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Table of Contents

INTRODUCTION ................................................................. 4

TASK 1- UNDERSTAND PROJECT MANAGEMENT PRINCIPLES (LO1) ........................ 4

(a)1.1 Main principles of the project management process .................... 4

(b) 1.2 Success/failure criteria for ACME Project ........................... 5

(C) 1.3. Explaining concept of time, cost and quality with the help of

suitable examples ........................................................... 5

(d) 1.4. Explaining ways of terminating Acme Project by including key

elements and post-project appraisal ........................................ 6

TASK 2 - BE ABLE TO MANAGE A PROJECT’S HUMAN RESOURCES (LO2) ................. 7

(a) 2.1 Roles and responsibilities of each of the participants .............. 7

(b)2.1 Draw and explain a suitable organisational structure for the ACME

Project ..................................................................... 9

(c) 2.3 Identify the skills and qualities of leader for the ACME Project .... 9

(d) 2.4 Specifying the human resource requirements for the ACME Project .... 10

(e) 2.2 Work break down structure of ACME Project .......................... 10

TASK 3 - BE ABLE TO APPLY PROJECT PROCESSES AND PROCEDURES (LO3) ............. 11

(a)3.1 Draw up network diagram, determine critical path for the project and

final duration of the project .............................................. 11

(b)3.1/3.2 Effect of the delay and the action taken by project manager .... 12

(c) 3.1 Role of Gantt Chart and Resource Histogram in order to improve the

management of ACME Project ................................................ 12

(c) 3.2 Crash activities during ACME project in order to complete the project

more quickly ............................................................... 13

(d) 3.2 Analysis of Cost and Time performance for AMCE project during its

project life ............................................................... 13

(e) 3.4 Ways to manage any changes which are likely to be required during the

life of ACME project ....................................................... 14

(f) 3.1 Ways of Project Closer ............................................ 15

(g) 3.3/3.4 Evaluation of completed ACME project .......................... 16

CONCLUSION ................................................................... 17

References ................................................................... 18



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INTRODUCTION

Project management is a combination of diversified skills, techniques, knowledge and tools

which are needed to meet the requirements of a project plan. In other words, it can be said that it

includes a careful planning and well organized efforts to complete a project in a successful manner.

There are different phases which help in managing and implementing the project plan in a right

manner (Kerzner, 2013). The following research is related to project management and to understand

its role in business operation, ACME Products PLC case study has taken into consideration.

Company wants to construct a new building for manufacturing of plastic tableware which are used

for outdoor dining and picnics. Along with this, organization also wants to arrange a production

setup in new facility which will be integrated with other existing factories across the world in near

future (Meredith and Mantel, 2011). Objectives covered under the following study are related to

understand project management principles, managing human resources, analysing skills and

qualities required in project manager as well as identifying success and failure criteria for ACME

Project.

TASK 1- UNDERSTAND PROJECT MANAGEMENT PRINCIPLES (LO1)

(a)1.1 Main principles of the project management process

There are seven principles of project management process that can be directly link to project

life cycle of ACME Project which are as follows.

Success: It is hard to measure the success of a project without considering any criteria. It is require

to develop some key benchmark that can help in defining the success of project plan. For ACME

Project, the success benchmarking for the following project has scope, quality and relevance

Kshama, 2012.

Commitment: The project manager and its team members should show commitment towards the

project. In the case of ACME Project, the project manager and its supportive staff must be

committed for achieve goal, scope, quality, time and cost of project plan.

Tetrad-Trafe off: This principle state that scope, quality, cots and time must be at balanced state.

For ACEM Project, top achieve the objectives, it has required that scope, quality, cots and time has

to be at balance stage to accomplish success of project.



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Primary Communication channels: As per this principle, the project manager of ACME Project

should develop a single communication channels so that the require informatics about the project

can be easily communicate with team members as well as client (Hamel, 2008).

Culture Environment: For achieve the success of project, the management style should be match

with type of project plan. Similarly, project manager of ACME Project should develop a suitable

culture environment which can support his management style

Process: For any type of project, the process, policies and procedures must be clearly define and in

documentation format. It should also explain the roles and responsibilities of project manager and

its supportive team members. For ACME Project, a document should be prepare which include

method, policies and procedures as well as roles and responsibilities of project manager and team

members (Cicmil and et.al., 2006). The develop guidelines will work as guide throughout the

lifespan for whole project.

Life cycle: It includes the four phase of a project which ensure a clear path and determine important

milestones in the project (Meredith Belbin, 2011). This principle will help ACME Project to create

a clear picture on starting and finishing duration of project plan.

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(C) 1.3. Explaining concept of time, cost and quality with the help of suitable examples

Time plays an important role to manage project operations in the firm. For example,

management of ACME can clearly define its objectives in order to design and process their

activities. This thing can help to design building for manufacturing of plastic items (Atkinson,

Crawford and Ward, 2006). As per the case, cleared objectives contribute effectively to decide time

frame for the completion of infrastructure development of building by dividing objectives into

specific time frame. This thing also helps ACME to manage quality and cost of its project.

Cost aids company to find out estimated expenditure on any type of project. For example:

this concept can help management of ACME to identify approximate spending on the infrastructure

development of building by analysing the cost of raw materials like cement, wood and labour for

constructing building. Further, it monitors quality of materials and proper time frame to analyse

appropriate estimated cost because inflation rate, recession and demand of raw material also affect

its cost (Megginson, 2006). Proper estimated cost can also give specific idea to manage monetary

funds for the infrastructure development of building for the plastic production.

Quality also contributes an effective role to improve the efficiency and performance of

ACME project. For example: this concept can give better reliability to measure quality of materials

by comparing standard performance with the actual performance. It can help firm to improve

quality of project by providing proper guidance to make building (Aubry, Hobbs and Thuillier,

2007). Good quality can also aid ACME to complete the project within given time frame and

estimated cost.

(d) 1.4. Explaining ways of terminating Acme Project by including key elements and post-project

appraisal

There are many ways like extinction, addition, integration as well as starvation for

terminating project in the firm.

Extinction- ACME has achieved its desired goals. On the other side, it can be stopped

because it is unsuccessful to execute the objectives of firm.

Addition- If, a project of ACME has achieved its success then it will be end through formal

way. Employees worked for project, property and resources will be transferred to new

project from the terminated project (Hobbs, Aubry and Thuillier, 2008).



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Integration- In this part, if, project leads to major success then project outcomes are

integrated to the activities of clients. In addition to this, used resources of ACME will be

released and it will be given to parent organization. It is the common process to terminate a

project.

Starvation- When management of ACME determines that project is unsuccessful or obsolete

then firm terminates project (Thiry and Deguire, 2007). Organization will take all the

resources from that project. Firm will not invest any money on this project.

Key elements for assess

ACME organization will consider to reduce technical reasons during project execution.

Firm will measure that project cost should not higher than the profit.

Management of ACME will also want customer support to fulfil its demand.

Firm will analyse project completion schedule in order to complete it in an appropriate time

frame ( Huemann, Keegan and Turner, 2007).

Reducing uncontrollable problems which will lead forcefully termination of the project of

ACME.

Key Elements involved in post project appraisal

There are many key elements which can be covered during post-project appraisal in the

organization.

Overall Project evaluation

Did project fulfil all the goals and objectives which were decided by firm?

Was the stakeholder complaints and feedback considered in a positive manner?

Was project accomplished within a particular time frame and cost? (Crawford, 2005)

Quality of Deliverables

ACME will analyse that stakeholder satisfaction on the quality will be appropriate or not.

Organization will measure that all the deliverable quality are actual as per the document in

order to complete requirements (Pohl, 2010).

Key Accomplishment

Meeting on the project strength like team work, efficient ways of instrument utilization and

other positive accomplishments.



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Future Consideration

Discussion of future activities which will be considered regarding the project (Larson and

Gray, 2011)

Discussion of any project maintenance process which will need to manage in a proper way.

In addition to this, management of ACME can also emphasize on sharing the experience of

individuals, opportunities for the improvement and best practices for managing the future projects.

TASK 2 - BE ABLE TO MANAGE A PROJECT’S HUMAN RESOURCES

(LO2)

(a) 2.1 Roles and responsibilities of each of the participants

There are many personnel involved in ACME Project which are as follows.

Table 1: Roles and responsibilities of different ACME project team members

Project Role Responsibilities

Project Manager

Person is liable for establishing

conjunction with the Project Sponsor.

He assures that project is given to

client in an agreed time. He also

manages monetary funds to achieve

proper quality standard in the project.

Managing and directing the project team

members of ACME project

Recruiting project employees and consultants.

Managing relations with team members for the

better coordination to continue project work.

Complete project planning and control (Barry,

2015).

Measure project progress and performance.

Determining team training needs of team

members of ACME project.



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Project Team Members

Staff members play an important role

to give effective efforts in ACME

project at all the stages. Every

individual is responsible to manage

specific work in the firm.

Give functional expertise in management

process of ACME project

Work with co-associates to assure that project

has completed its needs or not.

Measurement of present and future processes

regarding ACME project (Javidan and et.al.,,

2006).

Analysing information needs of the project

Project Sponsor

The person who select others members

to deliver the project. They can be a

senior member of staff in a specific

area. Result of project also affect the

project Spencer. He is responsible

from the initiation to completion of the

project. He supervises that project is

actively reviewed or not.

Work as a supporter in ACME project

Project sponsor is accountable for the outcomes

of planned project.

Take core organisational decisions for

development of ACME project (De Reyck and

et.al., 2005).

Analysing the availability of essential resources

for staff members.

Project Board

It is a group of management grade

employees who are responsible for

overseeing the progress and

performance of ACME project. They

also react on any strategic problems.

Finalization of strategies, execution plan and

project scope of ACME project

Sort out the project issues.

Prioritization of project goals and objectives of

ACME project (Elo and Kyngäs, 2008).

(b)2.1 Draw and explain a suitable organisational structure for the ACME Project

As per case study, Management of ACME can use hierarchical organisation structure for

ACME project. This structure is appropriate for firm because authority of person can be defined in a

systematic way which helps to improve the its efficiency in the project work.



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As per the above diagram, Project Board is top authority which prioritize and design all

strategies for handling the ACME project. They helps in executing plan which contribute role for

development of the building. Project Sponsor is also liable to analyse that project are implemented

in a proper manner. He also guides the project manager and team members in order to complete

construction of building (Cicmil and et.al., 2006.). In addition to this, project manager also manages

project operations and identify its progress and performance. It reports to project sponsor and Board

regarding activities of ACME project. Team members helps the firm to complete their assigned

responsibilities in a systematic manner in the project.

(c) 2.3 Identify the skills and qualities of leader for the ACME Project

Leader or manager should have appropriate skill and qualities to lead ACME project which

are as follows.

Communication skills- It is essential for leader to interact with the team members in the

firm. This skill also help manager to share the goals and objectives of project with

employees in order complete them in specific time frame in the firm.

Coordinating skills- This quality also contribute effective role for leader of ACME to share

work load with team members to complete in a systematic manner. This skill also helps the

firm to increase its efficiency and performance in the market (Kerzner, 2013).






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Problem solving skills- This ability also aids the leader to solve problem of team members of

ACME project. This skill help the ACME to reduce the risk regarding work and it provides

appropriate direction to finish the job.

(d) 2.4 Specifying the human resource requirements for the ACME Project

ACME Organisation needs many human resources like project manager, team members,

quality analyst, architect and human resource manager to complete project in optimistic manner.

Work of Project manager is to manage project operations in appropriate way. He analyses the

current status of project and report to the top authorities in the ACME (Meredith and Mantel, 2011).

Further, team members of firm gives their efforts on the specific work to manage project operations

which are assigned by project manager of ACME. Work of quality analyst is to check proper quality

standards of raw material, woods and other material which are used in construction of Building. In

addition to this, architect of ACME is helps to make layout and design building as per client

requirement (Hamel, 2008). He also monitors on construction work in order to check that work is

being completed in appropriate manner or not. Further, human resource manager of ACME allocate

required human and other resources which are necessary for construction of building.

(e) 2.2 Work break down structure of ACME Project



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TASK 3 - BE ABLE TO APPLY PROJECT PROCESSES AND PROCEDURES

(LO3)

(a)3.1 Draw up network diagram, determine critical path for the project and final duration of the

project

Illustration 1: Work break down structure of ACME Project



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Critical task: Task which are not affecting by any kind of delay S, A, B, D, F, H, K, L.

Critical path: Path that connects all critical task → Path SABDFHKL

Project duration: Sum of all the duration of the critical tasks: S+A+B+D+F+H+K+L = 72 weeks

(b)3.1/3.2 Effect of the delay and the action taken by project manager

As per the given scenario, the construction of the production machinery will take longer than

planned by eight weeks. In this situation, its project manager responsibilities to inform about this

consequences of delay. The answer of project manager should be the construction of production

machinery will start after 23 weeks due to some reason (Cicmil and et.al., 2006). But this activity is

not coming under critical path and not affect entire project. So this work can be delay by more eight

weeks without any issue.

On the other hand, delay in supplying of raw materials is by 6 weeks because of flood. The

impact of this delay on entire project is the whole work will delay and take it more time to complete

it. But after developing network diagram, it has been found that delay in supply of raw material and

construction of the production machinery are not coming under critical path (Meredith Belbin,

2011). Therefore, it will not affect the entire project plan.

Illustration 2: Network diagram of ACME Project



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(c) 3.1 Role of Gantt Chart and Resource Histogram in order to improve the management of ACME

Project

Gantt Chart: It is a most common technique of project management to define the activities of a

project with respect to time. The left side of chart is consisting list of tasks and on top side, a time

scale is giving (Nishadha, 2012). In Gantt Chart, each and every activity of a project plan has

defined by a bar, the length of bar has showed start and end time as well as duration. In the case of

ACME Project, the project manager can use this tool to improve management of project plan in

right manner. For example, all the activities of ACME project plan has drawn on Gantt Chart over

the time scale. With the help of this, project manager can track movement of every task and

compare it with the estimated durationv (Forsberg, Mooz and Cotterman, 2005). If there is any

delay created in any activity then other tasks can be manage according to it.

Resource Histogram: It is used by project manager to give visual presentation of utilization of

different resources in a chart form with the time scale. It is a bar chart which is used for showing the

particular amounts of time that a specific resource is scheduled to be worked for predetermine time

period. For example, in ACME Project, the four major human resources have used: project

manager, project sponsor, team members and project board (Pohl, 2010). The above figure shows

that every member of this project has scheduled to be worked for specific time duration. With the






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help of this, it can be easy to determine that whether the human resources are over utilized, under

utilized or effectively utilized.

Therefore, by using Gantt Chart and Resource Histogram, it can be easy to improve

management of ACME project.

(c) 3.2 Crash activities during ACME project in order to complete the project more quickly

With help of above network diagram of ACME project plan, it can be easily analysed that

the activities which are not coming under the critical path will not affect the whole project. The

tasks G, C, E, I and J are not coming under critical path and they can be cancel out. For this, the

slack time of these activities has required to reduced and bring it out at zero. By doing this, the

project will be finished more quickly as compare to the given time duration

(d) 3.2 Analysis of Cost and Time performance for AMCE project during its project life

For analysing cost and time performance of ACME project during its project life, some

methods are as follows.

Cost Performance Index (CPI): It helps in analyse the efficiency of the cost used by a project. It is

measuring the value of completed work by comparing with actual cost which has spent on project.

Illustration 3: Network diagram of ACME Project



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In the case of ACME project, suppose the project has to completed within 12 months and estimated

cost for this is $100000. After six month, $ 60000 has been spent. In the review, it has found that

only 50% of the work has been done. From the calculation of CPI, it has determined that value of

CPI is 0.67 which is less than one (Atkinson, Crawford and Ward, 2006). It has denote that ACME

project is over budget. Therefore, with the help of CPI, cost performance of project can be measure.

Time Performance: To measure the performance of ACME project during its entire project life, the

project manager can compare it actual time duration with the estimated time span. For example, at

time of preparing the requirement statement, the estimated time of this activity is 8 week. After the

implementation of plan, it has found that the following task has taken 6 weeks. From the

comparison of actual and estimated time, it has found that preparing requirement statement has

completed before 2 weeks from scheduled duration. It has defined time performance of project

(Megginson, 2006).

Therefore, CPI and Time Performance method helps in analyse cost and time performance

for ACME project during its project life.

(e) 3.4 Ways to manage any changes which are likely to be required during the life of ACME

project

In ACME project, it is require to manage the changes during project life cycle. In this

context, Project Change Control Method is more appropriate which is as follows.

First step is monitoring of entire ACME project work and notice the issues which are

occurring during implementation of plan. Along with this, the impacts of problems on

project plan has also analysed.

Second stage is enlisting the changes by creating the change request and send it to Change

Control Board (CCB) which has prepared by project manager (Aubry, Hobbs and Thuillier,

2007).



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CCB panel has evaluated the change requests and take the decisions to approve or reject the

modifications in ACME Project. It is a integrated change control phase. If the request

approved then it will send it to further action otherwise no modifications will be done in

project.

Next stage is direct and manage execution of changes where the project manager has start to

analyse the changes and given instructions to team members about new modifications in

existing ACME project plan (Hobbs, Aubry and Thuillier, 2008).

Last step is implementation of changes in which project manager has implemented new

modifications and that will contain extra cost as well as it will increase budget of ACME

project.

Illustration 4: Project change control procedures for the existing plan

(Source: Manage changes in your project, 2012)



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(f) 3.1 Ways of Project Closer

There are three ways of project closer which will be used by project manager of ACME

project at different time that are as follows.

Addition: When ACME project will complete and consider as a formal part of ACME Product PLC,

that time project manager will close the project. It will done after completing entire project and

handover it to the client. For closing out the project, the project manager will transfer project team

members, equipment’s, property and other resources to new building of ACME Product PLC (Thiry

and Deguire, 2007).

Integration: When ACME Project will view as integral part of ACME Product PLC then project

manager will use integration project closer method. Under this, the resources which has been used

during the project, they will be release and distribute in main ACME Product PLC company.

Starvation: When the project manager think that the risk factors has increased with time and it will

affect entire project very negative manner then he will take decision to close out ACME Project. In

this process, first plan will terminate by decrease budget and release all the resources. After this,

ACME Product PLC will stop more investment of project plan in future ( Huemann, Keegan and

Turner, 2007).

Once the project manager of ACME Project has completed its own work the ACME Product

PLC can open its new building and start the production of plastic tableware. Company will integrate






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it new facility with existing plant around the world to manage the production process and other

business activities.

(g) 3.3/3.4 Evaluation of completed ACME project

The evaluation of completed project is needed to determine the loopholes and check whether

the work is able to deliver the expected outcomes or not in right way. In the case of ACME Project,

the project manager will require to evaluate the completed project (Crawford, 2005). For this, the

various Key Performance Indicators will be develop such as outcomes, utilization of resources, time

and cost performance etc. For example, by comparing the estimated budget and actual spending

over the ACME Project, the evaluation of accomplished project will be done. If project plan will

finish within a estimated budget and able to deliver expected outcomes then it cost performance will

count as a success criteria otherwise in failure benchmarking (Larson and Gray, 2011). Therefore,

by such types of ways, project manager will evaluate the completed project and take decision

according to it. On the other hand, there are some methods that will use by project manager to

evaluate completed ACME project which are as follows.

Budgeted cost for work scheduled: Under this method, project manager will compare estimated

budget with spending at each and every step of project plan. Over or under budget spent will help in

measuring the performance of ACME Project.

Budgeted cost for work performed: It is a budgeted cost of work which has actually completed in

carrying out a scheduled task during a give time duration. For ACME Project, the actual time taken

to complete each activity of plan will compare with estimated time duration by including spending

of budget (Cicmil and et.al., 2006). The outcome of comparison will help in measuring performance

of ACME project.



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CONCLUSION

From the above research, it has been concluded that there have some criteria for ACME

Project which has defined success and failure of aspects of project. Time, cost and quality has some

objectives which has used to design project management systems and process for proposed project.

Project manager, project board, project sponsor and project team members have different duties and

responsibilities while workout on ACME Project. Gantt chart and Resources Histogram has used by

project manager to improve management of proposed project plan. It has important to evaluate the

complete project to measure the performance of ACME Project.






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REFERENCES

Books and Journals

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.

Hamel, G., 2008. The future of management. Human Resource Management International

Digest, 16(6).

Cicmil, S. and et.al., 2006. Rethinking project management: researching the actuality of

projects. International Journal of Project Management. 24(8). pp.675-686.

Meredith Belbin, R., 2011. Management teams: Why they succeed or fail.Human Resource

Management International Digest.

Forsberg, K., Mooz, H. and Cotterman, H., 2005. Visualizing project management: models and

frameworks for mastering complex systems. John Wiley & Sons.

Pohl, K., 2010. Requirements engineering: fundamentals, principles, and techniques. Springer

Publishing Company, Incorporated.

Atkinson, R., Crawford, L. and Ward, S., 2006. Fundamental uncertainties in projects and the scope

of project management. International journal of project management. 24(8). pp.687-698.

Megginson, D., 2006. Mentoring in action: A practical guide. Human Resource Management

International Digest.

Huemann, M., Keegan, A. and Turner, J.R., 2007. Human resource management in the project-

oriented company: A review. International Journal of Project Management. 25(3). pp.315-323.

Cicmil, S. and et.al., 2006. Rethinking project management: researching the actuality of

projects. International Journal of Project Management. 24(8). pp.675-686.

Online Barry, T., 2015. TOP 10 QUALITIES OF A PROJECT MANAGER. [Online]. Available

through:<https://www.projectsmart.co.uk/top-10-qualities-project-manager.php>. [Accessed

on: 28th January, 2016 ].

Kshama, 2012. Basic Principles Of Project Management. [Online]. Available



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through:<http://www.simplilearn.com/project-management-basic-principles-article>.

[Accessed on: 28th January, 2016 ].

Manage changes in your project, 2012. [Online]. Available

through:<http://satheespractice.blogspot.in/2012/02/manage-changes-in-your-project.html>.

[Accessed on: 28th January, 2016].

Nishadha, 2012. 5 Reasons to Use Gantt Charts. [Online]. Available

through:<http://creately.com/blog/diagrams/5-reasons-to-use-gantt-charts/>. [Accessed on:

28th January, 2016 ].






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