A Telecommunication And Computing Consultancy Services

Published Date: 02 Nov 2017

Onwona Associates and Sons Consultancy Limited (OASCL) will be formed as a consulting firm with specialization in telecommunication and computer engineering. The company will seek to supply companies, institutions and individuals with the very best of telecommunication and computing services. A small office will be set up from home Kumasi, Ghana in the first of year of operations to minimize the start-up cost. The founder of Onwona associates and sons has twelve years progressive and accountable experience as a professional chartered telecommunication and computer networks engineer.

The founder, Michael Onwona, made provision of a primary investment towards the start-up costs. With more than half of the initial investment going towards the start-up expenses, the remaining will serve as a working capital placed in the company account.

1.1 Objectives

To make a modest revenue in the first year of operating with an anticipated slow steady growth over two years.

By the end of the third year of operations, 30% of market value will be achieved.

Set-up a second branch at the northern sector of the country by the end of the third year of operations with an increased gross margin

1.2 Mission

To be recognised as the national leader in the provision of excellent, high quality, high-valued professional telecommunication and computing engineering services, from the concept of designing through to implementation, provide technical project leadership with a highly skilled professional team of workers, using their technical knowledge and practical experience.

1.3 Keys of Success

The provision and delivering of quality professional services to clients on time and within budgets

Develop a fellow-up plan of action to measure performance with all clients

The implementation and maintaining of an assurance policy and a quality control

Company Summary

Onwona Associates and Sons Consultancy Limited (OASCL) is a new telecommunication and computing company which provides professional design, implementation and maintenance services for clients who maintain and manage PBX, adjuncts, voicemail systems and software systems for government institutions, hospitals, businesses and the individuals. Our focus will be within the public sector market in the southern part of the country, Kumasi Ghana.

2.1 Company Ownership

Onwona Associates and Sons will be a privately owned company by M Onwona, with K Onasis listed as a director and established as a limited liability company.

2.2 Start-up Summary

The company’s start-up expenses allows for office equipment, furniture, specialist software, licences, stationary, permits and initial legal expenses. The balance is placed in the company account as initial balance for the company. VoIP software, telecommunication software and mobile software were purchased for the company as well other special kits.

Start-up Funding

Start-up expenses to fund GHC 7,700.00

Start-up asset GHC 5,500.00

Total GHC 13,200.00

Assets

Non-cash asset GHC 0.00

Cash Requirement from start-up GHC 5,500.00

Cash balance on starting date GHC 5,500.00

Total asset GHC 5,500.00

Services

Onwona Associates and Sons limited offer a complete telecommunication and computing engineering services with its main focus the following:

Multinational companies

Mining Companies

Private institutions

Telecommunication contractors

Banks

New media businesses

The company will introduce instalment payment options for its clients; clients will be required to pay 35% of the cost of service before work commences and warranty will also be given to all our clients, whiles long term clients will be offered credit services. This way the company will gain grounds on other competitors if there are any, with our economical design services and the scalability of the proposed designs. We meet client’s needs on all telecommunication and computing projects whether small or large.

3.1 Competitive Comparison

Onwona Associates and Sons Consultancy Limited (OASCL) supports our clients in the design, implementation and the realisation of the advantages of their projects and plans by supplying analysis tools, whiles also taking on suitable management and technical roles. In comparison our competitors only offer design services. We will provide the metrics and the measurement plans for client’s who intend to implement business alterations and information communication technology (ICT) and also help them with critical facts on their options.

Quality assurance and control program will be implemented for all projects to be undertaken, this will help in focusing on the standards which will be accomplished and a method of measuring performance. Our integrated database management system will be used in tracking all project information.

3.2 Service Description

Project Consulting: This will be carried out on a proposed and billed basis per project and milestone. It will offer the client company a way to check our distinguish qualities and use our expertise to grow and/or implement plans, from conceptual planning to turnover. Each project will come with its associated proposal cost.

Forensic Investigations: Our investigations will seek to serve the private and public sector markets and the focus will be upgrading system and networks which have become obsolete, damaged or where failure has occurred. The description of the exact cause will be outlined in our report likewise the reasons and causes of the failure or damage, and a list of options to remedy the situation including budgets estimates for the implementation.

Technology: We will be using our current state-of-art technological facilities to investigate client’s current and envisaged use of technology to facilitate growth and also maintain a company website with the capacity to transfer files using file transfer protocols. Our objective is the assist the client by understanding how effectively to deploy its technology and identifying any upgrades to new technologies to enhance productivity.

4.0 Market Analysis Summary

Onwona Associates and Sons estimates that the 2013 sales of the Ghanaian telecommunications market will be around $20 billion, considering the accelerated rate of growth in the telecommunication industry, should the firm achieve a two per cent market share in three years, its operations will expand considerably in a market with a growth rate of twelve per cent per year. There is sufficient space for this company and other competitors, in this massive and fast-growing market even though there are very competitors within the local area, this give Onwona Associates and Sons the opportunity expand a niche in our field of operations. With most business moving away from the traditional ways of business practices into the modern business practices where computing and telecommunication is the backbone, some other opportunities does exist in the provision of technical aid.

4.1 Market Segmentation

The chart and table below is a reflection of the market segmentation for the business. The growth and size numbers are based on the Ghanaian Census data from the statistical department for the southern sector of the country which include our business location.

Large business (industries) – 450 or more employees

Medium businesses – 150 or more employees

Small businesses – which are defined as a businesses with employees ranging from 1- 99 according to the government, seems to be the second largest as well as the fastest growing segment in the southern sector of the country. Universities, hospitals, schools and government institutions were defined in a different category called the formal sector and will be represented on the chart as formal. It is without a doubt that the first three segments comprise the most of opportunity for Onwona Associates and Sons Consulting limited.

4.2 Market Analysis

Kumasi is a town in the situated between the southern and northern part of the country Ghana but is always grouped among the southern, and because of its strategic location business have chosen to set up the hubs within the city to link up the two parts of the country easily in order to meet their customer demands.

Year 1

Year 2

Year 3

Year 4

Year 5

Potential Customers

Growth

Small Businesses

10%

4,259

4,685

5,154

5,669

6,236

Medium Businesses

9%

3,931

4,285

4,671

5,091

5,549

Large Businesses

9%

159

173

189

206

225

Formal

9%

192

209

228

249

271

Total

9.50%

8,541

9,352

10,242

11,215

12,281

4.3 Target Market Segment Strategy

With all the customers seeing reliable, efficient communications and robust networks systems, however characteristic preferences alter in between the segments. With the financial news magazine suggesting four markets segments as most likely point to start:

Businesses not having the existing infrastructure in place and hence not having computers.

Small to medium sized businesses using stand-alone computer which requires networking.

Government institutions using computers on a network requiring scalability and security.

Larger businesses seeking to merge different systems together on a network and also seeking assistance in solving problems on specific projects.

Onwona Associates and Sons Consulting limited will be focusing on the two top market segments in the first two years and then will be consideration to the other segments from the third year.

4.4 Market Needs

According to the financial times magazine the, experts within the consulting industry did identify four different opportunities existing for the telecommunication and computer consultants:

Clients requiring temporary technical support Abridged term responsibility of finding solutions for businesses was identified as the most prevail market

Particular/Specific skills also indicated as the second largest area with clients requiring software specialties.

Purchasing guidance and system setup

Designing and planning a communication network and resource sharing

Resource planning and data storage

Supervision of business communication networks, security and data protection

Training and repairing of client employees on software usage

Capacity of businesses being able to take part and also anticipate the changes of telecommunication systems to remain competitive

The development of database applications

3. The capacity to troubleshoot faults and implementing disaster recovery systems

4.5 Main Competitors

OASCL main competitors will be including the A&A Communications and the other is Delta Computer Services.

A&A communications:

Provides a computer repairs services for clients

Has a primary focus on installing one operating system for all clients

A household name within the location as it’s the first firm to have been set-up.

Delta Computer services:

Response to clients very slowly and has never completed a project on schedule

Cost of the network administrate services is very high compared to OASCL

Have enough experience doing business in the area, as the company has been operational for some years but don’t have any qualified engineer on the firm and has to out -source always to get a project done.

4.6 SWOT Analysis

The figure below will be providing an overview of Onwona Associates and Sons Consulting Limited strengths, weaknesses, opportunities and threats. The SWOT analysis is drawn based on the research and analysis of OASCL in the telecommunication and computing consulting services market.

Strengths

Financial worth driven approach

Information technology enabled means of arriving to engagements

Having the potential to invest in opportunities for growth

Clients will be offered the opportunity of an easy payment with credit facilities arrangements

Weaknesses

OASCL knowledge is limited to a few executives in the business.

Local and National associations structure.

Relatively new in the area and not widely known as compared to my competitors

Huge capital required to execute projects as credit is not easily available

Opportunities

Change in the business and economic environment as ICT is fast growing in the country and on the continent

Domestic usage of computers and other telecommunication gadgets is growing rapidly

Threats

Telecommunication service providers with business capabilities

There is the likelihood of major telecommunication firms establishing consultancy firms.

Competition will be high as major competitors will improve on their services

5.0 Strategy and Implementation Summary

OASCL management will give priority to speed in piercing through selected markets and implementing practices of calling public attention and relations campaigns. Financial results will be put together and reported weekly so that total and net margins can be reviewed and used as a standard of achievement against the competition. Marketing will be frequently monitored and amended as needed to increase market penetration and profitability. OASCL will be focusing on the following to setup and grow the business:

Three promotional strategies will be adopted namely:

Internet based promotions, local and national FM radio media advertising and Social media networking and referrals methods.

Clients will be offered excellent service by delivering on time as practically possible, offered discount coupled with 100% guarantee

A well suited for competition edge based on developing existing customer relationships

A large scope and detailed marketing and sales plan of action will be instituted to cover in depth a separate marketing plan.

5.1 Sales Strategy

The company sales strategies will be altered depending on the target market but will be straightforward and simple to ensure customer satisfaction. Knowing very well that excellent execution of a client’s project will make him a happy customer as a result providing referrals to new customers.

Sales predictions are based on manufacturing figures for the typical progress of a consulting start-up and give back repeat business created through meeting customer demands.

Sale programs will be based on the belief that business is compelled on customer needs when problem come in being. While some business can be created by trying to sell to customers to improve their systems and software, by and large the majority of the business will be emergency aid.

5.2 Sales Forecast

The sales figures shown below will be including the projections only on hourly rate consulting through-out the first year business operations. The once for the consecutive years will be including the growth of retainer and consultation fees of projects as the business expands.

Sales by Year

6.0 Management Summary

Onwona Associates and Sons Consultancy limited (OASCL) will be functioning with twelve members of staff, including the founder Michael Onwona and his partner Ishmael Asibey as the directors. This would help the company to control its budget and reduce overhead cost of the business with their experience. Below is the structure of the business

6.1Management Strength

Michael Onwona – Is a chartered telecommunications engineer by profession, a member of the institute of engineering and technology with twelve working years of experience as a signalling project engineer with network rail in the United Kingdom. He graduated from London South Bank University with a first-class honour in Electrical and Electronics Engineering. He also has good contacts with the communications industry.

Ishmael Asibey a graduate from London school of economics, worked as a consultant for the Ghana chamber of commerce for twenty years will be working as the deputy to the director.

ADVISOR & CONSULTANCY SERVICES

Onwona Associates and Sons Consultancy Limited (OASCL)

Post office box kw319

Kwadaso – Kumasi

Ghana

00233-20-8150043

00233-243-664186

6.2 Personnel Plan

There two executives and the company is not looking at hiring any new staffs in the short-term, so the staffing remain the same until the third year but when the need be, the company will be out sourcing for workers

Personnel Plan

Year 1

Year 2

Year 3

Company Executive Personnel

M Onwona

8,400

10,000

13000

I Asibey

5,440

6,500

7500

Subtotal

13,840

16500

20,500

Technical and Marketing Personnel

Mc Onwona

7,800

10,000

13,000

E Appiah

7,500

9,500

12,500

J Andoh

6,975

5,000

5,500

G Ngandu

6,375

5,000

5,000

K Asiedu

4,500

5,000

5,500

D Owusu

3,850

4,000

M Sackey

3,000

3,500

3,800

O Davis

2,800

3,200

3,500

P Bridger

2,500

3,200

3,500

D Oneil

2,400

3,000

3,400

Subtotal

47,700

51,400

59,700

Other Personnel

0

0

0

Subtotal

0

0

0

Total People

12

12

12

Total Payroll

61,540

67,900

80,200

7.0 Financial Plan

OASCL will seek an impartiality capital to start corporate operations, secure office, engineering space, appoints staffs and introduce billing and customer service for its core frontline customers. The company quest for start-up money for operating expenses to accelerate market penetration. There will also be the need to invest in hardware and software over the coming years. With that capital investment, the company will become profitable until the company receives an offering of common stock. A seat the on company board of directors has been reserved for a prospective investor (s) or his/her representative. The financial exit strategy for the company will be through the acquisition by a potential competitor.

7.1 Important Assumptions

The information is shown in the table below.

General Assumptions

Year 1 Year 2 Year 3

Plan Month 1 2 3

Current Interest Rate 5.00% 5.00% 10.00%

Long-term Interest Rate 5.00% 10.00% 10.00%

Tax Rate 25.00% 25.00% 25.00%

Others 0 0 0

7.2 Key Financial Indicators

The information is shown in the chart below

7.3 Break Even Analysis

The table below will be showing a summary of the break even analysis of Onwona Associates and Sons Consultancy Limited. The fixed costs of the firm are minimal, consisting generally of utilities and rent for the office. The variable costs are assumed to be 12% of sales, a typical figure supported by points of supply within the consulting field.

Break-even Analysis

Monthly Units Break-even 12

Monthly Revenue Break-even GHC 1000

Assumptions:

Average Per-Unit Revenue GHC 55.00

Average Per-Unit variable Cost GHC 5.00

Estimated Monthly Fixed Cost GHC 750.00