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Fundamentals of Project Management

Fundamentals of Project Management

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Table of Contents

Part A 3

Definition of Project /Parameters and Risks 3

Various Risk Associated With Project 5

Planning and Cost 12

Network illustration Highlighting decisive path and planned period of the project 14

Floating time for non-critical task: 15

Projected gross profit 19

Managing Progress and Spending 23

Progress work after 16 weeks: 23

Value Analysis: 26

intended Figure Percentage 26

Approximation after project 27

Part B 28

Reflective Essay 28

Reference 29

Part A

Definition of Project /Parameters and Risks

A) Significance of triangle parameters in setting out the purpose of the project

The critical objective related to the good practices of project management is to make sure that all the work provided by the client should be good with proper quality as well as it is needed to make sure that it provides a reasonable margin return for the business organisation. However, to convey these purposes, three considerations exist in the forms of the constraint in any of the critical projects. These parameters are time, the scope for quality of work as well as the cost of the effort(Schwindt. and Zimmermann, 2015).  However, all these three restrictions require to be managed by the project manager as an entire project depends on the realisation of the on the wholepurpose of the project. All these constraints are correlated with each other, which is why it is known as the triangle of project management. 

Time can be determined as one of the significant imperatives for any task. It is because all the tasks were booked, and it was required to finish the undertaking in the predefined timeframe, which was referenced in the authoritative understanding. For instance, as indicated by the contextual analysis of Automation Future PLC Project, the association needs to convey the finished processing plant computerisation plan and inverter creation line by 18 September 2020(Kumar, 2011). The association carefully needs to keep up the timetable of work for this venture, as it cannot take longer or shorter than the foreseen cut-off time. If the company can deliver the project early as mentioned, the company will get around 50000 Pounds per day. However, if automation future PLC is not able to achieve the deadline, then the company must pay TTF to pay a debt on damages around 100k pounds per day.  That is why it is required for the project manager to make the venture on time and on agenda that has been decided upon and the project manager require to execute all the work to make it finish before the time limit to achieve the project bonus. Despite the fact that any undertaking should be booked and expected to end before the planned time it must be noticed that the task time is not controllable as any venture administrator can confront a few issues while executing the task. In any case, it generally relies upon the number of task factors, for example, complete quantities of labourers present at work, specialists just as the assets that are accessible to execute the venture. If AF PLC can execute the project on time, it must require appropriate workforce along with proper equipment. Besides that, if any of the projects need to be finished before the time limit to get the project bonus for before time submission of project the company would require extra workforce and assets, which required to dispensed from the project.  Fascinatingly, it will help to implement more fronts, which need to be injected by the project operating company.  There are some consequences related to the cost of the project, which can be affected, and the likelihood of the venture profits need to be made from that project.

From the above section, it is clear that all the three-parameter time costs as well as scope from the triangle of management of project are closely related and cooperatively contribute towards the overall purpose as well as the project quality.  The correlation between these parameters could be understood with the help of the below figure. Any of the two considerations could affect the project and the definitivepurpose of the project. A fine balance of the triangle of project management is always essential to get a better profit of undertaking any project. Therefore, it is one of the major tools for all the project managers(Kivilä, Martinsuo and Vuorinen, 2017).

Figure: Iron triangle of project management interrelationship

Source: (Kerzner, 2017)

Various Risk Associated with Project

Every project has some risk associated with it.  Whether it is a straightforward project, or it is a difficult one, the risk associated with these could be highlighted before the initial period of the project. Suppose any of the risk associated with the project could not be identified. In that case, it could make a severe impact on the project and when the threat results into an unanticipated delay and the project manager may face some introduction.  Discovering all the risks at the early stage of the project as well as before the initiation of the project will help the project manager to take necessary preparation, which will overcome those risks, or it can be hold without any severe impact on the growth of the project(Muriana and Vizzini, 2017).  However, the possibility of that to identify all the risks associated with the project is not always, which the project manager could encounter before its execution. Nevertheless, all the known, as well as expected risk need to be registered with full details and how it could be prevented, should be mentioned in the register.

This project, the project manager, has predictable risks, which could be categorised as interior and exterior risk.  An interior risk, which mostly originated from the side of the organisation and the persons who are involved in those projects.  For example, staffing in a project, this will produce bad quality or the failure of the organisation to deliver the project on time(Zio, 2018).  Moreover, the exterior risk involved all the risk that cost from outside the organisation, such as amend in the price of raw material and market inflation. All the risk associated with this project has been publicized in the below table.


RMR for AF PLC Project Recognition of Risk reviewing Answer observation and manage SL No. Risk Reason Issue likelihood Impact P x L Approach Trigger Action Accountable persons re-examine Regularity Date and Status 1 Market inflation Increase in the price of raw material and hardware it will increase the project cost
3 4 12 Mitigate Changes in daily market prices of hardware Insuring to purchase the bulk of the material Project manager. monthly basis 18.09.20 insurance has been done for inflation, and the register has been updated 2 issues associated with unreliable when does a contractors Need to reward subcontractor to the vendor who has a better reputation it will delay the project 3 5 15 Avoid Hiring to a subcontractor who is recommended by various forces need to award the subcontracts from reliable forms which have a better reputation and delivering the service Executive sponsor; Project manager while Sourcing for subcontractor and vendor 18.09.20 All the interview of vendors and contractor done 3 Inadequate funding erroneous estimation of data could affect the overall cost of the project Delays in project 2 5 10 Mitigate fail to provide appropriate planning related to funding need to provide secure funding and sequence from appropriate stakeholder Project Manager, Executive Sponsor Monthly 18.09.20 Register updated alternative funding sources has been identified 4 Sealing of  equipment  from the site inappropriate security measures the project works halted/ interrupted 3 4 12 transfer risk towards insurance Inadequately protected site skilled security personnel,  implementation of CCTV at the worksite Project manager Daily 19.09.20 Register updated. Insure against stealing 5 Key employees leaving the project Poor salary structure or working condition introduction of the project workflow 2 3 6 Avoid Alternative job existence with better packages providing better salary increment according to their work, employee performance evaluation and creating a better working environment Human resource manager Monthly 19.09.20 Register updated. Creating increment plan to match the market 6 Injury to workers Improper Saftey measures Interruption of daily activities 2 3 6 Mitigate Accidents caused by plant machinery or inappropriate use of plant equipment Implementing better security measures and training need to provide All workers and everyone on site Weekly 19.09.20 Updation of register
7 Environmental risks Natural causes Interruption and delaysof project 1.5 5 7.5 Transferring threats to insurance All the natural Calamities Familiarise with the weather condition and environmental characteristics of the area Nature Monthly 19.09.20 Register updated. exceptional site fortification design
8 alteration made in the span of work insufficient details qualifications or mislaiddata in the initial  theoretical design specification The additional cost of project and hindrance 1.5 2 3.5 Avoid Problems of design implementation on site Requesting for additional information and information during the theoretical design presentation Design engineers and project client Monthly 19.09.20 Register updated. Taking permission to clear the design stage
9 inauspicious political environment Less political goodwill Project interruptions 1.5 2 3.5 Mitigate the poor relationship between directors of the organisation and the existing political leadership make sure the company relics independent on matters of political affairs in the region of the project Project managers and the AF PLC directors Monthly 19.09.20 Risk Register updated. No comments on political aspects
10 protestation by the local commune to access site Insufficient information related to local for the proposed project
1.5 2 3.5 Mitigate Not able to include the neighbour in the projects Making sure that locals are getting employed according to their skills HR manager Monthly 19.09.20 Register updated. localincorporated in the expansion of the project.

Planning and Cost

Task IDDescription of TaskDurationStartFinishPredecessors
1Starting the devise of factory3 wks.18 September 2020October 9th, 20
2Outlining the design of automation tools2 wks.October 9th, 20October 23th, 20
3Outlining designing inverter product1 wk.October 23th, 20October 30,20
4comprehensive design of the factory8 wks.30 October 202025 December 20201
5comprehensiveimprovement design of automation tools and inverter8 wks.25 December 202019 February 20212,3
6developing software automation equipment as well as inverter product10 wks.19 February 202130 April 20215
7automation equipment manufacturing10 wks.30 April 20219 July 20215
8modular factory entity manufacturing9 wks.9 July 202117 September 20214,5
9transportation and construction modular factory on the Germany8 wks.17 September 202112 November 20218
10testing automation tools6 wks.12 November 202124 December 20216,7
11transfer in automation tools to a new factory4 wks.24 December 202121 January 202210
12mechanism of the new automation tools in a new factory6 wks.21 January 20224 March 20229,11
13installing software related to automation4 wks.4 March 20221 April 202212
14installing software for the product in water line5 wks.1 April 20226 May 20226
15testing the production line of inverter6 wks.6 May 202217 June 202213
16hand over as well as train the MMC engineer in the process of automation and product production6 wks.17 June 202229 July 202214,15
 OVERALL PROJECT9618 September 202029 July 2022 

Table 2: start and finish dates and Description of tasks

Network illustrationHighlightingdecisive path and planned period of the project

Figure 1: Network Diagram

Floating time for non-critical task:

Floating time, which is also derived as slack time, is the total quantity of time that can be displayed in a task with and without the effect of the project deadline. The floating time occurs typically on the task, which is not critical. Any delays related to the critical task can cause a setback among the overall project. With the help of a network diagram displaying a verb providing information related to non-critical tasks in blue shade as they have included some of the ID of tasks such as 3,4,8,9, 8 as well as 14.

 Floating time can be derived as the difference between the initial start as well as late start, early end and late concluding time.

With the help of below table, we can understand the floating time for every task

Task IDDescriptionDurationEarly Start (ES)Early Finish (EF)Late start (LS)Late Finish (LF)Float (F)  
1Starting the devise of factory3 wks.03030
2Outlining the design of automation tools2 wks.35350
3Outlining designing inverter product1 wk.34451
4comprehensive design of the factory8 wks.3117154
5comprehensive improvement design of automation tools and inverter8 wks.5135130
6developing software automation equipment as well as inverter product10 wks.132313230
7automation equipment manufacturing10 wks.132313230
8modular factory entity manufacturing9 wks.112015244
9transportation and construction modular factory on the Germany8 wks.202824324
10testing automation tools6 wks.232923290
11transfer in automation tools to a new factory4 wks.293329330
12mechanism of the new automation tools in a new factory6 wks.333933390
13installing software related to automation4 wks.374137410
14installing software for the product in water line5 wks.2328424719
15testing the production line of inverter6 wks.414741470
16hand over as well as train the MMC engineer in the process of automation and product production6 wks.475347530

Therefore, flow time can be given with the appropriate formula:

F= LF-EF

F=LS-ES

In which F stands for float,  ES stands for an early start, EF stands for early penish, LS stands for the late start, and LF stands for a late finish.

Based on the above table, it can be evaluated that the floating period for all the non-critical tasks ID 3,4,8,9, 8, as well as 14, were 1,4,4, and 19 weeks. Therefore, the indication of the float is the amount of time taken in weeks that dose staff can be postponed from their planned start date, which will not affect the project time limit (Demirkesen and Ozorhon, 2017).

b. Gantt Chart

Projected gross profit

 The total cost for all the tasks mentioned below is around 48.50 million euro.

With around 69and 39 Euro per hour, all the engineers and technicians, including production staff, were hired. Every employee will work five days for the week along with 8 hours a day. Therefore the total working hours for every employee per week will be around 40 hours(Heptinstall and Bolton, 2016). 

According to the table mentioned below shows the total number of payment done according to the task description, which will be used in the project estimation.

Description of TaskTime Taken(weeks)Fixed cost (£m)Engineers RequiredTechnicians RequiredNo. of hourswhole Cost for Engineerswhole cost for Technicians’
Starting the devise of factory32.8105120£82,800£23,400
Outlining the design of automation tools21.610580£55,200£15,600
Outlining designing inverter product11.510540£27,600£7,800
comprehensive design of the factory83.8105320£220,800£62,400
comprehensive improvement design of automation tools and inverter85.42010320£441,600£124,800
developing software automation equipment as well as inverter product103.4105400£276,000£78,000
automation equipment manufacturing106.52050400£552,000£780,000
modular factory entity manufacturing943040360£745,200£561,600
transportation and construction modular factory on the Germany83.51060320£220,800£748,800
testing automation tools62.2820240£132,480£187,200
transfer in automation tools to a new factory42.5105160£110,400£31,200
mechanism of the new automation tools in a new factory63.12550240£414,000£468,000
installing software related to automation42.2105160£110,400£31,20
installing software for the product in water line52.71060200£138,000£468,000
testing the production line of inverter62.1620240£99,360£187,200
hand over as well as train the MMC engineer in the process of automation and product production61.2616240£99,360£149,760
OVERALL PROJECT COST5248.52053613840£3,726,000£3,924,960




Total budget on salary£7,650,960.00

• Thus, all-out allocated working hours for the venture until fruition will be around 3840hours

• The entirety number of designers and professionals/creation staff recruited for the undertaking is205 and 361 separately.

• payment for recruiting authorities

o Engineers 205 × 3840 × 69 = £3,726,000.00

o Technicians/Production staff 361 × 3840 × 39 = £3,924,960.00

• Sum all out for employing authorities: £3,726,000.00+ £3,924,960.00= £7,650,960.00 = £7.7m

• The aggregate of costs for the undertaking is £7.7m + £48.5m = £56.2m

• Since, the task is evaluated to end sooner than the scheduled time, the contractual worker will be qualified to a reward for every day the activity is finished sooner than the mentioned time.

• Sum reward sum is 7 × £50,000 = £350, 000

• Venture cost is £58.5m

• Gross benefit is £58.5 – £56.2 = £2.3m

• Sum Gross Profit is £2.3m + £0.35m = £2.55m

Managing Progress and Spending

Progress work after 16 weeks:

Based on the above Gantt Chart, below table shows the progress from the date of 18 September 2020

TaskDescription of TaskDuration in percentage
AStarting the devise of factory100
BOutlining the design of automation tools100
COutlining designing inverter product100
Dcomprehensive design of the factory100
Ecomprehensive improvement design of automation tools and inverter32
Fdeveloping software automation equipment as well as inverter product32
Gautomation equipment manufacturing36
Hmodular factory entity manufacturing0
Itransportation and construction modular factory on the Germany0
Jtesting automation tools0
Ktransfer in automation tools to a new factory0
Lmechanism of the new automation tools in a new factory0
Minstalling software related to automation0
Ninstalling software for the product in water line0
Otesting the production line of inverter0
Phand over as well as train the MMC engineer in the process of automation and product production0

b. Rescheduling Gantt chart

At the start of the venture, it already illustrates there is ainclination that is over the planned financial plan. From the perspective of budget, a schedule which can be done by using MS project will still produce the completion date, which is a good sign as the achievement of project will be earlier(Marchewka, 2016). 

According to the cost, the project has previouslyobsessive more money as expected to complete the present work and by the distributor of resources as well as the needs should be commenced to make the project commercial. The project Is estimated to complete 39% against the expected 45% at the last week.

Value Analysis:

With the assist of Fund value investigation, any project manager can able to check the position of the project according to the deadline, with the help of this analysis which will indicate whether to move as planned or according to the coast within the schedule (Fleming and Koppelman, 2016).

TaskBACTIMEPC (%)BCWSACWPBCWP
A2.831002.82.952.8
B1.621001.61.721.6
C1.511001.51.581.5
D3.881003.84.083.8
E5.48804.325.153.456
F3.410702.383.081.666
G6.510603.95.752.34
H495023.51
I3.580000
J2.260000
K2.540000
L3.160000
M2.240000
N2.750000
O2.160000
P1.260000
Total48.5 22.327.8118.162

intended FigurePercentage

  • the project is given by:
  • The authentic figure of the description PC is given by:

Approximation after project

TaskBACDUR.PC (%)BCWSACWPBCWPSVCVCPISPIEACTCPIEDAC
A2.831002.82.952.80-0.150.9512.9503
B1.621001.61.721.60-0.120.9311.7202
C1.511001.51.581.50-0.080.9511.5801
D3.881003.84.083.80-0.280.9314.0808
E5.48804.325.153.456-0.864-1.6940.670.88.057.7810
F3.410702.383.081.666-0.714-1.4140.540.76.295.4214.3
G6.510603.95.752.34-1.56-3.410.410.615.975.5516.7
H495023.51-1-2.50.290.514618
I3.580000000001
J2.260000000001
K2.540000000001
L3.160000000001
M2.240000000001
N2.750000000001
O2.160000000001
P1.260000000001
Total48.5 37.422.327.8118.162-4.138-9.648




To get the assessed finishing time, the estimation of Estimated Duration at span (EDAC) is determined utilising the earned worth (EV) model. EDAC is given by

EDAC (EV) = PD/SPI

Where PD is the arranged span, and SPI is the booked presentation record.

  • The anticipated last spending for the whole project.

The anticipated last spending of the venture is given by

100/ (Actual % progress) ×authentic spending= 100/37.4 ×27.81=£74.35m

Part B

Reflective Essay

Analysing study helps me in knowledge the basics of project management. With the help of this module, several concepts related to project management like the definition related to several risks and parameters; understanding the planning and costing importance as well as managing the progress and spending along with the analysis of earned value has been cleared. However, this study has exposed several challenges for me. This assignment is somehow challenging me to produce, but in the end, I can fulfil the assignment based on the reality in the field (Azeem, Hosny and Ibrahim, 2014)

 There are several challenges in all the sections like ok in part 1 where it required to register the risk of the form it was not mentioned where I need to mention real specific risk like fire risk or at other natural calamities or about the risk related to their operations.  Producing all the responses in this section, I mention those risks, which may be and counted in real life. In section 2, I need to make the Gantt chart that is quite difficult at first as I was not aware of making one. After using some tutorials, I was able to understand how to use the software to produce specific projects. There are several other challenges that I have encountered while developing this project. Like in Section 4, I need to figure out the entire project cost, which was not clear what an overall plant percentage figure was meant and it was very difficult to represent BCWS I have managed to use the unit of euro. In the future, I need to learn many features related to Ms Project, and I am looking forward to exercising in the software until I get used to it. The overall experience related to this project was helpful as it helped me to understand my weakness and strength.

It is one of the significant considerations in the triangle of administration of project. It can be stated that one of the objectives related to project management practices is to lower the cost of project delivery however at the same time it is required to promote the quality work at the mentioned time. As a project manager for future automation companies, there will be a need to balance both the quality as well as lowering the cost of the funds related to the project. It is essential that realistic project estimation, as well as the budget of the project, needs to be re-established at the starting and the budget related to project need to be followed until the end of the project. Moreover, there is also an option to increase labour work in this project. It will help to convey this venture on time and help them to earn a bonus. In this project, there will be a need of adjusted work, which will be struck and assessed to figure out which alternative will be reasonable in this task, which will be practical and gainful for the organisation. Furthermore, the expense of the project consistently affects when it will be finished. Along these lines, cost as a triangle parameter is essential in the management of projects, as it will influence the timetable of the project.

An additional essential consideration, which could affect the purpose of the project, is their scope for quality of the project. It has been seen that the deliverables related to a project are essential to meet to achieve the objectives of the project. These deliverables, as well as how they will meet in the project that constitutes the overall project delivery. For example, one of the main objectives of AF PLC is to design and develop automation plants for MMC PLC. By designing and developing automation, a plan which involved the scope of work which is required for the project manager for this project which needs to be realised. In order to manage the project successfully, it is required to know the scope, which will be undertaken by the project manager. Moreover, any changes related to scope could concern the cost of the project as well as the deadline to absolute the project on time. 

References

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Demirkesen, S. and Ozorhon, B., 2017. Impact of integration management on construction project management performance. International Journal of Project Management35(8), pp.1639-1654.Retrived Fromhttps://www.sciencedirect.com/science/article/pii/S0263786317300029

Fleming, Q.W. and Koppelman, J.M., 2016, December. Earned value project management. Project Management Institute.Retrived From https://books.google.com/books?hl=en&lr=&id=yOSuDgAAQBAJ&oi=fnd&pg=PT6&dq=Fleming,+Q.W.+and+Koppelman,+J.M.,+2016,+December.+Earned+value+project+management.+Project+Management+Institute.&ots=SE8G4g1Hao&sig=Ec-8dneZSXZmyOvvGqUo6GwgOPY

Kerzner, H., 2017. Project management metrics, KPIs, and dashboards: a guide to measuring and monitoring project performance. John Wiley & Sons.Retrived From https://books.google.com/books?hl=en&lr=&id=qEozDwAAQBAJ&oi=fnd&pg=PR9&dq=Kerzner,+H.,+2017.+Project+management+metrics,+KPIs,+and+dashboards:+a+guide+to+measuring+and+monitoring+project+performance.+John+Wiley+%26+Sons.&ots=44svReFjmz&sig=j069aoK6e_SSLpCyQWcrYvFgMA8

Kerzner, H., 2017. Project management: a systems approach to planning, scheduling, and controlling. John Wiley & Sons. Retrived From https://books.google.com/books?hl=en&lr=&id=xlASDgAAQBAJ&oi=fnd&pg=PR19&dq=Kerzner,+H.,+2017.+Project+management:+a+systems+approach+to+planning,+scheduling,+and+controlling.+John+Wiley+%26+Sons.+&ots=Xb9oURU2uS&sig=hTdWT1ZiYO4DZdI9MZvqewsmivc

Kivilä, J., Martinsuo, M. and Vuorinen, L., 2017. Sustainable project management through project control in infrastructure projects. International Journal of Project Management35(6), pp.1167-1183. Retrived From https://www.sciencedirect.com/science/article/pii/S0263786317301886

Kumar, N. J., 2011. Construction Project Management: Theory and Practice. New Delhi: Dorling Kindersley (India) Pvt. Ltd.Retrived From https://books.google.com/books?hl=en&lr=&id=VIBI3mhzdGMC&oi=fnd&pg=PR21&dq=Construction+Project+Management:+Theory+and+Practice.+New+Delhi:+Dorling+Kindersley+(India)+Pvt.+Ltd.&ots=T1KsCpZgX0&sig=KdonpjS-BUpKrqOvirLw2imeFnQ

Marchewka, J.T., 2016. Information technology project management: Providing measurable organisational value. John Wiley & Sons. Retrived From https://books.google.com/books?hl=en&lr=&id=rsLlBQAAQBAJ&oi=fnd&pg=PR13&dq=Marchewka,+J.T.,+2016.+Information+technology+project+management:+Providing+measurable+organisational+value.+John+Wiley+%26+Sons.+&ots=9lyI7hp0oc&sig=t-UCsdpxvZ8RdjGXOqD1DBGdneg

Muriana, C. and Vizzini, G., 2017. Project risk management: A deterministic quantitative technique for assessment and mitigation. International Journal of Project Management35(3), pp.320-340. Retrived From https://www.sciencedirect.com/science/article/pii/S0263786317300613

Schwindt, C. and Zimmermann, J. eds., 2015. Handbook on Project Management and Scheduling. Dordrecht: Springer International Publishing. Retrived From https://link.springer.com/content/pdf/10.1007/978-3-319-05915-0.pdf

Zio, E., 2018. The future of risk assessment. Reliability Engineering & System Safety177, pp.176-190.Retrived Fromhttps://www.sciencedirect.com/science/article/pii/S0951832017306543

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