Effective Project Management Techniques

This assignment focuses on key aspects of effective project management. It emphasizes the importance of conducting thorough risk audits to identify potential challenges and improve planning strategies. Additionally, it highlights the value of assessing the current market landscape to understand customer needs and preferences, ultimately leading to better project outcomes. The document also stresses the significance of optimizing resource utilization to minimize shortages and ensure project success.

Project Planning

Table of Contents
INTRODUCTION...........................................................................................................................1
REASONS FOR RELOCATION OF BUSINESS..........................................................................1
SMART TARGETS.........................................................................................................................1
PROJECT PHASE...........................................................................................................................1
MARKET ANALYSIS....................................................................................................................2
SKILL DEVELOPMENT...............................................................................................................3
GANTT CHART.............................................................................................................................4
PROJECT PLANNING...................................................................................................................4
ESTIMATED COST OF THE PROJECT AND TOTAL BUDGET..............................................5
STAKEHOLDERS ANALYSIS.....................................................................................................6
COMMUNICATION CHANNEL..................................................................................................7
RISK ASSESSMENT......................................................................................................................8
REFERENCES..............................................................................................................................10

Table of figures
Figure 1Project Life cycle...............................................................................................................2
Figure 2Network Diagram...............................................................................................................6
Figure 3Gantt Chart.........................................................................................................................7

INTRODUCTION
Planning for the project is an important aspect as it helps in optimum utilization of the
available resources further helping in reducing the risk to the minimum. The project is to relocate
Starbucks at Krnington Park in UK. The project will help in discussing smart targets formed by
the manager for relocation of Starbucks. Gantt chart will also be prepared ensuring that the
project does not extend from the decided duration. In the end, analysis of stakeholders and
communication channel will also be established for better assessment and reporting purposes.
REASONS FOR RELOCATION OF BUSINESS
The main reason of relocating a business to different location is due to availability of
opportunities in that location. Starbucks, a renowned coffee chain is planning to relocate its store
in Krnington Park due to the new set of demand arising near that place. It has been estimated that
the company will be able to generate higher revenues in the comparison to its present location.
Another, reason for relocation of store is that the company is not able to cover up its working
capital with the existing profits generated in the present store and it is expected that the new
location will help in fulfilling the demand of profits of the entity in better way. Moreover, it has
been estimated that the costing of the enterprise will significantly fall and revenues will rise with
the shift (Hwang and Ng, 2013). Hence, it has been planned by all the members of the
organization to shift its location to Krnington Park.
SMART TARGETS
Based on the relocation decision of Starbucks to Krnington Park. Following smart targets
have been formulated by the project planners:
 To increase the revenue of Starbucks by 20%.
 To reduce the cost of Starbucks by 12.5%.
 To increase the number of customers at the coffee shop by 25%
 To invest 10% more in marketing activities with the aim to promote the new store of
Starbucks at Krnington Park.
PROJECT PHASE
There are basically four phases of project life cycle. These are:
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 Initiation: It is the first step to any project, as the strategy is prepared so that the project
can be made to reach at the desired results. A project manager is appointed at this phase
with the aim to effectively perform these functions. Planning: It is the planning phase of the project which includes detailed breakdown of
requirements from beginning to end. It also includes the phase of risk assessment and
management technique for successful completion of each task (Kaiser, Arbi and
Ahlemann, 2015). Execution: It is the execution phase of the project which helps in proper execution of the
activities which were formed in planning phase of the project. Closure: This is the last and final stage of project phase where written formal project
review report will be prepared by the project manager addressing all the aspects of
relocation of Starbucks.
Figure 1Project Life cycle
(Source: What is the Project Life Cycle?. 2016)
MARKET ANALYSIS
Starbucks is one of the most renowned coffee chain house in the world. It is considered as
premium retailer of variety of coffee and beverages both hot and cold inclusive of snacks and
sandwiches as well. It is currently functioning in 37 countries with more than 10000 coffee
shops.
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It has been assessed that there is high degree of competition in retail beverage segment
which can have strong impact on the profit margins of Starbucks. Based upon the macro factors,
PESTLE analysis can be performed on Starbucks in the following manner: Political: Globalization have been the major driving force where company need to frame
and alter its policies as per the prevailing political environment in the country. Starbucks
has been able to manage the diverse political environment in different countries and has
been able to take steps accordingly in various countries. Economic: Since, Starbucks is considered as a premium coffee house, increase in the
interest rates can affect the investment plan of the company (Kerzner, 2013). Social: It is important to understand the taste and preference of the customers and
encourage the stores in the country to opt for their menu that is best suited as per the
environment. Technological: Starbucks uses advanced technology for preparation of its menu in least
possible time. The stores are equipped with latest technology coffee machines to fulfil
the requirements of the customers. Legal: Different legislations are followed by the countries. Hence, Starbucks must be
aware of product and trade restrictions. Moreover, they make sure that no law is broken
and every norm is effectively followed. Environmental: There are various factors that are considered by Starbucks. It includes,
pollution, planning permission, waste disposal etc (Mir and Pinnington, 2014).
SKILL DEVELOPMENT
In order to establish a store in Krnington Park in UK, it is important to develop following
skills in the staff members. Some of the skill development techniques and requirements are
discussed as under:
 Experienced staff: It is important that the type of staff working in the store are effective
enough that can fulfil the requirements of the customers. They must be able to
understand the requirements by market research and convey it to the top-level
management for bringing change in the current set up of the store.
 Training and development: it is important that the staff is trained enough to serve the
needs of Krnington Park’s consumers. They must understand the language and culture in
appropriate manner so that the best can be delivered to the customers.
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GANTT CHART
Task
Mode Task Name Duration Start Finish Predecessors
Auto
Schedule
d
Starbucks 22 days 12/28/2017 1/26/2018
Auto
Schedule
d
Initiation phase 10 days 12/28/2017 1/10/2018
Auto
Scheduled
Ascertaining the
target goal for Starbucks 7 days 12/28/2017 1/5/2018
Auto
Scheduled
Ascertainment of
risk 2 days 12/28/2017 12/29/2017
Auto
Scheduled
Setting the
expectations of the
shareholders
5 days 12/28/2017 1/3/2018
Auto
Scheduled
Proper
documentation of
contracts and
agreements
3 days 1/8/2018 1/10/2018 3,4
Auto
Scheduled
Preparation of
communication plan 3 days 1/1/2018 1/3/2018 4
Auto
Schedule
d
Planning phase 18 days 12/28/2017 1/22/2018
Auto
Scheduled
Planning for
operations 10 days 1/4/2018 1/17/2018 5
Auto
Scheduled
Identification of
resource requirements 5 days 12/28/2017 1/3/2018
Auto
Scheduled
Planning and
managing risks 3 days 1/18/2018 1/22/2018 9
Auto
Scheduled Decision of structure 7 days 12/28/2017 1/5/2018
Auto
Schedule
d
Execution and
controlling phase 22 days 12/28/2017 1/26/2018
Auto
Scheduled Collecting funds 7 days 1/18/2018 1/26/2018 9
Auto
Scheduled
Hiring of expertise
team 6 days 1/4/2018 1/11/2018 10
Auto
Scheduled
Relocating the store
with all the material and
2 days 1/11/2018 1/12/2018 6
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equipment
Auto
Scheduled
Continuous
monitoring or work 5 days 1/4/2018 1/10/2018 5
Auto
Scheduled Regular reporting 3 days 1/1/2018 1/3/2018 4
Auto
Scheduled Conducting meetings 1 day 12/28/2017 12/28/2017
Auto
Scheduled Analysis of risks 1 day 1/11/2018 1/11/2018 17
Auto
Scheduled
Examination of the
progress by comparing
the performance with the
targets
2 days 1/11/2018 1/12/2018 17
Auto
Scheduled Altering the plan 2 days 1/4/2018 1/5/2018 18
Auto
Schedule
d
Closure phase 19 days 12/28/2017 1/23/2018
Auto
Scheduled Contract closure 5 days 1/15/2018 1/19/2018 21
Auto
Scheduled
Completion of all the
contractual agreements 6 days 12/28/2017 1/4/2018
Auto
Scheduled
Post-project
appraisal and review 2 days 1/22/2018 1/23/2018 24
Auto
Scheduled
Submission of final
report to the manager 1 day 1/5/2018 1/5/2018 25
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Figure 2Network Diagram
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Figure 3Gantt Chart
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PROJECT PLANNING
Resource requirements:
 Location
 Land and building
 Infrastructure
 Interior designing
 Adequate amount of funds
 Experienced staff members
Cost: The total cost required so as to meet all the specified requirements of the project is
36000. The cost includes requirements of all the tangible resources for the project of relocating
Starbucks store (Pemsel and Wiewiora, 2013).
Duration: Total estimated duration so that all the important aspects of the project is covered
required approximately 88 days.
Roles and responsibilities:
Tasks Responsible person Roles and responsibilities
Introduction Thelma The responsibility of Thelma
is to understand the variables
that are responsible for store
relocation. Moreover, the role
will cover to assess the
requirement for Starbucks to
change its location.
Smart targets Melania The mail goal of Melania is
to prepare smart targets. The
member will then be
responsible to achieve it for
newly located store. To
perform this task, Melania
will require to analyse the
market and reach to prudent
targets for Starbucks.
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Scheduling tools Cristina Cristina is responsible to
analyse the market trend,
based on which decision will
be taken by the top-level
management. Moreover, she
is also responsible for assess
the requirements of skill
development.
Shareholders analysis and
assessment of communication
channel
Daniel The responsibility of Daniel
is to analyse who are the
stakeholders of Starbucks.
Moreover, he is also
responsible for establishing
communication channel for
the new store as well.
Risk Assessment Florina Florina is responsible for
assessing the risk and
ascertaining that how it can
be reduced to minimum for
the present project of
Starbucks.
ESTIMATED COST OF THE PROJECT AND TOTAL BUDGET
Budget helps in measuring the requirements of funds and assess how much monetary funds
will be incurred so that all the necessity of the store can be fulfilled. It is the framework of
finance which helps in designing and developing new store of Starbucks that will be located at
Krnington Park in UK.
Particulars
Amoun
t
Purchase of land and
building 12000
Interior designing 3000
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Collection of raw material 6000
Purchase of modernized
equipment 4500
Purchase of furniture 2500
Human resource salary 8000
Miscellaneous expenses 1000
Total 37000
Objectives:
 To complete the project of relocating Starbucks in stipulated time period
 To complete the project effectively within 37000which includes all the cost of purchase
of land and building, interior designing, purchase of furniture, human resource salary,
purchase of modernized equipment etc.
 To maintain adequate amount of care while shifting the location from one another as
some of the important things can itself be utilized in the new store as well (Serra and
Kunc, 2015).
 To monitor various functions of management and ensure that all the resources purchased
for the project are optimally utilised
 To monitor the activities performed and ensure that the objectives of the project is
fulfilled.
STAKEHOLDERS ANALYSIS
The present project is regarding relocation of store at Krnington Park in UK. There are
various shareholders who will have direct impact of functioning of this project. Some of the
shareholders includes the following:
 Employees: The highest impact of relocation will be borne by the employees. It can be
difficult for them to commute and reach to the new store as a part of their job. There are
two options that are available in front of project manager (Anderson, Buchko and
Buchko, 2016). Either lay off existing employees and higher newer and more
experienced people with expertise in their work or shift the existing staff from the old
store to the new one. In the first option, it can increase the costing of recruitment for the
company. However, in the send option presented for the same requires special
arrangements for commutation for the employees.
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 Customers: These are the end users of the products that are extended by Starbucks. It is
important to assess the taste and preferences of the customers so that the best can be
delivered to them. In that case, it is important for the project manager to analyze the taste
and preference of the customers which can help in better availability of then products. In
this manner Starbucks will be able to generate higher revenues and profits in comparison
to the old store. Investors: The investor tend to invest in the project that can help them in recovering the
cost being initiated in the project. Hence, it is important that the project in which they
are investing is profitable enough (Bronnenmayer, Wirtz and Göttel, 2016). Hence, the
investors are required to be updated with every bit of the information and proceedings in
case of development of the project being formulated for Starbucks.
COMMUNICATION CHANNEL
Method of
communicatio
n
Target Channel of
communicatio
n
Time Stakeholder
s
Deliverable
s
Kick-off
meetings
To discuss the
plan of the
project, scope
and other
targeting
strategies
Meeting in the
conference hall
Once per
fortnight
Project
manager
Agenda
Conduction of
team meetings
It helps in
examining the
progress at
work and assist
in taking
remedial
measures for
the project.
Conducting in
the form of
meeting at the
conference hall
Once in a
week
All the
members of
projects
team
Project
scheduling
Minutes of
the meeting
Agenda
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Meeting on
interior
designing
Examination
and revision of
the interior
design framed
so that
everything can
be rightly
placed in the
store
Face to face
meeting
Asper the
requirement
s
Interior
designer
Contractor
Project
manager
Meeting
minutes
Agenda
Project status
report
The main aim
is to
communicate
regarding the
performance of
the project to
the project
manager.
E mails
Video
Conferencing
Every
month
All the
members of
project team
are invited
for the same
Project
schedules
Working
reports
RISK ASSESSMENT
There are various types of risks that are directly associated with the project of relocation.
However, appropriate techniques used by the project manager can help in managing and
controlling the involved risks to an extent. In the present project, the main focus of the project
manager in to shift Starbucks to a new location, that is, at Krnington Park in UK. Since, it is a
new location and implementation of a project is not easy. Some of the common risks that are
involved in the project are as follows:
 Loss of customers: It is obvious that with the shift in location, the store will not be able to
retain its old loyal customers. Even the company also get to involved in new marketing and
advertising techniques as it may not prove to be beneficial in case of people who are residing
at the new location (Walger, Roglio and Abib, 2016).
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 Difficulties in staff recruitment: All the staff members may not be ready to work on the new
location. Hence, it requires a new recruitment drive for selection of experienced and
expertise staff members. It can add up to the cost of the entity.
 Unacceptance of customers at the new location: The main objective of shifting the outlet
from one location to another is due to inadequate revenues and profits to the company. If the
company is not accepted at the new location then it can lead to a problematic situation for
Starbucks
 Lack of resources: it is another important aspect where unavailability of adequate amount of
resources can hinder the functions of the project.
 Quality: if the employees are not expertise in their work, it can affect the quality of the
deliverables that is ultimately delivered to the end consumer (Eriksson and Ingelsson, 2016).
Monitoring techniques
The above risks can be managed by the project manager in the following manner: Tracing identified risks: Tracing and tracking the risk can help in formation of better plan
and executing it so that the impact of risk on the project can be reduced to minimum. Risk Audits: Examining risk so that the planning techniques of the project can be adequately
improved by the project manager. Assessment of current market: researching about the market can help in better assessment of
the risk and opt for options that can ultimately help in delivering the best to the customers.
Further, it can also help in ascertaining the taste and preferences of the customers
(Aregbeshola, 2016). Optimum utilization of resources: it is important that the resources that has been selected for
the project are optimally utilised so that the scenario of unavailability of resources can be
reduced to the minimum.
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REFERENCES
Books and journals
Anderson, E., Buchko, A. A. and Buchko, J. K., 2016. Giving negative feedback to Millennials:
how can managers criticize the "most praised" generation. Management Research
Review. 39(6).
Aregbeshola, A. R., 2016. The role of local financial market on economic growth – a sample of
three African economic groupings. African Journal of Economic and Management
Studies. 7(2).
Bronnenmayer, M., Wirtz, B. and Göttel, V., 2016. Determinants of Perceived Success in
Management Consulting - An empirical investigation from the consultant perspective.
Management Research Review. 39(6).
Eriksson, M. and Ingelsson, P., 2016. Building an organizational culture when delivering
commercial experiences- the leaders' perspective. International Journal of Quality and
Service Sciences. 8(2).
Hwang, B. G. and Ng, W. J., 2013. Project management knowledge and skills for green
construction: Overcoming challenges. International Journal of Project
Management. 31(2). pp.272-284.
Kaiser, M. G., El Arbi, F. and Ahlemann, F., 2015. Successful project portfolio management
beyond project selection techniques: Understanding the role of structural
alignment. International Journal of Project Management. 33(1). pp.126-139.
Kerzner, H., 2013. Project management: a systems approach to planning, scheduling, and
controlling. John Wiley & Sons.
Mir, F. A. and Pinnington, A. H., 2014. Exploring the value of project management: linking
project management performance and project success. International journal of project
management. 32(2). pp.202-217.
Pemsel, S. and Wiewiora, A., 2013. Project management office a knowledge broker in project-
based organisations. International Journal of Project Management. 31(1). pp.31-42.
Serra, C. E. M. and Kunc, M., 2015. Benefits realisation management and its influence on
project success and on the execution of business strategies. International Journal of
Project Management. 33(1). pp.53-66.
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Walger, C., Roglio, D. D. K, and Abib, G., 2016. HR managers’ decision-making processes: a
“reflective practice” analysis. Management Research Review. 39(6).
Online
What is the Project Life Cycle?. 2016. [Online]. Available through <
https://www.mavenlink.com/resources/what-is-the-professional-services-project-life-
cycle>.
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