Project Management Project Report: Royale Pizza Shop Renovation

This project report details the renovation of Royale Pizza, focusing on project management principles. It includes a project schedule using Gantt charts, critical path analysis, and various tools and techniques. The report outlines the project budget, including direct and indirect costs, assumptions, and cost control methods. Risk management is addressed through the identification, analysis, and mitigation of potential risks. The report covers the design, procurement, construction, and installation phases, providing a comprehensive overview of the project's lifecycle. The student utilizes methods like the visual description method for scheduling and critical path method for determining the project timeline. The budget includes bottom-up estimations. The project is analyzed to control costs and mitigate risks such as schedule slippage and budget overruns. The report emphasizes the importance of tracking expenditures and effective initial planning. The report concludes with an analysis of the project's critical path and stress points, providing a holistic view of the renovation project's management and execution.

Running head: PROJECT MANAGEMENT
Renovation of Royale pizza
Name of the Student
Name of the University
Author’s Note

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PROJECT MANAGEMENT
Table of Contents
1. Project schedule and different types of tools, techniques and methods......................................2
1.1 Project schedule.....................................................................................................................2
1.3 Critical path reflecting stress point........................................................................................8
1.4 Tools for critical path.............................................................................................................8
2. Project budget and ways for controlling cost of the project........................................................9
2.1 Project budget........................................................................................................................9
2.2 Assumptions that are made..................................................................................................11
2.3 Ways for controlling cost.....................................................................................................11
3. Risk management and identification of tools and techniques...................................................12
3.1 Tools and techniques for identifying risk management.......................................................12
3.3 Risk identification, analysis and mitigation.........................................................................12
Bibliography..................................................................................................................................16

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PROJECT MANAGEMENT
1. Project schedule and different types of tools, techniques and methods
1.1 Project schedule
The prepared schedule reflects duration, resources as well as total budget that is required
for the purpose of renovating the shop of Royale pizza.
WBS
ID
Activity
description
Precedence Duration
estimate
Resource Cost
estimate
0 Pizza shop
renovation
6 mons AU$
40,000.00
1 Design phase 1 mon AU$
5,000.00
1.1 Undertaking
meeting with the
workers of the
store
1 day Project management
consultant
AU$ 500.00
1.2 Researching
the problem
2 4 days Project manager AU$ 500.00
1.3 Identifying
solution
3 5 days Project management
consultant, Project
manager
AU$ 500.00
1.4 Creating
schematic
design
4 10 days Designer AU$
3,500.00

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PROJECT MANAGEMENT
1.5 Milestone 1:
Getting approval
for the design
5 0 days AU$ 0.00
2 Procurement
and delivery
phase
2 mons AU$
18,000.00
2.1 Determining
products and
services
5 5 days Procurement manager AU$ 400.00
2.2 Hiring
suppliers
8 9 days Procurement manager,
Project management
consultant
AU$ 300.00
2.3 Buying
different types
of materials and
equipment
9 10 days Supplier AU$
12,000.00
2.4 Performing
quality
assurance
10 8 days Quality analyst AU$
4,300.00
2.5 Analyzing
the results and
margins
11 8 days Procurement manager,
Project management
consultant
AU$
1,000.00
2.6 Milestone 2: 12 0 days AU$ 0.00

4
PROJECT MANAGEMENT
Completion of
procurement and
delivery phase
3 Construction
phase
1 mon AU$
7,000.00
3.1 Completing
the work of
flooring
12 5 days Civil engineer,
Construction manager
AU$
2,000.00
3.2 Professional
cleaning of
kitchen
15 4 days Construction manager AU$
2,000.00
3.3 Removing
the shop from
rear area for
providing
cooking space
16 6 days Civil engineer,
Construction manager
AU$
1,500.00
3.4 Adding
additional dining
space
17 4 days Construction manager AU$
1,000.00
3.5 Undertaking
inspection
18 1 day Inspection officer AU$ 500.00
3.6 Milestone 3:
Completion of
19 0 days AU$ 0.00

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PROJECT MANAGEMENT
construction
phase
4 Installation
phase
2 mons AU$
10,000.00
4.1 Installation
of air
conditioning
system
20 4 days Installer AU$
2,000.00
4.2 Dust free
painting
22 27 days Painter AU$
5,500.00
4.3 Equipment
installation
23 5 days Installer AU$
1,500.00
4.4 Hardware
and software
installation
24 4 days Installer, Quality
analyst
AU$
1,000.00
4.5 Milestone 4:
Completion of
installation and
painting phase
25 0 days AU$ 0.00
1.2 Utilization of methods, tools and techniques
Method used for the project

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PROJECT MANAGEMENT
While developing a project it becomes essential to prepare a project schedule that will be
able to present all the activities effectively. Thus, in order to present the Gantt chart, the method
used is known as visual description method (Ong, Wang and Zainon, 2016). The main reason
behind using Gantt chart is that it helps in dividing the activities associated with each phase and
are represented with horizontal bar. The main objective behind using Gantt charts is that it helps
in planning the activities successfully and ensures that the project is being executed within the
scheduled duration. Moreover it becomes easy to manage the resources within the project.
Tools used within the project
The main aim behind using an effective technique is to ensure that the project can be
carried out successfully. In this project the selected method is critical path method that has
helped in scheduling the project for renovation. With the help of critical path it becomes easy to
determine the longest possible path for carrying out the project. Apart from this critical path
method also supports in identifying the tasks that are critical within the project (Mehlawat and
Gupta, 2016). This also discovers the activities within the project that may float. Beside this the
critical path method ensures that proper visualization is being provided for maintaining a proper
flow within the project. This helps in calculating the duration effectively when all dependencies
are defined from early stages.
Comparing all the tools, methods and techniques available for project management
The project management offers a wide range of tools for organizing the task within a
project. However this project has used Gantt chart for the purpose of scheduling method. The
other type of scheduling method that are offered towards the project is known as resources
oriented scheduling. The main reason behind using Gantt chart is to provide an effective idea

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PROJECT MANAGEMENT
about the way project can be planned and scheduled based on the resources that are available. On
the other hand resource oriented scheduling is performed when there is competition between
different components (Hwang et al. 2015). In addition to this resources-oriented scheduling
offers knowledge related to the tasks only. Project management software tool helps in managing
the projects effectively and ensures that all components are explained with the use of MS project
software tool. The main reason behind using MS project tool is that it helps in analyzing the
activities effectively whereas in MS excel it becomes difficult to manage complex processes like
renovation project. With the help of MS project tools it becomes easy to manage the activities for
Royale Pizza shop renovation effectively and ensure that the project is being carried out
successfully within the given time period. Beside this it has been observed that the project
managers use critical path technique for determining the path (Iyer and Banerjee 2016).
However, one more technique is offered towards project managers that is known as PERT
technique. The main reason behind selecting CPM is that it helps in discovering the longest
possible route for the project managers whereas PERT helps in providing visualization towards
the task flow only. Thus, CPM is considered as the best method for this project.

8
PROJECT MANAGEMENT
1.3 Critical path reflecting stress point
The figure that is provided below helps in reflecting the stress point on the critical path of
the project.
Figure 1: Critical path
(Source: Created by Author)
1.4 Tools for critical path
CPM analysis method is mainly used in order to showcase the critical path of the project.
It is found that the CPM analysis method helps in planning all the work activities that is required
to be completed and helps in determining the minimum length of time that is required for
accomplishing the project successfully.

9
PROJECT MANAGEMENT
2. Project budget and ways for controlling cost of the project
2.1 Project budget
The table that is provided below helps in depicting the total budget by including
information about direct cost, indirect cost as well as method that is utilized for estimation
WBS
description
Resource Direct
costs
Indirect
costs
Total
estimate
Method Additional
informatio
n
Pizza shop
renovation
AU$
27,500.0
0
AU$
12,500.0
0
AU$
40,000.0
0
Bottom -
up
estimatio
n
N/A
Design
phase
AU$
5,000.00
AU$
000.00
AU$
5,000.00
Bottom -
up
estimatio
n
N/A
Undertaking
meeting with
the workers of
the store
Project
management
consultant
AU$
500.00
AU$
000.00
AU$
500.00
Bottom -
up
estimatio
n
N/A
Researching
the problem
Project
manager
AU$
500.00
AU$
000.00
AU$
500.00
Bottom -
up
estimatio
n
N/A
Identifying
solution
Project
management
consultant,
Project
manager
AU$
500.00
AU$
000.00
AU$
500.00
Bottom -
up
estimatio
n
N/A
Creating
schematic
design
Designer AU$
3,500.00
AU$
000.00
AU$
3,500.00
Bottom -
up
estimatio
n
N/A
Procurement
and delivery
phase
AU$
6,000.00
AU$
12,000.0
0
AU$
18,000.0
0
Bottom -
up
estimatio
n
N/A
Determining
products and
services
Procurement
manager
AU$
400.00
AU$
000.00
AU$
400.00
Bottom -
up
estimatio
n
N/A

10
PROJECT MANAGEMENT
Hiring
suppliers
Procurement
manager,
Project
management
consultant
AU$
300.00
AU$
000.00
AU$
300.00
Bottom -
up
estimatio
n
N/A
Buying
different types
of materials
and equipment
Supplier AU$
000.00
AU$
12,000.0
0
AU$
12,000.0
0
Bottom -
up
estimatio
n
N/A
Performing
quality
assurance
Quality
analyst
AU$
4,300.00
AU$
4,300.00
Bottom -
up
estimatio
n
N/A
Analyzing
the results and
margins
Procurement
manager,
Project
management
consultant
AU$
1,000.00
AU$
1,000.00
Bottom -
up
estimatio
n
N/A
Construction
phase
AU$
6,500.00
AU$
500.00
AU$
7,000.00
Bottom -
up
estimatio
n
N/A
Completing
the work of
flooring
Civil
engineer,
Constructio
n manager
AU$
2,000.00
AU$
000.00
AU$
2,000.00
Bottom -
up
estimatio
n
N/A
Professional
cleaning of
kitchen
Constructio
n manager
AU$
2,000.00
AU$
000.00
AU$
2,000.00
Bottom -
up
estimatio
n
N/A
Removing
the shop from
rear area for
providing
cooking space
Civil
engineer,
Constructio
n manager
AU$
1,500.00
AU$
000.00
AU$
1,500.00
Bottom -
up
estimatio
n
N/A
Adding
additional
dining space
Constructio
n manager
AU$
1,000.00
AU$
1,000.00
Bottom -
up
estimatio
n
N/A
Undertaking
inspection
Inspection
officer
AU$
000.00
AU$
500.00
AU$
500.00
Bottom -
up
estimatio
n
N/A
Installation
phase
AU$
10,000.0
0
AU$
000.00
AU$
10,000.0
0
Bottom -
up
estimatio
N/A

11
PROJECT MANAGEMENT
n
Installation of
air
conditioning
system
Installer AU$
2,000.00
AU$
000.00
AU$
2,000.00
Bottom -
up
estimatio
n
N/A
Dust free
painting
Painter AU$
5,500.00
AU$
000.00
AU$
5,500.00
Bottom -
up
estimatio
n
N/A
Equipment
installation
Installer AU$
1,500.00
AU$
000.00
AU$
1,500.00
Bottom -
up
estimatio
n
N/A
Hardware
and software
installation
Installer,
Quality
analyst
AU$
1,000.00
AU$
000.00
AU$
1,000.00
Bottom -
up
estimatio
n
N/A
2.2 Assumptions that are made
The various types of assumptions which are made with the help of the project manager
during the preparation of the budget are listed below:
 The money that is required for buying different types of equipment’s including exhaust
system, dough roller and more within the budget of around AU$12,000
 The entire work of renovation is assumed to be completed within the budget of
AU$40,000 and the financial manager further assumes that the problem of budget
overshoot will not occur.
2.3 Ways for controlling cost
The strategies or methods which are used within the project in order to control the cost of
the project for avoiding budget overshoot are listed below: