University Project: Project Management of Royale Pizza Renovation

This project management assignment details a plan for the renovation of Royale Pizza, encompassing scheduling, budgeting, and risk management. The project's schedule is outlined using a Gantt chart, with tasks broken down into phases such as design, procurement, construction, and installation, all within a four-month timeframe. The budget includes cost estimations for each work breakdown structure (WBS) activity, with considerations for resource allocation and potential cost control measures. Furthermore, the assignment identifies key project risks, such as budget overruns, overcapitalization, and schedule delays, and proposes mitigation strategies. The risk register analyzes the probability and impact of each risk, ensuring the project's successful and timely completion.

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

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Table of Contents
1. Project Schedule..............................................................................................................2
2. Project Budget.................................................................................................................6
3. Project Risks....................................................................................................................9
References..........................................................................................................................13

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1. Project Schedule
Planning and managing the schedule in a project generally involves the technique of
establishment of the policies, processes along with the documentation needed for planning,
management and execution of a planned project. Planned schedule management process aims in
ensuring the completion of a project on time (Kerzner 2017). An effective schedule management
plan of a company should be able to define he approach a team needs to undertake to plan the
schedule of a project. The schedule management plan is mainly employed for monitoring and
schedule control of the project.
For the renovation of the Royale Pizza, a planned schedule management plan is needed to
be developed. The scheduling of the project is done in such a manner that the entire project is
completed within a schedule span of four months. Schedule management plan is mainly
described as a planned method or technique for sequencing a project’s task in such a manner that
the initial requirements of the project are fulfilled (Meredith, Mantel Jr and Shafer 2017). The
project involves major renovation of the flooring of the pizza shop, the air conditioning system,
painting and improving of the capacity of the compressor. Since the shop in currently operating,
the project needs to be completed within the four months of start date.
The project is scheduled in such a way that all works of the project will be implemented
for six days in a week. The following Gantt chart illustrates the prepared schedule of the project.

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Figure 1: Illustrating the Gantt chart of Royale Pizza
The figure above illustrates the tasks to be completed for completion of the Royale Pizza
project. The Gantt chart further indicates the critical path of the project. The tasks which are
marked in red indicates the project’s critical path. The scheduling has been done keeping in mind
the deadline for completion of the task. It was indicated that Design phase should take no more
than 30 days. The procurement and the delivery phase has been designed in a manner that the
entire procurement and the delivery process is completed within 60 days while 30 days are
allocated for the construction as well as installation and planning phase each. The entire project
is divided into four major project delivery phases for better management of the entire project.

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The scheduling is done in MS project considering some of the major project constraints. These
constraints are indicate as follows-
1. Construction and installation cannot be performed in a simultaneous manner and
hence, the start of the installation process is started after the end of the construction phase.
2. The stairs are to be removed in such a manner that it does not affects the electricity
wires and therefore, a considerable amount of time is allocated for removing of the stairs.
3. Inspections are conducted on every fortnight.
The main tool that is used for scheduling the project is a project management scheduling
software that is MS project. MS project has enabled scheduling of the project in such a manner
such that the entire project is completed as per plan and within a scheduled time of four months
(Fleming and Koppelman 2016). The table below identifies the most significant milestone of the
project. The
Milestones Due Dates
1. End of The Design Phase
2. End of Procurement and Delivery Phase
3. End of Construction Phase
Fri 01-03-19
Thu 09-05-19
Wed 22-05-19
Table 1: Indicating the Key Milestones
The table above indicates the key milestone of the renovation of the Royale Pizza Project.
The project is being implemented in a sequential manner and therefore the milestones indicate

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the completion of each phases of a project (Heagney 2016). The table below provides in detail
the activity and the estimated duration of each activity of the undertaken project.
WBS
ID
Activity
Description
Precedence Duration
Estimate
Resource Cost Estimate
(base on budget
plan)
1 Design Fri 01-03-19
to Thu 04-
04-19
Project
Manager and
Consultant
AU$ 5, 000
2 Procurement and
Delivery
1 Fri 01-03-19
to Thu 09-
05-19
Procurement
Manager
AU$ 18,000
3 Construction 2 Thu 18-04-
19 to Wed
22-05-19
Staffs,
Engineers,
Project
Manager
AU$ 7,000
4 Installation and
Painting
3 Thu 23-05-
19 to Wed
26-06-19
Staffs,
Painting
staffs.
AU$ 10,000

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Table 2: Indicating the schedule and the cost of the Project
The above table provides an idea of the schedule planning and the cost of each activities
of the renovation of the Royale Pizza project. The project is expected to be completed on July
26, 2019.
2. Project Budget
Apart from developing a realistic schedule of a project, it is quite necessary to address the
need of developing a budget for the project so that the entire project can be implemented as per
plan (Mir and Pinnington 2014). The budget estimation table below indicates the cost of each of
the WBS activity of the project that deals with renovation of Royale Pizza.

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WBS Resource Direct
Costs
Indirect
Costs
Total
Estimate
Method Constrains/Assumptions Additional
Information
1: Design Project
Manager
and
Consultant
Cost of
Design
Layout and
labour cost
Cost of
Resources
AU$ 5,
000
Standard
Costing
It is assumed that the design
phase will take no longer than
30 days for completion and
the cost is estimated
accordingly
The design phase
is quite important
as it plans the
execution of the
remaining phases
2:
Procureme
nt and
Delivery
Procureme
nt Manager
Procuremen
t cost
Cost of
Resources
AU$
18,000
Absorptio
n Costing
The main constraint is that
the procurement and the
delivery needs to be
completed within 2 months
and within the allocated
budget
The procurement
process is entirely
managed by the
procurement
manger
3: Staffs, Materials Cost of AU$ 7,000 Standard It is assumed that there will The construction

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Constructio
n
Engineers,
Project
Manager
Costs Resources Costing be no change in the cost of
the construction materials
materials are to
be ordered in
advance
4:
Installation
and
Painting
Staffs,
Painting
staffs.
Paint,
staffing and
labour cost
Cost of
Resources
AU$
10,000
Standard
Costing
The estimated cost include
the cost of the equipment
needed and the paint.
Final cleaning is
done after
completion of
painting.
Table 3: Illustrating the cost of Renovation of Royal Pizza Project
The estimation of the cost of each WBS activities in a project is based on the works to be completed in the project. It is
assumed that the each activity should not take longer than the duration that was earlier estimated. However, controlling the cost of
this project is crucial as well (Harrison and Lock 2017). Certain necessary steps are needed to be taken for controlling the cost of the
project. In this case, the delays in execution of the project

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is minimized so that the chances of cost overrun in the project is eliminated (Crawford 2014).
The manager is given the charge of ascertaining that the tasks and the activities in the project are
completed within the scheduled date.
3. Project Risks
Risk management is considered to be one important tools of management of a project as
it helps in addressing the uncertainties in a project. Management of risk in a project mainly
involves five steps that include, identification of the risks, analysis of the risks, risk evaluation,
treatment of the risk and risk monitoring (Too and Weaver 2014). The project of renovation of
Royal Pizza is associated with certain major constraints such as time constraints, budget issues
and others. Hence, effective management of the critical risks in the undertaken project is
necessary. One effective tool for management of the risk involve development of a risk register
to analyze the critical nature of a particular risk and the risk’s impact on the undertaken project
(Kerzner 2018). The following risk register provides an idea of the critical risks linked with the
execution of the renovation of Royal Pizza Project.

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Risk
ID
Risk Statement
Probability
(On a scale
of 1-10)
Impact
(On a
scale of
1-10)
Score
Response
plan/Strategy
1 Budget Blowout: It is
quite difficult to execute
a renovation project
within a set budget and
hence it is a primary risk
8 9 72 Appointment of a
quantity surveyor is
necessary to estimate
the cost of execution
of this renovation
project
2 Overcapitalising: The
estimated cost for the
project is found to be
more than the profits
6 9 54 The spending in the
project should be
tailored as per the
need and as per the
profits of the project (
Binder 2016)
3 Schedule Risk: A
schedule risk exists as
the project should be
completed within 4
months
7 8 56 The project manager
will be developing the
project plan for
development of the
schedule of
4 Resource Shortage:
This risk can come to
life if any of the
resources are over
allocated with tasks
6 8 48 The issues of resource
shortage is needed to
be addressed by
appointing a resource
manager who will
supervise the resource

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Table 4: Illustrating the Project Risk
The table above identifies the risks that are linked with the execution of the renovation of
the Royal Pizza Project. The above table indicates a risk register that analyses the probability and
the impact of seven key risks in the project (Joslin and Müller 2015). Each of the identified risks
are given a rank and the mitigation approach of each of the identified risks are proposed.
Addressing these major risks are crucial to ascertain that the undertaken project is delivered as
per plan. Thus, analysis of the risks in a project is integral for ascertaining that the renovation
work of Royal Pizza are completed within four months of the project start.