University Project: Budget and Quality Management Plan for Bungalow

This report presents a comprehensive project budget and quality management plan for 'The Bungalow Project'. It begins with a detailed cost management planning section, outlining steps such as identifying work requirements, resource identification, acquisition, and cost estimation using bottom-up and CPM budget estimation methods. The report provides optimistic, most likely, and pessimistic budget scenarios. The quality management planning section focuses on identifying quality requirements and tools, including 7QC tools and Six Sigma. The report emphasizes the importance of aligning budget resources and implementing effective cost and quality management techniques to ensure project success. The document analyzes cost estimation, resource usage, and the impact of various factors on the budget.

Running head: PROJECT BUDGET AND QUALITY MANAGEMENT PLAN
Project Budget and Quality Management Plan
The Bungalow Project
Name of the Student:
Student ID:
Name of the University:
Author’s note:

1PROJECT BUDGET AND QUALITY MANAGEMENT PLAN
Table of Contents
1. Cost Management Planning.........................................................................................................3
Introduction..................................................................................................................................3
Cost Management Planning for ‘The Bungalow Project’............................................................3
Bottom-Up Estimation.................................................................................................................5
CPM Budget Estimation Method.................................................................................................5
Budget Summary.........................................................................................................................7
Conclusion...................................................................................................................................7
2. Quality Management Planning....................................................................................................8
Introduction..................................................................................................................................8
Quality Management for ‘The Bungalow Project’......................................................................8
7QC tools...................................................................................................................................10
Six Sigma...................................................................................................................................11
Conclusion.................................................................................................................................11
Bibliography..................................................................................................................................12

2PROJECT BUDGET AND QUALITY MANAGEMENT PLAN
Part B: Cost and Quality Management Plan

3PROJECT BUDGET AND QUALITY MANAGEMENT PLAN
1. Cost Management Planning
Introduction
The cost management planning is developed for the implication of the innovative work
alignment and managing the cost resources for the project. The resource management would be
helpful for taking care of the effective and innovative cost budget management and simplifying
the integration of the works for defining the listing resource usage. The following assignment has
been developed for the formation of the innovative work alignment for the project of ‘The
Bungalow Project’. The implication of the effective work alignment would be formed for
forming the implication of the system work alignment. The material and human resources would
be managed for ensuring the successful management of the applied work development.
Cost Management Planning for ‘The Bungalow Project’
The cost management planning for the Bungalow Project would be developed with the
alignment of the budget resource estimation. The cost management planning for the project can
be done by including the following steps,
Identification of the work requirements: The first step of the cost management plan is
the identification of the work requirements. The utilization of the work requirements would be
supported by the implication of the innovative and effective work implication. The work
requirements would be formed with the consideration of the construction of the Bungalow
Projects. The work requirements for the project would be integrated with the formation of the
project plan for the project. The construction of the project would be supported by the
implication of the construction project management and the utilization of the tools and
techniques for the alignment of the Bungalow constructions.

4PROJECT BUDGET AND QUALITY MANAGEMENT PLAN
Identification of the resources required: The project of Bungalow Construction is a
construction project defined for the alignment of the effective implication of the project resource
management. The resource management would be implied with the formation of the work
alignment and development of the successive work formation. The resources required for the
project would be divided into human and material resources. The human resources required for
the project include Resource A Laborers and Resource B Tradesmen. The material resources
required for the project include material and plant for different ranges. The implication would be
successful with the formation of the effective work integration.
Acquisition of the resources: The resources would be acquired for the alignment of the
effective work completion. The resources for the project would be integrated with the utilization
of the effective and smart alignment of the budget for the alignment of the resources in the
project. The resource acquisition would be done by forming the significant management of the
facilities for developing successful alignment management. The resources required for the
project would be acquired by developing contracts and tenders and aligning the listing of the
successful work completion. The resources would be aligned for integrating the formation of the
effective alignment of the budget.
Estimation of Costs: The estimation of the costs has been implied with the formation of
the facilities and development of the operations. The estimation of the costs has been done
considering the expenses of the project and the alignment of the successive alignment of the
works. The cost estimation would be based on the utilization of the effective contract
management for the allocation of the works and forming the successful work and process
analyzing. The cost estimation would be implied for successful formation of the works. The cost
estimation would be done with the usage of the estimation of the costs and the formation of

5PROJECT BUDGET AND QUALITY MANAGEMENT PLAN
calculation of the resource usage. The multiplication of the standard rates of the resources with
the usage hours/units would be helpful for calculating the overall cost of the project. The
addition of the individual expenses would be helpful for total budget for the project.
Implementation of cost management: The cost management implementation would be
helpful for aligning the calculation of the budget estimated. The cost management techniques
would be helpful for keeping the project cost in check and ensuring that the work is aligned
carefully. The cost management processes would include the formation of the facilities for
aligning the works and integrating the works.
Bottom-Up Estimation
Resource Name Resource Type Work/Units Standard Rate Cost
Resource A Labourers Human 1720 $30.00 $51,600.00
Resource B Tradesmen Human 3480 $50.00 $174,000.00
Material and Plant @1 Material 1000 $1.00 $1,000.00
Material and Plant @2 Material 4000 $2.00 $8,000.00
Material and Plant @3 Material 3400 $3.00 $10,200.00
Material and Plant @4 Material 900 $4.00 $3,600.00
Material and Plant @5 Material 1400 $5.00 $7,000.00
Material and Plant @6 Material 600 $6.00 $3,600.00
Total Budget $259,000.00
CPM Budget Estimation Method
CPM budget estimation is being done in three methods namely optimistic, most likely,
and pessimistic. Each of the calculation for the budget is given below,
Optimistic

6PROJECT BUDGET AND QUALITY MANAGEMENT PLAN
Optimistic
Resource Name Work/Units Standard Rate Cost
Resource A Labourers 1400 $30.00 $42,000.00
Resource B Tradesmen 2888 $50.00 $144,400.00
Material and Plant @1 1000 $1.00 $1,000.00
Material and Plant @2 4000 $2.00 $8,000.00
Material and Plant @3 3400 $3.00 $10,200.00
Material and Plant @4 900 $4.00 $3,600.00
Material and Plant @5 1400 $5.00 $7,000.00
Material and Plant @6 600 $6.00 $3,600.00
Total Budget $219,800.00
Most Likely
Most Likely
Resource Name Work/
Units Standard Rate Cost
Resource A Labourers 1720 $30.00 $51,600.00
Resource B Tradesmen 3480 $50.00 $174,000.00
Material and Plant @1 1000 $1.00 $1,000.00
Material and Plant @2 4000 $2.00 $8,000.00
Material and Plant @3 3400 $3.00 $10,200.00
Material and Plant @4 900 $4.00 $3,600.00
Material and Plant @5 1400 $5.00 $7,000.00
Material and Plant @6 600 $6.00 $3,600.00
Total Budget $259,000.00
Pessimistic
Pessimistic
Resource Name Work/
Units Standard Rate Cost
Resource A Labourers 2360 $30.00 $70,800.00
Resource B Tradesmen 4664 $50.00 $233,200.00
Material and Plant @1 1000 $1.00 $1,000.00
Material and Plant @2 4000 $2.00 $8,000.00
Material and Plant @3 3400 $3.00 $10,200.00
Material and Plant @4 900 $4.00 $3,600.00
Material and Plant @5 1400 $5.00 $7,000.00

7PROJECT BUDGET AND QUALITY MANAGEMENT PLAN
Material and Plant @6 600 $6.00 $3,600.00
Total Budget $337,400.00
Budget Summary
As seen in the tables, the calculation of the optimistic, most likely, and pessimistic budget
calculation is based on the usage of the resources. The most likely usage of the resources were
1720hrs, 3480hrs, 1000 units, 4000 units, 3400 units, 900 units, 1400 units, and 600 units for
Resource A Labourers, Resource B Tradesmen, Material and Plant @1, Material and Plant @2,
Material and Plant @3, Material and Plant @4, Material and Plant @5, and Material and Plant
@6 respectively and it has resulted in budget of $259,000. The change in the usage of the
resources is the main reason for the difference in budget. The optimized usage of the resources
1400hrs, 2888hrs, 1000 units, 4000 units, 3400 units, 900 units, 1400 units, and 600 units for
Resource A Labourers, Resource B Tradesmen, Material and Plant @1, Material and Plant @2,
Material and Plant @3, Material and Plant @4, Material and Plant @5, and Material and Plant
@6 respectively and it has resulted in budget of $219,000. The pessimistic budget has been
resulted due to the exhaustion of the resources more than expected as 2360hrs, 4664hrs, 1000
units, 4000 units, 3400 units, 900 units, 1400 units, and 600 units for Resource A Labourers,
Resource B Tradesmen, Material and Plant @1, Material and Plant @2, Material and Plant @3,
Material and Plant @4, Material and Plant @5, and Material and Plant @6 respectively and it
has resulted in budget of $337,400.
Conclusion
The bottom up estimation is the most suitable for the estimation of the budget using
resource usage estimation. The cost estimation would be based on the utilization of the effective

8PROJECT BUDGET AND QUALITY MANAGEMENT PLAN
contract management for the allocation of the works and forming the successful work and
process analyzing. The cost estimation would be implied for successful formation of the works.
The cost estimation would be done with the usage of the estimation of the costs and the
formation of calculation of the resource usage. The multiplication of the standard rates of the
resources with the usage hours/units would be helpful for calculating the overall cost of the
project. The addition of the individual expenses would be helpful for total budget for the project.
The over budget of the project can be dealt by the usage of the resource usage plan and
checklist for cost expenses.
2. Quality Management Planning
Introduction
The quality management planning is developed for the implication of the innovative work
alignment and managing the quality resources for the project. The resource management would
be helpful for taking care of the effective and innovative quality budget management and
simplifying the integration of the works for defining the listing resource usage. The following
assignment has been developed for the formation of the innovative work alignment for the
project of ‘The Bungalow Project’.
Quality Management for ‘The Bungalow Project’
The quality management planning for the Bungalow Project would be developed with the
alignment of the budget quality tools estimation. The quality management planning for the
project can be done by including the following steps,

9PROJECT BUDGET AND QUALITY MANAGEMENT PLAN
Identification of the quality requirements: The first step of the quality management
plan is the identification of the quality requirements. The utilization of the quality requirements
would be supported by the implication of the innovative and effective quality implication. The
quality requirements would be formed with the consideration of the construction of the
Bungalow Projects. The quality requirements for the project would be integrated with the
formation of the project plan for the project. The construction of the project would be supported
by the implication of the construction project management and the utilization of the tools and
techniques for the alignment of the Bungalow constructions.
Identification of the quality tools required: The project of Bungalow Construction is a
construction project defined for the alignment of the effective implication of the project quality
tools management. The quality tools management would be implied with the formation of the
work alignment and development of the successive work formation. The quality tools required
for the project would be divided into human and material quality tools. The human quality tools
required for the project include Quality tools like 7QC and Six Sigma. The material quality tools
required for the project include material and plant for different ranges. The implication would be
successful with the formation of the effective work integration.
Acquisition of the quality tools: The quality tools would be acquired for the alignment
of the effective work completion. The quality tools for the project would be integrated with the
utilization of the effective and smart alignment of the budget for the alignment of the quality
tools in the project. The quality tools acquisition would be done by forming the significant
management of the facilities for developing successful alignment management. The quality tools
required for the project would be acquired by developing contracts and tenders and aligning the

10PROJECT BUDGET AND QUALITY MANAGEMENT PLAN
listing of the successful work completion. The quality tools would be aligned for integrating the
formation of the effective alignment of the budget.
Estimation of Quality: The estimation of the quality has been implied with the
formation of the facilities and development of the operations. The estimation of the quality has
been done considering the expenses of the project and the alignment of the successive alignment
of the works. The quality estimation would be based on the utilization of the effective contract
management for the allocation of the works and forming the successful work and process
analyzing. The quality estimation would be implied for successful formation of the works. The
quality estimation would be done with the usage of the estimation of the quality and the
formation of calculation of the quality tools usage. The multiplication of the standard rates of the
quality tools with the usage hours/units would be helpful for calculating the overall quality of the
project. The addition of the individual expenses would be helpful for total budget for the project.
Implementation of quality management: The quality management implementation
would be helpful for aligning the calculation of the budget estimated. The quality management
techniques would be helpful for keeping the project quality in check and ensuring that the work
is aligned carefully. The quality management processes would include the formation of the
facilities for aligning the works and integrating the works.
7QC tools
The 7 QC tools like Cause and effect diagram, check sheet, control chart, histogram,
Pareto chart, scatter diagram, and stratification. These tools allow the calculation of the quality
factors and implication of the quality control for the project. The implication of the 7QC tools
would help in controlling the quality of the project. The estimation of the quality has been done

11PROJECT BUDGET AND QUALITY MANAGEMENT PLAN
considering the expenses of the project and the alignment of the successive alignment of the
works. The quality estimation would be based on the utilization of the effective contract
management for the allocation of the works and forming the successful work and process
analyzing. The quality estimation would be implied for successful formation of the works. The
quality estimation would be done with the usage of the estimation of the quality and the
formation of calculation of the 7QC quality tools usage.
Six Sigma
Six Sigma involves the usage of the tools and processes for the improvement of the
quality of the project work using set of techniques and cyclic process (define, measure, analyze,
improve, and control). The quality tools management would be implied with the formation of the
work alignment and development of the successive work formation. The quality tools required
for the project would be divided into human and material quality tools.
Conclusion
The possible risk factors for the quality like equipment failure, issue in materials,
contractual issues, and payment issue would be resulted due to the lack of quality control. The
quality control measure using 7QC (Cause and effect diagram, check sheet, control chart,
histogram, Pareto chart, scatter diagram, and stratification) and Six Sigma (define, measure,
analyze, improve, and control) would be helpful for dealing with the issues of the Bungalow
Project.