Project Management: Development of ERP System at the University

This project management assignment details the development of an ERP system for Blach Construction Company. The assignment includes a scope statement outlining project description, business benefits, deliverables, acceptance criteria, risks, assumptions, and constraints. Key stakeholders are identified, and risk treatment methods, including avoidance and transfer, are discussed. The project aims to address challenges associated with a paper-based system, such as access time, costs, and security, by implementing an ERP system. The assignment also explores the differentiation between risk acceptance and avoidance, providing a comprehensive overview of the project's planning and risk management aspects. The student has provided a detailed analysis of the project's context, stakeholders, and potential risks, offering insights into effective project management strategies. The document also includes a bibliography of relevant sources used in the project.

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

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Question 1: Project scope
< Please fill> Organisation Blach construction company
Development of ERP system Date 6-2-2020
Project Description
The Blach construction company mainly uses a paper based system, for
managing operations of the organization however faces a lot of challenges
including access time, higher cost as well as lack of proper security. In
order to mitigate such challenges, it is quite important to implement ERP
based system.
The business benefits that the organization achieved due to proper
utilization of ERP based system are listed below:
 Security: It helps in keeping data safe as well as regulated with
proper built-in protections.
 Streamline: It generally helps in automating all the business
operations in various department.
 Productivity: It assists in eliminating redundant procedure in the
process and helps in the automation process for increasing
productivity.
The major deliverables include:
 Project report
 Project charter
 Feasibility report

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 Project plan
 Project status report
The acceptance criteria are elaborated below:
 If the ERP system gets completed within the budget and time which is
assumed in kick off phase then the entire project gets accepted.
 If the developed ERP system is helpful in resolving issues and assists in
increasing the productivity of the organization then the developed ERP
system will get accepted.
The facility of training and information about the suppliers are not involved in
the project and mainly kept out of scope.
Risk: Managing risk is considered as an important task and if the probability
and risks are not determined properly then it can impact the progress of the
project.
Resources: If the amount of resources which is needed for ERP
implementation is not present then it can cause delay in the project.
Scope: As the scope of the project is not properly estimated then it can
create obstruction in the project progress.
As per the assumption, the work of the project will get executed within the
time that is assumed.
The project stakeholders will be involved in the project actively and will

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help in executing the project properly for accomplishing the goals.
The entire execution of the project will be completed within the budget that
is mentioned in planning phase
Key Stakeholders
The stakeholders who are associated with the ERP implementation are listed
below:
 Project manager
 Project planner
 Team members
 IT manager
 Database administrator
 Application manager
 Tester
 Resource manager
Improper testing: If after implementation, if testing is not effectively
conducted then the project will face a number of challenges in completing the
work.
Budget shortfall: If the budget use is not effectively tracked then the
managers of the project will face financial challenges.
Improper training: After ERP system is implemented, resentment from the

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employees of the organization is quite common that further causes a number of
issues.
06-02-
2020
06-03-2020
240 hours
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Question 3: Risk treatment method
3.1 Method of risk treatment that is utilized in app development project
The risk treatment method that is needed to be utilized is “Avoidance” as the team
members are not much knowledgeable as well as experienced in OS that further reflects that they
are not able to perform a number of functions on different specified platform.
3.2 Method of risk treatment which is utilized when a particular section of the project is
difficult
When a specific project section is identified to be difficult for the company to perform
then risk transfer treatment method is mainly used as risk transfer is one of the strategy of risk
management that further involves shifting of risk from one particular party to another party so
that the risk can be properly managed (Burke and Demirag 2017).

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3.3 Proper example of transference
Yes, it is one of the risk transference examples as risk transfer is one of the risk
management as well as control strategy which generally involves shifting of the risk from one
party to other party and it is found that shifting of the risk to an individual who is experienced is
helpful in avoiding risk.
3.4 Differentiation between acceptance and avoidance
According to Benekos and Diamantidis (2017), risk avoidance helps in eliminating
hazards, different types of activities as well as exposure which can negatively affect the asset of
an organization. However, risk acceptance generally helps in defining the fact of accepting the
determined risk and not taking proper action for reducing the risk as one can be able to accept its
impact as well as the possible consequences that is associated with it.

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Bibliography
Benekos, I. and Diamantidis, D., 2017. On risk assessment and risk acceptance of dangerous
goods transportation through road tunnels in Greece. Safety science, 91, pp.1-10.
Derenskaya, Y., 2018. Project scope management process. Baltic Journal of Economic
Studies, 4(1), pp.118-125.
Karaman, E. and Kurt, M., 2015. Comparison of project management methodologies: prince 2
versus PMBOK for it projects. International Journal of Applied Science and Engineering
Research, 4(4), pp.572-579.
Shirazi, F., Kazemipoor, H. and Tavakkoli-Moghaddam, R., 2017. Fuzzy decision analysis for
project scope change management. Decision Science Letters, 6(4), pp.395-406.
Adam, A.R. and Danaparamita, M., 2016, November. Understanding the influence of poor scope
management affecting the successful of an IT Project. In 2016 International Conference on
Information Management and Technology (ICIMTech) (pp. 124-129). IEEE.
Burke, R. and Demirag, I., 2017, March. Risk transfer and stakeholder relationships in public
private partnerships. In Accounting Forum (Vol. 41, No. 1, pp. 28-43). Taylor & Francis.