`A

plan formed in the mind.

PROJECT IDEA

Any plan , or an opinion regarding any PROJECT.(an undertaking or a piece of work)

Generation of project ideas is not an easy task. To generate promising ideas, you need to identify opportunities for the same.. Identification of opportunities require IMAGINATION, CREATIVITY, SENSITIVITY TO ENVIRONMENTAL CHANGES & A REALISTIC ASSESSMENT OR APPRAISAL OF THE FIRM.

SWOT ANALYSIS ` ENVIRONMENT APPRAISAL ` CORPORATE APPRAISAL ` PROFIT POTENTIAL ANALYSIS OF INDUSTRIES (PORTERS MODEL)
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Analysis of :` ` ` `

Strengths Weaknesses Opportunities, and Threats. Periodic SWOT ANALYSIS facilitates the generation of ideas.

Is systematically monitoring the environment and assessing its competitive abilities. Business environment is divided into 6 broad categories : Economic Government Technological Socio-demographic Competition Supplier

Is a realistic analysis of corporate strengths & weaknesses. Broad areas of corporate appraisal are : Marketing & Distribution Production & Operation Research & Development Corporate Resources & Personnel Finance & Accounting

PROFIT potential of a business depends on combined strength of 5-competitive Forces :Threat of new entrants Rivalry amongst existing firms Pressure from existing firms Bargaining power of buyers Bargaining power of suppliers

SCOUTING FOR PROJECT IDEAS

Good project ideas have to be identified from various sources like:Analyse performance of existing industries Examine input/outputs of various Indust. Review Import/export Analyse Economic/social trends Suggestions of financial institutions & development agencies Study plan outlays & govt. guidelines Investigate local material & resources Explore the possibility of reviving sick units

Study new technological dvlopments Draw clurs from consumption abroad Identify unfulfilled psychological needs Attend trade fairs Stimulate creativity And finally Hope that the chance factor favours you.

PRELIMINARY SREENING

Screening of ideas(eliminating ideas that arent promising) is done on the basis of following aspects:Compatibility with the promoter Consistency with governmental priorities Availability of inputs Adequacy of market Cost Adequacy Risk level

PROJECT RATING INDEX

Preliminary evaluation is translated into Project rating Index..and its done in following steps. Identify factors relevant for project rating (cost effectiveness, consistency with govt. guidelines, market adequacy etc. Assign weights to these factors (weights reflect their importance)

Rate the project on those factors (using a 5-point or a 7-point scale) Multiply factor rating with factor weight to get the factor score. Add all the factor scores to get overall project rating index. Choose the Project whose overall project rating index is highest.

THANK YOU WHAT AN IDEA SIR JI