Inventory System Project: A Comprehensive Project Management Plan

This project outlines the implementation of an inventory system for an industrial equipment supply company, aiming to improve efficiency and resolve customer issues related to delayed shipments and incorrect deliveries. The project progresses through several phases, including concept, definition, planning, validation, performance, and post-accomplishment. Key objectives include enhancing organizational efficiency by 50% and providing employee training. The project definition phase details how the work will be organized, the key personnel involved (such as project managers, system analysts, and technicians), and a tentative schedule spanning 172 days. The planning phase includes high-level plans for tasks, milestones, budget, and resource allocation, with a total estimated budget of $184,200. The execution phase covers developing the storage system, considering barcode systems, reconciling physical inventory, and training inventory workers. The project concludes with a closure phase involving stakeholder sign-off, post-project review, and documentation. This document contributed to Desklib, serves as a valuable resource for students studying project management and inventory system implementations.

Running head: PROJECT MANAGEMENT
Topic: Project management
Name of the Student
Name of the University
Author’s Note

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PROJECT MANAGEMENT
Table of Contents
1. Concept phase..............................................................................................................................2
a. Objective statement..................................................................................................................2
b. Identification of relevant constraints.......................................................................................2
2. Project definition phase...............................................................................................................2
a. Description of the project.........................................................................................................2
b. Question/ Answers...................................................................................................................3
i) How the work will be done..................................................................................................3
ii) How the work will be organized.........................................................................................3
iii) Who the key personnel are.................................................................................................4
iv)Tentative schedule...............................................................................................................4
v) Tentative budget..................................................................................................................8
3. Planning phase...........................................................................................................................11
a.) High level plan for tasks, milestones, budget and resource..................................................11
b) Details of staffing the project team.......................................................................................15
4. Plan Validation phase................................................................................................................15
a. Providing details about assumptions and what type of testing is needed..............................15
5. Performance phase.....................................................................................................................16
a. Providing top level overview of the implementation or delivery stage.................................16
6. Post-accomplishment phase.......................................................................................................17

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a. Give an overview about work accomplished.........................................................................17
7. Project inputs.............................................................................................................................17
a. Give an overview about some of the inputs that is needed specifically in the project..........17
8. Project outputs...........................................................................................................................18
a. Giving top level overview of the outputs of the project........................................................18
References......................................................................................................................................19

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PROJECT MANAGEMENT
1. Concept phase
a. Objective statement
The objectives of the project are as follows:
 To implement an inventory system for the industrial equipment supply company
 To increase the efficiency of the organization by 50% for supplying equipments
 To provide training to the employees so that they can easily operate the implemented
inventory system
b. Identification of relevant constraints
The relevant constraints of the project include:
Scope: The project must be executed as per the project scope so that the entire project
can be completed successfully within the estimated budget as well as time
Time: The estimated time for the project is 172 days therefore it is very much necessary
to complete the project within the time in order to achieve the goals as well as objectives of
project.
Budget: It is identified that the estimated budget for implementing the inventory system
for the industrial equipment supply company is around $184,200 and therefore the entire project
must be completed successfully within this budget.

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PROJECT MANAGEMENT
2. Project definition phase
a. Description of the project
The industrial equipment supply company engages in supplying equipments like fork lift,
carts as well as rollers to its customers. It is identified that the company sells equipments at a
very reasonable price however the customers of the company faces number of challenges due to
poor inventory control. The customers faces problems like delayed shipments, complicated
return process as well as incorrect delivery of items. Due to the problems, the company is losing
its customers and therefore the higher authority of the company wants to implement an inventory
system for the company. The inventory system not only resolve the issues that the customers of
the company are facing but also helps in saving time and money.
b. Question/ Answers
i) How the work will be done
The work will be done by implementing an inventory system within the industrial
equipment supply company. It is identified that due to the implementation of inventory control
the accuracy of the inventory orders can be improved. In addition to this, the system assists in
enhancing efficiency as well as productivity of the company.
ii) How the work will be organized
The entire work of the project will be organized by using certain steps that are elaborated
below:
 Setting expectations of resolving the issues of the customer
 Defining the scope of the project
 Creating overview for the implementation of inventory control

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 Reviewing progress against the plan of the project
 Setting proper time limits
 Meeting the objectives as well as goals of the project
 Developing an appropriate filling system
 Efficiently delegating tasks
 Anticipating issues as well as problems
iii) Who the key personnel are
The key personnel who are involved in the project are as follows:
 Project manager
 Project planner
 Supervisor
 Technician
 System analyst
 Database administrator
 Application programming manager
 Human resource manager
 System tester
 System developer
iv)Tentative schedule
The tentative schedule of the project is in the table below:
Task Name Duration Start Finish

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Implementation of inventory system for the
industrial equipment supply company
172 days
Mon 04-12-
17
Tue 31-07-18
Initiation phase 16 days
Mon 04-12-
17
Mon 25-12-17
Development of business case 3 days
Mon 04-12-
17
Wed 06-12-17
Undertaking feasibility study 4 days
Thu 07-12-
17
Tue 12-12-17
Establishing project charter 4 days
Wed 13-12-
17
Mon 18-12-17
Appointing project team members 5 days
Tue 19-12-
17
Mon 25-12-17
Milestone 1: Completion of initiation phase
of the project
0 days
Mon 25-12-
17
Mon 25-12-17
Planning phase 44 days
Tue 26-12-
17
Fri 23-02-18
Creating project plan 5 days
Tue 26-12-
17
Mon 01-01-18
Creating resource plan 6 days
Tue 02-01-
18
Tue 09-01-18
Creating quality plan 5 days
Wed 10-01-
18
Tue 16-01-18
Creating financial plan 4 days Wed 17-01- Mon 22-01-18

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18
Creating communication plan 6 days
Tue 23-01-
18
Tue 30-01-18
Creating procurement plan 5 days
Wed 31-01-
18
Tue 06-02-18
Creating risk plan 6 days
Wed 07-02-
18
Wed 14-02-18
Creating acceptance plan 7 days
Thu 15-02-
18
Fri 23-02-18
Milestone 2: Completion of planning phase 0 days Fri 23-02-18 Fri 23-02-18
Execution phase 106 days
Mon 26-02-
18
Mon 23-07-18
Developing the storage system for
facilitating counting
7 days
Mon 26-02-
18
Tue 06-03-18
Considering storage requirements 6 days
Wed 07-03-
18
Wed 14-03-18
Designing storage shelves for providing
clear line of sight
8 days
Thu 15-03-
18
Mon 26-03-18
Considering barcode system 6 days
Tue 27-03-
18
Tue 03-04-18
Formatting the inventory spreadsheet for
serving master record
7 days
Wed 04-04-
18
Thu 12-04-18
Reconciling physical inventory 8 days Fri 13-04-18 Tue 24-04-18

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Entering data into each category 5 days
Wed 25-04-
18
Tue 01-05-18
Adjusting data for inventory shrinkage 6 days
Wed 02-05-
18
Wed 09-05-18
Separating administrative as well as
inventory duties
7 days
Thu 10-05-
18
Fri 18-05-18
Taking inventory at different intervals 7 days
Mon 21-05-
18
Tue 29-05-18
Training inventory workers 6 days
Wed 30-05-
18
Wed 06-06-18
Performing inventory related counts 8 days
Thu 07-06-
18
Mon 18-06-18
Improving inventory management 7 days
Tue 19-06-
18
Wed 27-06-18
Analyzing inventory data 6 days
Thu 28-06-
18
Thu 05-07-18
Optimizing inventory levels 5 days Fri 06-07-18 Thu 12-07-18
Implementation of inventory
management software
7 days Fri 13-07-18 Mon 23-07-18
Milestone 3: Completion of execution
phase
0 days
Mon 23-07-
18
Mon 23-07-18
Closure phase 6 days Tue 24-07- Tue 31-07-18

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PROJECT MANAGEMENT
18
Stakeholder sign off 2 days
Tue 24-07-
18
Wed 25-07-18
Post project review 3 days
Thu 26-07-
18
Mon 30-07-18
Documentation 1 day
Tue 31-07-
18
Tue 31-07-18
Milestone 4: Completion of closure phase 0 days
Tue 31-07-
18
Tue 31-07-18
v) Tentative budget
The tentative budget of the project includes:
Task Name Cost
Implementation of inventory system for the industrial
equipment supply company
$184,200.00
Initiation phase $15,080.00
Development of business case $2,280.00
Undertaking feasibility study $4,160.00
Establishing project charter $3,040.00
Appointing project team members $5,600.00
Planning phase $33,840.00
Creating project plan $3,800.00
Creating resource plan $4,320.00

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Creating quality plan $4,800.00
Creating financial plan $3,040.00
Creating communication plan $6,480.00
Creating procurement plan $5,400.00
Creating risk plan $6,000.00
Creating acceptance plan $0.00
Execution phase $129,760.00
Developing the storage system for facilitating
counting
$8,680.00
Considering storage requirements $7,680.00
Designing storage shelves for providing clear line of
sight
$9,920.00
Considering barcode system $7,440.00
Formatting the inventory spreadsheet for serving
master record
$11,200.00
Reconciling physical inventory $7,360.00
Entering data into each category $4,400.00
Adjusting data for inventory shrinkage $7,680.00
Separating administrative as well as inventory duties $6,720.00
Taking inventory at different intervals $8,680.00
Training inventory workers $7,680.00
Performing inventory related counts $10,240.00

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Improving inventory management $8,400.00
Analyzing inventory data $7,200.00
Optimizing inventory levels $7,800.00
Implementation of inventory management software $8,680.00
Closure phase $5,520.00
Stakeholder sign off $1,520.00
Post project review $3,240.00
Documentation $760.00