4. management plan

8/4/2019 4. Management Plan

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MANAGEMENT

PLAN


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BACKGROUND AND PRIMARY RESPONSIBILITIES OF THE MANAGEMENT TEAM

The Management Team

The management team of Prime Transformer Inc. is composed of five (5)

personnel. The compositions of the team responsible for the management of the

operation are the following people with their specific job description:

POSITION JOB DESCRIPTION JOB SPECIFICATION

Manager Establish goals and objectives of the

organization and ensures the delivery

according to the business plan. Manage the performance of the

organizations staff and senior

management.

Analyze organizations performance for the

stated objectives.

Develop an operational plan such as

procurement, assembly, service support,

and contract manufacturing, for the growth

and launch of the organizations products.

Define the product sales & marketing plan,

and supervising sales and distribution of a

product.

Identify, evaluate, and select optimal

contract manufacturing, services, and

assembly partners.

Develop a market customer and entry

acquisition strategy, designing, and

building a service and sales capability.

Bachelors degree in

Business Management

related field. Have knowledge of

management principles.

Have knowledge of

sales and marketing

principles.

Have possessing

confidence, experience,

and skills to support

organizational activities.

Can manage conflicting

interests of business

partners.

Good communicator,

active listener, and

possess strong

decision-making skills.

Good team player.

Assistant Responsible for the tasks delegated by the Bachelors degree in

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Manager manager.

Serves as the manager whenever the real

manager is not available.

Must keep the manager updated all the

time especially when the manager is not

around the office.

Serves as the overseer of the workplace in

order to maintain the smooth operations of

the office.

management.

Have leadership skills.

Have communication

skills.

Smart and active.

Accountant Compute taxes which are owed by the

company and prepare tax return.

Analyze the budget.

Modify and maintain different accounting

and record keeping systems with the help

of computer technology.

Advising the management board about

financial issues.

Investigate the reason of bankruptcy if any.

Bachelors degree in

accountancy.

Certified Public

Accountant

Have exceptionally

mathematical skills.

Have strong

communication skills-

both written and oral.

Have critical thinkingability.

Effective decision

maker.

Responsible and

analytical bent of mind.

Clerk Maintain confidentiality of papers and

documents of the business or organization.

Perform basic office duties such as

answering the telephone, direct calls,

emails and fax.

Participate on tasks requiring added

assistance and help the office secretary if

College diploma

Skilled in data entry

Ability to work under

pressure

Superior computer skills

Proficient working in

Microsoft Office.

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needed.

Make accurate reports and effectively

present it to anyone who needs it.

In charge of some important documents or

records and store them for the utilization of

the bookkeeping department.

Train other co-workers to perform a better

work by using computer applications to

make their job easy and maintain

efficiency of the office procedures.

Cooperate with co-workers to maintain a

friendly environment and proper interaction

within the office.

In charge of copying and duplication of

manuscripts, letters, documents or other

materials on the photocopying machines.

Responsible for the operation and

maintenance of office machines such as

computers, fax machines and

photocopying machines.

Make travel arrangements for their boss

and set up the most convenient time for

the appointments.

Attend meetings regarding the companys

agenda and transcribe those messages for

record keeping. Take inventory of the equipment and other

supplies for easier monitoring.

Help secretaries in preparing invoices and

budgets for the business.

Make reports about the current standing of

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the business and prepare the necessary

documents for the presentation.

Direct and supervise tasks handled by

lower-level clerks.

.

HR Manager Responsible for interviewing of applicants

for the Company

Liable for interpreting the characteristics

and behaviors of each staff.

Identify and evaluate the upcoming

deserving applicants

Female, graduate

of BS Psychology

or HRDM Major

2-3 years of

experience

Know how to

interview qualified

applicants

Proficient both in

English and Filipino

(written and oral)

Honest and

Hardworking

ORGANIZATIONAL STRUCTURE

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As a service provider, the organizational structure of the business is a

FLAT STRUCTURE basis. Wherein the flat structure has two levels with a wide

span, this structure permits the general supervision of the manager to its

subordinates and in this kind of structure; communication between manager and

subordinates is much easier.

Figure 5.1 Organizational Structure

Security Guards, Utility Clerk are hired from agencies, the advantage of this is

the Company is not the one who will give trainings, benefits to them, and also the

agency will give the salaries and wages of Security Guards and Utility Clerks.

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Board of Directors

The Board of Directors have the rights and powers over the corporation.

The following are the Board of Directors of Prime Transformer Inc.

Ownership

Prime transformer incorporated has an authorized capital stock of one

hundred fifty million pesos (Php 150,000,000.00) in lawful money of the

Philippines, with the par value of one hundred pesos (php 100.00) per share. The

subscribers are Lloyd Tanglao, Peter Sheen Vicera, Christian Bernard Uy, Aiko

Pajanel, Mardie Mesina, Jennpril Marcos, Mark Sheem Kiseo, Jade Serrano.

The following person have subsribed for the amount of the capital stock.

52

Name Address Citizenship

Tanglao, Lloyd Pasong Tamo, Quezon City Filipino

Vicera, Peter Sheen St. John, New Era Quezon City FilipinoUy, Christian Bernard Talipapa, Caloocan City Filipino

Mesina, Mardie New Era Quezon City Filipino

Serrano, Jade Village 4, Valenzuela City Filipino

Pajanel, AikoINC Compound New Era Quezon

CityFilipino

Marcos, Jennpril Guadalupe, Nuevo Makati City FilipinoKiseo, Mark Sheem Kabayanan, San Juan City Filipino


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NameSubscribe

No. of share

Amount of

subscriptionPaid in capital

% of

ownershi

Lloyd Tanglao 300,000 30,000,000 30,000,000 20%Peter Sheen Vicera 300,000 30,000,000 30,000,000 20%

Christian Bernard Uy 240,000 24,000,000 24,000,000 16%

Mardie Mesina 240,000 24,000,000 24,000,000 16%

Jade Serrano 150,000 15,000,000 15,000,000 10%

Aiko Pajanel 150,000 15,000,000 15,000,000 10%

Jennpril Marcos 60,000 6,000,000 12,000,000 4%

Mark Sheem Kiseo 60,000 6,000,000 12,000,000 4%

TOTAL 1,500,000 P150,000,000 P150,000,000 100%

Personnel

Credit Investigation Department

POSITION JOB DESCRIPTION JOB SPECIFICATION

Loan Officer Process and approve loan applications

within certain limits, above which the

application is referred to a higher approving

authority.

Advice loan applicants of all documentary

requirements in the loan application.

Check and ensure that all loan application

submission are in order and proceeds to

process the loan as per banks loan policies.

Explain to prospective borrowers the loan

application requirements as well as the

Bachelors degree

equivalent bank experien

not less than five years

commercial lending and

least two years supervis

experience, having gradu

studies at a recognized sch

of banking is preferred.

Have ability to resolve uni

and complex issues w

limited manager assistance

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various loan products, interest charges,

processing fees, penalty charges and

payment term options available.

Analyze applicants financial situation,

stability of income sources, credit standing

and outstanding credit debts, payment

records with previous loans if any and

property ownership and other acceptance

criteria before approving the loan.

Participate in management meeting to

gauge market perception on the companys

responsiveness to market loan demands

prior to designing its loan products.

Work with clients in settling loan

delinquencies and accept negotiated

settlement or send delinquent accounts to

collection agencies.

Coordinate with bank lawyers to initiate

court proceedings for garnishment of

property collateralized in the delinquent

loans.

Solid understanding

regulatory compliance iss

related to lending.

Strong customer service

supervisory knowledge.

Expert in lending practices

include: loan documentat

perfection of security inter

lines of credit, finan

statement analysis, cash f

analysis, regula

compliance and confidentia

practices.

Have ability to read

analyze complex finan

statement.

Have ability to make lend

decisions.

Aggressive, proac

approach to providing y

customers the best bank

and lending products availa

Management experience (

will lead a team of

commercial lenders).

Credit

Investigator

Conduct low profile site investigations under

credit investigation

Investigate suspicion of embezzlement in

job applicants,

Coordinate with local authorities to recover

damages awarded by a court in theft or

A degree in accounting i

must while a post gradu

course in busin

administration

management or a rela

experience in ano

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fraud cases.

Assist corporate clients in due diligence

work to determine true value of stocks or

corporate assets and provide financial

profiles of organizations related to

prospective acquisitions or mergers.

Assist the internal auditor in assessing cash

disbursements

Maintain records of investigation profiles

with the utmost confidentiality, data integrity,

and security.

company is an employme

edge.

Must have an eye

computational details with

high level of accuracy

evaluating financial reco

and documents.

Must exhibit h

organizational skills.

Must have high level

patience to delve into dee

levels of analysis.

Must be able to work un

high pressure, long work ho

and comply with deadlines.

Must have str

communication

interpersonal skills to inte

with high level decis

makers.

Appraiser Estimate parts and labor to repair

damage, using standard automotive labor

and parts cost manuals and knowledge of

automotive repair.

Review repair costs estimates with

automobile repair shops to secure

agreement on cost of repairs.

Examine damaged vehicles to

determine extent structural, body,

mechanical, electrical, or interior damage.

Evaluate practicality of repair as

Bachelor of Scie

Degree from accred

institution.

Have skill to manage t

time and the time of others

are part of their department.

Have ability to listen

and understand informa

and ideas presented thro

spoken words and sentence

Able to use logic

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opposed to payment of market value of

vehicle before accident.

Must determine salvage value on total

loss vehicles.

Prepare insurance forms to indicate

repair cost estimates and

recommendations.

Arrange to have damage appraised by

another appraiser to resolve disagreement

with shop on repair cost.

Knowledge requirements for the auto

insurance.

reasoning to identify

strengths and weaknesses

alternative solutio

conclusions or approaches

problems.

Have skill to actively l

for ways to help their clie

as well as, keeping a bud

for the company.

Needs to be able to

the power of persuasion

times in order to achieve t

goals.

Have ability

communicate information

ideas in speaking so others

understand.

Sources:http://www.thejobexplorer.com

http://www.samplejobdescriptions.orghttp://www.bestjobdescriptions.com

Compensation Package

Salaries and Wages

Position No. of Employee Monthly Salary Annual Salary

Manager 1 P 50, 000.00 P 600, 000.00Assistant Manager 1 P 30, 000.00 P 360, 000.00Accountant 1 P 30, 000.00 P 360, 000.00Human Resource Manager 1 P 30,000.00 P 360,000.00Credit Investigator 1 P 20, 000.00 P 240, 000.00Appraiser 1 P 20, 000.00 P 240, 000.00Loan Officer 1 P 20, 000.00 P 240, 000.00

56
http://www.thejobexplorer.com/http://www.samplejobdescriptions.org/http://www.bestjobdescriptions.com/http://www.samplejobdescriptions.org/http://www.bestjobdescriptions.com/http://www.thejobexplorer.com/


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Clerks 5 P 15, 000.00 P 900, 000.00Security Guards 2 P 11, 000.00 P 264, 000.00Utility 2 P 11, 000.00 P 264, 000.00Total 16 P 237, 000.00 P 3,828, 000.00

Note: The salaries and wages of an employee are not yet deducted by any taxes.See the salaries and wages deduction table.

Employment Rights, Restrictions and Policies

I. Rationale

Financing company depends to large extent of teamwork, excellent

service and maintenance of the trust and confidence of its clients. To

maintain an atmosphere conducive to productive work, it is necessary

that order and discipline be kept in the work place. Likewise, to

maintain the patronage of our clients, employees should provide

excellent service and conduct themselves beyond reproach.

This Rules of Conduct therefore, have been issued to promote

discipline, encourage excellent service, and discourage conduct

detrimental to customer trust and confidence.

II. Types of Offenses

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A. Minor Offenses

1. Violation of Financing Companys policy/ies or office order(s), or

guideline(s) or personnel circular(s) or memorandum on hours

of work or coffee-snack break periods or attendance monitoring.

Examples by way illustration, but not limited to:

a. Failure to log/register in or out on the Biometric System,

Branch Time Keeping System or My time System.

b. Extending snack/office breaks beyond the allowed time.

2. Tardiness describe in the Financing Companys office order(s),

or policy or guideline(s) or personnel circular(s) or memoranda

as a minor offense.

3. Failure to wear the prescribe uniform or attire in accordance

with office order(s), or guideline(s) or personnel circular(s) or

memoranda.

4. Failure to wear the prescribed Financing Company identification

card while in the premises of the Financing Company.

5. Loafing or loitering in places other than ones work station

during office hours.

6. Repeatedly receiving personal visitors during office hours.

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B. Less Serious offenses

1. Tardiness described in the Financing Companys office order(s),

policy, guideline(s), personnel circular(s) or memoranda as a

less serious offense.

2. Vending or peddling or engaging in personal business within the

Financing Companys premises irrespective of whether any part

of the business or transaction is carried outside the Financing

Companys premises.

3. Unauthorized use of the Financing Companys equipment or

vehicles.

4. Any violation of the Financing Companys established

procedures in handling transactions which do not result in

damage or loss to the Financing Company or its clients.

C. Serious Offenses

1. Absences from work without official leave (AWOL0 or

permission of superiors.

2. Misconduct or misbehavior.

Examples by way of illustration, but not limited to:

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a. Inflicting or attempting to inflict bodily harm or fighting with

any person within the Financing Companys premises, or

outside the Financing Companys premises while the

employee is in the course of performing his duties.

b. Mischief or horseplay resulting to injury or death or persons

within the Financing Companys premises or outside of the

Financing Companys premises while the employee is in the

course of performing his duties.

c. Damaging or destroying, whether intentionally or

unintentionally, the Financing Companys property, or any

other persons property within the Financing Companys

premises, or any other persons property located outside the

Financing Companys premises while the employee is in the

course of performing his duties.

d. Disclosure to any unauthorized person of confidential

information in violation of the secrecy of Deposit Act (RA

1405), of Sec. 87-A of the Ra 337 or any other privileged

communication.

e. Violation of Computer Use Policy.

f. Starting or relaying rumors prejudicial to the interests of the

Financing Company, its staff, its officers or its clients.

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g. Rudeness, arrogance, discourtesy, in speech or behavior

toward Financing Company clients.

h. Causing a commotion or disturbance within the Financing

Companys premises or outside the financing Companys

premises if the commotion or disturbance tends to cause a

disruption of the operations of the Financing Company.

i. Gambling within the Financing Companys premises.

3. Dishonesty


a. Making any false entry in, or tampering with any entry in

ones time card or daily time record, or in the overtime

authorization slip.

b. Allowing others to fill in, or log ones ID card in the Biometric

System or Branch Timekeeping System, swiping in or out

or registering in or out for another employee.

c. Malingering, or claiming to be sick to avail of sick leave

benefits, when in fact the employee is not sick.

d. Robbery, or theft, or attempted robbery, or attempted theft,

committed against the Financing Company, or its officers, or

its employees, or its clients.

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e. Estafa or any fraud committed against the Financing

Company, or its officers, or its employees, or its clients.

f. Misrepresentations or falsification of personal data or

records or status or health or qualification to gain

employment with the Financing Company.

g. Making false money claims or making any misrepresentation

to claim benefits from the Financing Company.

h. Falsification or unauthorized alteration of records or

documents of the Financing Company.

4. Soliciting money or other valuable consideration from clients or

suppliers of the Financing Company, for personal gain.

5. Borrowing money from clients or repeatedly borrowing from or

lending to Financing Company officers and employees.

6. Accepting employment other than with the Financing Company

without securing the Financing Companys approval.

7. Insubordination


a. Disobedience to lawful order of ones superior.

b. Refusal to perform duties with the Financing Company

assigned by ones superior.

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c. Disrespect by work or deed to any superior.

8. Holding or attending a meeting or activity on Financing

Company premises not authorized by the Financing Company.

9. Inciting to participate, or participating in an illegal strike, or any

illegal concerted action or slow down against the Financing

Company.

10.Abuse of authority of officers for personal gain or advantage.

11.Negligence of duty.


a. Withholding of information from superiors or any

representative of management, or failure to immediately

report to such any violation of policy, or procedure, or any

anomaly or irregularity coming from the employees

knowledge which result in loss or damage to the Financing

Company.

b. Failure to inform superiors or higher authority of any

solicitation, inducement or illegal order of a superior to

violate the Financing Companys rules, procedures or

policies.

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c. Any violation of the Financing Companys established

procedures in handling transactions or work assignments

which results in loss to the Financing Company clients.

d. Losing or misplacing Financing Companys

records/documents or records/documents of clients which

may cause loss to the Financing Company.

12.Taking alcoholic beverages or intoxicating liquor or possession

of prohibited drugs or taking or selling or inducing other persons

to take prohibited drugs within the Financing Companys

premises, or reporting to work while intoxicated or under the

influence of alcohol or prohibited drugs.

13.Conviction of a crime for which the penalty is imprisonment.

14.Violation of the Financing Companys rules and policies on

security and safety.


a. Failure or refusal to obey orders or directions or fire or safety

officers during emergencies.

b. Carrying of explosives or fire arms or other deadly weapons

into the Financing Companys premises, without

authorization from the Financing Company.

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c. Entering any restricted area of the Financing Company

without the permission of the authorization officers.

15.Immorality, or carrying on an illicit relationship or engaging in

indecent behavior.

16.Committing any act or offense which constitutes just cause for

termination from employment under the Labor Code or pertinent

regulations.

The cited examples of minor, less serious or serious offenses

are not intended as an exclusive enumeration. Other acts or

offense not cited in the examples shall be subject to the

penalties or offenses analogous thereto.

III. Due Process

Due process shall be accorded to any officer or employee charged with

violating the Rules of Conduct.

IV. Authorities to Impose Disciplinary Actions

A. Minor Offenses Immediate superior of the erring officer/employee.

The Brach Manager/ Department Head of the erring employee shall

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be the authority to impose the disciplinary action if the penalty to be

imposed is suspension or termination.

B. Less Serious Offenses Branch Manager or Department Head of

the erring officer or employee.

C. Serious Offenses Group Head or Senior Supervising Officer of

the erring officer or employee.

All decisions imposing the penalty of suspension or termination

shall be subject to review by the Financing Companys Human

Resource Committee, which may affirm, reverse or modify the

same

V. Penalties

For Minor Offenses

1st Offense - Written reminder

2nd Offense - Written Reprimand

3rd Offense - Written reprimand with Warning of

Suspension

4th Offense - Suspension for three (3) days

5th Offense - Suspension for four (4) days

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6th Offense - Suspension for five (5) days

7th Offense - Suspension for six (6) days

8th Offense - Suspension for seven (7) days

9th Offense - Suspension for eight (8) days

10th Offense - Suspension for nine (9) days with

warning of termination

11th Offense - Termination

For Less Serious Offenses

1st Offense - Written Reprimand with Warning of

Suspension

2nd Offense - Suspension for three (3) days

3rd Offense - Suspension for five (5) days

4th Offense - Suspension for seven (7) days

5th Offense - Suspension for nine (9) days with

warning of termination

6th Offense - Termination

For Serious Offenses

Suspension or Termination

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The penalties mentioned in the Rules of Conduct shall be in

addition to any civil or criminal liability resulting from the offense and

shall not preclude the institution of any other court action.

VI. Nature of Penalties

A. Reminder

A written reminder calling the attention of the erring

employee to the violation is issued to the employee. The violation is

discussed with the employee and solutions are determined to avoid

a repetition of the violation.

B. Written Reprimand

The erring employee is given a written admonition that the

commission of the same or another offense will be dealt with more

severely.

C. Warning of Suspension

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The erring employee is given a written admonition that the

commission of the same or another offense will merit a suspension.

D. Suspension

The erring employee is barred from work for the stated

number of workdays without pay and benefits.

E. Termination

Dismissal from the Financing Company with forfeiture of all

benefits.

VII. Other Effects of Penalties

Employee penalized with suspension shall not be eligible for

any merit increase, or promotion for a period of one (1) year from

date of serving the penalty. Serving any of the penalties mentioned

in this Rules of Conduct does not extinguish the civil or criminal

liability resulting from the offense.

VIII. Management Prerogatives

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Management, in the exercise of its prerogative, may add, delete,

amend or revise this Rules of Conduct from time to time as it may

deem fit and proper.

Penalties for other offense not included in the Rules of Conduct

shall be set down by Management on a case to case basis and once

issued the same shall become an integral part of these Rules.

Provisions of office orders, policies, guidelines and work rules not

inconsistent herewith shall supplement these Rules.

Non-enforcement of the provision of these rules of conduct or any

leniency granted by the Financing Company to any officer or employee

shall not be considered as a consideration of the offense or a waiver of

the Financing Companys prerogative to enforce the appropriate

penalty later.

IX. Separability Clause

If any portion of this Rules of Conduct should be declared illegal or

unenforceable by competent authority, the other parts on provisions

not so declared shall remain valid and enforceable.

The prime Transformer Inc. provides its employees with numerous benefits

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some of which are listed here under

LEAVE PRIVILEGE

A. Vacation Leave

A permanent employee is entitled to a yearly vacation leave of at least

fifteen (15) working days earned at rate of 1.25 days per month.

All application for vacation leave should be approved by

department/branch head prior availment.

The unused vacation leave credits for rank and file employees shall

converted to cash not later than January 31 of the following year. Unused

vacation leave credits are also encashed upon resignation, provided you

filed the required 30-day notice prior to resignation and are cleared of all

accountabilities.

B. Sick Leave

Permanent employees are also entitled to fifteen (15) days sick leave

credits every year earned also the rate of 1.25 days per month. You

should, however, inform your Department/ Branch Head not later than the

first hour of the workday if you cannot report for work due to illness. You

will be required to submit a doctor's certificate if you are absent from work

due to illness for more than five (5) days. Sick leave credits may not be

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utilized for purposes other than illness

Accumulative sick leave credits exceeding thirty (30) working days shall

converted to cash not later than 31st day of January of the following year.

Upon resignation, all unused sick leaves will also convert to cash provided

you filed the required 30-day notice prior to resignation and are cleared of

all accountabilities.

Emergency Leave

Permanent employees may avail of the emergency leaves of seven (7)

days which shall be non- cumulative and non-commutable, provided such

leaves shall not be granted in excess of six (6) days for any single

purposes.

1. destruction of dwelling due to fire, earth quake, typhoon, flood,

or lahar:

2. sickness of immediate family member (i.e. parent, child or

spouse, or within the first degree of consanguinity, declared

guardian or an unmarried dependent brother/sister below 21

years old where the covered employee is the head of the

family), requiring the personal presence of the employee.

3. Upon declaration of typhoon signal #3 by PAG-ASA in affected

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work place declared residence and related areas only :

4. Impassable/ flooded street going to the financing company as

recommended by the Branch / Department Head and confirmed

by the Branch group head / Human Resources Department.

5. Declared general transportation strike in affected workplace,

declared residence and related areas only;

6. Quarantine leave (as per DOH guidelines) in affected work

place, de4clared residence and related areas only;

7. In case of robbery, if supported by an authenticated police

report.

D. Maternity Leave / Maternity Assistance

All female employees are entitled to a maternity leave with pay of sixty

(60) calendar days for normal delivery and seventy eight (78) calendar

days for deliveries by caesarean section for the first for the first four (4)

pregnancies only. Once you learned that you are pregnant, you should

inform HRD and you will be guided on how to submit SSS Maternity

Notification Form.

Maternity assistance also be given to covered female employees first four

(4) legitimate children

The maternity leave and maternity assistance is also given in case of

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miscarriages

E. Paternity Leave / Paternity Assistance

A married employee may avail of eight (8) working days paternity leave

with pay, subject to guidelines of R.A. 8187, each year his legitimate wife

gives birth, for the first (4) deliveries. A paternity assistance shall also be

given to permanent male employees for the first (4) legitimate children.

F. Solo parent Leave

An employee who has been with the financing company for at least (1)

year and who is single parent, as defined under R.A. 8972, shall also be

entitled to seven (7) days leave with pay. In order to avail of this benefit,

however, the employee has to provide HRD with a copy of his/her single

parent identification card issued by the Department of Social Welfare and

Development (DSWD).

The Solo Parent Leave is non-cumulative and not convertible to cash.

Availment shall be similar to vacation leaves and requires prior approval

from the appropriate Department / Branch Head.

G. Study Leave

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The Financing Company may give consideration to employees, who in

relation to his work, need to take professional accreditation examinations

or to prepare for comprehensive tests which would lead to a Masteral

Degree, or completion / defense of post graduate dissertations.

Employees may be allowed up to one hundred twenty (120) calendar days

leave without pay as Study Leave. The Financing Company reserves right

to disapprove the request if such will hamper efficient operations of the

Financing Company.

To avail of the benefit, a written request duly endorsed by your Department

/ Branch Head should be presented to Human Resources Committee

(HRCOM) for approval.

Upon returning to work, the employee must present a certification of

completion to HRD.

H. Birthday Leave

All regular employees are entitled to one (1) day employees birthday falls

on non-working day or if the employee so request, he may enjoy the

birthday leave on another date mutually agreed upon by the Financing

Company to work on his actual Birthday, he shall be compensated with

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overtime pay in accordance with the policies on overtime. In this case, it is

understood that he is no longer entitled to a birthday leave.

I. Wedding Leave

All unmarried regular employees shall be entitled to a one (1) day wedding

leave to be used on the day of employees wedding date. The wedding

leave may be availed of only once during the employees employment with

the financing company and is non-cumulative and non- commutable.

J. Bereavement Leave

All regular employees shall be given three (3) days bereavement each

year. The Bereavement leave is applicable for the death of a relative

up to third degree of consanguinity, second degree of affinity and declared

guardian only.

OVERTIME, HOLIDAYS AND REST PAY DAY

Rank and file employees enjoy a significantly higher premium pay for work

done during rest of the days and holidays than that provided under the

Labor Code.

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Overtime pay premium shall also be given in the following situations: 1.

when an employee is asked to stay and work during days of calamity

(such as typhoon or floods) and after announcement of no work day by

the Financing Company or by the national government and 2. When an

employee is required, in writing, to attend seminars, workshops meetings,

or other activities related to regular administrative and operational

functions of the Financing Company on non-working days.

NIGHT DIFFERENTIAL

All regular employees who perform work from 10pm to 6am shall be

entitled to 25% night differential pay based on their hourly rate.

SPECIAL ALLOWANCES

A. Shoe allowance

The Financing Company shall grant an allowance to all permanent

Credit Investigators, Appraisers, Document assistance, Roving Tellers,

Armoured Car Drivers and Messengers/Janitors to help defray the cost

of footwear considering the nature of their job and the frequency of

their field assignments. This allowance shall be released in advance

and availment shall be subjects to Financing Company guidelines.

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B. Tellers Allowance

In order to cover any shortages that may occur, all tellers (including

roving tellers and relievers) shall be given Tellers Allowances. The said

allowances shall be given annually even when the teller is on leave

except when such teller is on leave without pay.

C. Hazards Pay

In view of the responsibilities and risks shouldered by personnel

assigned to armoured cars, a monthly cash premium is given to

armoured car drivers and Roving Tellers, Any other employee who

shall also be given hazard pay.

D. Overtime Meal / Transportations Allowances

The Financing Company shall grant an overtime meal allowance for

overtime work of at least an aggregate of three (3) hours per regular

working day and an aggregate of four (4) hours on a non- working day.

The Financing Company provides an overtime transportations

allowance for overtime work of an aggregate of at least three (3) hours

on a regular working day provided that the overtime is until 8:30 p.m.

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However, employees who are required to work on rest days and

holidays shall also be given overtime transportation allowance

regardless of the number of hours of overtime rendered.

BONUSES

A. Mid-year Bonus

Rank and File employees, who are classified as permanent as of April

30, shall be entitled to a midyear bonuses equivalent to one (1) month

basic salary payable in May.

B. Christmas Bonus & Thirteenth Month Pay

Rank and File employees who are classified as permanent as of

October 31, shall be entitled to a Christmas Bonus & Thirteenth Month

Pay equivalent top two (2) months basic salary payable in November.

C. Special Bonus

The Financing Company also provides a special bonus to each

permanent rank and file employee equivalent to 75% of your monthly

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basic salary payable on the 23rd of January of each year.

OTHER BENEFITS

A. Life Insurance

Upon permanency, employees are covered by Group Life with Accident

Death and Dismemberment Insurance Plan.

The Financing Companys Insurance plan is non-contributory; meaning

the total premium payments for the insurance plan is paid for by the

Financing Company.

B. Hospitalization, Medical, Dental and Optical Allowance

The Financing Company shall provide all employees with coverage

from a republic Health Maintenance Organization (HMO). For rank and

file employees, they shall be covered with the basic medical and

hospitalization plan (private room) at no cost to the employee.

C. Rice Subsidy

The Financing Company also provides a monthly rice subsidy to its

permanent employees.

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D. Salary Loan

Subject to the Bangko Sentral ng Pilipinas rules and regulations and

the Financing Companys existing procedures, a permanent employee

may avail of salary loan for any of the following purposes:

o Education

o House renovation / improvement / repair

o Equity on acquisition of house and lot or lot only

o Insurance premium payment

o Out-patient / hospitalization of employee / dependents

o Appliances acquisition

o For purposes other than the foregoing, a maximum

loan equivalent to two (2) months salary may be

availed of by each employee.

The maximum loanable amount of the salary loan is equal to five (5)

times the gross monthly income salary with minimal interest and

payable monthly for a maximum term of forty two (42) months.

E. Emergency Loan

All permanent employees may also avail of the emergency loan

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equivalent to the employees two (2) months gross monthly

compensation. This shall be payable in twenty four (24) months

through salary deduction, also with minimal interest.

The emergency loan shall cover the following purposes only:

Hospitalization for any illness or out-patient services

dreaded disease as defined by HMO for the employee

or his immediate dependents;

Funeral expenses of immediate dependents.

For repair / reconstruction of employees residence

destroyed by lahar, earthquake, fire, flash, flood,

typhoon, and other natural calamities.

Purchase of personal properties in case of robbery.

F. Housing Loan

The Financing Company shall assist qualified and deserving

employees who have rendered at least 7 years of satisfactory service

with the Financing Company in owning a house and lot under Pag-ibig.

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The amount shall not exceed P 500,000.00 and shall consist of a

combination of:

o A loan from Pag-ibig, subjects to the rules and

requirements of Pag-ibig and the Financing

Company, and which shall carry with it an interest

rate at the pass-on-rate of Pag-ibig plus 2%; and

o

An equity portion loaned by the Financing

Company not exceed to 25% of the total loan

subject to the rules and requirements of Pag-ibig

and the Financing Company, and which shall carry

with it an interest rate be equivalent to the pass-on-

rate of Pag-ibig plus 2%.

Pass-on-rate shall be defined as the rate charge to the Financing

Company by Pag-ibig for funds made available by Pag-ibig to the

Financing Company for the purposes of extending housing loans to its

employees.

G. Car Loan

The Financing Company provides car loan to its permanent rank and

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file employees not to exceed P200,000.00 subject to the minimum

lending rate and to the usual credit requirements and / or policies of the

Financing Company.

H. Funeral Assistance

The Financing Company also extends funeral assistance to the heirs of

a deceased employee, for the death of the employees spouse or child

and for the death of an employees parent or an unmarried dependent

brother / sister below 21 years old appearing on the employees

personnel file shall be recognized.

I. Retirement / Separation Benefit

Subject to the provisions of the Financing Companys Retirement Plan,

permanent employees who are retire are entitled to a separation or

retirement pay after the stated length of service in accordance with the

Financing Company policies.

It is understood that an employees length of service includes such

employees probationary period of employment.

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Subject to BIR regulations, retirement benefits are tax exempt provided

that the employee has rendered at least 10 years of service and is at

least 50 years old.

Corporate Governance Manual

The Board of Directors, officers and staff have committed themselves to the

principles and best practices contained in the Manual on Corporate Governance,

in the belief that good corporate governance is a necessary component of sound

strategic business management.

The Manual establishes the company's compliance system and plan of

compliance. It states that compliance with the principles of good corporate

governance starts with the Board of Directors. To this end, a director must act in

a manner characterized by transparency, accountability and fairness. The

Manual further enumerates the general responsibilities and specific duties and

functions of the Board, as well as those of the Board Committees, Corporate

Secretary, and the external and internal auditors.

The Manual mandates the conduct of communication and training programs on

corporate governance. It further provides for the rights of all shareholders and

the protection of the interests of minority stockholders. The Manual likewise sets

the penalties for non-compliance with its provisions.

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Best Transformer Inc. revised its Manual on Corporate Governance, in

accordance with the SEC Revised Code of Corporate Governance. The

significant changes to the Manual are summarized as follows:

The Compliance Officer shall be appointed by the entire Board of

Directors and not merely the Chairman of the Board.

The Board of Directors must at all times have at least two independent

directors.

In addition to its original duties, the Board will formulate and implement

policies on related party transactions and establish and maintain a dispute

resolution system to settle conflicts involving the company.

An independent director whose beneficial equity ownership in a company

or its subsidiaries and affiliates exceeds 2% of the subscribed capital

stock is temporarily disqualified from being a director of the company, until

his/her beneficial equity ownership reverts to the 2% limit.

The Audit Committee shall be chaired by an independent director.

The stockholders' right to appoint a proxy is expressly provided.

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4. management plan

Documents