INTRODUCTION

Successful projects require careful upfront planning. A good project schedule will help the corporation to meet project
objectives. It also helps manage project risk effectively by identifying, analyzing and communicating inevitable
changes to project scope and objectives. This section presents the stages of projected activities of the company,
carried out within time and budget constraints, in detail together with their estimated duration and target
implementation.
PROJECT MILESTONES
In order to establish the company to success, there are certain one time activities that the board should conduct
during the start-up of the corporation. The HydroFluor Philippines Management shall provide a comprehensive
schedule of activities that every department and stakeholders shall comply with in order to ensure the
accomplishment and success of the project.
1. Overall Feasibility Study
During this phase, the overall feasibility of the project is being studied to prove that the project is possible to
accomplish in accordance with market, technical and financial aspects and standards. There are three (3) feasibility
studies to be conducted:
a.) Market Feasibility Study
Market Feasibility Study presents the data on the size and characteristics of the market that the corporation
intends to join. It provides valuable information on the historical demand and supply chain of the desired
product to produce which can be used to project the demand and consumption of the specified product in
the next 10 years by statistical methods of projection. It also investigates on the possible competition in the
market once the company has already been established and operational. It gives a brief background and
description of the market, including its buyers and users as well as the locations where the product shall be
distributed and/or sold. The study also examines the environment of the market, i.e. the competitiveness of
the company in the market in terms of the products selling price, methods of transportation and distribution,
trade practices, etc.
b.) Technical Feasibility Study

the

Technical Feasibility Study presents the technical part of the project feasibility study which involves the
process selection, construction of process description and process flow diagram, detailed calculations on
overall material and energy balances of the proposed process, design calculations on every equipment
required by the process, construction of process control schemes for each equipment and other technical
aspects that require the in-depth knowledge technical professionals such as engineers. All of these
shall be conducted in compliance with the economic, environmental, safety and ethical standards set by the
existing regulations.
c.) Financial Feasibility Study
Financial Feasibility Study presents the data on the funds needed for the pre-operating expenses, fixed
assets and working capital. The study starts with the determination of initial capital costs from the data on
pre-operating expenses, fixed capital, working capital. After having determined the sources and cost of
financing, the projected financial statement is conceptualized where the 10-year cash flow and income
statement are presented and evaluated. Finally, financial analysis is presented to discuss profit, return on
investment, return on equity and breakeven analysis based on the financial data secured by the study.

2. Incorporation
In this phase, the company will take action to legally establish the corporation. Incorporation is done in accordance to
the Corporation Code of the Philippines. The company will file its own article of incorporation wherein the corporators
and incorporators, stockholders and members of the corporation are identified and the shares of stock of the
corporation are determined. The article is submitted to the Securities and Exchange Commission. The company will
also construct its by-laws as stated by the code.
3. Sourcing of Funds
During this phase, funds will be gathered from each stock holder by providing the agreed amount of shares during
the incorporation stage. The accumulated amount shall be used to finance the project from start to finish.
4. Hiring of Key Personnel
In this phase, the key personnel are duly hired, trained and appointed by the Board of Directors. The key personnel
are those considered to be the heads of each department in the organization. From this point, it is now the
responsibility of the department heads to hire and train employees in lower positions.
5. Plant Site Acquisition
In this phase, the identification and acquisition of the plant site is being done. The company shall undergo legal
process in acquiring the land where the plant is to be put up. Along with acquisition, the location of the plant is also
studied to ensure that the place does not impose any problems in the future.
6. Finalize Plant Layout Design
In this phase, the overall feasibility study is being reviewed and finalized. When this is settled, the details of the
construction are prepared and specified such as the type of equipment to be used in the construction of the plant in
accordance with the specifications of the acquired land site.
7. Plant Construction
During this long period, project management, engineering design, procurement and construction management are
done by the contractors. First, the company shall apply for construction license from the local government of the
acquired site and other concerned government agencies such as the Department of Environment and Natural
Resources (DENR). Then, the construction of the plant buildings shall commence after being legally permitted by the
government.
8. Finalize Design and Specification
In this phase, the plant design is finalized according to desired specifications, parameters and design of the
equipment needed for the process to operate. This stage serves to bridge the relationship between the feasibility
study and actual construction of the plant. During this period, the design is being finalized such that it conforms to the
limitations of the actual plant construction so as to meet the requirements of the product and its process.
9. Equipment Order and Delivery
In this phase, the specifications of the equipment required to run the process are being prepared to purchasing.
Then, the procurement of equipment is done. The personnel in-charge shall check if the equipment being delivered
meet the specifications required by the plant processes and operation.

10. Hiring and Training of Personnel

In this phase, personnel apply for work positions in the company. Applicants are being interviewed by the key
personnel. Afterwards, accepted applicants shall undergo trainings such as orientations, seminars and team buildings
where employees maximize their technical and personal development as professionals.
11. Installation of Equipment
In this phase, the equipment that has been ordered and delivered are being installed inside the plant according to
their corresponding allocated sites.
12. Ordering and Delivery of Raw Material
In this phase, the raw materials required by the process to produce the product are being ordered and delivered to
the plant site. The supplier and distributor of the raw materials are being identified and contacted for contract and
proposal signing. The quality of the delivered raw materials are also being checked if it meets the technical
specifications provided during the purchasing. The materials are verified if it the supplier meets the standards set by
the production requirements.
13. Pilot Testing
In this phase, the plant is supposed to be fully constructed and ready to operate. The plant will be operated such that
it produces the desired product. The trained personnel will be in-charge of the pilot testing where they will apply their
technical knowledge in the operating the plant.
14. Product Testing
In this phase, the product produced from pilot testing shall be tested in the laboratory. The properties and
specifications of the produced product shall be determined. The results from these tests are to be evaluated and
compared with the pre-existing table of standards. This is to ensure that the customer who orders the product will get
it at their desired specifications.
15. Marketing Plan
In this phase, the marketing strategies are being planned. Techniques that make the product sell in the market such
as advertisements, promotion, product packaging, etc. will be conceptualized.
16. Normal Operations
In this phase, the products are being produced according to the normal operational procedures by the plant
personnel, contractors and employees.
17. Accepting and Delivery of Orders
In this phase, orders of the product will be accepted and delivered to the customers.

1
2
3
4

Activity

Head/Department

Duration

Overall Feasibility Study

Incorporation
Sourcing of Funds
Hiring of Key Personnel

Board of Directors
Board of Directors
Board of Directors
Board of Directors

8 weeks
7 weeks
8 weeks
8 weeks

Expected
Start Date

Expected
End Date

5
6
7
8
9
1
0
11

Plant Site Acquisition

Finalize Plant Layout Design
Plant Construction
Finalize Design and Specifications
Equipment Order and Delivery
Hiring and Training of Personnel

1
2
1
3
1
4
1
5
1
6
1
7

Ordering and Delivery of Raw Materials

Installation of Equipment

Pilot Testing
Product Testing
Marketing Plan
Normal Operations
Accepting and Delivery of Orders

Finance Department
Board of Directors
Contractors
Board of Directors
Finance Department
Human Resources
Department
Operations
Department
Finance Department

3 weeks
4 weeks
37 weeks
10 weeks
20 weeks
13 weeks

Operations
Department
Quality Control
Department
Marketing
Department
Operations
Department
Finance Department

17 weeks

14 weeks
12 weeks

12 weeks
13 weeks
522 weeks
522 weeks