Sustainable Development of Banana Chips in Tangub City
Sustainable Development of Banana Chips in Tangub City
Richille Sordilla-Palad
Tangub City, Misamis Occidental
richillesordilla@gmail.com
I. Abstract- This study on, “Sustainable disagree. This emphasized that the distribution of the
Development of Banana Chips in Tangub City” product was not efficient and there was no well-defined
identified the factors affecting the sustainable means of communication and transportation. Thus,
development of the banana chips production in they could not efficiently distribute their product to the
Minsubong, Tangub City. This study used a target market which also equally resulted to the
quantitative method of research with the researcher- decrease of their sales and not able to meet the present
constructed questionnaire as tool gathering the data. need of the business.
The data were taken from the 30 members of 4P’s
beneficiaries. Results revealed that the transportation Keywords— Banana Chips, Sustainable
was the factor that most affected the sustainable Development, Project Proposal, Financial Capital,
development of the business that was rated as strongly Financial Management, Operation Management, Human
Resource Management
II. INTRODUCTION
Banana Chip is one of the most popular Banana chips production is one of the
delicacies in the Philippines. It tastes good, sweet, sources of livelihood in some barangays in Tangub
crunchy and one of the “Pasalubong” and specialty in City. In Barangay Minsubong, Tangub city, the 4Ps
the city because most of the tourists are eager to buy. beneficiaries manufactured banana chips for their
It is of high demand due to its characteristic flavor livelihood. It is considered as an additional income
and taste. In the production of banana chips, it also for the 4Ps beneficiaries of Banana Chips
has its own facilities like building and equipment. It Organization to sustain their daily needs. However,
must have a business permit like: BFAD and DTI for the production of banana chips of Barangay
the business to work. It is very viable alternative of Minsubong is very much affected by some factors,
livelihood for the unfortunate people and the causes to the decline of the production and they need
housewives. This type of livelihood helps to alleviate to stop the business operation.
women from poverty, and eventually raise the human
development index. Thus, this study was conducted to identify
the factors affecting for sustainable development of
According to Khader (2007), chips are the banana chips in the business operation of Banana
most popular snack item in many fast food outlets. Chips Organization in Barangay Minsubong. This
Fried banana chips may be one of the important would help the said organization and at the same time
potential banana products. Banana chips may be also the beneficiaries of the banana chips production in
easily saleable snack food in the market. They are not identifying the causes of the business decline and in
only a staple food crop for millions of people, but enhancing their next possible business operation.
they also provide an essential source of income
through local and international trade (Frison, 2010). This study anchored on the insights and
Elkhalifa (2014), added that banana chips have a high concepts of different authors whose works are
market potential particularly when wasted banana is significantly relevant in this research.
concerned. It represents different source of nutrients
According to Jain (2015), sustainable
well characterized by its mineral nutritional value and
development can be defined as a development that
reasonable energy supply. Banana chips provide extra
meets the needs of the present without compromising
minerals especially phosphorus and potassium. In
the ability of the future generations to meet their own
other words, the chips are good source of energy.
needs. Sequeira (2012), stated that the production of
banana chips is an important industry in the country Murray (2016), specified that an
particularly in the southern island of Mindanao and establishment is a place where business is conducted,
with that, banana chips have become one of the key goods are made or stored or processed or where
products in the Mindanao region as a source of services are rendered. Kriesberg (2009), said that
livelihood. Chadha (2012), added that among chips, manufacturers must see the importance of the
banana is accounted for the highest production and production establishment as a means by which the
they contributed 31 per cent of the total food portion of the processed products is rest assured that
production. There had been a phenomenal increase in is to sustain the business operation. In addition,
the production and productivity of banana chips. sustainable development underlies in establishment.
Moreover, banana chips industry is a good source of It gives a place of production and a storage stability
income (Manojkumar, 2014). of the banana chips being produced. Keeping this in
view, the quality aspect of banana chips will be
As stressed by Amadeo (2016), financial assured and reduces damage and thus suggest ways
capital is the money, credit, and other forms of and means for production of good quality banana
funding that companies use to invest in their chips (Amiruzzaman, 2015). Moreover,
businesses. Anand (2009), stated that financial capital establishment is one of the factors that affects banana
is the major requirement for sustaining the chips production and sustainability of banana chips
availability and production of banana chips as it is the industry (Hayeer, 2013).
foundation of purchasing the supplies of the chips.
Khin (2013), added that financial capital is necessary Kathirvel (2012), pointed out that
to process a large range of banana chips and it is an management inadequacy was the major problem in
indicator to business development and sustainability. the production of banana chips. Business
Furthermore, a considerable investment in this sustainability and development refers to economic
industry is still required and it is essential that results that flow from the proper management of the
researchers, investors and indeed the general public business operation (Jasdanwalla, 2015). In relation to
are made aware of the global importance of banana that, Joseph (2011), said that when looking banana
chips industry, in order to ensure its sustainability chips development issues, it is very important to view
and improvement in the future (Frison, 2010). production and management as two interrelated and
interdependent activities. Indeed, an inefficient
According to Goldsby (2014), transportation management system acts as a disincentive to
is a major contributor to the economy and a manufacturers and thus lowers production. Lentican
competitive force in business and it is the activity that (2010), states that the gains in the production system
connects the business to its supply chain partners and as a result of improved technology, establishment, or
is a major influence on the customer’s satisfaction better financing schemes will not have much impact
with the company. Sharrock (2015), stated that on the incomes of the manufacturers if the
transportation would be a great help in distributing management system is inefficient. He continues to
the produced banana chips into different places. On say that production is considered as the "door" to
the other hand, there must be a proper transportation agricultural productivity and management as the
of processed products that helps to satisfy the "key" that opens the lock.
customers and fulfill the requirements of the market
demand (Su, 2011). Duraisingh (2008), suggested Financial Management is an essential part of
that in order to sustain the banana chips development, the economic and non-economic activities which
the government should arrange adequate and cheap leads to decide the efficient procurement and
means of transport facilities for the banana chips utilization of finance with profitable manner
operation. In addition, transportation can ensure (Paramasivan, 2013). Kuchal (2007), supported that
product safety and quality that reaches the consumer, business concern needs financial management to
residing far away from the production area meet their requirements in the economic world most
(Mohapatra, 2010). specially in terms of business sustainability and
development. Moreover, sustainability and
development of a business needs financial This study aimed to identify the factors
management, because it requires efficient affecting the sustainable development of banana
procurement, utilization of resources, funds, chips of Minsubong 1 Banana Chips in Minsubong,
operating expenses etc. These expenditures are Tangub City. Specifically, this sought answers to the
decided and estimated by the financial department following questions: What affects the sustainable
and the finance manager allocates the appropriate development of banana chips in terms of; 1 financial
finance to production department. The financial capital; transportation; establishment; management;
manager must be aware of the operational process financial management; operations management; and
and finance required for each process of production human resource management.
activities to sustain its productivity (Solomon, 2010).
The result of this study will be beneficial to
Operations management focuses on the following:
carefully managing the processes to produce and
distribute products and services (McNamara, 2011). Banana Chips Organization. This study may
In relation to that, business operation management is provide alternatives respond regarding the factors
the heart of productivity and way for sustainability. affecting the livelihood production in Barangay
For the development and sustainability of the Minsubong, Tangub City.
business it needs honest and critical analyzation of
Local Government of Tangub City. It may
the current operations and considers the changes
improve revenue collection and develop a well-
necessary to move toward sustainability (Elkington,
constructed spot for business.
2013). In addition, a deeper understanding of
operations management is still needed for Businessmen. The result of this study will
sustainability of an enterprise. Thus, sustainability is help them in developing and sustaining their business
first positioned within the enterprise on the operation.
managerial and operational level (Opresnik & Taisch,
2009). Future Businessmen. This study will serve
as their guide in their hope to become successful
Lastly, human resource management affects businessmen someday.
the sustainability of the business because HR
personnel are the one who is responsible for III. METHODS
enhancing the organizational capability by
understanding what the business needs and what This study used a quantitative survey
people, knowledge, skills and culture need to be in research method. This study was conducted at
place to deliver those needs. As increasingly Minsubong, Tangub City, Misamis Occidental where
companies adopt strategies for sustainable business, the Minsubong 1 Banana Chips, manufactured by 4Ps
so too does HR’s understanding of how their role, not beneficiaries for their livelihood. Minsubong is a
only as a business partner, but as a sustainable peaceful barangay wherein crops and banana
business partner, need to evolve (Branson, 2014). plantation is wide. Every household has their own
Cohen and King (2010) added that human resource land that they are farming and this is where the
management has the ability to generate a significant respondents get the raw ingredient such as banana for
social, environmental, and economic impact. To production. The people are depending on farming for
achieve sustainability development in business, it is their livelihood and few residents are only at the
imperative for organizations to place high priority on place.
their internal human capital. Essentially, the purpose
A research-constructed questionnaire was
of HRM is to maximize the productivity of an
used in this study. It determined the factors affecting
organization by optimizing the effectiveness of its
the Sustainable Development of Banana Chips
employees (Gubman, 2015).
business of the 4Ps beneficiaries of Minsubong 1
Banana Chips in Minsubong, Tangub City. The
researcher prepared the questionnaires that were 2.51-3.25 - The respondents signify that they agree
distributed to the intended respondents. This was on the indicators of sustainable development.
used in order to generate answers from the
respondents; and this served as the instrument in 1.76-2.50 - The respondents signify that they disagree
gathering the necessary facts for the study. on the indicators of sustainable development.
The researcher conducted a pilot testing 1.00-1.75 - The respondents signify that they strongly
through Cronbach Alpha as the statistical tool for the disagree on the indicators of sustainable
reliability of the questionnaire. As a result, 0.84 for development.
the sustainable development and the closer
IV. RESULT AND DISCUSSIONS
coefficient is to 1.0 the greater the internal
consistency of the items in the scale. The Cronbach’s Table 1. Respondent’s Responses on Financial
Alpha signified that the internal consistency of the Capital of the Banana Chips Business
items is good enough to be administered to the actual
respondents.
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