When there is an investment of resources, there needs to be an assessment and update as to how the investment is currently doing in terms of progress. In this sense, a project report is made by leaders to provide details about a certain investment, project, or business plan.
Project reports are an important document that helps everyone involved in the project see the progress of their work so far. It keeps the team updated regarding the current accumulated costs, resources, project frameworks, quality, and activities which are yet to be accomplished. The main goal of the report is to serve as a basis for making decisions that could positively or negatively affect the project as a whole.
A project report should be made with utmost observation for the details that are to be included. It should contain all the necessary information to help those involved make good decisions. Thus, you need to be keen and vigilant with what you include in the project report. To help make sure you do so, here are the essential elements of a project report:
1. General Information: A good project report must start with the general information about the project, such as what department the project belongs to, past experiences, present status, problems and future prospects of the industry, the product to be manufactured along with the reasons for selecting such product, and so on.
2. Executive Summary: The executive summary of the project report must clearly explain the objectives of the entire project. It should also provide details in relation to capital, operations, methods of functioning, and execution of the business. Additionally, it should mention the risks that the project may encounter along the way and how best to settle it.
3. Organization Summary: The project report should include information about the organizational structure of the business or project. Moreover, it should explicitly state the ownership whether it is on sole proprietorship, partnership, or joint stock company.
4. Project Description: As it should, the project report must include an overall description about the project including site location, raw materials requirement, target of production, employment requirements, production process, and so on. These variables may change depending on the type of business or project you are starting.
5. Marketing Plan: As mentioned, the project report should also state the demand for the business or product to be manufactured. Aside from the price the product will be sold for, it should also mention the strategies in marketing and selling the said product.
6. Capital Structure and Operation Cost: It is a must for the report to include details about the total capital requirements to help make everyone aware of the financial aspect of the project. It should also include the source of finance, as well as a breakdown of the estimated total project cost.
7. Management Plan: A good project report must identify how the business or project will run on a short- and long-term basis. It should include details about the management team, duties and responsibilities of team members, current personnel needs, methods of managing the business or project, and so on.
8. Financial Aspects: The project report must justify the probability of the project; thus, it should include a projected profit and loss account and balance sheet. It should present the estimated sales revenue, cost of production, gross profit, and net profit as well.
9. Technical Aspects: The project report should provide essential information about the technology selected for the project, production process, capacity of machinery, pollution control plants, etc.
10. Project Implementation: The timeframe in which the project will be implemented should also be stated in the project report. It should separate each activity and indicate their individual timeline for when they must be completed. This part of the report shows the time for the project preparation and completion.
11. Social Responsibility: The report should also include the project’s positive effect on the community. Thus, it should state its contribution to the community in terms of employment, income, exports, and infrastructure.
Businesses, in general, need to have a detailed outline of how they intend to make the business thrive. For new businesses, you must have a keenly-made, detailed project report to make sure everything is going as it should be. The project report will outline all the essential aspects that everyone involved should know in order to make good decisions. Hence, here is a guide that can help you write a good quality and efficient project report:
1. Write a background for the project. It should include the official business name it will follow, where it will be located, the name of the proprietor/s, and so on. The background and purpose of the project must be stated clearly as well.
2. There should be a brief profile about the demographic you trying to penetrate. It should include significant details about the age of the target demographic, income bracket they belong to, etc. It should be made clear who the product is made for and who its primary customers are.
3. In the project report, clearly write the short-term and long-term corporate objectives. Make sure you are being specific and direct. This aspect of the report will be the fundamental basis of the daily activities of the project/business.
4. After which, include a thorough analysis of the market you are targetting. Write the details about the type of market, chief influencers, players, market description, reasons for starting business in a particular market, target clients, advantages of the services offered by the new business, market consumption patterns, and so on.
5. Your project report should also contain factual information about the financial aspects of the project. Make sure you write about the investment expenditure and value of the entire project, methods of investment, anticipated productivity, money flows of the project report, investment value evaluated in context of different points of merit, estimated financial ranking, and so on.
6. When writing about the marketing assessment, provide information about the product, its standard selling price, location of where it will be sold, and how it will be promoted to its target customers. In addition to that, an operational plan containing the business model and production process should be included in the report.
7. Next, write about the financial plan of the project. It should include the current financial situation of the project along with its prospective financial situation, say after a year or two. This will help predict future income, assets values, and other related matters.
8. The management structure should consist of the organizational structure of the entire project. It should outline the hierarchy of the management for the project. Write the hierarchical arrangement of authority from the highest to lowest ranking members of those involved. It should also include a brief description of the roles and responsibilities of each hierarchical level.
9. For the final part of the project report, a clear and efficient SWOT analysis should be included. Make sure to assess the strengths, weaknesses, opportunities, and threats the project may encounter during a period of time. This will help stakeholders anticipate and solve issues before they become a huge problem.
Here are some useful tips you can refer to as you write your project report:
There are different types of project reports that are used for various purposes. These are as follows:
1. Status Reports: A status report can be produced on a weekly or monthly basis. This updates everyone involved as to where the project is currently at in relation to where it should be at that point in time. It contains a comparison of the actual progress the project is making and the estimated one in order to pinpoint the progress made so far.
2. Risk Reports: After a risk review meeting, it is common for a risk report to be submitted immediately after. It should include a summary of the risk profile of the project, but it would be best to only include those which can greatly affect the project. Then, include a statement on the lower-level risks, perhaps summarizing how you are managing all of these.
3. Board/Executive Reports: This type of project report requires a high level of information. This usually includes information about issues they can help resolve, a summary of the budget position, and whether or not the project is on track to hit key milestones.
4. Resource Reports: A resource report shows the breakdown of assigned tasks to its designated members. This report is also used to determine allocation problems in order to resolve them efficiently. This ensures the proper allocation of tasks to your team members.
Here are some answers to frequently asked questions about project report:
A project report is meant to provide stakeholders with a picture as to the current situation of a business/project. It also provides a thorough assessment of the project that conveys goals that have been completed, provides details about the resources that have been expended, problems that have been encountered, and so on.
This would vary from company to company. A project report can be made weekly or monthly, the frequency all depends on where you are currently at, project status-wise, and how much is needed to be said.