Project feasibility study software for manufacturing facility investment projects

Abstract

In manufacturing facility investment project, project feasibility package acts as an aid for facilitating in economic decision-making and providing the guideline in implementing the projects. In general, comprehensive feasibility package must encompass marketing, engineering, finance analysis, whereas marketing analysis identifies macro and micro environment, SWOT (strengths, weaknesses, opportunities, and threats), STP (segmentation, targeting, and positioning), demand/sale estimation, and marketing mix. Besides, engineering analysis involves manufacturing technology, capacity, plant/material flow/activity flow layout, and management analyses. Lastly, financial analysis indicates project profitability and its sensitivity. Also, the three financial statements will be projected to reflect how the project status looks like. In fact, manufacturing characteristic is variably based upon the sort of product. The detailed feasible analysis is thus subject to such manufacturing characteristic. In regard to this thesis, feasibility package has been applied to fit one manufacturing characteristic, being plastic package industry whose manufacturing processes are extrusion/thermoforming/printing. A company that has planned to geographically diversify its manufacturing bases in China is used as an example of application. As for the outcome of analysis after China project deployment, the project indicators reflect relatively low profitability but project sensitivity ensures its survival. That means such project is seemingly feasible in terms of economy if the company considers such project to be a pilot project to take a foothold and subsequently develop some further operation there.