Kayla C. Redding
Southern New Hampshire University
QSO-700: Project Management & Ops Capstone
Milestone Three: Financial Assessment and Resource Planning Brief
Professor Bruce Laviolette
July 17,2022
2
Economic Fit
From an economic perspective, the development of rice husk ash eco-friendly laundry
detergent is innovative and projected to provide a sense of security for Sinha and his power
generator plant team. My team is hopeful and working to create a full circle effect for Sinha, the
investors and most importantly the rural villages of India. The process of wet washing the
garments is gaining popularity and being widely accepted in India, across various cities. With
the move towards wet wash and cleaning processes Indian laundry industry is bound to create
new horizon and take a leap in growth for upcoming professionals and new investments (Clean
India Journal-Editor, 2018). With the knowledge of wet washing evolving into a more used
source of cleaning, the development of laundry detergent seems to be feasible and rational.
The goal is to create additional income for Husk Power System to generate more power
generator plants in rural Indian villages. Using the waste generated from the power plants, we
are able to manufacture powder laundry detergent. This laundry detergent can be marketed
alongside washing machines that are currently being sold with the new demand of appliances.
particularly washing machines. The new demand for power appliances has increased the demand
for power in homes which will call for more power generator plants within a village. This plan
should not only increase the revenue for Husk Power Systems, but also increase revenue for
appliance companies, change the quality of life for the village, provide employment within the
villages, and ensure cost savings as the detergent's main raw material comes from within the
manufacturing plant. Around 50% of soaps produced are being sold in rural markets. Increasing
awareness of hygienic standards in rural areas is providing growth opportunities to several
players (Entrepreneur India, 2021). If Sinha's team can maintain a continuous flow and manage
raw material inventory adequately, the creation of powder laundry detergent can sustain as the
demands increase. Economically this plan can provide growth for the communities in totality.
Operational Cost
Describing the total of all expenses necessary to maintain normal production or services
is considered an operational cost (ISixSigma, 2019). Since creating additional income and
managing cost savings is essential for this entire process, paying attention to operational cost is
important for Sinha. There are two types of manufacturing technologies available for laundry
detergent, we will utilize the option that calls for a smaller capital investment, the mixing
formula option. The Indian detergent industry is growing at a compound annual growth rate of
13.06% over the last five years (Next What Business, 2021). With the replacement of detergent
cakes with washing powder, the demands have increased and has made washing powder
manufacturing a lucrative business opportunity. Having the know that this business is likely to
strive, operation cost must be accounted for in all segments. With th