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The Nature of the Project in the Blue Commercial Organization - Case Study Example

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The paper 'The Nature of the Project in the Blue Commercial Organization" is a good example of a management case study. This project plan is developed to facilitate the upgrading the Information Technology and software systems in the organization. The project will be carried out in all 20 work stations of this organization which is located in Melbourne…
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Extract of sample "The Nature of the Project in the Blue Commercial Organization"

Applied Project Management Plan) (Name) (Course) (Lecturer) (Date) Executive Summary The improvement software version and IT system is indeed a significant role in every organization. This is attributed to the fact that there is increased profit and improved working conditions. As such this project plan aims at providing the necessary information required to actualization the project in The Blue Commercial Organization. The paper defines the nature of the project, the reasons and benefit behind the project. In addition, it covers the scope, time, cost and risk management. The only sponsors of this project are the shareholders who believe that there is a need to upgrade the technology infrastructure in order to increase the benefit that accompany the upgrading. Table of Contents Executive Summary 2 Table of Contents 3 1.0 Project 6 1.1 Phases 6 1.2 Client representative 7 1.3 Stakeholders 7 2.0 Purpose of the project 8 2.1 Description 8 2.2 The context of the project 8 2.3 History and background 8 2.4 Implementation concept 9 2.5 Technology 10 2.6 Market place 10 3.1 Scope and its management 10 3.1.1 Project scope statement 11 3.2 Time and its management 12 3.3 Cost 13 4.0 Requirements to be satisfied 14 4.1 The roles and responsibilities of people 14 4.2 The benefits 17 4.3 The value proposition for sponsor 18 5.0 Constraints and assumptions 18 6.0 Implement Strategy: Critical Success Factors 19 7.0 Risk and Treatment 19 8.0 Phases and delivery of future phases 22 10.0 The impact of the project on stakeholders 22 11.0 Milestones and an activity schedule 22 12.0 Budget 24 13.0 Enterprise Environmental Factors or Organisational Process 24 14.0 Integrated Plans 25 Learnt from the course 25 References 26 1.0 Project This project plan is developed to facilitate the upgrading the Information Technology and software systems in the organization. The project will be carried out in all 20 work stations of this organization which is located in Melbourne. The Blue Commercial Organization is the owner of this project and the shareholders of this organization are the sponsors. Daniel Connor, the operations manager is the manager of the project since he has been the one responsible for accounting operations and IT systems. Therefore, he is expected to have the authority for the execution and overall management of the project. There are 6 phases of the project 1.1 Phases Phase I: Establishment an agreement with the supplies The procurement department will secure an agreement with the IT companies that will supply the needed facilities for the project. This includes the companies that awarded the tenders. Phase II: Order the facilities After securing the agreement, the finance department will collaborate with the procurement offices in order to facilities ordering of the facilities and equipment. Phase III: Installing the software and disposal The new software will be updated while the computers which have been outdated will be disposed appropriately since there cannot match with the current transaction of the organization. There IT systems will be installed in 20 work stations in the organization while 12 softwares will updated to the standard of the shelf software. Phase IV: Conduct testing In order to prove whether the upgraded work is functional, it is important that tests are carried out by the relevant staff. This indeed will avoid any technical problems during the running of the organization. Testing will be conducted by the IT department together with the expert from the selling companies. This will be done with an approval from the manager. Phase V: Training the staff Given that the staff have been used to the older version of the system, there is a need to train them on the new system that has been installed. As such, the staff will be in a position to work comfortably in the organization. Phase VI: Implementing the upgraded systems and software into the system Lastly, with the testing of the installed software and IT systems, and the training of the staff, the implementation of the systems in the organization is the final phase in the project. It is expected that the system will facilitate excellent results in cash flow, reduce clients’ complaints on delays and keep track of clients’ records. 1.2 Client representative In order to ensure that the clients’ needs are upheld in the project, the shareholders selected Carolyn Clarke to represent the clients in the project. The output of the representative will be grouped with of the stakeholders. 1.3 Stakeholders The following will be the main stakeholders in the project Representative of the project sponsor Project manager Steering Committee Project participants including team leaders (comprised of head of various departments) who will be identified by the steering committee Project participants who will also be identified by the steering committee 2.0 Purpose of the project 2.1 Description The project is significant in the present industrial world. This is attributed to the fact that in the current organizational era, it has been perceived that improvement of software and Information Technology systems has reduced costs related to working of systems (Archibald 2003). Indeed, this is attributed to the fact that an efficient working system will reduce time and cost associated with their operations. As such, the organization will increase its annual profits. 2.2 The context of the project The project mainly involves rehabilitation or upgrading of the systems within the organization. At present, the organization is relying on the old systems which are affecting the flow of operations. Most departments have complained of slow transactions that have resulted to increase in costs. In addition, time has been wasted affecting transactions with the clients. As a result, it is important to reduce the aforementioned issue so that the company may be in a position to maximize its profits. Therefore, the project will lead to new systems in the 20 working stations of the organization. In addition, the project will result to an updating of 12 softwares to standard off the shelf software. The mangers in all departments will also have their systems update. 2.3 History and background For the last one decade, the company has not been able to upgrade its working station. This may have been attributed to some extent by lack sufficient finances and lack of enough motivation. In addition, one may blame it on poor governance. This is despite the fact that the company has been using computers and software which are outdated; therefore, not meeting the volume of the present transactions. This challenge has cost the company lots of money and to some extent it has not been able to operate competitively in the industry. However, with the coming in of the new managerial system and governance, the need to change the operation system was brought on board and the shareholders agree to the fact that it is only through the upgrading and change of the software and IT system that the company will be able to keep its clients and maximize on its profits. This agreement gave birth to this project that will involve all department managers. The company has approximately $ 10 million funding for the 7 months. The key objective of the project is to boost the technology system through making technology infrastructure and system available to the employees and shareholders. 2.4 Implementation concept Daniel Connor, the Project Manager, has the overall responsibility of ensuring that the project is successful executed. The implementation of the project will involve personnel from accounts, customer relation, administrative, information and technology, financial and production departments. In addition, it has full support from the shareholders. It is important to note that there are things which are required for the project including furniture; however, some of them have already been purchased. Every head of the department is required to submit a report concerning the affected operations within the department. This is necessary in order to make sure that the interrupted operation flow in every department does not result to closure of some transactions. In addition, the IT personnel in every department will be assigned to a particular software expert in order to come up with the necessary upgrading that is required in each department thus making it easier for the Project Manager to execute. 2.5 Technology Given that this project is majorly concerned with the improvement of the present technology in the company, it is obvious then, that only advanced technology will be applied. In regard to this, the company will be expected to hire on temporary basis technology experts to assist. It is then expected that the concerned employees will be trained on how to use the new technology. With this advanced technology infrastructure, the company will be able to operate more efficiently. 2.6 Market place It is currently argued that the market is evolving rapidly due to advanced technology. With this, the clients are able to interact fast with various companies. As a result, reducing cost seen in different transaction and creating an interactive environment. Indeed, most companies have been able to establish a niche in the market and are still expanding. This clearly depicts the need of this project; the company should compete effectively in the industry; be able to attract more clients and maintain the old ones, and this will be made possible by implementing this project. 3.0 The objectives 3.1 Scope and its management As expected, all projects have scopes that are comprised of the company’s planning processes and results. This is significant so as to ensure that it is only tasks which are important are embraced in the project while those that are not significant are excluded. Given that the Project Manager has the overall authority, he will be sole responsible for managing the scope. In relation to this, the sponsors and the stakeholders will establish and endorse the needed documentation that will be used in assessing the scope of the project (Burke 2003). With the above understanding it is important to define scope because it requires the stakeholders to give a detailed scope that embraces constraints, assumptions and deliverables and offer a framework that the project should maintain. In defining the scope in this project, a thorough internal process under which a research was done in all working stations within the organization in order to establish the performances of the current technology infrastructure and system. This was done employees and research feedback. The collected information was used in developing significant documentation and project plan. 3.1.1 Project scope statement The project comprises of a construction of Sponsor tool in order to help the company in its technology advancement. Notably, it has a strong focus on extending these tools in improving or upgrading the company’s operation systems in order to increase efficiency in its operations. In addition, to this, the project covers the maintenance of the software and the IT systems. The project will only take 7 months. Assumptions for this project are that the shareholders will support the project by allocating the required resources and financial need. In order to mitigate or avoid scope creep, there is a need to control the scope (Hill son 2003). As such, the Project Manager and the team leaders will work together so as to control the scope. In doing so, it is expected that they maintain the work that is defined in the WBS dictionary. However, it is important to note that Project Manager will oversee that the projects adhere to the scope control process. In case of any changes, the Project Team leaders will submit them to the Project Manager who has the freedom to reject or accept that change depending on their significance to the project. If the changes are accepted, the Project Manager submits the changes to be approved by the Change Control Board. The scope will exclude external interface modification which will be considered in future projects. Furthermore, the project does not require additional hosting needs given that it is hosting itself. 3.2 Time and its management Time is significant in every project; as such, it requires to be managed well. This is attributed to the fact that time management is an important tool because it highly control and check time that is spent in running a project. Given that building of deliverables in a particular project has a time frame, utilization of time process helps in monitoring time that the project will use. As such, the chance of delivering the project in time is enhanced. In implementing the project, it is important to note that the project will utilize four criteria; following the unambiguous time, schedule time for potential changes, improvement of new changes and schedules. Notably, this is significant given that there is a close relationship between time, resource and time as depicted in the diagram below; It is worth noting that in relation to the above diagram, each activity in the project is estimated to take a given time; consequently, the stakeholders of the project need to ensure that appropriate resources are allocated and availed to each task. Of importance to note is that a change in the schedules or requirement will result to a change in the cost and resources required. In order to meet the above expectations, the Project Manager and team will apply required tools, methodologies and specific techniques in order to estimate the time frame for each task of the project. In respect to scheduling of various activities within the project, the Project Manager and team will create a schedule which will provide a transition platform from draft project into a handy one in order to accomplish the project successful. The scheduling activities will obviously be part of the contractual agreement so that it will depict the essence of working within the specified dates. As such, a schedule becomes an important tool in laying a practical strategy. However, of importance to note is the fact that in any given project, dates are not very significant; what is important is the duration that the whole project will take. This attributed to the fact that there are other external factors that are likely to affect the time for each activity. 3.3 Cost As seen in all project financial issues are major concerns for stakeholders in any organization. As a result it is expected that in every operation the management consider this. In managing the cost, the Project Manager is solely responsible in reporting and managing the cost of this project all through to its completion. The Project Manger will be reporting to the sponsors and management on the financial status of the project. The report will be reviewed after two weeks in order to keep the shareholders updated. The Project Manager involvement in coat management will begin from the time when the shareholders have assigned the commencing of this project. In relation to this, the Project Manager will have two tasks in relation to cost: Before Commitment; this is a stage where the project’s concepts and definitions take a project from ideas, schemes to clear-cut of the shareholders’ expectations. Under this, it is expected that the Project Manager estimate and assess any options which may be necessary in the running of the project (Lau & Kong 2006). After Commitment; this is the stage where the project is taking off. Here, the Project Manager roles changes from that of valuating and assessing to that of delegating. During the early stages of the project there is a need to estimate costs for evaluation purpose. To accomplish, the project will use the top down approach whereby every component of the project will be sub divided into subsection. Each subsection will be detailed in such a way that estimating technique will be utilized to provide cost estimates. 4.0 Requirements to be satisfied There are requirements that the project need to satisfy including software and hardware documentation, security, project support functions, that is, software quality assurance, configuration management, validation and verification plan. 4.1 The roles and responsibilities of people Role Responsibilities Participant(s) Project Sponsor Final tie-breaker and decision maker; offer guidance and oversight; review, reject or approve project elements Shareholder of the company Steering Committee Review all the project deliverables; direct the Project Manager; resolves issues and crises; approve resources and key funding and allocate resources to department Names will be forwarded by the management Project Manager Receive guidance for the Steering Committee and Project Sponsor; manages the project; a liaison to the Steering Committee; supervisors vendors and consultants; manages the project budget; direct the project team towards achieving the objectives of the project; handles problem resolution Connor Project Participants Comprehend business processes and user needs of the area; approve after reviewing projects deliverables; communicate project status, goals, and development in the running of the project from the designed area; act as client advocate representing their working stations; provide recommendations and knowledge; assist in creating work products; coordinate participation of stakeholders, individuals and work groups (project team members)/ assure that the products delivered are of good quality and meet the set standards, project objectives and goals; indentify issues and potential risks and assist in resolutions The members will be identified by the Steering Committee with guidance from the Project Manager Subject Matter Experts (IT Consultants) Lend guidance and their expertise as required The members will be identified by the Steering Committee with guidance from the Project Manager 4.2 The benefits Upgrading the company’s IT system and software versions is more than an economic business decision. It is primarily a matter of employee morale, reduced costs, productivity and security. It is important to note that upgrading software, more so the employee software, it is a necessary expense. This is attributed to the fact the employees are motivated when the facilities they are using meet the requirements needed and provide appropriate output. In addition, failure to upgrade the system may result to a feeling of neglect by the employees. There are various reasons as to why the company need to upgrade its technology infrastructure; firstly, the more a software package is used in the company for a long time, the more security of the company is at risk. Malicious virus and security holes may take advantage of the popularity of the software in the company. Indeed, it has been proven that new versions of software are safe. Increased security implies that the company is not at risk of losing confidential informational which may take time to recover if lost and decrease the cost and time related to the recovery. Upgrading the company’s technology infrastructure will reduce the costs that are incurred in maintain the old facilities and software versions. It is recommended that as the company is growing, it is important for the technology to grow so as to meet the increasing demands of productivity. Failing systems increases the cost through overloading some departments and personnel. Improved version o software and new systems ensures that tasks are performed efficiently. Basically, addressing various challenges facing the company as a result of outdated computer and old software versions, will greatly improve the company’s image globally in relation to performance and productivity. 4.3 The value proposition for sponsor Indeed, in this project the sponsors stand to benefit given that they are the main shareholders in this company. With the above benefits, primarily, the sponsors, who are the shareholders, will clearly be the first to economically benefit. With the increase in sales, reduced costs and motivated employees, the image of the company will improve positively. As a result, the sponsors will be able to increase their influence in the industry. Furthermore, the sponsor will also be in a position to pursue other projects that had been suspended due to financial constraints. This will be made possible by the increased finances. In addition, the sponsors will benefit indirectly through increased security of the company’s information. 5.0 Constraints and assumptions As seen in all projects, constraints are present; therefore, this project is not an exception. To some extent the project is failing insufficient fund given that it has no external funding. In addition to this, the nature of law enforcement is likely to affect the availability of resources consist. The following assumptions were made while preparing this project plan; The management will ensure that the project team members are available so as to complete the project objectives and tasks The Steering Committee will timely execute the plan Failure to point to out changes within a given time will delay the project The project plan is subject to change due to revelation of new issues and information Project participants will follow the guidelines set fully The employees will embrace the change accompanying the project. 6.0 Implement Strategy: Critical Success Factors According to Kerzner (2009) success factors are the inputs that are integrated into the management systems that will result to the success of the project both indirectly and directly. With the above understanding on the necessity of success factor, this project has laid down several success factors including; project personnel, individual management, project control, project planning, clear communication plan, availability of significant tools, and management support. In addition, the fact that the project participants are aware of the significant of this project will ensure that the implementation of the project will flow smoothly. Of major importance to note is the fact that both project control and planning calls for a united and determined team and leaders. Indeed, the Project Manager is capable of leading the team and therefore, accomplishing the project within the given time (Gambles 2009). As a result it reflects the success of this project. Furthermore, people management will ensure tolerance and project’s targets will be achieved. 7.0 Risk and Treatment Risk Risk level; L-low, Medium, H-high Occurrence Treatment Individual hours H Sureness Involve consultant and Project Manager; have a comprehensive project communications and management approach Specified project schedule H Sureness Comprehensive project timeline Scope creep L: it is well defined and revised regularly Unlikely The scope is reviewed weekly in order to spot scope creep Vendor project deliverables M; not defined clearly Likely Embrace in the project plan and subject it to revision Unrealistic cost estimates L; it has been predicted thoroughly by the experts in the industry Not likely To be included in the project plan, may be amended when need be Unrealistic timeline estimates M: May happen The Steering Committee and Project Manager review the timeline weekly Existence of Steering Committee Enthusiastic and well identified Not likely Constantly ask for reports to maintain their support Absence of commitment and attitude of management L: supports the project and comprehend value Not likely Constantly ask for reports to maintain their support Availability of project team M: team members from different department makes their availability questionable May happen Review the project continuous; increase commitment through motivation and increase participants status Team Member relation with external experts H; no prior interactions Sureness A complement expert assessment and selection in order to predict a good relationship during the project Issue in procurement methodology L: the methodology is familiar to the participants Not likely N/A 8.0 Phases and delivery of future phases The project phases ensure that in case of future plans of applying the same project plan. This is through correct documentation of all phases in the present project. 9.0Work Breakdown Structure (WBS) WBS being a hierarchical that represent work content, and is divided into small units, it is significance in any project (Nicholas 2004). This is attributed to the fact that it primarily describes work packages, and plays a major role in controlling and planning a given project. For this project, the WBS will embrace of work pages within 2- 20 hours in accordance to the agreement signed by the project stakeholders. In addition to this, it defines deliverable, task and project resources. In case of any changes approved, the relevant personnel communicate them to stakeholders. 10.0 The impact of the project on stakeholders It is important to note that the stakeholders are part of the company and are significantly affected by any change that is introduced through a project. As earlier seen the stakeholders will mainly constitute of head of various departments; therefore they are likely to be directly and indirectly affected by the project. Directly, they will be affected by the delays in running some interaction as a result of the expected change. This will be observed through a decrease in some activities in the respective department in relation to technology infrastructure. However, on completion of the project, the earlier discussed benefits will be felt. 11.0 Milestones and an activity schedule Primarily, the project will be divided into two phases. The first phase will include the installation of the computer in all working systems. In addition, it will include installation of software to the working stations that have been operating without. The second phase will comprise of updating old versions of software to new ones. It is important to note that in order for the operation to flow smoothly, all the required facilities needed for upgrading and installations will be obtained before the actual process. Any delays will be reported to the Project Manager. Milestone Description Date Initial Steering Committee Meeting This will include the selection of the stakeholders that will participate in the project. After this, the Steering Committee will give a signal to start the project 16/10/2013 Submission of the requirements New versions of software and the consultants need to be ready to start working in all stations 23/11/2013 Layout and design All the departments that will be worked on should have their design updated and a layout that will support the updating prepared 12/12/2013 Phase 1 Installation of the computer and software versions 3/1/2014 Phase 2 Updating versions 1/2/2014 Testing The experts will test for functionality ad any errors detected will be corrected accordingly 2/3/2014 Training The employees will be trained in order to be conversant with the updated infrastructure 18/3/2014 Completion A report will handled over to the Project sponsor upon completion of the project by the Project Manager 19/4/2014 12.0 Budget Purpose Amount allocated ($) Facilities and equipment 5, 500,000 Installation and upgrading 2,000,000 Consultants 1,000,000 Documentation 500,000 Others 1,000,000 Total 10, 000,000 13.0 Enterprise Environmental Factors or Organisational Process There are various assets that are available in the company that may be utilised in the project. Employees of this company will provide the needed manpower in running some operations related to the project. In addition, some outdated computers have some facilities that may be integrated into the new ones. The structure and culture of the organization may indeed affect the running of the organization. However, of importance to note is that project will have to follow the guidelines as laid down by the industry. 14.0 Integrated Plans In order to ensure that the scope, cost, time and risks are managed effectively, the shareholders have ensured that the Project Manager has the overall authority in this project. As such, collaborating with the stakeholders of this project, it is expected that the laid management of the aforementioned issues are laid. However, it is important to note that they are dealt with separately despite their relation as noted earlier. Learnt from the course This course is significant in jobs related to projects given that it is a dispensable course in the line of business studies. Indeed, the course provided the required platform and valuable knowledge. The course teach one how plan, communicate, organize, and utilize management tools. In addition, it helps one to learn how to apply leadership skills and utilize methodologies such as estimate cost, agile and facilitate meetings. It also equips one with the much needed skills of how to apply the latest technology and important aspect of working with stakeholders, clients and working with teams. In relation to this, budgeting and mathematical skills gained will assist in managing costs in relation to time, scope and quality of a given project. It is also important to note that this course equip one with skills that may be utilised in other aspects of life. This includes communication which is quite significant in the corporate world. One is able to interact with clients and be able to present himself in front of prospective customers and risk assessment in relation to finance and well being of every stakeholder involved. Still, the course assists one to become a key player in any project. This is attributed to the fact that it is through this course that one learn the need to collaborate in order to ensure that a project has accomplished its targeted goals and objectives. Basically, the course helps one to learn or equips one with important skills required to have a successful career in project management. References Archibald, R 2003, Managing high technology programs and projects, 3rd edn, New Jersey: John Wiley & Sons Burke, R 2003, Project management: planning and control techniques Chichester: John Wiley & Sons Gambles, I 2009, Making the business case: proposals that succeed for projects that work, Farnham: Gower Publishing Limited. Hillson, D 2003, Using the risk breakdown structure in project management, Journal of facilities management, Vol. 2, No, 1, pp. 85- 97. Kerzner, H 2009, Project management – a systems approach to planning, scheduling and controlling, 10th edn, New York: John Wiley & Sons Lau, E. and Kong, J 2006, Identification of constraints in construction projects to improve performance, Proceedings of the Joint Conference on Construction, Culture, Innovation and Management, pp. 655-63. Nicholas, J 2004, Project management for business and engineering: principles and practice, 2nd edn, Burlington: Elsevier Butterworth-Heinemann Read More
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