The document outlines the process for project formulation, which includes identifying project ideas through situation surveys, internal sources, and external sources. It also involves defining objectives and constraints like time, cost, and quality. There is also a preliminary analysis of ideas that assesses risks and selects promising ideas to take through further formulation. The formulation process then develops statements of work, prefeasibility studies, preliminary designs, proposals, project plans, and feasibility analyses to fully define the project before implementation.

1. Project Formulation
• Identification o Project Ideas
• Project Formulation

2. Identification of Project Ideas
• Develop Project Ideas
– Situation Survey
– Internal Sources
– External Sources

3. Define Objectives and Constraints
• Objective is defined in terms of how the what
will be your project, output of the project and
how the output will help to satisfy the need
customers
• Objectives must also be defined taking
consideration of constraints
– Time
– Cost
– Quality

4. Preliminary Analysis of Ideas
• Risk Analysis
– Project Risk – Technical Risk
– Process Risk – associated with each stage of
project
• Assessment of Risk
– Qualitative Risk
– Quantitative Risk

5. Select the Ideas for Project
Formulation
• Promising Ideas
• Marginal Ideas
• Rejecting Ideas

6. Project Formulation
• Statement of Work
– Need for the project
– Scope of the project
– Objective and output of the project
– Budget
– Time

7. Prefeasibility Study
• Technical Analysis
• Financial Analysis
• Economic Analysis
• Marketing Analysis
• Management Analysis
• Environmental Analysis

8. Preliminary Design
• Technical Aspects – Engineering Design for
example
• Preliminary Project Schedule and
Implementation Plan
• Estimated Project Cost

9. Proposal Development
• Project Objective and Output
• Project Activities
• Project Implementation - implementation
strategy, organization and party involved
• Project Schedule
• Project Monitoring and Evaluation

10. Project Planning
• Understand the project objective
• Identify the key project stages
• Work Breakdown Structure
• Determine the logical sequence of activities
• Determine time and resource allocation
– Capital Cost
– Working capital cost
• Allocate the responsibility of each activity
• Finalize the project plan

11. Content of Project Plan
• Overview
• Objective
• General Approach
• Contractual Approach
• Schedule
• Resources
• Human Resources
• Evaluation Method
• Potential Problem

12. Feasibility Analysis
• Technical Analysis
• Economic Analysis
• Marketing Analysis
• Managerial Analysis
– Institutional Relationship
– Project Organization
– Project Management
– Stakeholder Analysis
• Environmental Analysis
– Environmental Impact – EIA
• Financial Analysis