Project Management in a Firm Wanted to Make New Project (Term Paper Sample)

PROJECT MANAGEMENT STRUCTURE
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a. Appraise the SWL and the AJB Project on the seven (7) factors that influence the choice of Project Management Structure, and rate the level of each factor as low, medium or high.
An appraisal is a process of changing the current working structure of a firm to a better structure. This is the change from the current technology to a better and a more updated technology. This changes either the firm or the way it has been working over years in Project management structure (Cooke, H., Tate, K. et al. 2011). The factors that influence the choice of the management structures for the appraisal of the SWL, and the DBJ are;
Size of Project
The size of the company is the first factor that should be taken into consideration in the appraisal of the firm. The SWL has to measure its capacity to expand to any expense. The management has to take into account the ability of expansion. The SWL is a company which can develop to a certain level. It can raise the 500 thousand Euro required for the appraisal. The factor is a high-level requirement for the appraisal.
Strategic Importance
The second consideration that the firm has to take is the strategic importance of the project it is about to take. The current technology that the company is using is becoming obsolete. The technology will be too much outdated and will lead to the firm being thrown out of the economy and later close business. The choice of the company making some differentiation will be the best option. Improvement to make the Jungle Boy technology will make the firm better to other enterprises in the same market. The factor is a high-level factor due to the use of the new strategies and importance of the same in the project.
Novelty and Need for Innovation
Innovation is the process of making use of some new technology in the firm. These are the new ways of doing things in the enterprise. The SWL firm is there to make profits and therefore having new ways of doing things would be the best for the company. The adoption of the AJB project technology will make the firm compete better in the market. This technology has not been used in Asia and therefore the choice has come at the best time. The factor is a high level due to the adaptation to the current market.
Need for Integration (Number of Departments Involved)
The firm SWL is an entertainment business having several departments in it. Some of the department in the business are reciprocating duties and therefore making no financial gains. The company may be forced or chose to merge the departments that are related to work together. This will reduce the cost of running several departments that reciprocating duties. To the project appraisal, this is a low-level factor as it doesn’t relate to the main project.
Environment Complexity (Number of External Interfaces)
The firm is not an island which has some factors from the environment that are affecting it. These factors are the external factors that affect its growth and the normal functioning of the same firm. The appraisal of the firm has to consider the external factors like the competitors. This is the main reason why the firm chooses to go the AJB way to run a better business than the competitors. This is a high-level factor consideration in the project.
Budget and Time Constraints
The time at which the project is taken and how long it is supposed to take to its establishment is so important. This is meant to be within the budget constraints. A project that exceeds the projected budget is not a good choice. A good project should be within the budget limitations and the ability of the SWL Company. Being in the project analysis the firm is supposed to take into high consideration the budget it has made for the project. The project should not be higher than the expected 500 thousand Euro.
The firm will use the Present value calculation i.e.
PV =FV / (1+r) n where the
PV = present value.
FV= the future value
r = rate
n = time
This will help to measure the payback period for the project. NPV = PV in - PV out.
The factor is a high-level factor due to its value in the project.
Stability of Resources Requirements
The balance of the available resources is a high-level factor due to its importance in the project. The firm having a particular capability of its resources cannot exceed its capacity. The asset and the firm liquid cash is a great consideration for the appraisal. The taking the firm SWL using the AJB project will be more enclosed to the capability of the assets. The more the resources in the firm, the higher the chances of making changes.
(b) From your answers to Question 2(a), determine the most appropriate Project Management Structure for the AJBR Project. Discuss three (3) advantages to SWL by adopting this structure.
Among the three project management structures the project-based organization structure is the best choice for the firm. The structure uses the independent project team then the team’s management is separated from the other parts of the management of the organization. The management is made to have its technical staff and leadership. From there the company delegates several resources to the different project teams thus giving the project leader the better share of implementing the project they have come with.
To the SWL Company, the firm has to choose from its employees and professionals the project team. The team of the project should analyze the capacity of the company from its resources and the financial capability to implement the AJB project. The team contains me as the financial manager the engineer and the marketing director (Khristenko, V. B. Reus, A. G. et al. 2014). The head of the team will be the finance manager helped by the engineer and the marketing director.
Advantages of Using the Project Structure
1. The manager of the project is a well-informed person with some good knowledge in leadership. Therefore the reporting of the project juniors to the project manager is just a stamping of the mere fact learned from the professionals. The juniors can report to the project head without duplication due to multiple leadership. Only one leader at a time.
2. The project team ideas are made within the project scope, the time to make some reactions to the same is limited.
3. The members have the capacity to work in high powers, good cohesion sharing the common aim of the main project. The individuals involved have some clear responsibilities for the project.
C.