Module - III Project Planning Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 1

PROJECT PLANNING Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 2

meaning Business Planning refers to deciding in advance in respect of business activities. What is our present position What should be our future position What should be done to reach our future position Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 3

STEPS 1. Analysis of Internal Environment - quality of manpower, machines, labour- management relations, working conditions, etc. 2. Analysis of External Environment – government policies, competitor’s strategies, customer preferences. Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 4

3. Set Corporate objectives – SMART, short term medium term, long term. Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 5

4. Formulate strategies - Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 6

5.Analysis of plans – cost benefit analysis 6.Selection of best strategy 7.Implementation – 8.Review Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 7

What is a Feasibility Study? A feasibility study is an analysis of the viability of an idea through a disciplined and documented process of thinking through the idea from its logical beginning to its logical end. A feasibility study provides an Investigating function that helps answer “Should we proceed with the proposed project idea? Is it a viable business venture?” A feasibility study should be conducted to determine the viability of an idea BEFORE proceeding with the development of a business. Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 8

Why do a Feasibility Study? Provide a thorough examination of all issues and assessment of probability of business success Give focus to the project and outline alternatives Narrow business alternatives Surface new opportunities through the investigative process Identify reasons NOT to proceed Enhance the probability of success by addressing and mitigating factors early on that could affect the project Provide quality information for decision making Help to increase investment in the company Provide documentation that the business venture was thoroughly investigated Help in securing funding from lending institutions and other monetary sources Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 9

Areas /Types of feasibility Technical Feasibility -Marketing FeasibilityFinancial FeasibilityManagerial Feasibility Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 10

Project Report A project report is a written document containing complete information about the proposed project. It is useful for obtaining loans and advances from banks and financial institutions It gives a clear picture about the project and acts like a reference guide during the execution of the project. Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 11

Project Report Contd…. The various aspects of the project include analysis of market, technology, finances, manpower, production facilities etc. It is helpful to various parties including financial institutions, government authorities, investors and entrepreneur himself. It is required to be submitted to the government authorities wherever necessary for various government clearances. Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 12

List of Service Sector activities covered under Medium Enterprises - Services  Industrial Testing Labs  Clinical Laboratories  Industrial Photography  Photographic Labs / Processing Labs.  Cold Storage Services / Milk Chilling / Milk Processing.  Washing and Laundry Services / Dry Cleaning.  Motor Cycle Repairing.  Super Markets.  Shops, Offices, Show Rooms, Training Centres of Professionals.  Resorts and Travel Agents. Mrs. Gracy D'souza, Assistant Professor J. M. Patel College of Commerce 13