BSBPMG522 Project Initiation Document: Superior Implements Renovation

This document is a project initiation document for the renovation of the Superior Implements (SIM Co.) head office. The project aims to renovate the office within six months, focusing on flooring, kitchen, and bathroom facilities. The document outlines the project's background, purpose, objectives, s...Read More

TASK 2.1 Project Initiation document
Project Information
Project Title: Renovation of head office of Superior
Implements (SIM Co.) Prepared by: Susan Bones
Date: 12/31/18 Distribution: NA
SECTION 1: Project Definition
Background The project is developed for the renovation of the head office of Superior Implements (SIM Co.) and it would involve the usage of
less than 6 months for the completion of the renovation works. The company wants their head office to be renovated and developed
into a new office by working on the flooring, replacing kitchen and bathroom facilities, and refurbishing them for the organization.
Purpose The main purpose of the project is completing the renovation works for the head office of Superior Implements (SIM Co.) by finishing
all the expected works in the assigned time and budget.
Objectives To renovate the head office of Superior Implements (SIM Co.) by using the effective project management tools and functions
To complete the project in the estimated time and budget
To employ project management tools and processes for ensuring the implication of the improved work alignment
Scope The project involves the renovation of the head office of Superior Implements (SIM Co.) and it would involve the usage of less than
6 months for the completion of the renovation works. The works required in the project are working on the flooring, replacing kitchen
and bathroom facilities, and refurbishing them for the organization. The project scope involves documentation works, risk analysis,
budget estimation, renovation works, installing of the new equipment, and flooring works.
Deliverables The deliverables for the project would include,
Project Plan for the execution of the project
Cost estimation plan for managing the resources
Renovated head office of Superior Implements (SIM Co.)
Installed the new facilities at the kitchen and bathroom of head office
Constraints The time, budget, and quality factor acts as the constraints of the project of Renovation of head office of Superior Implements (SIM
Co.). The estimated time, calculated budget, and required quality factor would serve the purpose of the acting as the constraints of
the project.
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Assumptions The assumptions of the project include the acquiring of the resources in time, formation of the team, completion of the works, and
meeting the quality and WHS standards.
SECTION 2: Business Case
Benefits The benefits of the project of Renovation of head office of Superior Implements (SIM Co.) are,
Renovation would help in getting rid of the damping and flaws in the infrastructure
It would allow the replacing of the old facilities of kitchen and bathroom
These benefits would be measured by the final approval of the project work and deliverable by the client
Options The options included for the renovation of the head office of SIM Co. are utilization of the effective project management
methodology for the renovation works and implying the analysis of the effective alignment of the works. The renovation would be
deployed with the formation of the innovative work integration. The renovation would be supported by the formation of the improved
analysis and development. The options would be integrated with the successful alignment of the improved innovation. The utilization
would be deployed with the formation of the successful work alignment and the integration of the renovation works using Design Bid
procurement.
Cost/Benefit Analysis The cost benefit analysis would be done considering the utilization of the cost income and expense analysis. The cost benefit would
be evaluated by deducting overall expenses from the income and calculating the present value of the project. The one time cost of
the project was expected to be $60,000.00. The maintenance cost of the new head office would be increased by $500 per month.
However, the monthly benefit of the new head office would be $3000. The following table would show the calculation of the NPV,
ROI, and Payback period,
Cost benefit analysis
Year 0 Year 1 Year 2 Year 3
Net economic benefit $0 $36,000 $36,000 $36,000
One time cost ($60,000) $0 $0 $0
Recurring cost $0 ($6,000) ($6,000) ($6,000)
Net cash flow ($60,000) $30,000 $30,000 $30,000
Discount factors
Discount rate 10%
Year Index 0 1 2 3
Discount factor 1 0.91 0.83 0.75
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Discounted flows
Cost ($60,000) ($5,455) ($4,959) ($4,508)
Benefit $0 $32,727 $29,752 $27,047
Net ($60,000) $27,273 $24,793 $22,539
Cumulative ($60,000) ($32,727) ($7,934) $14,606
Net present value $14,606
ROI 23%
Payback Analysis
Years Months
2 4.22
Payback Period in Years 2.35
Risk Identification The identification of the risk factors is a major tool supportive for the implication of the innovative work alignment and the utilization
of the works for the successive implication of the work. The risk identification would involve the formation of the successive work
integration and the formation of the improved work alignment. The development of the successive work formation had been
developed with the improvement of the activities. The risk identification and the analysis would be deployed with the innovation work
development and formation of the activities. The risk identification would be developed with the continuation of the explicit work
development. The identified risk of the project has been implied with the continuation of the successful work alignment. The risk
factors have been explained below,
Delay in work: The delay in completion of the work is implied with the continuation of the effective work development and the
formation of the successive operations. The identified risk factors for the project has resulted in delaying the completion of the
project and the formation of the basic issues in the completion of the work. The work function delay would result in forming
hindrance in the successful and innovation work alignment for the renovation works. The work delay can be resulted by the probable
issues of machines, humans, and financial shortage.
Shortage of budget: The shortage of the budget is another factor resulting in forming the major issues for the completion of the
works. The budget analysis has resulted in implying the innovation and development of the improved work listing. The budget
shortage would be resulted due to lack of resources or over usage of the resources. Sometimes due to underestimation, the project
cost increased too. It results in forming major issues in the completion of the project works. The budget estimation lacking any
contingency or provisional budget would result in the shortage of the budget.
Technical Issue: The technical issue is a major factor resulting in the issues of the renovation works of the project such as
equipment failure, material missing, transportation issues, and allocation issues. The issue in completion of the works would result in
forming the technical issue in the project. The technical issues would result in forming the major alignment issues for the users.
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Client Project
Manager Renovator
Planner
Worker
Plumber
Electrician
Painters
Carpenters
SECTION 3: Roles and Responsibilities
Project Structure The project structure would divide the work and identify the requirements of the project with respective work alignment. The
following is the project structure for the project,
Project Sponsor Project sponsor would be responsible for providing the project team with implication of the effective work alignment and
management. The project team would be responsible for the management of the successful and effective work development
management. The sponsor would financially support the project by providing them with resources for project completion.
Project Manager Project manager would be responsible for the management of the project works and the integration of the successful work division.
The project manager would be held responsible if any delay in work completion is occurred.
Project Team The project team would receive certain works and the completion of the works would be dependent on the effective work alignment
and development. The implication of work division would be done within the project team and formation of the successful work
alignment.
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Stakeholder consultation The stakeholder consultation would convey the requirements and the effective communication with the stakeholders of the project.
The implication would be formed with the utilization of the successful work completion and deployment of the innovation works.
SECTION 4: Initial Project Plan
Milestones WBS Task Name Duration Start Finish
1.4 Project kick off 0 days Thu 1/31/19 Thu 1/31/19
2.4 Approval of the plan 0 days Wed 1/30/19 Wed 1/30/19
3.10 Completion of the renovation 0 days Fri 4/12/19 Fri 4/12/19
4.3 Closed 0 days Mon 5/20/19 Mon 5/20/19
Schedule WBS Task Name Duration Start Finish Predecessors
0 Renovation of head office of Superior
Implements (SIM Co.) 5 mons Tue 1/1/19 Mon 5/20/19
1 Initialization Phase 1.15 mons Tue 1/1/19 Thu 1/31/19
1.1 Analysis of the requirements 4 days Tue 1/1/19 Fri 1/4/19
1.2 Finalizing the works required in the
Head Office 5 days Mon 1/7/19 Fri 1/11/19 2
1.3 Letter to sponsor for approval 3 days Mon 1/28/19 Wed 1/30/19 9
1.4 Project kick off 0 days Thu 1/31/19 Thu 1/31/19 4FS+1 day
2 Planning Phase 0.9 mons Mon 1/7/19 Wed 1/30/19
2.1 Selection of Plan methodology 3 days Mon 1/7/19 Wed 1/9/19 2
2.2 Schedule development and Cost
estimation 5 days Thu 1/10/19 Wed 1/16/19 7
2.3 Developing plan for the project 7 days Thu 1/17/19 Fri 1/25/19 8
2.4 Approval of the plan 0 days Wed 1/30/19 Wed 1/30/19 4
3 Renovation Phase 2.55 mons Fri 2/1/19 Fri 4/12/19
3.1 Clearing of the Kitchen and Bathroom 5 days Fri 2/1/19 Thu 2/7/19 5
3.2 Fixing of the flooring 7 days Fri 2/8/19 Mon 2/18/19 12
3.3 Washing the house 4 days Tue 2/19/19 Fri 2/22/19 13
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3.4 Bathroom Fixation 6 days Mon 2/25/19 Mon 3/4/19 14
3.5 Installing wash basin 4 days Tue 3/5/19 Fri 3/8/19 15
3.6 Painting the Head Office 10 days Mon 3/11/19 Fri 3/22/19 16
3.7 Installing new equipment 7 days Mon 3/25/19 Tue 4/2/19 17
3.8 Furniture fixation 6 days Wed 4/3/19 Wed 4/10/19 18
3.9 Change of drapes and curtains 2 days Thu 4/11/19 Fri 4/12/19 19
3.10 Completion of the renovation 0 days Fri 4/12/19 Fri 4/12/19 20
4 Closure 1.3 mons Mon 4/15/19 Mon 5/20/19
4.1 Evaluation of the implementation 20 days Mon 4/15/19 Fri 5/10/19 21
4.2 Integration Management 6 days Mon 5/13/19 Mon 5/20/19 23
4.3 Closed 0 days Mon 5/20/19 Mon 5/20/19 24
Human resource requirements Resource Name Type
Renovator Human
Project Manager Human
Planner Human
Worker Human
Plumber Human
Electrician Human
Painters Human
Carpenter Human
Project Control The project control can be established using the SDLC, project checklist, information listing, and project evaluation works. The use
of these tools would help the organization for forming the implication of the effective work completion management.
Quality Control The 7QC tools, work integration, lean management, and six sigma are some of the tools that can be used for the integration of the
effective alignment of the works. These tools would employ the management of the successive work alignment and management.
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