Week 2 The Start-Up phase 10

8/7/2019 Week 2 The Start-Up phase 10

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The Start-Up phase

Week 2

1Paul Henderson 2008 Project ManagementSheffield Hallam University


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Why?

Project Phases

Paul Henderson 2008 Project Management 2

ClosureDeliveryInitiation

Start-Up

Why do we want to do this?

Sheffield Hallam University

Warning: Phase terminology will vary


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The Start-Up Phase


The Project Executive is appointed

The Business Case is drafted

What happens during Start-Up?



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The Start-Up Phase


An outline of the reasons for the project

Consideration of solution options

Consideration of costs and benefits*

Consideration of risks*

*These will be refined further in the next phase(the Initiation Phase)

What is a Business Case?



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The Start-Up Phase

The initial idea


Business

Case



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The Start-Up Phase


Can we let customers access our production

and delivery schedules directly?

Business rationale:

Happier customers (more repeat business?)

Reduced staff costs for us (60,000 per year?)

But how much will it cost?

An initial idea



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The Start-Up Phase


Could we link our database to a supermarketcustomer-loyalty database to find out who isbuying our products and when?

Business rationale:

Reduced advertising spend (better-targeted ads)

Increased sales

But can we get agreement - and how long will theproject take?

Another initial idea



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The Start-Up Phase

Idea 1


Selecting the best ideas

Idea 2

Idea 3

Business

Case 1

Business

Case 2



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The Start-Up Phase

The business analysis of the problem


Proceed?Yes or No

BusinessCase



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The Start-Up Phase


What is in a Business Case?

1. Description of problem/opportunity

2. Options available and evaluated

3. Assumptions

4. Costs and cost/benefit analysis

5. Impacts and risks6. Outline project plan

7. Conclusions and recommendations



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The Start-Up Phase

2 Options available and evaluated


What alternative options are there? (need to

think outside of the box)

How workable are each of the options?

Is do nothing an option?



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The Start-Up Phase

3 Assumptions


For each viable option (which may include do

nothing) what have we assumed, in terms of eg:

Market conditions

Competitor behaviour

Ability of technology to deliver

Willingness or ability of staff to cooperate



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The Start-Up Phase

4 Costs and cost/benefit analysis


For each viable option (including do nothing?):

What are the costs

What are the benefits

- Tangible (e.g. reduced staff costs)

- Intangible (e.g. improved staff morale)

What is the payback period ( - next week)



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The Start-Up Phase

5 Impacts and risks


For each viable option (including do nothing?)what is:

The impact on our customers and suppliers

The impact on current operational practice

The risk that the project may fail

The risk that the project may not fully deliver



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The Start-Up Phase

6 Outline project plan


For each viable option (apart from do nothing)produce a draft project plan.


The finished article =

Product A + B + C

Product A Product B Product C

One part of

Product A

Another part

of Product A

One part of

Product B

Another part

of Product B

One part of

Product C

Another part

of Product C

Another part

of Product B

One part of a part

of Product B

Another part of a

part of Product B

and so on


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The Start-Up Phase

7 Conclusions and recommendations


Summarise the problem/opportunity

Summarise the assumptions, costs, impactsand risks of each viable option

Make a recommendation as to which optionto proceed with - and why



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The End

18Paul Henderson 2008 Project ManagementSheffield Hallam University

Documents

Week 2 The Start-Up phase 10