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 Apr May Jun July Aug Sep

1.Organizational Planning

2. Acquisition of Funds

3. Find Business Location

4. Sign the Contract of Rent

5. Apply Business Permit

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

Figure 2. Plant Layout

Figure 2. Sample Product

Lime and Vit. C Storage Room

Honey Storage

Room

Sugar Storage

Room

Finished Products

Packing Area

Processing Room

Cooling Area

Packing Materials

Office

Was

h Ro

om

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

White Sugar

33 kg.

(1/3

kg./unit ) P40 1,320.00

Lime40kg. 20 800

Honey 2 gal 500 1000

Total P 3,120.00

PRODUCTION TOOLS

Materials Quantity

Price per Piece

Amount

Juicer

3 975 2,975

Electric Stove 3 1,375 4,125

Scissors

3 17 51.00

Cutter3 20 60.00

Hand Gloves

3 70.75 212.25

Cooking Pot

3 500 1,500

Wooden ladle 3 50 150

TOTAL AMOUNT 9073.25

OFFICE EQUIPMENT

Materials Qty Price per Piece

Amount

Computer

2 20,990 41,980.00

Aircon

1 13,990 13,990.00

Total Amount P 55,970.00

FURNITURES AND FIXTURES

Office Chair

3 700 2,100.00

Filing Cabinet5 1,225 6,125.00

Office Table

3 450 1,350.00

Sofa

2 1,000 2,000.00

Printer

1 3450 3,450.00

TOTAL P 15,025.00

OFFICE SUPPLIES

Materials Quantity Price per Piece

Amount

Ballpen5 4.50 22.50

Pencil 10 5 50.00

Folders10 5 50.00

Paper Clip

1 box 23 23.00

Stapler2 25 50.00

Staple Wire

10 boxes

5 50.00

Ruler

3 5 15.00

Bond Papers

4 ream 160 640.00

Fastener

2 box 20 40.00

Envelope

20 7 140.00

Scissor

2 17 34.00

4 13.25 53.00

Scoth Tape

Tape Dispenser2 51 102.00

Sharpener

2 5 10.00

Puncher

1 62 62.00

Eraser5 5.50 27.50

Correction Fluid

2 23 46.00

Record Book

5 75 375.00

Emergency Lights

1 1,050 1,050.00

Fire Extingusher

1 1,000 1,000.00

Warning Labels2 20 40.00

Trash Cans

6 55 330.00

Soft Broom

2 30 60.00

Dust Pan

2 45 90.00

Mop

1 120 120.00

Trash Bags

2 46.75 93.50

Rugs

6 30 180.00

Telephone

1 1250 1250.00

Total P 6003.50

G. 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.