PROJ 6002: Cost and Quality Management Plan - St. Dismas Project

This report presents a comprehensive cost and quality management plan for the St. Dismas Assisted Living Facility project. It includes a detailed project cost estimate, breaking down costs for construction, legal requirements, operational implementation, and marketing. The report outlines a project budget baseline of $9,890,892.00 and justifies the budgetary plan by listing resource costs. Tools and techniques used in cost management, such as cost tracking, time management, and earned value analysis, are discussed. A Gantt chart is provided to visualize the project timeline. The quality management planning section identifies key factors for maintaining project quality, including training, material quality, and equipment utilization. This document is intended to ensure the St. Dismas project is completed within budget, on time, and to the required quality standards. Desklib offers a variety of solved assignments and resources for students.

Running head: PROJECT MANAGEMENT
Part B: Cost and Quality Management
Name of the Student
Name of the University
Author’s Note

1
PROJECT MANAGEMENT
Table of Contents
1. Cost management planning....................................................................................................2
1.1 Project cost estimate.........................................................................................................2
1.2 Project budget baseline....................................................................................................6
1.3 Tools and techniques used in cost management plan.......................................................7
1.4 Justification for the budgetary plan..................................................................................8
1.5 Gantt chart......................................................................................................................12
2. Quality management planning.............................................................................................13
Bibliography.............................................................................................................................17

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PROJECT MANAGEMENT
1. Cost management planning
1.1 Project cost estimate
Task Name Duration Cost
St. Dismas Assisted Living Facility Project 4420 days $9,890,892.00
Initiation phase 793 days $7,993,688.00
Construction & Furnishing 369 days $0.00
Facility construction 329 days $0.00
Phase 1 - Foundation & excavation
(basement/1st floor slab)
95 days $608,360.00
Phase 2 - Structure (steel/framing) 113 days $6,752,944.00
Phase 3 - Enclosure (masonry/windows/roof) 134 days $11,792.00
Phase 4 - Interiors
(drywall/ceiling/flooring/case goods)
234 days $620,592.00
First 45 (light assisted) units ready to prepare
for occupancy
0 days $0.00
First 45 units ready for residents 8 days $0.00
Remaining 57 units (light & heavy) ready to
prepare for occupancy
0 days $0.00
Construction complete 0 days $0.00
Building ready for residents 8 days $0.00
Planning phase 654 days $722,700.00
Legal and Licensing Requirements 154 days $0.00
Research licensing requirements for residential 38 days $3,040.00

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PROJECT MANAGEMENT
Uniform accessibility standard compliance 10 days $0.00
Investigate law firm and outline services 20 days $0.00
Prepare project plan for license 10 days $674,300.00
File license — by opening date 0 days $0.00
Curb - cut approval from county (access to 53 days $4,240.00
Investigate corporate structure for assisted
living
115 days $18,400.00
Determine Board of Trustee membership 15 days $0.00
Appoint Board of Trustees 20 days $0.00
Prepare draft Code of Regulation 20 days $0.00
Prepare draft Code of Regulation 20 days $0.00
Prepare document and fi ling of governance
structure
60 days $0.00
Draft service agreement with St. Dismas for
services provided
20 days $1,600.00
Lease issues 110 days $8,800.00
Research Long Term Care insurance 60 days $0.00
Facility “rules” defined 20 days $0.00
Spell out changes for residents in moving 30 days $0.00
Lease template prepared 30 days $0.00
Review all marketing materials for compliance 154 days $12,320.00
Execution phase 2757 days $1,001,392.00
Operational Implementation Plan 1 day $272.00
Management/Organization structure 87 days $6,960.00

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PROJECT MANAGEMENT
Recruit & hire Executive Director 17.4 wks. $6,960.00
Interior design issues decided (furnishings, etc.) 20 days $0.00
Determine what was provided with lease and
what was furnished in some units
2 wks. $405,000.00
Determine budget for interior 10 days $202,000.00
Carpet and wall finish determined 2 wks. $125,000.00
Furniture and room layout 2 wks. $0.00
Facility and equipment needs defined 4 wks. $1,600.00
Staffing determined 2 wks. $1,600.00
Office space for physicians 4 wks. $1,600.00
Medical staffing needs determined & Director
appointed
4 wks. $1,600.00
Food service 45 days $30,000.00
Menus selected 8 wks. $0.00
Waiting and service staffing needs determined 4 wks. $0.00
Additional equipment needs 4 wks. $0.00
Telecommunications services 45 days $0.00
Investigate phone service options 45 days $33,600.00
Certification/Accreditation requirements 42 days $0.00
Investigate requirements & timing of applicants 0 days $0.00
Develop clinical and operational quality 0 wks. $0.00
Develop financial systems (billing, etc.) 6 wks. $2,400.00
Human resources 79 wks. $31,600.00

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PROJECT MANAGEMENT
Work force management recommendations 6 wks. $2,400.00
Project plan for recruitment developed 2 wks. $0.00
Policies and procedures developed 60 days $0.00
Obtain ‘samples’ of assisted living policies &
procedures from other institutions
4 wks. $1,600.00
Investigate assisted living laws proposed in
other stages
12 wks. $4,800.00
Technology & information systems 344 wks. $137,600.00
Develop plan for technology access for
residents (TV, Cable, PC ’ s)
3 wks. $0.00
Investigate software/technology options for
residents
12 wks. $4,800.00
Completion of the construction and furnishing
phase
490 days $173,112.00
Marketing 270 days $30,240.00
Community mailing about construction project 0 days $0.00
Initial informational meetings 16 days $1,792.00
St. Dismas volunteers 1 day $0.00
Community groups 4 days $0.00
St. Dismas staff (all shifts) 3 days $0.00
Presentation prepared for Speaker ’ s Bureau 0 days $0.00
Provide updates to community 0 days $0.00
Inquiry log established 0 days $0.00

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PROJECT MANAGEMENT
Ground-breaking ceremony — during National
Hospital Week
0 days $0.00
Marketing plan developed and implemented 180 days $135,000.00
PR firm contracted 4 wks. $0.00
Marketing plan developed 8 wks. $4,480.00
Determine name and signage for facility 0 days $0.00
Hire Marketing Director 4 wks. $0.00
Marketing plan ready to implement 0 days $0.00
Implementation of marketing plan—5 months
before facility ready, then ongoing
20 days $1,600.00
1.2 Project budget baseline
09 April 2018 05 April 2021 01 April 2024 29 March 2027 25 March 2030 21 March 2033
$0.00
$2,000,000.00
$4,000,000.00
$6,000,000.00
$8,000,000.00
$10,000,000.00
$12,000,000.00
Budget baseline
Cumulative Cost
Figure 1: Cost baseline

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PROJECT MANAGEMENT
(Source: Created by author)
1.3 Tools and techniques used in cost management plan
In order to calculate the cost for the project “St. Dismas Assisted Living Facility
Project”, Project libre software is utilized. The project schedule is used in order to organize
the tasks of the project into number of phases so that it can be easily understood by the team
members of the project. The team members of the project are assigned to the tasks and
activities of the project as per the capability of knowledge so that they can be able to
complete the project work successfully within the time that is assumed. After assigning
resources within the various activities of the project, bottom up approach is utilized in order
to calculate the cost of the project. The bottom up estimate method generally starts with the
estimation from the lower level that is from the work package level that is created as per the
work breakdown structure and then rolling up to the highest level. This technique is mainly
utilized as this technique of cost management helps in estimating cost accurately.
For managing cost of the project following tools and techniques are generally
utilized:
Cost tracking: Cost tracking one of the most important technique that is mainly
utilized in order to track the budget of the project on a regular basis in order to make sure that
the project is on track in context to the project budget. If proper cost tracking method is used
then it will be quite easy to complete the entire project within the estimated cost.
Time management: Proper time management also helps in managing the cost of the
project. If the entire project gets completed within the estimated time then the organization
does not need to spend much further on the project and as result the entire project will be
completed within the budget that is assumed.

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PROJECT MANAGEMENT
Project change control: If change control will be managed then the organization
does not need to spend on the project changes and as a result the entire project will get
completed within the estimated budget.
Earned value use: Earned value analysis not only helps in managing the cost of the
project but it also helps the organization in measuring its performance as well as progress.
1.4 Justification for the budgetary plan
It is estimated that the entire project of “St. Dismas Assisted Living Facility Project”
will be completed within the budget that is around $9,890,892.00. It is identified that the
entire project will be completed within the assumed budget that is created as per the project
planning. The cost of various resources as well as materials that are utilized in the project are
listed in the table below:
Construction cost Cost
Building $ 6,743,000
Contingency 674,300
Land 600,000
Program development and equipment cost 405,000
Furniture 400,000
A&E fees 347,000
Financing costs 202,000
Capitalized interests 135,000
Site improvements 125,000
Phone & IS system 30,000
Kitchen equipment 30,000

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PROJECT MANAGEMENT
The cost that are associated with the resources of the project are as follows:
Resource
Name
Type
Materi
al
Label
Initia
ls
Grou
p
Max
.
Unit
s
Std. Rate
Ovt.
Rate
Cost/
Use
Accru
e At
Base
Calendar
Constructio
n project
manager
Work C
100
%
$11.00/hr.
$0.00/
hr.
$0.00
Prorat
ed
Standard
Legal Work
100
%
$10.00/hr.
$0.00/
hr.
$0.00
Prorat
ed
Standard
CFO Work C
100
%
$10.00/hr.
$0.00/
hr.
$0.00
Prorat
ed
Standard
VP
marketing
Work V
100
%
$14.00/hr.
$0.00/
hr.
$0.00
Prorat
ed
Standard
Splient Work S
100
%
$10.00/hr.
$0.00/
hr.
$0.00
Prorat
ed
Standard
COO Work C
100
%
$10.00/hr.
$0.00/
hr.
$0.00
Prorat
ed
Standard
Dr. Link Work D
100
%
$10.00/hr.
$0.00/
hr.
$0.00
Prorat
ed
Standard

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PROJECT MANAGEMENT
Chief
engineer
Work C
100
%
$10.00/hr.
$0.00/
hr.
$0.00
Prorat
ed
Standard
Hr.
Director
Work H
100
%
$10.00/hr.
$0.00/
hr.
$0.00
Prorat
ed
Standard
CIO Work C
100
%
$10.00/hr.
$0.00/
hr.
$0.00
Prorat
ed
Standard
Marketing
team
Work
100
%
$10.00/hr.
$0.00/
hr.
$0.00
Prorat
ed
Standard
Building
Materi
al
$6,743,000.
00
$0.00
Prorat
ed
Building
Contingenc
y
Materi
al
C
$674,300.0
0
$0.00
Prorat
ed
Contingenc
y
Land
Materi
al
L
$600,000.0
0
$0.00
Prorat
ed
Land
Program
and
developme
nt
Materi
al
P
$405,000.0
0
$0.00
Prorat
ed
Program
and
developme
nt
Furniture
Materi
al
F
$400,000.0
0
$0.00
Prorat
ed
Furniture
Financing
cost
Materi
al
F
$202,000.0
0
$0.00
Prorat
ed
Financing
cost

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PROJECT MANAGEMENT
Capitalized
interest
Materi
al
C
$135,000.0
0
$0.00
Prorat
ed
Capitalized
interest
Site
improveme
nts
Materi
al
S
$125,000.0
0
$0.00
Prorat
ed
Site
improveme
nts
Phone &IS
system
Materi
al
P $30,000.00 $0.00
Prorat
ed
Phone &IS
system
Kitchen
equipment
Materi
al
K $30,000.00 $0.00
Prorat
ed
Kitchen
equipment
.