Lecture 3
Lecture 3
Lecture 3
Project Identification
Course leader : Asst.Prof Tadele T
Contents
• Conceptual Clarification
• Sources of project ideas
• Steps in Project Identification and Selection
Situation analysis
Stakeholders analysis
SWOT analysis
Problem analysis
Objective analysis
Alternative Tree Analysis or Project Selection
Group Exercise
A) Project Identification-meaning
- It involves the conceiving of ideas or
intentions to set up a project.
- These ideas are then transformed into a
project.
Project ideas are normally initiated
by a perceived need [PROBLEM or
OPPORTUNITY] in an organization
and converted in to a formal project
proposal.
Project Identification-meaning
The major focus in this step is finding
project ideas or identifying needs or
demands for projects.
The activities carried out are generally
fact-finding survey, or review of
census or available secondary
data.
What are the sources for project
ideas?
SOURCES OF PROJECT IDEAS:
The community, researchers, experts, local
leaders, Policy makers, entrepreneurs, donors,
NGOs, Planners, etc.
Government policy priorities, unusual events,
external threats, unsatisfied demands, under
utilized natural resources, etc.
The business or government development
planning document
Needs of clients
Individual working in organizations, well
informed technical specialists
Sources of project ideas:
Local leaders
Government departments,
Other country's experiences
Various Chambers of Commerce and
Industry
National Small Industries Corporation,
and several other institutions including
the business press,
They regularly publish valuable data and
analytical reports about the trends of
demand, supply, costs in various segments of
industry and business.
Sources of project ideas _Cont’d
By their very nature, opportunity studies are
indicative rather than detailed and hence are
generally based on macro-parameters and rough
estimates.
Such studies may also be carried out in one of the
following three directions:
A given geographical area (Area studies).
A specific sub-sector of economy or industry, like food-
processing, agriculture, or power generation (Sub-sectorial
studies).
Exploitation of renewable and non-renewable natural,
agricultural, or industrial produce like minerals, sugarcane,
fish, plants, and even geothermal energy sources, etc.
(Resource-based studies).
Sources of project ideas _Cont’d
Opportunity study:
Objectives:
Refinement of business idea
Preliminary evaluation of alternative approaches
Preliminary assessment of strengths and weaknesses of
concept
Characteristics:
Sketchy, based more on rough aggregate
Estimates than on detailed analysis
Who identifies projects?
Various organizations, whether
local or foreign, state owned or
private, government ministries,
development banks, interest
groups, CBOs, NGOs and of
course individuals can identify
projects.
APPROACHES TO PROJECT IDENTIFICATION
SWOT analysis
Problem analysis
Objective analysis
Key Question
Whose problems or opportunities are we
analyzing? Who will benefit or loose-out,
and how, from a potential project
intervention?
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Stakeholder Analysis _ Cont’d
Purpose: To identify:
Needs and interest of stakeholders
Organizations and groups that should be
encouraged to participate in different stages of
the project
Potential risks that could put at risk
programme
Opportunities in implementing a programme
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Stakeholder Analysis-Cont’d
Execise 1
Let us list up the stakeholders for primary education
(more than 50)
Exercise 2
Let us categorize them
beneficiaries/negatively affected groups/decision makers/funding
agencies/community leaders/potential opponents/supporting group
Exercise 3
Let us set the target group
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