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Transcript of Project Management-A&D
After conducting a cost benefit analysis, and much deliberation, Webb decided that building one would be more efficient.
To start off, a cross functional team of 6 people was created to plan the project based on the “build” decision. After defining the teams planning components and requirements, the following resources and tools were required to complete the project. A&D’s Methodology The stores sales reach a peak during the holiday season and the CEO wanted to know if the project could be done in time to jump on the holiday sales. Objective A&D High tech was losing sales potential by not selling online. They wanted to finish implementing the online project before the holiday season and the project, manager Eric that there wasn’t enough time to getting up to speed on the project since they were already late.
The loss of potential sales via the internet has led to decreasing margins and a tougher competitive environment due to A&D’s loss of a competitive advantage via Web Services.
Missed opportunity of increasing revenues by decreasing costs per internet order. Addressed Issue
A&D Tech specialize in selling computer related products and services. They had broken ground with their innovative made to order products and have been growing steadily on a value preposition emphasizing friendly service. They started off as a regional firm, but with aspirations to grab onto any opportunity to distribute nationally.
By 1999, A&D had incorporated information systems into their operations to increase efficiency on customer call back. This had resulted in a decline in customer callbacks from 30% to less than 1% of orders.
A few years later, A&D was going through a slump in a volatile competitive environment and was looking to delve into new segments. Realizing the cost and selling advantages of the internet, A&D decided to focus its attention in that direction. Company Profile
Samer Saade A&D High Tech (A): Managing Project for Success - Company Profile
- Addressed Issue
- A&D’s Methodology
- Our Analysis
- Recommendations Outline Risk Analysis Build Software:
Pf = 0.57
Cf = 0.78
RF = 0.91
Pf = 0.40
Cf = 0.45
RF = 0.67 Risk Analysis - Labor will cost $1,098,627 with overtime included
- This number is minimal compared to the return we will get from this project, thus it should not be a burden After crashing (adding overtime for the resources assigned to tasks on the critical path) work times for the resources will be as follows
(Work days are Monday to Friday for all resources):
- Chris Johnson: From 8:00AM till 8:00PM with 1 hour lunch break
- Ryan Neff: From 8:00AM till 8:00PM with 1 hour lunch break
- Stacey Lyle: From 8:00AM till 8:00PM with 1 hour lunch break
- Rick Burk: From 8:00AM till 8:00PM with 1 hour lunch break
- Marc Sanders: From 8:00AM till 8:00PM with 1 hour lunch break
- Sanjay Vohra: From 8:00AM till 5:00PM with 1 hour lunch break
- Kara Siposki: From 8:00AM till 8:00PM with 1 hour lunch break
- Todd Eliason: From 8:00AM till 8:00PM with 1 hour lunch break
- Developer 1: From 8:00AM till 5:00PM with 1 hour lunch break
- Developer 2: From 8:00AM till 5:00PM with 1 hour lunch break
- Developer 3: From 8:00AM till 5:00PM with 1 hour lunch break - The Project will start on May 26, 2003
-Without Crashing, the project will finish in September 1, 2004
- With Crashing, the project will end on November 20, 2003 P1: The finish time of the project is too close to the deadline
P2: The risk of building a software is very high
P3: There is a risk employees will leave because of the workload
P4: More than one paths have durations very close to the critical path; any delay in almost any task would delay the entire project and put it at risk of not meeting the deadline
Q: There is a high probability the project will not finish on time Conclusion: Building a software has a high risk, higher than adapting one. This schedule is needed to finish the project a little before Christmas. However, we should be aware of the risk of employees leaving because of the huge load of work and the long working days that will be extended over a period of about 7 months. We need to hire new resources because the current ones will not endure the work load. However, even this would not solve the other risk problems.
Adapting a software would be a better decision that will allow them to finish early and be ready for the holiday season.