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”Cut and Fun…All in 1”
EXECUTIVE SUMMARY
Most of us hated getting a hair cut in their childhood. We had to go to the old guy who used to
cut dad's hair. Over the years we've seen plenty of little boys being dragged into the barbershop
by their mom or dad, their parents holding them down in the chair while the kids kick, cry and
scream to stay away from the rude barber. Getting a child’s hair cut can therefore be a
challenging task difficult but not impossible to accomplish. If we look around, there are many
salons established for catering the grooming needs of males and females but the children
segment is ignored in this regard. There are no such barbershops or hair salons specially made
for the kids in Islamabad or even in Pakistan, keeping this opportunity in mind, we are coming
up with the first ever kids salon in Pakistan by the name of “Tiny Clippers”.
Tiny Clippers will be a kids themed hair salon, featuring child friendly environment being
provided by the mix of specially trained kid-friendly employees, whimsical furniture, child
attracting fittings, play place, special scissors and a great ambiance. The styling chairs will
feature cartoons, cars and animal patterns on them, the mirrors in front of chairs will have LCD
monitors fitted into them attached to gaming consoles on which the kids can either play video
games or watch cartoons while getting their hair clipped. The waiting area will features a play
place where the kids waiting for their turn can enjoy and get entertained.
Tiny Clippers will be a privately held company. It will be based on general partnership between
six legal partners M. Bakir Hassan, Mr. Ahmed Ali Malik, Mr. Saim Ali Shah, and Mr.Usman
Khalid. All of them will be the owners of Tiny Clippers with equal liability and profit share.
Tiny Clippers will be located at Sector F-6 shop No. 22 Super Market. The premises will be a
rented property of 600 sq-ft with the monthly rent of PKR 55,000. Our strategic partners will
include Beau Tek, Trend International, New Era Furnitures, Mc Donald’s and Wikkid Plus.
There is no direct competition for Tiny Clippers in the market. There are no kids’ themed salons
in Islamabad or anywhere in Pakistan. On the other hand substitutes include the small size barber
shops opened on small streets across the city. Being the pioneer in kids’ salon Tiny Clippers has
to compete for market share with its indirect competitors which includes both good women’s and
men’s salons in Islamabad operating on moderate scale like; Trim Time, G.Q, Smarts, John 2,
Prince, Anumeeka, Cuts, Newlook, Godeon, and etc.
Tiny Clippers will be the first of its kind in the market specializing in the kids therefore it will be
the trend setter rather than being a trend follower. It will be bringing continuous innovation to
the services and products sold which will be the key to sustain the competitive advantage since it
won’t be easily duplicated, substituted or imitated. The location would play a major role since
it’s the only factor which if planned properly can result in a competitive advantage that cannot be
Imitated and copied by the other competitors. The employees will lead to a competitive
advantage that will be sustainable and hence not imitate able by anyone easily.
Our target market will include the parents living in the areas of F10, F11, E11 E9, F6 and F7 in
the city Islamabad with kids belong to the ages from 2 months to 13 yrs, both males and females.
Our total budgetof our project is 40 million. To monitor and control the actions in order to
implement the marketing plan, every possible step is taken in order to ensure “A Strong Brand
with A Strong Following”.
The closing of this project will be done when the first day of Tiny Clippers will start giving there
services to the customers.
PROJECT CHARTER
Tiny Clippers
Project Name: Tiny Clippers (kids’ salon)
Prepared by: Saim Ali Shah
Date: 12/10/2010
INITIATION:
Tiny Clippers (kids’ salon)
Provide Plan for tiny clippers kids’ saloon.
Project Manager: Saim Ali Shah
SYNOPSIS: Built to target the market niche for good quality hair cut for kids on weekly or
monthly basis. Targeting the Islamabad market and providing the benefit of an
untargeted niche which is still untapped. It is not only a small investment but has
the potential to provide huge returns. This proposal, along with drafts of related
documents, will be used by management to determine whether or not to approve
work on this project. A clear and precise project plan helps set expectations that
will be used later to evaluate the success of the project.
PURPOSE/
BUSINESS
NEED:
Most of us hated getting a hair cut in their childhood. We had to go to the old guy
who used to cut dad's hair. Over the years we've seen plenty of little boys being
dragged into the barbershop by their mom or dad, their parents holding them down
in the chair while the kids kick, cry and scream to stay away from the rude barber.
Getting a child’s hair cut can therefore be a challenging task difficult but not
impossible to accomplish. If we look around, there are many salons established for
catering the grooming needs of males and females but the children segment is
ignored in this regard. There are no such barbershops or hair salons specially made
for the kids in Islamabad or even in Pakistan, keeping this opportunity in mind, we
are coming up with the first ever kids salon in Pakistan by the name of “Tiny
Clippers”.
SCOPE
STATEMENT
:
Tiny Clippers, wants to be the pioneer of specialized kids’ hair salon aims to
provide the best of haircutting and styling experience to our customers i.e., the kids
and their parents.
SERVICE
DESCRIPTIO
N
A better hair cutting saloon for kids would be valuable because it could greatly
increase customer satisfaction and less time searching for the right hair cutting
saloon. Introducing a high quality service that will increase the customer
satisfaction. The benefit to us could come in the form of selling our services at not
very high price between the hair saloons for aged people and the barber shops on
the street side price increasing satisfaction and awareness and then to enhance it
beyond Islamabad and to other cities.
PROJECT
MANAGEME
NT
Project Management processes according to the standards and methodology set
forth in the Project Management Institutes' Body of Knowledge will be used to
manage the process of making a hair cutting saloon for the kids. The Project
Management Plan (PMP) will include the following elements:
• Project Charter
• Description of the Project Management (PM) approach
• Scope statement
• Work Breakdown Structure
• Cost estimates, start and finish dates, roles and responsibilities
• Performance measurements baselines for scope, schedule, and cost
• Major milestones and target dates for each
• Resources, effort, and related costs
• Plan Quality
• Develop human resource Plan
• Plan communications
• Identify risks
• Plan risk responses
• Plan Procurements
• Risk Management Plan
• Quality Management Plan
• Communications Management Plan
The project management plan is a living document that will be updated by the
Project Manager. The plan will be executed and overall project performance
evaluated on a regular basis to provide confidence that quality standards are being
met. The project team will be developed to maximize skills and competencies to
enhance project performance. Information will be disseminated to project
stakeholders on a schedule outlined in the Communications Plan.
ASSUMPTIONS,
CONSTRAIN
TS, RISKS:
High level project risks and constraints include, but are not limited to
● Funding availability
● The best place to open a shop
• The schedule for this project is very short. We will manage this by planning
a conservatively scoped functional core and series of functional
enhancements that can be individually slipped to later releases if needed.
A detailed Risk Assessment is included in the PMP.
RESOURCES:
Project Resources:
Human Resources:
Skilled workers
Material and Services Resources:
Equipment
Financial Resources:
Labor: Rs 84000
Equipment: Hardware: Rs 3,714,875
CHANGE
MANAGEME
NT All change requests will be documented, submitted to, and assessed by the Project
Manager (PM) and Team Lead for impact and project necessity prior to PM
approval. If change is approved, the project schedule, scope, and budget will be
updated accordingly and communicated to appropriate stakeholders in accordance
with the Communications Plan. The PM/project team will communicate the
approved change and updated schedule to the staff responsible for implementing
the change.
PROJECT
TEAM:
PROJECT TEAM ROLES AND RESPONSIBILITIES
Mr. Saim Ali Shah (PM): Plan, develop, and implement strategies for generating
resources and/or revenues for the company.
Miss Sabahat Jamil (Marketing Manager): Manage and coordinate all
marketing, advertising and promotional activities
Mr. Saqib Khan (HR Manager): Development of a superior workforce, recruiting
and staffing
Mr. Hashim Sheikh (Finance Manager): Maintain day-to-day financial control
Mr. Zohaib Hassan Khan (Purchasing Manager): Search for the highest quality
merchandise at the lowest possible purchase cost
Mr. Awais Akhtar (Artistic Manager): Active involvement in recruiting and
interviewing potential staff, coordinate training
Customer and Contractor Managements' Project Team participation is important to
provide clarification and guidance on any and all matters affecting the project
team's ability to execute the project successfully.
APPROVAL(S): Project Manager: Saim Ali Shah
Date: 12-10-2010
Identify Stakeholders
Project charter:
Described above.
Procurement document:
We will be procuring different things through the following suppliers and we will also be
forming business partnerships with our suppliers. This will be a contract agreement. Our
suppliers include:
Beau Tek: For providing scissors and manicure products
Trend International: For providing all the cosmetics, shampoos and kids’ beauty
products
New Era Furniture: For providing us with Disney Furniture and other fittings
Detailed procurements are being described in the procurement plan.
Organizational process assets:
Culture:
The shop will have a child friendly environment where there will be specially trained kid-
friendly stylists to groom the kids. The shop will feature whimsical furniture, LCD monitors
inside the mirrors in front of every seat on which the kids can watch cartoons and play games
while getting their hair trimmed, scissors and other cutting and styling tools with cartoon patterns
on them, small play place for the kids in waiting and the stylist will be wearing special costumes
to amuse the kids. All-in-all it will be a kid-friendly experience to an extreme.
The stylists will be specially trained to handle the kids in a proper way while cutting their hair
and parents won’t have to stand there to calm the screaming child. This type of environment
would induce kids to happily go for a haircut which has been a misery for the kids and the
parents in the past. The best thing is once the kids will get a haircut in such an environment it
would be hard to take them back home and they’ll be waiting eagerly for their next haircut. This
is what we want the kids to feel like when they leave.
Structure:
Tiny Clippers will be a privately held company. It will be based on general partnership between
six legal partners Mr. Saim Ali Shah, Miss Sabahat Jamil, Mr. Hashim Sheikh, Mr. Saqib Khan,
Mr. Zohaib Hassan Khan and Mr. Awais Akhtar. All of them will be the owners of Tiny Clippers
with equal liability and profit share. All the owners are the students of a business school
majoring in different fields and therefore are well capable of handling such a business.
General Partnership Agreement will help us in settling issue on equal basis, since everyone will
be equally liable and will get equal shares of the profit. There would be lesser conflicts and thus
lesser threats to the partnership and this will aid in stable growth of Tiny Clippers.
Process:
Our process of providing the service is totally customer focused. We are committed towards our
customers in providing them the service with complete convenience, comfort and according to
their likings in an environment of excitement and joy.
In short, the process can be explained through the following flowchart:
The process of how a customer will be dealt with at Tiny Clippers can be explained by the
following steps:
1. As soon as the customers will enter they will be greeted by the receptionist.
2. They will be allotted a customer number or in case of their pre-scheduled appointment
the kid will be escorted to the hairdresser’s seat.
3. After receiving the customer number customers will be taken to the waiting area where
the kids can enjoy board games, play with toys or play inside the play place.
4. The child caretakers in the waiting area will stay alert and keep observing the kids so that
they don’t get into trouble or hurt themselves.
5. Upon coming of the turn the caretaker will take the kid to the hairdresser’s seat and
provide the kid with a controller which will be used to watch the cartoons and play video
games.
OUTPUT:
Stakeholder Register:
The main stakeholders for this project of making a hair saloon will be all the partners who have
invested in this business. The list of the stakeholders for this project is as follows
1. Mr. Saim Ali Shah
2. Miss Sabahat Jamil
3. Mr. Hashim Sheikh
4. Mr. Saqib Khan
5. Mr. Zohaib Hassan Khan
6. Mr. Awais Akhtar
Stakeholder management strategy:
The partners in this business don’t have much experience in the practical field but with this
opportunity, they are looking forward to utilize their knowledge in the management of their
business. Each one of the member is responsible for the field he/she is capable of handling well.
Hence the tasks are distributed among the partners keeping their abilities and knowledge about
various aspects of the business in mind. So as the task has been distributed to them according to
the knowledge the posses so there will be no misunderstanding between the partners. Also as the
project stakeholders are the six legal partners so each member has the right to know that what is
the position of the project and how is the project going so after 2 weeks there will be a meting in
which each of the member has to give a report on the task allotted to him. In this way if the
project is going well decision can be made to make it right and also the rights of the stakeholders
will be kept as each and everything will be happening in front of them.
Planning Process Group
Scope:
Project scope management includes the processes required to ensure that the project includes all
the work required and only the work required to complete the project successfully. Managing the
project scope is primarily concerned with defining and controlling what is and is not included in
the project. Following are some steps involved in the scope management process.
• Scope statement
• Collection of project requirement
• WBS
Scope statement:
Tiny Clippers, wants to be the pioneer of specialized kids’ hair salon aims to provide the best of
haircutting and styling experience to our customers i.e., the kids and their parents.
Opportunity:
Most of us hated getting a hair cut in their childhood. We had to go to the old guy who used to
cut dad's hair. Over the years we've seen plenty of little boys being dragged into the barbershop
by their mom or dad, their parents holding them down in the chair while the kids kick, cry and
scream to stay away from the rude barber. Getting a child’s hair cut can therefore be a
challenging task difficult but not impossible to accomplish. If we look around, there are many
salons established for catering the grooming needs of males and females but the children
segment is ignored in this regard. There are no such barbershops or hair salons specially made
for the kids in Islamabad or even in Pakistan, keeping this opportunity in mind, we are coming
up with the first ever kids salon in Pakistan by the name of “Tiny Clippers”.
Objectives:
Knowing that right goals and objectives lead to the ultimate success Tiny Clippers will have the
following objectives:
• To provide quality in terms of haircuts, hairstyling and other kids’ grooming services that
is there in the country.
• To reach break-even during the second quarter of 2012.
• To generate annual revenue between Rs. 3million to Rs. 4 million during 2011.
• To have branches in the cities Karachi and Lahore by the end of 2012.
• To attract at least 50% of the target market during the first year.
• To have more than 50 employees by the end of 2011.
• To keep the costs of hair care and other such products less than 35% of revenue.
Collection of project requirement:
The business is of opening a barbershop shop which specializes in haircuts for kids and other
kids grooming services. The shop will feature whimsical furniture, LCD monitors inside the
mirrors in front of every seat on which the kids can watch cartoons and play games while getting
their hair trimmed, scissors and other cutting and styling tools with cartoon patterns on them,
small play place for the kids in waiting and the stylist will be wearing special costumes to amuse
the kids. All-in-all it will be a kid-friendly experience to an extreme.
Many organizations categorize requirements into project requirement and product requirement.
Project requirement can include business requirements, project management requirement,
delivery requirement etc. To make this project a success we need the following requirements
• A shop
• Financing
• Stakeholder register
• Equipment
• Skilled workers
• Cosmetics
• Furniture
• Kid’s beauty products
• Scissors
• Manicure products
• Interior designer
• LCD monitors
• Special costumes
• Games DVD
• Other fittings
Key Project stakeholders:
1. Mr. Saim Ali Shah
2. Miss Sabahat Jamil
3. Mr. Hashim Sheikh
4. Mr. Saqib Khan
5. Mr. Zohaib Hassan Khan
6. Mr. Awais Akhtar
Key Project Deliverables:
The key project deliverable in my project is the services of the hair cut that we will be giving to
the kids. The main efforts and contributions in the opening of this kind of business in Pakistan
include all the formation of status reports including the major parts in the designing of the shop.
The project deliverables also include all the documentations of planning that will be provided to
the stakeholders. It also includes status reports and meeting schedule reports.
Create WBS:
Refer to MS project doc.
Human Resource Plan
Management Team:
Managerial duties will be divided into the partners; Mr saim will be the project manager, Mr.
Awais Akhtar will be managing the Artistic activities, Miss Sabahat Jamil will be handling
Marketing activities, Mr. Muhammad Hashim will look after Financial issues, Mr. Zohaib
Hassan Khan will be responsible for the Purchasing activities and Mr. Saqib Khan will be in
charge of the HR activities.
The partners do not have much experience in the practical field but with this opportunity, they
are looking forward to utilize their knowledge in the management of their business. Each one of
the member is responsible for the field he/she is capable of handling well. Hence the tasks are
distributed among the partners keeping their abilities and knowledge about various aspects of the
business in mind. The responsibilities of each of the members are enlisted below:
Mr. Saim Ali Shah (PM)
• Responsible to communicate with higher management for project information.
• Responsible for the meeting time of that available for team members to discuss and develop
project.
• Special rights in making final decisions if the team is unable to reach a decision.
• Encourage members to produce to their best ability.
• Manage and Coordinate the Project Activities.
• Submitting project reports on time.
• Research in the project areas.
• Assign appropriate tasks to members according to their responsibilities and ability.
• Ensure the program adhere to design specification.
• Final compilation of report.
Miss Sabahat Jamil (Marketing Manager):
1. Manage and coordinate all marketing, advertising and promotional activities
2. Use all forms of media and communication to build, maintain, manage and
increase/enhance the reputation and image
3. Conduct market research to determine market requirements for existing and future
services
4. Analysis of customer research, current market conditions and competitor information
5. Develop and implement marketing plans and projects for new and existing products
6. Manage the productivity of the marketing plans and projects
7. Monitor, review and report on all marketing activity and results
8. Determine and manage the marketing budget
9. Deliver marketing activity within agreed budget
10. Develop pricing strategy
11. Liaison with media and advertising
12. Analyzing potential partnership relations
13. Participate in staff meetings
Mr. Saqib Khan (HR Manager):
1. Development of a superior workforce
2. Recruiting and staffing
3. Hiring
4. Communication.
5. Performance Management
6. Employee orientation, development, and training
7. Policy Recommendation
8. Salary and Benefits
9. Team Building
10. Employee Relations
11. Employee safety, welfare, wellness and health
12. Quality Control
13. Develops and monitors an annual budget that includes Human Resources services,
employee recognition and administration
14. Participate in staff meetings
Mr. Hashim Sheikh (Finance Manager):
1. Maintain day-to-day financial control
2. Advise on the proper allocation of resources
3. Provide financial planning and analysis services
4. Assisting with drafting the budget
5. Providing monthly reports and analysis to the Director
6. Managing the internal audit procedures
7. Making payments and preparing staff payroll
8. Assisting with staff recruitment
9. Ensure that all finances are properly administered and monitored, including credit control
10. Develop and implement plans to enable the organization to achieve its financial
objectives
11. Establish and maintain effective working relationships with the CEO
12. Participate in staff meetings
Mr. Zohaib Hassan Khan (Purchasing Manager):
1. Search for the highest quality merchandise at the lowest possible purchase cost
2. Negotiating the lowest prices
3. Acquiring materials and parts needed
4. Establishing domestic and foreign suppliers
5. Studying sales records and inventory levels
6. Placing orders and checking shipment
7. Analyze market conditions
8. Assisting in the planning of sales promotions
9. Working with advertisers to create ad campaigns for newspapers, television and direct
mail
10. Visit the selling floor to make sure that all goods are displayed accurately
11. Ensure Quality of material received
12. Inspection
13. Participate in staff meetings
Mr. Awais Akhtar (Artistic Manager):
1. Active involvement in recruiting and interviewing potential staff
2. Coordinate training
3. Create and articulate programs in line with the Tiny Clippers artistic rationale, that
expresses the vision, mission and goals of Tiny Clippers
4. Facilitate the artistic vision of each product and service
5. Act as the Company spokesperson for the media
6. Facilitate the development of media skills within the company
7. Act creatively
8. Ensure innovation
9. Participate in staff meetings
PERSONNEL PLAN
Tiny Clippers will be organized and managed in a creative and innovative fashion to generate
very high levels of customer satisfaction and to create a working environment beneficial to a
personnel development and economic satisfaction for employees.
In the first few years, there will be limited number of employees. In the first 3 years, assumptions
are that there will only be four hairstylists, baby sitter, a sweeper, a receptionist and part time
nail, facial, and massage personnel until the business can build a reputation that will attract
others to work here. There will also be a receptionist who will greet customers and receive
payments for services and products. One sweeper will be appointed to ensure that the place is
tidy all the time. Everyone but the receptionist and sweeper will be contract workers. Future
plans include the hiring of more hairstylists, barbers, shampoo technicians and massage
therapists as the business expands.
The employees would be working from 10 am onwards till 10 pm. Training classes to help
improve employee knowledge and skills will be conducted every month on a regular basis. This
is so in order to help them find improved ways of interaction with the kids.
The personnel hired along with their job description are as follows:
1. Hair stylist: Preferably woman. Must have at least two or three years of experience.
Must be able to provide customers with barbering services including cuts, shapes, trims,
and tapers hair, using clippers, comb, blow-out gun, and scissors. Must be able to
perform other tonsorial services, such as applying hairdressings or lotions, shampooing, ,
or styling hair, and massaging face, neck, or scalp. Must be specialized in styling or
coloring hair. Must be able to use equipment such as rollers, curling and straightening
irons, and color treatments. Must have a know how to perform various processes such as
highlighting, frosting, or streaking hair. In addition, hairstylist must fit, shampoo, and
style wigs and hairpieces. Must ensure quality in his/her work. Salary: Rs. 10,000
2. Facial and Massage Therapist: No experience required. Must know the basic skills for
facial and massaging. Must ensure quality in his/her work. Salary: Rs. 6,000
3. Nail Specialist: Must have 1 year experience. Must be able to provide nail related
services and grooming. Communicate service knowledge to the clients served. Must
ensure quality in his/her work. Salary: Rs. 6,000
4. Receptionist: Must have completed high school. Require good communication skills.
Must be able to understand and speak English. Must greet all clients and customers
within the first 10 seconds with a smile. Make them feel welcomed and comfortable.
Direct them to the waiting or salon area. All new clients must be given a menu and tour
of the facilities. Handle all phone calls politely and professionally using your name when
answering the call. Booking appointments. Taking client's name, phone number, and type
of service. Repeat the time, day, and date of appointment to client. Confirming
appointments. Appointments for the following day are to be confirmed by the end of the
shift. Must have knowledge about all services offered and their prices. As a receptionist,
you will be responsible for handling all financial transactions of clients. Proper
maintenance of change in the cash drawer is expected. Maintenance of the reception area,
waiting area, and display units are also responsibilities. Must ensure that the receipts are
given to the customers when they leave. Also file any complaints that the customers may
have. Salary: Rs.12,000
5. Baby Sitter: Preferably a female. Must have completed high school. Experienced
candidates are preferred. Must be able to provide temporary custodial care of young
children when the parents are not around. The care typically is on a part-time or an as-
needed basis. The babysitter should possess the ability to respond to a crisis situation,
communicate effectively with parents, and have some basic first aid skills. Ensure safety
of kids at all point. Salary: Rs. 8,000
6. Sweeper: Must have 2 years of experience. Must keep the environment clean all the time
including the floor, furniture, walls, play area, etc. Must ensure quality in his/her work.
Salary: Rs. 6,000.
Total cost for HR:
Designation Quantity Job Description Salary
Hair stylist 4 Permanent 10000 each
Baby sitter 1 Permanent 8000
Receptionist 1 Permanent 12000
Sweeper 1 Permanent 6000
Nail specialist 1 Part time 6000
Facial and massage therapist 1 Part time 6000 each
Total cost: 84000
Communications Plan
Plan Communications is the process of determining project stakeholder information needs and
defining a communication approach. This part of the plan includes the processes require to
ensure timely and appropriate collection, distribution, storage, retrieval and ultimate disposition
of project information. Following is the communication plan table. This approach will be used in
the project.
Communication Plan Table:
Deliverables Type Delivery
method
Delivery
frequency
Who responsible?
Status
reports
Mandatory Through e-mail After every three
weeks
Project manager
(SAIM ALI
SHAH)
Stakeholders
management
strategy
Proper
documents
through courier
services
After 1 month Project manager
(SAIM ALI
SHAH)
Updated
documents
according to
emerging
needs
Mandatory Proper
documents
through courier
services
After every six
months
Support
department
Meeting
schedules
reports
Mandatory Through e-mails After every two
weeks
Project manager
(SAIM ALI
SHAH)
Risk Management Plan
Management Risks:
The management risk we are prone to includes the following:
• Any dispute in the management team due to any unforeseen reasons may result in any of
the members leaving the business which would be a risk to the business as a whole
• Competitors can take away our trained employees on better salary and hence take away
one of our sustainable competitive advantage as well
Following are the steps that can be taken to mitigate the risk:
• Handsome salary packages, rewards and recognition, other fringe benefits should be
offered to the employees so as to retain them
• Appreciate employee’s suggestions to make them feel a part of the organization
• When any of the management team members leaves the company, neither he would be
entitled to use the name of the company nor start the same business with any other name
Marketing Risk:
The marketing risks we are prone to include the following:
• Changing market conditions may pose a great threat as it would require a new market
research and the whole new marketing plan has to be prepared
• Confusing advertisements must be avoided so that the positioning of our service is
accurate in the minds of the customers
• Our business is underestimated by the target market which may be due to faulty tactics
These risks are so far focused keenly to avoid. Following are the steps that can be further taken
to mitigate the risk:
• Strong promotional campaigns and strongly pointed target market can help ensure the
effectiveness and efficiency of pour marketing efforts
• Utilizing the contingency marketing plan in case if the existing plan fails
• Keeping ourselves informed about any changes occurring in the market so we can react
proactively rather than reactively.
Operational Risk:
The operational risks we are prone to include the following:
• The lead time for the order processing and delivery of beauty and other grooming items
must be properly managed in order to ensure customer satisfaction at all times
• Developing uniformity in services is a must but it is difficult to achieve
• Electricity shortage represents an ongoing crisis in Pakistan
Following are the steps that can be further taken to mitigate the risk:
• Suggestions and consumer feedbacks can help in providing uniformity of services and
ultimately leading to customer satisfaction
• Having employees who can do multiple tasks can prove to be helpful
• Using Generator to ensure electricity supply
Financial Risk:
The Financial risk we are prone to includes the following:
Pakistan is politically an unstable country for operating business as riots, bomb attacks, strikes
and procession are very common. Any harm to the physical location of our premises can cause
huge financial loss
To overcome financial risk cash reserves have been formed as a percentage of the total revenue
gained. These reserve funds will be used in time of company downfall, any mishap and
especially in the shake-off period.
Inexperience:
Although the partners forming Tiny Clippers are talented and possess good knowledge regarding
the business matter, they do not have any sort of practical experience which is one the biggest
risk that we will experience.
The risk for inexperience can be catered by giving trainings to the partners as they have
management skills but yet they don’t have qualified skills for marketing, HR and financing.
Threats to new entries:
Since it’s a good opportunity many people will be looking forward to starting this business.
As the business is new in Pakistan and it has many opportunities so many people will focus to
open the same business as our competitors but this problem can be catered by keeping our
quality level high as compared to the competitors.
PROBABILITIES OF RISK EFFECTING PROJECT:
• Financial Risk 20%
• Operational Risk 20%
• Marketing Risk 25%
• Management Risk 15%
• Inexperience 50%
• Threats to new entries 90%
Quality management plan
Quality Control:
Quality of service is what Tiny Clippers stresses upon. Hence there is no compromise on
quality. It is to be made sure that each and every customer gets the best quality from our
employees and at our shop. Our HR manager Mr. Saqib Khan is responsible for ensuring the
quality of service at each and every step. Ensuring quality is also enlisted in the job
description of each of our employees. Hence at Tiny Clippers the managers and the
employees will eliminate any hurdle that will come in the way of delivering quality services
and hence ensuring that the best of the quality is delivered to all.
Customer Support:
We are targeting the age group of children who normally do not make their own decisions
and they are dependent on their parents for the entire decision making. Hence for us it is very
important that the parents of such children choose Tiny Clippers for getting a haircut for their
kids. Hence our customers are given top priority so that we are able to not only attract them
but also retain them. For this we have designed customer support strategies and obligations
which are as under:
Customer Support Strategies and obligations:
 Tiny Clippers will have its very own website where the customers can get the information
about it services and they can also view the outlook of the shop. The website will also
enable them to book an appointment for a hair cut. They may also give suggestions and
any complaints regarding Tiny Clippers. This facility will help the customers to save their
time because they can easily access the website at any place. They do not have to visit
company outlet just to get information.
 The customers can also call at the reception desk to book an appointment or to address
any problem that they might be facing.
 The customers if dissatisfied with any of the services provided to them, we will be
responsible to offer the same services again which would be free of cost.
Availability of Qualified Labor Pool:
As mentioned many times before, we look forward to making our human resource as one of our
sustainable competitive advantage. For this, it is very much important that we hire qualified labor
force that will be able to deliver our value proposition which is more for less. Hence hiring of
labor force is given extreme importance. We have made sure that we have not only hired those
people who are qualified and experienced but also those whose attitudes are kid-friendly.
Majority of our employees are females as they are better capable to handle kids. Other parlors or
salons in Lahore deal either with men or women. Tiny Clippers on the other hand will be dealing
kids. Hence a whole new expertise would be required to deal with the children. Keeping this in
view, we are very much satisfied that we have been able to hire a qualified labor pool that
includes four hairstylists, a baby sitter and part time nail, facial, and massage personnel.
Procurements Plan
After the detailed meetings from all the key stakeholders, and different experts in cost
management, we are able to make a detailed report on the criticality of each item used in our
project. In this whole process, our project team and other experts review the limits or boundaries
of the project. The most important part in the procurements is the arrangement of shop in the best
place suitable for our business, so we have decided for the complete outsourcing (on rent) in this
matter.
Vendor Bid Analysis:
After viewing all the main vendors who are providing the equipments that we need to procure,
the project team has decided to procure all the equipment from the following vendors on the
basis of quality and cost.
Beau Tek: For providing scissors and manicure products
Trend International: For providing all the cosmetics, shampoos and kids’ beauty
products
New Era Furniture: For providing us with Disney Furniture and other fittings
Samsung: For providing us LCDs.
Detailed procurement products along with there quantity and there cost is as follows.
Consumable Products Quantity Price Each Total Cost
Scissors 25 75 1875
Manicure products 50 500 25000
Kids beauty products 100 500 50000
LCDs 4 30000 120000
Special costumes 5 5000 25000
DVD games 10 100 1000
Lotions 50 200 10000
Creams 50 200 10000
Shampoos 50 200 10000
Soaps 50 50 2500
Barber Chairs 4 5000 20000
Sitting Chairs 8 2000 16000
Soft Footballs 20 50 1000
Lego’s 5 200 1000
Colors 10 100 1000
Puzzles 5 200 1000
Cars 10 250 2500
Stuff toys 25 200 5000
Drawing books 10 100 1000
Story books 10 100 1000
Total Procurement cost: 304875
FINANCIAL PLAN
Financial Structure:
Since Tiny Clippers is a partnership the startup investment is 40 million and it will be equally
shared by the all the partners namely; Mr. Saim Ali Shah, Miss Sabahat Jamil, Mr. Hashim
Sheikh, Mr. Saqib Khan, Mr. Zohaib Hassan Khan and Mr. Awais Akhtar.
So total budget for this project becomes
Total Budget: 40 million
The overview of financial projections is as follows:
Project Investment
Item Cost
Setup Cost 750,000
Premises 660,000
Working Capital 1,000,000
Marketing Expenses 1,000,000
Preliminary Expenses 304875
Total 3,714,875
Setup Cost: It includes all the fixtures, panels, windows, flooring and fittings.
Premises: The agreement of tenancy signed requires payment of 10 months’ Rent in advance
and 2 months’ Rent as a refundable security. The Agreed upon rent is Rs. 55,000/month.
Preliminary Expenses: They include buying of all the products required to start the business
like all the equipments, shampoos, lotions, creams, soaps and etc.
Salaries
Designation/Type Number Monthly Salary (Rs.) Total Salary (Rs.)
Hair Stylists 4 10,000 40,000
Baby Sitter 1 8,000 8,000
Nail, Massage and Facial
Specialist(PT) 3 6,000 18,000
Janitor/ Sweeper 1 6,000 6,000
Receptionist 1 12,000 12,000
Total 84,000
In the first 3 years, assumptions are that there will only be four hairstylists, baby sitter, a
sweeper, a receptionist and part time nail, facial, and massage specialist until the business can
build a reputation.
Some of the utility expenses assumptions are also made
Utilities Expense
Utility Monthly Expense (Rs.)
Electricity 25,000
Gas 12,000
Telephone 10,000
Generator 12,000
Internet 2,500
Water 3,000
Total 64,500
So total cost becomes
Type of Expense Cost
Project Investment 3,714,875
Salaries 84,000
Utilities Expense 64,500
Total cost: RS 3,863,345
Execution Plan
SERVICE DELIVERY
Tiny Clipper is scheduled to launch on 13 May 2011. First day would be an invites only day in
which the invited guests will be served, catered and introduced to this new concept in Islamabad.
This would be a kind of concept launching in the city of Islamabad.
The working hours for Tiny Clippers are from 10am to 10pm. During these timings, all the
services will be fully available. The stylist that we have hired, have certification from reputable
institutes and are masters at their craft. Through special training, it is made sure that they have a
child friendly attitude and are very patient, which is required when dealing with the kids. We
have placed special emphasis on the training and hiring of our employees as they will be
ultimately responsible for delivering the services to our customers.
The method of providing services will follow a very simple pattern. The customer may either
come to our outlet or call from their homes to get an appointment. The customers may wait in the
waiting area for their appointment with the barber or the stylist while the kids can enjoy their
time in the play area. When it’s their turn, the customers will be guided by our employees to the
salon area where respective services will be simultaneously produced and consumed. Every
effort will be made to ensure that the highest quality of service is provided to each and every
customer of ours.
The internal tasks of Tiny Clippers will be handled by the partners. A brief description is as
under:
HR Function
Mr. Saqib Khan being the HR Manager will be responsible for hiring, training, retaining and
compensating the employees. As soon as the employees will be hired they will be put under
probationary training period of 2 weeks during which they will be properly observed and
checked if he/she is capable to performing the tasks properly.
Finance Function
Financial matters will be headed by Mr. Hashim the Finance Manager. He will be looking over
the daily operational costs and cash flows. He is responsible for making and updating financial
plans and for making sure that the business operates at minimum possible costs without any
compromise on the quality of services.
Marketing Function
All the Marketing activities will be headed by Miss Sabahat Jamil the Marketing Manager. She
will be managing all the promotional activities, setting and updating the prices, generating
awareness in the market and educating people about what is a kids’ salon and what are its
benefits. She is responsible for developing and updating the marketing plan. She is responsible
for bringing changes to the services of Tiny Clippers to make additions and advancements to the
current product/service line. She is also responsible for customer loyalty and retention.
Artistic Function
Artistic Manager is responsible for finding out and coming up with new hairstyles, cuts and
fashion trends for kids and as well as new services which he will be performing in co-ordination
with the marketing manager. This function will be handled by Mr. Awais Akhtar.
Purchasing Function
Mr. Zohaib Khan the Purchasing Manager is responsible for making purchases for Tiny Clippers.
He is our link to the outside world of suppliers. He is responsible for keeping healthy and good
relations with the vendors thus keeping the flow of supplies smooth, regular and low cost.
AVAILABILITY OF QUALIFIED LABOR POOL:
As mentioned many times before, we look forward to making our human resource as one of our
sustainable competitive advantage. For this, it is very much important that we hire qualified labor
force that will be able to deliver our value proposition which is more for less. Hence hiring of
labor force is given extreme importance. We have made sure that we have not only hired those
people who are qualified and experienced but also those whose attitudes are kid-friendly.
Majority of our employees are females as they are better capable to handle kids. Other parlors or
salons in Lahore deal either with men or women. Tiny Clippers on the other hand will be dealing
kids. Hence a whole new expertise would be required to deal with the children. Keeping this in
view, we are very much satisfied that we have been able to hire a qualified labor pool that
includes three barbers, a hairstylist, a baby sitter and part time nail, facial, and massage
personnel.
BUSINESS PARTNERSHIPS
Tiny Clippers has to acquire the assistance of business partners who can provide it with
resources and establish a mode of exchange with it. Following are the business partnerships that
it seeks to develop:
Partnership with Suppliers:
We will be forming business partnerships with our suppliers. This will be a contract agreement.
Our suppliers include:
Beau Tek: For providing scissors and manicure products
Trend International: For providing all the cosmetics, shampoos and kids’ beauty
products
New Era Furniture: For providing us with Disney Furniture and other fittings
The other supplies are bought from various suppliers carefully managed by our Purchase
Manager, Mr. Zohaib Khan
Other Partnerships:
• Mc Donald’s: They will help us in promotion by providing a coupon of a free haircut on
purchase of three happy meals. We are looking forward to start this promotional
campaign after a month of launch of Tiny Clippers.
• Wikkid Plus: Our partnership with Wikkid Plus will help us to promote ourselves
further. We will be acquiring a contract of 1 year to groom their child artists that appear
on air. We will be offering them our services at a discounted price and in return they will
help us in promoting ourselves.

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Barber shop tiny clippers for kids project.

  • 2. EXECUTIVE SUMMARY Most of us hated getting a hair cut in their childhood. We had to go to the old guy who used to cut dad's hair. Over the years we've seen plenty of little boys being dragged into the barbershop by their mom or dad, their parents holding them down in the chair while the kids kick, cry and scream to stay away from the rude barber. Getting a child’s hair cut can therefore be a challenging task difficult but not impossible to accomplish. If we look around, there are many salons established for catering the grooming needs of males and females but the children segment is ignored in this regard. There are no such barbershops or hair salons specially made for the kids in Islamabad or even in Pakistan, keeping this opportunity in mind, we are coming up with the first ever kids salon in Pakistan by the name of “Tiny Clippers”. Tiny Clippers will be a kids themed hair salon, featuring child friendly environment being provided by the mix of specially trained kid-friendly employees, whimsical furniture, child attracting fittings, play place, special scissors and a great ambiance. The styling chairs will feature cartoons, cars and animal patterns on them, the mirrors in front of chairs will have LCD monitors fitted into them attached to gaming consoles on which the kids can either play video games or watch cartoons while getting their hair clipped. The waiting area will features a play place where the kids waiting for their turn can enjoy and get entertained. Tiny Clippers will be a privately held company. It will be based on general partnership between six legal partners M. Bakir Hassan, Mr. Ahmed Ali Malik, Mr. Saim Ali Shah, and Mr.Usman Khalid. All of them will be the owners of Tiny Clippers with equal liability and profit share. Tiny Clippers will be located at Sector F-6 shop No. 22 Super Market. The premises will be a rented property of 600 sq-ft with the monthly rent of PKR 55,000. Our strategic partners will include Beau Tek, Trend International, New Era Furnitures, Mc Donald’s and Wikkid Plus. There is no direct competition for Tiny Clippers in the market. There are no kids’ themed salons in Islamabad or anywhere in Pakistan. On the other hand substitutes include the small size barber shops opened on small streets across the city. Being the pioneer in kids’ salon Tiny Clippers has to compete for market share with its indirect competitors which includes both good women’s and men’s salons in Islamabad operating on moderate scale like; Trim Time, G.Q, Smarts, John 2, Prince, Anumeeka, Cuts, Newlook, Godeon, and etc.
  • 3. Tiny Clippers will be the first of its kind in the market specializing in the kids therefore it will be the trend setter rather than being a trend follower. It will be bringing continuous innovation to the services and products sold which will be the key to sustain the competitive advantage since it won’t be easily duplicated, substituted or imitated. The location would play a major role since it’s the only factor which if planned properly can result in a competitive advantage that cannot be Imitated and copied by the other competitors. The employees will lead to a competitive advantage that will be sustainable and hence not imitate able by anyone easily. Our target market will include the parents living in the areas of F10, F11, E11 E9, F6 and F7 in the city Islamabad with kids belong to the ages from 2 months to 13 yrs, both males and females. Our total budgetof our project is 40 million. To monitor and control the actions in order to implement the marketing plan, every possible step is taken in order to ensure “A Strong Brand with A Strong Following”. The closing of this project will be done when the first day of Tiny Clippers will start giving there services to the customers.
  • 4. PROJECT CHARTER Tiny Clippers Project Name: Tiny Clippers (kids’ salon) Prepared by: Saim Ali Shah Date: 12/10/2010 INITIATION: Tiny Clippers (kids’ salon) Provide Plan for tiny clippers kids’ saloon. Project Manager: Saim Ali Shah SYNOPSIS: Built to target the market niche for good quality hair cut for kids on weekly or monthly basis. Targeting the Islamabad market and providing the benefit of an untargeted niche which is still untapped. It is not only a small investment but has the potential to provide huge returns. This proposal, along with drafts of related documents, will be used by management to determine whether or not to approve work on this project. A clear and precise project plan helps set expectations that will be used later to evaluate the success of the project. PURPOSE/ BUSINESS NEED: Most of us hated getting a hair cut in their childhood. We had to go to the old guy who used to cut dad's hair. Over the years we've seen plenty of little boys being dragged into the barbershop by their mom or dad, their parents holding them down in the chair while the kids kick, cry and scream to stay away from the rude barber. Getting a child’s hair cut can therefore be a challenging task difficult but not impossible to accomplish. If we look around, there are many salons established for catering the grooming needs of males and females but the children segment is ignored in this regard. There are no such barbershops or hair salons specially made for the kids in Islamabad or even in Pakistan, keeping this opportunity in mind, we are coming up with the first ever kids salon in Pakistan by the name of “Tiny Clippers”.
  • 5. SCOPE STATEMENT : Tiny Clippers, wants to be the pioneer of specialized kids’ hair salon aims to provide the best of haircutting and styling experience to our customers i.e., the kids and their parents. SERVICE DESCRIPTIO N A better hair cutting saloon for kids would be valuable because it could greatly increase customer satisfaction and less time searching for the right hair cutting saloon. Introducing a high quality service that will increase the customer satisfaction. The benefit to us could come in the form of selling our services at not very high price between the hair saloons for aged people and the barber shops on the street side price increasing satisfaction and awareness and then to enhance it beyond Islamabad and to other cities. PROJECT MANAGEME NT Project Management processes according to the standards and methodology set forth in the Project Management Institutes' Body of Knowledge will be used to manage the process of making a hair cutting saloon for the kids. The Project Management Plan (PMP) will include the following elements: • Project Charter • Description of the Project Management (PM) approach • Scope statement • Work Breakdown Structure • Cost estimates, start and finish dates, roles and responsibilities • Performance measurements baselines for scope, schedule, and cost • Major milestones and target dates for each • Resources, effort, and related costs • Plan Quality • Develop human resource Plan • Plan communications • Identify risks • Plan risk responses • Plan Procurements • Risk Management Plan
  • 6. • Quality Management Plan • Communications Management Plan The project management plan is a living document that will be updated by the Project Manager. The plan will be executed and overall project performance evaluated on a regular basis to provide confidence that quality standards are being met. The project team will be developed to maximize skills and competencies to enhance project performance. Information will be disseminated to project stakeholders on a schedule outlined in the Communications Plan. ASSUMPTIONS, CONSTRAIN TS, RISKS: High level project risks and constraints include, but are not limited to ● Funding availability ● The best place to open a shop • The schedule for this project is very short. We will manage this by planning a conservatively scoped functional core and series of functional enhancements that can be individually slipped to later releases if needed. A detailed Risk Assessment is included in the PMP. RESOURCES: Project Resources: Human Resources: Skilled workers Material and Services Resources: Equipment Financial Resources: Labor: Rs 84000 Equipment: Hardware: Rs 3,714,875 CHANGE MANAGEME NT All change requests will be documented, submitted to, and assessed by the Project Manager (PM) and Team Lead for impact and project necessity prior to PM approval. If change is approved, the project schedule, scope, and budget will be updated accordingly and communicated to appropriate stakeholders in accordance with the Communications Plan. The PM/project team will communicate the
  • 7. approved change and updated schedule to the staff responsible for implementing the change. PROJECT TEAM: PROJECT TEAM ROLES AND RESPONSIBILITIES Mr. Saim Ali Shah (PM): Plan, develop, and implement strategies for generating resources and/or revenues for the company. Miss Sabahat Jamil (Marketing Manager): Manage and coordinate all marketing, advertising and promotional activities Mr. Saqib Khan (HR Manager): Development of a superior workforce, recruiting and staffing Mr. Hashim Sheikh (Finance Manager): Maintain day-to-day financial control Mr. Zohaib Hassan Khan (Purchasing Manager): Search for the highest quality merchandise at the lowest possible purchase cost Mr. Awais Akhtar (Artistic Manager): Active involvement in recruiting and interviewing potential staff, coordinate training Customer and Contractor Managements' Project Team participation is important to provide clarification and guidance on any and all matters affecting the project team's ability to execute the project successfully. APPROVAL(S): Project Manager: Saim Ali Shah Date: 12-10-2010 Identify Stakeholders
  • 8. Project charter: Described above. Procurement document: We will be procuring different things through the following suppliers and we will also be forming business partnerships with our suppliers. This will be a contract agreement. Our suppliers include: Beau Tek: For providing scissors and manicure products Trend International: For providing all the cosmetics, shampoos and kids’ beauty products New Era Furniture: For providing us with Disney Furniture and other fittings Detailed procurements are being described in the procurement plan. Organizational process assets: Culture: The shop will have a child friendly environment where there will be specially trained kid- friendly stylists to groom the kids. The shop will feature whimsical furniture, LCD monitors inside the mirrors in front of every seat on which the kids can watch cartoons and play games while getting their hair trimmed, scissors and other cutting and styling tools with cartoon patterns on them, small play place for the kids in waiting and the stylist will be wearing special costumes to amuse the kids. All-in-all it will be a kid-friendly experience to an extreme. The stylists will be specially trained to handle the kids in a proper way while cutting their hair and parents won’t have to stand there to calm the screaming child. This type of environment would induce kids to happily go for a haircut which has been a misery for the kids and the parents in the past. The best thing is once the kids will get a haircut in such an environment it would be hard to take them back home and they’ll be waiting eagerly for their next haircut. This is what we want the kids to feel like when they leave. Structure: Tiny Clippers will be a privately held company. It will be based on general partnership between six legal partners Mr. Saim Ali Shah, Miss Sabahat Jamil, Mr. Hashim Sheikh, Mr. Saqib Khan, Mr. Zohaib Hassan Khan and Mr. Awais Akhtar. All of them will be the owners of Tiny Clippers with equal liability and profit share. All the owners are the students of a business school majoring in different fields and therefore are well capable of handling such a business.
  • 9. General Partnership Agreement will help us in settling issue on equal basis, since everyone will be equally liable and will get equal shares of the profit. There would be lesser conflicts and thus lesser threats to the partnership and this will aid in stable growth of Tiny Clippers. Process: Our process of providing the service is totally customer focused. We are committed towards our customers in providing them the service with complete convenience, comfort and according to their likings in an environment of excitement and joy. In short, the process can be explained through the following flowchart: The process of how a customer will be dealt with at Tiny Clippers can be explained by the following steps: 1. As soon as the customers will enter they will be greeted by the receptionist. 2. They will be allotted a customer number or in case of their pre-scheduled appointment the kid will be escorted to the hairdresser’s seat. 3. After receiving the customer number customers will be taken to the waiting area where the kids can enjoy board games, play with toys or play inside the play place.
  • 10. 4. The child caretakers in the waiting area will stay alert and keep observing the kids so that they don’t get into trouble or hurt themselves. 5. Upon coming of the turn the caretaker will take the kid to the hairdresser’s seat and provide the kid with a controller which will be used to watch the cartoons and play video games. OUTPUT: Stakeholder Register: The main stakeholders for this project of making a hair saloon will be all the partners who have invested in this business. The list of the stakeholders for this project is as follows 1. Mr. Saim Ali Shah 2. Miss Sabahat Jamil 3. Mr. Hashim Sheikh 4. Mr. Saqib Khan 5. Mr. Zohaib Hassan Khan 6. Mr. Awais Akhtar Stakeholder management strategy: The partners in this business don’t have much experience in the practical field but with this opportunity, they are looking forward to utilize their knowledge in the management of their business. Each one of the member is responsible for the field he/she is capable of handling well. Hence the tasks are distributed among the partners keeping their abilities and knowledge about various aspects of the business in mind. So as the task has been distributed to them according to the knowledge the posses so there will be no misunderstanding between the partners. Also as the project stakeholders are the six legal partners so each member has the right to know that what is the position of the project and how is the project going so after 2 weeks there will be a meting in which each of the member has to give a report on the task allotted to him. In this way if the project is going well decision can be made to make it right and also the rights of the stakeholders will be kept as each and everything will be happening in front of them.
  • 11. Planning Process Group Scope: Project scope management includes the processes required to ensure that the project includes all the work required and only the work required to complete the project successfully. Managing the project scope is primarily concerned with defining and controlling what is and is not included in the project. Following are some steps involved in the scope management process. • Scope statement • Collection of project requirement • WBS Scope statement: Tiny Clippers, wants to be the pioneer of specialized kids’ hair salon aims to provide the best of haircutting and styling experience to our customers i.e., the kids and their parents. Opportunity: Most of us hated getting a hair cut in their childhood. We had to go to the old guy who used to cut dad's hair. Over the years we've seen plenty of little boys being dragged into the barbershop by their mom or dad, their parents holding them down in the chair while the kids kick, cry and scream to stay away from the rude barber. Getting a child’s hair cut can therefore be a challenging task difficult but not impossible to accomplish. If we look around, there are many salons established for catering the grooming needs of males and females but the children segment is ignored in this regard. There are no such barbershops or hair salons specially made for the kids in Islamabad or even in Pakistan, keeping this opportunity in mind, we are coming up with the first ever kids salon in Pakistan by the name of “Tiny Clippers”. Objectives: Knowing that right goals and objectives lead to the ultimate success Tiny Clippers will have the following objectives: • To provide quality in terms of haircuts, hairstyling and other kids’ grooming services that is there in the country. • To reach break-even during the second quarter of 2012. • To generate annual revenue between Rs. 3million to Rs. 4 million during 2011. • To have branches in the cities Karachi and Lahore by the end of 2012. • To attract at least 50% of the target market during the first year.
  • 12. • To have more than 50 employees by the end of 2011. • To keep the costs of hair care and other such products less than 35% of revenue. Collection of project requirement: The business is of opening a barbershop shop which specializes in haircuts for kids and other kids grooming services. The shop will feature whimsical furniture, LCD monitors inside the mirrors in front of every seat on which the kids can watch cartoons and play games while getting their hair trimmed, scissors and other cutting and styling tools with cartoon patterns on them, small play place for the kids in waiting and the stylist will be wearing special costumes to amuse the kids. All-in-all it will be a kid-friendly experience to an extreme. Many organizations categorize requirements into project requirement and product requirement. Project requirement can include business requirements, project management requirement, delivery requirement etc. To make this project a success we need the following requirements • A shop • Financing • Stakeholder register • Equipment • Skilled workers • Cosmetics • Furniture • Kid’s beauty products • Scissors • Manicure products • Interior designer • LCD monitors • Special costumes • Games DVD • Other fittings Key Project stakeholders: 1. Mr. Saim Ali Shah 2. Miss Sabahat Jamil 3. Mr. Hashim Sheikh 4. Mr. Saqib Khan 5. Mr. Zohaib Hassan Khan
  • 13. 6. Mr. Awais Akhtar Key Project Deliverables: The key project deliverable in my project is the services of the hair cut that we will be giving to the kids. The main efforts and contributions in the opening of this kind of business in Pakistan include all the formation of status reports including the major parts in the designing of the shop. The project deliverables also include all the documentations of planning that will be provided to the stakeholders. It also includes status reports and meeting schedule reports. Create WBS: Refer to MS project doc.
  • 14. Human Resource Plan Management Team: Managerial duties will be divided into the partners; Mr saim will be the project manager, Mr. Awais Akhtar will be managing the Artistic activities, Miss Sabahat Jamil will be handling Marketing activities, Mr. Muhammad Hashim will look after Financial issues, Mr. Zohaib Hassan Khan will be responsible for the Purchasing activities and Mr. Saqib Khan will be in charge of the HR activities. The partners do not have much experience in the practical field but with this opportunity, they are looking forward to utilize their knowledge in the management of their business. Each one of the member is responsible for the field he/she is capable of handling well. Hence the tasks are distributed among the partners keeping their abilities and knowledge about various aspects of the business in mind. The responsibilities of each of the members are enlisted below: Mr. Saim Ali Shah (PM) • Responsible to communicate with higher management for project information. • Responsible for the meeting time of that available for team members to discuss and develop project. • Special rights in making final decisions if the team is unable to reach a decision. • Encourage members to produce to their best ability. • Manage and Coordinate the Project Activities. • Submitting project reports on time. • Research in the project areas. • Assign appropriate tasks to members according to their responsibilities and ability. • Ensure the program adhere to design specification. • Final compilation of report. Miss Sabahat Jamil (Marketing Manager): 1. Manage and coordinate all marketing, advertising and promotional activities 2. Use all forms of media and communication to build, maintain, manage and increase/enhance the reputation and image
  • 15. 3. Conduct market research to determine market requirements for existing and future services 4. Analysis of customer research, current market conditions and competitor information 5. Develop and implement marketing plans and projects for new and existing products 6. Manage the productivity of the marketing plans and projects 7. Monitor, review and report on all marketing activity and results 8. Determine and manage the marketing budget 9. Deliver marketing activity within agreed budget 10. Develop pricing strategy 11. Liaison with media and advertising 12. Analyzing potential partnership relations 13. Participate in staff meetings Mr. Saqib Khan (HR Manager): 1. Development of a superior workforce 2. Recruiting and staffing 3. Hiring 4. Communication. 5. Performance Management 6. Employee orientation, development, and training 7. Policy Recommendation 8. Salary and Benefits 9. Team Building
  • 16. 10. Employee Relations 11. Employee safety, welfare, wellness and health 12. Quality Control 13. Develops and monitors an annual budget that includes Human Resources services, employee recognition and administration 14. Participate in staff meetings Mr. Hashim Sheikh (Finance Manager): 1. Maintain day-to-day financial control 2. Advise on the proper allocation of resources 3. Provide financial planning and analysis services 4. Assisting with drafting the budget 5. Providing monthly reports and analysis to the Director 6. Managing the internal audit procedures 7. Making payments and preparing staff payroll 8. Assisting with staff recruitment 9. Ensure that all finances are properly administered and monitored, including credit control 10. Develop and implement plans to enable the organization to achieve its financial objectives 11. Establish and maintain effective working relationships with the CEO 12. Participate in staff meetings Mr. Zohaib Hassan Khan (Purchasing Manager):
  • 17. 1. Search for the highest quality merchandise at the lowest possible purchase cost 2. Negotiating the lowest prices 3. Acquiring materials and parts needed 4. Establishing domestic and foreign suppliers 5. Studying sales records and inventory levels 6. Placing orders and checking shipment 7. Analyze market conditions 8. Assisting in the planning of sales promotions 9. Working with advertisers to create ad campaigns for newspapers, television and direct mail 10. Visit the selling floor to make sure that all goods are displayed accurately 11. Ensure Quality of material received 12. Inspection 13. Participate in staff meetings Mr. Awais Akhtar (Artistic Manager): 1. Active involvement in recruiting and interviewing potential staff 2. Coordinate training 3. Create and articulate programs in line with the Tiny Clippers artistic rationale, that expresses the vision, mission and goals of Tiny Clippers 4. Facilitate the artistic vision of each product and service 5. Act as the Company spokesperson for the media 6. Facilitate the development of media skills within the company 7. Act creatively
  • 18. 8. Ensure innovation 9. Participate in staff meetings PERSONNEL PLAN Tiny Clippers will be organized and managed in a creative and innovative fashion to generate very high levels of customer satisfaction and to create a working environment beneficial to a personnel development and economic satisfaction for employees. In the first few years, there will be limited number of employees. In the first 3 years, assumptions are that there will only be four hairstylists, baby sitter, a sweeper, a receptionist and part time nail, facial, and massage personnel until the business can build a reputation that will attract others to work here. There will also be a receptionist who will greet customers and receive payments for services and products. One sweeper will be appointed to ensure that the place is tidy all the time. Everyone but the receptionist and sweeper will be contract workers. Future plans include the hiring of more hairstylists, barbers, shampoo technicians and massage therapists as the business expands. The employees would be working from 10 am onwards till 10 pm. Training classes to help improve employee knowledge and skills will be conducted every month on a regular basis. This is so in order to help them find improved ways of interaction with the kids. The personnel hired along with their job description are as follows: 1. Hair stylist: Preferably woman. Must have at least two or three years of experience. Must be able to provide customers with barbering services including cuts, shapes, trims, and tapers hair, using clippers, comb, blow-out gun, and scissors. Must be able to perform other tonsorial services, such as applying hairdressings or lotions, shampooing, , or styling hair, and massaging face, neck, or scalp. Must be specialized in styling or coloring hair. Must be able to use equipment such as rollers, curling and straightening irons, and color treatments. Must have a know how to perform various processes such as highlighting, frosting, or streaking hair. In addition, hairstylist must fit, shampoo, and style wigs and hairpieces. Must ensure quality in his/her work. Salary: Rs. 10,000 2. Facial and Massage Therapist: No experience required. Must know the basic skills for facial and massaging. Must ensure quality in his/her work. Salary: Rs. 6,000 3. Nail Specialist: Must have 1 year experience. Must be able to provide nail related services and grooming. Communicate service knowledge to the clients served. Must ensure quality in his/her work. Salary: Rs. 6,000 4. Receptionist: Must have completed high school. Require good communication skills. Must be able to understand and speak English. Must greet all clients and customers within the first 10 seconds with a smile. Make them feel welcomed and comfortable. Direct them to the waiting or salon area. All new clients must be given a menu and tour of the facilities. Handle all phone calls politely and professionally using your name when answering the call. Booking appointments. Taking client's name, phone number, and type
  • 19. of service. Repeat the time, day, and date of appointment to client. Confirming appointments. Appointments for the following day are to be confirmed by the end of the shift. Must have knowledge about all services offered and their prices. As a receptionist, you will be responsible for handling all financial transactions of clients. Proper maintenance of change in the cash drawer is expected. Maintenance of the reception area, waiting area, and display units are also responsibilities. Must ensure that the receipts are given to the customers when they leave. Also file any complaints that the customers may have. Salary: Rs.12,000 5. Baby Sitter: Preferably a female. Must have completed high school. Experienced candidates are preferred. Must be able to provide temporary custodial care of young children when the parents are not around. The care typically is on a part-time or an as- needed basis. The babysitter should possess the ability to respond to a crisis situation, communicate effectively with parents, and have some basic first aid skills. Ensure safety of kids at all point. Salary: Rs. 8,000 6. Sweeper: Must have 2 years of experience. Must keep the environment clean all the time including the floor, furniture, walls, play area, etc. Must ensure quality in his/her work. Salary: Rs. 6,000. Total cost for HR: Designation Quantity Job Description Salary Hair stylist 4 Permanent 10000 each Baby sitter 1 Permanent 8000 Receptionist 1 Permanent 12000 Sweeper 1 Permanent 6000 Nail specialist 1 Part time 6000 Facial and massage therapist 1 Part time 6000 each Total cost: 84000 Communications Plan Plan Communications is the process of determining project stakeholder information needs and defining a communication approach. This part of the plan includes the processes require to ensure timely and appropriate collection, distribution, storage, retrieval and ultimate disposition of project information. Following is the communication plan table. This approach will be used in the project. Communication Plan Table:
  • 20. Deliverables Type Delivery method Delivery frequency Who responsible? Status reports Mandatory Through e-mail After every three weeks Project manager (SAIM ALI SHAH) Stakeholders management strategy Proper documents through courier services After 1 month Project manager (SAIM ALI SHAH) Updated documents according to emerging needs Mandatory Proper documents through courier services After every six months Support department Meeting schedules reports Mandatory Through e-mails After every two weeks Project manager (SAIM ALI SHAH) Risk Management Plan Management Risks: The management risk we are prone to includes the following: • Any dispute in the management team due to any unforeseen reasons may result in any of the members leaving the business which would be a risk to the business as a whole
  • 21. • Competitors can take away our trained employees on better salary and hence take away one of our sustainable competitive advantage as well Following are the steps that can be taken to mitigate the risk: • Handsome salary packages, rewards and recognition, other fringe benefits should be offered to the employees so as to retain them • Appreciate employee’s suggestions to make them feel a part of the organization • When any of the management team members leaves the company, neither he would be entitled to use the name of the company nor start the same business with any other name Marketing Risk: The marketing risks we are prone to include the following: • Changing market conditions may pose a great threat as it would require a new market research and the whole new marketing plan has to be prepared • Confusing advertisements must be avoided so that the positioning of our service is accurate in the minds of the customers • Our business is underestimated by the target market which may be due to faulty tactics These risks are so far focused keenly to avoid. Following are the steps that can be further taken to mitigate the risk: • Strong promotional campaigns and strongly pointed target market can help ensure the effectiveness and efficiency of pour marketing efforts • Utilizing the contingency marketing plan in case if the existing plan fails • Keeping ourselves informed about any changes occurring in the market so we can react proactively rather than reactively. Operational Risk: The operational risks we are prone to include the following:
  • 22. • The lead time for the order processing and delivery of beauty and other grooming items must be properly managed in order to ensure customer satisfaction at all times • Developing uniformity in services is a must but it is difficult to achieve • Electricity shortage represents an ongoing crisis in Pakistan Following are the steps that can be further taken to mitigate the risk: • Suggestions and consumer feedbacks can help in providing uniformity of services and ultimately leading to customer satisfaction • Having employees who can do multiple tasks can prove to be helpful • Using Generator to ensure electricity supply Financial Risk: The Financial risk we are prone to includes the following: Pakistan is politically an unstable country for operating business as riots, bomb attacks, strikes and procession are very common. Any harm to the physical location of our premises can cause huge financial loss To overcome financial risk cash reserves have been formed as a percentage of the total revenue gained. These reserve funds will be used in time of company downfall, any mishap and especially in the shake-off period. Inexperience: Although the partners forming Tiny Clippers are talented and possess good knowledge regarding the business matter, they do not have any sort of practical experience which is one the biggest risk that we will experience. The risk for inexperience can be catered by giving trainings to the partners as they have management skills but yet they don’t have qualified skills for marketing, HR and financing.
  • 23. Threats to new entries: Since it’s a good opportunity many people will be looking forward to starting this business. As the business is new in Pakistan and it has many opportunities so many people will focus to open the same business as our competitors but this problem can be catered by keeping our quality level high as compared to the competitors. PROBABILITIES OF RISK EFFECTING PROJECT: • Financial Risk 20% • Operational Risk 20% • Marketing Risk 25% • Management Risk 15% • Inexperience 50% • Threats to new entries 90%
  • 24. Quality management plan Quality Control: Quality of service is what Tiny Clippers stresses upon. Hence there is no compromise on quality. It is to be made sure that each and every customer gets the best quality from our employees and at our shop. Our HR manager Mr. Saqib Khan is responsible for ensuring the quality of service at each and every step. Ensuring quality is also enlisted in the job description of each of our employees. Hence at Tiny Clippers the managers and the employees will eliminate any hurdle that will come in the way of delivering quality services and hence ensuring that the best of the quality is delivered to all. Customer Support: We are targeting the age group of children who normally do not make their own decisions and they are dependent on their parents for the entire decision making. Hence for us it is very important that the parents of such children choose Tiny Clippers for getting a haircut for their kids. Hence our customers are given top priority so that we are able to not only attract them but also retain them. For this we have designed customer support strategies and obligations which are as under: Customer Support Strategies and obligations:  Tiny Clippers will have its very own website where the customers can get the information about it services and they can also view the outlook of the shop. The website will also enable them to book an appointment for a hair cut. They may also give suggestions and any complaints regarding Tiny Clippers. This facility will help the customers to save their time because they can easily access the website at any place. They do not have to visit company outlet just to get information.  The customers can also call at the reception desk to book an appointment or to address any problem that they might be facing.  The customers if dissatisfied with any of the services provided to them, we will be responsible to offer the same services again which would be free of cost. Availability of Qualified Labor Pool: As mentioned many times before, we look forward to making our human resource as one of our sustainable competitive advantage. For this, it is very much important that we hire qualified labor force that will be able to deliver our value proposition which is more for less. Hence hiring of labor force is given extreme importance. We have made sure that we have not only hired those people who are qualified and experienced but also those whose attitudes are kid-friendly. Majority of our employees are females as they are better capable to handle kids. Other parlors or salons in Lahore deal either with men or women. Tiny Clippers on the other hand will be dealing kids. Hence a whole new expertise would be required to deal with the children. Keeping this in
  • 25. view, we are very much satisfied that we have been able to hire a qualified labor pool that includes four hairstylists, a baby sitter and part time nail, facial, and massage personnel. Procurements Plan After the detailed meetings from all the key stakeholders, and different experts in cost management, we are able to make a detailed report on the criticality of each item used in our project. In this whole process, our project team and other experts review the limits or boundaries of the project. The most important part in the procurements is the arrangement of shop in the best place suitable for our business, so we have decided for the complete outsourcing (on rent) in this matter. Vendor Bid Analysis: After viewing all the main vendors who are providing the equipments that we need to procure, the project team has decided to procure all the equipment from the following vendors on the basis of quality and cost. Beau Tek: For providing scissors and manicure products Trend International: For providing all the cosmetics, shampoos and kids’ beauty products New Era Furniture: For providing us with Disney Furniture and other fittings Samsung: For providing us LCDs. Detailed procurement products along with there quantity and there cost is as follows. Consumable Products Quantity Price Each Total Cost Scissors 25 75 1875 Manicure products 50 500 25000 Kids beauty products 100 500 50000 LCDs 4 30000 120000 Special costumes 5 5000 25000 DVD games 10 100 1000 Lotions 50 200 10000
  • 26. Creams 50 200 10000 Shampoos 50 200 10000 Soaps 50 50 2500 Barber Chairs 4 5000 20000 Sitting Chairs 8 2000 16000 Soft Footballs 20 50 1000 Lego’s 5 200 1000 Colors 10 100 1000 Puzzles 5 200 1000 Cars 10 250 2500 Stuff toys 25 200 5000 Drawing books 10 100 1000 Story books 10 100 1000 Total Procurement cost: 304875
  • 27. FINANCIAL PLAN Financial Structure: Since Tiny Clippers is a partnership the startup investment is 40 million and it will be equally shared by the all the partners namely; Mr. Saim Ali Shah, Miss Sabahat Jamil, Mr. Hashim Sheikh, Mr. Saqib Khan, Mr. Zohaib Hassan Khan and Mr. Awais Akhtar. So total budget for this project becomes Total Budget: 40 million The overview of financial projections is as follows: Project Investment Item Cost Setup Cost 750,000 Premises 660,000 Working Capital 1,000,000 Marketing Expenses 1,000,000 Preliminary Expenses 304875 Total 3,714,875 Setup Cost: It includes all the fixtures, panels, windows, flooring and fittings. Premises: The agreement of tenancy signed requires payment of 10 months’ Rent in advance and 2 months’ Rent as a refundable security. The Agreed upon rent is Rs. 55,000/month. Preliminary Expenses: They include buying of all the products required to start the business like all the equipments, shampoos, lotions, creams, soaps and etc. Salaries Designation/Type Number Monthly Salary (Rs.) Total Salary (Rs.) Hair Stylists 4 10,000 40,000 Baby Sitter 1 8,000 8,000 Nail, Massage and Facial Specialist(PT) 3 6,000 18,000 Janitor/ Sweeper 1 6,000 6,000 Receptionist 1 12,000 12,000
  • 28. Total 84,000 In the first 3 years, assumptions are that there will only be four hairstylists, baby sitter, a sweeper, a receptionist and part time nail, facial, and massage specialist until the business can build a reputation. Some of the utility expenses assumptions are also made Utilities Expense Utility Monthly Expense (Rs.) Electricity 25,000 Gas 12,000 Telephone 10,000 Generator 12,000 Internet 2,500 Water 3,000 Total 64,500 So total cost becomes Type of Expense Cost Project Investment 3,714,875 Salaries 84,000 Utilities Expense 64,500 Total cost: RS 3,863,345
  • 29. Execution Plan SERVICE DELIVERY Tiny Clipper is scheduled to launch on 13 May 2011. First day would be an invites only day in which the invited guests will be served, catered and introduced to this new concept in Islamabad. This would be a kind of concept launching in the city of Islamabad. The working hours for Tiny Clippers are from 10am to 10pm. During these timings, all the services will be fully available. The stylist that we have hired, have certification from reputable institutes and are masters at their craft. Through special training, it is made sure that they have a child friendly attitude and are very patient, which is required when dealing with the kids. We have placed special emphasis on the training and hiring of our employees as they will be ultimately responsible for delivering the services to our customers. The method of providing services will follow a very simple pattern. The customer may either come to our outlet or call from their homes to get an appointment. The customers may wait in the waiting area for their appointment with the barber or the stylist while the kids can enjoy their time in the play area. When it’s their turn, the customers will be guided by our employees to the salon area where respective services will be simultaneously produced and consumed. Every effort will be made to ensure that the highest quality of service is provided to each and every customer of ours. The internal tasks of Tiny Clippers will be handled by the partners. A brief description is as under: HR Function Mr. Saqib Khan being the HR Manager will be responsible for hiring, training, retaining and compensating the employees. As soon as the employees will be hired they will be put under probationary training period of 2 weeks during which they will be properly observed and checked if he/she is capable to performing the tasks properly. Finance Function Financial matters will be headed by Mr. Hashim the Finance Manager. He will be looking over the daily operational costs and cash flows. He is responsible for making and updating financial plans and for making sure that the business operates at minimum possible costs without any compromise on the quality of services. Marketing Function All the Marketing activities will be headed by Miss Sabahat Jamil the Marketing Manager. She will be managing all the promotional activities, setting and updating the prices, generating
  • 30. awareness in the market and educating people about what is a kids’ salon and what are its benefits. She is responsible for developing and updating the marketing plan. She is responsible for bringing changes to the services of Tiny Clippers to make additions and advancements to the current product/service line. She is also responsible for customer loyalty and retention. Artistic Function Artistic Manager is responsible for finding out and coming up with new hairstyles, cuts and fashion trends for kids and as well as new services which he will be performing in co-ordination with the marketing manager. This function will be handled by Mr. Awais Akhtar. Purchasing Function Mr. Zohaib Khan the Purchasing Manager is responsible for making purchases for Tiny Clippers. He is our link to the outside world of suppliers. He is responsible for keeping healthy and good relations with the vendors thus keeping the flow of supplies smooth, regular and low cost. AVAILABILITY OF QUALIFIED LABOR POOL: As mentioned many times before, we look forward to making our human resource as one of our sustainable competitive advantage. For this, it is very much important that we hire qualified labor force that will be able to deliver our value proposition which is more for less. Hence hiring of labor force is given extreme importance. We have made sure that we have not only hired those people who are qualified and experienced but also those whose attitudes are kid-friendly. Majority of our employees are females as they are better capable to handle kids. Other parlors or salons in Lahore deal either with men or women. Tiny Clippers on the other hand will be dealing kids. Hence a whole new expertise would be required to deal with the children. Keeping this in view, we are very much satisfied that we have been able to hire a qualified labor pool that includes three barbers, a hairstylist, a baby sitter and part time nail, facial, and massage personnel.
  • 31. BUSINESS PARTNERSHIPS Tiny Clippers has to acquire the assistance of business partners who can provide it with resources and establish a mode of exchange with it. Following are the business partnerships that it seeks to develop: Partnership with Suppliers: We will be forming business partnerships with our suppliers. This will be a contract agreement. Our suppliers include: Beau Tek: For providing scissors and manicure products Trend International: For providing all the cosmetics, shampoos and kids’ beauty products New Era Furniture: For providing us with Disney Furniture and other fittings The other supplies are bought from various suppliers carefully managed by our Purchase Manager, Mr. Zohaib Khan Other Partnerships: • Mc Donald’s: They will help us in promotion by providing a coupon of a free haircut on purchase of three happy meals. We are looking forward to start this promotional campaign after a month of launch of Tiny Clippers. • Wikkid Plus: Our partnership with Wikkid Plus will help us to promote ourselves further. We will be acquiring a contract of 1 year to groom their child artists that appear on air. We will be offering them our services at a discounted price and in return they will help us in promoting ourselves.