Project Management - Meeting Fitness Centre Managers - Interviewing Managers - Assessment Answer

Project Management Assignment

Case Scenario

Assignment Task

Background of businessKate Umi CEO of company PERSONAL TRAINER INC, wants the new superstore in Brisbane with wide variety of services like state of art equipment, swimming pool, a sporting goods shop, child care, food store etc. Organization is currently using “all accounts” for the accounts management and excel and words are used for customer and member list and other word processing. Sarah is assisting Paterson and Wilder who are hired to develop the new information system. Sarah is meeting with Jason, manager for the new facility to know more about the business operations. In the meeting they decide to start the new project with the facilities they currently offers in older stores and later adding new facilities like child care , gold and silver membership, 24/7 web access etc. System vision documentBusiness needs: Stores that we have currently doesn’t provide wide varieties of facilities to the customer. In the modern era of infrastructures and advanced facilities, new superstore should be able to satisfy customers of all generation including child and elderly, body builder and athletics with proper food store, clean and healthy surrounding. The new business will have the services like state of art equipment, swimming pool, a sporting goods shop, child care, food store with larger exercise area. Major features: PERSONAL TRAINERS CAFÉ: healthy breakfast and lunches available. AQUATIC CENTRE: Swimming pools, aquarium SPORTS CENTRE: availability of sports and fitness goods CHILD CARE 24/7 ONLINE ACCESS MEBERSHIPS: GOLDfor unlimited access, SILVER for the normal. Scopes and limitations: The main scope of the new superstore is to attract all varieties of the customers from different generation. The new superstore will be very advanced, well managed, well equipped and well facilitated. New information system will be able to provide service up 5,000 people a day. But the project for this one could be bit expensive and might need more time than the normal stores as it is very advanced and equipped. Below is the table that shows days it will take for each tasks:

TASKS	DAYS
1.MEETING FITNESS CENTRE MANAGERS	5 DAYS
2.INTERVIEWING MANAGERS	5 DAYS
3.OBSERVING BUSINESS OPERATIONS	8 DAYS
4.REVIEW COMPANY RECORDS	5 DAYS
5.ANALYSE EXISTING SOFTWARES	5 DAYS
6. STUDY OF SAMPLE OF TRANSACTION(SALES &BILLING)	2 DAYS
7.PREPARE REPORT FOR SARAH	1 DAY

FIG: Table showing durations for each task Though it will take 5, 5 days for the meeting and interviewing managers we can start that in a same day. For the interview it needs to be divided the days as follows:

1. Fixing time and date for the interview and sending application which will take a day
2. Taking their interviews which will take 2 days
3. Analyzing the interview taken will take 2 days

Similarly we divide 8 days’ work for observing business operation by:

1. Observing managers takes 3 days
2. Observing assistant managers
3. Observing other staffs we will start the whole project on 8/22/16 and it will finish on 9/19/16 i.e. 27 days to complete the project.

Risk analysis

In every project risks are always associated. There could be following risk associated with the project: Fire and other natural disaster: Proper disaster recovery plan should be created and business insurance is necessary Property loss: property needs to be properly secured. Injury: educating employees about workplace safety, proper compensation insurance Liability. Liability, risk of lawsuits for accidental injury, libel or slander and other unanticipated results of day-to-day business are anticipated. Security breach: Businesses can be instantly crippled by a loss of data or data theft. Proper strategy should be made to protect data. Incomplete requirements. Lack of executive support. Insurance is a guideline shield in overseeing hazard, and numerous dangers are insurable. Fire insurance is a need for any business that possesses a physical space, whether claimed inside and out or leased, and ought to be a top need. Product liability insurance, as a conspicuous illustration, is a bit much in an administration business. A few dangers are inarguably high need, for example, the danger of misrepresentation or misappropriation if representatives handle cash or perform bookkeeping obligations in records payable and receivable. Specific insurance agencies will guarantee a money security to give budgetary scope in case of misappropriation, robbery or misrepresentation.

Cost/benefit analysis

Assumptions: Outsourcing to other configuration firms at an expense of $50 per 60 minutes. The organization outsources a normal of 100 hours of work every month. Let us consider that income will increment by 50 percent with expanded limit. Per person production will increase by 10% when we have more working space. Calculated benefit is in one year. Calculated payback time as shown below.

Category	Details	Cost in First Year
Lease	500 square feet available next door at $10 per square foot	$5,000
Household improvement	Make larger space for office	$10,000
Hire designer *2	Salary, including Orientation and training	$50,000
additional workstations*2	Furniture and hardware Software licenses	$5,000 $1,000
Construction	$5,500 revenue per week (2 weeks approx.)	$11,000
Total		$82,000

 

Benefit	Benefit Within a year
Increase revenue 50%	$123,000
Designers payment $15 an hour, versus $50 an hour outsourcing (100 hours per month, on average: savings equals $3,500 a month)	$42,000
improved productivity per designer 10 % ($7,500 + $3,750 = $11,250 with 10% revenue per week= $1,125/week)	$58,500
As a result of 100 percent in-house design , Improved customer service	$10,000
Total	$233,500

Payback time as shown below: $82000 / $233,500 = 0.35 of a year, or approximately 5.5 months. CONCLUSION:The project seems to be beneficial if it is successful with a rate of 3.5 percent per year if the cost goes as assumed.