step that due importance should be given to

competitors strategy formulation and to keep the quality enhancing at every stage along with

supply of varied new services which will provide us change to serve more and more people.

This was the untapped sector and we both partners thought to take the first movers advantage

because the working rate is very high in Bangalore and they required out app for multitasking

purposes. To conclude it was a life time experience to plan and strategy MIO APP from a

business point of view and to come across all the formalities and procedures one has to

comply with to start a business in India. We are overwhelmed and thank all those who were

an integral part in the formulation of this project.

Documents

edp finaledp