University Project and Risk Management Report: Amazon in Bangladesh

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This report provides a comprehensive analysis of project and risk management strategies for Amazon's infrastructure project in Bangladesh. It begins with a cost-benefit analysis, detailing hardware, software, and operational costs, alongside projected benefits and a discounted cash flow analysis. The report then outlines a detailed budgeting plan, including task durations, resource allocation, and associated costs. Stakeholder management is also explored, emphasizing the importance of identifying, classifying, and managing stakeholder expectations. A communication plan and matrix are presented to ensure effective information flow. Furthermore, the report covers scope management, project closure, and post-implementation review, including key performance indicators. The report concludes with references, providing a robust overview of project management principles applied to a real-world scenario.
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Running head: PROJECT AND RISK MANAGEMENT
PROJECT AND RISK MANAGEMENT
Name of the Student
Name of the University
Author Note:
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1PROJECT AND RISK MANAGEMENT
Table of Contents
Section 5..............................................................................................................................2
Introduction..........................................................................................................................2
Cost-benefit......................................................................................................................3
Budgeting.........................................................................................................................4
Financial Appraisal..........................................................................................................8
Management plan Matrix.................................................................................................8
Conclusion...........................................................................................................................9
Section 7............................................................................................................................10
Introduction........................................................................................................................10
Project Stakeholder Management..................................................................................10
Communication Plan.....................................................................................................12
Communication Matrix..................................................................................................13
Conclusion.........................................................................................................................15
Section 8............................................................................................................................16
Scope management........................................................................................................16
Closing of the project.....................................................................................................17
Post Implementation review..........................................................................................18
Key performance Indicator............................................................................................19
Conclusion.........................................................................................................................20
References..........................................................................................................................22
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2PROJECT AND RISK MANAGEMENT
Section 5
Introduction
This particular report mainly deals with two important aspects like cost benefit analysis
and budget for building project for Amazon Bangladesh. Cash flow estimates will mainly
highlight the source of funding which can arise form profits as well depreciation. It mainly
makes use of proper funding like repayment of loan installments.
Input values
Cost-Benefit Analysis for Building the infrastructure for Amazon to expand business
in Bangladesh
Hardware $ 20,000,000.00
Software $ 1,000,000.00
Development team salaries $ 7,300,000.00
Training $ 1,700,000.00
Total Development Cost $ 30,000,000.00
Hardware $ 20,000,000.00
Software $ 500,000.00
Operational Labor $ 9,500,000.00
Total Operational Cost $ 30,000,000.00
Approximate salary savings $ 15,000,000.00
Reduced operating cost $ 3,000,000.00
Total Benefit $ 18,000,000.00
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3PROJECT AND RISK MANAGEMENT
Discount Rate Used 5.00%
Cost-benefit
Project Cost-
Benefit
Analysis
Analysis
Variables:
Discount
Rate Used 5.00%
Annual
Benefits
$18,00
0,000.0
0
Annual
Operational
Costs
$30,00
0,000.0
0
One-Time
Development
Cost
$30,00
0,000.0
0
Year of
Project
0 1 2 3 4 5
TOTAL
S
Economic
Benefit $0.00
$
18,000,
000.00
$
18,000,
000.00
$
18,000,0
00.00
$
18,000,0
00.00
$
18,000,0
00.00
Discount Rate 1.0000 0.9524 0.9070 0.8638 0.8227 0.7835
PV of Benefits $0.00
$17,142
,857.14
$16,326
,530.61
$15,549,
076.77
$14,808,
644.55
$14,103,
471.00
NPV of all
BENEFITS $0.00
$
17,142,
857.14
$
33,469,
387.76
$
49,018,4
64.53
$
63,827,1
09.07
$
77,930,5
80.07
$
77,930,5
80.07
One-Time
COSTS
$(30,00
0,000.0
0)
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4PROJECT AND RISK MANAGEMENT
Recurring
Costs $0.00
$(30,00
0,000.0
0)
$(30,00
0,000.0
0)
$
(30,000,
000.00)
$
(30,000,
000.00)
$
(30,000,
000.00)
Discount Rate 1.0000 0.9524 0.9070 0.8638 0.8227 0.7835
PV of
Recurring
Costs $0.00
$(28,57
1,428.5
7)
$(27,21
0,884.3
5)
$
(25,915,
127.96)
$
(24,681,
074.24)
$
(23,505,
784.99)
NPV of all
COSTS
$(30,00
0,000.0
0)
$(58,57
1,428.5
7)
$(85,78
2,312.9
3)
$(111,69
7,440.88
)
$(136,37
8,515.12
)
$(159,88
4,300.12
)
$(159,88
4,300.12
)
Overall NPV
$
(81,953,
720.05)
Overall ROI
-0.5126
Budgeting
Task Mode Task Name Duratio
n Start Finish Predecesso
rs Resource Names Cost
Auto
Schedule
d
Building the
infrastructure
for Amazon
to expand
business in
Bangladesh
368
days
Fri
16-
11-
18
Tue
14-04-
20
$258,568.00
Auto
Scheduled
Project
planning
47
days
Fri
16-
11-18
Mon
21-01-
19
$15,600.00
Auto
Scheduled
Analyzing
the requirement 6 days
Fri
16-
11-18
Fri 23-
11-18 Project manager $1,920.00
Auto
Scheduled
Project
nature analysis 5 days
Mon
26-
11-18
Fri 30-
11-18 2 Project planner $1,400.00
Auto
Scheduled
Resource
Estimation 4 days
Mon
03-
12-18
Thu 06-
12-18 3 Finance manager $1,600.00
Auto
Scheduled
Time
schedule
estimation
5 days
Fri
07-
12-18
Thu 13-
12-18 4 Project manager $1,600.00
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5PROJECT AND RISK MANAGEMENT
Auto
Scheduled
Estimation
of budget 10 days
Fri
14-
12-18
Thu 27-
12-18 5 Finance manager $4,000.00
Auto
Scheduled
Estimation
of manpower 8 days
Fri
28-
12-18
Tue 08-
01-19 6 Project manager $2,560.00
Auto
Scheduled
Analysis of
resources 9 days
Wed
09-
01-19
Mon 21-
01-19 7 Project planner $2,520.00
Auto
Scheduled
Project
planning
completion
phase
0 days
Mon
21-
01-19
Mon 21-
01-19 8 Project manager $0.00
Auto
Scheduled
Initiation
phase
105
days
Tue
22-
01-19
Mon
17-06-
19
$52,168.00
Auto
Scheduled Procurement of
fund
7 days
Tue
22-
01-19
Wed 30-
01-19 9 Sponsor $0.00
Auto
Scheduled Stakeholders
appointment
8 days
Thu
31-
01-19
Mon 11-
02-19 11 Project manager $2,560.00
Auto
Scheduled Arrangement of
meetings
6 days
Tue
12-
02-19
Tue 19-
02-19 12 Project manager $1,920.00
Auto
Scheduled Arrangement of
financial plan
9 days
Wed
20-
02-19
Mon 04-
03-19 13 Finance manager $3,600.00
Auto
Scheduled
Appointing
workers 8 days
Tue
05-
03-19
Thu 14-
03-19 14 Project planner $2,240.00
Auto
Scheduled
Preparation
of blueprint 7 days
Fri
15-
03-19
Mon 25-
03-19 15 Site supervisor $3,360.00
Auto
Scheduled Procurement of
land area
5 days
Tue
26-
03-19
Mon 01-
04-19 16 Site supervisor $2,400.00
Auto
Scheduled
Release of
legal notice 7 days
Tue
02-
04-19
Wed 10-
04-19 17 Contractor,Site supervisor $6,160.00
Auto
Scheduled
Allocating
the budget 9 days
Thu
11-
04-19
Tue 23-
04-19 18 Finance manager,Sponsor $3,600.00
Auto
Scheduled
Resource
procurement 8 days
Wed
24-
04-19
Fri 03-
05-19 19 Contractor,System planner $5,568.00
Auto
Scheduled
Division of
time
7 days Mon
06-
Tue 14-
05-19
20 Contractor,Project planner $4,760.00
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6PROJECT AND RISK MANAGEMENT
05-19
Auto
Scheduled
Duty
allocation 8 days
Wed
15-
05-19
Fri 24-
05-19 21 Contractor,Finance
manager,Sponsor $6,400.00
Auto
Scheduled
Risk
analysis 9 days
Mon
27-
05-19
Thu 06-
06-19 22 Risk manager,Project
planner $5,400.00
Auto
Scheduled
Risk
mitigation plan 7 days
Fri
07-
06-19
Mon 17-
06-19 23 Risk manager,Project
planner $4,200.00
Auto
Scheduled
Completion
of project
initiation
0 days
Mon
17-
06-19
Mon 17-
06-19 24 Project manager $0.00
Auto
Scheduled
Execution
phase
178
days
Tue
18-
06-19
Thu 20-
02-20 $163,728.00
Auto
Scheduled
Land area
preparation 12 days
Tue
18-
06-19
Wed 03-
07-19 25
Site
supervisor,Contractor,Projec
t planner
$13,920.00
Auto
Scheduled
Assortment
of resources 13 days
Thu
04-
07-19
Mon 22-
07-19 27 Contractor,Project planner $8,840.00
Auto
Scheduled
Construction of
building for
Amazon
9 days
Tue
23-
07-19
Fri 02-
08-19 28 Project planner,Contractor $6,120.00
Auto
Scheduled
Framework
construction of
Amazon
10 days
Mon
05-
08-19
Fri 16-
08-19 29 Site supervisor,Contractor $8,800.00
Auto
Scheduled
Selection of
entry and exit
spaces
11 days
Mon
19-
08-19
Mon 02-
09-19 30 Site supervisor,System
planner $8,536.00
Auto
Scheduled
Application
of bricks 14 days
Tue
03-
09-19
Fri 20-
09-19 31 Contractor,Site
supervisor,System planner $16,464.00
Auto
Scheduled Plumbing 12 days
Mon
23-
09-19
Tue 08-
10-19 32 Plumber,Project
manager,System planner $10,272.00
Auto
Scheduled
Installation
of electric
circuit
13 days
Wed
09-
10-19
Fri 25-
10-19 33 Site supervisor,Project
planner,System planner $13,728.00
Auto
Scheduled
Concerete
application 15 days
Mon
28-
10-19
Fri 15-
11-19 34
Contractor,Project
manager,Project
planner,System planner
$19,440.00
Auto
Scheduled
Application
of colour 11 days
Mon
18-
11-19
Mon 02-
12-19 35 Risk manager,Project
manager,Project planner $10,120.00
Auto 10 days Tue Mon 16- 36 Risk manager,System $6,160.00
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7PROJECT AND RISK MANAGEMENT
Scheduled Implementation
of system
03-
12-19 12-19 planner
Auto
Scheduled
Application
of tiles 9 days
Tue
17-
12-19
Fri 27-
12-19 37 Contractor,Finance
manager,Site supervisor $11,520.00
Auto
Scheduled
Film
processing
implementation
15 days
Mon
30-
12-19
Fri 17-
01-20 38
System
planner,Contractor,Site
supervisor
$17,640.00
Auto
Scheduled
Warehouse
construction 13 days
Mon
20-
01-20
Wed 05-
02-20 39 System
planner,Contractor,Plumber $12,168.00
Auto
Scheduled
Central
heating zones
construction
11 days
Thu
06-
02-20
Thu 20-
02-20 40 $0.00
Auto
Scheduled
Project
execution
completion
0 days
Thu
20-
02-20
Thu 20-
02-20 41 Project manager $0.00
Auto
Scheduled
Development
phase
35
days
Fri
21-
02-20
Thu 09-
04-20 $26,152.00
Auto
Scheduled
Board
formation of
Amazon
8 days
Fri
21-
02-20
Tue 03-
03-20 42 System planner,Project
manager $4,928.00
Auto
Scheduled
Preparation
of statement
vision
7 days
Wed
04-
03-20
Thu 12-
03-20 44 Contractor,Project planner $4,760.00
Auto
Scheduled
Preparation
of standard
service
9 days
Fri
13-
03-20
Wed 25-
03-20 45
System
planner,Contractor,Project
manager
$9,144.00
Auto
Scheduled
Parking a
lot
implementation
6 days
Thu
26-
03-20
Thu 02-
04-20 46 Finance manager,Project
manager $4,320.00
Auto
Scheduled Finalization 5 days
Fri
03-
04-20
Thu 09-
04-20 47 Project manager,Project
planner $3,000.00
Auto
Scheduled
Development
phase
completion
0 days
Thu
09-
04-20
Thu 09-
04-20 48 Project manager $0.00
Auto
Scheduled
Closure
phase 3 days
Fri
10-
04-20
Tue 14-
04-20 $920.00
Auto
Scheduled
Sign off
stakeholder 2 days
Fri
10-
04-20
Mon 13-
04-20 49 Project manager $640.00
Auto
Scheduled
Review of
post project 1 day
Tue
14-
04-20
Tue 14-
04-20 51 Project planner $280.00
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8PROJECT AND RISK MANAGEMENT
Auto
Scheduled
Completion
of project
closure phase
0 days
Tue
14-
04-20
Tue 14-
04-20 52 Project manager $0.00
Financial Appraisal
Financial appraisal is considered to be objective for evaluation of profitability and
financial strength of the business unit (Kantor and Streitfeld 2015). The financial appraisal
mainly comprises of three aspects like cost of the project, estimation of cash flow and lastly
projecting balanced sheets. Cash flow estimation is considered to be an important factor for
ensuring the availability of the cash. It is mainly used for ensuring the requirements of the
project that is infrastructure for Amazon Bangladesh from time to time (Wingfield et al. 2018).
Management plan Matrix
Communication Format Frequency Owner Distribution Escalation
Weekly Status
Update
E-mail Once every
week
Project
manager
All project team
members and major
stakeholders of
Amazon Bangladesh
Project
CEO
Follow up of
Action item
Call or
Email
Once every
two days
PMO Everyone who comes
up with action with
Tls
COO
Usage of budget Face to
Face and
Interval of CFO Key stakeholders of
Amazon Bangladesh
CEO
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9PROJECT AND RISK MANAGEMENT
E-mail forty days Project
Update of
Reviewed Risk
Face to
Face
Interval of
forty days
PMO COO PM
Conclusion
In the above pages, Amazon is planning to make investment of 60 million dollars for its
Bangladesh Infrastructure project. A proper cost-benefit analysis and budget of the overall
project have been provided. The start date of the project is January 2019 and has been planned to
end by December 2019. The main expenses of the whole project are land procurement, office
building, purchasing of vehicle and lands and lastly testing market. The last part mainly deals
with effect of financial appraisal on overall budget of the project.
Section 7
Introduction
This particular section of the report deals with stakeholder management for the expanding
project of Amazon. It is expected that Amazon is preparing a platform where its operation in
Bangladesh can be easily started (Hossain et al. 2018). It is expected that the project will last for
a tenure of 1 year. The whole project is inclusive of a market research which aims to provide
proper authority for Amazon. Stakeholders can be considered to be group of people who are
mainly impacted by a project. A stakeholder can be either of two type that is supporter and or a
resistor. Project stakeholder management requires involvement of stakeholders, analysis of
expectation and its influences (Ashraf 2017).
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10PROJECT AND RISK MANAGEMENT
Project Stakeholder Management
The method of identifying certain individuals who are generally impacted by a project is
known as stakeholder identification. Project manager can easily focus on certain number of
stakeholders which is needed to identifying the stakeholder method. Stakeholders are inclusive
of sponsors, management, government and lastly society. Stakeholders can easily create positive
and negative impact on the deliverables of the project. Stakeholders of Amazon Bangladesh
needs to be taken into account in the beginning stage of the project so that all the given
requirements are taken into account (Uddin 2016). Stakeholder can be easily classified in the
beginning stage of the Amazon Bangladesh project for understanding the requirements.
Stakeholder can be easily classified on the idea of interest in the given project. It can easily
influence the outcome of the project.
Stakeholder method can easily receive inputs from various aspect like Project charter,
project documents, enterprise environment factors, organizational process assets (Szabo et
al.2016). Both internal and external parties which are related to Amazon Bangladesh project can
be easily identified by making use of project charter. The parties which are involved in this
procurement contract can easily identify the key stakeholders of this project. Stakeholder
management requires taking consideration of various interest and along with values of
stakeholders (Tabassum 2017). It needs to be addressed at the duration of this Amazon
Bangladesh project so that all the involved stakeholders are happy after the closing phase of the
project. This particular branch of management is considered to be vital as it can help the
organization to easily achieve its strategic objectives by taking into account the external and
internal stakeholders (Neehal, Karim and Islam 2017). It is mainly done by building a positive
relationship with the other stakeholders which is done through good management of their
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11PROJECT AND RISK MANAGEMENT
expectation. It is important as it can be used for analyzing the current relationship with the
stakeholder of Amazon Bangladesh (Fair and Oldmixon 2015). The relationship can be changed
into partnership which can be used for building trust and encouraging collaboration with the
other stakeholder of Amazon Bangladesh.
Stakeholder management in this business sense tends to work with the help of a strategy.
The overall strategy is created by the help of information which is gathered by various process
like:
Stakeholder Identification: It is important for having an understanding the stakeholder
who are involved in the Amazon Bangladesh project like internal or external (Hussain et al.
2017). The best method of stakeholder identification is building a stakeholder map for it.
Stakeholder Analysis: By the help of stakeholder analysis, Project manager of Amazon
Bangladesh can easily identify the need, interfaces and common relationship of the various
stakeholders.
Stakeholder matrix: At this method, manager can easily analyze the position of
stakeholders with the help of gathered information at the time of stakeholder analysis method
(Lalremruata et al.2015). Stakeholder can easily have positioned themselves as per the level of
influence or enrichment which is provided in the project.
Stakeholder management: It is considered to be as one of the important methods of
stakeholder management where various stakeholders of Amazon Bangladesh are involved with
the managers (Ishtiaque and Sarwar 2016). It is considered to be important as it creates a
platform where managers and stakeholders can easily discuss with each other.
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