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What I can do for you

  • Turn-Key Project development
    Conceptualise & deliver a hotel or resort project together with Genivar, with whom we are now linked for this purpose. From start to finish, market study to profitability. The delivery of a finished product, designed, engineered, constructed, branded and operated.
  • Summarise International Issues in Hospitality
    For hotel and restaurant associations or hospitality media that need simple explanations of the issues the industry faces.
  • Space Planning
    Assist the Architect and Interior Designer to create cost-effective, user friendly, inter-active spaces in the FOH and BOH areas. The result......great savings.
  • Should you develop....or not!
    Too many projects go forward with support from those who will benefit without risk. The fortune that you save may be your own.
  • Review Product Improvement Plan (PIP)
    Review PIP and determine where the plan is too rich. Suggest where waivers could be negotiated.
  • Project Feasibility check
    Sanity check the feasibility study and ascertain the likelihood for accuracy. A simple or complex analysis of the financial projections.
  • Profit Engineering or Break-even Analysis
    Have never forgotten this lesson Q(P-V)=F+ Profit desired..... which has helped me re-build restaurant profits, re-position failing assets and energise supervisors, staff and management. Works for the cornerstore as well. It's fun too!
  • Operational support for a Hotel or Resort Opening
    Provide on-site, hands-on assistance and/or advice for opening a hotel or resort.
  • New Hotel/Resort Development
    Conceptualise, Business Plan, Pre-Opening Prep & Open. Done it a few times. Should be fun. Definitely save you money. Will do it anywhere!! Well, almost!!
  • New Hotel & Resort Development (incl. Timeshare)
    Assist a landowner, developer, investor to assemble the right ingredients and the process for a hotel/resort project and execute, if necessary.
  • Negotiation of Hotel Management contracts
    Identification of suitable management groups & brands, discussion of terms & identification of areas where improvements can be made. Execution of agreements and imlementation.
  • Manage Your Hotel or Resort
    Could mean takeover the management for a short time or a long term. Might involve managing the 'status quo' or making some improvements in quality or profits.
  • Manage or Plan Pre-Opening & Opening
    In a bind with the manager tripping over construction, architects, management company, brand, designers and equipment suppliers. Call us and we'll put order back into the day and save you money.
  • International Network Connections
    Assist a company or individual make the right contacts for business.
  • Independently select a hotel or resort brand and negotiate contracts
    Assistance to owners who are suspicious of hotel operators selfishly selling their own brands! Providing independent, un-biased help to determine what is best for the property and the owner.
  • Identify a top Golf Course location.
    Charged with finding the topography for another Pebble Beach in Cuba was not a task for James Bond but was for David McMillan and his Cuban connections.
  • Financial Benchmarking
    Review of the financial performance against industry 'norms' with local allowances & then strategising the fix.
  • Feasibilty Studies of New Projects
    In depth market studies of new or renovation projects, large or small, to determine whether they are financially feasible. Experience in North America, Europe, Middle East, Caribbean and Latin America in City Centre and Resort properties
  • Evaluate management's performance
    Analyse the status of the asset and determine what is being done well and what needs to be improved.
  • Education & Training for Malaysian Hospitality Industry.
    Faced with the mammoth task of providing trained and certified managers, department heads & educational resources, we assembled a Master Plan & consortium of the resources to address the exploding tourism industry's needs.
  • Development for Dummies
    Assistance in taking your idea for a hotel or resort and making it a reality, if feasible.... or not.
  • Design Resolutions
    Off the Cuff resolutions that have saved 'big-time'.....from a beach solution on a rocky coastline, an innovative new design for a banquet dish to a carnival menu for a travelling circus.
  • Cuba Resort Specialist
    Strategic & basic down to earth advice on Management Opportunities, Joint Ventures as well as Resort Operations & Development.
  • Cuba Hospitality Advisor
    Strategic, practical advice on how it works regardless of which Castro is in the driving seat. How the system works now and where are the obstacles. Where do they have to make changes? Where must we adjust?
  • Creating USPs or Product Enhancement
    To compete in today's global marketplace, the product needs to offer something unique, different or special. Allow me to add some value to your product.
  • Chain Selection
    Assist an owner to choose the right brand or chain or confirm that an existing brand is effective.
  • Blogged.com
    David McMillan Consulting - Blogged
  • Asset Watchdog
    Tired of or frustrated with the complex hotelier-type excuses that your manager gives you for the shortfalls to budget, let me be your watchdog and make sure they are making sense.
  • Analyse Chain/Brand Performance
    Assess the performance of a management company or a chain with a view to identifying key areas of focus for the hotel or resort.
  • Speaker Moderator or Panellist
    Can moderate a panel, speak on industry issues, act as panellist on issues as far ranging as employee shortages, International Standards, International Classification, New Development, Brand positioning, Entertainment and Hospitality.

Some of our Great Clients

  • GENIVAR Inc
    One of Canada's largest engineering, architectural and project management companies. About 5,000 employees, more than a hundred offices. Great hospitality projects....new builds, renovations, restoration, resort master-planning, re-positioning and re-branding.
  • University of Western Ontario (Canada)
    Analysis and develepment of a Strategic Plan for the operation and financial turnaround of Spencer Hall, a hotel & conference facility co-owned by the prestigious Business School and the Bank of Nova Scotia.
  • Hospitality Investors Group (Canada)
    Takeover and management of the Hotel Constellation in Toronto. Redevelopment and planning for the repositioning and re-branding of the hotel and its convention and public space, the largest of its kind in Canada.
  • WHS Resources (Malaysia)
    Feasibility and planning for the development of a mid-scale hotel in Shah Alam Malaysia, development of a Master Franchise for a major European chain and evaluation of resort opportunities in Malaysia.
  • Villa Bellevue (Mont Tremblant)
    Development of plans for the owner for the renovation, expansion and re-positioning of the Villa Bellevue under a plan that involved both hotel and restaurant brands and franchises.
  • Thibault Messier Savard & Assocs (Canada)
    Strategic Planning and consulting on ownership, management and potential opportunities of two major full-service branded hotels in Canada.
  • Red Deer Holdings
    The pre-opening, opening, management and performance reviews of the 690 room El Senador Resort in Cayo Coco, Cuba. A strategic review and three year plan was developed & implemented.
  • Malaysian Ministry of Tourism
    The creation of a consortium to address the orientation and training of Malaysia's tourism industry. The project anticipated a full series of certification programs, hospitality education accreditation and the development of Malaysian standards.
  • International Hotel & Restaurant Association
    The management and re-juvenation of this non-profit trade association, the voice of the hospitality industry worldwide and recognised by the United Nations.
  • Holborn Asset Corp (Global)
    The development of a plan to finance, create and manage a series of resorts under a new brand which included projects in Canada, Brazil, Cuba and Panama.

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« BEEN THERE DONE THAT! | Main | FREQUENTLY ASKED QUESTIONS »

FEASIBILITY STUDIES FOR DUMMIES

WHAT IS A FEASIBILITY STUDY?

It should be an answer to a simple question. However the question is rarely asked in a simple, precise fashion because there are so many silent drivers of a project ranging from ego, hidden agendas, unknown scenarios and ignorance to poor financing, weak knowledge of market potential or the industry's actual profit potential.

Here are some of the questions that could be asked when developers seek Feasibility Studies,

  1. "Is this well-defined Project feasible? "
  2. "Is this ill-designed Project feasible?"
  3. "Can you Make this ill-defined project feasible financially?"
  4. "Can you give me proof that this 4 Star 250 room hotel with a 3 Star budget will work?"
  5. "Can you do a 'quickie' study for half-price by changing the name on the last study you did here?"
  6. Can you produce a study that will convince my banker to finance my project?

There are other factors that need to be raised and discussed depending on the location of the project which involve exit strategy, alternate uses, tax implications, labour availability & unions. Dashboard In addition there may be other things such as environmental, geological, cultural or religious implications as might be involved in such locations like Saudi Arabia, Greece, Israel or Peru.

Here are some of the Contents of a well-prepared Feasibility Study which may change depending on the location. Furthermore, should any of the components or assumptions change, the outcome will also change.

  1. Executive Summary.
  2. Proposed Project Outline (size, category, financing, facilities etc).
  3. Regional Data & Comments.
  4. Markets/Growth Drivers/Access.
  5. Situation Analysis/Competition (local &/or global).
  6. Historical Trends (occupany, rate, market mix).
  7. Supply changes (past & future).
  8. Demand changes.
  9. Brand Analysis & Options/Recommendation.
  10. Management & Branding Cost Assumptions
  11. Development & Construction/Renovation Cost estimates.
  12. Projections (10 Years).
  13. Projected Market Segments & Pricing.
  14. Risk Analysis.
  15. Conclusion & Rationale.
  16. Conditions for Conclusions.

It is possible that an architectural concept or program will have been prepared in which case it will be easier to ascertain the construction cost and operating cost levels and the eventual level of competitivity that it will reach in the local market place.

For more information on Feasibility Studies, contact davidmcmillangroup@gmail.com

Posted at 05:00 AM in Creative Development, What we Do |

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Sandeep Verma

Can you please provide me a feasibility studies on Hotels& Resorts

Posted by: Sandeep Verma | August 29, 2011 at 03:49 AM

influence strategies

These types of studies are so important for businesses. You need to be able answer the simple questions. It's funny how they can be so easily overlooked.

Posted by: influence strategies | November 15, 2010 at 02:49 PM

Fink

Can anyone get me a sample feasability study for tennis facility?

Posted by: Fink | November 10, 2010 at 11:13 AM

Martin

I should do a fuzzybilty studie for someone who will decide to do something quite different with his money, but first he needs to talk to his wife.

Posted by: Martin | November 04, 2010 at 12:39 PM

ibrahim kazzim

give me any feasibility report of any resturant

Posted by: ibrahim kazzim | July 23, 2010 at 07:48 AM

Stephen Bagaporo

Need help for making a feasibility study of a resort spa.

Posted by: Stephen Bagaporo | June 30, 2010 at 07:04 AM

zg gomez

i need a sample of feasibility study on a hotel and restaurant

Posted by: zg gomez | February 17, 2009 at 11:32 PM

Elvis Gumbs

Posted by: Elvis Gumbs | December 03, 2007 at 08:00 AM

Elvis Gumbs

Posted by: Elvis Gumbs | December 03, 2007 at 07:59 AM

MARICRIS

i need an example of a feasibility study of a resort, as soon as possible..

we need to pass it on october 12, 2007..

i am 4 ur reply..

Posted by: MARICRIS | October 08, 2007 at 11:19 PM

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Testimonials

  • Jeff Weinstein, Editor In Chief, Reed Business Information, a division of Reed Elsevier Inc
    “David is a seasoned and affable hotel professional with outstanding contacts around the world. He has a very strong grasp of both the operational and investment side of the hotel business and was a great ambassador for the business while president of the International Hotel & Restaurant Association.”
  • Camille Ducharme, Director of Operations and Assistant Manager, Commonwealth Hospitality Ltd.
    “An authority in the hospitality industry, David is a natural leader who relentlessly achieves target objectives through strong personal relationships without compromise. His vast global experience in all aspects of the industry make him, without doubt, a business partner of choice.”
  • Gary Dodds, Regional VP Human Resources - United Kongdom, Ireland, Middle East & Africa's 82 hotels, Marriott Hotels International
    “I had the pleasure for a number of years recently to serve on the International Hotel Associations HR committee, which David chaired. He was a passionate, direct leader and adept at getting the best out of people for the association and industry; encouraging support for those in other countries most needing help. He was also a powerful advocate of the industry's opinions with government bodies in each country, with global associations who could effect our industry and on consultation committees who could impact our industry. Great focus and professionalism.”
  • Alan Orlob, Vice President, Marriott International
    “David was extremely helpful in organizing a task force to deal with crisis management in the hotel industry when it was most needed. His organization and public diplomacy skills were assets that helped to bring a diverse group of people together. I am happy to recommend him.”
  • Hiran Cooray, Managing Director, Jetwing Hotels
    “Within a very short period of time, David was able to win the hearts and minds of members of our association with his focus on reaching out to all of them. He had patience and the skills to handle the many demands of the members, while having his long term plan to take IH@RA to greater heights. I wish he was allowed to stay on for a few more years”
  • Paul Moxness, VP Corporate Safety and Security, Rezidor Hotel Group
    “David facilitated the creation of a global council for safety, security and crisis management for the hospitality industry that brought together a panel that cooperated on these important issues at a critical period in time. I found David to be an excellent communicator who was well-connected, well-organized and an extremely pleasant person to work with. I highly recommend him.”
  • Michael Hirst. CB Richard Ellis. Former President Hilton International
    "I do believe your stewardship of the IH&RA has made a considerable impact on its good standing and substantial progress achieved to make it a meaningful and influential organisation."
  • Peter Yesawich
    "You represented the Association in a very professional and persuasive manner, and I suspect your talents will be missed greatly."
  • Ruud J. Reuland, General Director, Ecole Hoteliere de Lausanne
    "I thank you personally for all your efforts to bring education and industry together: you had in my opinion a great vision."
  • Santoso Hanitijo, Vice President Jardin Sinomonde
    "I was most impressed with their ability to work with owners of different nationalities while maintaining a high standard of hotel management."
  • Mr Curt R. Strand, Senior Consultant, American Express Bank
    "I have the highest regard for your qualifications in large, upscale hotel operations. I can also attest to your high ethical standards and professionalism."
  • Juergen Bartels, Chairman WESTIN Hotels & Resorts
    "It is unusual when people of this high calibre get together to form a management company. Westin Hotels & Resorts would be very pleased to work with them to manage a high quality Westin Hotel or Resort"
  • Ken Hine, Former Pres & CEO, AH&LA and IH&RA
    "It is rare to fine this blend of experience and focused skills brought together in one company. The combination presents a set of resources which are hard to duplicate"

Interesting current Potential Projects

  • Rio de Janeiro
    The development of a 400 room hotel in Central Rio to include the selection of an operator and brand together with the construction and furnishing of the property in time for the FIFA Confederation Cup in 2013.......and of course the World Cup.
  • Royal Mamula Hotel, Mamula Island, Montenegro
    This island prison will be painstakingly developed into an iconic hotel & condo development with casino, marina and resort facilities
  • Flamingo Beach, Trelawny, Jamaica
    The development of a 200 acre resort fully reflecting the laid back lifestyle of this great Carbbean destination. The beach resort will include boutique hotels, a village, residential villas and condos.
  • Los Optimos, Barahona, Dominican Republic
    The development of a 945 acre golf and beach resort with four hotels, a village, casino, villas and condos in an ecologically recognized area of this beautiful island.
  • Hilton Addis Ababa
    The expansion & renovation of this historic property.
  • InterContinental Dhaka
    The strategic re-positioning of this iconic, central 272 room hotel included the selection of the brand & operator. The work may continue through project management, design review and engineering.

Some Interesting People I've Met

  • Barry Sternlicht
    The ultimate Industry leader, bright, brilliant and the founder of Starwood Hotels, Starwood Capital and, I believe, the Heavenly Bed. Decisive, incisive, innovative and probably impatient. Did it all (almost) straight out of University!!
  • Disco Sally
    In Acapulco's disco-crazy days, Disco Sally was a a great presence with a late night party girl reputation to match. Famous from her days (and nights) at Studio 54, she became a friend and occasional dance partner.
  • HE Dr. Chakib Khelil, President of OPEC
    A brilliant, multi-lingual businessman and charming leader. It was a priviledge to observe him in action, wasting no time at all in listening carefully and then making a well-considered conclusion.
  • Conrad Hilton
    Introduced amongst many others on his tour of the Waldorf Astoria, where I was an Assistant Manager. Some five years later he crossed the restaurant to shake my hand and incredibly remembered my name. WOW, what a lesson!
  • Martin Luther King
    Writing a book in the neighbourhood of Jamaica where I was a middle manager at the Jamaica Hilton, a favourite of his for a periodic lunch break....such a charming, magnetic gentleman.
  • The Beatles
    "Sir....these boys have no money and no credit cards. Can I give them a couple of rooms". "We have a gig here tonight and we'll pay you tomorrow". I okayed the credit. They were to become regulars at my Oxford hotel in the early sixties. Scraggy hair but nice chaps. They did better than I did.
  • John Kennedy Jr
    The young John was a frequent visitor to the Dominican Republic where we ran the Hotel Santo Domingo. John often visited me in the office when he needed the limo to get over to Casa de Campo.
  • Presidente Jose Lopez Portillo
    During our time at the Hyatt Regency Acapulco, the Lopez Portillos were our regular guests, most often his first wife, Carmen Romano who ordered the suite and all rooms on that floor often with little more notice than 24 hours, or else! Some high level people were thrown out with little more than sincere apologies from management.
  • Uri Geller
    The world's most famous paranormalist was our dinner guest every night for weeks when he was a judge at the Miss Universe Pageant in the Dominican Republic. The hotel lost a few bent spoons during that stay but we loved every minute of it. He even produced his girl friend's ring from her hotel room across town which magically dropped from our suite's ceiling over cocktails.
  • Presidente Anastasio Somoza Debayle
    Although I was able to meet the 45th President of Nicaragua and shake his hand on arrival at the Hotel Santo Domingo, there were so many people around him, I did not actually meet more than his hand. Perhaps the most protected person I ever almost met.
  • Bob Barker
    The Price is Right's famous host was the Host for the Miss Universe Pageant at the Hotel Santo Domingo. He was a lot of fun and always very professional. Heard that Bob has just retired after 50 years. Enjoy it Bob, you earned it.......plus a bit!
  • Cher
    Wow, invited to her house party in Beverley Hills while I was trying to kick-start Frenchman's Cove hotel in Jamaica. She lives the life of her Show at home too!!
  • Julie Andrews
    Friend of the family, in fact married my cousin, Tony. Such a wonderful, warm person who I caught up with again last year in a Disney event at the World Travel & Tourism Council conference in Washington DC. My Chinese dinner companions nearly 'wet themselves' with joy!!
  • Peter Lawford
    Member of the Sinatra ratpack and periodic and regular resident of the Savoy Hilton where I got to know him well. Reputed to polish off his full-bar that had a $600 value in the early 60s in his first night. Doesn't sound like much now!!
  • Isadore (Issie) Sharp
    A more gracious individual I am unlikely to meet. He called me virtually every day (in the mid 70s)! I had opened the first purpose-built Four Seasons in the world and he was interested in our progress each and every day. His personal taste drove the standards of design and service and I imagine still does, strongly supported by his wife, Rosie.
  • David Ben-Gurion
    Israel's founding father and First Prime Minister and First Defence Minister of the State of Israel...... a great guest at the Holiday Inn Toronto Downtown and so easy to talk with.
  • John Scarne
    Casino co-operator at the Curacao Hilton where he became a close friend. Wrote the book to which Casino Managers stick closely. The greatest card manipulator in the world, advisor to the US Government and the Mafia......at the same time. Author of "the Odds Against Me".
  • Sammy Davis Jr
    Invited backstage to his Philadelphia pre-Broadway Show, " where I also met the late James Brown. Sammy was the same off-stage as he was on......an absolute unadulterated scream!!
  • Zsa Zsa Gabor
    Permanent Resident of the Savoy Hilton New York who begged to attend one of my parties that she heard me organising from the back office while she played with her safety deposit box. Needless to say my guest was a great hit!!
  • Wayne Gretzky
    The Great One.....Fun-loving Prince Charming who hosted an annual Charity Tennis Tournament to which we were invited every year.
  • Osmani Cienfuegos
    Architect and illustrious Former Minister of Tourism of Cuba and brother of Camilo, friend of Fidel and one of the most interesting dinner-time storytellers of my career.
  • Ambajador (Capitan) Jose Sandino
    Nicaraguan Ambassador to the DR and permanent resident of the Hotel Santo Domingo. We spent most free evenings with Jose. He loved his "Something Special" scotch and his tempestuous route to becoming 'persona non grata' in Nicaragua was fascinating.
  • Harry Belafonte
    At the Jamaica Hilton in the mid 60s, he spent an interesting few days when he gained a dubious reputation from the Jamaican staff for being stand-offish!!
  • T.H.White
    Famous British novelist and friend of the family. Spent several wonderful days with him in New York sightseeing while he prepared his US Tour for the "The Once and Future King" from whence came "Camelot". Always dressed spectacularly in tweed cape and Sherlock Holmes style hat, he walked so fast, I needed to jog to keep up!!
  • Fidel Castro
    Such a powerful communicator whose eyes seemed to penetrate mine and burn the back of my skull as we spoke. I will never forget the experience. I imagine that he has!!
  • Peter Sellers
    His Mum stayed with us at the Woolacombe Bay Hotel arriving with her chauffeur in high style. Peter came a couple of days later and was a wonderful guest and so human and easy to talk to.
  • Tony Roche
    Was our travelling celebrity tennis pro at the Hotel Santo Domingo/Casa de Campo. I played a demonstration game which he played with his 'other hand', right instead of left. I hardly made one point!! Such a real sport!
  • Margaret Rutherford
    A very regular client for lunch in the Mitre Hotel Oxford when I was Assistant Manager, often at the same time as Winston Churchill. Margaret always tipped me 'half a crown' on leaving which I promptly turned over to the Restaurant Manager.
  • Bob Evans
    The Hotel Santo Domingo...a Charles Bluhdorn, Gulf+Western/Paramount connection of which Bob was the President. One of the most unreasonable clients in my career.
  • Oscar de la Renta
    Designer and stylist for the new Hotel Santo Domingo which I opened. Decisive and a perfectionist. His paint colours and towel choices were as great as his 'haute couture' designs. Perhaps one of the first to see the connection between hospitality and design.
  • Julio Iglesias
    A regular with us at the Hyatt Regency Acapulco to get away from the spotlight, becoming a close friend and fun dinner companion. Absolutely charming and according to Venice......."very good looking!!"
  • Petula Clark
    As a Room Service waiter at the Villars Palace, I delivered her dinner every evening during her engagement. We politely struggled through in French until we both realised we were both English. It became easier instantly for both of us!!
  • Winston Churchill
    Sitting alone at his table in the Mitre Hotel Oxford for lunch regularly, a true gentleman with everyone and a few social words for me on departure every time.

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