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Introduction to Project Study Management Aspect Marketing Aspect Production Aspect Financing Aspect

Description of a PROJECT STUDY

Introduction to Project Objectively and uncover strength Study of anRationallybusiness theproposed and weaknesses existing or

venture, opportunities and threats as presented by the Click icon to add picture environment, the resources required to carry through, and produce and sell productsfor success. for profit at an ultimately the prospects or services To attractive 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 making profit if implemented Cost required and value to be attained

A project study is more of a scientific foresight, a way of reducing guessing as to what things should be considered

Project Study

Duties & Flow of authority Man power level of -Project timetable


Manageme nt

Productio n



-Demand -Supply -Prices -Marketing Program -Projected sales quantity

Key Elemen ts in Project Study

Marketi ng Financi ng


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

Sample outline for a New Manufacturing Project (Mgt)


Management during the pre-operating period a. Project originators b. Project promoters; managers c. Firms or persons involved or to be involved in marketing, engineering and other studies d. Management during construction period

2. Management during the operating period a. Type of business organization (partnership, corporation) and reason for the choice b. Internal organization 1) Statement of functions of each unit 2) Organization chart

mple outline for a New Manufacturing Project

c. Owners - citizenship of owners, and percentage of their respective holdings d. Management personnel (from the members of the board of directors to the department or section managers) 1) Duties and time to be devoted to project 2) Requirements 3) Recruitment 4) Compensation 5) Staffing - qualifications, education, history

mple outline for a New Manufacturing Project

e. Labor 1) Skills required 2) Number required for each skill 3) Sources of labor force for each type of skill 4) Recruitment program 5) Labor training program 6) Compensation a) prevailing rates b) Legal rates c) Rates intended for the project - starting rates and provisions for annual increases 7) Facilities for laborers (housing, transportations, medical and dental care, recreation and other fringe benefits) 8) Effect of labor laws on the above items f. General managers if any - arrangements and fees g. Professional firms to be hired - law, accounting, engineering, etc.

Sample Gantt Chart

Type ofbar chart, developed byHenry Gantt, that illustrates aproject schedule.

Gantt charts illustrate the start and finish dates of the terminal elements and summary elements of aproject.

Terminal elements and summary elements - thework breakdown structure of the project, dependency(i.e. precedence network) relationships between activities, show current schedule status using percent-complete shadings and a vertical "TODAY" line as shown here.


CPM (Critical Path Method) and PERT (Programme Evaluation Review Technique) are project management techniques, which have been created out of the need of Western industrial and military establishments to plan, schedule and control complex projects.

Sample outline for a New Manufacturing Project (Marketing) 1. Demand

a. Consumption for the past years. (The past period to be covered should be adequate enough to show some trends and to serve as the basis for the projected demand.) The consumption figures maybe broken down into: 1) Regional markets 2) 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)

Sample outline for a New Manufacturing Project (Marketing) b. Projected consumption for the next five years. Some financial

institutions may require that the projections be up to the time of last amortization on the loan applied for. 1) Quantity, broken down into: a) Regional markets b) Types of consumers c) Types of markets d) Major firm-users 2) Method used and factors considered in preparing the above projections 3) Comparison of the projections with that of: a) Government offices b) Trade associations c) International organizations, as the U.N. d) Other private parties, as management consulting firms

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