Project Management Case Study

Motor Pint
Contents
Part1: Initiation ............................................................................................................................................. 3
Task-1: ....................................................................................................................................................... 3
Part2: Planning .............................................................................................................................................. 6
Task-2: ....................................................................................................................................................... 6
Task-3: ....................................................................................................................................................... 8
Part 3: Execution ........................................................................................................................................... 9
Task-4: ....................................................................................................................................................... 9
Part 4: Controlling ....................................................................................................................................... 10
Task-5: ..................................................................................................................................................... 10
Part 5: Closing ............................................................................................................................................. 11
Task-6: ..................................................................................................................................................... 11
References: ................................................................................................................................................. 12
Part1: Initiation

Task-1: Evaluation of different types of project cost estimation methods in light of Motor Point

For Motor Point (MP) consistently making profit thus maintaining growth the new investment
should be fruitful. The owner’s decision to go online their taxi service is time demanded. The
world is changing just because of technology. The firm which doesn’t use technology can’t survive
nowadays. The information technology department chief of MP s decision to go either self-
management or outsourcing the online activities depends on mainly related time and cost
involvement of the two alternatives. So the cost and benefit (profitability) should be analyzed.

The best project management is that which can estimate the best near cost and time of the project.
The time estimation helps to know the duration of implementing the project that considers the
opportunity cost of the investment fund. On the other hand, without knowing the implementation
cost of going online the company may be a loss making company. For any project while
implementing there are some risks or adverse conditions may make the expected outcome
uncertain. That may cause the project to fail. While considering a project the project manager
should consider top to the bottom of the project that means feasibility study of the project. He also
considers the financial and nonfinancial aspects and risk of the project. While implanting a project,
there are some alternative methods of project cost estimation. Some of the methods of project cost
estimations are discussed below considering the scenario. The best project plan is that which has
zero slack that means it doesn’t create extra cost and time for implementing the project
(Dessler,2011).

Project cost estimation methods:

 Estimation Methods

WBS( Work Break Critical path

Budgeting Process Gant Chart
Down) analysis (CPA)

Project
Resource Reports management
histograms software

1. Budgeting estimation method: it is widely used method of project cost estimation and
evaluation method. For MP the management of the company may know about the related
expenditure of the implementation tasks, financing source, communicating medium, controlling
the system of the online activities, planning and evaluation techniques by using this technique.

2. WBS: the main purpose of this method is to break the main activities of the project part to part
and implementing the same.
3. Gantt Charts: in this method a horizontal chart is drawn for project scheduling. Each activity
or task is marked in block over time and recorded in real time and compared with estimated time.

4. Critical path analysis: visual tool for effective time management and shows independent
relationships among activities. It arranges the activities of a project in a way that a project will be
implemented with minimal time and cost. For MP it is the best suitable method (Nagarajan, 2010).

5. Project management software:

Part2: Planning

Task-2: Stakeholder analysis of communication for this project

Stakeholder analysis means the parties in the society directly and indirectly influence the Motor
Point business. In stakeholder analysis the following steps are followed

Planning – here in the planning process for MP the recent development projects purpose and
objectives should be specified. According to that other task of the project management should be
carried out. Without this the MPs growth will be subdued. Here the IT department should analysis
who are the users of online advantages, how they will be benefitted, how to educate them, which
application platform will be beneficial for them. A detailed and foresight effectiveness and
efficiency of the proposed project should be planned and evaluated (Meredith, 2011).
Selection of appropriate policy – before going for the project, identification of the stakeholders
and their demand should be analyzed. From findings related policy should be designed to run the
online activities. It should be kept in mind that company policy should be user friendly.

Identification of key stakeholders – The stakeholders must be identified and their preferences
and needs are also needed to be understood.
 Shareholde
Society r’s
(people)

Rivals
Passengers Stakeholder
(clients) Analysis

Software
provider

Local govt. Employees

Collecting data and information: information regarding stakeholder can be collected from
different primary and secondary sources. Suppliers directory, websites, agents are main sources
for suppliers information gathering. A survey may be conducted to get information about a
customer’s reaction to new additions to the service. Experts and competitor analysis will be help
of analysis on prospects and threats of the new additions (Meredith & Mantel, 2011).

Interviewing the priority stakeholders- Interviewing the stakeholders means understanding their
needs and preferences and interest and how those can affect the project management process.
Analysis of the stakeholder table – identified stakeholders should be analyzed separately. Their
possible reactions should be analyzed based on the information collected from primary and
secondary sources. That information will help to get conclusions based on those findings.
Information utilization – At the last stage, the formatted data that means usable information is
obtained and from there necessary plans are prepared in order to increase support for the project
as well as increase the effectiveness of the project management (Schwalbe, 2015).
Task-3: Template of Work Breakdown Structure (WBS) for the expansion project of MP.

As discussed earlier in the project cost estimation method a WBS (work break down) approach is
a method of project evaluation in which a project is decomposed into smaller projects or
components and implemented the small tasks separately at the same time. By using this method
employees have specific tasks to complete. Where any problem occurs that part completed by
carefully, and doesn’t hamper the other part of the project. For MP apart from the functional
activities, it is a suitable method of implementing the online access project. The WBS also provides
a detailed framework about the estimation of costs and time with the help of proper guidance,
development and controlling methods (Turner, 2014). A possible WBS structure would be like
that.

Project Name Online penetration of Motor Point

WBS
Level WBS Title Key activities under title
Level-1 Analysis How to book, cancel booking, payment method, editing option
customer etc.
Level-2 Staff duty Managing activities through software and online on level-1
Level-3 Service To carry out the level-2 activity required knowledge and
company software manage from best vendors.
Level-4 Marketing  Advertisement
 Customer education on new system
 Language option of the software
 Make soft user friendly with added logo
Level-5 money Contact with different service provider who connect the online
payment method
Level-6 security Maintain security of the whole system, including customer’s
privacy, payment etc.

WBS Method: for MP; WBS method will work as follows

  Staff hours for each task are multiplying their hourly wages
 Overhead hours are also calculated multiplied by staff hours
 Equipment, financing and resources should be planned accurately so that it produces better
estimation.

Benefits:

The benefits of the WBS systems are: in this system MP will get proper details of the task which
are to be performed, better costing plan, scheduling and resource planning of the project. Other
benefits of the WBS system of Motor Points are

 Easy to distribute responsibility among employees to achieve specific activity objective.

 Help to sequence and put a schedule of implementation of each activity. Efficiency and
best sequence can be identified.
 Proper use of resources
 It can help to manage risk of the project and help to take necessary actions in small activity
without hampering other tasks (Dessler, 2011).

Part 3: Execution

Task-4: How to solve the unfortunate situation with Fernando with some possible alternatives

The project was going well but all of a sudden, one of the working staffs Bill met with an accident,
as a result of which he was allowed to rest for four months, and the company cannot afford to lose
any staffs at that stage. It is very much unfortunate in crucial time, especially while in the midpoint
of implementing a project loosing someone from the team. Although missing of an expert
employee affected the pace of the tasks but considering this MP management should move
forward. Because of his absence and need for complete bed rest, considering his physical and
mental ability to do work some alternative actions to continue the task are discussed below
 i. He can do his job by staying at home or provide some part of the job that requires less time
to perform such as financial analysis, monitoring online activities etc. this can be done
easily at home having an accident.
ii. Hire an expert in temporary time to carry out his job until he is fit for doing his job
iii. Cloud or outsourcing some part of the job
iv. Recruit new employees as soon as possible. The recruited person must be skilled and
proficient enough to perform his duty.
v. John can arrange a meeting and a discussion session about the recent problem the firm is
facing now and get possible responses.
vi. Another thing which can be done, is to enable the work breakdown structure which can
divide the work among each and every individual. In this case if possible Felmando’s work
can be performed delayed when he will be ok to do his job.
vii. Make the job done from another firm.
viii. Employees who have free time assign the tasks to them.
ix. Delay the work that is costly for the firm.

Above are the best alternatives for motor point services to replace an employee to get his job done
(Winter, 2006).

Part 4: Controlling
Task-5: Critical evaluation of what functionality and/or features can be compromised.

As MP has faced a problem losing one of the skilled labor of the new expansion project. Due to
his absence, his part of jobs are getting piled. As a result the overall completion of the project is
getting no so pace. Three months have passed and a lot of work has to perform. John as the manager
of the project he is very much concerned about finishing the job on time and go online business.
Due to absence of ( ) his part of job or some other part of the activity of the project which has
less important should be compromised due to time and cost constraints of the economic recession.
For online business software development part is very much important to get more market share
in this bad economic condition. So the project must be fulfilled within a specified time. The
implementation of information technology is also needed for managing innovative approaches
which can bring fruitful results. By installing appropriate software and hardware the desired
service can be provided that improves the productivity, quality of the services of the MP. Apart
from them managing financial aspects in a modest way t and human resource management is also
a crucial part of success. Most of the functional part of the project is very much needed to complete
the project. As the fund is limited and no scope for hiring or outsourcing the tasks of the project
the work can be done through the internal management. Existing workers can do overtime to finish
the job. For this some extra remuneration can be provided. If employees demanded more, then
John should convince them if the company growth increases, they (employees) will be given
awarded with financial benefits. Other functional works that MP can compromise are postponing
the advertisement, market research, and taking expert opinion. The logic behind these actions that
as the company Motor Point has consistent growth and popularity the word of mouth will help to
reach the information of online go expansion facility. As the market is already prevailing for MP
so further research is not necessary and concentration can be given to the unfinished tasks (Turner,
2014).

Part 5: Closing
Task-6: Lessons-learned report for the entire project including input from all stakeholders

For any project stakeholders analysis is very much important because they influence the business
in multiple ways. The society in which the MP belongs have the rights on policy making. People
are influencing the business in different ways. They act as customers, employees, policy makers
etc. so before going for a project stakeholder analysis must be done. Financial institutions related
to MPs business such as banks and leasing Company have an active role in this regard. A satisfied
employee is an asset for the company because they carried out the day to day business handling
customers. A satisfied employee can deliver good service that is important for customer
satisfaction phenomena. The suppliers, especially the taxis are important. Quality, good looking,
well fit vehicle can provide better productivity for the business. The investors are the main concern
for business, because they are the owner of the business and management works on behalf of them.
Their primary demand for management is profitability, secondary objectives are goodwill of the
firm and increasing share price (Larson, 2011). The most important stakeholders are the customers.
The customers must be provided with products and services by MP with their newly launched
online services. For new project some limitations should be prevailed and the management should
be competent enough to handle those circumstances.

In conclusion it can be said that, it is important to keep in mind that for any service industry policy
should be made on behalf the customers so that they will feel comfortable and become a loyal
customer for the company itself. And I think the key of success of MP is that best quality customer
service with added features and expansion project (Burke, 2013).

References:
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Management Handbook, Second Edition, 902-919.
2. Burke, R. (2013). Project management: planning and control techniques. New Jersey,
USA.
3. Cicmil, S., Williams, T., Thomas, J., & Hodgson, D. (2006). Rethinking project
management: researching the actuality of projects. International Journal of Project
Management, 24(8), 675-686.
4. Dessler (2011). Service management: Operations, strategy, information technology.
McGraw-Hill Higher Education.
5. Kerzner, H. R. (2013). Project management: a systems approach to planning, scheduling,
and controlling. John Wiley & Sons.
6. Larson, E. W., & Gray, C. F. (2011). Project management: The managerial process.
7. Meredith, J. R., & Mantel Jr, S. J. (2011). Project management: a managerial approach.
John Wiley & Sons.
8. Nagrajan,K. (2010). Project management, project cost estimation, new age international
publishers pvt. Limited.
9. Schwalbe, K. (2015). Information technology project management. Cengage Learning.
10. Turner, J. R. (2014). The handbook of project-based management (Vol. 92). McGraw-hill.
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