Analysis of DTG Engine Estimate, Inventory, and Project Management

This assignment provides a comprehensive analysis of a DTG engine estimate, including a detailed breakdown of costs such as salary, freight, materials, and royalties. It also includes an examination of inventory management practices, specifically discussing the actions an operations manager would take, such as physical stock verification, ledger checks, and the use of inventory management systems like EOQ. Furthermore, the assignment explores project management concepts, including the constraint triangle (cost, quality, time) and activities related to trade shows. The solution includes calculations, explanations, and references to support the analysis, offering insights into various aspects of business development and operations management.

SSIGHNMENT3

TABLE OF CONTENTS
QUESTION 1.............................................................................................................................1
Prepare Estimate for CEO of DTG including GST................................................................1
Who is the carrier you are using to move the completed engine to the customer? What was
their estimate?.........................................................................................................................2
Can you think of any costs that may likely be incurred but have not been included?...........3
QUESTION 3.............................................................................................................................3
Discuss the action of an operation manager in managing the inventories by listing all the
steps required in the case........................................................................................................3
QUESTION 4.............................................................................................................................4
Draw the constraint triangle and label the vertices................................................................4
QUESTION 5.............................................................................................................................5
List an activity which helps an individual in passing time by engaging during and after the
show........................................................................................................................................5
REFERENCES...........................................................................................................................7

QUESTION 1
Prepare Estimate for CEO of DTG including GST
Calculation of Estimate for the CEO
Particulars Amount
Salary cost (W.N.1) 558861
Freight Expenses(W.N.2) $ 456.50
Material and specialist Services(W.N.3) $ 58,301.78
Royalty(W.N.4) 18563.175
Estimate $ 636,182.45
W.N.1
Particulars Month of service Rate Amount
Michael N 12 $ 7,500.00 $ 90,000.00
John S 2 $ 7,500.00 $ 15,000.00
John M 3 $ 9,167.00 $ 27,501.00
Tony W 12 $ 9,167.00 $ 110,004.00
Geoff D 12 $ 8,333.00 $ 99,996.00
Dave A 12 $ 7,197.00 $ 86,364.00
Project manager 12 $ 10,833.00 $ 129,996.00
Total $ 558,861.00
W.N.2
Particulars Amount
Weight 250
Rate 1.66
Total fee $ 415.00
Markup@10% $ 41.50
Freight fee including markup $ 456.50
W.N.3
Products name
Qua
ntity
Cost of 1
product Total
Perce
ntage
Total of product after
the percentage
Bare cylinder head
castings 2
$
600.00
$
1,200.00 140% $ 1,680.00
Heat treatment for
cylinder head castings 2
$
800.00
$
1,600.00 140% $ 2,240.00
Rotor valve blanks 20
$
500.00
$
10,000.0
0 140% $ 14,000.00
Head gaskets (bespoke
design) 2
$
858.00
$
1,716.00 80% $ 1,372.80
Rotor seals 40
$
144.00
$
5,760.00 140% $ 8,064.00
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Gear blanks 53
$
230.00
$
12,190.0
0 80% $ 9,752.00
Heat treatment for a
complete set of gears 1
$
1,880.00
$
1,880.00 80% $ 1,504.00
Shaft, one required 1
$
70.00
$
70.00 80% $ 56.00
Complete set if
fasteners 1
$
1,200.00
$
1,200.00 50% $ 600.00
Housing gaskets,
various types 1
$
621.00
$
621.00 140% $ 869.40
Intake manifold castings 2
$
240.00
$
480.00 80% $ 384.00
Exhaust manifolds 2
$
1,208.00
$
2,416.00 80% $ 1,932.80
Sensors 1
$
4,200.00
$
4,200.00 50% $ 2,100.00
Engine management
computer 1
$
1,880.00
$
1,880.00 80% $ 1,504.00
Shielded wiring loom 1
$
1,444.00
$
1,444.00 80% $ 1,155.20
Class one miscellaneous
items 1
$
3,050.00
$
3,050.00 80% $ 2,440.00
Class two miscellaneous
items 2
$
1,356.00
$
2,712.00 80% $ 2,169.60
total of whole products
$
52,419.0
0
total of whole products +the percentage $ 51,823.80
GST on total expenses $ 6,477.98
Total Expenses $ 58,301.78
W.N.4
Particulars Amount
IP rights to the rotary valve system 110004
GST@12.5% 13750.5
Net GST amount 123754.5
Royalty@15% 18563.175
Who is the carrier you are using to move the completed engine to the customer? What was
their estimate?
Particulars Month Rate Estimate
2

Tony W 12 9167 $110004+$18563.175(royalty)
Michael N 12 7500 $90000
John S 2 7500 $15000
John M 3 9167 $27501
Can you think of any costs that may likely be incurred but have not been included?
In determining the estimate of the developed engine to the CEO of Dockside
technologies group, different costs included in the product estimate are salaries and wages
expenses, material and outsourced services, royalty, freight expenses. This product estimate
does not include advertising expenses, selling and distribution expenses which plays an
integral role in market the develop engine to the entire potential customer.
QUESTION 3
Discuss the action of an operation manager in managing the inventories by listing all the
steps required in the case.
In the present case scenario, operation manager observes during the physical
verification of the factory premises that sufficient stock is available in an entity. Standard
time taken by the plaint is 9 months and normal production process time is 1.5 months which
runs 3 shifts in a day. This figure signifies that 2 batches of production can be completed by
utilizing all the resources held by an individual.
Further information required to know about the condition of an entity is essential to
comment on the performance of the firm. Physical counting of all the stock is essential to
know the status of all the stocks by categorizing all obsolete and normal stocks held in a firm.
Stock ledger entry and bin card will be checked by an operation manager by verifying the
authenticity of all the stocks entry and exit to know the actual figure of stocks availability.
Inventory management system will also be checked by an individual to know the fluctuations
in the management of inventory. Methods of inventory management include last in first out,
first-in-first-out, weighted average method.
Economic order quantity has used in the manufacturing plant to keep track on al the
inventories held in an entity (Paul & Goswami, 2018). Different quantity of inventories can
CONSTRAINT TRIANGLE
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be determined by an individual by considering demand, ordering costs and carrying
costs to know the actual amount of quantity to produce.
QUESTION 4
Draw the constraint triangle and label the vertices
Project management is a specialization technique used by an individual to manage all
the projects take up by the firm. Every project has managed by using this specialised
technique in which the leadership quality of a project manager used to take project initiatives.
Project plan prepared by an individual is to manage its time to allocate all the tasks
appropriately according to the given time. Higher level of customer satisfaction can improve
the business image of the business which can be possible by meeting their needs.
Project plan develops by an individual will be visualises using Gant chart and network
diagram. It shows the actual project duration that also includes delaying activity of the project
which creates difficulties for a person in accomplishing their desired needs and the objectives
within a stipulated time period. Network diagram shows the project activity in a systematic
order by showing critical activities which leads to the accomplishment of the overall project
(Portny, 2017). Gant chart shows the overall project step by step in a systematically order to
achieve the desired goals and the objectives within a short span of time. Project constraints
are the biggest barriers comes in the path of a project manager can be overcome by identify
its nature. There are three kinds of constraints faced by a project manager while developing a
particular project is mention as below:
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Cost
CONSTRAINT
TRIANGLE
Quality
Time

 Cost- It is segregated into two different kinds such as monetary as well as non-
monetary costs incurred in an entity. Monetary costs have two different categories
such as fixed and variable costs which are related with the business. Fixed costs
remain fixed with zero or 1 units of production of the business and variable costs
includes commission charged by an employee from its employer for marketing,
selling of products and services, advertising services. Non-monetary costs include a
social cost that considers all pains and sorrows suffer by a person by engaging in the
project which cannot be counted. A social cost is considered in evaluating the
efficiency of a person in an enterprise.
 Quality- In every entity, quality is regarded as an important component for an
individual to satisfy all the customers. Every customer expects more in the terms of
quality as they demand higher quality of services in low amount paid by them. In
customer service industry, customers are motivated by an enterprise owner by
offering different offers regarding product discounts, complimentary products given
with the original products, home delivery of the services (Rao, D. S., & Sreelakshmi,
G. (2017).). Quality can be maintained by an individual by using balance score
approach, which has four pillars such as financial perspective, customer service,
internal process and organizational capacity. These four pillars are used by an
individual in maintaining the quality of the project by developing different project
objectives related to four different categories to get the quality oriented outcome.
 Time- External market competition can be avoided by delivering quality oriented
services to all the customers within a stipulated time period. A project manager trains
their team members to accomplish the overall project by considering all the factors
beneficial for an entity (Cicmil, Cooke-Davies, Crawford & Richardson, 2017, April).
Time management strategies craft by a project manager to keep latest progress of the
project by taking follow up from all the members working in a team.
QUESTION 5
List an activity which helps an individual in passing time by engaging during and after the
show.
Prior to trade show During event After the event
 Prepare to do lists
that include the
complete list of things
 Avail the advantage
by interacting with all
the firms manually
 Business connections
maintained in the
event will be useful
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that is required by an
individual to arouse
their interest for the
trade show.
 Inquire about the
firms participating in
the exhibitions to
increase the chances
of getting selected as
an employee in
different firms.
 Increase the
knowledge by
searching about the
brief of the
companies
participating in the
event.
 Investigating about
the price of the passes
for the event to book
the seat in the event
to avail the advantage
(Jorguseski, Zhang,
Chrysalos, Golinski
& Toh, 2017).
shortlisted by an
individual after
analyzing the
company’s brief and
history.
 Attending seminars
by increasing the
knowledge as
attending business
seminars act as a
career counselling
sessions
after the end of the
event by getting a job
(Malecki & Oinas
(Eds.). 2017).
 It has dual advantage
for both the job
seekers and new start
ups that can get
business support from
all the experts of the
industry.
 Start ups get seed
capital to establish
their business on their
own support without
taking additional debt
burden from outside
the entity.
 Analytical skills get
increases by taking
decisions for the
selection of good
company out of the
choice of 50
organizations
participates in the
event.
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REFERENCES
Cicmil, S., Cooke-Davies, T., Crawford, L., & Richardson, K. (2017, April). Exploring the
complexity of projects: Implications of complexity theory for project management practice.
Project Management Institute.
Jorguseski, L., Zhang, H., Chrysalos, M., Golinski, M., & Toh, Y. (2017). LTE delay
assessment for real-time management of future smart grids. In Smart Grid Inspired Future
Technologies: First International Conference, SmartGIFT 2016, Liverpool, UK, May 19-
20, 2016, Revised Selected Papers (pp. 204-213). Springer International Publishing.
Malecki, E. J. M., & Oinas, P. (Eds.). (2017). Making connections: technological learning
and regional economic change. Taylor & Francis.
Paul, A., & Goswami, A. (2018). An Economic Order Quantity Model for Deteriorating
Items with Ramp Type Demand, Time Dependent Holding Cost and Price Discount Offered
on Backorders. World Academy of Science, Engineering and Technology, International
Journal of Mathematical and Computational Sciences, 5(1).
Portny, S. E. (2017). Project management for dummies. John Wiley & Sons.
Rao, D. S., & Sreelakshmi, G. (2017). Balance Scorecard-Strategy Mapping Tool: A Case
Study.
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