What Systems Were Put in Place to Ensure Project Success - Assignment Example

?Project Management Table of Contents Discuss What Systems Were Put In Place to Ensure Project Success 3 Project Management Office (PMO) 3 Project Control System 4 Risk Management 5 Risk Management Plan 6 Risk Identification 6 Risk Assessment and Control Strategies 7 Risk Communication Plan 7 Risk Assessment Form: 8 References 11 Discuss What Systems Were Put In Place to Ensure Project Success Project management can be considered as one of the major management paradigms, which enables the business organisations to effectively and efficiently achieve their business goals within the constantly changing phase of the business environment. Project planning engages a cycle of measures which facilitates to determine an effective process to accomplish the goals as well as objectives of the organisation (Public procurement Guide, 2008). In this context, the Project Management Office (PMO), Project Control System and Risk Management are a few of the major steps that ensure the success of a particular project. Project Management Office (PMO) A Project Management Office (PMO) can be termed as a centralised organisational unit or body which is likely involve in different phases of a project. The body is the core entity that ensures to provide basic administrative along with advisory and consulting support to the overall operations of the project. Moreover, a PMO also involves in strategic and grievance services that are required to successfully achieve the desired goals and objectives of the project (Canfield University, 2004). With regard to the case scenario, Volkswagen (VW) Mexico had founded an effective PMO which was principally established in order to monitor and control operations performed in the Jetta component assembly line. The PMO of the company played a major role for the project in terms of coordinating an effective financial plan along with appropriate schedule for each project function. Moreover, the unit also contributed by playing a crucial role in terms of procuring and managing adequate resources to ensure effective performance within the Mexico project assembly line (Project Management Institute, 2012). Project Control System Project control system generally incorporates various steps performed by different operational and management groups which facilitate to successfully accomplish the ultimate objectives of a project (Public procurement Guide, 2008). With regard to the project control system of Jetta assembly line, VW Mexico had highly focused on six major steps including programming or estimation, identification, budgeting, cost control, scheduling of project activities and performance measurement. In relation to scheduling of project activities, VW Mexico component’s design strategy for installing Jetta assembly line would be completed within 21 months in a budget of around USD3.3 million. The work breakdown structure of the project is segregated into separate elements such as defining project which entails stage gate review and stakeholder development. Subsequently, the planning stage would entail design and new suppliers along with preparing the blueprint of the entire work activities. In addition, the phase of training, implementation and risk assessment would be comprehensively followed to ensure complete success of the project. Moreover, risk assessment phase would facilitate to ensure optimisation of the undertaken project along with ascertaining proper commencement of the production of Axel, Motor and Corner module (Project Management Institute, 2012). In this regard, it can be said that one of the critical components of project control system is to mitigate situations when delay occurs in the project schedule. In relation to Jetta assembly line project as well, the project manager needs to remain cautious to avoid any kind of delays. The project manager in such scenarios can take control by preparing a work breakdown structure for each and every activity of the project. Moreover, the project manager needs to carefully and continuously monitor any delay creating activity and if by any reason delay occurs then the project manager needs to make up delay time by rescheduling other lengthy activities. Risk Management Risk management emphasises to understand the potential risks in different activities and possible actions to mitigate them (Byatt, 2011). In relation to the risk management aspect, it has been observed that the project team in-charge of coordinating the production of Jetta component project had inculcated adequate initiatives in order to effectively deal with different risk factors within various steps of the project. In this regard, the project manager of Jetta component production assembly line was liable to identify different challenging phases and their effective solutions in order to successfully achieve project objectives (Project Management Institute, 2012). Risk Management Plan Developing a valid and most effective risk management plan can be considered as one of the major decisions for the PMO and project managers to mitigate various potential challenges which might arise in different project activities. An effective and valid risk management plan generally involves multiple practices including risk identification, risk assessment and risk control strategies along with risk communication plan (U.S. Department of Health and Human Service, n.d.). In relation to the Jetta component manufacturing project, the PMO along with the assembly line manager possesses the major responsibility of identifying different risks factors and their effective resolutions (Project Management Institute, 2012). Risk Identification Recognising potential risks within various operational as well as managerial functions of the project is highly essential for the organisations in order to accomplish their desired project objectives. Project risk factors can be recognised from numerous sources and activities performed within the project cycle. In relation to the Jetta component production project, the project manager is responsible to manage different uncertainties and risks associated with each project activities. In this regard, the project team members were assigned precise responsibilities to report any error associated with assembly line activities within the process. In this context, the risk can be ascertained in the procurement of raw materials for manufacturing motor, front axels and corner module. Moreover, the assembly line manager of the Jetta component production project also ensures to develop effective measures to address potential risk factors associated with different project functions (Flouris & Lock, 2008). Risk Assessment and Control Strategies Assessing and effectively controlling risks are also regarded to be amid the essential responsibilities for a project manager to ensure successful accomplishment of project objectives. In relation to the case scenario, it has been recognised that the project manager of Jetta component production highly focused on formulating effective measures to control risks associated with different vulnerabilities. Moreover, the project manager of the Mexico assembly line had also been identified to build effective measures for controlling risks in the areas of operations, procurement, labour conflicts along with various other factors (Flouris & Lock, 2008). Risk Communication Plan An effective risk communication plan significantly involves conveying potential risk events to the managers’ attention along with the entire team of a particular project. In this regard, the manager of the Mexico assembly line also ensures to build effective communication process among the team members from different functional units who are assigned various project responsibilities (Flouris & Lock, 2008). Risk Assessment Form: Risk Event Likelihood Impact Detection Difficulty Response Suppliers do not supply on time 4 4 2 Maintaining effective relationship, incorporating multiple suppliers Government approval delayed 3 4 3 Complying with the governmental laws and regulations prior to commence seeking project approval Employee serious injuries whilst employee assembly line 4 3 3 Hiring high skilled and experienced workforce, ensuring appropriate training and developing sessions, continuous monitoring of operations Conflict between 2 different units 3 3 4 Building understanding and relationship among the team members from different project units Nature Disaster 3 3 3 Obtaining information and rescheduling project activities Project Termination 3 2 4 Ensuring proper appraisal of the project before approving the termination Theft of computers 2 4 2 Strengthening security of the organisational assets and investing in technological features Power failure 3 4 3 Developing infrastructure and power facilities Union strike 3 4 2 Maintain effective relationship and compliance with the labour unions Resignation of key stuff of the project 3 4 4 Employee retention program, prioritising employee needs and desires Rise in raw material prices 3 4 4 Effective use of raw materials, recycling product elements Change strategy 3 4 3 Selecting alternative course of action by the project manager especially in case of any delay related situations to maintain overall project schedule. (Here, 1= Very Low, 2= Low, 3= Moderate, 4=High and 5= Very High) References Byatt, G. & et. al., 2011. Nine Fundamental Steps to Project Success. Identify and Manage Risks and Issues. [Online] Available at: http://www.asapm.org/asapmag/articles/NineSteps.pdf [Accessed September 11, 2013]. Canfield University, 2004. PMO: Project Management Office. PMO Services. [Online] Available at: http://www.som.cranfield.ac.uk/som/dinamic-content/media/ICPM/PMO4web.pdf [Accessed September 11, 2013]. Flouris, T. & Lock, D., 2008. Aviation Project Management. Ashgate Publishing Limited. Project Management Institute, 2012. Volkswagen Mexico Revs Up for Jetta Component Production. Case Study. Public Procurement Guide, 2008. Public Procurement Best Practice Guide. Project Management. [Online] Available at: http://www.publicprocurementguides.treasury.gov.cy/OHS-EN/HTML/index.html?7_project_management.htm [Accessed September 11, 2013]. U.S. Department of Health and Human Service, No Date. Risk Management Plan, Documents. [Online] Available http://www.phe.gov/about/amcg/toolkit/Documents/risk-management.pdf [Accessed September 11, 2013]. Read More