Project Development for Strategic Management - Task 5

This presentation focuses on evaluating varied specifications, strategies and approaches for launching the L’Oreal Black Charcoal Face Wash. It includes factors that contribute to the success of the project, project specifications, resources for the launch, Gantt chart, critical path analysis, and more.

Project
development for
strategic
management
TASK 5

Introduction
Project management in general can be defined as the procedure of managing
different activities to attain desired results and outcomes. To conduct a project in
appropriate manner manager should consider varied prospects such as design,
analysis and evaluation. According to the present given scenario, investigator
focuses on evaluating varied specifications, strategies and approaches for
launching the L’Oreal Black Charcoal Face Wash. For the same, top level
management of L’Oreal has hired management consultant of Nexus Ltd who aims
at launching the product in effective and efficient manner.

Factors Contributes to the
Success of Project
Financial Factors: Herein, Nexus Ltd has to undertake the defined budget of
launching the L’Oreal Black Charcoal Face Wash. However, financial factors
consist of forecasting cost, pre-Launch marketing and post-launch marketing cost
requires adequate amount of money for the consultant in order to make sure
successful launch of product.
Economic factors: a stable economy encourages the company like L’Oreal to
launch new product as the spending power of people will be high while on the
other hand, unstable economy of UK increases the business risks and even
discourages investments.

Contd..
Human Resource: consultant of Nexus Ltd has to ensure that he/she selects the
best suitable people for carrying out the launching project. Further, consultant
also has to make sure that duties and responsibilities are allocated in proper
manner to right individual so as to execute the whole project in reliable way.
Feasibility test: Nexus Ltd carry out feasibility test of L’Oreal Black Charcoal
Face Wash. However, NPV, Payback, ARR and IRR will assist in identifying
whether launch of project is feasible in terms of financial prospects.

Contd..
Understanding the Competition: Once the product is produce it is important to market it in
appropriate and suitable manner (Durmuşoğlu, Calantone and McNally, 2013). However, for this
management has to understand the need of market. According to the present case, Nexus Ltd
consultants have this responsibility to carry out. Planning to launch the L’Oreal Black Charcoal
Face Wash they have to evaluate how competitors are marketing the product by analyzing their
official website, brochures, print, online ads etc.
Targeting right audience: Nexus Ltd consultant has the duty of identifying the target audience
for the L’Oreal Black Charcoal Face Wash so as to develop the marketing message accordingly.
Through the help of understating the needs and wants of customers, consultant can easily frame
the launch strategy and contribute positively. The main purpose of involving Consultant from
Nexus Ltd by top level management of L’Oreal is to easily carry out market research and
accordingly plan the entire course (Andersen, Dysvik and Vaagaasar, 2009).

Project Specification
Product Specification Details
Project objectives To enhance the market share of L’Oreal in the male segment by
undertaking better marketing and promotional activities within the
launch project of L’Oreal Black Charcoal Face Wash.
Finance To carry out project in the best possible manner, large amount of fund
is required by the consultant team of Nexus Ltd. However, launching
at UK level around £100000 is estimated.

Contd..
Time Pre-launch promotion during the production process of
L’Oreal Black Charcoal Face Wash and post-launch
marketing will consist of 2 month process.
Resources Requirement Human resource: Project consultant, marketing managers, PR
managers, logistic manager, event manager etc.
Technology: Social media, digital marketing techniques,
traditional marketing approaches.

Produce Specification
According to the present given scenario, project consultant after
understanding the significance of project has defined several specifications which
will lay crucial role in successfully launching L’Oreal Black Charcoal Face Wash
in the target market.
•Scope and Objective of the Project: However, the suitable specification for the
selected project is divided into four different parts which are project objectives,
available and required resources, financial prospects of whole project and time
required to carry out the whole project in the desired manner (Fox and Waldt,
2008). All these elements are important for the success of project because they
assist in addressing different aspects of the project which is the basic necessity
for the successful execution and closure of project.

Contd..
Business aspects: Looking at the present functioning of Nexus Ltd it is labeled as
the medium sized consultancy firm. However, the current project of launching
L’Oreal Black Charcoal Face Wash will assist in enhancing the level of business
operations for the firm. Further, associating with such big brand name will help
the course of Nexus Ltd in attaining large or multinational level project in near
future (Greasley, 2007).

Contd..
Project management, planning and implementation cycle: Lifecycle of the
product defines its reliability and suitability within the target market. However,
further it shows the efforts that are put in by workforce of the company to
develop, procure, market and sell so that business can generate revenues and
product can establish its position within the market (Haldenwang, Slatter and
Pearce, 2006). For ensuring the project success and achievement of desired aim
and objectives it is critical to understand and plan the whole project cycle by the
consultant of Nexus Ltd with the agreed specification of L’Oreal senior authority.

Contd..
In this regard, project cycle can be defined as the sequential process of integrated
activities performed in phases to complete the project successfully. Herein,
management consultant at Nexus Ltd has bifurcated cited project into three
different phases that is understanding the scope of project, planning and plotting
of different activities, defining the budget and implementation process to achieve
the desired results. Further, this will present through the means of project
management tool such as Gantt chart and Network Diagram (Hanisch and et.al.
2009).

Resources for the Launch
Looking at the critical prospects of every project, it is essential for the firm or individual to
possess adequate amount of resource for carrying out the activities in successful manner. There
are varied resources that will play significant role for the management consultant of Nexus Ltd in
accomplishing the project of launching L’Oreal Black Charcoal Face Wash (Haynes, 2002). Further,
these resources can be categorized under three different headings such as human resource,
equipment resource and financial resource.
•Human Resource
•Financial Resource
•Technological Resource

Costs of Resources
Technological Costs
Equipment’s Estimated Costs (£)
Physical Evidence 3000
Hardware and software 3000
Internet services, different marketing tools 4000
Other supportive equipment 4000
Total 10000

Financial Resources
Financial Resources
Resources Estimated costs (£)
Bank loan 20000
Retained earnings 30000
Investors 22000
Total 75000

Human Resources
Role Association with project Pay (£)
Project consultant Data gathering and analysis phase, market strategy and programs
phase and launch planning and implementation phase.
5000
Marketing managers Data gathering and analysis phase, market strategy and programs
phase and launch planning and implementation phase.
3000
PR managers Data gathering and analysis phase and market strategy 3000
Event manager Programs phase and launch planning and implementation phase 3000
Logistic manager Launch planning and implementation phase 1000
Total 15000

Gantt chart

Critical Path Analysis

Contd..
Critical path Calculation of total duration Total duration for
completing the
project
3+4+5+7+8+10+11+12+1
3+14+17+19+20+21+22+
23
3+4+4+10+8+2+3+4+6+3+5+5+
4+3+1
70 days

Work Break Down Structure
L'Oreal Black Charcoal
Face Wash
Data Gathering and
Analysis Phase
Product Definition
Strategic Objectives
The Customers
Market Analysis
Evaluating competitor
strategy
Analysing potential
approaches
Market strategy and
programs phase
Defining market
strategy
Message development
External marketing
PR and Advertising
Internal Marketing
Marketing plan
Launch planning and
implementation phase
Planning process
Launch team
Launch Schedule
Launch budget
Launch Plan
Launch Implementation

Monitor and Evaluate the
progress and outcomes
For successful launch of new product in the market it is necessary required to adopt the
appropriate monitoring process along with evaluation so that product can be easily introduced in
the market.
Budgeting: It is regarded as one of the most effective technique of monitoring through which it
is possible for business to determine the amount which has to spent or allocated in each and
every activity associated with launch of face wash (Cullen, 2014). Further, through development
of proper budget it is possible to forecast future sales along with cash collection and
disbursement. In short, it can provide advantage to business regarding allocation of financial
resources and same can be utilized in efficient manner.

Contd..
Cost benefit analysis: This technique is also regarded to be most appropriate where business
can undertake same for monitoring purpose (Zwikael, 2009). Further, company can know the
overall cost associated with manufacturing of face wash and the benefits obtained by launching
in the market. Further, it is well known fact that ultimate objective of every business is to
recover the overall cost associated with manufacture of goods and benefits must be high.
Therefore, on continuous basis it is required to carry out cost benefit analysis for obtaining
benefits after launch of new product in the market. Further, evaluation is also possible through
this tool as in case if cost is high and benefit s are low then corrective actions can be taken easily
so that overall cost can be recovered easily in minimum time period and it is beneficial for the
organization also.

Analyze outcomes
According to the present given scenario, launching of L’Oreal Black Charcoal
Face Wash has been carried out by the consultancy team of Nexus Ltd. For the
same, project consultant has used PRINCE2 strategy to compare the actual
outcomes against the estimated specifications. Further, by the means of Gantt
chart consultant is able to categorize the activities under different subheads.
Further, critical path analysis has been carried out to evaluate the actual minimum
time required for the team of Nexus Ltd to carry out the entire project in the best
possible manner. Herein, 65 days and with the costs of 77000 cited firm will able
to carry out the launching of L’Oreal Black Charcoal Face Wash project.

Evaluate the Outcomes
From the above study and the generated outcomes it can be said that the project of
launching L’Oreal Black Charcoal Face Wash is feasible for Nexus Ltd as they are
able to accomplish the tasks with the estimated time limit as well as less than the
estimated cost of overall project. Furthermore, despite of executing such a huge
project Nexus Ltd has charged very low fees from the L’Oreal which indeed
helped the course in completing the project within the defined budget. Further, the
reason could be that Nexus Ltd with this project will be able to enter into the
league of multinationals which will help them to enhance their operations.

Recommendation
On the basis of above evaluation of entire project various gaps and loopholes gas been identified
for the functioning of Nexus Ltd. Thus, certain recommendations has been presented to the
management consultant so that they can improve in near future:
Should always make use of different project management tools for better scheduling and
bifurcating of activities.
To make use of capital budgeting techniques which will assist in evaluating the viability and
reliability of the project which have to select.
Improve the connectivity or communication with clients for better delivery of goods as well as
maintaining the transparency with the clients.
Should focus on training and development of employees as they are responsible for carrying
out the entire project for client in the best possible manner.

Conclusion
It can be concluded from the study that project plan related with launch of
face wash by L’Oreal has been effectively implemented. It has been estimated that
the overall cost required to accomplish the plan was £100000. But the actual cost
that has been incurred from the execution of the plan was £77000. In addition to
this the estimated time duration for completion of the project is 2 months whereas
actual time taken is 65 days.

References
Rouleau, L. and Balogun, J., 2011. Middle managers, strategic sensemaking, and discursive
competence. Journal of Management Studies. 48(5). pp.953-983.
Simons, R., 2013. Levers of control: How managers use innovative control systems to drive
strategic renewal. Harvard Business Press.
Durmuşoğlu, S. S., Calantone, R. J. and McNally, R. C., 2013. Ordered to innovate: A longitudinal
examination of the early periods of a new product development process implementation in a
manufacturing firm. Journal of Product Innovation Management. 30(4). pp.712-731.
Flyvbjerg, B., 2013. Quality control and due diligence in project management: Getting decisions
right by taking the outside view. International Journal of Project Management. 31(5). pp. 760-
774.
Greasley, A., 2007. Operations Management. SAGE.