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Kariton Technologies

E-Preventing and Rehabilitating Urban Environmental Destruction: An Integrated Approach

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    Gerard in Darjeeling, India (extreme right) with the other delegates for the International Speech and Leadership Festival

In 1990, a convention theme was created out of the need to inculcate awareness for Mother Earth - "Our Environment and Our Future: Our Concern". Organized by the Children's Museum and Library Incorporated, the gathering convened the youth from all over the nation. There were about 1,000 student delegates from more than 100 participating schools. Now, seventeen years hence, as the future becomes the present, the same slogan still holds true yet unheard of by many of today's youth. That is why Kariton Technologies is conceived to catch the new generation's attention not to ignore the growing pains of Mother Nature. "Kariton", a Filipino word meaning "push cart", is a traditional means whereby recyclable goods are temporarily stored and sold to junkshop owners. Inspired by this old-fashioned method, the author conceptualized the Philippine's first e-prevention and rehabilitation system for the urban environment. It will seek solutions to deeply-entrenched crises such as air, water and land-based pollution, global warming, floods in the metropolis and other challenges in urbanization. Since hunger and poverty are at the heart of these environmental concerns, Kariton Technologies will cut through the crux of the matter: meeting the basic needs of poor Filipinos. Revenue streams will flow from the sources of wastes to the delivery of end-products through the Kariton Online website. The firm will earn profits from homeowners' associations, commercial establishments, industrial companies, small and large-scale junkshops and even from individuals and businesses beyond the Philippine shores.

Facts

Year of establishment

2008

Sales (US$)
Two years ago:
Last year:
This year (forecast): 60,000
Year 2 (forecast): 100,000
Year 3 (forecast): 180,000
Net profit after tax (US$)
Two years ago:
Last year:
This year (forecast): 20,000
Year 2 (forecast): 40,000
Year 3 (forecast): 100,000
Total number of Employees
Two years ago:
Last year:
This year (forecast): 60
Year 2 (forecast): 120
Year 3 (forecast): 180

How do you expect this to be financed?

Own Contribution in cash 2,000
Loans (debt) 20,000
Shares in your company that you offer to investors (equity)
Other sources 3,000
Total finance needed (US$) 25,000

The Business

What is your product/service?

Kariton Technologies (KT) will be in the business of providing a prevention and rehabilitation system for urban environmental destruction. KT will focus on four key issues: (1) litter prevention, (2) the waste hierarchy: waste reduction, reuse and recycling, (3) community beautification; and (4) global partnerships for promotion of urban environmentalism. These will be accomplished through an integrated approach that will utilize information technology, foster urban poor empowerment and instill public education on environmental concerns.

Waste channel begins from the sources of wastes: agricultural, industrial, commercial, hospital and household environments. In urban areas, collection of solid waste can be difficult and complex because generation of waste is diffused in every home, apartment, building, commercial and industrial facility and even in vacant areas. Collection includes not only gathering or picking up of solid wastes from various sources, but also the hauling of wastes to the location where collection vehicles are emptied. Not to mention the establishment of a landfill wherein solid wastes are properly buried on land. Thus, a comprehensive waste management system is not only an expensive but likewise an intricate method of eradicating our wastes of all types. However, now that the country’s state of environment has become alarming, the government has no recourse but to employ waste management systems which are effective no matter how prohibitive they may be. One such waste management system may cost an LGU (Local Government Unit) an estimated amount of US $1,000,000 which includes all the equipment and services necessary to implement the project.

Nevertheless, there is an alternative and more favorable solution to environmental problems - prevention. Although prevention is part and parcel of waste management system, this solution does not begin with external realities but rather with internal domains. This solution begins in our minds. Therefore, preventing urban environmental destruction must start with educating the public on the means to properly eradicate wastes. Educational workshops must be held to galvanize the urban youth on the values of community cleanliness, greening and overall beautification.

Kariton Technologies' answer to this is the mobilization of youth trainers who shall educate the new generation on litter prevention, waste segregation, tree plantation, vandalism avoidance and other measures to prevent environmental decay. This will be the first of the manifold services of KT. The expected turnout of attendees shall be 3,000 urban youth. An initial capital of US $10,000 will start up the operations of the business which shall commence in Lucena City, where garbage collections are still being improved and where waste generation is still in manageable levels. The fund will be used for the venues of the annual education workshops and salary payments for a full-time team of trainers and consultants who will spread the “gospel of cleanliness”.

The second service is to have litter pickers, who will be called “Young Preventors of Environmental Destruction" (YEILD), initiate cleanups in the city by collecting litters and debris, by sweeping roads, streets and highways and cleaning and removing illegal dumpsites and junk cars. They will consist of youth volunteers and employees who were trained in the environmental values formation workshops. An initial team of 50 Young Preventors shall implement these cleanups.

The third service of Kariton Technologies is to sell the wastes to large and small-scale junkshops in the metropolis. These wastes include aluminum and steel, newspapers, tires, automotive batteries, electronics or e-wastes, PET (plastic) bottles and other wastes which may be recycled. This service adheres to the “waste hierarchy” principle of waste reduction, reuse and recycling. Other wastes may be sent to the Materials Recovery Facility (MRF) via the garbage compactors of the Local Government Unit. After which, the smelting plants will receive a portion of these wastes necessary for manufacturing steel and plastics.

The fourth and culminating service of Kariton Technologies is the establishment of an online network of end-users and buyers of wastes and their finished products. To accomplish this, a well-designed and user-friendly website must be created on cyberspace to attract visitors from around the globe. Dubbed “Kariton Online” (KO), this will the Philippine’s first e-junkshop and e-prevention and rehabilitation system for the environment. A business network of buyers and sellers of recycled products will undoubtedly spark awareness on sustainable environmental preservation programs especially in developing countries. First World nations may purchase recycled finished goods on this site. For instance, a westerner may be looking for a bag made out of rags, furniture or an interesting table piece sculpted from old wood or molded from recycled steel. Purchases may be industrial in nature such as a manufacturing firm which needs large-scale recycled materials uniquely found in the Philippines to be used as raw materials. They may source these recycled products from Kariton Online. In a nutshell, there is a wide gamut of opportunities for growth in this system if there is an online collaboration among environmentally concerned individuals and firms.

Revenue streams from this business will flow from almost every waste channel: from the sources of wastes (household, commercial and industrial environments) to the delivery of end-products through the Kariton Online website. The company will earn revenues from homeowners’ associations, commercial establishments, industrial firms and medical centers which will avail of KT’s environmental cleanups. Earnings will likewise be derived from the sale of recyclable materials from small and large-scale junkshops. Finally, future profits will also come from the online business. An exchange of products and services from among various users either business-to-business (B2B) or business-to-customers (B2C) will pave the way for a wider window of opportunities for Kariton Online. Once web traffic is sufficient, KO can derive earnings from online advertisements. Since KO will target the global market, revenues from banner, floating or interstitial advertisements will be reinvested in the business to create further traffic from its global visitors. Thus, this will enhance the profitability prospects of the firm.

Explain how you will sell your product/service (marketing strategy) and how you will reach your customers (distribution strategy)?

Market penetration of KT’s services will be executed through word-of-mouth, brochure and poster distribution, deployment of business development representatives, print advertisements, press releases, online subscription campaigns and web advertisements. These marketing strategies will be synergized together to bring about a cohesive strategic plan for the company.

Philippine media is expected to cover the educational environmental workshops in Lucena City. The attendees of these conventions who have gained knowledge on the pitfalls of environmental destruction and how to prevent them will surely cascade KT’s services through word-of-mouth. Thus, the public will then be aware that such a company as Kariton Technologies exists for their benefit. Household and institutional markets for the firm’s clean-up services will be penetrated through KT’s business development representatives who will negotiate and secure the service agreement with them. Initially, 10 representatives will be hired to execute this strategy. Brochure and poster distribution will also be done to “pull” market demand from large and small-scale junkshops. Print advertisements and press releases are anticipated to create further public awareness and hence, boost the possibility of market expansion. Lastly, online subscription fees and web advertisements will compound the revenue streams not only from the local internet users but also beyond the Philippine shores.

Kariton Technologies is the cure to a systemic urban environmental disease. The organization involves a business system with an altruistic mission. If a business entity exists mainly for selfless ends, competition becomes a secondary issue. Publics and markets respond positively to companies with humanitarian goals. Kariton Technologies will pioneer in this endeavor and will, therefore, have no rivals. The only competitor which may be present in this business opportunity is the government itself. By means of its political will and sound judgment, the unabated problems on the environment will be effectively managed. After all, it is the one largely responsible for the society’s welfare. The local government of Lucena City, however, will be even more in a position of strength when a business establishment helps in the eradication of wastes in the metropolis. Thus, this competitor may be considered an ally. For this reason, the proponents of Kariton Technologies has already sought the assistance of Lucena City’s government officials through the Office of the City General Services to come up with a comprehensive waste management program that will meet the needs of their constituents. This will bring about a solid cooperation between the two parties thereby achieving a strong coalition of forces against societal degeneration.

What makes your business different/better than your competitors (competitive advantage)?

Kariton Technologies will the Philippine's first e-junkshop and e-prevention and rehabilitation system for urban environmental destruction.

The Entrepreneur & Management

Describe the entrepreneur & management

I was responsible for conceptualizing the framework for the solid waste management system of the City of Lucena in Quezon Province through my brainchild, Systemax Technologies. I have been a business writer and consultant to various firms and individuals. At Systemax, I handled the training and development programs for its human resources and in the development of its information drive. Prior to this, I was the Philippine delegate in India for the International Speech and Leadership Festival, thus, giving me a multi-cultural background in global communications, training and people management. Also, I spearheaded the social event administration of the company’s information drive through social idea marketing. Even during my teenage years, I was deeply involved in environmental and social development workshops such as the CMLI’s (Children’s Museum and Library Incorporated) national conventions held in Baguio City. I hold a Marketing Management degree from the De La Salle University-College of St. Benilde.

Development

How does your business improve the local living standards (social and environmental)?

The following are the development impacts of Kariton Technologies:

1. Urban poor and youth empowerment

The organization is purposely designed to develop leadership among the urban youth. Each business channel, from prevention to rehabilitation of the environment, is an opportunity to inculcate among the young generation the values of discipline, hard work, love for the environment, concern for their fellowmen and mature sense of responsibility. From these urban poor will spring forth a heightened awareness on environmental concerns, leading the whole archipelago towards a cleaner, healthier and safer nation not only for the present generation but for the future children to come. The annual conventions, litter prevention programs and online business of Kariton technologies will serve as a springboard in actualizing the ideals of the youth and the urban poor. Through these purpose-driven activities, the young will spur a dynamic involvement among Filipinos in working out possible solutions to national ills.

2. Hunger and Poverty Alleviation

Kariton Technologies will provide jobs to hundreds of out-of-school youth and slum dwellers. Initially, it will hire 60 employees including the business development representatives. By the fifth year, its human capital will increase to 400 employees. For every Young Preventor hired, one family is snatched from the clutches of poverty. This will liberate the impoverished from the vicious cycle of poverty thereby achieving significant improvement in their lives.

Needs
Advice - IT, telecom