Clean House Cleaning Services OPERATIONS

OPERATIONS 16

SPACE AND EQUIPMENT

Cleaning tools

$500.00

Office Furniture

$67.5

Communication tools

$100.00

Computer tools

$900.00

Magnetic car sign

$38.99

Cleaning materials

$200.00

Total startup expenses

$1806.40

Cash needed

$7,000

Startup inventory

$0.00

Other current assets

$0.00

Long-term assets

$0.00

Total Assets

$8,806.40

Office

  • Officer chair (3) – Own ($150.00)

  • Printer/scanner-Own ($99.99)

  • Phone – Own ($94.50)

  • Basic office supplies (stapler, ink, pens, paper, envelopes, etc.) =104.67

  • Computer – Own($1,000.11)

  • Front Desk ($1000.22)

  • Desk- (expense($189.45)

  • Paper shredder – own

  • Filing cabinet –own

  • Toiletries (toilet paper, paper towel, soap) – ($60 per month)

Outdoor

  • Locks ($100)

  • Moving pads ($10/each*150 = $1500.79)

  • Security entry system ($1000.95)

Warehouse

  • Cleaning supplies (mops, floor cleaner, brooms, brush, etc.) ($70.44)

  • Security cameras (black and white) ($100/each *3) = $300.57

Floor Plan

Renovations/leasehold improvements = $1000.56 per month

LOGISTICS

Clean House will require a small inventory of packaging the cleaningsupplies. Clean House Business has expertise in purchasing fromVanguard Cleaning services. The management will check on monthlyinventory and place a pre-order with Vanguard cleaning systems.Office supplies, cleaning supplies and toiletries will be bought fromAriel. The system will cost $5,000.00. The cost of membership toCleaning services will be $60 annually. The main subcontractor willbe Vanguard cleaning services and Mayhill Cleaning services. Thecontracting arrangements will be made on a 6-month basis. After sixmonths, the contract can be renewed by the company. Also, an accountwill be needed to file tax returns for a fee of $2,000.

METHODS AND PROCEDURES

The flow chart below describes the typical transaction that will takeplace between Clean House and its customers. There are fundamentalprocesses that the company will use, and the customer will take toget the service.

To ensure the quality of Clean House, all the storage units will beinspected using a checklist system. The storage units will be swept,floors and doors will be cleaned after the customer move out.Cleaning and maintenance of common areas and halls will be made ondaily basis

For the purpose of protection against theft, the clients who requestfor a service will out a checklist of items that will be held in thestorage unit as they get their items into storage.

Clean House will present services in groups. The groups will speed upthe process of cleaning and increase efficiency since each member ofthe group will perform certain activities at each of the location.The supervisor will scrutinize the groups. At the initial phases, themanager will scrutinize each worker and carryout excellent inspectionof the tasks. The group will include four individuals in the firstyear of operation. An additional group is needed each year dependingon the amount of work ahead.

The clients will be given a detailed work schedule to point outspecific tasks that are to be performed. All the group members get alist of the tasks to be accomplished and the job requirements. Eachof the employees can clean about 800 square feet when the system ofthe group is utilized. Thus, building will of 1,600 sqr. Ft willinvolve two workers for an hour. The added time will be exhausteddriving to each location of service.

The management will deal with customer`s complaints in a calm andprofessional manner. The issues will be treated promptly when thecustomers are not satisfied with the services and also ask them whatcan be done to improve satisfaction. The company will strive toaccommodate the clients who are dissatisfied to the best of itsability in a bid to make the customer a returning client. Also, thiswill be done to ensure that negative publicity is not made. Clientswill be refunded upon a manager or the owner`s discretion and anydamages or theft to the personal belonging of the client whileservices are administered will be dealt with by the signed insurancepolicy.

SYSTEMS

Clean House recur invoices, payroll and scheduling and any othermanagerial work will be done through up to date software. The companywill eliminate the use of paperwork to enhance social responsibility.

All scheduling of storage will be updated through computer calendarto sync to a mobile phone. All invoices will be made throughMicrosoft Office and will be emailed to the customers on a monthlybasis depending on their schedule. A clean house will also be able tosee the number of employees available to offer services if they aremaking arrangements with the customers. There are no added costs toperform this task.

Invoices will be made using Microsoft Excel for students and homesand will be sent to customers on weekly or monthly basis depending onthe schedule of payment. The company will print invoices uponrequests by the customers. The invoices will be kept in locked,secured files to ensure the privacy of the information of the client(Morrow, 2008). The program will cost $302.34 for twocomputers

Since this is a big business, I require several employees to run thecredit card transactions and email the receipts to customers. Clientswill get the capacity to debit payment from the comfort of theirhome. The approximation of debit and credit card transactions are asfollows. There are no additional costs since Excel included theMicrosoft Office software. The paychecks will be computerized sincethere are several employees. The approximate costs of the checks are$2/check and $1 for processing.

Debit and credit card processing will be done using online software.The managerial assistant will run the credit card transaction on thecomputer and email these receipts to the customers. The debittransaction will be done on Company`s website to avoid the costs andus of the terminal. Debit payments will be submitted from the comfortof their home (Morrow, 2008). Theapproximate debit and credit card transactions are as follows

  • $9.72 setup

  • $11.22/month fee

  • 0.8 debit card transaction

  • 0.2 credit card transaction

  • 5% discount rate

ORGANIZATION

In the first few years of operation, Clean House will require morethan ten employees. The full-time employees includereceptionist/administrative assistance and four permanent employees.The part-time employees will be involved in maintenance and cleaningservices. Below is a list of job specification and description forfour positions within Clean House.

Management/owner (full time) -$19,000.00, first year: $24,000.00second year: $29,000.00 for third year.

The owner works from Monday to Saturday from 8.30 a.m to 5:30 p.m

  • Payroll

  • Estimates and sales

  • Banking

  • Discounts

  • Customer complaints

  • Accounts payable/receivable

  • Networking

  • Advertising &amp Promotion

  • Purchasing and inventory

  • Implementation of procedures and policies

Receptionist/Administrative (part-time) – 10/hour for 18 hours aweek (approximately $9,400 per year)

Responsibilities

  • Greet Customers

  • Answer phone

  • Process credit card transactions

  • Email receipts

  • Filing duties

  • Basic office organization

  • Update storage schedule

Maintenance (part-time) – $9/hour for 15 hours per week(approximately $7,000)

  • Clean common areas and hallways

  • Clean storage units

  • Wash office windows

  • Clean office area

  • Outdoor maintenance

Payroll will be made every Monday of every first week, and thepaychecks will be distributed to the employees by Wednesday of eachweek. No additional deductions besides EI and CPP. Remittance will bemade on monthly basis. An accountant will be subcontracted for thepurpose of filing tax.

The following is a month’s payroll (Biweekly

June 2016

Admin Assistant

Pay period

Hours

Wage

Gross Pay

CPP

Jan 3

30

$15.00

$450.00

$18.00

Jan 23

30

$15.00

$450.00

$18.00

Maintenance

Jan 3

10

$12.00

$120.00

$0.00

Jan 23

10

$12.00

$120.00

$0.00

Owner

Gross Salary

Jan 3

$911.54

$39.00

Jan 23

$911.54

$39.00

Total Wage

80

$1,140.00

$36.00

Total Salary

$1,823.08

78.00

REGULATION

Clean House decided to incorporate for the purpose of liabilityissues and keeping business finances separate from personal finances.The papers of incorporation will be filed online for a fee of $50.The company will be registered with CFIB for a yearly fee of $500 forthe reasons of guidance and networking in regards to legal issues,marketing, management and other benefits offered by CFIB. The companywill be accredited with BBB to help retain customer’s confidence.The yearly membership fee is $300.

Currently, the logo and name are not protected from intellectualproperty infringement. The name is protected by the states in Londonsince the firm is incorporated. A trademark may be sought in future.

An insurance package will be bought with the assistance of UAPinsurance agency. The package will include liability, fire, worker’scompensation and automobile coverage

Conclusion

Clean House will require a small inventory of packaging the cleaningsupplies. Clean House Business has expertise in purchasing fromVanguard Cleaning services. To ensure the quality of Clean House, allthe storage units will be inspected using a checklist system. For thepurpose of protection against theft, the customers who request for aservice will out a checklist of items that will be held in thestorage unit as they get their items into storage. The managementwill deal with customer’s complaints in a calm and professionalmanner.

Clean House recur invoices, payroll and scheduling and any othermanagerial work will be done through up to date software. Allprogramming of storage will be updated through computer calendar tosync to a mobile phone. Invoices will be made using Microsoft Excelfor students and homes and will be sent to customers on weekly ormonthly basis depending on the schedule of payment. Clean House willrequire more than ten employees (Parker,2012). The full-time staffs includereceptionist/administrative assistance and four permanent employees.Clean House decided to incorporate for the purpose of liabilityissues and keeping business finances separate from personal finances.Therefore, the company has potential to run a viable business. Theexpenses to be incurred in operation are too high. The company willreduce its costs by reducing additional employees and subcontractors

REFERENCES

Morrow, B. (2008). Howto Open &amp Operate a Financially Successful Cleaning Service.Atlantic Publishing Company.

Parker, D. (2012).&nbspServiceoperations management: the total experience.Edward Elgar Publishing

Appendixes