Project Management Training Program: A Detailed Business Case Analysis

This case study examines a project management training program initiated by Ms. Jackson, the CEO, to professionalize project management teams and achieve cost savings. The project aims to implement training programs to enhance the organization's project management practices, with an initial investment of $175,000. The company anticipates savings of 3% in the first year and 4.5% in the subsequent year after implementing the training program. The estimation process involves expert judgment, primarily from Ms. Jackson's colleague, Xin Xue, and the bottom-up approach, which includes detailed work breakdown structures and individual task estimations. Key personnel involved include Ms. Jackson, Mr. Xue, the project manager, resource manager, procurement manager, and financial manager. The budget estimation encompasses six phases: project planning ($26,100), defining training requirements ($22,496), selecting a training vendor ($7,696), training preparation ($98,398), training phase ($13,346), and project closure ($6,968). The report details the resource costs, including personnel and materials, and emphasizes the importance of accurate estimation and professional padding to cover unknowns. The final budget will be reviewed and approved by the project manager and Ms. Jackson before implementation. Desklib provides similar solved assignments for students.

Running head: PROJECT MANAGEMENT
Project Management
Name of Student-
Name of University-
Author’s Note-

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1. Project Overview
The case study stated in this report states that Ms. Jackson being the CEO of the company
wants to professionalize the teams of project management including the project managers. In
order to make savings in the company there should be certain business values that are to be
followed by the project management teams. Ms. Jackson wants to implement a business case that
implements training programs which will help to mature the project management practices of the
organization.
Having a conference call with her colleague Xin Xue, she had decided to make the
budget for the project. She expects to spend about $3,000,000 on work related to project over a
year and $3,500,000 over two year. She has also decided to provide the cost of training as well as
implementing mature model having approximately $175,000 as their initial investment. The
company wants a saving of 3 percent for the first year and 4.5 percent in the consecutive year
after implementing the training program within its processes.
This project states the estimation of the process that are included in the project explaining
the estimation method. The cost of different resources that are to be included in the activities are
explained in this report. As the total budget assigned for training is $175,000, so the budget of
the project will be kept within the decided budget.
2. Estimation Process Description
a. The estimation method that will be used for making the budget for the project is expert
judgment estimation process. The expert judgment is the most common way of making an
estimate for a project. Talking to a person who has high experience is the best way to proceed
with a budget project. As Ms. Jackson has taken the expert advice from her colleague Xue, the

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project estimation will also be done as per the decision of Mr. Xue. As he is an experienced
person, taken suggestion from him will be the best way to conduct the training program
estimation budget. The only thing that is to be kept in mind is that all the Board of Directors need
to agree with the budget plan and they have an understanding on what the project is going to
deliver.
Another estimation method that can be used for making the project budget is bottom up
approach. In this approach a detailed work breakdown structure is done and each of the task or
activity associated in the project is estimated individually that those estimates are rolled up to
give some high level number. This process generally looks at the back step about the resources
that are used. It is an accurate method of carrying of estimation budget for a project.
b. The methods that will be used to carry out this estimation budget is expert judgment
process and the bottom up estimation approach (Westney, 2017). As Ms. Jackson takes expert
advice from her colleague to carry out the budget, it can be considered as a method of estimating
the budget. The bottom up approach of estimation method is used for this project because this
method provide very accurate result and each task included in this method of estimation are
estimated individually. As all the previous methods will help to maintain the estimated budget
for the project, bottom up approach is the best method of conducting this project.
c. The project will lead by Ms. Deidre Jackson, the CEO of the company. Ms. Jackson
will take advice from her colleague Xin Xue who will also be responsible for making the
estimation of the project. Ms. Jackson will assist the project manager who will be assigned for
the project and the resource manager assigned for the project. Other person who will be
responsible for conducting this estimation budget is the procurement manager and the financial
manager associated in the project.

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d. After the final budget being made, the estimate project will be reviewed and approved
by project manager and finally if the CEO of the company approves the budget, the work will
proceed accordingly. In this project, Mr. Jackson will finally review and approve the project
budget before implementation.
e. The estimate of the project will be aggregated by summing the total cost of the
individual work involved in the project for controlling the financial account up to the level of
project. The aggregation of the estimate can be achieved by summing the estimate of low level
cost that are included with different packages of the work in the WBS (Work Breakdown
Structure) of the project. The aggregation of the project can be done by coupling the cost
aggregation with different tools for determining budget including limit reconciliation as well as
reserve analysis.
f. Padding is professionally added for covering the unknowns. Padding is included for
increasing the profit of a project and is attractive commercially (Nicholas & Steyn, 2017).
Padding is actually adding of extra time and extra cost to the estimate because there is not
enough information in the project by the estimator. The makers of budget has several incentives
for padding the budgets. They should be spend according to specified budget so that the padding
would not affect the projects. There are many consequences that are involved in project padding.
Project having extra room for budget mostly tends to use this padding. This helps in recurring the
projects that make use of unnecessary money for using in the project.
e. Accurate estimation include good contracting along with good calculating process. The
accurate estimation also analyze the cost that enter in particular job that arrives in total set. The
estimator is actually responsible for estimating that serves for ensuring the project having
successful outcome (Lock, 2017). The organization procedure link helps to enable the

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compilation as well as completing each of the aspect that is involved in cost management plan of
the project. This provides detailed record for all the processes that will be required for ensuring
the cost of the project and manage them properly.
3. Current Estimate
a. There are six phases that are planned in the budget estimation. The budget for all the
phases are different. The budget that is fixed for the Project Planning is $26,100. The budget
estimated for define training requirement phase in the budget estimation is $22,496. The third
phase in the budget estimation is the select training vendor phase. The total estimate of the phase
is $7,696. The fourth phase has the highest budget of $98,398 consisting of training preparation
phase. For the training phase, $13,346 is allocated and lastly for the last phase that is for project
closure, $6,968 is allotted by the project manager.
b. Budget Estimation
Task Name Resource Names Cost
Acme Training Program $175,004.40
Project Planning $26,100.00
Project Objectives
Project manager, CEO, Financial Manager,
Procurement Manager
$5,760.00
Project Scope
CEO, Financial Manager, Procurement
Manager, Project manager
$3,840.00
Project Resource Plan CEO, Project manager, Projector[1] $5,380.00

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Project Communication
Plan
CEO, Financial Manager, Procurement
Manager, Project manager
$3,840.00
Project Schedule CEO, Financial Manager $1,120.00
Project Budget
CEO, Financial Manager, Procurement
Manager, Project manager
$3,840.00
Project Kick-off CEO, Project manager $2,320.00
Completion of Planning CEO, Project manager $0.00
Define Training
Requirements
$22,496.00
Review Company
Technology Roadmap
$6,000.00
Identify Impacted
Departments
Financial Manager, Procurement Manager,
Project manager
$2,400.00
Identify Department
Liaison
Financial Manager, Procurement Manager,
Project manager
$3,600.00
Review Existing Skills
Sets
CEO, Procurement Manager, Projector[1] $4,060.00
Review New Technology Financial Manager, Procurement Manager, $3,420.00

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Skill Requirements
Project manager, System Administrator,
Projector[1]
Skills Gap Analysis
Financial Manager, Procurement Manager,
Project manager, System User
$4,440.00
Define Technical
Requirements
Project manager, System Administrator,
System User, Trainers
$2,336.00
Define Training Material
Requirements
Procurement Manager, Project manager,
System Administrator
$2,240.00
Training Requirements
Documented
Procurement Manager, System
Administrator, System User
$0.00
Select Training Vendor $7,696.00
Training RFQ $3,144.00
Identify Potential
Vendors
Project manager, System Administrator,
System User, Trainers
$1,168.00
RFQ Selection Team
Procurement Manager, System
Administrator, Trainers
$808.00
RFQ Selection Criteria
Project manager, System Administrator,
System User, Trainers
$1,168.00
Evaluate RFQ Responses Project manager, System Administrator, $1,168.00

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System User, Trainers
Training Vendor
Presentation
Procurement Manager, System
Administrator, System User, Trainers
$1,088.00
Training Vendor
Selection
Procurement Manager, System
Administrator, System User, Trainers
$1,088.00
Training Vendor
Contract
Procurement Manager, Project manager,
System User, Trainers
$1,208.00
Select Training Vendor
Completion
Procurement Manager, System
Administrator, Trainers
$0.00
Training Preparation $98,398.40
Training Location
Preparation
$5,728.00
Implement Technical
Requirements
System Administrator, System User,
Trainers, Documents[1]
$5,728.00
Training Materials $728.00
Review and Customize
Training Materials
System Administrator, System User,
Trainers
$728.00
Feedback Forms $522.80
Courseware and System Administrator, Trainers $448.00

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Materials
Instructor Instructor $74.80
Finalize Schedule Instructor, Trainers $405.60
Room Reservations Instructor, Rooms[1],Trainers $40,405.60
Staff Notificaitons Instructor, Trainers $405.60
Catering Arrangements Food[1], Instructor, Trainers $50,202.80
Training $13,346.00
Train the Trainers
Instructor, System Administrator, System
User, Trainers
$4,014.00
General Staff Training
Sessions
$9,332.00
System Administrators
System Administrator, System User,
Trainers
$2,184.00
System Users
Instructor, Procurement Manager, System
User
$7,148.00
Training Arrangement
Completion
Procurement Manager, System
Administrator, Trainers
$0.00
Project Closure $6,968.00
Evaluate Feedback CEO, Project manager, System $1,608.00

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Administrator, Trainers
Project Lesson Learned
CEO, Financial Manager, Procurement
Manager, Project manager
$3,840.00
Distribute Supplemental
Training Materials to Staff
CEO, Procurement Manager, Project
manager
$1,520.00
Project Completion CEO, Financial Manager, Project manager $0.00
c. Resource Sheet
Resource Name Type Max. Units Std. Rate
CEO Work 100% $90.00/hr
Project manager Work 100% $55.00/hr
Financial Manager Work 100% $50.00/hr
Procurement Manager Work 100% $45.00/hr
System Administrator Work 100% $40.00/hr
System User Work 100% $35.00/hr
Trainers Work 500% $16.00/hr
Instructor Work 300% $9.35/hr

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Documents Material $5,000.00
Food Material $50,000.00
Rooms Material $40,000.00
Projector Material $1,900.00

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Bibliography
Camilleri, E. (2016). Project success: critical factors and behaviours. Routledge.
Harrison, F., & Lock, D. (2017). Advanced project management: a structured approach.
Routledge.
Kerzner, H., & Kerzner, H. R. (2017). Project management: a systems approach to planning,
scheduling, and controlling. John Wiley & Sons.
Lock, D. (2017). The essentials of project management. Routledge.
Nicholas, J. M., & Steyn, H. (2017). Project management for engineering, business and
technology. Routledge.
Westney, R. (2017). Computerized Management of Multiple Small Projects: Planning, Task and
Resource Scheduling, Estimating, Design Optimization, and Project Control. Routledge.