Business Administration

Business Administration INTRODUCTION 1 1.1 Cost benefit analysis for project 1 1.2 Use of risk analysis techniques 1 1.3 Project planning and management tools or techniques 2 1.4 Impact of changes to project scope, schedule, finance, risk, quality and resources 2 1.5 Requirements of project governance arrangements 3 2.1 How project fits with an organization overall vision, objectives, plans and programmes of work 3 2.2 Agree the objectives and scope of proposed projects with stakeholders 3 2.3 Interdependencies and potential risks within project 4 2.4 Project plan with SMART

Business
Administration
INTRODUCTION...........................................................................................................................1
1.1 Cost benefit analysis for project............................................................................................1
1.2 Use of risk analysis techniques.............................................................................................1
1.3 Project planning and management tools or techniques.........................................................2
1.4 Impact of changes to project scope, schedule, finance, risk, quality and resources.............2
1.5 Requirements of project governance arrangements..............................................................3
2.1 How project fits with an organization overall vision, objectives, plans and programmes of
work............................................................................................................................................3
2.2 Agree the objectives and scope of proposed projects with stakeholders..............................3
2.3 Interdependencies and potential risks within project............................................................4
2.4 Project plan with SMART objectives, KPI and evaluations mechanisms appropriate for
plan..............................................................................................................................................4
2.5 Proportionate and targeted plans for managing identified risks and contingencies..............4
2.6 Project lifecycle approaches to progress of project...............................................................5
3.1 Allocation of resources.........................................................................................................5
3.2 Project team members on their roles and responsibilities.....................................................5
3.3 Implement plans with agreed budgets and timescales..........................................................6
3.4 Requirements of plans to those who will be affected...........................................................6

3.5 Revised plans for changing circumstances in accordance with project objectives and
identified risks.............................................................................................................................6
3.6 Keep stakeholders up to date with developments and problems...........................................6
3.7 Close out actions in accordance with project plans..............................................................7
3.8 Organizational policies and procedures, legal and ethical requirements while managing
project..........................................................................................................................................7
4.1 Periodic reviews of progress and effectiveness of project using information from range of
sources.........................................................................................................................................7
4.2 Effectiveness of capturing and managing project related knowledge...................................8
4.3 Effectiveness of plans...........................................................................................................8
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................8

INTRODUCTION
Business administration is a very broad field which covers various types of management
positions in order to attain set targets or goals in a defined time frame. It covers all the related
aspects of overseeing and supervising organizational operations as well as associated fields that
includes; accounting, finance and marketing (Hakansson, 2015). ALDI is a most successful
organization in retail sector by coming up with creative products and services in order to
generate maximum range of revenue. Therefore, this entire project is going to explain the way of
administrating business with the help of cost benefit analysis by the use of various risk analysis
techniques. Along with this, outlined influence of changes on the elements of several project
management plan and explain requirements of project governance arrangements. Thus, main
objective of this report is to cover all the elements of implementing various projects in order to
accomplish necessary activities in proper manner.
1.1 Cost benefit analysis for project
Cost benefit assessment is used by an organization for evaluating expense versus
advantages in the project proposal. However, there is always a list of project expense and what
are the benefits after successfully implementation of assignment. By the help of this, an
organization get succeeded in calculating higher return on investment, internal rate of return, net
present value and payback period. Thus, main purpose of cost benefit analysis in management of
project is to have an appropriate approach for figuring out the pluses and minuses of several
paths in entire assignment which includes such as; transactions, tasks, need of an organization
and investments. Hence, cost benefit analysis helps in providing best options as well as offers
suitable framework to the company for attaining set targets while saving on investment
(Hesselbarth and Schaltegger, 2014).
1.2 Use of risk analysis techniques
ALDI is having a very broad network due to which company is fully surrounded with
various types of risk and uncertainty such as; change in consumer taste, emergence of competitor
strategy and many more. Therefore, company have to used various appropriate tools and
techniques for identifying certain risk in business. Risk evaluation is an appropriate procedure
for determining the importance of uncertainty. Basically, there are two types of method such as;
qualitative risk analysis and quantitative method. For example; quantitative tool is a numerical
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method which is used by an organization for analysing financial situations of an enterprise in
order to determine the level of profit and loss. In order to perform proper evaluation of risk an
organization needs to go through an appropriate steps which is described as follows-
 Step 1- Consider organization attitude towards risks:- It means, it is essential to properly
understood the stakeholders risk tolerance behaviour, threshold of company, appetite and
so on. However, an association might risk-averse, risk-neutral or risk-seeking.
 Step 2:- Assess risk- Analysis of risk needs to be carried in collaborative setting
wherever teammates can easily gathered for determining the probability and its impact on
company. This will offer by prioritizing risks for determining that which needs to be
addressed and in what order (Toth and Vigo, 2014).
 Step 3- Determine a risk response strategy:- Overall exercise of risk assessment
culminates in identifying strategy which will help an association in responding towards
risk accordingly. For example; negative risk of an enterprise can handled in three distinct
way such as; either by transferring, avoiding and acceptance.
1.3 Project planning and management tools or techniques
Project planning and use of various management tools or techniques are most
indispensable for the success of an organization because these things helps an enterprise in
attaining set targets by accomplishing business operations in better manner. However, planning
aids an enterprise in directing towards corrective path by assigning suitable jobs to desired
employees. Along with this, management tools or techniques are useful for staff members while
accomplishing several business activities in minimum time period. For example; excel sheet is
used by management team for preserving the details of overall staff members. Therefore, it is
indispensable for an enterprise to design an effective plan with the help of management tools and
techniques in order to minimize probabilities of mistakes and errors (Barras, Scaillet and
Wermers, 2010).
1.4 Impact of changes to project scope, schedule, finance, risk, quality and resources
Changes are very much significant for company success because it helps an association to
cope up with current trends as well as get succeeded in fulfilling the fresh demand of large
number of consumers. In fact, ALDI is dealing in designing creative dresses for consumers and
come up with unique grocery items for satisfying consumer needs and demands. Along with this,
number of changes is coming at marketplace such as; political bodies have modified their current
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norms, rules and regulations in order to reduce probabilities of fraudulent activities from buyer
and sellers. Thus, an organization needs to modify their project scope, their project schedule,
required maximum amount of funds for dealing with current change, requisite to focus on quality
of product for offering qualitative products and services. In fact, modification in project scope is
essential for success of an enterprise in order to deal with high competition which incurred at
marketplace due to the emergence of large number of rivalries (Ackermann, 2012).
1.5 Requirements of project governance arrangements
ALDI is dealing across the nation and involved in various large projects in order to gain
maximum benefits by satisfying customer’s needs. Therefore, it is essential to govern and
regulate all the arrangements of project in better manner for handling each and activity of
business. Basically, various staff members are engaged in specific project of ALDI such as;
production manager, management team, workers, leaders, marketing team and so on. All these
members are very much indispensable for proper governance of each and every arrangements or
activity that might incurred while attaining set goals.
2.1 How project fits with an organization overall vision, objectives, plans and programmes of
work
Each and every plan is designed by considering vision, objectives, plans and programmes
of work in an organization in order to direct staff members towards corrective path. However,
vision of an enterprise assist each and every member that what work they need to perform first
and in what manner. Basically, fitness of project is identified with the help of its estimated result
whether the set target will achieve in a defined time frame or not. Along with this, company can
also analyse the fitness by setting short term mission for each and every employees that were
involved in accomplishing specific business activity of project (Hsee and Zhang, 2010).
2.2 Agree the objectives and scope of proposed projects with stakeholders
It is very much significant for an organization to set the objectives of proposed project in
such a way so that each and every stakeholder must agree on that. Basically, consent of every
member is required for coming at final decision while setting certain organizational objectives.
However, decision of stakeholders are also very much indispensable while understanding the
scope for company because these members are also plays a very crucial role in development of
project. Mainly, stakeholders support business via financially which is consider as most
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necessary part for success of any project. Therefore, it is essential to involve stakeholders of
ALDI while setting their project objectives and scope.
2.3 Interdependencies and potential risks within project
Each and every factor are interlinked with each other while working in a team for
attaining similar goal of project. In fact, every member are interdependent upon each other such
as; management team is depend upon performance of employees and these staff are depend upon
higher team for guiding them towards corrective path. Thus, this shows that every member
interdepends and responsible for identifying potential risks within project. Along with this,
liable for handling the uncertainty which incurred at workplace while managing large project of
ALDI. For example; assessment of competitor strategy by marketing team with the help of
several promotional methods is one of the best approaches that is used by company for
understanding level of competition at marketplace (Berk, Stanton and Zechner, 2010).
2.4 Project plan with SMART objectives, KPI and evaluations mechanisms appropriate for plan
An effective and appropriate plan must have SMART objectives, KPI for analysing the
performance of employees and suitable mechanism for assessing usefulness of plan.
SMART Objectives- ALDI wants to increase their sales performance by 10% in coming
6 months for improving organizational position at international platform. On the other hand, key
performance indicators is one of best useful approach which is used by company for analysing
current performance of staff members in order to understand the need of training and
development programmes. Hence, all the mechanism is very much useful for appropriate plan
because SMART objectives aids member of project to assist towards corrective path whereas key
performance indicators helps in analysing their current performance.
2.5 Proportionate and targeted plans for managing identified risks and contingencies
Management team have number of options and approaches for managing identified risks
in suitable manner. Basically, contingency and systematic framework is really indispensable and
beneficial for success of an organization because it helps in controlling all the situations in better
way. In fact, systematic approach aids an enterprise in managing all the things by following
organizational policies, norms, rules and regulations. As a result, this will help in maintaining a
peaceful environment at workplace as well as reduce the probabilities of conflicting situations
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because all the members are liable for following organizational policies (Cooke and Alcadipani,
2015).
2.6 Project lifecycle approaches to progress of project
Project life cycle framework is used by an organization for understanding each and every
step of project in order to develop it in better manner. Basically, project life cycle covers various
stages of project which is discussed as follows-
 Introduction- Initially, an organization is going to introduce the project by expressing
things in front of employees.
 Growth- Now, project is in developing phase as all of them are working in corrective
manner.
 Maturity stage- In this phase, project is on maturity phase which means at the peak of
development.
 Decline- At last, project might get decline and loss the profit because already know by
entire market and customers.
3.1 Allocation of resources
ALDI is having a large network and distinct branches across distinct places due to which
company have to consider necessary elements before allocating resources to desired consumers.
Basically, resources are very much essential for attaining set targets due to which management
team is liable for allocating required resource as per department need. For example, raw
materials are allocated to production team of an organization for designing creative products for
end users. Digital technology and equipment’s are install for marketing team so that they can
promote organizational goods or services across global platform with the help of modern
methods. This means, resources are allocated to various members of project as per their
requirement in development of whole plan (Bounfour and Edvinsson, 2012).
3.2 Project team members on their roles and responsibilities
Each and every member are having their separate roles and responsibilities within success
of project as per their skills or eligibility. For example; marketing manager is responsible for
promoting newly launched product across different market in order to seek the attention of
various end users. On the other hand, HR team is liable for hiring skilled or qualified employees
for filling the vacant position of an organization in order to perform assigned job in project team.
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Along with this, recruitment department have to appoint best employee for some certain duties
such as; experience leader for handling entire staff members by motivating them towards their
professional objectives (Blackburn, 2011).
3.3 Implement plans with agreed budgets and timescales
ALDI have designed their plan of improving their sales performance by expanding their
business into several new regions. Basically, budget of an organization for this project is around
5000GBP and wanted to attain their set objectives in coming 6-8 months. All the activities needs
to complete in defined time frame in a given budget by considering necessary facts or figures .
3.4 Requirements of plans to those who will be affected
An effective interaction to those people who are going to influence by implemented plan
is indispensable for understanding their viewpoints and perceptive towards specific project.
Along with this, communication aids in convincing them towards assignment which is beneficial
for success of an organization. In fact, it aids in clearing all the doubts, errors and mistake at
initial level by having a healthy conversation with several members whose get influenced by the
plan. For example; acquiring viewpoint of consumers before designing any new product aids an
association while producing final goods as per their choice or preferences in order to establish
positive relations with them (Kiyotaki, Michaelides and Nikolov, 2011).
3.5 Revised plans for changing circumstances in accordance with project objectives and
identified risks
External factors and internal elements always fluctuates due to changes in situation such
as; there might be emergence of competitor, new product launched, change in trend, modification
in legitimate provision related with business and many more. Therefore, by considering all these
changes an association have to modify current plan by adding more skilled employees for certain
situation. For example; consumer of high income are coming at store due to which an
organization have to change their normal sales executive from more talented in order to handle
highly educated end users (Escribano, Ignacio Peña and Villaplana, 2011).
3.6 Keep stakeholders up to date with developments and problems
Stakeholders are playing very crucial role in success of plan because these members have
invested their money and shares in project. In fact, each and every member has their specific
roles and responsibilities towards organization. Therefore, it is essential to update them with new
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enhancement in project as well as if there any occurrence of problems in order to acquire any
suggestion from them as they are also major part of plan. In fact, up to date connection with
stakeholders helps an association in maintaining their positive image at marketplace which is
beneficial for the success of company.
3.7 Close out actions in accordance with project plans
In order to close out the project, an organization needs to analyse the entire steps and
activities which have been accomplished by employees. In fact, assessment aids in identifying
hidden errors and mistakes so that it will control at initial stage. Along with this, some of the
major actions which needs to accomplished is that; auditing, collaborative meeting, conference
with team mates, analysis of result, comparison between projected result and actual. This will
help in controlling probabilities of major mistake at prior stage (Berdish and Seeman, 2010).
3.8 Organizational policies and procedures, legal and ethical requirements while managing
project
Policies, procedures, legal and ethical requirements are very significant at workplace
while managing entire project because these things control each and every member of
assignment from committing any mistake. In fact, protects members from wrongful conducts
such as; discrimination amongst employees while performing business activities. Along with
this, organizational policies and procedures maintain peaceful environment at workplace by
providing equal opportunity to each and every member of an association. As a result, reduce the
probabilities of conflicting situations amongst overall staff and each or every member will
respect each other while performing their job role. On the other hand, legitimate and ethical
factors clear all the terms and conditions on paper which aids in maintaining professional
relations in between owner of business with various stakeholders. This will be beneficial for
future connectivity with shareholders and continue the relations for long term.
4.1 Periodic reviews of progress and effectiveness of project using information from range of
sources
Choice of consumer, market trends, competitor strategy and many other factors fluctuates
due to change in other elements. Therefore, it is essential for an organization to review the
progress of plan and its effectiveness by analysing the things in defined time frame by acquiring
information from distinct sources. For example; with the help of social media company get
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aware about the current change or taste required by end users. Along with this, legal policies also
encourage an enterprise to change their way of running association. Moreover, company might
need to acquire any additional document for running specific business on certain region. All
these things need to be changed in periodic review by accumulating data and information from
various sources (Miranda, Gramani and Andrade, 2012).
4.2 Effectiveness of capturing and managing project related knowledge
ALDI is successful business in retail sector due to which company have to accumulate all
the necessary data and information about management of project in much better manner in order
to maintained positive goodwill of an association at marketplace. In fact, management of project
requisite advanced technology for accomplishing all the business operations in better manner.
However, modern tools helps employees to understand each and every aspects in minimum time
frame as well as complete things in very less time. For example; store confidential information
from getting destroyed. Apart from this, acquiring information about consumer choice aids an
enterprise while designing final product for end users.
4.3 Effectiveness of plans
An effective plan covers all the necessary elements, facts or figures as well as gone through an
appropriate stage in order to minimize the probabilities of mistakes and issues. However, an
effective plan of ALDI covers all the things which is requisite to attain set targets in a defined
time frame. For example; appointing of skilled employees, proper management, make available
necessary resources, proper scheduled, direct staff towards corrective path and many more.
Hence, entire plan have gone through several process for attaining SMART objectives of project.
CONCLUSION
From the above report, it has been summarized that management of project is gone
through several stages and phases for controlling probabilities of mistakes. In fact, it is essential
to hire skilled employees for managing entire procedure in better manner for attaining set targets
in a minimum time frame. Throughout the analysis, it has been understood objectives of project
needs to be SMART for attaining it in particular time by satisfying needs of desired consumers.
Hence, main objective of this assignment is to gain competitive advantage by fulfilling the needs
of end users.
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REFERENCES
Books and Journals
Hakansson, H., 2015. Industrial Technological Development (Routledge Revivals): A Network
Approach. Routledge.
Hesselbarth, C. and Schaltegger, S., 2014. Educating change agents for sustainability–learnings
from the first sustainability management master of business administration. Journal of
cleaner production, 62, pp.24-36.
Toth, P. and Vigo, D. eds., 2014. Vehicle routing: problems, methods, and applications. Society
for Industrial and Applied Mathematics.
Barras, L., Scaillet, O. and Wermers, R., 2010. False discoveries in mutual fund performance:
Measuring luck in estimated alphas. The journal of finance, 65(1), pp.179-216.
Ackermann, S. ed., 2012. Are small firms important? Their role and impact. Springer Science &
Business Media.
Hsee, C.K. and Zhang, J., 2010. General evaluability theory. Perspectives on Psychological
Science, 5(4), pp.343-355.
Berk, J.B., Stanton, R. and Zechner, J., 2010. Human capital, bankruptcy, and capital
structure. The Journal of Finance, 65(3), pp.891-926.
Cooke, B. and Alcadipani, R., 2015. Toward a global history of management education: The case
of the Ford Foundation and the São Paulo School of Business Administration,
Brazil. Academy of Management Learning & Education, 14(4), pp.482-499.
Bounfour, A. and Edvinsson, L., 2012. Intellectual capital for communities. Routledge.
Blackburn, G., 2011. Which Master of Business Administration (MBA)? Factors influencing
prospective students' choice of MBA programme–an empirical study. Journal of Higher
Education Policy and Management, 33(5), pp.473-483.
Kiyotaki, N., Michaelides, A. and Nikolov, K., 2011. Winners and losers in housing
markets. Journal of Money, Credit and Banking, 43(2‐3), pp.255-296.
Escribano, A., Ignacio Peña, J. and Villaplana, P., 2011. Modelling electricity prices:
International evidence. Oxford bulletin of economics and statistics, 73(5), pp.622-650.
Berdish, L. and Seeman, C., 2010. A reference-intensive embedded librarian program: Kresge
Business Administration Library's program to support action-based learning at the Ross
School of Business. Public services quarterly, 6(2-3), pp.208-224.
Miranda, R., Gramani, M.C. and Andrade, E., 2012. Technical efficiency of business
administration courses: a simultaneous analysis using DEA and SFA. International
Transactions in Operational Research, 19(6), pp.847-862.
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