Assignment

Course: B.Tech. IVth year

Subject: Project Management & Entrepreneurship

Q.1. What is Project Management? Discuss its scope and importance.

It encompasses the planning, organizing, execution, and finalization of a specific set of tasks
in order to achieve a defined set of goals within a set timeline and budget. As such, project
managers apply their knowledge, skills, tool and technique in order to meet the requirements
of a task, whilst maintaining the constraints of time, cost and resources.
Scope:
(i) Planning and initiation
• Defining objectives, deliverables and feasibility study.
(ii) Resource management
• Allocating and managing human, financial and materialistic resources.
(iii) Risk management
• Identifying potential risks and uncertainties.
• Developing plans and strategies to handle and minimize their impact.
(iv) Monitoring
• Coordinate activities and teams to ensure everything going as scheduled.
(v) Project closure
• Ensuring that all objectives and milestones of project and stakeholders are done.
• After delivery of product and their acceptance project is closed.
Importance:
(i) Completing goals efficiently
(ii) Risk mitigation
(iii) Resource optimization
(iv) Quality assurance

Q.2. Why do we need project management? Explain the role of Project

Manager.
1. Efficient use of resources
It ensures optimal use of resources like time, money and man power.
 2. Clear goal definition
Helps in dividing complex problems into small manageable tasks and provides a clear
road map.
3. Risk mitigation
Look forward to potential risks and helps to make backup plans to handle them.
4. Meeting deadlines
Keeps the project on schedule by keeping an eye on milestones set.
5. Quality assurance
Defines quality standards and ensures that deliverables meet the expectations.
Roles of a Project manager:
1. Planning & organizing
2. Leadership and team management
3. Communication
4. Risk management
5. Budgeting and cost management
6. Monitoring and controlling
7. Ensuring project closure

Q.3. What are the technical aspects of a typical project as distinct from
commercial, financial, economic and managerial feasibility? Discuss three
important issues that managers must consider while conducting technical
analysis.
Ans. In technical aspects we are concerned on project’s physical and operational feasibility,
(design, functionality and engineering requirements) that are necessary to make the project run
in the real world. This is different from other dimensions like:
1. Commercial feasibility: market demand, competition and the project’s ability to
generate sales.
2. Financial feasibility: availability of funds, cash flows and financial returns.
3. Economic feasibility: project’s contribution to the broader economy including job
creation and social benefits.
4. Managerial feasibility: capability and structure of project team and organization to
execute the project effectively.
Three important issues:
1. Selection of technology
 • Is technology used reliable and proven?
• Can it be implemented within the available budget and skill of the current
workforce?
2. Availability of resources
• Are the required raw material, machinery and labor readily available?
3. Environmental and regulatory compliance
• Does the project is in alliance with the current environmental laws and
standards?

Q.4. Write short notes on Market appraisal and Managerial appraisal.

Market Appraisal
It is the process in which we check viability and potential of a project in terms of market
conditions. It evaluates the demand of the project, competitors and overall market dynamics.
This analysis helps the stakeholders in understanding whether the project will succeed in
capturing a significant share of market.
Key components:
1. Market demand analysis
2. Market size and trends
3. Competitive analysis
4. Customer segmentation
5. Marketing and distribution channels
Managerial Appraisal
In this we check capability of management team to execute and oversee the project effectively.
Leadership skill, decision-making abilities and organizational structure are evaluated to ensure
that whether the project team is capable enough to build the project in proposed time and
budget.
Key components:
1. Leadership and experience
2. Organizational Structure
3. Resource management
4. Decision-making and problem-solving
5. Team competence

Q.5. What is project? Describe life cycle stages in project management.

It is a sequence of operations done to achieve a particular goal. According to the Project
Management Institute (PMI) a project is a temporary attempt in which an organization puts its
effort to achieve a unique goal with a defined beginning and an end.
Characteristics:
• Temporary nature
• Resource constraints
• Defined objective
Project Management Life cycle
1. Initiation
• Define project goals and objective
• Conduct feasibility studies
2. Planning
• Define scope, deliverables
• Allocate budget and resources and prepare a schedule
• Identify potential risks and make mitigation plans for the risks
3. Execution
• Implementation phase where the project plan is put into action and
deliverables are produced
• Coordinate tasks and resources among team members.
4. Monitoring and controlling
• This phase runs concurrently with execution phase.
• Monitor performance against KPIs and project baselines
5. Closure
• Deliver the final project or service to stakeholders/users/customers.
• Final reports are prepared and lessons learned are documented.

Q.6. What are the various sources of finance for investing in a project?
Discuss.
1. Internal Sources of Finance
Involve funds generated within the organization. These funds are more preferred as they do not
involve external liabilities or assets.
• Retained earnings: profit from previous years reinvested into project.
• Asset Liquidation: selling non-core assets to generate funds.
• Depreciation reserves: utilizing funds set aside for asset depreciation.
2. External Sources of Finance
Obtaining money from outside third parties.
• Equity financing: funds raised by issuing shares of stock
• Debt financing: loans or bonds are issued.
• Government grants and subsidies: financial support by government for specific
projects like public welfare projects.
• Crowdfunding: raising funds from a large number of people via online platform.
On the basis of period there are 3 types of funds:
1. Long-term sources: These sources fulfill the financial requirements for more than 5 yrs.
2. Medium-term sources: these sources of funds are required for period of 1-5 years.
3. Short-terms sources: funds required for a period not more than a year.

Q.7. Explain various projected financial statements.

Ans. Forward looking reports that forecast organization’s financial position, performance and
cash flow for a future period of time.
Primary projected financial statements:
1. Projected income statement
2. Projected balance sheet
3. Projected cash flow statement
4. Projected statement of changes in equity
Projected income statement
Estimates the company’s future revenues, expenses and profit over a specific period.
Key Components:
• Revenue
• Cost of Goods Sold (COGS)
• Operating expenses
• Net income
Purpose: evaluates the project’s profitability and setting sales targets and budget for expenses.
Projected balance sheet
It predicts cash coming in and cash going out over a defied period, focusing on liquidity and
solvency.
Key components:
• Assets
• Liabilities
• Equity
Purpose: shows the financial health and stability of the project and also ensures proper asset
allocation and funding management.
Projected Cash Flow Statement
It shows cash receipts and payments for a period of time. This statement focuses on liquidity
and solvency.
Key components:
 • Operating activities: cash expected from operational activities like sales and expenses.
• Investing activities: cash earned or paid out due to investments or business.
• Financing activities: cash transactions of borrowing, equity funding or repayments.

Q.8. What do you mean by project report? Explain various steps involved in
report writing.
Project report is a comprehensive description of the project which defines its objective, scope,
method, findings and recommendation. It is a detailed documentation outlining the progress
and outcome of the project, including information of key importance to stakeholders like
investors, managers or team members.
Steps involved in a Project report:
1. Define Objective
2. Gather necessary background information.
3. Plan the report structure
4. Gather and analyze data
5. Write the Report as mentioned in step 3
6. Review and Revise
7. Final approval and submission

Q.9. Write short notes on:

(i) Capital Budgeting
The process used by the organization to evaluate and choose among the long-term investment
projects. Capital budgeting involves the planning and management of significant expenditures
on assets such as machinery, equipment, infrastructure or new projects ensuring the
investments of the capital budgeting process create a value and fit with the strategic goals of
the organization.
Importance:
1. Resource allocation
2. Long-term perspective
3. Risk assessment
4. Wealth maximization
5. Strategic decision-making
(ii) Projected balance Sheet
It presents an overview of the organization’s projected financial position at a specific point in
the future.
Key components:
• Assets
• Liabilities
• Equity
Purpose: shows the financial health and stability of the project and also ensures proper asset
allocation and funding management.
(iii) Projected Cash flow statement
It forecasts the inflow and outflow of cash over a specific period, emphasizing liquidity and
solvency.
Key components:
• Operating activities: cash expected from operational activities like sales and expenses.
• Investing activities: Cash flows resulting from investments in assets or other ventures.
• Financing activities: cash transactions related to borrowing, equity funding or
repayments.
Purpose: tracks whether the project will have sufficient cash to cover expenses.
Projected Fund statement
A projected fund statement show the expected changes in the financial position of a company
by hiding sources and uses of funds over a specific time period. It focuses on changes in
working capital.
Key Components:
• Sources of funds
• Uses of funds

Q10. Describe social entrepreneurship. How does social entrepreneurship

impact society?
Social entrepreneurship is the act of identifying and pursuing innovative solutions for social,
cultural and environment challenges. It aims at producing a social value while reaching a
financial sustainability.
It works at this intersection of business and social impact through business models to solve for
poverty, education, health care, and the like. They seek to spur systemic change and uplift the
quality of life for those who are underserved or marginalized.
Impact on society
1. Addressing Social Issues
Tackles issues like poverty, unemployment through innovative solutions.
2. Empowering Marginalized Communities
Provides opportunities and resources to underprivileged communities helping them achieve
self-reliance.
3. Fostering Economic growth
Creates jobs and promote economic activities backward areas contributing to overall economic
development.
4. Promoting Environmental sustainability
5. Encouraging Civic participation
Engages communities in problem-solving, fostering collaboration and social responsibility.

Q.11. Write short notes on:

(i) Social innovation and Sustainability
Social innovation describes new strategies and concepts intended to meet social challenges in
fields like healthcare, education and poverty. They concentrate on developing systematic
change by enhancing social welfare and encouraging collaboration between individuals and
organizations. Social innovation, its solutions, as are smart and effective, needs to be
sustainable in terms of environment, economy and socio-equity in the long run. The objective
is to satisfy current needs without harming the capacity of future generation.

(ii) Risk Management in Social Enterprises

Risk management in social enterprises, through which the risks leading to the attainment of
social, financial and operational objectives can be identified, assessed and mitigated.
Types of Risks:
• Financial risk
• Operational risk
• Market risk
• Legal risks
• Environmental and social risks
Risk Management strategies:
• Diversified funding sources
• Clear impact metrics & monitoring
• Legal compliance and best practices
• Effective communication and transparency
(iii) Marketing Management of Social Ventures
It aims at creating value and delivering value to the community or society as well as the
sustainability of the venture. Social enterprises usually do not act sufficiently profitable, so
their marketing strategies should meet the objectives of social impact as well as financial
stability.
Key components:
• Target market audience
• Social marketing strategies
• Branding & positioning
• Marketing channels

(iv) Legal Framework of Social Ventures

A legal framework for social ventures enables social enterprises to operate, scale to maximize
social impact, and comply with the legal requirements in pursuit of social mission.
Key aspects:
• Legal structure
• Registration and compliances
• Governance and accountability
• Labor laws and employment standards
• Fundraising and Grant Management

Q.12. Explain the social entrepreneurship opportunities and successful

models.
Opportunities in Social entrepreneurship
1. Poverty alleviation and economic empowerment
Social entrepreneurs create business providing affordable goods to underserved communities
2. Healthcare access
There are numerous paths to building low-cost healthcare systems (particularly for low-income
and rural areas).
3. Environmental sustainability
Broadly speaking, environmental themes are of high opportunity, like waste management,
climate change, renewable energy.
4. Education and skill development
There are opportunities to cater to underserved communities by providing access to quality
education, vocational training and skill development.
5. Affordable housing
Successful Models of Social Entrepreneurship
1. “One for One” Model – It ensures that profits are used directly to support social missions.
2. Hybrid Model –mixture of profit and non-profit aspects allowing social enterprises to
maximize social impact.
3. Cooperative model – collective ownership and decision-making by the members of the
community or enterprise.
4. Pay-What-You-Can Model – consumers pay according to their ability, producing goods
and services available for a wide range of people.
5. Social business model – business that run for the primary purpose of addressing social
issues, profits are reinvested into project to increase social impact.