Project Management Essay

First, develop wander infusion criteria and a gritty train knead for applying the criteria and managing the portfolio. The criteria should be consis disco biscuitt with the agate line environment for the industry, consistent with your partys all every(prenominal)placeall mission/strategies, and consistent with the mission and strategies of your strategic business unit. You atomic number 18 proposing a deal, non individual forges. The deliverable for Part 1 is a written purpose for the project excerption criteria and a high level commentary of a proposed portfolio management process.You whitethorn also be expected to make an informal presentation of the report in class. The proposal should be in the form of a memorandarandum to your criminality chair (your instructor) outlining your proposal. The memorandum should be no more than 10 pages, including any figures and tables. It should be double-spaced, 10 or 12 point font with unity-inch margins. This is a abstract for an executive director, so be telegraphic, to the point, and leave out the fluff. If you dont need 10 pages to document your proposal fully, I am sure that your Vice chairperson pull up stakes be euphoric with less as ample as it is end.Using appropriate grammar, spelling, punctuation, and sentence bodily structure will be part of your grade. The actual proposal should include the following 1. A description of the proposed portfolio process. You be explaining it to the executives. 2. The reasons it was selected (tie to strategies as appropriate. ) 3. A description of the proposed selection criteria. How will the process be applied in your SBU? 4. The method for applying the selection criteria, and the justification for both. How are you going to score the projects and evaluate the scores?This is not a complete project proposal or even a complete berth report. You are making a specific proposal to management of a toil Portfolio Evaluation and Selection Process. All r eports and memos to executives should include an executive summary at the beginning. This one is no exception. The discussion of the organization should be limited to how the SBU organization supports projects and the PPM process. It is not necessary to discuss the total order. right attention to the specifics requested in the deliverables. Do NOT make your memo a list of questions and answers.That is not the way a business memo is written. It is easy to select a process that is presented in a file name extension only you must propose one that locks for your SBU. When you think you are finished put yourself in the role of someone who was not running(a) on the solution and read your presentation. You can assume you know the fundamentals of PPM. Does your presentation provide a good description of the process and how it will be applied? Are there obvious questions that it raises that are not answered? This is not a classroom assignment, it is a business memo.Also it is not a re search report and you are not trying to butt on your academic expertise and how well you are read. Part 2 In Part 1 of the project, the new Vice President (your instructor) of your Strategic subscriber line Unit had asked you to create a portfolio management process and project selection criteria for put on by the SBU. It is now epoch to apply this process in selecting this years projects for your portfolio. In the annual work out out cycle, your SBU was allocated $24 one trillion million million dollars of funding uniformly spread all over the next year for your portfolio.This manner you have $6 million dollars to spend any given quarter. You may select any of the below projects to be included in your portfolio, but you cannot spend more than the allotted dollars allocated to your SBU. Your task is to select those projects, using your selection criteria, that most benefit the overall company without exceeding you quarterly budget of $6 million dollars. You must also lay o ut a visualize for what quarter your selected projects will start in. Below are your attainable projects devise Call core Currently you have no annunciate center to address customer complaints or accept orders.Customers must use the internet to fill out an online form to address their complaints or assist needs. These forms are processed by employees in your department. Currently the turnaround time on any given form is between quartette to ogdoad hours. This creates a number of other customer complaints. upchuck Call Center is designed to load this turnaround time by 75% by creating and rounding a call center in Tampa. Building acquirement, twist regainings, building fit out, IT placement upgrades, and hiring and training of staff are estimated to be $8. 5 million dollars.This $8.5 million dollars can be remunerative evenly in any two quarters in the next year. In addition, sevensome new employees will need to be hired at $40,000 care-laden ride be per year to st aff the call center. Management of this project could easily be do with the current in-house staff. Most of the work of this project would be outsourced and will have minimal impact on day-to-operations. fancy Ordering Upgrade Currently ordering processing is done online. The software system and hardware used in this system are about ten years old. As such, order processing is a long, arduous process for the fifteen person staff.Upgrading this process to a state of the art system would terms or so $2. 5 million dollars, and it is a onetime bear in full internal charge to your SBU. It would also result in a reduction in the fifteen person staff by 7 individuals and reduce order processing time by 50%. Each individual in this department is paid $35,000 burdened labor costs a year. Most of the work of this project could be done internally with existing staff. One weekend of operations will be impacted by the project in its entirety. throw off Rocky The Alaskan cruise ship indust ry is booming. For some reason, people like to opine at icebergs.Unfortunately, our company is servicing no cruise ships in Alaska. Project Rocky is to expand into the Alaskan market. This project will require the acquisition of property in Alaska, renovation of that property, and staffing of the facility. This project is seen as a study money maker for the company and has a NPV of $19 million dollars over five dollar bill years. Its costs would be $13 million dollars to initially unbending up the project and $400,000 a year to plight the facility. This initial cost can be spread evenly over each of intravenous feeding quarters of the entire year. These initial costs should be recovered indoors the first two or three years of operation.Most of the work of this project would be outsourced and management of the project would believably be difficult. Project Europa The Mediterranean cruise ship industry is booming. Unfortunately, our company is servicing no cruise ships in the entire European area. Project Europa is to expand into the Mediterranean market. This project will require the acquisition of property in Italy, renovation of that property, and staffing of the facility. The current governmental overspending and austerity issues may impact this project. However, this project is seen as a major money maker for the company and has a NPV of $15 million dollars over seven years.Its costs would be $11 million dollars to initially set up the project and $500,000 a year to operate the facility. This initial cost can be spread evenly over each of the four quarters of the entire year. These initial costs should be recovered within the first three years of operation. Most of the work of this project would be outsourced and management of the project would be extremely difficult. Project Robot Our key distribution center is in St. Petersburg, Florida. It has a staff of 100 individuals to process the linens for the Florida cruise industry. Automation would allow us to reduce staff by 35 individuals.The average burdened labor costs of each of these individuals is $45,000 dollars a year. The cost of such automation would be in the neighborhood of $17 million dollars. This initial cost can be spread evenly over the entire year. This project would also likely disrupt the facility for about 3 months while the work is existence done. Upon completion, the newly remodeled facility will be 1/3 small allowing our need for warehousing space to be reduced by 1/3. This would allow us to sublet this space for an estimated $2 million dollars a year in revenue. Most of the work of this project would be outsourced.Project Tableware In order to become the provider of choice for the cruise industry, our company needs to expand to more than just linens. A suggestion was make to expand into supplying tableware to the cruise industry, as much tableware is lost every cruise to breakage. Currently this need is supplied by a number of smaller companies that we could easily compete with. This project would rent creating a Just In Time process to receive and supply the cruise ships. It would also involve the need for a minimal warehouse facility. This project is likely to cost $5.5 million dollars and have a NPV of $1 million dollars over five years.All initial costs can be spread over any two quarters of the upcoming year. It would likely take four years to recover the initial costs of this project. It would further cost approximately $300,000 dollars a year to operate this facility. All of the work of this project would be outsourced. Your Assignment Your task is to use your portfolio process to determine which of the above projects crush fit into your portfolio and create a time based plan by quarters as to when each project selected should begin and be paid for.Once this is accomplished, you need to write an internal memo to your Vice President denoting the projects selected, the time based plan in quarters, and why you chose as you d id. The document should be double-spaced, 10 or 12 point font with one inch margins. This is a Recommendation Memo for an executive, so be concise and to the point. If you dont need more than eight pages to document your plan adequately, I am sure that your manager will be happy with it as long as it is complete. The use of appropriate grammar, spelling, punctuation, and sentence structure is part of your grade. Submit This Document to the Dropbox by the end of Week 5.