T E C H NO L O G Y M A N A G E M E NT A ND I N N O V A T I O N

SMARTSHIRT
A wearable embedded system for the elderly

Verismart Sdn Bhd (an imaginary company)

Prepared for a class assignment

Table of Contents 1. Executive Summary 1.1Industry Background 2. Introduction 2.1 Company structure 2.2 Mission 2.3 Key to success 2.4 Proposed product 3. The Proposal 3.1 Objective 3.2 The industry 3.3 Competition 3.4 Market Share 4. Project Description 4.1 The product 4.2 Technology 4.3 Quality 4.4 Product function 4.5 Short term benefit 4.6 Long term benefit 5. Market Segmentation Impact on patient 5.1 Target Market 5.2 Target customer 5.3 Marketing Strategy 6. Justification 6.1 Strategic reason 6.2 Opportunity 7. Resources Required 7.1 Human Resource Requirement 7.2 Organizational structure 7.3 Capital Requirement 7.4 Technological Requirement 7.5 Operational Requirement 8. Risk Management 8.1 Cost benefit Assessment 8.2 Opportunity Cost 8.3 Competitors Assessment 8.4 Regulatory 8.5 Goal Setting and Monitoring

9. Financial Summary 9.1 Plan 9.2 Capital Requirement 9.3 Sales Target 9.4 Revenue Target 9.5 Profit and Loss 9.6 Cash Flow 9.7 Balance Sheet

10. Time Plan

11. Conclusion

12. Reference Index & Bibliography

1. EXECUTIVE SUMMARY Summary of the proposal Statement of recommendation Conclusion

This document is a proposal for the wearable embedded nano technology Smartshirt. The proposal includes an executive summary, proposal objective, project description, market segmentation, justification, resource required, risk management, financial summary and reference.

This proposal is for an accessible home Smartshirt for physiological and motion sensor. This device monitors vital signs such as heart rate, respiration, and body temperature and oxygen saturation. Smartshirt could assist in achieving cost-effective strategies to enhance the quality of life for older people and for their caregivers. Effective primary care management of elderly health issues, with its goal of caring for healthy and functional elderly patients, may perhaps be better described as comprehensive Smartshirt care. However, human skills still needed to help health care institutions and other providers of services to best meet the growing needs of this segment of our population.

1.1 BACKGROUND

Over the past century, the expected human life span has increased by about 30 years. The developed countries, and now the developing countries, are continuously seeing growth in their aging populations. Due to better nutrition, health care, and living conditions, this expanded longevity may be counted as one of humankind's greatest successes.

The percentage of older persons among the Malaysian population has increased lately. It is estimated that the number of people who are aged 65 and over will rise to 2.7 million by the year 2025. It is also estimated that the number of people over the age of 75 will reach 833,000 by the same year.

(www.jicwels.or.jp/about_jicwels/ASEAN&JapanHighLevelOfficialsMeeting/5th%20Mtg.../Malaysia%20Welfare.pdf)

With this increase in the ageing population comes increased demand for healthcare services; from medicine and surgery to orthopedics, physiotherapy, psychology, gynecology etc. etc. Can Nanotechnology help?

Nanotechnology in health care is a growing and changing industry. The initiation of telemedicine and advanced communication technology has allowed patient monitoring to move from the hospital to the home. By monitoring patients status remotely, health care facilities can free up hospital beds and doctors time for more critical patients. An integral part of remotely monitoring a patients condition is the home vital signs monitor.

Smartshirt is a nanotechnology that will monitor patient with heart problem and alert the doctor when necessary. A palpitation when climbing the stairs, pain in the chest after physical exertion will scared patient to move round for their normal life. Such additional information makes it easier for the doctor to interpret and respond to irregularities and changes in the patients cardiovascular readings. The patient is also advised and monitored on health issues. Reliable technology for monitoring patients is needed. Monitoring patients vital signs is an important part of home care. We hope to improve our clients quality of life while closely monitoring their health. Smart fabric technology is a recent development that has potential to impact our future lives. Elderly patients are at higher risk of falling for a number of reasons, including postural hypotension, balance or gait impairment and use of sedative medications. Using Smartshirt, which is an organized approach to the varied aspects of elderly health, primary healthcare provider can improve the service that they provide for their older patients.

2. INTRODUCTION 2.1 Company structure 2.2 Mission 2.3 Key to success 2.4 Proposed product

3. PROPOSAL

3.1 Proposal Objective The purpose of this proposal is to assist the elderly population to improve their quality of life. Who should use this system? y The elderly and the disabled, at home; ease the burden on caregivers and gives the wearers a freedom long forgotten. y The elderly at Senior citizens homes. (Such homes can be built at more remote, more conducive environments). y Hospitals and clinics; to monitor their patients.

The aim of Smartshirt is to help elderly people can remain in their preferred surroundings, thus improving their quality of life, increasing their confidence, their well-being and their safety and avoidance of their unnecessary transfer to healthcare centers.The overall physical, emotional and financial costs of care giving are collectively referred to as 'caregiver burden'. (http://www.vac-acc.gc.ca/content/pro_research/bayer_award/paper.pdf) This device will help to ease the burden of the caregiver. Taking care of an elderly people could be very stressful and difficult thing for family members. It is important that the family members in the care and monitoring of their elderly should increased the information available to them and gain their confidence, well-being and quality of life. Both elderly care professionals and elderly caregiver have difficulties in managing the elderly in order to have a better life and a better quality of life. By using this device, it helps the family and caregivers to reduce this burden. It is important to ensure our elderly has life satisfaction by having a good quality of life. Smartshirt could improve this whereby the elderly could be monitored at home and they could continue their life activity as normal as they could. Life satisfaction in older people with reduced self-care capacity is determined by several factors, with social, physical, mental and financial aspects probably interacting with each other; especially feeling lonely, degree

of self-care capacity, poor overall health, feeling worried and poor financial resources in relation to needs. These factors need to be considered in the care of these people to preserve or improve their life and the device could help to overcome this problem. The annual incidence of falls in patients over 65 years of age who live independently is approximately 25 percent but rises to 50 percent in patients over 80 years of age. (Tinetti MD 1990) Falls are responsible for a significant number of accidental deaths and traumatic injuries among the elderly. One third of patients with confirmed falls may not recall falling. (Cummings SR, Nevitt MC and Kidd S, 1998) Based on the mentioned report, the fear of fall has been affecting the elderly and the caregivers as well. Due to this reason, the elderly tend to restrict their mobility and of course the caregiver has to supervise them all the time. How could the elderly live independently? Well, Smartshirt could help by monitoring them and this will gain the caregiver and the elderly confidence to feel free to move around. However the rehabilitation program is important to prevent fall for the elderly. The demand on the healthcare system by geriatric patients is different from the rest of the population. Currently there is a global shortage of health worker and it never been resolved due to many reasons. Shortage of health worker in Malaysia and elsewhere has been a repetitive phenomenon, usually due to an increasing demand. The increasing shortage of health professionals may affect provision and quality of health care services to the geriatric population. By using the device, hopefully this issue could be minimised by reducing the time taken for the vital sign monitoring as what the Smartshirt could provide. The expected outcome from using this gadget in any of the locations would be to improve geriatric healthcare in Malaysia, to increase the number of elderly patients frequenting the hospitals and clinics for consultation, freedom for the elderly and ease of mind for the carers As technology improves, the Smartshirt has the ability to produce devices that will reduce the costs of running a hospital, through savings in labour cost and hospital bed hours, particularly in ICU and critical care; improve accuracy of treatment; enable more patients to be treated at home through telemedicine. In general, the Smartshirt compliment the elderly or geriatric management. Smartshirt is something that our clients need at the moment in managing the elderly people.

Outcome impact on the market Nanotechnology has the potential to change people, business and affect economics in the future. New business models, design tools and manufacturing strategies may at lower price and highly efficient. How nanotechnology may change our choices, affect our lifestyles and influence our communities? The issues that remain are to consider when and what actions might be taken. How might we prepare as a society for these changes? We could start with Smartshirt that will change the way we manage our elderly. This device definitely will drive economic wealth or at the least be an enabling factor in productivity and global competitiveness. Based on a survey done by Dr James, people level of awareness and readiness in nanotechnology is low. Less than 2% indicated that they thought they knew what nanotechnology was. An additional 2% had heard of nanotechnology but could not explain what it meant. Of those surveyed, 80% agreed when nanotechnology was explained in basic terminology that this was an important technology that had the potential to affect them and their business; 45 expressed an interest in learning more about nanotechnology. (http://www.globalfuturist.com/dr-james-canton/insights-and-future-forecasts/stratigicimpact-of-nanotechnology-on-business-and-economics.htmln) Do people in Malaysia aware and ready to the changes that not so far ahead? Important issues regarding research and development in fabric nanotechnology are present today. There are real issues that happening today as we plan for the impact on tomorrow business and society. Malaysians are always open with new technology and that is not a bigger challenge to introduce this Smartshirt to our population in this millennium.

4. Project Description What is it The SmartShirt System is a unisex wearable wireless T-shirt designed to collect physiological signals and movement from the human body. The System collects analog signals through conductive fiber sensors and passes them through a conductive fiber grid knitted in the T-

Shirt. A textile connector passes the analog signals to a small personal controller held in a pocket on the shirt. The personal controller digitizes the signal and transmits the signal to a Bluetooth or Zigbee receiver connected to a base station where the information is collected, displayed and/or stored.

http://www.bme.uconn.edu/sendes/Spring07/Team3/Proposal.pdf.

Smartshirt is a wearable system, directed mainly at the elderly, and others who may be medically incapacitated to any extent (e.g. Cerebral palsy, Parkinson disease, Recurrent Cardiac Arrhythmia). It can detect three main parameters: falls, cardiac rhythm changes, and respiratory movement changes on the human body. With such a wearable system, the system itself will be able to communicate to an observer at a relatively remote location, for example, a fall secondary to a stroke or seizure, a cardiac arrest secondary to an arrhythmia, or apnoea secondary to the above two. Again, such a system will allow freedom of movement and autonomy to the individual while any dangerous situation is being monitored by those able to respond in a rapid manner.

With a monitoring system you will be able to keep a tab on the whereabouts of your loved ones, and their status, at least where the above parameters are concerned. The system is designed to communicate such data as may be gathered via telecommunication, 24/7, either to a control centre or to a mobile phone. There may also be a voice or video communication added on. An onboard GPS device can pinpoint the persons location so that the emergency services, for example, can get to him/her rapidly. There is also existing technology with which doctors can install subcutaneous defibrillators which can be activated by an operator at a remote location, with access to a persons cardiac monitoring data, and this can be an addon feature to the system. The use of the system can be enhanced in future by collaborating with telemedicine facilities.

It can detect three main parameters: falls, cardiac rhythm changes, and respiratory movement changes on the human body. With such a wearable system, the system itself will be able to communicate to an observer at a relatively remote location, for example, a fall secondary to a stroke or seizure, a cardiac arrest secondary to an arrhythmia, or apnoea secondary to the

above two. Again, such a system will allow freedom of movement and autonomy to the individual while any dangerous situation is being monitored by those able to respond in a rapid manner.

The smartshirt is a blood pressure and heart rate monitoring method and apparatus. This system uses a microprocessor-based circuit to record blood pressure and heart rate. It also uses a new method to measure blood pressure without unnecessary constriction of the patients limb. a high functional density cardiac monitoring system for ECG data. It is a very small device that is lightweight and worn on the body. This device is a way for a health care professional to monitor a patient in their home from a remote location. This is done through normal telephone lines and uses two main databases for storing and sending information. This shirt detector is not only a physiological signal detector but also a well-designed accessory, and it is very easy his skin thus the electrocardiographic signal and body temperature information can be got and then transmitted to far-end receiver for further analysis through a wireless transceiver in the shirt. This physiological signal detector is very useful for long-term care use. The key components of the smartshirt were developed with comfortable, easy-to-wear sensors that constantly measure all the necessary data and transmit them by radio to a PDA, the assistant has the necessary software to collect and analyze the flood of information and send it via Internet or mobile network to a telemedical support centre, where trained staff can assess how critical the situation is, advise patients over the phone, and call a doctor if necessary. The project has developed a shared data system for home healthcare and primary healthcare, where home-care personnel, primary healthcare, relatives and the patient can access and update patient information. Healthcare professionals can document information on site in the patients home. The risk of making mistakes decreases and home-care staff saves time otherwise required for contacting primary healthcare personnel.

What is does for short term Health care providers are working hard to improve health care quality. The focus on improving the quality of medical care has taken through many initiatives. People want to be able to access services easily and when they need them and to receive a high standard of service regardless of where they live. They also want to receive care and treatment from professionals, and in an environment, that respects and promotes their independence, safety, dignity, privacy and rights.(http://archive.nics.gov.uk/hss/140301a-hss.htm) Smartshirt could be one of these initiatives to improve quality of healthcare. What it does for long term How is the future of nanotechnology in medicine? What nanotechnology will mean for human life is beyond our predicting, but a good way to understand what it could mean is to bring together different aspects of the world such as technologies, environments, human concerns. Technology it is a product of industry as we know it takes things from nature. Our common assumption is advanced medicine will always be more expensive and even highly advanced medicine won't be able to keep people healthy. Smartshirt is the right tool from the nanotechnology as one of the resources for future medicine technology. Education of caregiver and healthcare professionals concerning geriatric or elderly is important for our future. The caretakers of elderly or geriatric patients should be encouraged to participate in and understand the observation process and the test significance in health management. This device efficiently monitors accurate what the caregiver and primary healthcare needs thus improve in quality of care through appropriate observation. Response to the personnel shortage

The current personnel shortage is projected as both acute and long-term, thereby requiring significant creative and strategic initiatives. The shortage is exacerbated by the requirements of the growing geriatric population.

Where is it going and technology is dynamic for future what will happen? In order to achieve these aims, the Smartshirt device will provide the necessary software and hardware systems in the Care Centre, in the home of the elderly person and that of his/her relatives, allowing the management of the elderly person .

5. MARKET SEGMENTATION
Market Segmentation Impact on patient Target Market Target customer Marketing Strategy

This smartshirt with all its gadgetry is an easily wearable system that can be worn easily, obviously, and will be usable in a wide variety of situations, meaning, by many different people, in many different situations, for many different reasons. Its advantages are that it is easily wearable; it is light-weight; washable; relatively inexpensive; easily concealed; and it can be monitored remotely with minimal staff. With all these advantages anyone who even thinks MONITORING, will think SMARTSHIRT. And that opens up a whole long list of potential users. So much so that the original intention of the invention is probably lost in obscurity. The first group of users, that we wish to promote the smartshirt to, will be the ELDERLY. The elderly, (many of them anyway) have the disadvantages of, besides age:

Poor memory. If you leave them in a spot they may not know how to come back home. There have been numerous instances of old folks being lost in the city. This causes lots of stress not only to the lost individual, but also to their partners, children, caretakers, the police, social welfare, hospitals and the government as a whole thats everybody.

Body imbalance. From general weakness, strokes, low blood sugar, lack of sleep, improper footwear, poor vision, postural hypotension, lack of flexibility, vertigo or even from sedative medication. These problems, in the presence of osteoporosis, lead to one of the most dreaded dangers among the elderly, falls. Referring to available statistics there are many important facts that we need to pay attention to:

<http://www.ext.colostate.edu/Pubs/consumer/10242.html>
y y y y y y

The risk of falling increases with age. Falls are reported by one-third of all people 65 and older. Two-thirds of those who fall will fall again within six months. Falls are the leading cause of death from injury among people 65 or over. The elderly account for seventy-five percent of deaths from falls. More than half of all fatal falls involve people 75 or over, but only 4 percent of the total population.

Among people 65 to 69, one out of every 200 falls results in a hip fracture, and among those 85 or over, one fall in 10 results in a hip fracture.

y y y

One-fourth of those who fracture a hip die within six months of the injury. Twenty-five percent of those who fracture a hip require life-long nursing care. About 50 percent of the elderly who sustain a fall-related injury will be discharged to a nursing home rather than return home.

Most falls do not result in serious injury. However, there is often a psychological impact. Approximately 25 percent of community-dwelling people 75 or over unnecessarily restrict their activities because of fear of falling.

The majority of the lifetime cost of injury for people 65 or over can be attributed to falls.

All these saddening statistics, can be greatly reduced if there is a way to continuously monitor the elderly as they move around, well, anywhere, 24/7. The elderly can move around freely with the comfort and confidence that they are being closely watched over, which is not at all a bad thing at that age. It will give a peace of mind to everyone, from their spouses to the government level. It probably will not prevent an injury when it is going to happen but at least we will know if they are in an unsafe area, and we will know of the injury as it happens, for prompt medical attention.

Multiple medical problems. The elderly population is the cause of whole big and growing branch of medicine Geriatrics. This comes from the multiple illnesses that they can have, more chronic, and often more serious, than in the younger population. Examples of illnesses that lend themselves to monitoring include: heart diseases such as arrhythmias, failure, infarction (monitoring of heart rate and rhythm); kidney failure and lung pathology (monitoring of breathing and oxygen saturation); strokes (monitoring falls by motion detection).

The second group of users will be normal working adults. Not for themselves certainly, but to monitor their loved ones, the elderly parents or grand-parents at the home environment or wherever they may be, for the problems that the elderly may have, as stated above. In this day and age, and especially in this time of great economic catastrophe (referring to all the business times around the world), all able adults have to work, if not as an occupation, then in and around the homes, as only the busy housewives can describe it. There have been many instances of adults having to stay home to look after their elders, taking days off to do the same, homemakers going into depression and committing suicide due to the stresses of having to look after the elderly and infirm. <http://sunzi1.lib.hku.hk/hkjo/view/38/3800018.pdf.> The kind of monitoring that the smartshirt will allow, that is, remote monitoring for the variety of physiological parameters and motion detection, along with a location system will definitely give a sense of comfort to this group of young, hardworking and caring people, who can then go about their work and add to the family income at the same time, monetary or otherwise.

The next big group of users are expected to be Nursing Homes and Old Folks Homes. These homes are currently, in Malaysia, situated in the suburbs. The nursing homes are mostly to take care of old folks with chronic illnesses, such as terminal cancer, and for bed-ridden patients from stroke, or simply from old age. They are situated in the suburbs for the

relatively tranquil surroundings and for the close proximity to large healthcare facilities both for attending to emergencies as well as for physician follow-up. These homes sometimes have problems of shortage of staff, to attend to their residents throughout the 24 hours. Again problems of the elderly like falls, arrhythmias, and difficulty in breathing crop up. These are the very areas covered by the smartshirt. The cost of renting or owning a property in the proximity of the city area will be exceptionally high. With the advantages that the smartshirt provides, the monitoring can be left to the machines, freeing the staff to carry on with the actual patient care. Patients can also move about more freely while being continuously monitored for their vital signs and movements. The homes can be located in faraway places, where larger properties can be acquired at lower cost. In such an environment the residents can move about freely in completely tranquil surroundings, and if there are any emergencies they case can be easily located and the emergency response teams can be mobilized. In future, with the wide availability of Telemedicine and Remote Robotic Surgery, such patients can be attended to in a more comprehensive manner, in the remote setting. The initial financial outlay may be high but there will be lots of savings in the future.

Hospitals and clinics, especially the public hospitals, are overloaded with patients for various reasons: comprehensiveness of healthcare and low cost being two of the major ones. Some of the major hospitals like UMMC, HUKM and HKL, are going in a big way into ambulatory medicine. Those on follow up will include cardiac, respiratory and neurology patients, who can have complications of their diseases in between appointments. They can be easily monitored for their vital signs while away from the doctors eyes. If observation is normal the patients can even order their medication from the hospitals pharmacies online. A whole new centre can be opened up just to monitor these patients, and then inform the patients doctors on a regular basis. On the side these monitoring centres can do extra business by offering their services to other patients and medical centres.

These are some of the many segments of our society that can benefit directly from the use of the smartshirt. Other individuals and organizations might in future find use for the smartshirt. Following your kids around the block and keeping track of your staff mobility might be some of the non-medical uses. Also in future, the use of the smartshirt may expand with the addition of self-cleaning and self-repairing textile, designable textile, biological batteries, or maybe the incorporation of sensors to monitor other parameters.

6. JUSTIFICATION From the discussion so far, it can be seen that the smartshirt is going to be very useful to a wide range of the population. The users can be individuals, families, nursing homes and old folks homes, clinics and hospitals. The smartshirt, or anything that works like it, is not available yet in this part of the world. There is a need, but those who need it dont know it. It is available for order from 4720 Montgomery Lane, Ste. 400, Bethesda, MD 20814 | tel: 240-744-7613 | fax: 240-744-7601 email: info@sensatex.co.
The KPJ group of hospitals is always looking for new and innovative technology to upgrade its services, and add to its steady source of profits. The smartshirt is going to be a hot-seller item, if not straight away, in the near future. We can look from the angles of being a reseller, or opt to be a main supplier and service/call centre (or whatever it is going to be called). This can also improve the patient load of the emergency team, and of the hospital as a whole. We will also be the hospital of choice where such monitoring systems are concerned. The hospital group, also wanting to be a global player, as evidenced by the opening of branches in other countries like Indonesia and Bangladesh, can use this service as a selling point to promote the uptake of our services. If we act fast, and be there first. It must be noted that even though the system has been developed by Sensatex, they have not made inroads into all the areas possible, in fact they have hardly moved. We have the advantage of name and wide reach to make it all possible.

7. RESOURCES REQUIRED

8. RISK MANAGEMENT

THE TARGET CUSTOMERS The shift in demographics all over the world has increased the market for home health monitoring systems. In US, it is estimated that by the year 2030, more than 70million Americans will be over the age of 65 and 60percent of them will have some form of cardiovascular disease and need the treatment. Similarly, in Malaysia as the life span of Malaysian increased the elderly population in Malaysia is also increasing. The elderly population of Malaysia is expected to increase from 6.4%to 7% in 2000 to in 2005, subsequently to 12% in the year 2020. There are three target users. The target first users are the healthy elderly who are interested in preventive cares and want to have continuous checks and monitoring of one own health. For the healthy elderly, the watch can give early detection and warning on possible change in health conditions. As the population ages and the number of frail and functionally dependent elderly, the demand for care will ensue. The second target users definitely elderly staying at home with some health problem history ie chronic diseases such as cardiac failure, obesity, diabetic and hypertension, or recently discharge from hospital after a procedure or operation. Just because the patient has been discharged, does not mean the illness goes away. When the readings come in that signal a change in patients condition, the health provider will be alerted instantly. The third target users are the hospital and nursing homes with shortage of staff, as it enables monitoring round the clock of vital signs in real time. It is important to introduce the product first to the doctors and hospitals, as they will become the main referee to patients. The device has great potential to decrease the operational costs burden of the hospitals and care homes in the long run. For the elderly who living alone and choose to be independent, it provide peace of mind for the extended family and caretaker, as it will give notification before it become emergencies.

Smartshirt is simple to use and simple to understand and this will help to reduce unnecessary trip to the GP and hospitals. The elderly will enjoy their independence and can stay at home longer.

THE TARGET MARKET The market potential for patient monitoring system is huge. In the US, it was estimated USD4.3billion in 2005 and expected to grow to USD6.3billion by 2011. The home monitoring care market growth in between 2006 and 2011 is estimated at the rate of 13.8%. This is the fastest growing segment of the healthcare care and delivery. The trend is away from bedside monitors towards hand held and wearable monitors. We are targeting the largest market for the Smartshirt is for home usage monitoring. The second market is hospital. Nurisng homes and other cares facilities are the third largest market. COMPETITOR ASSESSMENTS In US for year 2007 and 2008 more than USD6million was spent on the monitoring devices such as electrocardiogram (ECG), invasive and non-invasive blood pressure, pulse rate, pulse oximetry, body temperature, respiration rate, end-tidal CO2, and other specialized parameters. Products vary from specialized single-parameter instruments to monitors with the ability to measure multiple parameters and interface with other instruments. (5) These devices however are not optimized for data collection and ease of use in home environment. Smartshirt will have the competitive advantage as it allows motion and vital sign monitoring from the distance. It will improve the efficiency of the current healthcare system as patients past records can be obtained instantly. We are expecting competition from other home monitoring devices such as vital sign monitors that coupled with remote monitoring, wearable vital signs and smart watch. However, these products are normally bulky, very expensive and have limited functions. For short term home monitoring, these products would be unattractive since a patient would be required to buy an expensive products.

Smartshirt, on the other hand, offers a wearable shirt which monitors vital parameters and provide wireless connectivity of the patient. Patient is continuously monitored without worries.

9. FINANCIAL SUMMARY

EXPECTED SALES The Smartshirt is expected to be introduced into the market in January 2010. Initially, it will be marketed to the Malaysian consumers, hospitals, general practitioners and care centres. By 2011, the Smartshirt will be marketed to Singapore and 2012 to all other ASEAN countries. The Smartshirt is expected to reach the South East Asia market in December 2009, Asia Pacific region by January 2010. The following is the projected five years Sales and Revenue for Year 2010-2014:SALES 5 Years Projected Sales Growth 20102015 Year Countries
Malaysia Singapore ASEAN Countries TOTAL

2010 Units sold

5,000 5,000

2011

2012

2013

2014

5,500 5,000 10,500

6,500 6,500 10,000 23,000

7,150 7,150 11,000 25,300

8,000 8,000 12,100 28,100

During the first year of introduction, it is estimated that 5,000 Smartshirt will be sold. For the next for years, the sales is expected to grow to 8,000units by year 2014.

REVENUE
5 Years Projected Revenue 2010-2015 Year 2010 Countries Malaysia Singapore ASEAN Countries TOTAL 7,500,000 7,500,000

2011 2012 Revenue (RM) 9,750,000 9,750,000 15,000,000 34,500,000

2013

2014

8,250,000 7,500,000 15,750,000

10,725,000 10,725,000 16,500,000 37,950,000

12,000,000 12,000,000 18,150,000 42,150,000

The Smartshirt will hit the market at RM1,500 each. During the first year, the expected revenue is RM7.5million. The revenue is expected to reach RM42million by end of the fifth year. PROFIT AND LOSS It is projected that by company will breakeven within less than a year and the return on investment will be made within 14 months. The net profit is expected to increase from RM544,000 in Year 2010 to RM6.3million in 2014.

5 YEARS PROJECTED PROFIT AND LOSS ACCOUNT YEAR 2010-2014

Year 2010 2011 2012 2013 2014

Revenue Less: Cost of Sales Material Cost Operating Ovehead Total Cost of Sales

7,500,000

15,750,000

34,500,000

37,950,000

42,150,000

4,500,000 1,500,000 6,000,000

9,450,000 3,150,000 12,600,000

20,700,000 4,725,000 25,425,000

22,770,000 6,142,500 28,912,500

25,290,000 7,985,250 33,275,250

Gross Profit

1,500,000

3,150,000

9,075,000

9,037,500

8,874,750

Less: Manpower Cost Admin Overhead Total Administrative Cost Less: Finance Cost 56,000 56,000 56,000 56,000 56,000 375,000 375,000 750,000 562,500 525,000 1,087,500 731,250 787,500 1,518,750 877,500 1,102,500 1,980,000 1,053,000 1,543,500 2,596,500

Net Profit Gross profit Margin (%) Net profit Margin (%)

694,000 20% 9%

2,006,500 20% 13%

7,500,250 26% 22%

7,001,500 24% 18%

6,222,250 21% 15%

FUND REQUIREMENT The fund required in setting up our company and initial working capital is as the following:1. Initial company set up- RM50,000 2. Market Research and development- RM50,000 3. Capital Expenditure- RM300,000 4. Working Capital- RM500,000 Total fund required is RM900,000. The paid up capital will be RM200,000, whereby the directors contributed RM50,000 each. The fund required from the bank is RM700,000.

10. TIME PLAN IMPLEMENTATION GANTT CHART

11. CONCLUSION

12. REFERENCE INDEX 1. (www.jicwels.or.jp/about_jicwels/ASEAN&JapanHighLevelOfficialsMeeting/5th%20 Mtg...-/Malaysia%20Welfare.pdf) 2. Tinetti MD. Falls. In: Cassel CK, et al., eds. Geriatric medicine. 2d ed. New York: Springer-Verlag, 1990: 528-34. 3. Cummings SR, Nevitt MC, Kidd S. Forgetting falls. The limited accuracy of recall of falls in the elderly. J Am Geriatr Soc 1988;36:613-6. 4. http://www.globalfuturist.com/dr-james-canton/insights-and-futureforecasts/stratigic-impact-of-nanotechnology-on-business-and-economics.html 5. http://archive.nics.gov.uk/hss/140301a-hss.htm 6.