Business plan

OLYMPUS
Where dreams come alive, put on suits, and get money.

The Business Plan: Olympus – aIRa
Mission: Our mission is to combine the business intelligence and multiple market influence of
Ingersoll Rand to address the problems in the fashion industry. Our goal is to change the fashion
industry campus wide and nation wide by allowing our clientele to wear their favorite clothing
items year round through the use of clothing technology.
Business Description: Our particular business venture has been crafted through a challenge
proposed by Ingersoll Rand to Olympus. Our challenge was to create a product by enhancing one
of Ingersoll’s many products—while providing our own creative take. Our innovation solves
problems that we have identified through our time at Howard University and most specific in the
fashion industry.
Company Background: Ingersoll Rand Inc. (NYSE: IR) was incorporated in 1905, in its legal
headquarters in Dublin, Ireland, by founder Simon Ingersoll. Ingersoll Then merged Ingersoll-
Sergeant Drill Company and Rand Drill Company. From its administrative headquarters in North
Carolina and under the leadership of CEO Michael Lamach, IR focuses on two segments-
climate and industrial. The global company provides comprehensive services, effective solutions
and innovative products “advancing the quality of life.” Revenue is primarily earned through the
design, manufacture and sales of their products. Their diverse range of businesses include Club
Car- golf-cars, utility, transportation and rough terrain vehicles, Ingersoll Rand- compressed air
systems, Thermo King- temperature control systems for vehicles and Trane- residential and
commercial energy-efficient heating, ventilation and air-conditioning systems. With its diverse
family of brands and industry-leading products and services, IR aims to provide the world with
better quality and comfortable air, fresh food and perishables, efficient energy solutions and
productive business practices.
Team Olympus, formally known as Team 1C, is a team sponsored by Ingersoll Rand
through Howard University School of Business 21 CAP. The basis of this partnership was to
foster professional guidance and business experience within our team. Through that initiative,
this business venture was born: aIRa.
Products/Services: aIRa is the future of staying comfortable and stylish in all weather. It is the
innovation that many in the clothing industry have tried to create but come up short. AIRa is
simply a nanotechnology that can be applied to any fabric to fit each buyer’s individual needs. It
is the nanotechnology that has been placed into the fabric that makes it special. The
nanotechnology allows the person wearing it to get cool when it’s hot outside and get warm
when it is cool outside. It’s a personal air-conditioner when it’s hot and a personal heater when
it’s cold. Once you put the aIRa clothing on, it takes a few minutes to monitor your resting body
temperature. After that, it will adjust itself depending on the temperature around you to keep
your body at the resting temperature. It take homeostasis to a whole different level and if that
isn’t enough it is weatherproof. So any and all weather will not affect the way the one wearing
clothing with the nanotechnology will feel.

Markets: The very first industry aIRa will be targeting is Healthcare. Healthcare is used
throughout all different socioeconomic levels so aIRa won’t just reach one specific class of
individuals. The Healthcare industry is continuously searching for the best, most innovative
technology that can advance their services to their costumes while simultaneously creating
revenue and/or saving them money. aIRa will be put to use in specifically hospitals. Instead of
having to cool one room or heat another, a patient’s gown or bed sheets would do the heating and
warming for that specific individual.
A large number of students shop online or buy their Howard merchandise from the
bookstore. Making our product available at both of these places and promoting our brand name
there will be paramount for our business plan. Students will be able to purchase Howard clothing
with aIRa technology with their Bison Bucks. The Bison Weekly Newsletter and official Howard
Facebook page are great platforms for advertising our products because it would efficiently
spread the word about our offers and new products. To begin our brand and product, we plan to
have a fashion flash mob in the yard. To fully promote our look we will have an influential
person as our brand ambassador. With these marketing strategies, not only will our image as a
brand with innovative technology be reflected, but also the trendy aspect of our products will
reach our target market.
Distribution Channels: Main avenues that will receive our product include but are not limited
to:
• Healthcare centers and Hospitals
• Howard University Book Store
• Other local retail shops
Marketing Initiatives

This Artificial Intelligence Reasoning Application (aIRa) is a very unique product due to
its combination of nanotechnology and fashion. The Artificial Intelligence Reasoning
Application is the first ever article of clothing that uses technology that allows the fabric to adapt
its temperature to meet the wearer’s needs. In this digital age, new and innovative ideas are key
for companies to achieve product differentiation, which in turn, drives sales because it becomes
more attractive to consumers. The technology can be applied to any fabric so, the directions aIRa
can go are virtually endless.
The very first industry aIRa will be targeting is Healthcare. aIRa will be perfect for
Healthcare and Healthcare will be perfect for aIRa. Healthcare is used throughout all different
socioeconomic levels so aIRa won’t just reach one specific class of individuals. The Healthcare
industry is continuously searching for the best, most innovative technology that can advance
their services to their costumes while simultaneously creating revenue and/or saving them
money. aIRa will be put to use in specifically hospitals. One of many reasons why health care
requires large amounts of monetary resources is because reasonably priced services consume
large amount of energy. In this case, the use of aIRa will help to keep certain patients in various
sectors of the hospital at a preferred temperature, thereby conserving energy and pleasing the
patient. Instead of having to cool one room or heat another, a patient’s gown or bed sheets would
do the heating and warming for that specific individual. Healthcare is on one of the many uses
that aIRa can be applied to. After aIRa succeeds in one industry it can be adapted to any industry.
A large number of students shop online or buy their Howard merchandise from the
bookstore. Making our product available at both of these places and promoting our brand name
there will be paramount for our business plan. Students will be able to purchase Howard clothing
with aIRa technology with their Bison Bucks. The Bison Weekly Newsletter and official Howard
Facebook page are a great platform for advertising our products because it would efficiently
spread the word about our offers and new products. A social media marketing team will be set up
to promote the product cost-efficiently. They will be in charge of advertising, promoting,
blogging and branding in social media. For example, they will be featuring Howard students who
wear our products on Instagram, holding giveaways and converting the feedback customers
contribute on social media into meaningful marketing strategies. Print, television and radio are
also important to market latest campaigns and create long-term brand value. Even simple and
cost-efficient efforts such as obtaining permission to talk about our brand for the first five-
minutes of class would be advantageous. Later in our business plan, we can think of loyalty
cards…after six purchases, 15% off on the seventh one. But for the first glimpse of our brand, we
could have a fashion flash mob in the yard. And possibly have an influential person as our brand
ambassador. With these marketing strategies, not only will our image as a brand with innovative
technology be reflected, but also the trendy aspect of our products will reach our target market.

SWOT Analysis
Strengths Weaknesses
• Innovative idea in wearables industry
• Affordable
• Energy and product efficiency
• The complex technology that we are
creating
• The price that will be presented to
consumers
Opportunities Threats
• Can be advanced to check for
symptoms of temperature related
sicknesses
• Expandable to Many Markets
• Can be produced in large quantities
for significant brands or events
• Wearables are a big upcoming industry
• Testing required for safety
• Small wearable technology startups like
TempDrop, etc.
The wearables technology revolution is here. People can now monitor health, set daily
goals, track fitness results, and capture videos practically anywhere. aIRa introduces an entirely
new dimension to the wearable industry, temperature control. Although the technology required
to make aIRa compact and comfortable while also effective is not readily available, that creates
an opportunity for IR to be a trailblazer in the industry.
aIRa has the ability to be applied throughout all areas within any industry. Once the
technology behind aIRa is created its adaptability gives it the ability to consistently be developed
and innovated to remain on top of any competing product. Although the Healthcare Industry is
our first target market, this product is suitable for various markets such as the Athletic Apparel
industry. It can be sold to name brands like Nike, NorthFace, and Patagonia.
Body temperature is one of the most reliable and easy to recognize signs that a person’s
body is not well. Using the temperature control feature of aIRa, we can advance to a monitoring
system which will be able to recognize irregularities and provide warnings. The vast technology
company startups in the wearables industry may prove to be a threat to aIRa, however Ingersoll
Rand’s brand recognition will be an advantage in that area. Also there may be testing required to
ensure safety of the technology and to dissociate it with any carcinogens, etc.

Product/Innovative
Very soon the world will be asking, what is aIRa? So what is aIRa? aIRa is the future of
staying comfortable and stylish in all weather. It is the innovation that many in the clothing
industry have tried to create but come up short. aIRa is simply a nanotechnology that can be
applied to any fabric to fit each buyer’s individual needs. It is the nanotechnology that has been
placed into the fabric that makes it special. The nanotechnology allows the person wearing it to
get cool when it’s hot outside and get warm when it is cool outside. It’s a personal air-
conditioner when it’s hot and a personal heater when it’s cold. Once you put the aIRa clothing
on, it takes a few minutes to monitor your resting body temperature. After that, it will adjust
itself depending on the temperature around you to keep your body at the resting temperature. It
take homeostasis to a whole different level and if that isn’t enough it is weatherproof. So any and
all weather will not affect the way the one wearing clothing with the nanotechnology will feel.
We know what aIRa is and what is does but, what does it look like? Well the World is
full of unique diverse people, so we decided to offer a product that mirrors the attributes of our
customers? Our product allows our customers to enjoy flexibility in their clothing choices by
using Nano technology. This Technology eliminates the need for those seasonal wardrobe
changes. Suddenly, the same hat that was worn in the depths of your winter months to keep ones
ears warm can be warm in the peak of the summer to keep one cool. No longer will anyone be
forced to hide their favorite graphic tees with large bulky coats. Those same tee shirts will
suffice in the winter time with this Nano technology. Fashion will change completely with Nano
technology. Jackets in the summer will no longer be taboo. For those who love seasonal clothing
like Ugg Boots or Basketball shorts, no longer will you need to put them away as the weather
changes. aIRa offered in a variety of products. aIRa is available in suits, shirts, pants, shorts,
socks, dresses, skirts, and jackets.
Why does any of this matter? We have seasonal clothing for a reason, we wear jackets in
the winter and shorts in the summer. This is true but are we really comfortable when it is 15 and
below or if its 85 degrees with a humidity over 50 percent? No we are not, the seasonal clothing
tries its best to make the person wearing the clothing comfortable but 100 percent of the time.
Well not anymore thanks to aIRa seasonal clothes can not only compete with mother nature but
beat her with ease. If this isn’t enough to prove why this technology matters, think about that
awkward kid who’s body just doesn’t look right in summer clothes. With aIRa that sad kid can
now look their best and feel their best year round. aIRa does more than just react to the outside
environment, it helps the person wearing it maintain their resting body temperatures. So those
high stress situations that raise body temperatures like a first date or a job interview one can utter
the phrase, “I aint sweating it” and stay cool. AIRa is the future of comfortable and fashionable
clothing, so either get on board or get left behind.

Here, we can view an example of exactly what aIRa can do for you:
Financials for Product
Narrative

The costs and revenues associated with a product are two of the most important factors
when deciding its viability, and in order to compute the costs and revenues that will result from
the production and sale of aIRa many assumptions are needed. The first being that fifty workers,
skilled and unskilled, will be required to produce aIRa; thirty-five of said workers being
unskilled and the remaining fifteen, skilled. The hourly wages are all set at the national average
for their respective positions as reported by the United States Bureau of Labor Statistics, which
will be detailed in the following table. For calculation, employees working on this team will
work the standard eight-hour day. Once these employees are in place it is assumed that they will
each produce fourteen units per day, meaning 500 units per day collectively. The cost of
equipment associated with the production of aIRa must also be included, and it is established as
$70 per unit. Finally, since aIRa’s primary function is to be utilized within clothing, a contract
with a clothing manufacturer is necessary. Waterproof jackets are used as the basis for this
calculation because it is a middle ground between the less expensive t-shirts and more costly
blazers, for example. It will cost $9 per jacket, so producing 500 aIRa jackets per day will
require $4,500 per day to be paid to a clothing manufacturer. Using the aforementioned
assumptions, approximate costs are able to be calculated.
Table of Costs
Labor
Number of Workers Hourly Wage* Hours/Day Cost/Day
Unskilled 35 $13.50 8 $3,780.00
Skilled
Marketing 3 $21.30 8 $511.20
Supply Chain 4 $28.00 8 $896.00
Information Systems 3 $29.00 8 $696.00
Tech-Nano and Chem. 5 $32.00 8 $1,280.00
Total $7,163.20
Production
Cost/Unit Number of Units Cost/Day
Filtration Equipment $70.00 500 $3,500.00
Clothing Manufacturer $9.00 500 $4,500.00
Total $8,000.00
Grand Total Cost $46,663.20
(This was pasted from the original window, here’s a link so you can see what it looks like without the wonky
formatting:
https://docs.google.com/spreadsheets/d/1GsUj2Y0PkogFGE1WP_ymNRJIYVjugRmY9oD6uZ7ILIw/edit?
usp=sharing)

Financial Statement
To ensure the success of a product, an income statement must be created to outline the
gross revenue and total expenses to calculate the net profit and see if there is any growth
profitably at all. When considering Team Olympus’, aIRa, the fixed factors must be stated such
as the estimated units produced per day of 500, the unit price to produce each unit set at $79.00,
and lastly the sale price of $135.00 per unit. The details of how the fixed factors were calculated
is explained in the Table of Cost section above.
The financial information such as cost, revenue, and profit were derived from very simple
functions after computing the necessary expenditures. Beginning with the cost function, one
must first look at how much it cost to produce one unit being (x). The main components of the
aIRa clothing is the filtration system, that will allow the heating and cooling to take place, and
the actual jacket from a manufacturer.
According to the Table of Cost, the filter is $70.00 per unit and the waterproof garment is
$9.00 from the manufacturer when bought in bulk of 20 items or more which totals $79.00 per
unit hence $79x. Then in a cost function the fixed costs, in this case being labor, must be added
on which is $7,163.20. Therefore, the cost function is $79x + $7,163.20 = C(x). Next, compute
the revenue function which is simply the sale price multiplied by one unit of (x). The sale price
was was derived from a function calculating optimal price and determined $135.00 per unit
would be the most effective. Therefore the revenue function is simply $135x = R(x). Lastly, the
profit is revenue minus the expenses which gives a function of $56x - $7,163.20 = P(x) which
means that when set equal to zero, the break even point is 128 units must be sold to truly make a
profit.
A generalized financial Income Statement of just the sales from the product and the expenditures
from the Table of Costs was generated to present the monetary values of the expenses, revenue,
and profit per day, week, month, and year of the production and sale of aIRa.
Type: Generalized Income Statement

General Income Statement
Ingersoll Rand Team Olympus
aIRa
Daily Weekly Monthly Annually
Revenue
aIRa Jackets $67,500.00 $472,500.00 $1,890,000.00 $22,680,000.00
Expenses
Labor
Unskilled Workers $3,780.00 $26,460.00 $105,840.00 $1,270,080.00
Skilled Workers $3,383.20 $23,682.40 $94,729.60 $1,136,755.20
Production
Filtration System $35,000.00 $245,000.00 $980,000.00 $11,760,000.00
Clothing Manufacturer $4,500 $31,500.00 $126,000.00 $1,512,000.00
Total Expense $46,663.20 $326,642.40 $1,306,569.60 $15,678,835.20
Net Profit $20,836.80 $145,857.60 $583,430.40 $7,001,164.80
Financials for Marketing
aIRa’s marketing strategy is broken into two separate entities as there are two separate

markets we are trying to reach- hospitals and Howard University students.
For the hospitals, our money will be spent on commercials, posters and a traveling
consultant who will set up meetings with hospital personnel to sell them the best fabric which
would be in the blankets and curtains- aIRa technology. So, just for the commercials we will
spend about $15-$25 for a Cable spot- this is with networks such as CNN, ESPN, Nickelodeon,
TNT, VH1 and BET. We want to use these Cable spots because these are the channels people are
watching as over half of American homes subscribe to Cable. Thinking that we will have about 5
commercials a day for about a month’s time, we will spend $750 on cable commercials during
prime time. We will want a number of different posters for both our hospital campaign and our
push at Howard, so we will need two different designs (one for the blankets and curtains for the
hospitals, and one with clothing for Howard) on a few different sizes. For the hospital, we will
want about six posters and for Howard we will want about 20 this is to just start us off.
We will want five 18” x 24”, one 22” x 28” posters for the hospital, and 16 18” x 24”, three 22”
x 24” and one 24” x 36” poster for Howard University:
Features
• Includes full-color printing, lamination
• and mounting at a package price
• Choice of matte or gloss lamination
This will cost $161.94 for the hospital and $560.80 for Howard, adding up to $722.74 before tax.
The projected tax is $57.82, so the full price would be $780.56. The traveling consultant will be
$639/ wk for 4 weeks, equaling $2556 a month for their wages.
Now, on to our marketing plan for Howard University. Besides the posters which have
already been equated for, we will be using social media to advertise to the students and utilizing
volunteers for the flash mob on the yard. So social media will essentially be free, but the photo
shoots needed for the photos on our page will cost. First, we will need mock-ups of all the
designs so that will cost about $9 a jacket and we will need 50 jackets so that’s $450 (these same
jackets will be given to the flashmob volunteers to wear and an incentive for them to have).
Then, we will need a photographer (Howard University student) which is about $50 an hour and
we would probably need about 2 hours time so that’s a $100. We will provide water and bagels
on set during the photo shoot. We will buy the water ($20), but will get bagels for free from
Panera by donation. Therefore, we will spend an additional $570 onto the $560.80.
All in all, we have a relatively inexpensive marketing plan with our total for both
initiatives rounding off to $390.56.
Example: A Marketing Breakdown Sheet
Sizes & Pricing:
• 18" x 24" - $39.99 $23.99
• 22" x 28" - $69.99 $41.99
• 24" x 36" - $84.99 $50.99
• 36" x 48" - $129.99 $77.99

Citations
BLS spotlight on statistics fashion. (2012, June). Retrieved from Bureau of
Labor Statistics website: http://www.bls.gov/spotlight/2012/fashion/pdf/
fashion_bls_spotlight.pdf
Joyner, Jeffery. "What Is the Average Marketing and Advertising Budget for a Company?"
Small Business. Hearst Newspapers, 2015. Web. 22 Mar. 2015.
http://smallbusiness.chron.com/average-marketing-advertising-budget-company-30993.html
Men & Women waterproof windproof hiking jacket camping jacket new style fashion
coats quick-drying windbreak jackets man 15Colors. (n.d.). Retrieved from
Aliexpress website: http://www.aliexpress.com/item/
Brand-men-waterproof-windproof-hiking-camping-suit-jacket-New-style-fashion-coats
-quick-drying-active-Jacket/1569652635.html
Occupational employment statistics. (2013, May). Retrieved March 22, 2015, from
Bureau of Labor Statistics website: http://www.bls.gov/oes/current/
oes131161.htm
The Content Factory. "Menu." The Content Factory. Olive Street Desgin, 2015. Web. 21 Mar.
2015. <http://www.contentfac.com/how-much-does-social-media-marketing-cost/>.

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