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Aims: “Oman Tour guide app” that guides tourists to tourist attractions in Sultanate of Oman. The app will include a map to direct tourists to the places.It will also contain written information about the attractions and also audio records as will if they prefer listening. Instructions: Should contain details regarding objectives, scope, feasibility, options appraisal, planning and design, evaluation plan and recommendations. Your report shall cover but not limited to the following sections. IntroductionProblem Definition and Need for InterventionProject or Programme Definition/DesignDefining Scenarios and CasesPrinciples for Developing OptionsEconomic AppraisalQualitative AnalysisLimitations facing the company and your recommendations for improvement. *** Words count = 1900 words. *** In-Text Citations and References using APA style. *** Sample work has been uploaded named “Sample” for knowing the structure.
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Table of Contents
1 Introduction ……………………………………………………………………………………………………………………….. 3
1.1 Oman Tourism………………………………………………………………………………………………………………. 3
1.2 A’Sharqiyah attractions ………………………………………………………………………………………………….. 3
1.3 Dabab Sinkhole (Hawiyat Najam) …………………………………………………………………………………… 3
2 Problem definition ………………………………………………………………………………………………………………. 5
3 Project programme definition/design ……………………………………………………………………………………. 6
3.1 Phase 1: Maintenance …………………………………………………………………………………………………… 6
3.2 Phase 2: Add essential services……………………………………………………………………………………….. 6
3.3 Phase 3: Provide a coffee shop or a restaurant …………………………………………………………………. 6
3.4 Phase 4: Building a resort ………………………………………………………………………………………………. 7
4 scenarios and cases ……………………………………………………………………………………………………………… 7
4.1 Develop the park and add essential amenities ………………………………………………………………….. 7
4.2 Coffee shop ………………………………………………………………………………………………………………….. 7
4.3 Resort ………………………………………………………………………………………………………………………….. 8
5 Principle for developing options ……………………………………………………………………………………………. 8
6 General financial appraisal……………………………………………………………………………………………………. 8
6.1 Restaurant financial appraisal…………………………………………………………………………………………. 8
6.2 Project costs – initial investment …………………………………………………………………………………….. 9
6.2.1 construction and preparation …………………………………………………………………………………. 11
6.2.2 Restaurant requirements ……………………………………………………………………………………….. 11
6.2.3 Machinery and equipment……………………………………………………………………………………… 11
6.2.4 Furniture and fixtures ……………………………………………………………………………………………. 12
6.2.5 Labour cost…………………………………………………………………………………………………………… 12
6.3 Cost- Benefit analysis …………………………………………………………………………………………………… 13
6.3.1 Recurring Costs …………………………………………………………………………………………………….. 13
6.4 Benefit ……………………………………………………………………………………………………………………….. 14
6.4.1 Assumption 1 ……………………………………………………………………………………………………….. 15
6.4.2 Assumption 2 ……………………………………………………………………………………………………….. 15
6.4.3 Assumption 3 ……………………………………………………………………………………………………….. 15
6.5 Net Present Value (NPV) ………………………………………………………………………………………………. 16
6.6 Internal Rate of Return (IRR)…………………………………………………………………………………………. 16
6.7 Payback period ……………………………………………………………………………………………………………. 17
6.8 The profitability index ………………………………………………………………………………………………….. 17
6.9 Accounting (Average) Rate of Return (ARR) ……………………………………………………………………. 17
Economic appraisal ………………………………………………………………………………………………………………. 18
Limitations facing the company and your recommendation for improvement …………………………….. 18
Limitations facing the company ………………………………………………………………………………………….. 18
recommendation for improvement …………………………………………………………………………………….. 19
Conclusion …………………………………………………………………………………………………………………………… 19
References ………………………………………………………………………………………………………………………….. 20
Figure 1Hawiyat Najam ………………………………………………………………………………………………………………………… 4
Figure 2The path to Hawiyat Najam……………………………………………………………………………………………………….. 5
Figure 3Hawiyat Najam total area …………………………………………………………………………………………………………. 9
Figure 4Retreatant location in Hawiat Najam ………………………………………………………………………………………… 10
Figure 5Restaurant floor plan ………………………………………………………………………………………………………………. 10
Figure 7umber of Hotel Guests & Nights Spent by Nationality group & Governorate in thousands ……………….. 14
Table 1construction and preparation costs ……………………………………………………………………………………………. 11
Table 2Restaurant requirements costs ………………………………………………………………………………………………….. 11
Table 3Machinery and equipment costs ………………………………………………………………………………………………… 11
Table 4Furniture and fixtures costs……………………………………………………………………………………………………….. 12
Table 5Labour cost……………………………………………………………………………………………………………………………… 12
Table 6Ingredients (per year) costs……………………………………………………………………………………………………….. 13
Table 7Labour costs per year ……………………………………………………………………………………………………………….. 13
Table 8Utilities requirements costs……………………………………………………………………………………………………….. 14
Table 9Other costs ……………………………………………………………………………………………………………………………… 14
1 Introduction
1.1 Oman Tourism
Tourism is an industry that is globally practiced, and it is one of the prior strategies in several
countries. The tourism industry in Oman is one of the promising sectors, Oman have a diversified
attraction that can be classified into cultural and heritage, and natural. Oman is rich with natural and
cultural attractions and beauty from the Musandam’s old fjords, to the waterfalls and green hills in
Dhofar. Oman has a combination of different topography such as mountains, valleys, green hills, and
fjords.
Oman is a country that has great combination between the modern life and the ancient heritage,
where people can enjoy experiencing the different aspects of Oman with different preferences.
Tourism industry is one of the key economic sectors in Oman that is supported by the government
and targeted for development and growth.
The tourism in Oman is growing year after year, according to National Centre of Statistics and
Information in Oman, the contribution of the tourism sector in 2017 was about 2.6% which declined
by 0.2% from the previous year (2016). Moreover, the total number of tourists has grown from 3.2
million in 2016 to 3.3 million in 2017, which is 1.6% growth.
1.2 A’Sharqiyah attractions
North and South A’Sharqiyah are governorates that shows Oman’s natural beauty, it has a diversify
topography and it is famous of its coastline and sands, as well the other natural attractions. It has
different popular wadies in Oman which are Wadi Tiwi and Wadi Shab, also Sur city where the origin
of ship building, people can enjoy fishing and camping there. There are different activities that sea
and nature tourists can do during their visit to A’Sharqiyah, for instance, Ras Al Hadd turtle watching,
Masirah Island kite surfing, or visiting Sur traditional Dhow area, where people are still crafting old
ships styles by hand till today.
1.3 Dabab Sinkhole (Hawiyat Najam)
In the Northern of Oman, specifically in A’Sharqiyah, between Bimmah and Dabab villages, where a
natural phenomenon called Hawiyat Najam or Dabab Sinkhole. A distance of half Killometer from
the sea, the sinkhole located. It is 50*70 meter wide and about 20 meters deep. The
municipality in Qurayat has developed a park to protect and preserve the sinkhole. Hawiyat
Najam sinkhole has been turned into a swimming hole, that is full of clear turquoise water.
It is known as Dabab Sinkhole, and it is situated in Dabab village, it is about 113 Km away from the
capital Muscat. There different stories that people think it is the reason behind the formulation of
the Hawiyat Najam Dabab Sinkhole. The local people believes that the legendary story behind it was
because of a meteorite fell in the past in the place. The name in Arabic is Hawiyat Najam which
means the falling star. After the scientific researches that has been conducted be different geologists
and experts, they confirmed that the formulation was due to a natural consequence, and that was
due to the interaction of dissolving limestone that is situated at that location, and it contains water
with calcium carbonate, and due to that, the result was a collapse of the earth upper the crust layer.
Figure 1Hawiyat Najam
Figure 2The path to Hawiyat Najam
2 Problem definition
The Hawiyat Najam is a natural attraction that people visit it from all around the world to see the
natural phenomena and enjoy swimming in the water of the sinkhole. However, the place needs to
be developed in a way that make people to stay longer and spend money so the locals and
government can generate profit. The problem in Hawiyat Najam that it lacks for good planning that
can turn it to a better touristic destination.
The first problem is there is no facilities in the attraction for the visitors, there is no amenities that
must be in every tourist attraction, for example, there is no toilets, and it considered one of the
most important services that should be provided in the attraction for the tourists. Also, there is no
cloth changing and shower area for people who come to swim in Hawiyat Najam, which make it
difficult for them to go to nearest place to change their cloths or to have a shower after swimming.
In addition, the place lack one of the essential needs for tourists which is restaurants or coffee
shops, this is one of the profitable sources in a tourist attraction, where people buy food and
beverages.
Another problem is the lack of activities, mostly tourists go to attraction and expect to have different
activates to enjoy their time, Hawiyat Najam is a place that has a potential to be developed and
provide activities for tourists. In addition to the both problems, there is a serious problem which is
there is no services provided where the locals and the government generate profit, the main goal of
the development of the tourist attraction is to generate profit, and this is a huge problem, where the
government do not recognize the potential of such places to generate income.
3 Project programme definition/design
Hawiyat Najam Park development should start with the most important aspects, which are the
development of the park in general and add the essential services such as, local toilets, outdoor
seating’s, and trash baskets.
3.1 Phase 1: Maintenance
In this phase, the concerned party and authority should maintain the park. The maintenance
procedure should start with the attraction itself Hawiyat Najam, though maintain the stairs path
down to the sinkhole, the fence all around the sinkhole and other related issues with the attraction.
After that, they should maintain the park, starting with the lighting, walking paths, outdoor seating’s,
trash baskets, parking, and the gate or the entrance.
3.2 Phase 2: Add essential services
In this phase the concerned parties should add the essential services that do not exists or should be
replaced. The first service is the local toilets, where the park should contain at least one for men and
one for women. In addition, a service of changing room and shower should be added for those who
come to swim in the sinkhole. The second service is the outdoor seatings, where the old ones should
be maintained or replaced with new items. The third service is the trash baskets, they should be
replaced with recycling baskets that help the state to dispose the harm trashes and recycle the items
that can be recycled.
3.3 Phase 3: Provide a coffee shop or a restaurant
In this phase the concerned parties should add a coffee shop or a restaurant service for those who
visit the place. The visitors of the park are spending time in the attraction itself through swimming,
and some of them come only to watch the attraction. Therefore, by adding a service of food and
beverages, people who come to watch can spend more time in the coffee shop or the restaurant.
3.4 Phase 4: Building a resort
The strategic location of Hawiyat Najam with a distinctive view of the Sea of Oman which is 500
meters far form the attraction. The resort will flourish the area of the attraction and will attract
more visitors form inside and outside Oman. By providing accommodation for visitors, it will ensure
their longer stay, which will grantee the expenditure of the visitors.
4 scenarios and cases
Tourism attraction should be developed in way that serves the tourists who visits the place in the
best way, there are several essentials that should be exists in any tourism attractions. Hawiyat
Najam is a tourism attraction where the surrounded area was developed to be a park. It was
conserved and protected for visitors to enjoy visiting the place, the park of Hawiyat Najam has no
well-planned amenities such as local toilets, outdoor seating’s, coffee shops, and trash baskets.
4.1 Develop the park and add essential amenities
Hawiyat Najam Park needs to be developed with the essential services, such as outdoor seating’s,
local toilets, and trash baskets.
Outdoor seating’s: the pars contain a number of these seating’s, but the problem is that they need
to be replaced or maintained in a way.
Local toilets: the park lacks for good toilets, and the number of toilets is not enough, which make it
hard for people to stay in Hawiyat Najam Park long time. Therefore, this service should be provided
in the first place, and changing rooms and shower area can be added as well for the visitors who
come to swim in the sinkhole.
Trash baskets: the park contains a small number of trash baskets, and they should be replaced with
other baskets such as the recycling baskets to help in protecting the environment.
4.2 Coffee shop
In any touristic place there should be a place where tourists can buy food and beverages and it
considered one of the essential needs of tourists in any tourism attraction and especially in parks.
Hawiyat Najam lacks for this service, where people can stay longer and spend money in, which will
be an economic income for the coffee shop.
4.3 Resort
The resort in Hawiyat Najam will develop the whole area of Qurayat, where the attraction is located.
It will increase the number of rooms in the area with a high standard service. The resort will help in
the development of the tourism sector in Oman, which encourage the investment of tourism
projects in the touristic attractions.
5 Principle for developing options
1. The development will support the preservation and protection of Hawiyat Najam.
2. The development will increase the appreciation and the importance of Hawiyat Najam.
3. The development will create jobs for the local community.
4. The development will promote and ensure growth of the area.
5. The development will prevent any harmful impact on the attraction or the nature and the
surrounded area.
6. The development will be a source of revenue to the government and investors.
7. The development will ensure the satisfactions of visitors and the local community.
8. The development will encourage the investment of private parties.
9. The development will ensure the long economic benefit for the government and the
investors.
6 General financial appraisal
6.1 Restaurant financial appraisal
I chose to develop a restaurant in Hawiyat Najam based on several reasons:

There is an existed park

A large number of people visits the park

There are some existed facilities that need maintenance

Quick way to generate profit compared to a resort

No restaurant in the area
6.2 Project costs – initial investment
Year 0 – the initial investment
The construction cost of the restaurant in Hawiyat Najam is a break down of different facilities which
are the kitchen, store, inside and outside sitting area and the whole structure of the building. The
estimation of the cost of each part of the restaurant is based on some investigations with help from
a civil engineer working in Muscat Municipality.
The cost per square meter is about 300 OMR, the total area of the restaurant will be 220 m2, which
will be breakdown into 170 m2 for the building of the restaurant and the area outside will be 50m2.
Therefore, the total construction cost will be about 150,000 OMR. In addition to the construction
cost, the decoration and system installation will cost 100,000 as an estimation.
Figure 3Hawiyat Najam total area
Figure 4Retreatant location in Hawiat Najam
Figure 5Restaurant floor plan
6.2.1 construction and preparation
Table 1construction and
preparation costs
construction and preparation
Construction
OMR
150,000
decoration
OMR
20,000
system installation
OMR
100,000
total
OMR
270,000
6.2.2 Restaurant requirements
Table 2Restaurant requirements costs
Area
Kitchen and Preparation
100 m2
Store
7 m2
Front desk / Reception
3 m2
Inside dining area
100 m2
Outside dining area
50 m2
Toilets
10 m2
Total
220 m2
6.2.3 Machinery and equipment
Table 3Machinery and equipment costs
quantity
Cost
Total cost
Freezer
1
200 OMR
200 OMR
Merchandising and
1
650 OMR
650 OMR
Gri …
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