Project Management Report: Development of SCM in Woolworths Limited

This report focuses on the implementation of a Supply Chain Management (SCM) system in Woolworths Limited. It begins with a project overview, scope definition, objectives, deliverables, and constraints. The report then explores different project structures, identifying the most suitable one for the project. A detailed Work Breakdown Structure (WBS) is presented, outlining project phases and key deliverables. The importance of the WBS and the skills required by a project manager are also discussed. Furthermore, the report covers resource estimation, cash flow details, and alternative estimation techniques, along with justifications for the selections. The significance of risk management is highlighted, along with the evaluation of appropriate techniques and the creation of a risk register. The report provides a comprehensive analysis of the project management techniques necessary for the successful implementation of the SCM system within Woolworths Limited, offering valuable insights into project planning, execution, and risk mitigation.

Running head: PROJECT MANAGEMENT TECHNIQUE
Project Management Technique: Development of Supply Chain Management System in
Woolworths Limited
Name of the student:
Name of the University:

1PROJECT MANAGEMENT TECHNIQUE
Table of Contents
Introduction......................................................................................................................................3
1. Learning outcome 1.....................................................................................................................3
1.1 Project overview....................................................................................................................3
1.2 Project scope..........................................................................................................................4
1.3 Objectives and deliverables...................................................................................................4
1.3.1 Objectives.......................................................................................................................4
1.3.2 Deliverables....................................................................................................................4
1.4 Project exclusion and constraints...........................................................................................5
2. Learning outcome 2.................................................................................................................5
2.1 Different potential project structures.....................................................................................5
2.2 Identification and justification on the project structure.........................................................5
3. Learning outcome 3.....................................................................................................................6
3.1 Work Breakdown Structure (WBS).......................................................................................6
3.2 Key deliverables for each project phase................................................................................9
3.3 Importance of Work Breakdown Structure..........................................................................10
3.4 Skills required by the project manager for optimizing the effectiveness of the WBS........10
4. Learning outcome 4...................................................................................................................12
4.1 Estimation of resources using accurate techniques and budget details...............................12
4.2 Details of the cash flow.......................................................................................................12
4.3 Alternative estimation technique.........................................................................................13
4.3.1 Justification for the selection........................................................................................14
5. Learning outcome 5...............................................................................................................14
5.1 Importance of risk management for this specific project....................................................14
5.2 Critical evaluation of appropriate technique for managing the risk....................................15
5.3 Risk register.........................................................................................................................15
5.3.1 Justification on the chosen technique...........................................................................16
Conclusion.....................................................................................................................................17
References......................................................................................................................................18

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Introduction
Depending upon the notion of value chain the concept of Supply Chain Management
(SCM) in the business organization has been developed. This report depicts the crucial
importance of implementing a secure supply chain management system in Woolworths Limited
for establishing a relationship between the consumers and the service providers. The SMART
characteristic, scope, objectives, deliverables and project constraints are elaborated in this report.
In addition to this, a Work Breakdown Structure for reducing the workload from the
project team members and key deliverables for each project phase is also illustrated in this
project. Due to lack of technical support the company may face serious functional and
operational issues those are required to be resolved. A risk register for resolving such risk, a
detail resource plan and a cash flow is chart for this nominated project is also demonstrated in
this report.
1. Learning outcome 1
1.1 Project overview
This project is focused on implementation of Supply Chain Management (SCM) system
in Woolworths Limited to retain the existing consumers and grab new customers from the
competitive market. The company has different ambitious goals in terms of intense focus on
timely, quality products and services delivery to the consumers and improving the work
ambiance. Most of the companies who have planned to develop their business are focused on
implementation of supply chain management system but it always exceeds the overall cost of the
business. Thus, it can be said that, the result may decide they are simply not worth the overall
investment.

3PROJECT MANAGEMENT TECHNIQUE
In Supply Chain Management a buyer supplier’s interface is established through
professional business partnership or through a contract agreement. In other words, SCM is a twin
pillar of trust and communication if any one factor from these components is missed then the
total relationship will be interrupted. For implementing Supply Chain Management (SCM)
system in Woolworths Limited necessitate upgradation of different equipments, staff training,
dedicated workforce and other new process and procedures for business operations are required.
1.2 Project scope
The project is about development of Supply Chain Management (SCM) in Woolworths
Limited for developing a relationship between the service providers and the customers. Another
scope is to monitor and control the project activities right from the supplier’s supply to the
consumers.
1.3 Objectives and deliverables
1.3.1 Objectives
The objectives for this project are as follows:
 To identify the functional and operational issues facing by Woolworths Limited
 To implement Supply Chain Management (SCM) System in the business
organization
 To design cross functional approach transformation and collaboration among
Supply Chain Management
1.3.2 Deliverables
With the successful implementation of Supply Chain Management system the business
operations and other functionalities will be successfully delivered. It is expected that with the

4PROJECT MANAGEMENT TECHNIQUE
successful implementation of SCM the functions those will be delivered include inventory
management, supplier management, distribution management, sales force, channel, financial and
payment management also. Successful implementation of SCM demands forecasting, production
planning, raw material production and smooth distribution can be designed as well. The total
time required for the successful completion of the SCM implementation project 110 days within
the budget of $30,400.
1.4 Project exclusion and constraints
The change scope management is not elaborated in this project and also all the technical
excellence are out of scope for this project. The transportation cost and design capabilities of the
company are project out of scope.
2. Learning outcome 2
2.1 Different potential project structures
The project functionalities and operations become more effective if an accurate project
structure is designed by allocating skilled and knowledgeable project team members. The project
structure that may be designed for this project should be consists of steering committee, business
design team, solution development team and solution delivery team. These departments will be
operated by the members such as project manager, finance manager, operation manager, system
developers, HR manager and business analyst. After analyzing the things those are to be
achieved the required resources should be nominated. Proper support from the project sponsors
and executive committee can be deployed.

5PROJECT MANAGEMENT TECHNIQUE
2.2 Identification and justification on the project structure
Different types of project structures are available such as construction project, new
product development project, new services and process delivery project those are to be
individually followed by the project managers. For this specific company the nominated project
type is new service and process delivery project. The SCM system implementation project can
also be identified as a process investment program. The project structure should strictly focus on
process improvement project targeting major plans of high volume transaction and business level
critical services. The central resource of the company for training and inducting staffs are to be
advanced enough.
The project organizational structure that is designed for Woolworths Limited is
comprises of marketing director, project manager, finance manager, chief information and
logistic officer, supermarket director and HR manager etc. it will reduce the cost and tie of
central repository. It is necessary for the project heads to assign proper responsibilities to proper
project team member. If they purposefully serve their assigned job roles within estimated
timeframe then the project will be successfully accomplished.
Proper change management will deliver up to date, improvement and responding
strategies to the employees. The business process will become stronger and the overall service
accountability of the organization will also enhance. The inbuilt governance in the promapp
make sure that the processes are completely owned and at the same time the employees are made
accountable for making sure that they are absolutely effective and appropriate from the business
perspectives.

6PROJECT MANAGEMENT TECHNIQUE
3. Learning outcome 3
3.1 Work Breakdown Structure (WBS)
From this specific project the detail work package is elaborated in the below section:
Project schedule for supply
chain management system
implementation in
Woolworths Limited
Project initiation
Identifying the
operation issues
facing by Woolworths
Limited
Assigning project
manager
Discussion on
relevant tasks
Preparing business
case
Issue mapping
Project charter
development
Stakeholder analysis
and risk identification
Project planning
Scope management
plan
Time management
plan
Quality management
plan
Communication
management plan
Cost management
plan
Human resource
management plan
Procurement
management plan
ROI calculation
Project development
Supply chain
management
strategy
development
Potential project
structure
identification
Project evaluation
and success
analysis
Project closure
Post project
implementation
Stakeholder signoff
Final supply chain
management project
submission
Figure 1: Work Breakdown Structure for implementing Supply chain manage in
Woolworths Limited
(Source: Created by author)
WBS Task Name Duration Start Finish Resource
Names Cost
0 Project schedule for 110 days Tue 7/10/18 Mon $30,400.00

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supply chain
management system
implementation in
Woolworths Limited
12/10/18
1 Project initiation 32 days Tue 7/10/18 Wed
8/22/18 $10,600.00
1.1
Identifying the
operation issues facing
by Woolworths
Limited
5 days Tue 7/10/18 Mon
7/16/18
operation
manager $1,400.00
1.2 Assigning project
manager 6 days Tue 7/17/18 Tue
7/24/18
project
manager $1,440.00
1.3 Discussion on
relevant tasks 4 days Wed
7/25/18
Mon
7/30/18
business
analyst $1,280.00
1.4 Preparing business
case 8 days Wed
7/25/18 Fri 8/3/18 project
manager $1,920.00
1.5 Issue mapping 6 days Tue 7/31/18 Tue 8/7/18 business
analyst $1,920.00
1.6 Project charter
development 5 days Wed 8/8/18 Tue
8/14/18
project
manager $1,200.00
1.7
Stakeholder
analysis and risk
identification
6 days Wed
8/15/18
Wed
8/22/18
project
manager $1,440.00
2 Project planning 49 days Thu 8/23/18 Tue
10/30/18 $11,720.00
2.1 Scope
management plan 6 days Thu 8/23/18 Thu
8/30/18
operation
manager $1,680.00
2.2 Time management
plan 5 days Fri 8/31/18 Thu 9/6/18 operation
manager $1,400.00
2.3 Quality
management plan 8 days Fri 9/7/18 Tue
9/18/18
project
manager $1,920.00
2.4 Communication
management plan 6 days Wed
9/19/18
Wed
9/26/18
Human
Resource
manager
$960.00
2.5 Cost management
plan 5 days Thu 9/27/18 Wed
10/3/18
Finance
manager $1,120.00
2.6 Human resource
management plan
6 days Thu 10/4/18 Thu
10/11/18
Human
Resource
$960.00

8PROJECT MANAGEMENT TECHNIQUE
manager
2.7 Procurement
management plan 8 days Fri 10/12/18 Tue
10/23/18
business
analyst $2,560.00
2.8 ROI calculation 5 days Wed
10/24/18
Tue
10/30/18
Finance
manager $1,120.00
3 Project
development 20 days Wed
10/31/18
Tue
11/27/18 $5,040.00
3.1
Supply chain
management strategy
development
2 days Wed
10/31/18
Thu
11/1/18
Human
Resource
manager
$320.00
3.2 Potential project
structure identification 10 days Fri 11/2/18 Thu
11/15/18
operation
manager $2,800.00
3.3 Project evaluation
and success analysis 8 days Fri 11/16/18 Tue
11/27/18
project
manager $1,920.00
4 Project closure 9 days Wed
11/28/18
Mon
12/10/18 $3,040.00
4.1 Post project
implementation 2 days Wed
11/28/18
Thu
11/29/18
project
manager $480.00
4.2 Stakeholder
signoff 3 days Fri 11/30/18 Tue
12/4/18
Human
Resource
manager
$480.00
4.3
Final supply chain
management project
submission
4 days Wed
12/5/18
Mon
12/10/18
operation
manager,
project
manager
$2,080.00
3.2 Key deliverables for each project phase
The project is consists of four phases project initiation, planning, development and
project closure. All the project phases are interrelated to each other it implies that the output of
one phase acts as the input of the very next phase. For each phase there is a specific outcome
which is expected by the project manager. For example at the end of the project initiation phase a
project charter will be created. The project charter will make the project team members familiar
to the project objectives and goal. The chances of occurrence for different risks will also get

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reduced. After the creation of the project charter the project will progress for further towards the
project planning. In the project planning phase the all the planning related activities will be
fulfilled in terms of procurement planning, communication plan, HR management plan,
contingency management, time management, cost and quality management etc. It is the role of
the project manager to follow all of these activities accordingly so that the project reach the
objectives.
3.3 Importance of Work Breakdown Structure
For any project the usage of WBS stands very much beneficial. For the supply chain
management system implementation in Woolworths Limited Company the reason for which the
WBS should have to be utilized by the project manager are as follows:
Increase productivity: It facilitates all the effective identifications of the knowledge set
that are required for the completion of the work that are in turn facilitates the accelerated
determination of the correct people for the job. With correct people on job the team members
will become more responsible and focused to their job roles.
More detail view: It will give a more detail view to the project team members and make
them much familiar to the project goal and objectives.
Better cost and time tracking capability: WBS gives a better cost line as well as time
line tracing capability to the employees. Thus, a more realistic project can be designed within
reduced budget and cost.
Better risk identification ability: It gives better risk identification ability to the
employees. Moreover, it can be said that with the help of WBS the employees can easily identify
the risks and their mitigation approach.

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3.4 Skills required by the project manager for optimizing the effectiveness of the
WBS
Not only development of Work Breakdown Structure (WBS) rather besides this the
responsibilities and roles of the project manager play active role for the successful
implementation of any project. The set of essential skills those help to optimize the effectiveness
of WBS should possess by the project manager are as follows:
Professional power of communication: The project manager should use proper
communication skills while communicating with the rest of the project team members. Almost
ninety percent of the project managers spent most of their time in communicating with the other
project team members by conveying vision, mission, goals and ideas.
Leadership: Leadership is another important component that again must be possessed by
the project managers. It will help to motivate the team members with his or her technical and
non-technical skills. Leadership can deliver actionable information for implementing a better
project view.
Team management: A project team is comprises of different members and the role of
those projects a team members are to work collaboratively. The role of the project manager is to
coordinate groups by promoting ad delegating tasks. Team management will reduce both inter
organizational and intra organizational conflict.
Negotiation: Cooperation from the project team members for the successful
accomplishment of the any project is very much necessary. With professional communication
only the organizational issues can be mitigated.

11PROJECT MANAGEMENT TECHNIQUE
Risk management ability: Any project is full of different risks those are required to be
framed in such a way so that those can be manageable. Proper strategies are to be developed for
managing project uncertainties.
4. Learning outcome 4
4.1 Estimation of resources using accurate techniques and budget details
In order to avoid budget overrun at the initiation phase proper resources and budget has
to be estimated by the project manager. The work package chosen for this section is the project
initiation phase. The work package is comprises of 7 different activities. For each activity
different resources are assigned. It is the role of the human resources to complete the assigned
activity within the budget and time. For the successful implementation of Supply Chain
Management (SCM) system in Woolworths Limited the resources play vital roles and thus the
budget must be estimated properly for each of the human resources and physical resources are as
well. The standard rates estimated for the different resources are respectively showed in the
below tabular form:
Resource Name Std. Rate
project manager $30.00/hr
Finance manager $28.00/hr
operation manager $35.00/hr
business analyst $40.00/hr
Employees of Woolworths Limited $15.00/hr
Human Resource manager $20.00/hr