Project Management: Software Development and System Analysis Report

This report presents a project management analysis for a software development project. It begins with a cost analysis comparing in-house development to purchasing a software package, ultimately recommending the latter due to its lower overall cost. The report then provides an overview of a proposed system, detailing its costs and benefits using a cost-benefit analysis framework. It explores the economic feasibility of the system, highlighting both tangible and intangible benefits, such as reduced errors and increased efficiency. Finally, the report outlines various alternatives that should be investigated for continuous development, including economic feasibility and proper management strategies. The analysis is based on a case study provided by a university, with the goal of improving transportation facilities for students.

Running head: PROJECT MANAGEMENT
Project management
Name of the Student
Name of the University
Author’s Note

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PROJECT MANAGEMENT
Table of Contents
Task 1...............................................................................................................................................2
1.1 Total cost analysis of both the option and providing recommendation to the best option....2
1.2 Justification for the recommendation....................................................................................3
Task 2:.............................................................................................................................................4
2.1 Overview of the proposed system including cost and benefit with explanation and analysis
of the cost benefit types...............................................................................................................4
2.2 Brief explanation about the various alternatives that needs to be investigated with
continuous development..............................................................................................................5
Bibliography....................................................................................................................................6

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PROJECT MANAGEMENT
Task 1
1.1 Total cost analysis of both the option and providing recommendation to the best option
In-house development of the software packages
The cost analysis for in house development is provided in the table below:
Particulars
Hours
Cost per
hour
Total Costs
Hardware Upgradation Costs $ 3,500
Network Upgradation Costs $ 4,000
Manpower costs:
System Analysts 180 $ 45 $ 8,100
IT Experts 180 $ 40 $ 7,200
Training Costs: 12 $ 25 $ 300
Total Cost of Developing the
Software $ 23,100
Annual Maintenance costs 520 $ 25 $ 13,000
Cost analysis for software package purchase
The cost analysis for vertical software package is generally reflected in the below table:
Particulars
Hours
Cost per
hour
Total Costs
Hardware Upgradation Costs $ 3,500

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PROJECT MANAGEMENT
Network Upgradation Costs $ 4,000
Purchase price of the software $ 9,000
Installation Costs:
System Analysts 120 $ 45 $ 5,400
Total cost of purchasing the
Software $ 21,900
Annual Maintenance costs $ 10,750
1.2 Justification for the recommendation
After undertaking the cost analysis of both the alternatives, it is found that the cost of
purchasing the software will be the beneficial option for the organization as the total cost that is
needed for purchasing the software will be around $21,900 excluding $10,750 as maintenance
cost. However, on the other hand, it is reflected that the cost that is required for the development
of the software will be around $23100 excluding maintenance. cost that is around $13000. Thus,
it is identified that purchasing the software will be the best option for the organization.

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Task 2:
2.1 Overview of the proposed system including cost and benefit with explanation and
analysis of the cost benefit types
Overview of the proposed system
The new system that was proposed will be helpful in providing smoother operation, better
efficiency as well as very much user-friendly procedures for the batters as well as for the staffs
of New Century. It is found that in order to determine the economic feasibility of the system the
cost and benefit analysis are generally done in the below table with proper explanation.
Cost and Benefit
Economic
Effect
Explanat
ion
Category of Cost and
Benefit
Getting rid of overtime of 24 hours at
$15 per hour
$
4,320
Annual
reserves
of 24
hours x
$15 per
hour x 12
months
Variable, operational,
positive and direct
benefit
Getting rid of errors occurring in every
month
$
1,800
Probable
annual
reserves
of 10
hours x
Variable, operational,
positive and direct
benefit

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PROJECT MANAGEMENT
$15 per
hour x 12
months
For networked commercial package
$
2,500 Provided
Fixed, direct and
developmental cost
Specifications needed for hardware
$
8,000 Provided
Fixed, direct and
developmental cost
Merchant's contract for technical
support
$
600 Provided
Operational, direct and
fixed cost
2.2 Brief explanation about the various alternatives that needs to be investigated with
continuous development
It is found that there are a number of alternatives that needs to be properly investigated if
the development continues and those alternatives are generally elaborated below:
Economic feasibility: It is found that proper economic feasibility analysis is generally
required in order to assure that the undertaken project is feasible.
Proper management strategies: It is quite necessary to have proper knowledge as well
as information about the management strategies in order to manage the project quite effectively.

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Bibliography
Morris, S., Patel, N. V., Dobson, J., Featherstone, R. L., Richards, T., Luengo-Fernandez, R., ...
& International Carotid Stenting Study investigators. (2016). Cost-utility analysis of
stenting versus endarterectomy in the International Carotid Stenting Study. International
journal of stroke, 11(4), 446-453.
Ramadan, A. A. B., Jackson-Thompson, J., & Boren, S. A. (2017). Geographic information
systems: Usability, perception, and preferences of public health professionals. Online
journal of public health informatics, 9(2).
Rohani, M., & Murray, C. (2018). Cost Benefit Analysis of the Natural Environment Investment
Options for the Auckland Council Long-term Plan 2018-2028. Auckland Council, Te
Kaunihera o Tāmaki Makaurau.
Yu, L., Gao, Y., & Wang, Z. (2016, December). Construction of Witkey Practice Teaching Mode
under the Era of Big Data A Case Study of Software Development in Higher Vocational
Colleges. In 2016 3rd International Conference on Education, Language, Art and Inter-
cultural Communication (ICELAIC 2016). Atlantis Press.