Scope Overview
ABC is an Australian based construction company that works in the area of commercial and residential buildings. The company has taken up a project of developing a residential suite for a family in Sydney. The suite will include three bedrooms, dining hall, kitchen, garden area, parking space, three bathrooms, lobby, study and a living room. The scope of the project will include the construction of the interiors and exteriors of the suite. The construction and management activities will be covered in the project scope (Kloppenborg, Anantatmula and Wells, 2014).
The primary deliverables that will be given to the project sponsor will include the Project Charter Document, Plan, Design of the Building, Architectural Details of the Building, Interiors & Exteriors of the Constructed Building, and the Completion Report of the Project (Desmond, 2016).
The residential suite that will be constructed by the company will make use of the latest construction technology and equipment. It will lead to the enhancement of the customer base for the company by 25% and the revenues will also go up by 28%.
ABC is an Australian construction company that has its headquarters in Sydney. The company was set up in the year 2005 and has been engaged in the construction of commercial and residential buildings since its inception. The company has undertaken a project of constructing a residential suite for an Australian family in Sydney.
- The total timeframe for the construction of the building shall not be more than 270 days.
- The total costs spent on the project shall not be more than AUD 358,000.
- The customer base for the organization shall increase by 25% after the construction of the building.
- The revenues for the company shall increase by 28% after the construction of the residential suite.
- The sponsor shall provide go-ahead on all the deliverables.
The risks to the project of the construction of residential suite have been identified on the basis of the information collected using the techniques as interviews, observations, domain analysis, decision tree analysis, and likewise. The risks identified have been analysed and the probability and impact scores are assigned to the risks. The scale that is used to assign the scores is from 1 to 5 (Blackhurst, Scheibe and Johnson, 2008).
|
ID |
Name |
Description |
Probability |
Impact |
Score |
Treatment Strategy |
|
1 |
Project-related risks: Schedule & Budget Overrun |
The timeframe identified for the project is 270 days and the estimated budget is AUD $357,226.00. Due to the unexpected changes, unavailability of the resources, change in policies, and other factors, the project may be delayed which will also increase the costs. |
3 |
5 |
15 |
Risk avoidance shall be used with the pro-active approach shown by the project leaders and managers. The Project Manager along with the senior management resources must conduct project audits and reviews to keep a track of the values of the schedule and budget. |
|
2 |
Health & Safety Risks |
The construction workers and resources will be exposed to these risks due to the accidents that may happen on the construction site. |
1 |
5 |
5 |
There shall be audits done to validate the health and safety conditions at the workplace and the construction site to prevent the risk from taking place (Cerniglia-Lowensen, 2015). |
|
3 |
Legal Obligations |
The Worker Health & Safety Regulations, Environmental Safety & Sustainability Act, Data Protection Act, etc. are some of the legal standards and laws that will be required to be followed. The non-compliance may result in legal punishments. |
2 |
5 |
10 |
There shall be audits done to validate the legal compliance at the workplace to prevent the risk from taking place (Fochmann and Haak, 2015). The Legal head must carry out regular reviews. |
|
4 |
Technical Faults |
The construction tools and the management tools may experience issues or failures. |
3 |
3 |
9 |
Risk transfer shall be used as the strategy and the third-party vendors shall be asked to resolve the issue. |
|
5 |
Resource Risks |
Unavailability of the resources for work, enhanced absenteeism rate, resource conflicts & disputes, reduced worker productivity, and resource scarcity are some of the resource risks that may appear and impact the progress. |
3 |
5 |
15 |
The Project Manager along with the senior management must track the resource performance using the Key Performance Indicators. The resources shall also be provided with resource-friendly work culture and atmosphere. There shall be regular reviews and discussions conducted with the resources. |
|
6 |
Quality Issues |
ISO 9001 and TQM are the quality standards that must be adhered with. The inability to do so may lead to the issues of non-compliance. |
1 |
5 |
5 |
There shall be audits done to validate the compliance towards the quality standards at the workplace and the Quality Manager shall also conduct verification cycles (Ershadi, Aiasi and Kazemi, 2018). |
|
7 |
Market Risks |
There will be construction equipment and materials needed to be procured along with the paints, furniture, etc. The change in the inflation rates and market trends may impact the project. |
2 |
4 |
8 |
The market studies shall be conducted using the techniques as automated data analysis, market surveys, and interviews to understand the market trends and avoid the risks. |
|
8 |
Environmental Issues |
The weather conditions or the occurrence of natural hazards may come up and impact the project progress. |
1 |
5 |
5 |
Disaster recovery plans must be in place to deal with the issues of natural hazards and disasters. There shall also be scheduling done adequately on the basis of the weather conditions. |
|
9 |
Operational Errors |
The management, construction, and operational workers may perform certain errors that may not be rolled back. |
4 |
4 |
16 |
Resource trainings shall be conducted to avoid the risk from taking place. |
|
10 |
Communication Issues |
The project resources and the stakeholders may not have clear communication cycles followed between them leading to gaps. |
4 |
5 |
20 |
The Project Manager must develop and circulate a communication plan for the members and stakeholders and the guidelines specified in the plan shall be followed. |
The project schedule and budget will be the prime constraints for the project as there are no variations possible. The environmental conditions may also become constraint for the project.
It is assumed that the resources will be provided with the tools and equipment required during the project timeline.
The details of the human and non-human resources are covered in the table below.
There will be several stakeholders associated with the project. The sponsor of the project will be the family for which the residential suite is being constructed. The project funds and the approval on the deliverables will be provided by the sponsor. The company has a huge customer base in the market and the outcomes of the project will have an impact on the engagement levels of the customers with the organization (Missonier and Loufrani-Fedida, 2014). There will be regulatory agencies involved with the project that will keep a track on the legal and quality compliance levels during the project. The construction material and other equipment necessary for the project will be provided by the suppliers. The project activities will be performed by the resources and the Project Manager using the funds allotted and the specification provided.
- The team will maintain compliance towards the ethical standards and protocols.
- The communication plan will be used in the project to determine the communication and meeting guidelines. There will be a daily internal meeting conducted among the project team and a weekly external meetings with the stakeholders (Markaki, Sakas and Chadjipantelis, 2011).
- The project team members shall send a daily status report to the Project Manager.
- The Project Manager shall communicate the project progress to the stakeholder through a weekly status report and the weekly meeting organized using the tele-conferencing medium.
There are several phases in the project that are essential and the best way to carry out a project is in a series of phases. There are also deliverables associated with each of the project phases. The first phase is the start-up phase and project charter is one of the prime deliverables that is provided at the end of this phase. The project charter must clearly specify the details and background of the project along with the information on the scope. The project provided a chance to develop the project charter and the scope overview, business case, and background was some of the essential sections of the same. The charter document must also provide the sponsor and stakeholders with the information on the project details, such as primary risks involved with the project, associated milestone schedule, resources allotted to the project, stakeholder information, and the primary principles that the members of the project team shall follow. The charter document must also comprise of the information on the project budget, project schedule. There shall be high-level details included in the document as the detailed account of all of this information is covered in the project plan. The project charter shall be submitted as per the due date of delivery.
References
Blackhurst, J., Scheibe, K. and Johnson, D. (2008). Supplier risk assessment and monitoring for the automotive industry. International Journal of Physical Distribution & Logistics Management, 38(2), pp.143-165.
Cerniglia-Lowensen, J. (2015). Learning From Mistakes and Near Mistakes: Using Root Cause Analysis as a Risk Management Tool. Journal of Radiology Nursing, 34(1), pp.4-7.
Desmond, C. (2016). Project to plan for significant process change. IEEE Engineering Management Review, 44(2), pp.15-16.
Ershadi, M., Aiasi, R. and Kazemi, S. (2018). Root cause analysis in quality problem solving of research information systems: a case study. International Journal of Productivity and Quality Management, 24(2), p.284.
Fochmann, M. and Haak, M. (2015). Strategic Decision Behavior and Audit Quality of Big and Small Audit Firms in a Tendering Process. SSRN Electronic Journal.
Kloppenborg, T., Anantatmula, V. and Wells, K. (2014). Contemporary Project Management. 4th ed. Mason, OH: Cengage Learning US.
Markaki, E., Sakas, D. and Chadjipantelis, T. (2011). Building the Interactive Relationship between the Top Management and the External Project Manager: The Communication Plan in Laboratory Research. Key Engineering Materials, 495, pp.151-154.
Missonier, S. and Loufrani-Fedida, S. (2014). Stakeholder analysis and engagement in projects: From stakeholder relational perspective to stakeholder relational ontology. International Journal of Project Management, 32(7), pp.1108-1122.
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