Baseline Project Plan for GB Manufacturing Equipment Check-Out System - Case Study Example

Baseline Project Plan for GB Manufacturing Equipment Check-out System Executive Summary The existence of an IT project starts when someone perceivesthat there is a problem with the existing ways of doing things and is persuaded that technology might have the potential to provide with an answer. GB Manufacturing is an electronic components and testing equipments producer. Assessment of the maintenance operations of the company showed that there is a problem with their equipment depot operations, which caused an alarming dollar amounts of financial losses due to lost, stolen and damaged tools. Analysis of the existing equipment check-out system reveals the need for a new automated system that would monitor and track the availability and status of tools used by maintenance personnel. Furthermore, the new automated system called Equipment Check-Out System (ECS) will help the Maintenance Department improve their services to the maintenance personnel as well as create timely reports and analytics required by management. I. Introduction Purpose The purpose of this baseline project plan report is to evaluate the needs of GB Manufacturing in the development of an Equipment Check-Out System (ECS) and determine the feasibility of integrating and implementing such system into their business processes. This project plan shall serve as a resolution to management and shall also serve as a guide to the ECS development team. Scope The report is a preliminary investigation of developing the Equipment Check-Out System into the business processes of GB Manufacturing, specifically the Maintenance Department Equipment Depot Section. This project plan covers the identified problems, opportunities, management directives and recommendations. Outline The baseline project plan report is written in three sections. First section is an investigation on the needs in developing a system that manages equipment check-in and check-out. Second section is the evaluation of the feasibility of developing an ECS. The last section is focused on the project management issues and proposed development methodologies. II. Project Investigation Problem Statement The equipment depot operation in the Maintenance Department of GB Manufacturing is experiencing several problems in terms of lost and stolen equipments. It is the primary function of the equipment depot to provide the necessary equipments required by the maintenance employees. However, the estimated amount of lost and stolen equipments exceed $50,000 worth of tools each year. Alternative Solutions to the Problem In order to address the alarming issue of losses, the management and the Maintenance Department has two options. First alternative involves the improvement the existing manual system of equipment check-in and check-out where tighter controls will be implemented and penalties shall be imposed to responsible persons. Another alternative involves the development of a new automated system that would manage the equipment check-in and check-out with emphasis on traceability of usage and timely availability of equipment. Weighted Multi-criteria Analysis In order to assess the significance and relevance of the alternatives, a multi-criteria analysis is created to rate both alternatives. The alternative with the highest total score is chosen for the project. Criteria Weight Rating Option 1. Improvement of Existing System Option 2. New Automated System Rating Score Rating Score Requirements Real time data entry 5 3 15 5 25 Real time data query 5 3 15 5 25 Equipment tracking 15 3 45 5 75 Efficient Inventory Mgt. 20 3 60 5 100 Check-out Restrictions 15 3 45 5 75 Sub-total 60 180 300 Constraints Developer costs 10 5 50 2 20 Hardware costs 10 5 50 3 30 Operating costs 10 4 40 3 30 Maintenance costs 10 4 40 3 30 Sub-total 40 180 110 Grand Total 100 360 410 Recommendation Based on the multi-criteria analysis, it is recommended that a new automated system shall be developed in the equipment depot operations. The new system shall track the usage, location, and responsible person of the borrowed equipment. It will have the capability to monitor status of equipments at real-time; generate timely reports for inventory management use; and create up-to-date employee restrictions on equipment check-out. SWOT Analysis Below are the perceived strengths, weaknesses, opportunities and threats of the new automated ECS. Strengths Real-time data entry and query Ease of tracking equipments usage, location and responsible personnel. Accurate and efficient generation of inventory management reports and requirements Ease of updating check-out restrictions Increase capacity for growth of equipment depot operations Weaknesses High cost of system development New software and hardware infrastructures are required Operations and maintenance cost of infrastructures is relatively high Training of end-users is necessary Opportunities Can be integrated into the existing infrastructures of Information System Services System development can be outsourced. Packaged inventory management software is available in the market that are for sale or for lease. Threats System is prone to malicious actions or software viruses. Financial and operational losses in the maintenance department will be experienced due to system crashes or break-downs. False reports may be generated due to incorrect data entry. III. Project Feasibility Assessment Operational Analysis The existing manual system of equipment check-in and check-out has several problems. The equipment check-in and check-out is time consuming for the depot supervisors and the queue of personnels waiting for their transactions is high during the beginning as well as the end of work shifts. The automated ECS would solve this problem through real-time data entry and query. The ECS will lessen the queue by speeding up the transactions between the equipment depot supervisors and maintenance personnels. Update of Maintenance Employee Registration is done manually at the moment. Depot supervisors maintain a record of paper-based informations submitted to them by maintenance supervisors and updates are highly dependent on the informations forwarded to the depot. With ECS, the HR Department can integrate and inter-connect their resource information system with the depot system for automatic updates on skill classification records and restrictions. Economic Analysis Tangible Benefits Reduction in dollar amounts of lost and stolen equipments Reduction of administrative costs of maintaining the equipment depot Increase speed of activity Increase savings from need of purchasing of new equipments Improvement in inventory management Less Paper and Paperless transactions Intangible Benefits Timely and accurate reports on inventory management Improved availability and traceability of equipments Increased awareness, responsibility and ownership of equipments Ability to analyze historical records and trends of equipment usage Efficient information dissemination of employee records and restrictions Positive impacts on equipment depot services Improvement in equipment depot work processes Tangible Costs Development Cost Hardware Infrastructure Cost Software Infrastructure Cost Software Maintenance and Update Cost Hardware Maintenance and Update Cost User Training Supplies Intangible Costs Dependence of personnels to the automated system Inaccurate reports due to negligence of duties System crashes and breakdowns Technical Analysis The current process of equipment check-in and check-out is done manually. There is no existing software and hardware that is available on-site. The needed infrastructures will be provided for the end-users at the implementation of the project. The project development team shall be comprised of several employees from the Information Systems Services(ISS) and Maintenance Department. The project size is small since it is a specific system development for equipment inventory management. The systems analyst, who has the experience and expertise in systems development, will be the designated project leader. Its members will include the staff from ISS capable of hardware development and software design. The three end-users who are equipment depot supervisors will serve as advisors and will participate through information transfer of work processes and other relevant data. The Equipment Manager will serve as the project sponsor. Project Development Methodology and Schedule The methodology of developing the ECS will follow the standard process of System Development Life Cycle (SDLC). SDLC is a structured framework that consists of sequential processes. It consists of four fundamental phases which are planning, analysis, design, and implementation. Equipment Check-Out System (ECS) Project Proposed Development Schedule Responsible Department Responsible Personnels 1 Planning and Analysis 1.1 Evaluate Current System ISS SA 1.2 Define Requirements 1.2.1 Define User Requirements ISS/MD SA/EDS 1.2.2 Define Content Requirements ISS/MD SA/EDS 1.2.3 Define System Requirements ISS SA 1.2.4 Define Server Requirements ISS SA 1.3 Define Specific Functionality ISS/MD SA/EDS 1.4 Define Risk and Risk Management Approach ISS SA 1.5 Develop ECS Project Plan ISS SA 1.6 Brief Development Team ISS SA 2 System Design 2.1 Define Work Processes ISS SDT 2.2 Identify Required Informations and Sources ISS SDT 2.3 Design Software System to Support Work Processes 2.3.1 Basic Software ISS SDT 2.3.2 Data Access Required ISS SDT 2.3.3 Vendor Software Required ISS SDT 2.4 Identify Required Hardware Components ISS HDT 3 Hardware and Software Acquisition 3.1 Obtain Quotations from Hardware Vendors ISS HDT 3.2 Obtain Quotations from Software Vendors 3.2.1 Identify Potential Software Products ISS SDT 3.2.2 Obtain Test Copies for User to Examine ISS SDT 3.2.3 User Comparison and Approval ISS/MD SA/EDS 4 Installation 4.1 Order Components ISS SA 4.2 Test Components for Technical Functionality ISS SA 4.3 Assemble System Infrastructures ISS HDT/SDT 5 Training and Testing 5.1 Train Users on ECS Software ISS SA 5.2 User Test of ECS System ISS SA 6 Roll-out and Implementation of ECS MD EDS Legend: ISS – Information Systems Services MD – Maintenance Department SA – systems analyst EDS – Equipment Depot Supervisors HDT – Hardware Development Team SDT – Software Development Team Network Diagram of Project Schedule IV. Project Management Issues Information Gathering Informations and data needed for the completion of the project will be gathered and collected through end-user and management interviews, on-site work process inspection, managed records and other pertinent documentations available and related to the project. Change Management Individuals and groups may resist changes that may occur due to the implementation of the new automated ECS. This resistance can be overcome through education, coercion, persuasion and participation. Education involves formal training of end-users. Coercion can be done through department policies. Participation is made possible by creating commitment from concerned employees. Some factors inherent in the design of the new system may also create resistance. These factors may include an unclear and puzzling human interface that would make the end-users too long to familiarize with. This can be overcome through formal training of end-user, an improved and user-friendly system interface. User participation on the design would be very helpful to improve the system. Some users may resist the system if they believe that the system would threaten their existing status and work authority. This can be subdued through identification and resolution of organizational blocks before the system is introduced and implemented. Empowering users and promoting user participation would be essential to the success of the system. Communication Methods Communication of information within the ECS project should be constant. It is the responsibility of the project leader to ensure that the communication takes place effectively, clearly in a timely manner between persons concerned. Continuous feedback is necessary for defining and sustaining the ECS project. The following lists show possible methods of disseminating informations to the concerned departments. FAQ Sheets Similar concerns and questions by most people will be recorded and circulated as Frequently Asked Questions Sheet. Some questions might be: “What is ECS?” “When is ECS expected to be used?” “How does end-users utilize ECS?” “Will there be training?” “What support is available?” Newsletters This is a good way of informing people with the status of the project. This will include milestones, progress, benefits and other materials that are covered in the project. The newsletter and other informations can be posted on an intranet or local area network. Meetings Concerned staffs and employees will meet with the development team to share information. Comments will be invited. End-users Training The new ECS will be demonstrated to end-users. The features, functionality and daily operations will be explained and explored by end-users. Questions regarding the system will be answered at this training. V. Conclusion Recommendations and Limitations In conclusion, the baseline project plan recommends the development and implementation of ECS to the Maintenance Department Equipment Depot. The development of the system would benefit the department in terms of improvement in their work processes and services. The system would also help manage the equipment inventory and reduce the dollar amounts of lost, stolen and damaged tools. This project plan further recommends the creation of a development team to initiate the fulfillment of requirements as described on the project schedule. The plan also recommends allocation of resources as well as management support for the effective development and implementation of the new automated system. Project Deliverables and Estimated Duration The ECS project is an automated system that will manage the equipment check-in and check-out processes. It will analyze the existing equipment depot operations and procedures. The project is a result of the evaluation and recommendation in improving operations on the depot work processes. The ECS will have the capability to be interfaced with other existing systems of inventory management, human resource and information systems services. The system will have the capacity to accommodate growth in the organization. Since there is significant analysis and investigation to be done, the estimated duration of the project is six months. References Laudon, K.C. and Laudon, J.P. (1996) Management Information Systems Organisation and Technology Prentice Hall, NJ. Turban, E., Aronson, J., Liang, T., & Sharda, R. (2007). Decision Support and Business Intelligence Systems (8th ed.). Upper Saddle River, NJ: Pearson Prentice Hall. Read More