Principles behind the project management system and procedures

PROJECT MANAGEMENT INTRODUCTION 4 SECTION 14 1.1 Background and principles of project management 4 Principles behind the project management system and procedures5 SECTION 26 Project Planning 6 SECTION 316 Project Human Resources16 SECTION 419 Project Evaluation 19 CONCLUSION 20 REFERENCES 21 INTRODUCTION Project management is a process of planning, executing, controlling and closing the performance of a team in order to achieve specific goals and objectives within a certain time limit. SECTION 1 1 1.1 Background and principles of project management Background- The current project being chosen

PROJECT MANAGEMENT

Table of Contents
INTRODUCTION...........................................................................................................................4
SECTION 1......................................................................................................................................4
1.1 Background and principles of project management.............................................................4
Principles behind the project management system and procedures............................................5
SECTION 2......................................................................................................................................6
Project Planning .........................................................................................................................6
SECTION 3....................................................................................................................................16
Project Human Resources.........................................................................................................16
SECTION 4....................................................................................................................................19
Project Evaluation.....................................................................................................................19
CONCLUSION..............................................................................................................................20
REFERENCES..............................................................................................................................21

INTRODUCTION
Project management is a process of planning, executing, controlling and closing the
performance of a team in order to achieve specific goals and objectives within a certain time
limit. The main aim of project management is to achieve temporary and specific goal being set
up or allotted to the team. The organizations that will be used for the observation in the report is-
New World Development Company Limited, which is Hong Kong based company that deals in
the property, infrastructure and construction services of departmental stores and hotels.
Consisting its headquarters in Hong Kong, the company has the overall revenue of HK $59.6
billion and has 50000 employees working in it. The project being chosen in this report is the
construction of an extension part to an existing building. This report will highlight the
background and principles of project management and the principles behind project management
system and procedure. The report will also include a systematic project plan for building up a
project. The report will also include the roles and responsibilities of HR in project management
and evaluate the success and failure of the project being managed.
SECTION 1
1.1 Background and principles of project management
Background- The current project being chosen by New World Development company is an
extension of the existing building in order to make it more attractive and useful. The Project
being commissioned by New World Development is- The Avenue of Stars, one of the most
popular tourist attraction and destination in Hong Kong(Chu and Cheung, 2017).
Principles of project management-
The following are the principles of project management-
 Project Structure
 Definition Phase
 Clear goals
 Transparency of the project status
 Risk Recognition
 Manage Project Disturbances

Principles behind the project management system and procedures
 Project Structure- Project structure includes three components quality, resources and
time. The structure can be created by considering- Project goal, Project timeline and
order and Project Milestones. Project goal comprises fixing up the objective of the project
the goal stating that what has to be done(Parvaneh and El-Sayegh, 2016). Project timeline
refers to making of a flowchart that includes the start point, work packages and end point
in a single chart. Milestones of the project the steps and decisions to be taken for the
accomplishment of the project. New World Development Company mus follow the
perfect project structure in accordance to the components discussed in this principle.
 Definition Phase- It is a stage that defines the purpose and commitment of the project.
There are chances here that the project may go wrong as due to involvement of many
stakeholders. New World Development Company will have to define the project clearly
so that the team performs it efficiently(Lindhard and Larsen, 2016).
 Clear goals- The goals of the project must be kept clear so that there are no
complications in its accomplishment. The project manager is mainly responsible for the
achievement of the goals and they must be defined as according to SMART paradigm-
Specific, measurable, ambitious, realistic and time bound. New World Development
Company mus clearly fix its goals as in accordance to this principle fulfilment.
 Transparency of the project status- Here the project manager must provide the
complete overview and reports of the project at teach stage that will include costs,
timeline etc to the principle stakeholders. New World Development Company must have
the transparency and clarity as well as report all the aspects of the projects to its higher
authorities on timely basis(Campos and et.al., 2016).
 Risk Recognition- The project manager must evaluate and identify the risks regularly.
This will help the management team to carry on their tasks considering these risks. New
World Development Company should identify and forecast all the risk and solutions
related to its management in order to initiate uniformity in the project.
 Manage Project Disturbances- The project manager must be active enough in dealing
with the project risks and disturbances if there is no identification of it. This will make
the project to be accomplished in a prescribed time limit. New World Development

Company must be able to deal with the risks if they arise during the project
accomplishment so that it can be completed on time.
 Responsibility of the project manager- The project manager is responsible for
preparation of the project plan for his team and execute the same as well. The manager is
also responsible for securing the acceptance and approval of the plan form the project
sponsor and stakeholders(Willar, Trigunarsyah and Coffey, 2016).
SECTION 2
Project Planning
- Viability of the project
In context of the New World Development Company Limited (NWD), The methods
related to viability of the projects and developing the success and failure of the project resulting
in various factors which means that the values which they determined exceeds its cost which
they estimated for each projects. The values of the cost is affected by not investing in proper
projects or activities which the company used to expand their business or bringing new
technology or furniture in the exiting business (Aarseth and et.al., 2017). Viability depends upon
the factors such as changes in prices of raw material or demand of supplier increased or the
investment which is made by organisation increase their interest in returns. NWD company deals
with in hotels, property and hold various departmental stores. They focus on china land to
expand their hotels and their operational activities. In 2019, they came up with the different
project on commissioned bases which they named it as an avenue of stars which is the most
attractive waterfront destinations which is designed for the local and the travellers to enjoy that
place and also this is one of the best concept which is not designed before (Tong, Tak and Wong,
2015). In 2018 they also came up with the concept regarding the development of sports club
which bring more business and growth to them.
The success of the project of the NWD which they launched in 2019 results in providing
more growth and profits to the company. As this concept is never established before and they
are attracted with the local people and also the tourist which planned to visit that places. Through
this technique the variability of the projects is raised but due to bringing this project or approval
it results in facing various maintenance technique (Rowlinson, 2017). The failure of these

projects requires in brining new changes in the country and if they bring this attractive things that
it may results in facing lot of issuing in raising funds. The failure is that this proposal is already
raised before but due to less funds and no new technologies which is helpful for the companies to
raised this project results in suspension of these projects. On 31 January 2019 this project
reopens with the best strategy and also with different and innovative concept which is helpful for
the company to gain more profits (Tam and et.al., 2015). This is the more for the companies to
bring innovation in their business activity as it results in expansion of their business activities in
different operational work. With these innovations they can bring new extension of building In
their exiting places. As they can bring new concept with that extension which results in
managing more operational work and appointing more person to Handel such work.
- Preparing project plans and establishing the organisation
In order to create a project or pay commission in the same project, NWD company firstly
examined various factors and then take the proper initiative (Willar, Trigunarsyah and Coffey,
2016).

Task Mode Task Name Duration Start Finish Predecessors
Auto
Schedule
d
Market Research 29 days Wed 05-06-
19
Mon 15-07-
19
Auto
Schedule
d
Examining the demand
of the project 4 days Wed 05-06-
19
Mon 10-06-
19
Auto
Schedule
d
If the same concept is
establishes on not 3 days Tue 11-06-19 Thu 13-06-19 2
Auto
Schedule
d
The place this concept
was placed 5 days Fri 14-06-19 Thu 20-06-19 2,3
Auto
Schedule
d
placed to be attractive
and unique by nature and
views.
6 days Fri 14-06-19 Fri 21-06-19 3
Auto
Schedule
d
appoint a person
examining the facts
regarding the place.
7 days Fri 21-06-19 Mon 01-07-
19 4
Auto
Schedule
d
appoint an inspection to
examine that places 8 days Mon 24-06-
19
Wed 03-07-
19 4,5
Auto
Schedule
d
viewed that places is
not restricted by the
government.
9 days Mon 24-06-
19 Thu 04-07-19 5
Auto
Schedule
d
Proper documents are
placed if that areas is
finalised
10 days Tue 02-07-19 Mon 15-07-
19 6
Auto
Schedule
d
Length of the project
implemented 24 days Tue 16-07-19 Fri 16-08-19 1,6
Auto
Schedule
d
After finalising the
length of the concept is to
be implemented
12 days Tue 16-07-19 Wed 31-07-
19 7
Auto
Schedule
d
Carry that project in a
better way and not harm
natural view.
15 days Tue 16-07-19 Mon 05-08-
19 7,8
Auto
Schedule
d
The length of this
project is of 440 m 8 days Thu 01-08-19 Mon 12-08-
19 9,11
Auto
Schedule
d
The person inspected
prepare a report 9 days Tue 06-08-19 Fri 16-08-19 12
Auto Architect expenses 7 days Mon 19-08- Tue 27-08-19 10,11

Schedule
d 19
Auto
Schedule
d
Examining the lengths
and its cost, architect
prepare design and
infrastructure.
5 days Mon 19-08-
19 Fri 23-08-19 12
Auto
Schedule
d
Architect design place
according thought's and
reviews by the company
6 days Mon 19-08-
19
Mon 26-08-
19 12,13
Auto
Schedule
d
The cost of architect
depends upon the project 7 days Mon 19-08-
19 Tue 27-08-19 14
Auto
Schedule
d
Labour Costs 12 days Wed 28-08-
19 Thu 12-09-19 15,16
Auto
Schedule
d
Once the architect
design the structure, it is
to be constructed
9 days Wed 28-08-
19
Mon 09-09-
19 16,17
Auto
Schedule
d
Proper time is set by the
company regarding the
completion of the work
8 days Wed 28-08-
19 Fri 06-09-19 18
Auto
Schedule
d
The NWD spent HK$40
million regarding the
expenses which incurred
during the projects
2 days Mon 09-09-
19 Tue 10-09-19 21
Auto
Schedule
d
The other expenses set
upin context of equipment
and other machinery and
raw materials
3 days Tue 10-09-19 Thu 12-09-19 20
Auto
Schedule
d
Management team and
maintenance committees
appointed
6 days Fri 13-09-19 Fri 20-09-19 19
Auto
Schedule
d
agreement signed
between the parties and
the government is 20
years of commitment
4 days Fri 13-09-19 Wed 18-09-
19 21,22
Auto
Schedule
d
conduct complete
control and mange the
affair of the projects
5 days Fri 13-09-19 Thu 19-09-19 22
Auto
Schedule
d
Proper management
committees is appointed
to maintain and check or
inspect the working
6 days Fri 13-09-19 Fri 20-09-19 23
Auto establish management 2 days Thu 19-09-19 Fri 20-09-19 25

Schedule
d
team to Handel such
matters and take initiative
decision if any fraud
arises
Auto
Schedule
d
There duty of
maintenance cost are
provided timely
1 day Fri 20-09-19 Fri 20-09-19 25,26
Auto
Schedule
d
Expanding the existing
business 3 days Mon 23-09-
19
Wed 25-09-
19 24
Auto
Schedule
d
projects are providing
profits to the business 2 days Mon 23-09-
19 Tue 24-09-19 27,26
Auto
Schedule
d
New members are
appointed or previous
employees are shifted
3 days Mon 23-09-
19
Wed 25-09-
19 28,29
Auto
Schedule
d
The wages are to be set
according to the work and
dedication
1 day Thu 26-09-19 Thu 26-09-19 31,32,30
Gantt Chart:

Critical path analysis:
- Project scheduling, estimating and Cost Control techniques
Project scheduling is the concept by which, it is to be appointed to communicate with the
supervision which is handling such projects and know the details of the projects and tits
completing time. They are appointed by the company to supervise the project, help the labours to
solve their issue which they faced at any the time of committing such works and also guide the
contractor to work according to the norms which is fixed by them before entering into the
projects (Ho and Chuah, 2019). They also examine the factors regarding the utilization of
resources and raw material which is to be ordered by the supplier in the process of completing
that projects. With this strategy they can make the cost budgets, so that they can resolve the plan
if there is any stoppage in any process.
In relation to estimating and managing the cost control techniques, various factors are
required which is to be examined at the time of managing the cost control procedure in relation
to the projects (Batselier and Vanhoucke, 2017). The resources of the company are to be
managed according to expansion of the exiting building. They can not order the access resources
which results in wastages of the products and services and also the cost prices are higher if they
are not in used. They next step is to prepare the estimated budget which is helpful for the NWD
company to estimate the prices spent by the various department regarding their expansion
procedure. They have to make the budgets by concerning every operation department and their
activities which they carry to establish such procedure. With their cost estimation and managing
ratio, they can balance the working of the company and can achieve more targets within the
stipulated costs which they estimated (Turner, 2016).

- Methods used to measure the project performance
In case of projects related to extension of an existing building, various methods are to be
used to minutely examine the measure of project management as the Key performance indicator
in this case it is to be determined by evaluating the performance of every department and
verifying the strategy and technique which they are using to completed the task. In case of
extension, the performance of the management team if to examined regarding the report which
they prepared on estimated bases regarding the cost which is incurred while committing such
work and the resource which is to be utilized in such extension process (Bryson and Daniels,
2015). Certain norms and rules are assigned so that every company has to follow that rules while
at the time of extending their premises for various benefits which is not against the society. The
another important concept is regarding the planned value in measuring the project performance
as it is based on metric valued. Usually this planning is done with the team member of the NWD
company and then accordingly the plan is prepared which results in bringing success on the
projects and also accomplish the task for which their projects is to be initiated.
- Projects change control procedure
It involves changing the control on the projects by reviewing, examining and approving it
before implementing such procedure which is related to environmental, technological,
organisational and to end the user in their strategy. In projects related to extension of existing
building the factors which are to be avoided is related to taxes imposed by the government or
other external facilities regarding the resources or raw material which is used by the companies
in relation to expansion (Kerzner and Kerzner, 2017). The matters in related to organisation
regarding their internal employee and management team helps to change the overall objective of
the companies. Technical aspects is relating to the procedure or reports which is to made at the
time of implementing the planning strategies so that they can make and estimation the budgets.
End user resulting in implementing changes which is on demand of their employees. This theory
is used in extending the existing building by developed or changing the plan during the planning
process as if any things which is not suitable by the company at the time of extending can be
changes by taking certain corrective action regarding discussing with the contractors, taking
certain decisions regarding implied their thinking in that projects.

Illustration 1: Project Change Control Processes
Source: Project Changes Control Processes, 2019
- Elements involved in terminating projects and conduct a post- project appraisal
Project Appraisal is an important technique which is used to check the viability of the
projects in terms of comparing the other options, costs, economic and other factors so that they
can prepare the actual cost which is to be spend in the projects. In case of termination of the
projects it starts after the projects is completed (Rostami and et.al., 2015). The projects can be
terminated if the results arises that there planning is not appropriate which they estimated which
results in inaccuracy of results. In case of termination resulting in extinction, the projects can be
stopped in case of resulting in unsuccessful of the projects which resulting in facing losses to the
company regarding achieving that projects.
SECTION 3
Project Human Resources
- Project organisational structure and the participants chosen in the organisation
Organisational structure refers to the company which is to be set up properly to carry
various activities and also helps them to earn profits through their techniques. The project
chooses to regard the construction of an extension to an exiting building, in which the
organisational structure plays an important role in this procedure as relating to projects which is

adapted by the NWD company (Man, Chan and Wong, 2017). The participants are related to the
project manager which is appointed to handle all the work regarding the project's establishment
till the completion procedure. Project manager had to coordinate all their activities with their
staff regarding the utilization of resources or cost which is incurred while attempting that
projects and also the problems if any. It's their duty to face such problems and overcome the
issue, so that they provide a safe working environment. This is beneficial for the organisational
structure. Role and responsibility of the contractors is to prepare and contract the structure
according as per the given guidelines and within the stipulated time.
Illustration 2: Organizational Structure
Source: Organisational Structure Types of project managers, 2019
- Control and coordinate the projects
Projects is generally control and coordinated by proper planning and managing activities
which results in estimating the deal regarding the extension of the exiting building. To
coordinates or examining the controls in projects it is the duty of the management team to plan
various factors which can be raised while starting the procedure of extension of building for the
company profits. A project coordinator holds various role and responsibility regarding the size
which is used at the time of expanding, or the purpose as if it is necessary to expand that areas or
other things which is requires in the extension process (Sun and et.al., 2015). The duty of the
project coordinator Is to track the limitation of the contactors at the time of extending the exiting

business and the cost which they spend by ordering the resources. They are to be control which
results in saving the economic of the country.
Schedule Actual time taken Cost
Approval from the government
for extension
5 months $50,000
Select the design 2 months $80000
Appoint a person to prepare
the budgets
1 months $30,000
Appoint a contractor 1 month $1,25000
Shift the work place or routes
(labour cost)
1 month $30,000
If changes are made or
finalised
2 month $4000
Work completed with extra
charges
15 months $10,000
- Project Leadership requirements and qualities
To emphasis on having an appropriate project it requires the various leadership skills
which is used by the project managers of the NWD company to manage the new design studio
project. Leaders had to use the positive and motivational technique to treat their employees in
effective way so that they can make themselves comfortable in the projects and can bring new
ideas in their work. Leaders of the NWD company at the time of attaining the projects used in
communication skill to communicate with their team members and other staff so that they can
discuss and resolve various issue which can be arises at the time of committing with the projects
deal (Shen and et.al., 2015). The qualities which the leader should adapt in the projects is
regarding to communicating with the staff with the good vision so that they can explain the
proper usage regarding the project usage and also examine the facts regarding its extension. As
many issues arise in the employees mind regarding their expansion which can only be sort by
discussing and clearing their reviews by the leaders.

- Plan and specify human resources and requirements for a projects
Human resource management plays an important role in the company integrity and
standards they are planned, managed and controlled the employee and other management
activities of the companies. If the project is managed by the HR than they require various factors
to evaluate the project which is relating to meeting the need of the project through which the
project is initiated by the NWD company. They appoint such person who can manages the
project well and can resolve all the problems at the time of project is implementing (Willar,
Coffey and Trigunarsyah, 2015). They also verify or create the structure and background which
is to be followed by the managers of the project to attain the better results. Invest in various
method and technologies to get the accurate results and also various techniques are adopted to
enhance the working of the employees in the company so that they can also help other team
member to solve the matters individually. The major role which the HR had to play is regarding
the award and recognition of handling the projects in better manners. Thus, motivate the other
team member to work hard and bring new and innovate designs and creativity at the time of
committing such work. HR plans in relation to designings to select the best contract and examine
their backgrounds they are entering in the office premises. So proper verification is to be
conducted. They have to make a proper budgets regarding their working and also analyse their
work commitment timely. They have to finalise the design which provide good working
environment and also employees can use such place for carrying their work activities in more
authentic way.
Illustration 3: Human resource Plan
Source: Human resource Plan, 2019
SECTION 4
Project Evaluation
The projects are to be evaluated regarding their success and failure is regarding to the
quality of the work which is completed and approved by the project managers in the NWD

company which is based on Hong Kong and deal in property, departmental stores and hotels. As
they had their office in Hong Jong and they are listed on the Hong Kong stock exchanges. They
participated in many business activities and also deal in projects and investment and acted as an
investor in the company (Chu and Cheung, 2017). They decided to expand their business by
extending the business premises in their exiting business. The success and failure of their
projects is that it is based on the quality of the work committed. If the quality of the work is
suitable to the employees and the management team and also it is useful for the longer term than
it result in bringing more success sin the company. This results in attracting the more employees
towards their premises and also they can maintain the stability in the country with more profits.
The failure of the project management is relating to cost which is to spend more by the
project managers to assist the person or managing the funds. As in relation to expansion of
exiting building more resources are utilized if the company finances are not balances which
results in brining criss and can also lead to stop of the working as the cost of employees (Aarseth
and et.al., 2017). The labour cost are more demanding than the prices which they estimated
regarding the management of the company.
The another factors is regarding the performance which is initiated by the project manager at the
time of committing the work and how he tackle the situation to reduce the challenges and risk in
the business. The main point and the role of managers in the business is to mange the activity in
the best way so that they didn't harm the working of the employees and company and also
maintaining the reputation of the company for longer term (Tong, Tak and Wong, 2015). It
results in failure if they didn't work according to the norms imposed by the company which is to
be followed by the project managers.
CONCLUSION
From the above report it is concluded that project management helps the business in
achieving, creating and managing the affairs of the company regarding their products, services
and other results which brings profits to the company. In case of New World Development
company they expand their existing building for establishing more and different operational
department to handle more work. This company already deal in hotels, property and
departmental stores and due to such expansion they can more connect with the people and
employees and sole the matters on speedy bases. Employees are usually attracted with the work

premises if the company and existing employees get more motivated by getting the bigger space
to carry their work activities. In such cases the projects is useful for the companies and they also
enhance various activities by appointing the project managers to Handel the work and issue if
any which they face at the time of committing or examining the work. The projects are success if
they are of quality and less cost budgeting which results in saving the company resources and
also enhance the economy of the country in more appropriate structure.

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https://www.project-management-skills.com/organizational-structure-types.html>.
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