VAN4051: Project Delivery & Planning - PVLC’s Corporate Operations | Engineering Project Management Assessment Answers

August 03, 2017
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Solution Code: 1BAB

Question: Project Management

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THE PROJECT

PVLC requires the services of an experienced Project Management organisation to facilitate the organisational realignment in accordance with the above. The project shall be delivered in two stages which are:

? Stage 1 – Due Diligence

? Stage 2 – Project Delivery

Stage 1 – Due Diligence will involve determining the requirements of PVLC’s business operations and developing a realignment strategy which meets their requirements. This due diligence exercise must inform PVLC of the likely duration of activities, costs, exposure to risk, impact on business operations, change management implications and likely tangible benefits to be received.

Should the project manager’s proposed approach meet PVLC’s commercial, financial and risk requirements; then the project manager’s commission will be extended to include Stage 2 – Project Delivery.

Stage 2 – Project Delivery will involve detailed project planning exercises to confirm the strategy developed in the due diligence exercise and set the framework for the successful realignment of PVLC’s corporate operations across its various state offices. Once this framework is in place, the project manager will be responsible for all aspects of project delivery.

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Solution: Stage 2: Project Delivery

Introduction

The project management team has been appointed by PVLC and the report consists of the plan for the successful delivery of the project and to secure the client approval before implementation of the project. It consist of various parts which addresses the various aspects of the project and mainly communicates the planning and control framework which will act as a guide for the successful delivery of the project, the main objective of a successful project management plan is the successful outline for the delivery of the project which can be can be clearly communicated to the project team, the client and project stakeholders.

Project Background

The Background of the project consists of the best practice of accommodation and technology communication for the increase in efficiency for its workers of PVLC through a restructuring programme by the New CEO. The Project Management Plan consists of the delivery of the project which is first subject to the client approval.

Project Objective

The objectives of the project is like the vision of the  project which needs to be achieved and acts like a guiding factor for the various decisions that need to be made with respect to the company.

  • Completion of the project as per the requirements of the client
  • Achievement of PCA ‘A’ grade standard for all commercial spaces of Proprietary Very Limited Corporation (PVLC)
  • Complete refit of the staff amenities of PVLC to improve employee efficiency
  • Complete upgrade of collaborative communication to enhance communication between employees
  • Timely completion of the project such that it can be delivered to the client on time for implementation (Kerzner, 2013).

Success criteria

The success criteria of a project are the various features which need to be fulfilled in order to deem the project as a successful one. These criteria include

  • Schedule – the project is completed on schedule with the various parts of the project also following the time lines of the project. With respect to this project, it is essential that all the parts of the project are completed on time to ensure that overall the project can be completed on time
  • Scope – the project scope is adhered to at all times and is the main driving force of the project
  • Budget – the project is completed within the outline budget for the project that is approved by the client has
  • Team satisfaction -  It is often a criteria which is overlooked  but the amount of satisfaction that the project team with respect to its working
  • Customer Satisfaction – It is very important success criteria and it is essential that the customer get exactly what the prescribed in the project charter
  • Quality of Work - The quality of one project has an impact on the other hence it is  important to ensure that the quality is maintained and accordingly make adjustments to the  future projects (Meredith & Mantel Jr, 2011).

Measurement of success criteria

The measurement of the success criteria will be based on the actual time taken to complete the project and the deviation from the budget. The customer and team satisfaction will be measured through a feedback form which will be given to both in order to gauge the success of the project. The quality of work will be measured by the adherence of the project to the project scope as chartered by the project management team (Raz & Michael, 2001).

Project Assumptions

  • The project management team will work according to the client feedback
  • The project team has all the required talent before the commencement of the project
  • No changes will be made during the execution of the project which may delay the project considerably
  • Constant inflow of money from the company as per the requirements of the project
  • Various vendors required for the project are available in the given time of the project
  • Company has enough funds for realignment of the strategy to cover  the cost of the project (Fleming & Koppelman, 2000).

Project Exclusions

  • Only those areas will be touched which are mentioned in the project scope
  • No architectural structural changes to the building will be included
  • No other changes  other than technology and accommodation of the office premises (Wysocki, 2011).

Project Organization

The project organization is an integral part of the project management in order to fulfil the objectives of the project. It gives a detailed undertaking of the various people who are associated with the project and the various resources which are required for the successful completion of the project (Lewis, 2005)

Key Project Roles

The Key project roles will be fulfilled by the following people

  • Architect / Interior Designer –responsible for the overall designing of the PVLC buildings and the layout plans in accordance with the latest PCA ‘A’ grade standard for all commercial spaces. They are also responsible for the optimal utilization of space of the given offices
  • Services Engineer – Responsible for the building, designing and installation of the various systems and equipment that are found in the offices.

    • Mechanical  Engineer– the mechanical engineer is responsible for the designing and analysis of the mechanical systems of the office and includes the instrumentation design such that it allows the employees to use the equipment’s with ease
    • Electrical Engineer- the responsibilities include Preliminary analysis of the audio visual equipment and choosing the correct vendor for the various electrical requirements. Also the examination of the  installation process and testing of the equipment and the wiring of the technology that is being used
    • Hydraulics  Engineer is responsible for the analysing and estimating the size and equipment required to control and the use of water in the offices which include the pressure valves, booster stations, surge tanks and other hydraulic equipment’s
    • Fire Engineer is responsible for the safety design of the offices in case of a fire and the various precautionary measures that need to be taken to avoid a fire. It includes the application of science and engineering theories to protect the employee’s offices and its environments from the damaging and injurious effects of fire. Also includes the installation of proper water sprinklers and fire management equipment in the vicinity of the office
    • Sustainability Engineer – the role is to ensure that there is minimum impact on the environment through the integration of economic and social considerations while revamping the buildings. It mainly includes the reduction of the carbon footprint while carrying out the project

  • Quantity Surveyor – the main responsibility is to ensure that the quantity required for each phase of the product is available in an optimal manner with at least 5% being ordered more than the project quantity to absorb any contingent needs of the project and ensure that the products are procured with the best price of the required quality
  • Building Surveyor – the main responsibility is to take  preventative measures to keep buildings in good condition and look for ways to make them more sustainable through efficient design and modern adaptation for the required repairs
  • Acoustic Engineer – to ensure the minimization of sound that is created by external sources near the office like highways, air traffic and others sources by working in consultation with the construction engineers. They ensure that the employees and the clients of the office have minimal disturbance through external sounds.
  • DDA Consultant – they are responsible for building  an office which is accessible to all which includes people with disability which include the understanding and the designing of the various subtleties and the understanding of the economies of the building  (Turner, 2014)

Management team consists of the following

  • Financial Analyst who is responsible for Projections for the project and ensure that the project is completed within budget. The Cash flow preparation in a monthly manner and Giving the budget for each time schedule along with the Budget approval  of the project

  • Project Accountant works under the financial analyst and sees  the accounting of day to day activities of the company and the overall book maintenance of the project along with employee salary and everyday cash management of the project
  • Human resource executive who Hire relevant project team people who will assist in the smooth execution of the project and ensure  that the employees of the project are paid on time and manage the employee rotational shift of the project along with the safety of the employees is taken care of
  • Risk manager analyse the continuous risk analysis of the project and the risk mitigation strategies and its implementations along with the minimal risk occurrence to ensure that the project is not delayed
  • Quality manager who check and maintain quality of each aspect of the project and ensure that the building fulfils the requirements of PCA Grade A buildings in all the cities  (walker, 2015)
  • Change Management Manager takes care of the complete management off the change and analysis of the change with respect to the various stakeholders and smoothen the communication with respect to changes in the organization for the employees. Endure that there is Smooth participation and the involvement of participants in the change management and Coach employees with respect to their experience and change transition along with the assessment and the feedback to ensure that alt the project objectives are attained (Burke, 2012)

Project Governance

The project governance framework determines whether the project has been correctly conceived and is executed according to the project charter and with the best management practices which is based on the wider framework of the organizations governance process. The main person responsible or project governance is the project sponsor who has a series of roles to ensure that project governance is achieved. There are three main area of governance focus as shown in the diagram below along with the responsibilities of the projects sponsor towards the governance of the project. (Baker, Murphy & Fisher, 2008)

[caption id="attachment_2136" align="alignnone" width="497"]Project Governance Figure 1 Project Governance[/caption]

Project Sponsor

  • Responsible for the decision making activity
  • Responsible for owning the project budget and releasing it when required
  • Act as a governance tool for the project team and board
  • Ultimate accountability of the project
  • Examination and provision of guidance with respect to  identification of risks and associated risk management activities
  • Providing advice on the ways to engage the stakeholders
  • Ensure project is completed in accordance to the Project Management Framework (Pich, Loch & Meyer, 2002).

A checklist has been provided in the appendix in accordance with the government of Australia for the project governance framework for the project sponsor in Appendix 1

Resources

The resources which are available for the project in an internal as well as external manner are given below

Internal Resources

  • Meeting schedules from start to finish
  • Organization committee of PVLC changes
  • Budget estimation
  • Scheduling
  • Overall delivery of the buildings
  • Internal expertise of employees

External Resources

  • Electrical Work
  • Plumbing Work
  • External Contractors
  • Material such as cement, wires etc
  • Security on the site
  • Equipment for communication
  • Fire and safety equipment
  • Temporary constructions on  the site

Stakeholders

Internal Stakeholders

Employees – the project will affect the employees since they will have better amenities and technology to use that will help them be more productive in the company

Management – the changes and better facilities in the building will allow the company to function better and the technology upgrade will have better communication facilities. They will also be responsible for funding the project with the CEO being the main decision maker for the project

Shareholders – when the shareholders money is used in a better manner and the employee efficiency will increase due the available facilities, it will have a positive impact on them (Winter et al., 2006)

External Stakeholders

The external stakeholders are the ones who are not internal to the project and are not associated with the project in a direct manner. The external stakeholders are given below.

Suppliers-The suppliers of the project such as the technology equipment supplier, software supplier, interior and other amenities supplier will be interested in the rate that the company will have to offer to employ their services and products

Customers -The customers of the company will get better facilities when they visit the office and better communication with the employees due to technology upgrade

Creditors -The creditors of the company will be affected since the company may use their loans to support the project

Competitors- Due to the upgraded facilities of the company in terms of accommodation and the technology, the company will have a competitive advantage in the risk management industry which will affect its competitors since they too may employ this best practice for their companies

Government -The government will be affected since these Grades are government approved with respect to the accommodation and these companies contribute to the economy of the country (Fitzsimmons & Fitzsimmons, 2013).

Project Communication

The communication matrix given below outlines the communication channels between the teams and its management. The project communication will mainly be received by the project sponsor who is responsible for the main decisions that is taken by the customers.

 

stakeholder Description Share with Frequency Method Owner
Employees Change management Management Weekly Email Change management manager
Management Status update of report

Feedback

Approvals

Relevant project team As required Email and physical meeting Project manager
Project Team - Other team members As required Meeting Appropriate project executive
Financial Analyst Details of budget Project manager Weekly Email Report Financial analyst
Hr. Executive Team hiring and firing and salary Project manager Monthly Email report Hr. executive
Quality Manager Assessment of quality of each phase Project manager Weekly Email Quality Manager
Change Management manager Various change management strategies Management Team daily Face to face meting every week Change Management manager
Risk Assessment Manager Risk assessment of each factor Project manager weekly Email Risk Assessment Manager
Procurement officer Procurement of talent and resources of the project Project manager Daily Email Procurement officer
Project Manager Detailed project status Management Weekly Email Project manager
supplier Approval of vendor and products Management and CEO specifically As required Email, Telephone and face to face meeting Procurement manager

Project Approach

The project approach method that is employed by the team is mainly the traditional project management approach which follows the project lifecycle given in the sequence below

project lifecycle

The various stages are given below

  1. Project Initiation Phase

    it is the first stage of the project management plan and it is the area where the project manager initiates communication with the client that is PVLC and shares and understanding with the key stakeholders of the company. The development of the project charter takes place in this stage along with the identification of the key stakeholders and governance.

  2. Project Planning Phase

It is the second step of the lifecycle and confirms the objectives of the report and outlines thee resources required for the completion of the project. The project management plan is outlined and is a crucial document till the project is completed. Come of the elements included are

  • Scope Definition
  • Work Breakdown Structure (WBS)
  • Cost Requirements
  • Schedule and timeline of project
  • Resource Plan
  • Procurement Plan
  • Communications Plan
  • Risk Management Plan

  1. Project Execution Phase

The execution phase starts once the planning phase is over and it is the area where the project manager starts the assimilation of its team and the project is being executed

  1. Project Monitor and Controlling Phase

The project  monitor and control phase ensure that the project is moving in line with the project charter ad the project governance and is within the identifies constraints outlined in the planning phase of the project

  1. Project Closure Phase

The last stage includes the verification of the deliverables as outlined in the project scope by the client and taking feedback to incorporate best practices for the project team in the future. Also in addition the project must be shifted from the project implementation team to the operational aspect of the organization (Schwalbe, 2015).

Project Risk Assessment

The risks associated with a project are many and it is essential that the risks are identified and assessed on the basis of which a risk assessment plan is devised. These risks may have a minor or a major role depending on their frequency of occurrence and it may threaten the project constraints of the company. Hence it is extremely essential that the risk assessment is does in a through manner such that an unforeseen circumstance can be taken care of and ensure that the project is delivered without any hazards (Meredith, & Mantel Jr, 2011).

Risk Assessment Matrix

 

Project

Objective

Very Low

5

Low

10

Moderate

20

High

40

Very High

80

Vendor not found Insignificant number of vendors formed <5% vendors not found <10% vendors not found <20% vendors not found <50% vendors not found
Fire at the offices due to the electrical malfunction Little smoke Minimal fire Considerable fire One department is on fire Entire building is on fire
Non communication between individual teams like plumbing and electrician among other s Insignificant

impact

Little impact on the flow of the project Considerable impact on the flow of the project Very little communication which has a major impact on the project Absolutely no communication which will delay project
Unforseen increase in costs Insignificant cost increase <5% increase in cost <10% increase in cost <15% increase in cost <20% increase in cost
Increase in cost of equipment Insignificant cost increase <5% increase in cost <10% increase in cost <15% increase in cost <20% increase in cost

 

Management of the risk

  • An alternative vendor for each equipment and installation should be listed. The project team should ensure that there is an availability of an alternative supplier and vendor in case the particular supplier s no being able to meet the demands of the project
  • It is essential that there is coordination between the various teams like the electrical department and the painting department’s sine they will be working hand and hand. For the facilitation of their communication, sessions can be introduced to break the ice and enhance cooperation between them
  • Installation of fire equipment in various places of the office and ensure that they are working at all times such that in case there is a fire, it can be easily managed by the team
  • A contingency cost should be added in the budget which can be around 10% such that in case of a cost rise , it can be absorbed by the budget that is set out for project
  • Increase in the equipment such as video conferencing, TV, plasma, workstation etc, multiple vendors should be approached for competitive pricing of the products and other equipment that need to be bought for the company (Fleming & Koppelman, January).

Project Controls

Project controls can be defines as process to gather, manage and analyse the data processes which in turn is used to predict, understand and analyse the budget and the time used in the project by the h the communication of information in formats that helps in the effective management and decision making process of the project management team. The project has various features which are controlled in the following manner

Project Monitoring work which collects and measures the performance information to assess the areas which need corrective measures. It also includes the management of the project with respect to the risk plan

  • Recommends corrective measures
  • Recommends preventive  measures
  • Forecasting of requirements
  • Changes requested by the project

Change Control Integration ensures that the changes which are a result of the corrective actions of the project are known in the other project management areas. It is present in all the stage so the project from the initiation phase to the closure phase

  • Change requests that are accepted
  • Change requests that are rejected
  • Project Management plan is updated
  • Corrective and preventive measures are approved
  • Defect repairs are approved

Scope verification and control includes that the verification process of the cope is approved and the changes to the scope is are also controlled

  • Project Scope statements are updated
  • WBS is updated
  • Changes requested
  • Corrective actions are recommended
  • Deliverables are accepted in control of the scope verification

Schedule Control is the procedure to monitor and control the changes with respect   to the project schedule.

  • Updates to the time line and the baseline
  • Performance measurements with respect to the schedule
  • Requested changes by the client
  • Recommended corrective actions with respect to the schedule
  • Update of the Activity list
  • Project Management Plan Updates

Cost Control is the procedure to monitor and control the changes with respect   to the project costs

  • Update on the estimation of costs
  • Update on the baseline of the costs
  • Performance measurements with respect to cost
  • Completion within forecasted budget
  • Requested changes with respect to cost
  • Corrective actions are recommended
  • Project Management Plan Updates

Quality of performance control is the process to monitor where the project progress is meeting the quality requirement of the project

  • Measurement of Quality control
  • Repair of the validated defects in the project
  • Quality baseline update
  • Prevention and correction actions are recommended
  • Requested changes after analysis of quality

  • Project Management Plan Updates

Management of project team Control allows the monitor and feedback of the project team performance in order to improve their efficiency

  • Changes that are requested
  • Updating the project management plan
  • Corrective measure for improving team efficiencies
  • Changes requested to improve team work

Stakeholders Management is the process that facilitates communication with them and ensures that their requirements are satisfied and matters are proactively resolved.

  • Resolving stakeholders issues
  • Approved change requests
  • Corrective actions approval
  • Project Management Plan Updates (Cooke-Davies, 2002).

Project Procurement

The procurement management includes the work that is done by the people outside the project team and includes the administration of contracts, changing of the control processes and to manage the purchase orders. The Project procurement will be conducted in the following manner

  1. Plan Procurement which takes place in the planning phase and the key deliverable is the procurement management plan

Inputs

  • Scope baseline
  • Team agreements
  • Requirements documentation
  • Risk related contract decisions
  • Project schedule
  • Activity cost estimates
  • Cost performance baselines
  • The environmental factors of the cities where the offices are located

Tools and Techniques

  • Judgements of an expert
  • Make or buy analysis
  • Contract types

Outputs

  • Procurement statement of work
  • Procurement management plan
  • Make or buy decisions
  • Procurement documents
  • Change request
  • Selection of the source criteria

Conduct procurement is a part of the execution phase and the key deliverable is the elected sells and the contract awards

Inputs

  • Project Management Plan
  • Procurement criteria
  • Selection of seller criteria
  • Seller list shortlisted
  • Project documents
  • Teaming agreement

Tools and Technique

  • Bidder meetings
  • Evaluation of shortlisted proposals
  • Independent estimations of procurement
  • Expert judgement
  • Advertisements and internet search
  • Negotiations of procurement

Outputs

  • Sellers are selected
  • Procurement contract award
  • Resource timelines
  • Request of changes if any
  • Project management plan updates
  • Project document updates

Administer procurements is a part of the Monitoring and Control phase and the key deliverable is the change request

Input

  • Procurement documents
  • Contract
  • Project management plan
  • Performance reports
  • Work performance information
  • Approved change request

Tools and Techniques

  • Review of procurement performance
  • Control system of contract change
  • Audits and inspection
  • Claims administration
  • Reporting of performance
  • Records management

Outputs

  • Procurement documentation
  • Change requests
  • Update of the organizational assets
  • Update sin the project management plan

Close procurements is a part of the closure stage and the key deliverable is he closed procurements and includes the verification that all planned work as per the contract in procurements had been completed

Input

  • Procurement documentation
  • Project Management Plan

Tools and Techniques

  • Audits of procurement
  • Settlements of negotiations
  • Records managements system

Output

  • Update of organizational process
  • Closed procurements (Barkley, 2004)

Project Close out

The project close phase is the finalization of the project activities across all phases of the project that is obtained for the best practices that need t0o be applied in the future projects by the team. The project closure consist of two type of closures

Administrative Closure is the process that includes the activities, relations and linked roles and responsibilities of the members of the project team and other stakeholders that are a part of the execution in the administrative closure process for the project. The activities include

  • Confirmation if the project has met all the criteria of the customer
  • Verification  that all the deliverables of the projects have been received and accepted by the customer
  • Validation of the exit criteria of the project team

Contract closure includes the settlements of the activities and the interactions along with the closure of any contract agreements recognized for the project. The activities include

  • Terms and the conditions of the project has been met
  • Formal closure of all contracts that are associated with the project
  • Verification of acceptance of the final project deliverable
  • Carry out a post project review
  • Completion to archive the final project records
  • Transfer of knowledge from the project team to the project client
  • Disburse the staff and facilities of the project resources (Koskinen & Pihlanto, 2008).

Project Schedule

Project Milestone date

The project milestone dates allows the customer and the project team to gauge the completion of the project along the outlined parameters

  • April 25th 2016

Completion of preliminary research on the infrastructure of the 7 offices and the technology that is used in the existing offices

  • May 6th 2016

Client feedback and approval of the project scope

  • July 27th 2016

Completion of identification of the energy and infrastructure requirements of the office buildings

  • December 15th 2016

Completion of fittings of technology equipment

  • February 26th

Completion of interior upgrades

  • April 15th 2016

Risk assessment completion

  • May 30th

Project Test run

  • June 20th 2017

Project closure and client feedback

Meeting Dates

A Project Meeting is an important event which requires the involvement of all the stakeholders internal and external and the communication with other participants and stakeholders for the discussion of issues, making proposals, various approvals and rejections and other group decisions which culminate in a faster delivery of project delivery, which is in accordance to the planned goals and results. The meeting dates are given below

Meeting Agenda Frequency Date
Project kick off meeting Project Start April ist week
Budget meetings Weekly Every week
Scheduling meeting Weekly Every week
Project completion meeting Monthly Every Mont end
Project Team Meeting Weekly Every Week
Project completing Meeting and Handover Once June 20th 2017

Project Budget

The project budget outlined for the given project is 3642896 AUD which will be funded by the client that is PVLC. The project budget will be given out on a timely basis as per the completion of the project. The budget will be released prior to the milestone completion of the leg of the project. Any changes in the budget due to unavoidable circumstances or major changes by the client during the implementation phase of the project will be borne by the client (Ward, 2000).

Conclusion

The project management plan will be submitted to the client PVLC and once the client has given feedback, the project management team will make the respective changes in the plan and resubmit the plan for the final approval by the client. once these changes have been made, the project management team will move forward towards the execution of the project.

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