How to Make Feasibility of A Mega Project by Tariq Sarwar Awan Food Technologist & Engr. Saima Khoro

608 views
498 views

Published on

This is the Right and Comprehensive procedure to make Feasibilty and conduct study for any Mega Project, This Presentation is made by Two Professional Experts to share their Knowledge with Others for Guidance.
Regards,
Tariq Sarwar Awan & Engr. Saima Khoro

Published in: Business, Technology
0 Comments
2 Likes
Statistics
Notes
  • Be the first to comment

No Downloads
Views
Total views
608
On SlideShare
0
From Embeds
0
Number of Embeds
1
Actions
Shares
0
Downloads
32
Comments
0
Likes
2
Embeds 0
No embeds

No notes for slide

How to Make Feasibility of A Mega Project by Tariq Sarwar Awan Food Technologist & Engr. Saima Khoro

  1. 1. How to Make Feasibility of a Project By Engr. Saima Khoro BE & MS (Electrical/Electronics), and Mr. Tariq Sarwar, Food Technologist, Nasir Flour Mills, Lahore, Chairman Research and Recommendations Wing, Pakistan Flour Mills Association.
  2. 2. TYPES OF FEASIBILITIES FOR THE PROJECT  Preliminary Feasibility  Full Scale Feasibility  Bankable Feasibility Engr. Saima Khoro / Tariq Sarwar Awan Food 2
  3. 3. PRELIMINARY FEASIBILITY        Availability of the Raw Material Water Power Fuel Soil Test Effluent Disposal Finished Product Demand Market Study Engr. Saima Khoro / Tariq Sarwar Awan Food 3
  4. 4. THE BASICS  The Size of the Mill with Recommended Capacity  The Targeted Marketing Area  Penetration Possibilities Engr. Saima Khoro / Tariq Sarwar Awan Food 4
  5. 5. FULL SCALE FEASIBILITY  It should not be prepared by self but it should be done by any professional with deep study in the Same Field.  Complete market Scenario  Actual Financial aspects  Financial Forecasts  Ten year Plan Engr. Saima Khoro / Tariq Sarwar Awan Food 5
  6. 6. BANKABLE FEASIBILITY  Should be prepared by Trade Specialist like senior Food Technologist specially any Food Technology Professor in any University in consultation with Financial and costing expert who is dealing to banks from ten years minimum.  Machine Specification Book (Precise)  Should be prepared in a manner acceptable to Bank. Engr. Saima Khoro / Tariq Sarwar Awan Food 6
  7. 7. ADEQUATE SITE SELECTION CRITERIA       Criteria for selection of Site Infra structure Required Area Recommended Recommended Location of Site Land Requirement Proposed Construction Plan with Cost Engr. Saima Khoro / Tariq Sarwar Awan Food 7
  8. 8. ADEQUATE FINISHED PRODUCT MARKET        Local Market of Pakistan Export Market Scenario List of Importer Countries in the World with their import quantity and rate of import Acceptable Market Logistics Transport Duties Costing Factor Saima Khoro / Tariq Sarwar Awan Food Engr. 8
  9. 9. FACTORY REQUIREMENTS  Raw Material Transport  Process water (treatment plant, etc, Quality check options)  Effluent Disposal  Transport Finished Products  Labor and Housing Availability  Expansion facilities and space. Engr. Saima Khoro / Tariq Sarwar Awan Food 9
  10. 10. ADEQUATE CAPITAL COST ESTIMATE  Plant Cost  Plant Cost with Automation  Phases of Plant Up-gradation plan year wise  Infra-structure Cost  Financing Cost During Construction and Startup  Working Capital including training Cost. Engr. Saima Khoro / Tariq Sarwar Awan Food 10
  11. 11. FANANCING STRUCTURE  Debt. Equity Ratio and Availability  Net Cash flow for Debt. Servicing  Sensitivity Analysis 1- Market Price Analysis and Cyclicity 2- Raw Material Cost Fluctuations  Return of Investments  Recommended Life span of Plant  Saturation Probability Study of international standard Engr. Saima Khoro / Tariq Sarwar Awan Food 11
  12. 12. PROCEDURE FOR FINANCIAL ANALYSIS      Profit and Loss statement Cash Flow Charts and Statement Sensitivity Analysis Projected Balanced Sheet Expected Sale Trends with last 5 years reference and proposed for next 5 years. Engr. Saima Khoro / Tariq Sarwar Awan Food 12
  13. 13. DETAILED PLANS BOOKLET  Plan for obtaining Raw Material  Construction Plan with Structural Drawings  Training plan local or Foreign  Operations Plan  Phases of various plans if needed in the specific section Booklet. Engr. Saima Khoro / Tariq Sarwar Awan Food 13
  14. 14. SITE PLANS        Selection of Site Topography Socio-Economic Status Environmental aspects Fundamental Assumptions General Economic Background Political Stability. Engr. Saima Khoro / Tariq Sarwar Awan Food 14
  15. 15. DESCRIPTION OF PROCESS & MILL ANCILLARIES Power Generation (if Required) Recovery Effluent Treatment Electrolytic Plant Maintenance Shop Lab Development for Quality assurance according to ISO standards  Bid from Suppliers       Engr. Saima Khoro / Tariq Sarwar Awan Food 15
  16. 16. LAYOUTS & AUTOMATION  Complete PLAN Line Flow Diagram         Technical Layout with specifications Placement plan with foundations ready for installation at Specific spot, (be careful about placing, height, non-disturbed flow of material) Automation of Feeding at start Speed Check facilities Sensors provision Linkage in line with automation Auto weighing and auto packing unit Conveyors till warehouses Engr. Saima Khoro / Tariq Sarwar Awan Food 16
  17. 17. PROCESS ESSENTAILS List of Raw material required Cost of Raw material per ton Accessories availability assurance List of raw material to be imported and its fluctuation history and graphical representation  Spares  Availability of Clean Water     Engr. Saima Khoro / Tariq Sarwar Awan Food 17
  18. 18. METHODS AND PLANS            Operations Covering Method Data and Production Plan Tests and Sources of Information on Yields Raw material characteristics Man power requirement stages and their employment plan HR Development Recommended staff and their wages rates Organization Chart Schedule of Employees Training Program Accommodation Plans Engr. Saima Khoro / Tariq Sarwar Awan Food 18
  19. 19. ESTIMATION & COSTING       Manufacturing cost Capital cost requirement Escalation Factor Contingencies Interest During Construction Other Expenditures Engr. Saima Khoro / Tariq Sarwar Awan Food 19
  20. 20. FINANCIAL FACTORS  Plan Financial institutions  Payout period  Is payout period enough or extension required  Indicators of anticipated interest rates  Terms and grace periods  Proposed methods of foreign and local financing and documents requirements Engr. Saima Khoro / Tariq Sarwar Awan Food 20
  21. 21. ORDER OF MAGNITUDE with Basic Parameters  Capital Cost Estimation  Operating Cost Estimation  Selling Price Projections Engr. Saima Khoro / Tariq Sarwar Awan Food 21
  22. 22. Executive Summary for BOD/ CEO  Executive Summary should be precise covering all the Important factors, highlighting every aspect to understand every thing to foresee the viability of the Project and its suitability. Engr. Saima Khoro / Tariq Sarwar Awan Food 22
  23. 23. Method to be Adopted by CEO/ MD/ BOD Hand over responsibilities to skilled people. Supervise and support Get daily/ weekly Progress report with presentaion Monthly BOD meeting and grand presentation Give Deadlines to responsible. Remember…….Men at Work, Your Money at Work. No relaxation for time frame to any one, deadline is a deadline.  Most important factor to remember…….YOU WILL KEEP EXPENSING, TILL YOU START YOUR FACTORY, SO START FACTORY AND START EARNING…………..        Engr. Saima Khoro / Tariq Sarwar Awan Food 23
  24. 24. Best Wishes for Success Transworld Team  Engineer Saima Khoro BE Electrical/ Electronics, MS Electrical/Electronics with Kind Support of Mr. Tariq Sarwar, Food Technologist, CEO Nasir Flour Mills & Chairman Research and Recommendations Wing, Pakistan Flour Mills Association, Head Office, Lahore. Engr. Saima Khoro / Tariq Sarwar Awan Food 24

×