Description of a Project Study

7/31/2019 Description of a Project Study

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Introduction toProject Study

ManagementAspect

MarketingAspect

ProductionAspect

FinancingAspect

PROJECT STUDY


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Objectively and Rationally uncover the strength and

weaknesses of an existing business or proposedventure, opportunities and threats as presented by theenvironment, the resources required to carry through,and ultimately the prospects for success.

Introduction to Project

Study

To produce and sell products or services for profit at anattractive rate of return to the investors.

A project study is prepared to ascertain if the project,as initially designed, will have a good chance of makingprofit if implementedCost required and value to be attained

A project study is more of a scientific foresight, a wayof reducing guessing as to what things should beconsidered


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Management

Production

Marketing

Financing

-Demand-Supply-Prices-MarketingProgram-Projected salesquantity

-Duties &

responsibilities

- Flow of authority

- Man power level of

requirement

--Project timetable

Production

-Financing

Hindsight is 20-20. Smart Business people dont rely onhindsight but on foresight

Project Study

KeyElements in

ProjectStudy


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Sample outline for a NewManufacturing Project

(Mgt)1. Management during the pre-operating period

a. Project originatorsb. Project promoters; managers

c. Firms or persons involved or to be involved inmarketing, engineering and other studiesd. Management during construction period

2. Management during the operating period

a. Type of business organization (partnership, corporation)and reason for the choice

b. Internal organization1) Statement of functions of each unit2) Organization chart


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ple outline for a New

anufacturing Projectc. Owners - citizenship of owners, and percentage of their

respective holdingsd. Management personnel (from the members of the board of

directors to the department or section managers)

1) Duties and time to be devoted to project2) Requirements3) Recruitment4) Compensation5) Staffing - qualifications, education, history


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ple outline for a New

anufacturing Projecte. Labor1) Skills required2) Number required for each skill3) Sources of labor force for each type of skill4) Recruitment program

5) Labor training program6) Compensation

a) prevailing ratesb) Legal ratesc) Rates intended for the project - starting rates and

provisions for annual increases

7) Facilities for laborers (housing, transportations, medicaland dental care, recreation and other fringe benefits)

8) Effect of labor laws on the above itemsf. General managers if any - arrangements and feesg. Professional firms to be hired - law, accounting, engineering,

etc.


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Sample Gantt ChartType of bar chart,

developed by HenryGantt, that illustratesa project schedule.

Gantt chartsillustrate the start

and finish dates ofthe terminalelements andsummary elements ofa project.

Terminal elements and summary elements - the workbreakdown structure of the project, dependency(i.e. precedencenetwork) relationships between activities, show current schedule

status using percent-complete shadings and a vertical "TODAY" line asshown here.


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Sample PERT/CPM

CPM (Critical Path Method) and PERT (ProgrammeEvaluation Review Technique) are project managementtechniques, which have been created out of the need of

Western industrial and military establishments to plan,schedule and control complex projects.


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(Marketing)1. Demanda. Consumption for the past years. (The past period to be

covered should be adequate enough to show some trends and toserve as the basis for the projected demand.) The consumptionfigures maybe broken down into:

1) Regional markets2) Types of consumers (households, restaurants, etc.)3) Types of market (as for increase in units, or for the

replacement or scrappage market, in the case of motor vehicles)4) Major firm-users (for industrial projects)


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b. Projected consumption for the next five years. Some financialinstitutions may require that the projections be up to the time oflast amortization on the loan applied for.

1) Quantity, broken down into:a) Regional markets

b) Types of consumersc) Types of marketsd) Major firm-users

2) Method used and factors considered in preparing theabove projections

3) Comparison of the projections with that of:

a) Government officesb) Trade associationsc) International organizations, as the U.N.d) Other private parties, as management consulting

firms


(Marketing)


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Documents

Description of a Project Study