IIMK Project Report

6.2 Rationing Communication Mix Expenses using Analytical Optimisation Having identified the various communication mix strategies used to reach out to the target market, we use numerical optimization to decide the ratio of budget allocation to various strategies. 6.2.1 Assumptions 1. The optimization model is based on minimizing the total cost while maximizing the extant of reach, probability of targeted impressions, and brand recall probability of the target audience. 2. The weights associated with each parameter in the objective function was decided based on the Delphi technique. 3. The variables used to measure each item were normalized, and hence we assume that there is no impact of errors due to differences in the units used to measure them. 4. The impression of communication mix was calculated as the ratio of total number of audience using the medium to the total population in the target market. 5. The brand recall probability of target audience was estimated based on consumer survey. Optimization function Maximize w1­ x­i+w2 x­i-w3 xi­ Ɐ i varying from i=1 to i=17 Where: x1i is the probability of achieving targeted impressions using strategy xi, x2 is the probability of brand recall using strategy xi, x3 is the normalized cost of communication strategy using strategy xi, w1 is the weight associated with targeted impressions, x2 is the weight associated with brand recall, x3 is the weight associated with communication strategy Solving the optimization problem using the above objective function subject to various constraints yield the following optimum ratio for allocation of communication expenses: AIMER - Detailed Project report 36

Communication channels Optimal Ratio Timelines Newspaper front page advertisements 0.0000 na Other newspaper advertisements 0.1009 From January 2022 Radio advertisements 0.0835 From January 2022 Television advertisements 0.2000 From March 2025 Career counselling events (international) 0.0508 From January 2022 Career counselling events (domestic) 0.0509 From January 2022 International practitioner conferences 0.1038 From October 2022 International academic conferences 0.1004 From October 2023 Management fests and competitions 0.1200 From September 2022 Hoardings 0.2007 From April 2021 Facebook ads 0.0121 From April 2021 Linkedin ads 0.0040 From April 2021 Twitter ads 0.0000 na Instagram ads 0.0091 From April 2022 Google ads 0.0408 From March 2021 YouTube ads 0.0007 From April 2022 Influencer marketing 0.0030 From April 2022 Table 7. Optimization analysis for marketing communication We find that based on minimising the total cost while maximising the extant of reach, probability of targeted impressions, and brand recall probability of target audience, the top 3 communication mix spends allocated in the decreasing order of importance should be hoardings, television advertisements, and events including conferences, management fests and case study competitions. 37 AIMER - Detailed Project report

7. RESEARCH AND MANAGEMENT CONSULTING

7. RESEARCH AND MANAGEMENT CONSULTING 7.1 Center for Omni Channel Retail Omni-channel retail, a multichannel approach to sales that focus on providing a seamless customer experience whether the client is shopping online from a mobile device, a laptop, or in a brick-and-mortar store. The investments in retail continue to be one of the highest when compared to other sectors. According to the CMIE statistics, projects worth Rs 29700 million have been completed over ten years, and new projects worth Rs 3000 million have been announced in Kerala. Marketers do not feel overwhelmed by any aspect of the Omnichannel experience. But they lack t h e cross-platform data, customer recognition capabilities, and core technology to create the Omnichannel experiences demanded by today’s customer journey. They need a digital experience platform (DXP) that enables customer data capturing and gives a unified 360-degree view of the customer to create hyper-personalized customer experiences. Something that companies today need more than ever. The consumer research labs will consist of facilities for: India has the 2nd largest startup ecosystem globally and is expected to witness an annual growth of 10-12%. This creates a demand for mentoring and consulting the startups, including those run by our students. Start-ups are increasingly winning the Omnichannel retailing game, arising the need for big brands to follow suit. According to V12 Data, brands with Omnichannel customer engagement strategies retain around 89 percent of their customers, in contrast to the customer retention rate of 33 percent for brands with a weak commitment to the Omnichannel presence. Omnichannel presence empowers brands to reach consumers and provide them with relevant consumer experience at every touchpoint – online and offline. Pricing strategies vary based on the attributes of target customers like demography, interests, etc. Companies’ decision to choose between a fixed price, tier-based pricing strategies, skimming strategy etc., is crucial. Wrong strategies may confuse the consumers creating a Paradox of Choices. 39 AIMER - Detailed Project report

7.2 Centre for Islamic Business and Finance 15% - 25% The standard practices of Islamic finance and banking came into existence along with the foundation of Islam. However, the establishment of formal Islamic finance occurred only in the 20th century. Nowadays, the Islamic finance sector grows at 15%-25% per year, while Islamic financial institutions oversee over $2 trillion. The main difference between conventional Figure 27. Yearly growth of Islamic finance and Islamic finance is that some of the finance sector practices and principles used in conventional finance are strictly prohibited under  Sharia laws. Contemporary Islamic finance is based on several prohibitions that are not always illegal in the countries where Islamic financial institutions are operating.  Islamic finance is becoming a global phenomenon with interest spanning to non-Muslim countries such as the UK, Luxemburg, Kenya, South Africa, and Hong Kong  Global Islamic banking market covers Takaful: Islamic Insurance, Sukuk: Islamic Bonds, and Shariah Capital Market: Islamic funds.  The Centre will be unique by focusing on global research and consulting related to Islamic finance, decision-making behavior analysis, halal supply chain management, etc.  The team will comprise of experts from academia and industry, including major Islamic banks in the GCC. The Centre will have partnerships with leading research centers around the world. 7.3 Centre for Purchase and Distribution Management Crisis brings its own set of opportunities. New numbers suggest that the manufacturing activity in India has dropped to near-zero levels. However, on the contrary, this pandemic can pave India’s much-anticipated way into the manufacturing sector. The post-Covid economy will face a rapid transition towards encouraging local manufacturers. The cost advantages in the country and transparency pose a great opportunity for the manufacturers in the country. The center aims to handhold existing and aspiring local manufacturers to adopt the best management practices. AIMER - Detailed Project report 40

Kerala’s logistics sector is gearing towards rapid expansion with Rs 16000 million under progress in the State. Scientific methods for optimization of inbound and outbound logistics can help organizations save huge sums. The total export and import traffic in Kochi and Mangalore, the nearest ports to Calicut, has grown tremendously over the years with Kochi (2,70,00,000 tonne imports, 64,34,000 tonnes export) and Mangalore (2,92,60,000 tonnes import, 98,85,000 tonnes export. Considering the geographical advantage and proximity to international maritime routes, Kerala can emerge as the southern states’ good logistics hub. The unorganized market mostly captures the wholesale and retail trade in the country and especially Kerala. Retailing in Kerala is a subject too subtle and relevant, as Kerala is known as a consumer state rather than a producer state. With investment projects worth Rs 3000 million already announced, the unorganized segment will face stiff competition. 7.4 Centre for Family Business Management The business environment in India is rapidly changing. It is far more dynamic today than ever before. The family managed businesses must adapt to a professional way of managing their businesses to remain afloat in today’s dynamic environment. India ranks among the top three positions in several family businesses around the world. Family-owned or family-controlled firms account for over 90% of all incorporated companies in India. Interestingly, a meager 12% of the family-owned business has a robust succession plan, and multiple generations of families influence decision-making in a family-owned/controlled firm. 41 AIMER - Detailed Project report

Many family businesses in Kerala, from big jewellers to small restaurant chains, are not professionally managed. These businesses’ specific problem areas are succession planning, scaling and expansion, innovation adoption, and lack of professionalism. They need to explore how to scan the environment and identify/encash the opportunities available to them to grow either in the same field or in new vistas and expose them to the theory related to the business’s functional aspects, developing strategies and the importance of professional management. The proposed center comprises experts from academia and industry veterans. It will offer a mentoring approach to tackle all scale and growth-related problems, powered by cutting edge research-backed insights. 7.5 Centre for Health Care Management Healthcare providers and facilities’ need is growing, as the population ages and life expectancy increases due to medical advances. The market for professionals to manage healthcare facilities will also grow. Duties of these professionals include ensuring that individual departments run smoothly, qualified employees are hired, information is disseminated efficiently throughout the organization, specific outcomes are reached, and resources are used efficiently, among many other responsibilities. There are general healthcare managers and those who are considered specialists. Generalists oversee entire facilities, while specialists focus on specific departments like marketing, finance, policy analysis, or accounting. Indian healthcare is undergoing a transformational change with the Covid-19 pandemic. This is impacting both public and private healthcare provisioning for Covid and non-Covid care. The changes are going to manifest both in terms of short and long-run implications for transitions in business models, healthcare strategy, health economics, and patient centricity, lives of healthcare workers, the use of big data and machine learning-enabled technology for digital provisioning of AI-enabled healthcare, and also in the role of entrepreneurship, new firm entry and regulation in healthcare. All of this means that the requirements for Indian healthcare need to get more interdisciplinary going forward. The proposed center will make the students aware of: AIMER - Detailed Project report 42

7.6 Centre for Tourism and Hospitality Management According to the United Nations World Tourism Organization, international tourism could decline by 60-80% in 2020 due to the Covid-19 pandemic causing enormous financial stress in the sector. As the world tries to anchor itself amidst the COVID-19 crisis and the virus-induced reality of an impending economic downturn, destination organizations and the hospitality industry will need to apply a new perspective on destination, development, and community engagement. Figure 28. World Tourism scenario » The revenue loss expected due to the pandemic is forecasted to range from $910 billion to $1.2 trillion. Millions of livelihoods are at risk due to the impact on one of the most labor-intensive sectors. » Since pandemic’s impact will be hard for the sector, the center will focus on helping firms develop short-, medium-, and long-term strategies to cope up and thrive amidst the crisis. » India has 37 World Heritage Sites and ten bio-geographic zones. The center shall mainly focus on cruise, adventure, health, wellness, sports, rural, and sustainable tourism. 43 AIMER - Detailed Project report

7.7 Centre for Entrepreneurship With the Technology start-up policy introduction in 2014, Kerala is catching up in India’s start-up map. It has witnessed a handful of successful start-up rag to riches story in the recent past. Experts consider information technology, electronics, biotech, tourism, robotics, food tech, and healthcare as the potential area for growth and start-up action. Despite incubation centers, entrepreneurs lack mentoring support on idea validation, market viability, innovation on the idea, revenue model, crossing the chasm, and go-to-market strategies. The start-up ecosystem in the state also lacks avenues for pre-commercialization funding and VC actions. The proposed center offers: AIMER - Detailed Project report 44

7.8 Centre for Sustainability Sustainable production techniques include environmental and society friendly profitable methods. Unlike conventional methods, the risks associated with sustainable production is on the higher side. Sourcing inputs in a multi-tier supply chain for sustainable produce exponentially increases the associated risks. » Sourcing sustainable inputs involve challenges in terms of availability, authenticity, and price. » Designing sustainable packaging using materials that are socially accepted and environmentally safe. » Distribution includes optimization of distribution channels, choice of strategies such as hub and spoke models and demand forecasting. 45 AIMER - Detailed Project report

Governing body Secret ary AIMER - Detailed Project report Direct o r AIMER Dean Dean Dean Chief Finance Officer Manager Chief Librarian Chief T echnical Officer Public Relations Research and Academics and T raining and Corporate In t ern at io nalizat ion Development Relat io n s Research Office Facult y MDP Office Accounts Department Public Relations Library Office IT Department Dep art men t Office of International PGDM Office Consulting Office Relat io n s 46 Figure 29. Proposed organization structure 65

8. FINANCIAL ANALYSIS

Scenario 1 Start of academic session in 2022 seats 60 initial (Pessimistic) Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year7 Year 8 Year 9 Year10 Fixed expense 2023-24 2024-25 (NBA + 2026-27 (AACSB) 2028-29 2029-30 (Construction) 2021-22 2022-23 Batch size 2030-31 2031-32 Fixed expense (Land) increase 2027-28 Fixed expense -150000000 to 120) 263240000 282032000 (Promoter shares) -90000000 9600000 10500000 Revenue (PGDM) -50000000 2025-26 31500000 37200000 304340000 329732000 AIMER - Detailed Project report 0 24000000 48000000 54300000 86700000 136960000 217800000 234320000 225600000 39605846 40794022 50445000 52445000 Revenue(Consulting) 1000000 2000000 2400000 3600000 4080000 4800000 6000000 8100000 8700000 54000000 54000000 1173700 931700 Revenue(Training) 864000 5184000 8640000 8640000 16200000 17820000 27000000 29700000 29700000 12463000 12463000 157687546 160633722 Total revenue 1864000 31184000 59040000 66540000 106980000 159580000 250800000 272120000 264000000 146652454 169098278 321917901 491016179 Variable Expense (HR) 7560000 26970000 30639100 33169273 34164351 35189282 36244960 37332309 38452278 0 10250000 15500000 21000000 32345000 34145000 39695000 42195000 46445000 Variable expense 11000000 12100000 10890000 40000000 36000000 60000000 54000000 54000000 (Library and CC) 8000000 Marketing expenses Accreditation expenses 0 1700000 700000 1000000 770000 1067000 3100000 1012000 847000 0 2500000 6700000 48 Other expenses 15560000 52420000 65639100 7500000 9400000 10300000 10300000 11330000 11330000 including electricity, water, internet charges 73559273 116679351 116701282 149339960 145869309 151074278 Total expenses Income -13696000 -21236000 -6599100 -7019273 -9699351 42878718 101460040 126250691 112925722 Cumulative -163696000 -184932000 -191531100 -198550373 -208249724 -165371006 -63910966 62339725 175265447 Total project cost -338550373 estimate (Scenario 1)

Scenario 2 Start of academic session in 2022 seats 120 initial Fixed expense Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year7 Year 8 Year 9 Year10 (Construction) 2023-24 (NBA + (AACSB) 2029-30 2030-31 2031-32 Fixed expense (Land) 2021-22 2022-23 Batch size Fixed expense increase) (Promoter shares) -148877249 49 AIMER - Detailed Project report Revenue (PGDM) -90000000 2024-25 2025-26 2026-27 2027-28 2028-29 -50000000 96000000 108600000 147300000 206560000 331800000 353420000 344700000 397100000 425288000 0 48000000 Revenue(Consulting) 1000000 2000000 2400000 3600000 4080000 4800000 6000000 8100000 8700000 9600000 10500000 Revenue(Training) 864000 5184000 8640000 8640000 16200000 17820000 27000000 29700000 29700000 31500000 37200000 Total revenue 1864000 55184000 107040000 120840000 167580000 229180000 364800000 391220000 383100000 438200000 472988000 Variable Expense (HR) 7760000 30850000 41835500 44701565 46042612 47423890 48846607 50312005 51821365 53376006 54977287 0 22000000 21500000 27750000 41750000 36950000 42500000 45000000 49250000 53250000 57750000 Variable expense 15000000 16500000 14850000 50000000 45000000 80000000 72000000 72000000 72000000 72000000 (Library and CC) 8000000 Marketing expenses Accreditation expenses 0 1700000 700000 1000000 770000 1067000 3100000 1012000 847000 1173700 931700 0 2500000 6700000 Other expenses -15760000 -72050000 -87235500 7500000 9400000 10300000 10300000 11330000 11330000 12463000 12463000 including electricity, water, internet charges -95801565 -147962612 -140740890 -184746607 -179654005 -185248365 -192262706 -198121987 Total expenses Income -13896000 -16866000 19804500 25038435 19617388 88439110 180053393 211565995 197851635 245937294 274866013 -162773249 -179639249 -159834749 -134796314 -115178926 -26739816 153313577 364879572 562731206 808668500 1083534513 Cumulative -319639249 Total Project Cost estimate (Scenario 2)

AIMER - Detailed Project report 8.1 Breakeven analysis Figure 30. Breakeven Analysis 50

8.2 BUILDING INFRASTRUCTURE Sl Description Quantity Unit Rate No. 1 LS 3,00,000.00 1 Statutory Charges for permit 3,00,000.00 3,00,000.00 2 Foundations 51 AIMER - Detailed Project report PILE RCC 60DIA 2072 M 3,168.00 65,64,096.00 193 Pile chipping 60 M 950.00 1,83,350.00 PCC FOR PILE CAP 27.27 M3 6800 1,85,436.00 RCC FOR PILE CAP 185.58 M3 11,000.00 20,41,380.00 89,74,262.00 3 Earth Work 258.03 M3 200.00 51,606.00 Earth Cutting 1 LS 13,00,000.00 13,00,000.00 13,00,000.00 4 Site boundary 1 5 Gate & Gate Structure LS 4,29,000.00 4,29,000.00 4,29,000.00 6 Rainwater harvesting civil work 1.00 LS 5,00,000.00 5,00,000.00 7 STP/septic tank civil work 8 SOAK PIT 1.00 LS 5,00,000.00 5,00,000.00 1.00 LS 1,50,000.00 1,50,000.00 9 Basement base slab & plinth beam 42.14 M3 6,800.00 2,86,579.20 PCC for Lower Basement base slab RCC for Lower Basement base slab 147.22 M3 11,000.00 16,19,420.00

10 RCC For Retaining Wall 56.45 M3 15,000.00 8,46,750.00 8,46,750.00 Basement Floor AIMER - Detailed Project report 26.40 M3 15,600.00 4,11,840.00 11 RCC For Column 52.61 M3 15,600.00 8,20,716.00 Lower Basement Column 54.53 M3 15,850.00 8,64,300.50 Basement Floor 46.40 M3 16,100.00 7,47,040.00 Ground Floor 40.46 M3 16,350.00 6,61,521.00 First Floor 7.20 M3 16,600.00 1,19,520.00 Second Floor Roof floor 256.00 M3 14,100.00 0.00 256.00 M3 14,100.00 36,09,600.00 12 RCC For Slab & beam, stair etc.. 264.02 M3 14,350.00 36,09,600.00 Lower Basement 244.48 M3 14,600.00 37,88,687.00 Basement Floor 187.00 M3 14,850.00 35,69,408.00 Ground Floor 22.35 M3 15,100.00 27,76,950.00 First Floor 3,37,485.00 Second Floor roof Floor 280440.00 KG 75.00 2,10,33,000.00 2,10,33,000.00 52 13 STEEL 88.84 M3 7,600.00 6,75,184.00 259.74 M3 7,600.00 19,74,024.00 14 Solid Block Masonry 290.60 M3 7,600.00 22,08,590.40 Lower basement floor 257.44 M3 7,825.00 20,14,468.00 Basement floor 273.21 M3 8,050.00 21,99,340.50 Ground Floor 56.00 M3 8,275.00 4,63,400.00 First Floor Second Floor Roof floor 68,85,798.90

53 AIMER - Detailed Project report 15 Inside Wall Plastering 602.415 M2 430.00 2,59,038.45 Lower Basement Floor 2,346.30 M2 430.00 10,08,909.00 Basement Floor 2,770.30 M2 434.00 12,02,310.20 Ground Floor 2,663.62 M2 438.00 11,66,665.56 First Floor 2,137.62 M2 442.00 9,44,828.04 Second Floor 309.34 M2 446.00 1,37,965.64 Roof floor 448.65 M2 505.00 2,26,568.25 16 Outside Wall Plastering 671.72 M2 505.00 3,39,218.60 Lower Basement Floor 787.24 M2 510.00 4,01,492.40 Basement Floor 642.74 M2 515.00 3,31,011.10 Ground Floor 597.39 M2 520.00 3,10,642.80 First Floor 370.00 M2 525.00 1,94,250.00 Second Floor Roof floor 1.00 LS 3,00,000.00 3,00,000.00 Water cutting 18,76,614.90 17 Painting 10,520.26 M2 180.00 18,93,646.98 Inside painting Outside Painting 3,147.66 M2 620.00 19,51,549.20 Painting of handrails & grills 508.30 M2 200.00 1,01,660.00 18 Flooring Lower Basement floor 39,46,856.18 Basement Floor Ground Floor - First Floor Second Floor 418.39 M2 1,350.00 5,64,826.50 Lift Cladding Road & Parking finish 1259.39 M2 1,350.00 17,00,176.50 1256.18 M2 1,350.00 16,95,843.00 1249.76 M2 1,360.00 16,99,673.60 862.42 M2 1,370.00 11,81,515.40 1.00 LS 5,00,000.00 5,00,000.00 1.00 LS 14,00,000.00 14,00,000.00

Kerb stone 1.00 LS 2,40,000.00 2,40,000.00 19 TOILET WALL TILE 87.50 84,17,208.50 Basement Floor 87.50 Ground Floor 87.50 0.00 First Floor 87.50 Second Floor M2 1,200.00 1,05,000.00 20 Industrial work M2 1,200.00 1,05,000.00 MS Handrail (Staircase) Window grill M2 1,220.00 1,06,750.00 Rolling Shutters M2 1,240.00 1,08,500.00 21 powder coated Windows Doors 4,25,250.00 Door D(1.2x2.4) Door D1(1x2.4)MAIN - Door D1(.75x2.4) 150.54 M 1,800.00 2,70,972.00 22 Glass work – structural glazing AIMER - Detailed Project report 328.30 M2 2,100.00 6,89,430.00 23 Water proofing toilets 7 cm screed layer over water proofing 309.89 Sft 150.00 46,483.20 24 Water proofing-tanks plastering 10,06,885.20 25 Roof Water proofing plastering 3228.00 Sft 550.00 17,75,400.00 0.00 20.00 Nos 30,000.00 6,00,000.00 41.00 Nos 18,000.00 7,38,000.00 40.00 Nos 13,000.00 5,20,000.00 36,33,400.00 5889.7 sqf 400.00 23,55,880.00 23,55,880.00 54 3755.24 Sft 75.00 2,81,643.00 17.08 M3 8,500.00 1,45,180.00 1.00 4,26,823.00 LS 4,00,000.00 4,00,000.00 4,00,000.00 12913.18 Sft 75.00 9,68,488.50

Roof Water proofing screed 7.5 cm thick 90.01 M3 9,000.00 8,10,072.00 26 Lift 2 Nos 23,00,000.00 46,00,000.00 17,78,560.50 12,00,000.00 31,15,500.00 27 Landscaping 1 LS 12,00,000.00 52,00,000.00 6,00,000.00 28 False Ceiling Work 1 LS 52,00,000.00 15,00,000.00 3,00,000.00 55 AIMER - Detailed Project report 29 Finishing & Cleaning 1 LS 6,00,000.00 2,00,000.00 3,00,000.00 30 Miscellaneous 1 LS 15,00,000.00 3,00,000.00 20,00,000.00 31 Well 1 LS 3,00,000.00 40,40,867.25 32 Water connection 1 LS 2,00,000.00 10,00,000.00 1,50,000.00 33 Insurance Charges 1 LS 3,00,000.00 1,20,000.00 4,00,000.00 34 Statutory charges 1 LS 3,00,000.00 4,00,000.00 3,87,500.00 35 Provision for step in four classroom & seminar hall 1 LS 20,00,000.00 5,58,000.00 1,00,000.00 36 Consultancy 53878.23 Sft 75.00 95,00,000.00 Other Site Expenses: 59,00,000.00 90,00,000.00 37 Project Staff 1 LS 10,00,000.00 40,00,000.00 5,00,000.00 38 Site Safety & First Aid 1 LS 1,50,000.00 14,88,77,248.77 39 Material testing 1 LS 1,20,000.00 40 Site Office, Stationery/ Store/Toilets 1 LS 4,00,000.00 41 Vehicle 1 LS 4,00,000.00 42 Diesel for Vehicle 31 Month 12,500.00 43 Electricity 31 Month 18,000.00 44 Refreshments , Gas 1 LS 1,00,000.00 45 MEP Works 1 Electrical work 1 LS 95,00,000.00 2 ELV system work 1 LS 59,00,000.00 3 HVAC work 1 LS 90,00,000.00 4 Plumbing works 1 LS 40,00,000.00 5 Fire protection work 1 LS 5,00,000.00 Total TOTAL Table 8. Building Infrastructure estimates

8.3 HUMAN RESOURCES PLAN 2021-22 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 Department Designation Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year7 Year 8 Year 9 Year10 Director(assuming June 9,00,000 36,00,000 37,80,000 4158000 50,00,000 5500000 80,00,000 8800000 9680000 10648000 11712800 2021 part-time and January 2022 full-time) 0 24,00,000 25,20,000 2646000 36,00,000 3780000 50,00,000 5250000 5512500 5788125 6077531.25 Dean 0 0 24,00,000 2520000 32,00,000 3360000 40,00,000 4200000 4410000 4630500 4862025 administration(assuming office January 2022) 0 0 24,00,000 2520000 32,00,000 3360000 40,00,001 4200001 4410001 4630501 4862026 AIMER - Detailed Project report Dean research(assuming 0 2,40,000 2,47,200 254616 2,62,254 2,70,122 2,78,226 2,86,573 2,95,170 3,04,025 3,13,146 office January 2023) 0 848720 Administrative Department 0 8,00,000 8,24,000 848720 8,74,182 900407 9,27,419 9,55,242 9,83,899 10,13,416 10,43,819 Dean corporate 0 8,00,000 8,24,000 848720 8,74,182 900407 9,27,419 9,55,242 9,83,899 10,13,416 10,43,819 training(assuming office 0 8,00,000 8,24,000 848720 8,74,182 900407 9,27,419 9,55,242 9,83,899 10,13,416 10,43,819 January 2023) 3,00,000 636540 3,00,000 8,00,000 8,24,000 636540 8,74,182 900407 9,27,419 9,55,242 9,83,899 10,13,416 10,43,819 Personal assistant to 3,00,000 636540 director 0 6,00,000 6,18,000 636540 6,55,636 6,75,305 6,95,564 7,16,431 7,37,924 7,60,062 7,82,864 0 Chief Librarian 0 6,00,000 6,18,000 0 6,55,636 6,75,305 6,95,564 7,16,431 7,37,924 7,60,062 7,82,864 0 636540 56 Chief Manager (Finance) 0 6,00,000 6,18,000 6,55,636 6,75,305 6,95,564 7,16,431 7,37,924 7,60,062 7,82,864 6,00,000 6,18,000 0 6,55,636 6,75,305 6,95,564 7,16,431 7,37,924 7,60,062 7,82,864 Chief IT Manager 1060900 6,00,000 6,18,000 6,36,540 6,55,636 6,75,305 6,95,564 7,16,431 0 0 Chief Manager (Public Relations and Media) 6,00,000 6,18,000 6,55,636 6,75,305 6,95,564 7,16,431 7,37,924 7,60,062 7,82,864 00 6,00,000 6,18,000 6,36,540 6,55,636 6,75,305 6,95,564 7,16,431 Senior Manager 10,92,727 11,25,509 11,59,274 11,94,052 12,29,874 12,66,770 13,04,773 corporate training 10,00,000 10,30,000 Senior Manager administration Senior Manager (Public Relations and Media) Senior Manager PGDM Senior Manager (Research) Senior Manager (Finance) Senior Manager (HR) Software Developers (2 nos)

Graphic Designer 2,40,000 2,40,000 2,47,200 254616 2,62,254 2,70,122 2,78,226 2,86,573 2,95,170 3,04,025 3,13,146 0 10,00,000 10,30,000 1060900 10,92,727 11,25,509 11,59,274 11,94,052 12,29,874 12,66,770 13,04,773 IT support staff (3 nos) 0 0 Assistant Manager 0 00 3,60,000 3,70,800 3,81,924 3,93,382 4,05,183 4,17,339 4,29,859 corporate training 0 Administrative Department Assistant Manager 0 0 0 3,60,000 3,70,800 3,81,924 3,93,382 4,05,183 4,17,339 4,29,859 PGDM 0 0 57 AIMER - Detailed Project report Assistant Manager 0 0 0 0 3,60,000 3,70,800 3,81,924 3,93,382 4,05,183 4,17,339 4,29,859 administration 0 0 Assistant Manager 0 3,60,000 3,70,800 381924 3,93,382 4,05,183 4,17,339 4,29,859 4,42,755 4,56,037 4,69,718 (Finance) 0 0 Accounts Officers (2 nos) 0 0 0 0 7,20,000 7,41,600 7,63,848 7,86,763 8,10,366 8,34,677 8,59,718 0 2,40,000 2,47,200 254616 2,62,254 2,70,122 2,78,226 2,86,573 2,95,170 3,04,025 3,13,146 Assistant Librarian 0 1,20,000 Corporate Training 0 0 0 0 7,20,000 7,41,600 7,63,848 7,86,763 8,10,366 8,34,677 8,59,718 Support Staff 0 0 PGDM support staff 18,00,000 0 0 0 10,00,000 10,30,000 10,60,900 10,92,727 11,25,509 11,59,274 11,94,052 0 0 0 0 7,20,000 7,41,600 7,63,848 7,86,763 8,10,366 8,34,677 8,59,718 Library support staff 36,00,000 72,00,000 74,16,000 7638480 1,26,67,634 1,66,47,663 1,71,47,093 1,76,61,506 1,81,91,351 1,87,37,092 1,92,99,205 0 0 0 54,00,000 55,62,000 57,28,860 59,00,726 60,77,748 62,60,080 64,47,882 Academics Assistant Professors 18,00,000 0 0 0 48,00,000 49,44,000 50,92,320 52,45,090 54,02,442 55,64,516 57,31,451 (considering Associate Professors 1:15 faculty Professors 75,60,000 18,00,000 18,54,000 1909620 19,66,909 20,25,916 20,86,693 21,49,294 22,13,773 22,80,186 23,48,592 ratio Adjunct faculty 90,000 92,700 subsequently 120000 1,23,600 120000 1,23,600 improved 240000 2,47,200 to 1:12 at 120000 1,23,600 year 4) 0 0 2000000 0 Security 95481 98,345 1,01,296 1,04,335 1,07,465 1,10,689 1,14,009 1,17,430 127308 1,31,127 1,35,061 1,39,113 1,43,286 1,47,585 1,52,012 1,56,573 Other Receptionist 127308 1,31,127 1,35,061 1,39,113 1,43,286 1,47,585 1,52,012 1,56,573 services Hostel warden 254616 2,62,254 2,70,122 2,78,226 2,86,573 2,95,170 3,04,025 3,13,146 Mess supervisor 127308 1,31,127 1,35,061 1,39,113 1,43,286 1,47,585 1,52,012 1,56,573 Driver 0 0 0 0 0 0 0 0 12,00,000 7,00,000 12,00,000 31,00,000 12,00,000 9,00,000 15,00,000 40,00,000 Consulting Academic consulting Accreditation Fee Operational expenses 0000000000 (fund raising) Fund raising Project management costs during construction Total 2,69,70,000 3,06,39,100 3,31,69,273 3,41,64,351 3,51,89,282 3,62,44,960 3,73,32,309 3,84,52,278 3,96,05,846 4,07,94,022 Table 9. Human Resource plan under scenario 1

2021-22 2022-23 2023-24 2024-25 2025-26 2026-27 2027-28 2028-29 2029-30 2030-31 2031-32 Department Designation Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Director(assuming June 2021 9,00,000 36,00,000 37,80,000 4158000 50,00,000 5500000 80,00,000 8800000 9680000 10648000 11712800 part-time and January 2022 full- 0 24,00,000 25,20,000 2646000 36,00,000 3780000 time) 0 2520000 32,00,000 3360000 0 0 24,00,000 2520000 32,00,000 3360000 Dean administration(assuming 0 0 24,00,000 254616 2,62,254 2,70,122 50,00,000 5250000 5512500 5788125 6077531.25 office January 2022) 2,40,000 2,47,200 40,00,000 4200000 4410000 4630500 4862025 Dean research(assuming office January 2023) Dean corporate training(assuming office January 40,00,001 4200001.05 4410001.1 4630501.16 4862026 2023) Personal assistant to director 2,78,226 2,86,573 2,95,170 3,04,025 3,13,146 Chief Librarian 0 8,00,000 8,24,000 848720 8,74,182 900407 9,27,419 9,55,242 9,83,899 10,13,416 10,43,819 AIMER - Detailed Project report Chief Manager (Finance) 0 8,00,000 8,24,000 848720 8,74,182 900407 9,27,419 9,55,242 9,83,899 10,13,416 10,43,819 Administrative Department Chief IT Manager 0 8,00,000 8,24,000 848720 8,74,182 900407 9,27,419 9,55,242 9,83,899 10,13,416 10,43,819 0 8,00,000 8,24,000 848720 8,74,182 900407 9,27,419 9,55,242 9,83,899 10,13,416 10,43,819 Chief Manager (Public Relations 3,00,000 6,00,000 6,18,000 636540 6,55,636 6,75,305 6,95,564 7,16,431 7,37,924 7,60,062 7,82,864 and Media) 3,00,000 6,00,000 6,18,000 636540 6,55,636 6,75,305 6,95,564 7,16,431 7,37,924 7,60,062 7,82,864 Senior Manager corporate 3,00,000 6,00,000 6,18,000 636540 6,55,636 6,75,305 6,95,564 7,16,431 7,37,924 7,60,062 7,82,864 training 0 6,00,000 6,18,000 636540 6,55,636 6,75,305 6,95,564 7,16,431 7,37,924 7,60,062 7,82,864 Senior Manager administration Senior Manager (Public Relations and Media) Senior Manager PGDM Senior Manager (Research) 0 0 0 0 6,00,000 6,18,000 6,36,540 6,55,636 6,75,305 6,95,564 7,16,431 Senior Manager (Finance) 0 6,00,000 6,18,000 636540 6,55,636 6,75,305 6,95,564 7,16,431 7,37,924 7,60,062 7,82,864 58 Senior Manager (HR) 0 6,00,000 6,18,000 636540 6,55,636 6,75,305 6,95,564 7,16,431 7,37,924 7,60,062 7,82,864 Software Developers (2 nos) 0 10,00,000 10,30,000 1060900 10,92,727 11,25,509 11,59,274 11,94,052 12,29,874 12,66,770 13,04,773 Graphic Designer 2,40,000 2,40,000 2,47,200 254616 2,62,254 2,70,122 2,78,226 2,86,573 2,95,170 3,04,025 3,13,146 IT support staff (3 nos) 0 10,00,000 10,30,000 1060900 10,92,727 11,25,509 11,59,274 11,94,052 12,29,874 12,66,770 13,04,773 Assistant Manager corporate 2,00,000 3,60,000 3,70,800 381924 3,93,382 4,05,183 4,17,339 4,29,859 4,42,755 4,56,037 4,69,718 training

Assistant Manager PGDM 0 3,60,000 3,70,800 381924 3,93,382 4,05,183 4,17,339 4,29,859 4,42,755 4,56,037 4,69,718 0 3,60,000 3,70,800 381924 3,93,382 4,05,183 4,17,339 4,29,859 4,42,755 4,56,037 4,69,718 Assistant Manager 0 3,60,000 3,70,800 381924 3,93,382 4,05,183 4,17,339 4,29,859 4,42,755 4,56,037 4,69,718 administration Administrative Department Assistant Manager (Finance) Accounts Officers (2 nos) 0 0 0 0 7,20,000 7,41,600 7,63,848 7,86,763 8,10,366 8,34,677 8,59,718 59 AIMER - Detailed Project report Assistant Librarian 0 2,40,000 2,47,200 254616 2,62,254 2,70,122 2,78,226 2,86,573 2,95,170 3,04,025 3,13,146 0 00 0 7,20,000 7,41,600 7,63,848 7,86,763 8,10,366 8,34,677 8,59,718 Corporate Training Support 0 21,85,454 22,51,018 23,18,548 23,88,105 24,59,748 25,33,540 26,09,546 Staff 10,00,000 10,30,000 1060900 PGDM support staff Library support staff 0 0 0 0 7,20,000 7,41,600 7,63,848 7,86,763 8,10,366 8,34,677 8,59,718 Academics Assistant Professors 0 84,00,000 1,58,52,000 16327560 2,16,17,387 2,70,65,908 2,78,77,886 2,87,14,222 2,95,75,649 3,04,62,918 3,13,76,806 (considering Associate Professors 0 0 0 0 54,00,000 55,62,000 57,28,860 59,00,726 60,77,748 62,60,080 64,47,882 1:15 faculty Professors 0 0 0 0 48,00,000 49,44,000 50,92,320 52,45,090 54,02,442 55,64,516 57,31,451 Adjunct faculty 0 18,00,000 18,54,000 1909620 19,66,909 20,25,916 20,86,693 21,49,294 22,13,773 22,80,186 23,48,592 ratio subsequently improved to 1:12.5 at year 4) Security 0 90,000 92,700 95481 98,345 1,01,296 1,04,335 1,07,465 1,10,689 1,14,009 1,17,430 Other Receptionist 1,20,000 120000 1,23,600 127308 1,31,127 1,35,061 1,39,113 1,43,286 1,47,585 1,52,012 1,56,573 services Hostel warden 0 120000 1,23,600 127308 1,31,127 1,35,061 1,39,113 1,43,286 1,47,585 1,52,012 1,56,573 Mess supervisor 0 240000 2,47,200 254616 2,62,254 2,70,122 2,78,226 2,86,573 2,95,170 3,04,025 3,13,146 Driver 0 120000 1,23,600 127308 1,31,127 1,35,061 1,39,113 1,43,286 1,47,585 1,52,012 1,56,573 Consulting Academic consulting 18,00,000 0 000000000 Accreditation Fee 0 2000000 0 12,00,000 7,00,000 12,00,000 31,00,000 12,00,000 9,00,000 15,00,000 40,00,000 000000000 Fund Operational expenses 36,00,000 0 raising Operational expenses (fund 18,00,000 raising) Total 77,60,000 3,08,50,000 4,18,35,500 4,47,01,565 4,60,42,612 4,74,23,890 4,88,46,607 5,03,12,005 5,18,21,365 5,33,76,006 5,49,77,287 Table 10. Human Resource plan under scenario 2

8.4 LIBRARY AND COMPUTER CENTER Item Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Books 25,00,000 25,00,000 30,00,000 33,50,000 50,00,000 75,00,000 80,00,000 1,00,00,000 1,00,00,000 1,20,00,000 42,50,000 32,50,000 0 45,00,000 0 0 0 0 0 0 PC 10,00,000 25,00,000 50,00,000 50,00,000 50,00,000 50,00,000 60,00,000 60,00,000 75,00,000 75,00,000 International Journal subscription 5,00,000 5,00,000 7,50,000 5,00,000 2,00,000 5,00,000 5,00,000 7,50,000 7,50,000 7,50,000 0 10,00,000 25,00,000 25,00,000 50,00,000 50,00,000 60,00,000 75,00,000 75,00,000 75,00,000 National Journal subscription 30,00,000 50,00,000 83,75,000 1,25,00,000 1,50,00,000 1,50,00,000 1,50,00,000 1,75,00,000 1,75,00,000 15,00,000 10,00,000 25,00,000 33,50,000 16,75,000 16,75,000 16,75,000 16,75,000 16,75,000 16,75,000 Online database subscription 0 12,50,000 17,50,000 40,20,000 40,20,000 40,20,000 40,20,000 40,20,000 40,20,000 40,20,000 0 Software Simulations AIMER - Detailed Project report Case study purchases 5,00,000 5,00,000 5,00,000 7,50,000 7,50,000 10,00,000 10,00,000 15,00,000 15,00,000 15,00,000 Newspaper/ Magazine 0 1,02,50,000 1,55,00,000 2,10,00,000 3,23,45,000 3,41,45,000 3,96,95,000 4,21,95,000 4,64,45,000 5,04,45,000 5,24,45,000 subscription Table 11. Library and computer center operational expenses under scenario 1 Total Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year7 Year 8 Year 9 Year 10 Books 60,00,000 25,00,000 30,00,000 50,00,000 50,00,000 75,00,000 80,00,000 1,00,00,000 1,00,00,000 1,20,00,000 75,00,000 0 0 45,00,000 0 0 0 0 0 0 PC 25,00,000 5,00,000 25,00,000 50,00,000 50,00,000 50,00,000 50,00,000 60,00,000 60,00,000 75,00,000 75,00,000 International Journal 5,00,000 60 subscription 0 25,00,000 7,50,000 5,00,000 2,00,000 5,00,000 5,00,000 7,50,000 7,50,000 7,50,000 50,00,000 75,00,000 25,00,000 25,00,000 50,00,000 50,00,000 60,00,000 75,00,000 75,00,000 75,00,000 National Journal subscription 30,00,000 1,00,00,000 1,25,00,000 1,25,00,000 1,50,00,000 1,50,00,000 1,50,00,000 1,75,00,000 1,75,00,000 0 25,00,000 25,00,000 50,00,000 25,00,000 25,00,000 25,00,000 25,00,000 25,00,000 50,00,000 Online database subscription 0 35,00,000 60,00,000 60,00,000 60,00,000 60,00,000 60,00,000 60,00,000 60,00,000 Software 5,00,000 5,00,000 5,00,000 7,50,000 7,50,000 10,00,000 10,00,000 15,00,000 15,00,000 15,00,000 Simulations 0 2,20,00,000 2,15,00,000 2,77,50,000 4,17,50,000 3,69,50,000 4,25,00,000 4,50,00,000 4,92,50,000 5,32,50,000 5,77,50,000 Case study purchases and textbooks Table 12. . Library and computer center operational expenses under scenario 2 Newspaper/Magazine subscription Total

8.5 STUDENT FEE DETAILS Scenario 1: Initial 60 approved seats increased to 120 students in year 4 Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year7 Year 8 Year 9 Year10 85500000 114000000 171000000 171000000 171000000 193800000 205200000 Regular fee per 0 2,40,00,000 4,80,00,000 52500000 annum 61 AIMER - Detailed Project report NRI fee per annum 0 0 0 1800000 5400000 7200000 12000000 13200000 13200000 14520000 15972000 (seats @ 5 percent of 0 0 00 approved intake) -1800000 -1800000 -3000000 -3000000 -3000000 -3600000 -3600000 0 0 00 Tuition fee waiver 0 0 00 0 18000000 45000000 54000000 54000000 59400000 65340000 (@ 5 percent of approved intake) -2400000 -440000 -7200000 -880000 -9600000 -880000 -880000 8,67,00,000 13,69,60,000 21,78,00,000 23,43,20,000 22,56,00,000 26,32,40,000 28,20,32,000 Foreign Nationals/ OCI/PIO seats (@15 percent over and above approved intake post NBA) FPM Stipend Total income 0 2,40,00,000 4,80,00,000 5,43,00,000 Scenario 2: Initial 120 approved seats increased to 180 students in year 4 Regular fee per 0 48000000 96000000 105000000 142500000 171000000 256500000 256500000 256500000 290700000 307800000 annum 0 0 0 0 0 3600000 9000000 10800000 18000000 19800000 19800000 21780000 23958000 NRI fee per annum (seats @ 5 percent of 0 0 0 0 -1800000 -1800000 -3000000 -3000000 -3000000 -3600000 -3600000 approved intake) 0 0 0 0 0 27000000 67500000 81000000 81000000 89100000 98010000 Tuition fee waiver (@ 5 percent of 0 0 -2400000 -440000 -7200000 -880000 -9600000 -880000 -880000 approved intake) Foreign Nationals/ OCI/PIO seats (@15 percent over and above approved intake post NBA) FPM Stipend Total income 0.00 4,80,00,000.00 9,60,00,000.00 10,86,00,000.00 14,73,00,000.00 20,65,60,000.00 33,18,00,000.00 35,34,20,000.00 34,47,00,000.00 39,71,00,000.00 42,52,88,000.00 Table 13. Student fee details

8.6 MANAGEMENT DEVELOPMENT PROGRAMS Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 36 36 50 50 50 50 50 Number of 8 24 24 24 programmes 25000 27500 30000 33000 33000 35000 40000 18000 18000 20000 20000 30 30 30 30 30 30 31 Participant fee 30 30 30 30 27000000 29700000 45000000 49500000 49500000 52500000 62000000 Number of participants 4320000 12960000 14400000 14400000 Total revenue AIMER - Detailed Project report Expenses 3456000 7776000 5760000 5760000 10800000 11880000 18000000 19800000 19800000 21000000 24800000 Income 8,64,000.00 51,84,000.00 86,40,000.00 86,40,000.00 1,62,00,000.00 1,78,20,000.00 2,70,00,000.00 2,97,00,000.00 2,97,00,000.00 3,15,00,000.00 3,72,00,000.00 Table 14. Management Development Programmes revenue and operational expenses 8.7 MANAGEMENT CONSULTING Year 0 Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 35 Number of 5 10 12 15 17 20 25 27 29 32 projects 15,00,000 10,00,000 10,00,000 10,00,000 12,00,000 12,00,000 12,00,000 12,00,000 15,00,000 15,00,000 15,00,000 Average value 62 Total revenue 5000000 10000000 12000000 18000000 20400000 24000000 30000000 40500000 43500000 48000000 52500000 Expenses 4000000 8000000 9600000 14400000 16320000 19200000 24000000 32400000 34800000 38400000 42000000 Income 10,00,000.00 20,00,000.00 24,00,000.00 36,00,000.00 40,80,000.00 48,00,000.00 60,00,000.00 81,00,000.00 87,00,000.00 96,00,000.00 1,05,00,000.00 Table 15. Consulting Programmes revenue and operational expenses

9. RISK ANALYSIS AIMER

9. RISK ANALYSIS AIMER 9.1 Background of the study Avaan Institute of Management Education and Research (AIMER), the epitome of modern business school and an answer to the absence of a well-managed private international business school in North Kerala. Planned to be functional in 2 years, AIMER not only intends to decrease the industry-academia gap but also address the skyrocketing demand for talented managers who can be drivers of change. The proposed budget for the phase of the mega project is estimated at around INR 32 Crores. With its vision and mission to provide a world-class business school for the country that not only meets the aspirations of the industry but also provide society with novel ideas to build global brands that are socially and environmentally responsible. People, processes, services that support the offerings of AIMER, and the political and social factors that make up the economic and geographical environment wholly impact the organization. The enormous the size of project, proportional is the importance of project and the risk mitigation plan. AIMER has not only several stakeholders but also numerable risk centers, which need an efficient mitigation strategy to make sure the project delivers its promise. The most eminent risk centers include Operational, Financial, Fund and Cash Management, other external risks that have several factors with different probability and degrees of impact. Each and every risk need to be approached in a different way, and there cannot be a straightforward solution to mitigate the risk. Assessing risks across a project’s life cycle can be a powerful way of making it more resilient and ultimately more profitable for all of the participants across the value chain. This approach shares many elements with enterprise-risk-management (ERM) processes that are common in other sectors. Generally, a four-step approach is well laid out in practice that consists of Identification, Assessment, Steering, and Control of risks. Operational and project planning risks constitute the major risks, thereby determining the time schedule and feasibility of the project. The operational and project risks involved can be measured through the Expected Value Method (EVM), which essentially assesses the risks affecting the cost and scheduling uncertainties to develop a score for specific activities involved in the project. It identifies the major risksources and quantifies the risks in terms of likelihood, impact, and severity in a complex infrastructure project such as the case of the proposed project. Problems often arise during project planning and execution due to reasons such as E&C contractors either failing to meet their contracts, resulting in cost overruns, delays, and defects, or are only able to perform their contractual obligations at the cost of significantly AIMER - Detailed Project report 64

reduced profitability of their business. Poor original planning and performance management of resources and cost is one of the key drivers of this failure, and this is compounded in many cases by a failure to identify potential issues early in the process. Moreover, there is often a focus on the management of individual contracts, which means that the portfolio effects of multiple contracts at the enterprise level are overlooked. We expect the project to be susceptible to several possible risk situations with an impact on project success. Proper risk identification, impact analysis, and a Risk mitigationstrategycan be the only answer to any unforeseen consequences in the future. Several risks can be assessed through a composite score of t h e Expected Value Method, while several others need to be assessed through Enterprise Risk management procedures. Professional risk management c a n improve results in operations processes, financial risk assessment and even contribute to realizing a seamless journey to the mission of AIMER thereby; it can also attract and mobilize funds for additional expansion plans in the future. Given the scale and scope of the proposed business school, there is a strong case for embracing risk management. AIMER serves a host of population segments ranging from the students to the working class. Hence, the smooth and efficient functioning of the project is crucial to its success. Risk Assessment is the methodology to study the risks that are associated with the project, try to quantify or assess them on a scale so as to prioritize them, and then find efficient methodologies to mitigate the same. Risk Assessment and Mitigation for AIMER provides an opportunity to the associated organization to not only study the risks that are already existing in this project, but also ensure that these risks do not arise in further expansion plans. 9.2 Objectives and Scope of the Study The primary risk mitigation policies would address the construction activities, and the organizational risk AIMER is in its Construction stage. Since an integrated approach to construction and operations is required in assessing a comprehensive risk policy, the scope of the work is extended to the future facets pertaining to operational and organizational risks. This broadens the study by covering additional stakeholders like potential customers focusing on perceived risks. To overcome the above-mentioned issues, the objectives of this project are as follows: • Process analysis and capacity planning of AIMER: To improve process efficiency and effective utilization of installed capacity so that it can develop resources to operate with full potential under demand and infrastructure risks. • Development of risk mitigation policies for the state-of-art activity planning and development, which includes development of various activities as well as improvement of the existing activities for AIMER so that it can get the required volume of business under risk free financial returns i.e., . Value at Risk estimation. 65 AIMER - Detailed Project report

• Development of a contingency framework for AIMER: To meet the operational growth and market variability considering SWOT of the organization and its different risks and threats in the respective domains like Fund and Cash Management, Material Handling, Demand- Supply management, and Material Stacking so that it can improve its efficiency to meet the full potential. • The scope of the study is limited to four elements of i) conduct a preliminary requirements analysis to bring out information and data; ii) Activity and process analysis to ensure the smooth functioning of the institute and their risk management measures, iii) contingency framework for evaluating and monitoring risks that can help for expanding scope of risk mitigation strategies for AIMER, iv) focus group discussions and in-depth interviews will be conducted with various stakeholders to understand various risk types and their assessment for AIMER. 9.3 Risk Identification The risks have been classified into two parts: Internal Risks and External Risks. 9.3.1 Internal Risks Figure 31. Overview of various internal risks AIMER - Detailed Project report 66

Internal risks Explanation Financial During the time of construction – availability of sufficient funds, timely (Financial risk release of funds, costs escalating much higher than projected and cost of can be further capital. categorized based on the stage of the Post completion of the first phase – Regular availability of funds for operational expenses, availability of sufficient funds and timely release of project) funds, costs escalating much higher than projected and cost of capital. Post project completion –Availability of operational expenses, availability of funds for maintenance and upgrades. Operation and Risks associated with machine break downs at the time of construction and Maintenance management, at the time of operations. Commercial The project faces commercial risks if the number of students don’t turn up Land as per the forecast. The worst case scenario being the institute is not even able to meet operational expenses. Acquisition and Preparation In past projects, it has been observed that Land Acquisition can be a serious challenge, often leading to project delays and cost escalations. Technology In this ever changing world of technology it is possible that the technology Human used in the project has a very short life span and thus becomes obsolete Resource much before the expected. Or it might happen the other way round that the technology required for the project is Procedural not available at a commercial scale. Different stages of the project will require different number of employees with a varied skill set. It is important to keep into account the risk associated. Special emphasis should be given on business critical functions. The several procedural delays managing interfaces with multiple vendors can be a real threat to the project. Legal The project involves innumerable processes and would have to go through several legalities at every stage of the project. Table 16. Internal risks and their explanations 67 AIMER - Detailed Project report

9.3.2 External Risks External Risks Explanation Natural Disaster Rains, floods, earthquakes, lightning strikes are a few of the many possible Accidents natural disasters. Kaithapoyil being a hilly area is more prone to landslides Environment and risks associated with the same must be accounted. Social Accidents at the time of construction can cause significant project delays and accidents at the time of operations can be disastrous. It is important to factor in risks associated with accidents at the two stages and ensure that if in case there is an accident there should be minimal loss of life and wealth. Acquiring land and replacing natural topography with concrete structures has the risk of irreversible damage to the ecology. The surrounding locality might be influenced by the construction of the project like water availability, noise pollution, fall of construction debris, waste disposal, etc. Table 17. External risks and their explanations 9.4 Research Methodology 9.4.1 Risk Mitigation Policies For Risk mitigation policies of AIMER, the following approaches will be used: » Initially, focus groups Discussions with stakeholders from existing business schools have been conducted to understand the possible issues during the project. Based on the discussion, six sets of questionnaires have been developed, and a pilot survey has been carried out to rephrase and reframe the questionnaire to improve the clarity of questions. Subsequently, a final questionnaire survey has been conducted to collect primary data from different activities heads like finance, operations, etc. also from prospective students to get an idea of risks they are facing in management education. » Depth Interviews among different stakeholders to understand various risk types and their assessment of the proposed project. » Selection of parameters for risk evaluation and company-specific factors of activities of AIMER with respect to best known other management institutes (by checklist, interviewing officials and customers). » Determination of risk score of each vertical (or activity-based risk scoring) scoring using multi attributes scoring technique. » Finally, quantification of individual activity by scoring and graphical presentation of scores will be presented and compared for risk mitigation and control purposes. AIMER - Detailed Project report 68

9.5 Indicative parameters for the study The following are a few indicative parameters for the project. Further parameters could be mutually discussed through discussion sessions and finalized based on the requirements and data availability. » Estimated resources installed and its planned capacity utilization » Government policy » Mandatory financial risk Parameters » Prediction of different types of operational risks » Organizational structure and assignment of works » Construction Cycle time, bottlenecks, lead time, task time, throughput, periodic turnover, production planning, and facility layout analysis. » Possible standardization of activities » Potential Stakeholders Perception and locating resource centers for risk management To assess the risks associated with the project, a well-disciplined and structured approach was followed. The following demonstrates an overview of the steps that were taken to identify, assess and then suggest efficient measures to mitigate the risks. Secondary Research Existing methodologies used in literature Definition and listing of all Survey Around 300 respondents Risk Priority Assessment Matrix Prioritize identified risks and suggestions to mitigate them Figure 32. Risk assessment methodology used 69 AIMER - Detailed Project report

A comprehensive secondary research about existing methodologies used for risk assessment of business school projects was conducted. » A complete and clear-cut definition of every risk that could be associated or identified with the project was formed. This allowed clear differentiation between the risks that could be identified, and overview provided a much better opportunity to take understand the measures that could be used to mitigate the prioritized risks. » A survey form was created, and related data was gathered for more than 300 respondents. Although the data was collected for more than 300 respondents, a thorough data cleansing revealed that only 278 responses were acceptable. » FMEA (Failure Mode Effect Analysis) is one of the most effective and industry trusted methodologies to prioritize between risks. » A Risk Priority Matrix was formed, and suggestions to mitigate them were provided. 9.6 Data Collection Data collection has been done through 6 questionnaires framed as A, B, C, D, E and F. Each questionnaire constitutes to understand the Financial Risks, Operational Risk (At the time of Construction & At the time of Operation), Administrative and Legal Risks, Technology Risk, Organization and HR Risk, Environment & Political Risks. The questionnaires have been enclosed in the appendix. The questionnaires were structured on 7 point and 4 point Likert Scales. To profile existing students in other business schools according to their responses, the following are the three crucial questions were asked. They are CAT score, work experience, and previous course of study. The questionnaire to existing students in other business schools consists of 22 questions on five dimensions such as Placements, Infrastructure and other Amenities, Academic rigor, Faculty profiles, and Location. The following were the list of questions that were provided in the survey: Sl No Questions 1. We are satisfied with the average salary package offered by companies during placements. 2. There are a number of companies offering international placements. 3. There is a full transparent placement process in the institute. 4. We are satisfied with the designations offered during placements. 5. The placement committee does a fair job of streamlining the process. 6. The institute is easily accessible. 7. The institute uses modern technology for delivering lectures. 8. We have a pool of faculties having excellent research credentials. 9. The faculties are updated on the latest academic and industrial developments. AIMER - Detailed Project report 70

10. We find the existing e-learning options in the institute very effective. 11. We are exposed to several live projects during the course of our study. 12. We are well-trained in modern software for data analysis and decision making. 13. We get exposed to modern topics through our syllabus which are regularly updated considering industry trends. 14. The fee charged to the students is acceptable. 15. The library is well-equipped with reputed magazines and journal subscriptions. 16. The institute has a well-established alumni network. 17. Our hostels and classrooms are equipped with state-of-the art technology. 18. There are excellent options for students for foreign exchange programs. 19. The institute conducts several training programs for students to gain internationally recognized certifications. 20. We have partnerships with several industries for collaborative projects. 21. There are several programs aimed at developing leadership qualities in students. Table 18. Overview of survey questions. Questions Average ratings We are satisfied with the average salary package offered by companies during placements. 3.48 There are a number of companies offering international placements. 2.21 There is a full transparent placement process in the institute. 2.1 We are satisfied with the designations offered during placements. 3.15 The placement committee does a fair job of streamlining the process. 2.87 The institute is easily accessible. 5.65 The institute uses modern technology for delivering lectures. 3.15 We have a pool of faculties having excellent research credentials. 3.17 The faculties are updated on the latest academic and industrial developments. 3.59 We find the existing e-learning options in the institute very effective. 1.19 We are exposed to several live projects during the course of our study. 4.62 We are well-trained in modern software for data analysis and decision making. 4.57 We get exposed to modern topics through our syllabus which are regularly updated considering industry trends. 3.22 The fee charged to the students is acceptable. The library is well-equipped with reputed magazines and journal subscriptions. 5.58 The institute has a well-established alumni network. 5.88 Our hostels and classrooms are equipped with state-of-the art technology. 5.24 There are excellent options for students for foreign exchange programs. 4.36 The institute conducts several training programs for students to gain internationally 2.47 recognized certifications. We have partnerships with several industries for collaborative projects. 2.44 There are several programs aimed at developing leadership qualities in students. 2.11 2.69 Table 19. Average respondent ratings for risk analysis 71 AIMER - Detailed Project report

Average respondent ratings There are several programs aimed at developing leadership 2.69 qualities in students. 2.11 We have partnerships with several industries for collaborative 2.44 projects. 2.47 The institute conducts several training programs for students to 4.36 gain internationally recognized certifications. 5.24 5.88 There are excellent options for students for foreign exchange 5.58 programs. 3.22 Our hostels and classrooms are equipped with state-of-the art 4.57 technology. 4.62 The institute has a well-established alumni network. 1.19 3.59 The library is well-equipped with reputed magazines and journal subscriptions. 3.17 The fee charged to the students is acceptable. We get exposed to modern topics through our syllabus which are regularly updated considering industry trends. We are well-trained in modern software for data analysis and decision making. We are exposed to several live projects during the course of our study. We find the existing e-learning options in the institute very effective. The faculties are updated on the latest academic and industrial developments. We have a pool of faculties having excellent research credentials. The institute uses modern technology for delivering lectures. 3.15 The institute is easily accessible. 5.65 The placement committee does a fair job of streamlining the 2.87 process. 3.15 We are satisfied with the designations offered during placements. There is a full transparent placement process in the institute. 2.1 There are a number of companies offering international 2.21 placements. 3.48 We are satisfied with the average salary package offered by companies during placements. Figure 33. Average respondent ratings graphical representation AIMER - Detailed Project report 72 93

Questions Kerala Karnataka Tamil Goa 2.78 4.09 Nadu 3.86 We are satisfied with the average salary package 1.16 3.41 3.19 1.18 offered by companies during placements. 1.23 1.98 2.06 2.54 3.65 3.12 3.18 There are a number of companies offering 2.19 3.58 2.85 international placements. 3.22 5.72 3.09 There is a full transparent placement process in the 3.22 2.54 institute. 3.39 2.87 1.19 We are satisfied with the designations offered during 4.52 placements. 2.78 The placement committee does a fair job of 1.11 streamlining the process. 6.12 The institute is easily accessible. 5.99 6.12 4.75 3.99 4.02 The institute uses modern technology for delivering 2.38 3.99 3.15 3.77 lectures. 1.41 We have a pool of faculties having excellent research 2.44 4.24 3.44 1.07 credentials. 0.15 The faculties are updated on the latest academic and 2.75 4.56 3.68 1.05 industrial developments. We find the existing e-learning options in the 1.06 1.33 1.18 institute very effective. We are exposed to several live projects during the 2.11 6.13 5.75 course of our study. We are well-trained in modern software for data 3.49 6.14 5.88 analysis and decision making. We get exposed to modern topics through our syllabus which are regularly updated considering 2.65 5.11 3.99 industry trends. The fee charged to the students is acceptable. 5.97 4.25 5.98 The library is well-equipped with reputed magazines 5.88 6.74 6.89 and journal subscriptions. The institute has a well-established alumni network. 4.71 6.48 5.73 Our hostels and classrooms are equipped with state- 3.85 4.88 4.92 of-the art technology. 3.08 3.87 There are excellent options for students for foreign 2.18 3.21 3.18 exchange programs. 3.22 The institute conducts several training programs 1.11 3.69 for students to gain internationally recognized certifications. We have partnerships with several industries for 1.57 3.54 collaborative projects. There are several programs aimed at developing 1.99 4.52 leadership qualities in students. Table 20. Statewise individual ratings summarised 73 AIMER - Detailed Project report

Question Kerala Karnataka Tamil Goa Nadu Placements 1.98 3.34 3.12 2.63 4.04 3.01 Infrastructure and other amenities 3.29 4.24 4.14 1.73 3.42 3.01 Academic rigor 2.16 4.62 4.75 5.72 Faculty profiles 2.52 4.26 Location 5.99 6.12 Table 21. Statewise collated ratings 9.7 Analysis of Financial Risks Financial Risk Analysis is the assessment on the likelihood of occurrence of various financial risks to the project and the potential impact on the project that the listed instances can cause. Factors Likelihood of occurrence Impact on project Interest rate fluctuation 1.56 1.74 Tax rate changes 1.79 1.98 Internal Rule Changes 1.21 1.57 Recession 2.32 3.01 Law Changes 2.59 2.97 Change in student preferences 2.08 2.82 Table 22. Financial risk analysis Figure 34. Graphical representation of Financial Risk Analysis It has been found from the above chart, depicts the internal assessment on the likelihood of occurrence of various financial risks to the project and the potential impact on the project that the listed instances can cause. AIMER - Detailed Project report 74

Figure 35. Financial risk matrix The threats with highest probability of occurrence and impact are as follows: » Law changes » Recession » Change in student preferences » Tax rate changes It has been found that several risks identified above are external in nature and the project has little control over them. Thus, it is advisable that while making any forecasts these risks are factored in and appropriate buffers are created. This will not just minimize the probability of occurrence but also mitigate the amount of potential damage to the project. 9.8 Analysis of Operational Risk (Construction & Operation) Operational Risk analysis is the likelihood of occurrence of these events at the time of Construction and the potential impact of these risks on the project. Refer appendix for questionnaire. Construction Factors Loikcceulirhroeondceof Imprpoajcetcot n 1.78 1.99 Operations Budget Overestimation 1.84 2.66 Project design Specification issues 1.26 1.65 Unavailability of materials 1.15 1.46 Accidents at construction site 2.84 4.22 Late Release of funds 2.12 2.56 Budget Underestimation 1.66 1.98 Low student turnout 1.47 2.33 Inability to attract talented staff 1.31 1.95 Failure to secure AICTE approval 1.16 1.44 Inadequate industry collaboration 1.39 1.88 Inadequate research output 1.59 2.21 Inadequate placements 1.68 1.87 Failure to attract foreign collaboration 1.22 Inadequate consulting assignments 1.13 Table 23. Operational risk analysis 75 AIMER - Detailed Project report

Figure 36. Impact on project due to construction Impact on Project-Operations 2.5 2.33 1.95 1.88 2.21 1.87 1.47 1.31 1.39 1.59 1.68 1.98 2 1.44 1.22 1.16 1.13 1.66 1.5 1 0.5 0 Low student Inability to Failure to secure Inadequate Inadequate Inadequate Failure to attract Inadequate turnout attract talented AICTE approval industry research output placements foreign consulting staff collaboration collaboration assignments Likelihood of occurrence Impact on project Figure 37. Impact on project due to operations Figure 38. Construction risk matrix AIMER - Detailed Project report 76

Figure 39. Operational risk matrix From the above charts, it has been found that Late Release of funds, Budget underestimation, inadequate placements, and low student turnout are the largest potential risks to the project. Implementation a professionally managed placement process can help minimize the risk and potential impact of low student turnout which is a consequence of poor placements. Also, optimizing fund release processes can help delay in fund release risks. 9.9 Analysis of Administrative and Legal Risks Administrative and Legal Risk analysis is likelihood of procedural risks on the project. Factors Likelihood of Impact on project occurrence Documents not issued on time 1.98 Legal hurdles 1.01 2.41 1.57 1.22 1.89 1.67 Documentation errors 1.29 2.63 Reputational damage of stakeholders 1.05 Inconsistency in communication 1.33 Third party contractor issues 1.85 Table 24. Administrative and legal risk analysis Figure 40. Impact on project due to administrative and legal risks 77 AIMER - Detailed Project report

Figure 41. Administrative and legal risks matrix Delay in the project due to third party contractor issues, inconsistency in communication, and documentation errors are the high impact risks the project faces. Errors in documentation and delay in the release of documents can have poor communication flow and procedural delays as a cause. Process improvements and a better flow of communication are possible ways to mitigate these risks. Tightly knit contractor agreements and strong supervision are ways to minimize this risk. 9.10 Analysis of Technology Risk Technology risk analysis is the likelihood of occurrence of Potential Technological Risks on the project and the likelihood of impact vs potential impact. Factors Likelihood of occurrence Impact on project Software development delay 1.39 1.96 Bandwidth issues 1.24 2.24 Threat from hackers 1.05 2.47 Table 25. Analysis of technology risk Figure 42. Impact on project due to technology risk AIMER - Detailed Project report 78

Figure 43. Technology risk analysis matrix The prominent threats can be mitigated as follows: • detailed design analysis and testing it against requirement forecasts • redesigning technological processes that may lead to potential delays • keeping simple and straight solutions • identifying partners that have experience and expertise over similar projects 9.11 Analysis of Organization and HR Risk Organization and Human Resource risk analysis is the likelihood of occurrence of Human Resource and organization. Factors Likelihood of occurrence Impact on project 3.22 Human resource unavailability 1.59 2.21 1.26 Health issues 1.16 2.98 2.05 Hartaal and public strike 1.03 2.54 Public negative sentiments against project 1.08 Possible scandals with a social angle 1.19 Possible scandals with an environmental angle 1.11 Table 26. Analysis of organization and HR risk Figure 44. Impact on project due to organization and HR risks 79 AIMER - Detailed Project report

Figure 45. Organization and HR risk matrix It is observed that Human Resource unavailability; Public negative sentiments against the project, Possible scandals with an environmental angle are the key risks that need to be addressed. Mitigation Closer to reality forecasting and better estimation of business needs can help predict correct manpower requirements. Stress should be laid on policies that make employees stay. As recruiting costs are always higher than retaining an employee, multiple manpower consultancies should be empanelled for contract jobs and regular hiring for permanent positions. Complying with environmental norms and establishing good relations with the local political bodies is necessary for smooth functioning. 9.12 Analysis of Environment and Political Risks Environment and Political risk analysis is the likelihood of occurrence to the ecosystem and political influence. Factors Likelihood of occurrence Impact on project Catastrophic natural disaster 1.3 2.44 Adverse media coverage 1.16 2.21 Change in government 1.03 1.26 Negative word of mouth 1.08 2.98 Disruptions due to health emergency 1.19 2.05 Disruptions due to financial emergency 1.11 2.54 Table 27. Analysis of environmental and political risks Figure 46. Impact on project due to environmental and political risks AIMER - Detailed Project report 80

Figure 47. Environmental and political risk matrix Negative word of mouth, Natural disaster and financial emergency are the most potential risk with high impact. The following mitigation has been derived. • Strong PR is a must • Decisions impacting masses should be handled sensitively Aggregate risk Disruptions due to financial emergency Disruptions due to health emergency Negative word of mouth Change in government Adverse media coverage Catastrophic natural disaster Possible scandals with an environmental angle Possible scandals with a social angle Public negative sentiments against project Hartaal and public strike Health issues Human resource unavailability Threat from hackers Bandwidth issues Software development delay Third party contractor issues Inconsistency in communication Reputational damage of stakeholders Documentation errors Legal hurdles Documents not issued on time Inadequate consulting assignments Failure to attract foreign collaboration Inadequate placements Inadequate research output Inadequate industry collaboration Failure to secure AICTE approval Inability to attract talented staff Low student turnout Budget Underestimation Late Release of funds Accidents at construction site Unavailability of materials Project design Specification issues Budget Overestimation Change in student preferences Law Changes Recession Internal Rule Changes Tax rate changes Interest rate fluctuation 0123456 Figure 48. Aggregate risk profiles Figure 48. Aggregate risk profiles 106 81 AIMER - Detailed Project report

Factors Aggregate risk Values 3.04 Financial risks L 3.03 2.35 Construction L 2.41 2.55 Operations VL 2.67 2.53 Administrative and legal risks VL Technology risks VL Organisation and HR risks VL Environment and political risks VL Table 28. Overview of aggregate risk scores Figure 49. Pareto chart on aggergate risk scores AIMER - Detailed Project report 82

Figure 50. Risk intensity profile analysis The circles inside the chart represent the intensiveness of risk. The bigger the circle higher the risk. It has to been seen as less than 2 represents no risk, 2-4 represents a low risk, 4-8 represents moderate risks, 6-8 represents high risk and above 10 represents extreme risk is ahead. It has been found that there is a high risk on point 11, and the next high risk is at the point 5. 83 AIMER - Detailed Project report

Item / Function/ Potential Cause(s) Potential Effect(s) Current Design Recommended Risk / Mechanism(s) of / of Failure Controls Action(s) Failure Financial risks Covid 19 impact Law changes, Minimum Addition of online on economy, recession, investment in land content delivery transformation change in student and administration in education preferences of short term preferences among programmes students Efficient quantity Scheduling errors, Late release of Professionally survey audits Construction risks escalation in funds, budget managed and project underestimation, investments management material costs project design using forecasting specification issues technique Operations risk Low location Inability to Location near Placements to attractiveness, attract talented tourist spot, easy be managed by a inadequate staff, inadequate accessibility separate corporate compensation, lack placements, low body with strict of professionalism student turnout internal control in placements Prequalification Use of low quality Third party of third party contractor issues, contractors with Administrative and construction legal hurdles Employment of regular internal project managers audits, clear legal risks materials, vague contracts contracts Project delay, Threat from Experienced Systems Technology risks outdated hackers, software manpower requirement development delay, mapping, skill technology bandwidth issues upgradation of employees Organisation and Operational delay, Human resource Best recruitment Improve work-life unavailability, practices balance for staffs, HR risks fake news spread public negative regular training on sentiments against emotional, physical the project wellness and skill upgradation Negative word of Efficient Project delay mouth, catastrophic construction, and harm to Positive Environment and infrastructure natural disaster, Proper planning contributions to the political risks society in terms of disruptions due and execution social development projects to financial emergency Table 29. Risk analysis recommendations and design controls AIMER - Detailed Project report 84