Minor Template Change: Understanding Project Management Concepts

The assignment content discusses minor changes to the Charter Template for Assessment 1, specifically regarding Sections 1.2, 3.1, and 5.3. It also provides examples of how to apply project management concepts, including key deliverables, sub-deliverables, and risks, as well as a breakdown of marks for the assessment.

Minor Template Change:
3.1 wording changed to reflect 1.2 and 5.3
There has been a minor change to the Charter Template for Assessment 1. If you are
working on a previous version, there is no need for you to change versions, but please
do take note of the following:
Sections 1.2, 3.1 and 5.3 ask you to provide information about three deliverables of the
project. You are to use the same three deliverables for each question.
Section 1.2 and 5.3 use the terminology key deliverable and sub-deliverables. Section
3.1 originally only mentioned key deliverables, this has been changed to reflect 1.2 and
5.3.
Key Deliverable - this refers to the main output (end product) of the project.
Sub-deliverables - deliverables that are necessary or desirable in the delivery of the Key
Deliverable.
Example:
If your project was to build a four bedroom brick home.
Key Deliverable: A four bedroom brick home.
Plumbing installation would be considered a sub-deliverable and would be necessary for
the delivery of the 'Key Deliverable'.
Landscaping would also be considered a sub-deliverable and would more likely be seen
as desirable rather than necessary.
You do not have to list whether your sub-deliverables are necessary or desirable.
High level risks
What is the definition of risk in Project Management?
It is something that:
 might happen (uncertainty)
 could impact (either positively or negatively)
Start with an event that might occur – then think about the effect (impact) it would have if
it happened. Now think about why this event might have occurred – the cause.
Or you might want to think chronologically (X might causes Y to occur and if it did then
this would mean Z.) However care should be taken to ensure common effects or impacts
such as ‘Increases to cost and project delay’ are not used as the ‘event’.
Use language that demonstrates to the marker you understand that this event hasn’t
happened yet, and that it is not certain that it would happen.
Cause Event Effect
This could happen if… There is a possibility that…
could occur.
If this did happen it would
result in…

Section 1.7 Summary Budget
Make sure that you include the total estimated cost in a row below the estimates for the
three deliverables. This row has been added to later version of the template, if you are
using an earlier version please add another row.
Again use the same three deliverables mentioned in 1.2.
Estimates for the Key Deliverable - for the purposes of this assessment – indicate
costings additional to that of the sub-deliverables.
Example: Project - Fidget Spinner Generation V in stores for sale by Christmas
You do have to make some educated guesses
What is the Key Deliverable? - Fidget Spinner Generation V sale ready.
Sub deliverables? 1. Design of Fidget Sinner Generation V,
2. Production of Fidget Spinner Generation V (run of 5000).
Apart from Designing the new model (sub-deliverable 1) and producing 5000 (sub-
deliverable 2) what other costs may be involved?
 Market research
 Construct prototypes (this could be included in Production costings)
 User testing
 Bug fixing design (from user testing feedback)
 Promotions / signage / advertising / packaging
 Wholesale and distribution
What do fidget spinners sell for – approx. $3 to $20.
What price do we think we would target ours?
Considerations – it is a new ‘Generation V’ model (think awesome), however fidget
spinner market is full of many competitors with basic models for below $10. So to be
competitive let’s say we don’t want to have the price on the shelf any higher than $10, so
they could be sold to the retailers for $5.
What is our timeline? If we want them to sell for Christmas we want them ready for
distribution around June/July.
So considering our three rows we now estimate reasonable costings (based on general
knowledge and perhaps a google search or two – remember we are testing project
management not product pricing strategy) place the costings on the time line-
 There might be market research ($500 in February),
 Design ($500) in March
 construction of a set of prototypes for user testing ($100 ) April
 user testing ($500) in April,
 Bug fix of design utilising user testing results ($150) April
 Promotional strategy including signage, advertising and packaging ($1000) May,
 Production of 5000 Fidget Spinners Generation V ($3250 - $0.65 per unit)

 And wholesale and distribution ($400, $200, $200) in June, July and August.
Activities
Deliverable
s
Feb Mar Apr May Jun Jul Aug Sep Oct Nov
1.Key Deliverable:
Fidget Spinner
Generation V in
stores
500 500 1000 400 200 200
2. Sub-deliverable
1: Design of new
generation fidget
spinner
500 150
3. Production of
5000 Fidget
Spinner
Generation V
100 3250
Total $6800
Check that the total is correct – your markers will.
Also check the reasonableness of your estimates. In the above example - A total cost of
$6800 each fidget spinner for sale is worth ($6800/5000=$1.36). This means if sold to
retailer for $5 each this a good mark-up and seems reasonable.
As the project within the scenario may not be profit based what considerations would
you need to consider here?
Breakdown of Marks
Ensure you have answered everything - a table describing the breakdown of the
marks is located at the back of the Charter Template. You can use this as a checklist to
ensure you have provided information where necessary.
You will be assessed on your understanding and application of the project management
concepts used within the Charter. This also means that you should understand the
purpose of the charter and where the document sits in the life cycle of the project.