Project Scheduling, Budgeting, and Risk Analysis: Advanced Engineering

This report, focusing on Advanced Engineering's project to develop a new avionics system, addresses potential project risks, mitigation strategies, and necessary company policies and procedures. It identifies risks such as activity completion delays, cost management issues, change management challenges, stakeholder conflicts, under-communication, and demotivated employees. To mitigate these risks, the report suggests proper planning, employee training, conveying information to stakeholders, promoting healthy interaction, and frequent monitoring. Furthermore, it outlines policies and procedures including defining roles and responsibilities, implementing reward systems, clarifying goals and objectives, and strictly adhering to rules and regulations to minimize risk and ensure project success. The report emphasizes the importance of effective planning, skilled employees, and proactive risk management for successful project outcomes.

Project Scheduling
and
Budgeting

Contents
INTRODUCTION...........................................................................................................................1
1. Potential risk that can affect the duration of individual activities...........................................1
2. Ways to mitigate risk within the project..................................................................................2
3. Policies and procedures that company should put in place to reduce the possibility of the
risks occurring and to deal effectively with them........................................................................3
CONCLSUION................................................................................................................................3
REFERENCES................................................................................................................................5

INTRODUCTION
In order to develop a project, it is requires to have proper planning to be made so that all
the activities that are set can be attained within speculated time period. When planning is not
done effectively, then it the total time that is determined may not be completed ( Kerzner, 2013).
As per the present case given, Advanced Engineering is a firm that is focused on developing and
designing electronic systems. They are planning to develop new avionics system for new
generation of aircraft. This report covers the potential risk that can occur in the project. Further,
it includes the ways with the help of which risk could be mitigated. Lastly, it also includes
policies and procedures that company should put in place for reducing the possibility of risk.
1. Potential risk that can affect the duration of individual activities
There are different types of risk that can be faced in the process of project attainment. In
this context, below given are the risks that can be faced by Advanced Engineering:
Completion of activities: There are various set of activities that has to be completed
within speculated time period. When any of the activities are not completed, then it creates issue
for the project (Tate, 2017). When the time in which the activities had to be completed is not
fulfilled, then following tasks will also get delayed.
Cost management: Further, it consists of cost that is incurred for the activities. It is
important that there are proper plan developed so that the project can be completed. When there
are insufficient costs available, then it affects the project in negative manner and this is a type of
risk that can be faced.
Change management: When the project is carried out, there are certain changes that are
made by the project manager in order to make the project more effective. People carry various
type of perception and there may be individuals who may not be able to accept the changes.
Stakeholder Conflict : There are conditions in which stakeholders may not agree with
others. In such conditions conflicts can occur when there is not proper coordination among
stakeholders (Chen, Liang and Leung, 2017). When conflict situation arise, then it becomes
difficult for the business to make proper analysis and to perform the roles in effective manner.
Under communication: There are many people who are involved in development of the
project. It is important to make sure that they all the employees have healthy interaction with
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each other so that there are no confusions raised among each other. Due to under
communication, it increases the risk to mismanagement and confusion.
Low motivated employees: Different workers are divided with certain set of roles and
responsibilities. When they are demotivated, then they fail to perform their set of roles in
effective manner (Bzdyra, Banaszak and Bocewicz, 2015). Motivated workers are able to put on
their full efforts towards the given task.
2. Ways to mitigate risk within the project
In order to overcome the risk, there are different types of strategies that can be applied by
the project manager of Advanced Engineering. In this context, below given are some of the
ways:
Proper planning: It is important that there are proper planning make in which the first
step that should be considered is in relation with total cost that will be incurred. Then activities
need to be planned in such a way that within the speculated finance available all the activities are
completed (Landry, 2017). Further, the time should be scheduled properly so that the activities
may not get delayed.
Training to employees: When workers are trained, then all the employees are confident
about the type of roles and responsibilities that has to be played by them. However, it is
important for the management to have proper understanding of the skills and capabilities that
each of the worker possess. As per the identified area, they should be trained.
Conveying information to stakeholders: In order to overcome the issue in relation with
the stakeholders’ conflict, it is important that all stakeholders have proper information able to
plan that will be followed so that there are not conflict situation raised (Vartouni and Khanli,
2014). Further, the changes that are to be implemented should be conveyed at the initial stage so
that there are no problems.
Healthy interaction: All the employees and stakeholders need to have proper interaction
with each so that they are able to understand the requirements of the project. Further, the rate of
confusion that can be raised can be solved. Moreover, it enables to develop strong relation with
each other and to know the skills that other possess.
Frequent monitoring: Time to monitoring should be done. This will help to know
whether the project activities are followed properly or not (Siu, Lu and AbouRizk, 2014). In case
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of any variations identified, appropriate steps can be taken by project manager of Advanced
Engineering.
3. Policies and procedures that company should put in place to reduce the possibility of the risks
occurring and to deal effectively with them
Advanced Engineering need to follow all the steps in effective manner so that they are
able to make sure that the risk that can be caused can be eliminated. Below given are the policies
and procedure that they should consider:
Determining roles and responsibilities: All the workers should have proper understanding
for the type of roles that has to be played by them (Tate, 2017). When they do not have any of
confusions towards the tasks that they have to perform, then the risk that can arise can be
eliminated. Further, lack of communication can also get reduced when workers understand the
roles that they have to play.
Implementing reward system: Motivation is determined to be an important aspect that
should be considered by firm. When workers are motivated, then they are able to perform their
work with full efficiency. Further, it also helps to raise competition among workers and improves
performance level. In addition to this, employees are able to raise their motivation level with the
help of reward system.
Clarity in goals and objectives: All the workers should be conveyed about the aim and
objectives that are set by the management. This enables to develop path on which they can attain
them. Further, employees are able to develop path on which they can reach them (Kerzner,
2013). In this context, all the employees should know the aim and objectives that has to be
achieved.
Rules and regulations should be followed strictly: There are different types of rules and a
regulation that has to be followed so that they are able to make sure that there are no ethical
considerations or problems faced.
CONCLSUION
From the report, it can be concluded that project manager need to develop an effective
plan so that they are able to complete them within speculated time and cost. Further, it requires
to have employees with skills and capabilities so that they are able to support the business to
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attain the project. Further, risk is involved in all aspect but it requires to have appropriate steps
taken so that they are able to attain their aim and objectives in effective manner.
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REFERENCES
Bzdyra, K., Banaszak, Z. and Bocewicz, G., 2015. Multiple project portfolio scheduling subject
to mass customized service. In Progress in Automation, Robotics and Measuring
Techniques (pp. 11-21). Springer, Cham.
Chen, R., Liang, C. and Leung, J. Y., 2017. A multi-objective model for multi-project scheduling
and multi-skilled staff assignment for IT product development considering competency
evolution. International Journal of Production Research, pp.1-29.
Kerzner, H., 2013. Project management: a systems approach to planning, scheduling, and
controlling. John Wiley & Sons.
Landry, P., 2017. Scheduling and Budgeting Your Film: A Panic-free Guide. Taylor & Francis.
Siu, M. F. F., Lu, M. and AbouRizk, S., 2014, December. Bi-level project simulation
methodology to integrate superintendent and project manager in decision making:
Shutdown/turnaround applications. In Proceedings of the 2014 Winter Simulation
Conference (pp. 3363-3364). IEEE Press.
Tate, K., 2017. Project Scheduling and Management. Managing Supply Chain Operations,
p.191.
Vartouni, A. M. and Khanli, L. M., 2014. A hybrid genetic algorithm and fuzzy set applied to
multi-mode resource-constrained project scheduling problem. Journal of Intelligent &
Fuzzy Systems, 26(3), pp.1103-1112.
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