Introduction to Project Management
Project management is the one of the main domain that is currently used by the firms for improving their performance. In the current report implementation plan and management plan is discussed in detail. Apart from this, in the report management plan is discussed in detail. In middle part of the report, tools and methods of control are explained in detail. At end of the report, project closure steps
Management structure refers to the hierarchy under which people work who manage different sort of work. There are different sort of powers that are given to the employees that are working at different levels in the organization. There is a clear line of communication that individuals have to follow in order to communicate with each other in proper manner (Kerzner, 2013). In case of the current project there must be a hierarchy under which there must be a senior manager that must have entire command. Under the senior manager there must be multiple junior managers. It must be noted that one junior manager will handle operations that are related to filling of petrol in tank. There will be another manager that will look after the way in which trucks are placed at dock for filling petrol in tank. By doing so congestion will be reduced on tank. Apart from this, there will be a manager that will look after leakage and other operations in respect to project in order to ensure that all actions will be taken on time and firm will need to pay less amount of penalty to the government. By following explained management structure project will be managed in better way.
Style and culture
In the Apache corporation democratic leadership style will be followedProject management is the one of the main domain that is currently used by the firms for improving their performance. In the current report because by doing so useful suggestions are obtained from the stakeholders and in this way activities related to the project are performed in better manner. Many times senior managers to estimate and foresee probability of happening of any unfortunate event. Junior manager observed that things easily (Burke, 2013). Thus, on time managers alert their top manager about possible risks and challenges. In this way correct decisions are taken by the managers on right time and management of the organization become well.
Levels and boundaries of authority
In order to manage project in proper way Apache Corporation can determine the boundaries of authority for the managers. These authorities must be determined in such a manner so that it can be clarify that what is the scope of each manager in terms of work, delegation of work and exercising authority. Different levels must be prepared in management like top, middle and lower level of management. This classification will ensure that all operations are performed systematically by the managers. In this way project can be implemented in proper manner by the mentioned firm.
Level of autonomy
Autonomy must be given to the managers sufficiently. At same time it must also be ensured that that autonomy that is given to the managers is not so high. By doing so it can be ensured that managers will not be able to misuse their power. It can be said that level of autonomy must be clearly defined in the organization. In this regard, top manager must identify the responsibilities of the junior managers and according only relevant amount of authority must be given to the managers (Meredith and Mantel 2011). By doing so it will be ensured that required amount of powers are given to the junior managers. It can be said that level of autonomy is the area where one needs to take due care in order to ensure better management of the project.
Personal skills are the one of the important characteristics of the leaders. There are multiple skills that must an individual have like communication skills, knowledge of domain, strong decision making power and ability to make prediction. Firm must ensure that its managers that are involved in the relevant project possess these skills. By doing so it can be ensured that mangers will be able to manage project in better way.
Attributes and characteristics of project team
There must be some characteristics that project team must have. One of them is to handle contingent situation (Schwalbe, 2015). Relevant business firm must ensure that all related characteristics are in the team and same will be able to manage the project even unprecedented situation may arise.
Things that must be controlled
Time is the important factor that must be utilized by the firm in systematic manner. It is very important to control mentioned thing in respect to the project. It must be noted that for every project there is a pre-determined time period within which project must be completed. Thus, firm have allocate all activities within the project in respect to time frame in such a manner so that cost of project can be reduced to minimum possible extent and same can be completed on time.
Cost is another factor that need to be controlled by the business firm. Whenever any project is commenced by the business firm cost is the main concern and due to this reason it is very important to formulate appropriate strategy at initiation of the project. By doing so it can be ensured that when project will come in operation already there will be a plan that can be followed to control cost of the project. Cost in respect to the current project that is related to tanks can be increased due to several reasons. Like any unfortunate event takes place in the business or management failed to make accurate estimate of likelihood of happening of certain event (Wysocki, 2011). All these things lead to elevation in cost of the business. Thus, there is a need to develop proper risk management system in respect to the project. Development of such kind of system ensured that on time risk will be addressed and cost will remain in control in respect to project.
Resources are another factor that needs to be considered while preparing project management plan. It is very important to control resources like money in respect to development of tanks and purchase of steel patches because same are used to perform multiple operations that are related to project. Thus, it is very important to ensure that resources are allocated in proper manner among different activities. It is very important to ensure that resources are allocated in proper manner. By doing so best way resources can be used in the business and cost can be controlled.
Quality is another factor that must be controlled to great extent. In the project, in different tanks steel patches will be installed and clearing and repaint of the tank will be done (Walker, 2015). Proper installation of steel need to ensure because by doing so it can be ensured that in future leakage of oil will not take place from tank.
Tools and techniques of control
Time cannot be controlled but activities that are performed within the given time period can be controlled to great extent. In this regard on the basis of current research and past experience the reasonable amount of time can be fixed that need to be taken in order to perform specific activity of the project. In this regard on software’s like Tableau charting of targeted time for each activity can be done with the charting of data that is related to progress in terms of time that is covered up out of allocated duration. This will help management in identifying whether activity will be completed within time or there is need to take action to complete activity on time.
In order to control cost MS project software can be used and under this it can be identified that which activities in respect to current project that is related to oil tanks can be delayed and must be performed (De Bakker Boonstra and Wortmann, 2010). In order to complete crucial or cost sensitive activities tasks that can be delayed can be performed latter and by doing so it can be ensured that cost of project will remain in control.
In order to control resources first of all Apache Corporation must determine the overall availability of the resources in the business project. Thereafter, it must be determined that in respect to building of oil tanker what amount of resources will be needed. Accordingly allocation of resources must be done across varied activities. Time to time track down must be done in respect to consumption of resources. By doing so on time steps can be taken in case it is identified that in project firm may observe scarcity of resources in the business.
Quality is the another factor that need to be control by the manager and in this regard relevant entity will consistently take follow up from the employees that are working at ground level. This will help managers in determining that up to determined mark level high quality of work is done at project site in proper manner and all things are in full control. There must be a proper structure under which it can be ensured that all things in terms of quality are properly managed by the employees. All these things lead to success of the project.
Areas for successful management of case study project
There are number of areas on which due attention can be given for successful management of the case study project. One of the important thing where there is need to pay due attention is to ensure that steel container that is proposed to be placed at ground level in installed in proper manner (Jun, Qiuzhen and Qingguo, 2011). One of the important thing that need to be consider is that every year business firm is paying big amount due to leakage of oil from well. Current project must be implemented in such a manner that lead to reduction in leakage of oil. This will benefit a lot to the organization. Apart from this, steel container that will be purchased must be according to well. It can be said that these are the two areas of success of the current study project.
Project performance and evaluation
Methods of project evaluation
Budget is the statement which reflects the cash inflows and outflows in respect to the project. In the budget in respect to the current project all expenses values will be projected that can be incurred in the current project (Caniëls and Bakens, 2012). Actual values are compared with the current one in order to measure firm performance. Budget can be prepared for any time period whether it is years, quarters or month. Merits and demerits of budget are explained below.
- One of the main merit of the project evaluation method is that managers will be able to keep close eye on the expenses that are made in the current project. By comparing actual values with projected values project performance is tracked in terms of control or lack of control on expenses.
- The other main merit of budget is that different sort of budgets can be prepared and according to needs and requirements of the project appropriate one can be used for making projections.
- One of main demerit of the budget is that sometimes managers make wrong predictions and due to this reason accurate comparison cannot be made between the estimated and actual values. This is the one of the main demerit of the budget method.
- Wrong estimation can be made about the business environment and due to this reason also budget can be prepared in wrong way. It can be said that budget is the purely judgmental method.
- Simulated values comparison with actuals: Under simulation likelihood of happening of certain event is measured and likely changes that can be observed in risk scoring after implementation of mitigation strategy can be identified in risk scoring.
Merits and demerits of following method for project evaluation is given below
Main merit of simulation method is that under this after implementation of risk mitigation strategy changes that comes in risk level can be measured. If current risk level is more than estimated risk level then it means that there is need to take more action in order to control situation. Thus, through this method area where there is need to focus on project can be identified by the project manager.
Main demerit of this method is that in this method one have to estimate risk score. If risk score will be estimated wrongly then entire model will produce wrong results and decisions made on basis of same will also prove wrong. Thus, use of simulation model is risky.
Selecting best one
Out of all these methods budget is the appropriate method because firm is not new in its current business. It has long years of experience in the mentioned domain. It have internal data and due to this reason it is able to make accurate prediction in respect to likely variables of the budget. Thus, it can be said that it will be appropriate to select budget as project evaluation tool.
Steps required to close project
Preparing closing process
In this stage project closing process is determined by the project managers by making consultation with relevant employees. It is the one of the important step of project closure.
Complete contract closures
All contracts that were in existence are ended at this stage and information about same is communicated to all stakeholders (Wu and Low, 2010).
Acceptance from stakeholders
Before project closure acceptance from stakeholders is obtained and in detail final outcome of the project is explained to them.
Final performance reporting
At this stage project manager prepare final performance reporting in respect to current project that it headed for the specific time period.
Post project review
After completion of project its review is taken in terms of performance of the product.
Entry of details in PMIS
In this stage all details related to project are entered in to the system which further used for similar projects (10 steps at the time of project closure, 2017).
Document is prepared under which lessons learned in tough situation are described in detail.
Handover of product to stakeholder
In this stage product is shifted to the stakeholders.
On the basis of above discussion it is concluded that project management is the one of the most important domain that is used by the business firms. Under this varied sort of decisions are made by the business firms in respect to implementation, management of the business operations in respect to the current project. It is also concluded that there are number of tools that are used for the project monitoring by the business firms. Before selecting any method it is necessary to select specific one by considering both merits and demerit. There are specific stages of the project closure and each of them must be performed in proper manner. In this way project is properly managed from starting point to end.
- Burke, R., 2013. Project management: planning and control techniques.New Jersey, USA.
- Caniëls, M.C. and Bakens, R.J., 2012. The effects of Project Management Information Systems on decision making in a multi project environment.International Journal of Project Management.
- De Bakker, K., Boonstra, A. and Wortmann, H., 2010. Does risk management contribute to IT project success? A meta-analysis of empirical evidence.International Journal of Project Management,
- Jun, L., Qiuzhen, W. and Qingguo, M., 2011. The effects of project uncertainty and risk management on IS development project performance: A vendor perspective.International Journal of Project Management
- Kerzner, H.R., 2013.Project management: a systems approach to planning, scheduling, and controlling. John Wiley & Sons.
- Meredith, J.R. and Mantel Jr, S.J., 2011.Project management: a managerial approach. John Wiley & Sons.