Project Management Report: Analysis of Project Management Strategies

This report analyzes project management strategies within the context of Solar Inc. It begins by exploring the application of chaos theory to the company's project-based work, emphasizing the impact of initial conditions and unpredictable factors. The report then delves into cost management, highlighting the importance of cost control as one of the key success factors in project delivery and discusses strategies for cost reduction such as cheaper contracts, resources, and forming strategic alliances. Finally, the report examines the effects of cost-cutting on various aspects of project management, including cost drivers, labor, and communication, while also acknowledging the potential drawbacks of short-term cost-saving measures. The report concludes with a discussion of the long-term implications of these strategies on project quality and overall success.

Running head: PROJECT MANAGEMENT
Project Management
Name of the Student
Name of the University
Author Note:

1PROJECT MANAGEMENT
Table of Contents
Answer to Question 1:.........................................................................................................2
Answer to Question 2:.........................................................................................................2
Answer to Question 3:.........................................................................................................3
References............................................................................................................................5

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Answer to Question 1:
Solar Inc is known to be expert in the domain of providing Solar PV solution. Chaos and
randomness theory is considered to be beneficial in providing guidance to the behavior of this
organization that is solar Inc. It is totally based on project-based work which checks for its
vitality. The theory helps us in having small initial state or condition which can have huge
impact on any project (Sonneville et al., 2015). It mainly helps in checking things which are
unpredictable. Organization being chaotic obey some rules which helps in analyzing regular
patterns. It is considered to be similar to the human behavior in any organization. A proper
approach is all about understanding the implementation of project management which helps in
analyzing the list of things which can be learned. It mainly focuses on achieving better and
harmonious outcome of the project. It can be achieved by focusing much more attention on
human behavior patterns. It mainly takes advantage of team members to be good which is taken
to be best for the organization. Changing global economy and technology are considered to be
evidence of some of visible chaos. Business should not respond to the given changes which can
cause lack of flexibility in the given organization (Eckles, Hoyt & Miller, 2014). It is main
reason behind the fact that organization like Solar Inc should restructure and adapt to these
changes. They should expand their markets and keep up with developing technological
advancements.
Answer to Question 2:
Cost is considered to be as one of major factor which is needed for understanding the
success of the project. Cost is taken to be a part of three multiples that are cost, schedule and
lastly scope. The project manager of Solar Inc can easily provide quality products and services
on the given time (Reddy et al., 2015). It is mainly under budget which requires high demand. At

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the starting time of schedule, cost is considered to be variable and duration of the project is fixed.
After the approval of budget, cost tends to become fixed and comes up with high priority. It is
done because once the budget has been approved it can set new challenges to program sponsor
and increasing the budget. A large number of methods can be used for developing training
program for project managers on the given risk management which puts pressure on cost
reduction like:
Cheaper Contracts: It is considered to be as one best way for lowering the cost. Various
contractors can easily discover whether they can compete and adjust with their cost-ineffective
way (Eckles, Hoyt & Miller, 2014). Solar Inc should open the contract to various subcontractors
and after that selection should be done on the basis of best value.
Cheaper resources: Although the organization requires experience candidates so they
should hire graduates and provide them training (Reddy et al., 2015). It is mainly done as it is
cheapest way for getting experienced candidate.
Forming Alliance: As a manager, it is very much difficult to depend on external
stakeholders for materials, resource and lastly expertise. It can be expensive to easily keep up the
vendor expenses every month. So Solar Inc should tend to form strategic alliance and enter into
proper cost saving techniques for vendor and suppliers.
Answer to Question 3:
Solar Inc focuses on Institute for cutting down the cost which can measure the stream the
effect of economic downturn (Kind, Wouter Botzen & Aerts,2017). Improving the profit by
reducing the cost can easily have serious consequence on cutting the potential. It can ultimately
lead to production of short-term gain but in the long term, it can have severe consequences.

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Cutting cost on the given four parameters that are cost driver, labor and communication can have
several effects on the project.
Cost Driver: Organization like Solar Inc can be easily used for differentiating between
good cost and Bad cost (Kerzner & Kerzner, 2017). Good cost is considered to be one which
comes up with proper fulfillment of goals. It is mainly done as a result of target marketing and
along with research and development. While bad cost is not directly related to project goals or
objectives.
Labor: It is considered to be one of the significant cost which is related to labor. Long-
term cost saving can be attained by using temporary or part-time staff (Sonneville et al., 2015).
It mainly works with knowledge and experience which is needed for attaining project function.
Communication: There are some long-term strategies which are needed for reducing the
overall cost on the project. It can be easily attained the various team members to easily make use
of some of the cost-effective method of communication (Kind, Wouter Botzen & Aerts,2017).
Meeting of the project can be easily conducted with the help of telephone or any web-based
media. This two technology can easily reduce the overall cost.
In the initial stage there are many benefits of long term cost saving strategies but these
can bring huge drawbacks. Cheaper resources and contracts can easily benefit in the initial stage
but later on it can affect the quality of the project.

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References
Eckles, D. L., Hoyt, R. E., & Miller, S. M. (2014). Reprint of: The impact of enterprise risk
management on the marginal cost of reducing risk: Evidence from the insurance
industry. Journal of Banking & Finance, 49, 409-423.
Kerzner, H., & Kerzner, H. R. (2017). Project management: a systems approach to planning,
scheduling, and controlling. John Wiley & Sons.
Kind, J., Wouter Botzen, W. J., & Aerts, J. C. (2017). Accounting for risk aversion, income
distribution and social welfare in cost‐benefit analysis for flood risk management. Wiley
Interdisciplinary Reviews: Climate Change, 8(2), e446.
Reddy, V. Y., Akehurst, R. L., Armstrong, S. O., Amorosi, S. L., Beard, S. M., & Holmes, D. R.
(2015). Time to cost-effectiveness following stroke reduction strategies in AF: warfarin
versus NOACs versus LAA closure. Journal of the American College of
Cardiology, 66(24), 2728-2739.
Sonneville, K. R., Long, M. W., Ward, Z. J., Resch, S. C., Wang, Y. C., Pomeranz, J. L., ... &
Gortmaker, S. L. (2015). BMI and healthcare cost impact of eliminating tax subsidy for
advertising unhealthy food to youth. American journal of preventive medicine, 49(1),
124-134.
Steen Carlsson, K., Andsberg, G., Petersson, J., & Norrving, B. (2017). Long-term cost-
effectiveness of thrombectomy for acute ischaemic stroke in real life: an analysis based
on data from the Swedish Stroke Register (Riksstroke). International Journal of
Stroke, 12(8), 802-814.