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Kingston University, London

ASSESSMENT SUBMISSION FORM


Student ID Number: Surname / Family Name:
K2163810 WAIDYARATNE

Course: First Name / Given Name:


BEng in civil engineering GAYAN
Assignment Marker: Module Title: Module Code:
Mr PRASAD PIERIS Business management and group CE6012
project
Assignment Title: Module Leader:
ENTERPRISE COURSE WORK MR. Prasad pieris

Names of group members - If applicable e.g. partners in practical classes etc.


Name: RAMESH NITHUSHAN ID Number: K2162908
Name: RAFAH RASMY ID Number: K2172016
Name: AKHILESH PERERA ID Number: K2163774
Name: ID Number:
Name: ID Number:

1. We declare that the attached work is all my/our own, and that where I/We have quoted
from, used or referred to the opinions, work or writings of others, these have been fully
and clearly acknowledged. I/We will provide electronic copies of my/our work if
required for Turn tin analyses or reference.
2. We understand that work submitted late will be subject to late submissions
penalties

Student Signature: GAYAN Date & Time Submitted: 6/2/22


Staff Use Only Below This Point
FEEDBACK COMMENTS:

Overall Mark: % mark: Grade point:


MODERATORS COMMENTS (If Applicable)

FACULTY OF SCIENCE,
ENGINEERING AND COMPUTING

BEng (Hons) DEGREE


IN
CIVIL AND INFRASTRUCTURE ENGINEERING

Module Code: EG6023

Business management

and Group project

Compiled by:

Gayan Waidyaratne(k2163810)

Ramesh Nithushan(K2162908)

Mohomed Rasmy(K2172016)

Akhilesh Perera(K2163774)

WARRANTY STATEMENT
This is a student project. Therefore, neither the student nor Kingston University makes any
warranty, express or implied, as to the accuracy of the data or conclusion of the work performed
in the project and will not be held responsible for any consequences arising out of any
inaccuracies or omissions therein.

Compiled by:
Gayan Waidyaratne
Ramesh Nithushan
Mohomad Rasmy
Akhilesh Perera
Contents
Module Code: EG6023 ........................................................................................................................ 2
1.0 Inspiration .................................................................................................................................. 5
2.0 Elevator Pitch ............................................................................................................................. 5
3.0 Need Analysis ............................................................................................................................ 6
4.0 Product Outline .......................................................................................................................... 8
5.0 Product cost analysis ............................................................................................................... 12
6.0 Alternatives and competitors.................................................................................................... 12
7.0 Marketing and implementation plan ......................................................................................... 14
8.0 Appendix .................................................................................................................................. 16
9.0 References .............................................................................................................................. 19

List of Figures and Tables


Fig1. (Construction of a house 3D printed using recycled concrete) 5
Fig2. Conventional construction of a house in srilanka 6
Fig3 a full detachable printing arms 8
Fig4: Types of mortars available with us 8
Fig5: Design concept of a 3d printed house from the future 9
Fig6: 2d/3d visualization 9
Fig7: printed pass height 9
Fig8: plumbing and wiring installation 10
Fig9: 3d printer using a nozzle to print according stl file 10
Fig10: cutting of door and window spaces 11
Fig11: Tools used to formulate the concrete mix used based on outdoor conditions 11

Table 1 11
Table 2 14
Table 3 15
Table 4 17
1.0 Inspiration

Affordable and eco-friendly 3D printed construction of modern homes and offices. With the prevailing
financial crisis in Sri lanka, the present government has taken measures to drastically reduce importation
of equipment and materials vital for the construction industry in the country to maintain and control the
inflation.

2.0 Elevator Pitch


According to Constrack360 (2020), the building construction industry in Sri Lanka is expected to
record a CAGR of 15.1% to reach LKR 2231.5 billion by 2024. The residential construction industry in
value terms increased at a CAGR of 9.7% during 2015-2019.

The business plan in this report highlights the launch of a future tech startup company providing
modern home and office construction with state-of-the-art 3D printing using completely eco-friendly
recyclable materials at an affordable price. The plan consists of the total capital planning and cash
flow requirement for the success of this company as well as including an annual cash flow forecast.
This report is to include a financial plan that requires a startup investment of 100million Rupees.
The owners will contribute 50% of the cost and the balance would be borne by investors interested in
the start-up business. Baya Weaver designers and Builders (pvt) ltd is expected to generate net
earnings from the 2nd year of its commencement and expect payback period to be less than 5 years.

According to analyzed data throughout this business proposal, at Baya Weaver designers and
Builders (pvt) ltd, construction using 3D modeling is a unique opportunity for modern thinking business
investors to invest their money and acquire higher amounts of revenue within a short span of time.

3.0 Need Analysis


It’s no secret that the construction industry is one
of the worst industries with low efficiency
compared to other industries. With the covid-19
pandemic, the case is much worse. On average
it would take at least 6-12 months to construct a
house. From planning to constructing from
foundation up, is not inexpensive either
considering manual labor costs too. This housing
construction is ideal for nomads who are unable
to afford prices in Sri Lankan housing bubble,
Fig1. (Construction of a house 3D printed using recycled concrete)
who are willing to think about not just economy but environment too. As the material costs for a
conventional house keeps increasing more people tend to give up on their ambition on building their
dream home.

Other obstacles must be addressed from the standpoint of the homeowner. Housing is expensive,
especially in high-cost areas like Colombo and Kandy, and developing new involves long lead times
and jumping through regulatory hoops on top of the financial ramifications. Existing houses are not
always the correct square footage for current market needs and recent tendencies toward "right sizing"
housing and a scarcity of affordable modestly sized beginning homes. Consumers also want to live in
homes that are less expensive to run and maintain. Also, after the initial success of the company, this
technology can be used for improving the living conditions of low-income families with collaboration
with local government and NGO’s.

3.1 Benefits of 3D printing over conventional construction


• Cost effective: 3D printing a house is fast and efficient compared to conventional construction
using man power. Labor costs and material costs utilized for 3D printing is much lower
compared to traditional construction
• Eco-friendly: The global construction industry releases 40% of green house gas emissions and
utilizes 36% global energy use. This can be cut down drastically by implementing 3D robots to
print houses with as recyclable concrete adhesive mix. 3D printers are able to reduce 2.5kg of
waste per square foot generated in housing construction sites.(Idle T, 2021)
• Increased Design shapes:
• Reduced construction time: 3D printing allows for the creation of designs and customizations
that are impossible or prohibitively expensive to achieve using traditional building methods.
Printing modest amounts of concrete where they're needed can substantially expand an
architect's creative options. Basically, your imagination is the limit to building your dream home.
• Reduction of construction time: It is possible to accomplish a housing project in a fraction of the
time with a 3D printer. Construction of a house using 3D technology may be finished in as little
as one and a half months, as opposed to the conventional six-month timeframe. Construction
of structures in a short period of time might be critical in an emergency circumstance.
• Durability: 3d printed concrete adhesive mixtures are super strong in strength and can
withstand cyclones and floods without an issue.
Fig2 Conventional construction of a house in
srilanka

It is possible to accomplish a constructing project in a fraction of the time with a 3D printer.


Construction of a house using 3D technology may be finished in as little as one and a half months, as
opposed to the conventional six-month timeframe. Construction of structures in a short period of time
might be critical in an emergency circumstance.

Taking the above criteria into consideration and the current prevailing situation in the country, that’s
foretold would last for almost half a decade or more, the rise of cost to own a house constructed using
traditional methods are increasingly becoming unaffordable. Therefore, we, at Baya Weavers are
committed to solve this problem by thinking out of the box. Using contemporary and state of the art
technology, our targeted audience can gain the maximum benefits out of this plan. Also, as the costs
to print is marginally low, the profit margin acquired would be higher than in traditional construction
making our investors delightful and at the same time promote this technology around the country as
the pioneers.

With the introduction of 3D printing to build houses in sri lanka, we are able to;
-Minimize the cost for construction
-Minimize the time spent for construction
-Increase profitability and indirectly boost economy using local materials
-Provide a new and revolutionary construction system to the entire construction market
-Optimize the build quality of houses
-Have an impact to reduce the housing market rates
-Reduce homelessness in the country
4.0 Product Outline
Many ask how and why we decided to start Baya Weavers and revolutionize the construction rather
follow the old footsteps of typical methods. The 3D printer itself is premade according to our
customization and utilization.
The process of 3D printing a house:

-Step 1: It is possible to accomplish a building project in a fraction of the time with a 3D printer.
Construction of a house using 3D technology may be finished in as little as one and a half months, as
opposed to the conventional six-month timeframe. Construction of structures in a short period of time
might be critical in an emergency circumstance offering a size range from 10ft x 10ft to all the way to
100ft x 100ft.

-Step 2: Numerous mix formulations that are almost identical to mortar are available. It takes 2 weeks
to evaluate each mixture for a variety of properties, including fluidity, bonding, water resistance,
seismic resistance, curing, and strength. Structure and engineering goals dictate the PSI range of a
mix, which can range from 1200 to 10,000 PSI.

Fig4: Types of mortars


available with us
-Step3: Step 3 is crucial as this is where the customer decides and finalizes the Design with our team
for printing.

-Step4: You will need to create a 2D design using CAD software and then convert it to a 3D model
using any software that can produce an STL file.

Fig6: 2d/3d visualization

-Step5 : For each print pass, an STL file is imported from the 3D model and the height of each print
may be set. Code is exported once each print pass has been sliced into separate nozzle movements.
-Step6: Electrical boxes and plumbing are added during the printing itself leaving a beautiful, neat and
perfect finish without any gaps.

-Step7: After batching the mix on-site, the liquid components are added and blended to prepare it for
delivery to a computer-controlled pump that works in conjunction with the printer to manage nozzle
speed and material flow rate at the nozzle.
-Step8: After printing the walls, windows and doors are cut out while the print is still green, leaving
perfect openings for window/door casings.

-Step9: The secret of printing without halting every 12" as the rest of the world perceives it is to
employ a batch facility that meters all dry and liquid materials when temperature, wind, and humidity
fluctuate. The mix formula utilized at 5 a.m. is not the same as the mix formula used an hour later.
Baya Weaver offers a number of mix formulae with varying strengths and cure durations, eliminating
the need to purchase proprietary mixes and spending five times the price for what is currently
available from local batch plants.
5.0 Product cost analysis
# Material description Quantity Unit cost Total cost
1 3D printer-small 1 7,600,000 7,600,000
2 3D printer – big 1 15,500,000 15,500,000
3 Bolts and joints 250 1050 262,500
Total cost of the equipment 23,362,500
Table1

6.0 Alternatives and competitors


As a booming industry catering to almost 1000+ engineers, laborers and various other parties have a
stance in the current market working independently or under various construction firms. Hardly any
competitors offering the same service and infrastructure as us are available in the market. Thus,
creating a open market available with so many opportunities to grab.
Especially for low-income housing projects that’s taking place all over the island under the patronage
of the government. However, as a start-up company that is looking forward to revolutionize the
construction for the betterment of the future, it will have to face almost all conventional contract
construction firms shoulder to shoulder to become the top tier construction firm in the country.

Competitors limited to Colombo city limits:


-Access Engineering
-ICC engineering
-MAGA construction
-UNICAD builders
-Link Engineering
-Sierra construction
-Tudawe brothers
-Ideal engineering
-Nawaloka construction company
-RR construction
-Sanken construction
What are the Dealbreakers in choosing Baya Weaver?

-Design: From the start, our engineers recognized the critical nature of developing a design that had
all of the same characteristics but was also simply understandable. A portable
printer that is light and simple to assemble on the field. Printers used at Baya
Weavers are 75 percent lighter than other printers in the market and take 80
percent less time to assemble. This is a printer that does everything, does it faster,
and costs half as much as the competition.

-Basement and second story: While the capacity to print basements and second stories is not
necessary in certain regions of the world, it is critical in Sri
Lanka as a space is scarce. Our revolutionary 3d printer utilized
can solve this problem by printing basements and upper levels
(limited to 3)

-Assembly: Assembled and disassembled within 2 working hours each.

-After sale service: At Baya Weavers, customer is god! Therefore, we have decided to provide a 24/7
online portal and Social media pages so our customers can contact us at their convenience. Top to
that, a comprehensive limited 2 year warranty would be applied to the entire household that was
printed.

-Cost: Price is always a factor. As mentioned earlier the cost to print a house is
fraction of a traditional construction of a house. Which is an automatic marketing
strategy.

-Franchise: We are open for franchising and knowledge exchange with other engineers in the field. We
want them to invest in us not just because we can enable to gain extremely great profits for their
companies, but by doing so sri lankan construction industry would be taking
another leap into the future and be ahead of our neighbors in the continent.
As news of this innovation begins making its way to the public, demand will
become unimaginable. Since our customers are creating the exposure and
excitement, it’s only right that they share in the success and residual income
opportunity.
7.0 Marketing and implementation plan
NGOs who are looking for a low-income housing project to put some money into and low/middle
income clients are an initial business entry point. Baya Weaver designers and Builders (pvt) ltd offers
houses with less cost which can be built in less time as well. In order to keep the quality of the housing
projects consistent with the Institute of Engineers Sri Lanka, the development and the design section
of the projects will be under strict professional supervision. In order to increase the satisfied consumer
base and gain target market share, there are 5 different categories that will be added to the market in
the future.

1. Service and warranty


After the construction of each project a 24-month period will be given where limited services will be
provided with any issue occurred within that time span. The client should contact Baya Weaver
designers and Builders (pvt) ltd and make a complain with the issuer and within 24hrs maintenance
service will be provided.

2. Market Segmentation
Due to the inflation in Sri Lanka the budget to build a house with the conventional method is very high
compared to the method we have proposed and also takes dramatically less time, this is expected to
be the key growing factor as people want houses and NGOs around the world are willing to make it
possible for low and missile income people. During the market Baya Weaver designers and Builders
(pvt) ltd has targeted 3D printed cost-effective and less time-consuming construction of houses to
achieve market leadership. It has a innovative solution to improve the conventional method and a
relative solution that can solve many of the housing problems faced in Sri Lanka at the moment like
the budget and the duration needed to construct a building.

3. Pricing
3D printing is implemented into a variety of simple to very advanced and luxurious houses. The
simplest housing project will cost up to 2million and a very advanced one will be costing
approximately 18 millio

SALES REVENUE
14,000,000

12,000,000

10,000,000

8,000,000

6,000,000

4,000,000

2,000,000

Table 2
Month Sale Revenue
July 10,000,000
August 11,000,000
September 9,000,000
October 10,200,000
November 11,100,000
December 11,200,000
January 11,250,000
February 11,300,000
March 11,400,000
April 11,500,000
May 11,680,000
June 11,980,000

Total 131,610,000

Table 3

By June 2023, Baya Weaver designers and Builders (pvt) ltd's sales estimate is predicted to reach
11.98 million LKR, with a 10% market share. The predicted yearly sales estimate was computed by
dividing the entire expected market population by a customer growth rate of 2%. The total yearly sales
are anticipated to be LKR 131.61 million. In January and during the Sinhala Tamil new year, there may
be additional housing developments.

4. Advertising and Promotional Strategies

There are 4 different marketing channels


• Websites
• Promotes
• Social Media
• Architects and Consultants
With a 5% markup on the building construction price and a 5% markup on the channel marketing price
from the agent producer, Baya weaver designers and builders (pvt) ltd utilizes a selling strategy for
markups and buys advertising spaces on the agent's website and social media. Clients will be
informed about the building progress in advance via social media and the website.

What key relationships are required to establish good clientele?


-Promoting to the right crowd: As a startup before entering the commercial market we would like to test
our grounds on large scale low income housing projects under government contracts. As most of
these projects require a considerable amount of time and money. BAYA WEAVERS can do it at a
fraction of the cost and twice the speed.
-Skilled laborers: Operating 3D printer is no easy task. As this is more technologically advanced a
minimal crew of 10 would be trained to carry out the tasks. 2 technical assistants are more than
enough to operate one 3d printer.

Raising money for the start-up


-Bootstrapping
-Investors
-Bank Loans
-Franchising
-Small business administration
8.0 Appendix
PESTLE ANALYSIS

External Factors to Factors affected within Importance to


consider the industry the organisation
POLITICAL 1. Tax 1. Government is 1. low
2. Government facing an
stability instability period
3. Industry as the foreign
regulations debt has risen
4. limits and/or sharply.
agreements 2. April 21st, 2019,
5. Government easter bombing 2. High
policy attack in Sri
Lanka has made
foreign investors
including other
countries to
reconsider their
options.
3. Covid 19
restrictions are
also making the 3. High
investors
hesitate to
invest.
ECONOMICAL 1. Exchange rates 1. Exchange 1. High
2. Globalisation rate fluctuations
3. Economical continue to effect
expansion / supplier
contraction negotiations.
4. Inflation 2. Due to
5. Interest rates the substantial 2. High
6. Cost of living increase in
7. Consumer foreign debt,
spending habits there is still
uncertainty in the
Sri Lankan
corporate market
and among
investors.
3. The
Covid-19
epidemic has 3. medium
pushed
customers to cut
back on their
expenditures.

4. The cost 4. medium


of living in the
country is rapidly
rising.
SOCIAL 1. Consumer 1. The country has 1. medium
preferences/trends a wide range of
2. Consumer cultural
purchasing influences.
behaviours are
2. medium
influenced by 2. The country's
lifestyle variables. economic
3. Population. diversity. 3. medium
3. Our firm is still
not at the stage
where luxury
villas may be
built.

TECHNOLOGICAL 1. Au to m a tio n 1. Is our technology 1. High


2. In n o va tive up to the task at
hand today and
3. so cia l n e two rkin g
in the future?
4. Disru p tive What is the
te ch n o lo gie s quality of our
5. ro b o tics internet
6. se cu rity presence?
7. a rtificia l 2. Website ease of
use for 2. Medium
in te llige n ce customers.
3. Robotics
expertise in Sri 3. High
Lanka.
4. Learning to Link
Robotics with AI. 4. High
LEGAL 1. Employment law 1. Wage rates 1. Low
2. Common law 2. If the machines
3. Local labour law are up to date 2. Medium
4. Health and safety and cannot
regulations cause any harm
to the operators
or anyone
around.
ENVIRONMENTAL 1. The government of 1. The rise in 1. medium
the nation has set ethically and
environmental environmentally
limitations. conscious
2. Sustainable investors.
resources 2. Ethical sourcing 2. medium
3. CSR (corporate has pushed the
social price up for the
responsibility) materials.
4. Ethical sourcing 3. Transporting the
5. Supply chain machineries and 3. High
6. Management or the materials
7. Procurement from overseas is
8. Transportation a big problem
9. Future pandemics. due to the
pandemic.
Table 4
(CIPD, 2021)
Porter’s Five Forces
1. Threat of New Entrant – Medium Effect
Baya Weaver designers and Builders (pvt) ltd is more likely to attract clients from the start since it
offers a distinctive service. Customers must be made aware of the services supplied by this firm
because there are few rivals in this industry in South Asia. In addition, an initial investment must be
required to purchase 3D printing construction equipment, as well as to engage programmers and
operators to operate it. There needs to be a methodical approach to attracting clients and completing
projects on time.

2. Bargaining power of Buyer – High Effect


As it’s a construction company, client’s budget is very important, the whole structure will be prepared
only according to that. So the client have the negotiating power.

3. Bargaining Power of Supplier – Medium effect


As a company with considerable operation range and considering the unique features offered by the
organisation, this company has the outcome of the product but the control over the price of the product
is less than what the buyer has.

4. Threat of substitution of products and services – (Low Effect)


3D printing is one of the most cutting-edge technologies now accessible in the building sector. In this
pandemic condition, and as a result of the country's high living costs, everyone wants a low-cost
solution to build a home. Baya Weaver designers and Builders (pvt) ltd.’s approach is one of the most
cost-effective and, most likely, the first in South Asia. However, keep an eye out for a new firm that
takes a different or similar strategy to doing business.

5. Competitive Rivalry – Medium effect


The only competition will be construction organizations that still use the traditional method, as Baya
Weaver designers and Builders (pvt) ltd's method is unique and likely the first in South Asia. This
rivalry may be ended by having a competent marketing plan and demonstrating the clients how
switching to our way would save them millions of rupees.

SWOT analysis
Strengths
• Ease of constructing building with required form and size
• This sector has enormous market potential and development potential, with essentially no local
competition.
• One competent 3D construction printer can print all of the building's essential elements.
• Product quality is excellent, and the manufacturing process is quite efficient.
• Cost effective.
• Sustainable Construction method.
• Being able to use recycled materials.

Weakness
• Hours of concentrated training and learning to operate machinery and software are required.
• Few machines may be expensive, and the initial investment may be substantial.
• Due to the current state of the country, there is a scarcity of materials and equipment.
• It's possible that finer print details will cause problems.
Opportunities
• Making portable printers.
• Social Media advertisements.
• Sharing our innovative ideas on engineering-related social media communities.
• Constructing luxury hotels and villas.
• Helpful and adaptable in extreme regions of the world.
• Introducing more modern gear capable of manufacturing even the tiniest detail.

Threats
• Compatibility and performance of the printing machine
• If it falls into the wrong hands, it might be exploited for illegal purposes.
• As a result of the global competitive nature of the sector, it is vital to stay up with innovations
and standards.
• Ethical issues.

9.0 References
.

Idle 2021, Are 3D printed buildings the sustainable future of construction


Available at: https://sustainablebrands.com/read/product-service-design-innovation/are-3d-printed-
buildings-the-sustainable-future-of-construction [Accessed 25 01 2022].

CIPD, 2021. CIPD. [Online]


Available at: https://www.cipd.co.uk/Images/PESTLE-example-for-retail-industry-2021_tcm18-
27108.pdf
[Accessed 25 01 2022].

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