Feasibilty Study Technical Aspect Sample

Sample Feasibilty study TECHNICAL ASPECT

This study discusses about the processes of production and activities of the company. It states also the machineries and equipment used in production and other aspects regarding bringing the raw materials into a finished product ready for trade. Plant layout, size and production schedule are all presented for the purpose of identifying the business operation. Also, product specifications, the product processes using flowchart, the list of machinery, tools, and equipment are enumerated with their corresponding costs, the raw materials and fund sources are also cited. A. Location The proposed business and processing site will be operated at Talomo River Calinan Davao City. We have seen that the place will be suitable for building a plant because it is away from residential areas. It is also accessible since it is along the road.

Figure 1.Talomo River Calinan, Davao City

B. Gantt Chart The chart below states the activities for making a business establishment before the normal operation will take place. Table 1 Gantt Chart Activities 1.Organizational Planning 2. Acquisition of Funds 3. Find Business Location 4. Sign the Contract of Rent 5. Apply Business Permit

Apr

May

Jun

July

Aug

Sep

6. Purchase Furniture, Equipment, and Products 8. Finding Supplier of Raw materials 9. Hiring of Employees 10. Grand Opening

C. Plant Layout, Size and Production Schedule

Office

Sugar Storage Room

Wash Room

Figure 2. Plant Layout

Finished Products

Cooling Area

Processing Room Honey Storage Room

Packing Area Lime and Vit. C Storage Room

Packing Materials

Figure 2. Sample Product

D.

Product Specification Natural Hair Remover is a brown sticky gel packed in a 400 ml canister. The

package includes ten (10) pieces wax strips. E. Product Preparations and Processes The process of production should be practiced very well and perfected to have a product with a high standard and quality that will be best suited for its consumers. All employees/workers must be trained proficiently and must be very knowledgeable on how the process of production goes as well as the proper use

of facilities and equipment. The business should also see to it that there are enough raw materials so as not to delay the production process. 1. Preparation of Raw Materials Measure four (4) parts of white sugar, one (1) part of water, one (1) part of lime juice, one (1) part of honey and one-eighth (1/8) part of vitamin C. Extract fresh juices from limes using the juicer. 2. Mixing and Heating Mix all the ingredients well. Heat the mixture and let it boil until it turns brown and sticky. Observe safety precautions. . F. List of Raw Materials, Machineries, Tools, and Equipment with Corresponding Costs

Raw Materials (Product 1)

Quantity

Price

Amount

P40

1,320.00

33 White Sugar

kg.(1/3 kg./unit )

Lime

Honey

40kg.

20

800

2 gal

500

1000

Total

P 3,120.00

PRODUCTION TOOLS Materials

Quantit y

Price per Piece

Amount

3

975

2,975

3

1,375

4,125

Juicer Electric Stove

Scissors

3

17

51.00

3

20

60.00

3

70.75

212.25

3

500

1,500

3

50

150

Cutter

Hand Gloves

Cooking Pot Wooden ladle

TOTAL AMOUNT

9073.25

OFFICE EQUIPMENT Materials

Qty

Price per Piece

Amount

2

20,990

41,980.00

1

13,990

13,990.00

Computer

Aircon

Total Amount

P 55,970.00 FURNITURES AND FIXTURES

Office Chair

3

700

2,100.00

5

1,225

6,125.00

3

450

1,350.00

2

1,000

2,000.00

1

3450

3,450.00

Filing Cabinet

Office Table Sofa

Printer

TOTAL

P 15,025.00 OFFICE SUPPLIES

Materials

Quantity Price per Piece

Amount

Ballpen

Pencil

Folders

5

4.50

22.50

10

5

50.00

10

5

50.00

1 box

23

23.00

2

25

50.00

10 boxes

5

50.00

Paper Clip

Stapler

Staple Wire

3

5

15.00

4 ream

160

640.00

2 box

20

40.00

20

7

140.00

2

17

34.00

4

13.25

53.00

Ruler

Bond Papers

Fastener

Envelope

Scissor

Scoth Tape

Tape Dispenser

2

51

102.00

2

5

10.00

1

62

62.00

5

5.50

27.50

2

23

46.00

Sharpener

Puncher

Eraser

Correction Fluid

5

75

375.00

1

1,050

1,050.00

1

1,000

1,000.00

2

20

40.00

Record Book

Emergency Lights

Fire Extingusher

Warning Labels

6

55

330.00

2

30

60.00

2

45

90.00

1

120

120.00

2

46.75

93.50

Trash Cans

Soft Broom

Dust Pan

Mop

Trash Bags

6

30

180.00

1

1250

1250.00

Rugs Telephone

Total G.

P 6003.50

Sources of Raw Materials The raw materials are mainly white sugar, honey and lime. White sugar can be purchased at Calinan Public Market. Honey and lime will be purchased from contracted individual vendors in Tamayong, Davao City. H. Waste Disposal Management The waste from the processing place will be identified as biodegradable.

These wastes will be disposed in a landfill located at the back of the plant site. Non-biodegradable wastes will be recycled or sold to junkshops.