PROJECT MANAGEMENT PLAN

PROJECT MANAGEMENT PLAN

PROJECT MANAGEMENT PLAN

GROUP: 13

Prepared by: Abhinav Panjwani (a1815897), Chinar Patel (a1, Payal Changela, Prachi Patel

Submitted to:

Dang Nguyen

Professor

(The University of Adelaide)

Contents

INTRODUCTION

This report will focus on the application of the theory of project management to a case study of constructing a 20-story residential apartment at the corner of Regency Road and Churchill Road, Prospect SA 5082. The case study assumes clients are usually unmarried or married with no children. The focus here is the formation of a project management plan which is a formal representation of how the project will be initiated, executed, monitored, and controlled during its life cycle. The management plan includes the project charter, project organization, stakeholder management, and communication management. It becomes the starting point of the project and keeps it organized by providing necessary guidance and steps to follow. Identifying the scope and objectives of the project help to make the project transparent, while identifying stakeholder and planning their engagement in the project helps the project progress smoothly. Moreover, managing the project organization helps allocate responsibilities, and communication management delivers an effective strategy for interaction with the stakeholders and methods of communication.

PROJECT MANAGEMENT PLAN

PROJECT CHARTER

Starting a new project entails shifting through numerous paperwork, including project scope, requirements, project planning, and risks and rewards. Even if there are a lot of project management solutions accessible these days, it might be difficult to read through all these documents when you only have a certain amount of time. Also, how will you ensure that the project you wish to work on is in line with your company’s objectives and are profitable? This is when a project charter comes into play. This is the document that initiates the project. A project charter serves as a reference guide during the project and provides an overview of the project and depicts the advantages of the project so that the firm may do a financial analysis to see if the prospective project benefits outweigh the cost of execution. The charter brings everyone on the team on the same page, resulting in more efficient and timely project completion.

Figure 1 Project Charter (PMBOK Guide 6th edition 2017, p. 75)

A project charter is a formal document that outlines the scope, purpose, and members of the project team and their duties and responsibilities. It also specifies the project manager’s authority, includes a list of key stakeholders, and outlines how the project will be conducted, as well as the project’s possible advantages, dangers, and constraints. The project charter document is typically created at the start of a project’s lifespan and serves as a reference point as the project progresses. The sample charter is usually written by the project manager and presented to the stakeholders or sponsors for approval. Once the stakeholders have signed it, the project initiates. On the other hand, sponsors have the option of rejecting the charter if they disagree with the project’s stated aims or funding allocation. In such circumstances, the project manager can work out the details of the project to meet the concerns.

Importance of Project Charter

Without a surprise, a project charter is an essential document. It explains why the project is required in terms of probable benefits vs costs, time, and resources for it to be accepted. At the same time, it has the following advantages:

A. Clearly defines the scope and purpose of the project

Working on a project without a clear grasp of its scope and goal will be fruitless. It will simply confuse them since no one on the team will know what they are doing or why they are doing it. All team members will grasp the project’s objective and purpose, as well as how they may contribute to the company’s strategic goals, thanks to the project charter. A project charter document explains why a company should take on a project, what benefits it will provide, and how it will help the organization achieve its long-term goals.

B. Serves as a Planning Reference Guide for future projects

Even though the project charter template just covers the project’s essential details, it aids the project manager in further planning. It includes information such as the projected project completion time, which aids him in breaking down the work and assigning responsibilities to team members. The project team can also examine the project charter to ensure that no work is done outside of the approved project’s scope.

C. Assists in the reduction of project-related risk

In project management, a charter offers a preliminary estimate of the project’s cost and personnel requirements. It assesses whether the company’s present budget and employees can meet the objectives. As a result, the danger of a corporation starting a project that it cannot finance or handle and hence will not be able to complete is reduced.

D. Gives Stakeholders Important Information

Stakeholders become alert to the short-term and long-term objectives of the project as a result of the project charter. They understand money allocation and resource allocation to meet objectives.

E. Improved Project Collaboration

By specifying stakeholders and each member’s tasks and responsibilities, a project management charter keeps the entire team on the same page. To avoid confusion, team members can easily identify who is accountable for which task. Otherwise, the project’s execution may be disrupted.

Inclusions in Project Charter

Introduction of project: States primary details of the project like project name, manager of the project, sponsor of the project, project stakeholders, and team members of the project.

Details of the project: Provides a detailed explanation of the project including its mission, goal, and aim.

Deadlines and milestones: Give a rough timeline of the start date, end date, completion deadline, and work schedule of the project. Also, it gives ideas about project milestones for review.

Team and organization: Provide a list of all project team members, as well as their roles and duties.

Project Communication Plan: This section outlines the communication plan for reviewing project progress and making necessary adjustments to the project plan to match the company’s objectives and goals.

Document approval: Documents for project authorization and approval: These documents are normally included in the project charter annex and, depending on the situation, can apply to both initial and final project approval.

Uses of Project Charter

The primary reason that every project needs a project charter from the start is that without one, there is no proof or legal document confirming that an authorized project manager defined and presented a project and gained stakeholders’ approval to proceed. A project charter provides several benefits as well:

Initiates a project to start formally.

Allows the manager of the project to take charge of the project.

Determines the project’s goals and scope.

Defines how the project will be successful in the end.

By announcing the project to the entire organization, it gains support.

Ensures the stakeholders of the project are informed of it.

To make sure that the budget and resources are safe and secure.

CASE STUDY: PROJECT CHARTER

Project Overview

The project charter below is to build 20-storey apartments at the corner of Regency Road and Churchill Road, Prospect SA 5082. The project will address expenses, stakeholder analysis, feasibility, stakeholder needs, and advantages to deliver all relevant information to interested businesses to improve their services and better serve their customers.

Project Description

This project is being assumed to construct a new 20-story apartment for a single-family having no children. The construction will have one bedroom and a 2-bedroom house for couples consisting of a living room, bathroom, balcony, and 2 car spaces per unit. The common areas will have the facilities like a gym, game room, movie theatre, yoga room, and a park. The project will start on 15 June 2022 and the expected completion date is 1 June 2023.

Figure 2 Location for construction 20 story residential building

This apartment will be built using the newest building technology and modern materials following the building codes to reduce the consumption of energy.

Project purpose

The goal of this home project is to provide the client and his family with the latest primary abode. The project will include all features, including acquiring property, getting approvals and permits for the necessary documents, constructing the home, and finishing landscaping and interior design. Clients will be ready to furnish and move in during the first weeks of June 2023, since the new house is scheduled to be completed in May 2023.

Project assumptions:

The owner will approve the final planning authorization within the timeframes required. As required by the project, all necessary suppliers, resources, materials, and services will be available. The cost of raw materials will not rise by more than 10% during the project’s duration. During the project, the weather will be favorable for exterior work.

It may be postponed till the building permit is approved.

Project Milestone: (make in primavera of excel)

Project approval – First week of August 2022

Planning – Mid November 2022

Funding – Till the last week of December 2022

Design approval – First week of January 2023

Hiring individual positions – Till January first week of 2023

Contracting – To be done by January 2023

Project requirement reviews – Mid March 2023

Completing the critical task – Last week of April 2024

Final approval – Within May 2024

Project handover – First week of June 2024

Project Constraints:

This house-building project has certain identified restrictions, including Scope Restriction: 85-90 percent of a house must be completed by April 2024, and 100 percent of a house must be completed by June 1, 2024 (Assumed time constraints).

Activity constraints:

Protective coating must be applied to the outside.

The roof needs to be repaired.

Before handing over the keys, the interior design is completed.

Resource constraints:

The availability of resources is determined by the working schedule: Monday- Friday, 8.30 a.m. to 5.30 p.m.

Weekends: 9.30 a.m. to 4.30 p.m. (if necessary)

Weather Constraints:

Outside construction is contingent on the weather (Rainy wet days).

Project stakeholders:

Individuals and organizations who are actively involved in a project or whose interests may be influenced positively or negatively because of project execution or completion. To guarantee a successful project, the project management team must first identify the stakeholders, understand their needs and expectations, and then manage and influence those expectations.

Internal and external stakeholders can be found in a project. Internal stakeholders are those who are members of the project coalition or who provide funding. External stakeholders are the ones who are impacted significantly by the project. These identified stakeholders are then added to the stakeholder register with specific details like Name, Position, Contact No., Requirements, expectations, and classification. These are then checked during different phases of the lifecycle for other inclusions and exclusions of the stakeholders.

Table 1 Stakeholders for the project

Identified Stakeholders

Description: Construction of 20 Storey Residential Building

Location: Regency Road and Churchill Road, Prospect SA 5082

Client

Residents (Families)

Investors (Banks, Stocks)

Competitors

Contractors and subcontractors

Quality Inspector

Architects and Designers

Consultants

Project Organization and Employees

Contractual Labors

Local Government Authorities

Figure 3 Different project stakeholders (cited in Yang et al., 2009a)

Project organization

Consider functional, matrix, and projected structure and discuss which structure best supports having a project management office?

• Suggest an organizational structure for the selected project.

Stakeholder Management Plan

Stakeholder Management

“Stakeholder management is identifying stakeholders which are being impacted or will impact the project outcomes, to evaluate their project requirements and to develop an efficient strategy to involve them in the execution of the project and project decisions” (PMBOK Guide 6th edition 2017, p. 503). These stakeholders can be individuals or a group of people, financial bodies, governing bodies, and vendors/suppliers. Figure 3. shows the Stakeholder process chart where individual steps of stakeholder engagement start.

Figure 4 Stakeholder management process chart (based on PMBOK Guide (Process of Stakeholder management) 2017,p. 504)

The process of stakeholder management plan includes stakeholder identification, planning, managing, and monitoring the stakeholder engagement

Importance for Stakeholder Engagement for Project Management

Many stakeholders have less impact on the project while some stakeholder involvement directly affects the project outcomes. This project interest group has different interests and expectations with the project, some with support and others with distraction to the progress, showing they have the room to impact the success of projects greatly (Chan & Oppong 2017, p. 737). Failing to meet the stakeholders’ expectations to project outcomes may lead to the failure of the project. Thus, they are needed to be kept continuously engaged from the project start, which helps to include their expectations in the project plan ((Li et al., 2013) cited in (Chan & Oppong 2017, p. 737)). Also, the stakeholders identified vary with the project, their impact also changes based on their potential threat to the project. Without an effective stakeholder engagement strategy, there can be issues with improper distribution of resources and attention to important stakeholders impacting the project outcome[ CITATION Kim21 l 16393 ]. Hence, the identified stakeholders should be analyzed based on their impacting power and an effective strategy should be developed to keep them engaged with the project. When the engagement plan is performed better, it helps mitigate potential risk, conflicts with stakeholders, related to quality/quantity of work, time, cost, unsatisfaction, misdirection, and resistance to changes[ CITATION Jen21 l 16393 ]. The above case studies help understand the impact and need for stakeholders’ engagement in the overall lifecycle of the project. Thus, these need is fulfilled by introducing different stages of an effective stakeholder management plan and applied through an assumed case study.

Concepts of Stakeholder management

The success of the project depends on how early the process of stakeholder identification and engagement starts after the project charter approval (. Their satisfaction should be managed as the project objectives. An effective stakeholder engagement focuses on interaction with the stakeholders (interior and exterior) to understand their expectations, manage conflicts, and include them in decision-making and activities. This process of stakeholder management is iterative and needs to be updated during every phase change, entering/leaving of stakeholders, etc. The project manager identifies the stakeholders and related opportunities and threats, develop synchronized goals and strategies, improving stakeholder satisfaction. The important consideration for a project manager is to check the stakeholder’s diversity and background, relationship nature, and communication mode.

Stakeholder Identification & Prioritization

Stakeholder identification is a process to identify the project stakeholders, prioritizing them based on their impact, power, involvement, and relevance to the project, and then documenting necessary information required. This process enables to identify the stakeholders and decide on necessary engagement for each group of stakeholders. PMBOK divides the process into 3 subprocesses: Input, tools and techniques, and output. The inputs required for identification include Project Charter, Business documents Project Management Plan, and Project Documents (Contracts & Agreements, business case, plans).

Figure 5 Identified stakeholders (Cleland (1999), Olander and Atkin (2010), Ezeabasili et al. (2015) cited in Chan and Oppong 2017, p. 736)

The main tool and techniques include expert judgment, brainstorming, data analysis, stakeholder mapping, and meetings. This process gives an output of a stakeholder register, change requests, project document updates, and project management plan updates. Stakeholders can be divided into two groups such as internal and external based on the investments and impacts. Internal stakeholders are related to the project through investments and are mainly contractual participants (Manowong and Ogunlana, 2010; Olander, 2003; Moura and Teixeira, 2010), while external stakeholders are impacted by the project (Calvert, 1995; Winch and Bonke, 2002). Identified internal and external stakeholders are shown in fig. 5). After the completion of the process, the information of the stakeholder with its role. Responsibility, communication preference, and contact details are entered into the stakeholder register. Figure 6 shows an example of this register.

Figure 6 Example of Stakeholder register[ CITATION Tec17 l 16393 ]

The next process is the prioritization of the stakeholders which is done using stakeholder evaluation and representing them using proper tools like power/interest grid, the direction of influence, Salience model, or stakeholder cube. The power-interest grid model includes the relation of stakeholders based on their interest and power to impact the project and corresponding engagement strategy. Figure 6 (i) & (ii) shows the different prioritization strategies of stakeholders based on their interest and impacting power.

Figure 7 Engagement strategy based on Power interest matrix (i) (Ackermann and Eden 2011) (ii) (Savage and colleagues 1991)

The matrix (i) includes distribution to subjects, players, crowd, and context setters as low power-high interest, high power-high interest, low power-low interest, and high power-low interest respectively. The matrix (ii) shows the potential for cooperation and potential for threat matrix and suggests strategies like collaboration, involvement, defense, and monitoring. The direction of influence method sees the magnitude of influence of an individual on the project. This classifies them based on Upward, downward, outward, and sideward levels of management. This prioritization should be based on the stakeholder’s power, legitimacy, and urgency. These strategies will be discussed in the case study. Thus, the project management plan is less prone to changes when stakeholders are identified at the project start[CITATION Aap14 p 46 l 16393 ].

Stakeholder engagement plan

The stakeholder engagement plan is a process to analyse the identified stakeholders in detail to find the level of engagement required based on their needs, expectations, and influence over the project (PMBOK guide 6th Edition, 2017). The engagement plan by the PMBOK guide is divided into three processes: input, tools and techniques, and output. The inputs for making the plan are the same as required in stakeholder identification. The tools and techniques include data analysis (root cause analysis, assumption/constraint analysis), decision making( prioritization, ranking), data representation (mind mapping, stakeholder engagement assessment matrix). Output is a plan that identifies strategies for involving the stakeholders in the project, which can be formal or informal based on the project’s needs (PMBOK guide 6th Edition 2017, pp. 516-522).

Manage stakeholder engagement

This is the process of involving stakeholders and communicating to them for their involvement and support and meeting their needs and requirements, address their issues and conflicts for the project’s success. This procedure of keeping the engagement intact with the stakeholder reduces the resistance from the stakeholder easing the project life cycle. Also, it is key to note that the influence of stakeholders is maximum at the project state and then reduces over time.

Figure 8 Influence of stakeholders in different phases of the project (based on[ CITATION Gre l 16393 ])

Principles for stakeholder engagement shown by the APM Association of project management are Communicate, Consult, plan, relation, risk management, compromise, and responsibility[CITATION RIC14 p 2-4 l 16393 ]. PMBOK project management guide shows stakeholder engagement activities such as engaging at appropriate project milestones to maintain their continued effort to project success; manage their negotiations; address risk & concerns associated; resolve their problems. It also divides the process into inputs, tools and techniques, and output. Inputs are majorly project management plans and documents, while tools and techniques used are interpersonal, skills meetings, and expert judgment. The output of the engagement helps with updating the project management plan including communication and stakeholder engagement plan. Moreover, other documents like the lessons learned register and stakeholder register are updated based on the learning of the project, solved issues & conflicts, approved changes to specifications, and updates.

Monitoring Stakeholder Engagement

Monitoring the stakeholder engagement is the process to monitor the application of the engagement strategy and make necessary changes to the plan based on the output received. It maintains as well as increases the efficiency of the engagement strategy with the stakeholders benefiting the project by helping it evolve (PMBOK Guide 6th edition 2017, p. 530). Inputs to this process are the Project management plans and documents. The tool and techniques include more analysis (Alternative analysis, root cause analysis), decision making, communication (feedback, presentations), and interpersonal skills. These techniques help to monitor the engagement of the stakeholders and make updates to the output documents such as project plans and registers.

CASE STUDY: STAKEHOLDER MANAGEMENT

Project: Construction of 20 Story Apartment building

Location: corner of Regency Road and Churchill Road, Prospect SA 5082

Stakeholder

Description

Client

He is the owner of the plot of land who wants to make a building for married couples with no children

Structural Consultant

Building designers

Architect Consultant

Building planners fulfilling the client’s requirements of the building

Contractor-Civil, drainage, painting

Individuals working onsite with the construction of the building

Local Authority

Using the local regulations as specifications. Environmental, Land regulations, etc.

Material suppliers-sand cement, reinforcement, etc.

Supplier of necessary materials from project start till end

Civilians

Actual users of the building, workers, caretakers, neighbors, etc.

Project Management Team

The project management team for management of the project. Keeping the progress in check. Project organization.

Competitors

These indirectly affect the project by the influence of competition. For instance, Marketing competition,

Investors and shareholders

Funding the project directly or indirectly

Advisors or experts

People with field-specific knowledge. For expert advice during problems.

Assumptions while analyzing the engagement assessment matrix for the case study:

The present stage of the project is assumed to be in the completion of the planning phase and the start of execution stage.

Architects and structural consultants are supportive and desired to be supportive of adjustments.

Contractor is neutral to the project. They are in the procedure of forming a legal contractual agreement and are desired to be supportive and leading.

Material suppliers have been contacted but the final rate fixing is to be negotiated.

Local authorities are aware of the project and neutral.

Civilians (future residents) are neutral and waiting for sample houses.

Civilians (neighbors) resistant due to noise, and continuous movements of heavy vehicles.

 

Table 2 Stakeholder Engagement Matrix for Construction

Stakeholder

Unaware

Resistant

Neutral

Supportive

Leading

Client

C, D

Structural Consultant

C, D

Architect Consultant

C, D

Contractor-Civil, drainage, painting

C

D

Local Authority

C

D

Material suppliers-sand cement, reinforcement, etc.

C

D

Civilians (Residents)

C

D

Civilians (Nearby neighbors)

C

D

Investors

C

D

Advisor

C

D

Project management team

C

D

Competitors

C

D

Table 3 Engagement level and necessary actions based on priority to project

Label

Stakeholder

Present level of Engagement

Desired level

Priority to action

Actions

A

Client

Supportive

Supportive

High

Maintain the support by keeping informed

B

Structural Consultant

Supportive

Supportive

High

Improve & maintain the relation to reduce conflicts between architects and contractors

C

Architect Consultant

Supportive

Supportive

High

Improve & maintain relation to reduce conflicts of interest with structural consultants

D

Contractor-Civil, drainage, painting

Resistant

Supportive

Extreme

Improve the relation work on profits, benefits, and quality. Keep well informed and convince to support

E

Local Authority

neutral

Supportive

High

Keep informed and maintain the relation

F

Material suppliers-sand cement, reinforcement, etc.

Neutral

Supportive

High

Should work out supply rates and improve relations.

G

Civilians (Residents)

Neutral

Supportive

Medium

Keep informed and engaged to improve relations

H

Civilians (Nearby neighbors)

Resistant

Supportive

Medium

Solve their disputes and conflicts related to the Construction start problems.

I

Project management team

Supportive

Leading

High

Improve the project management by managing the organization with help of PMP guidelines

J

Investors

Supportive

Supportive

High

Need to improve relationships for better investments for future projects as well

K

Advisors

Supportive

Supportive

Medium

Improving contact and updating about the project

L

Competitors

Resistant

Neutral

Low

Keep them informed and work accordingly

[…]

[…] shows the stakeholder identified in the further project phase should be added in the list.

 

Figure 9 Power-Interest Grid graph for the project

Note: the arrow shows the possibility of improvement of the High Power-Low interest (HP-LI) stakeholder category to shift to the High Power-High Interest (HP-HI) group.

Conclusions: The stakeholders in the HP-LI are Contractors and consultants, Investors, local authorities, and civilians (neighbors). Some of these stakeholders like Contractors and consultants, investors, and local authorities needs be shifted to the HP-HI group by improving engagement, solving their queries, specifying a project, resolving conflicts (if any), and involving in project decisions.

Further Strategy: These identified stakeholders are prioritized based on the action required for the project. Their influence on the project and their present interests are identified. These are now to be updated in the Stakeholder engagement plan. Also based on their influence the project management plan, charter, lessons learned register, and stakeholder register is updated.

Communication management plan

Discuss why verbal communication is important to project success and describe several ways of enhancing such communication.

• Develop the Communication management plan.

Conclusion (~200-400 words)

[A summary of the closing arguments and recommendations for ABS Homes]

References

Banerjee, S.B. and Bonnefous, A.M., 2011. Stakeholder management and sustainability strategies in the French nuclear industry. Business strategy and the environment, 20(2), pp.124-140

Chinyio, E.A. and Akintoye, A., 2008. Practical approaches for engaging stakeholders: findings from the UK. Construction Management and Economics, 26(6), pp.591-599.

Proprofs project 2022, What is a Project Charter? How to Write It (Examples Included), viewed 28 May 2022, < What is a Project Charter? How to Write it (Examples Included) (proprofsproject.com)>.

Project management articles 2021, What is a project charter?, viewed on 28 May 2022, < What is a Project Charter? | Complete Guide & Template 2022 (project-management.com)>.

Asana 2021, 3 elements every project charter needs, viewed on 28 May 2022, < How to Write a Project Charter, with Examples • Asana>.

Jamil, E 2015, ‘Project charter’, International Journal of Scientific & Engineering Research, vol. 6, no. 3, pp. 853-857.

Gudstory 2019, Who are the major stakeholders in the real estate industry?, viewed on 28 May 2022, < Who are The Major Stakeholders in The Real Estate Industry – Gud Story>.

Yang, J., Shen, Q.P. and Ho, M.F. (2009a) An overview of previous studies in stakeholder management & its implications for construction industry, Journal of Facilities Management, 7 (2), pp. 159-175.

Hammad, Salah. (2013). Stakeholder Management in Construction Project.

Appendix 1 Group contract

[Describe the responsibility of each team member]

GROUP: Date:______________________

Name: Signature:

Name: Signature:

Name: Signature:

Name: Signature:

Appendix 2 Milestones of assignment 2

[Identify main parts of the group report and key milestones]