Weaknesses of the Current Purchasing and Inventory Management Practices at Viverra Motors - Case Study Example

Project Closure Report QINGDAO INTERNATIONAL REGATTA 2018 Table of Contents 1Executive Summary 3 2Project Performance 4 3Project Reports 6 4What I Learned 8 1 Executive Summary 1.1 Project Overview The project that is the focus of this report was the ‘Lushang Cup’ Qingdao International Regatta. The main purpose was to ensure that the event is successfully held and that the expectations of its different stakeholders are adequately met. It was expected that the successful staging of the event would boost the image of Qingdao as a tourism destination as well as improve the popularity of sailing in China. Thus, the project team was tasked with the responsibility of implementing the project using the total allocated budget of ￥ 2436885 and within the defined time frame. 1.2 Project Performance Summary The project was successfully implemented. The three key variables of project performance, which are time, cost and quality, were fully addressed. All the activities that made up the work packages for the project were fully implemented according to the schedule. Moreover, cost control measures were used to ensure that the financing of the project was in line with the budget. Lastly, the expectations of different stakeholders regarding the quality aspect of the project were met. 1.3 Follow-on Actions The only important follow-on action relates to reviewing the general performance of the project and documenting the lessons learned so that they can be used to manage similar projects in the future. 1.4 Lessons Learned Several reasons were learnt while implementing the project. One important lesson is that control measures regarding scope, time and costs are critical in determining the overall performance of the project. It is only when the project management team uses highly effective control measures that the project can meet the overall performance criteria related to cost, scope and quality. Another lesson that has been learned from the process of implementing the project is that managing risk is an equally important aspect of managing any project. As well, it is important to validate the scope of any project and effectively manage the expectations of the stakeholders while implementing the project. 2 Project Performance 2.1 Financial Status The essence of evaluating the financial performance of a project is to determine whether the project has been implemented within the specified budget (Goodpasture 2013, p. 6). Also, evaluating the financial performance of a project takes into consideration the extent to which the time-dependent budget is adhered to during the project implementation phase (Goodpasture, 2013, p. 6). In this case, the estimated final budget for the project was ￥ 2436885. This estimate was made by relying on figures related to a similar event that was held back in September 2012, the ‘Lushang Cup’ Qingdao International Regatta. This amount was arrived at by summing up the original total estimate for the project of ¥221535 and the contingency reserve that was estimated to be 10% of the original budget of the project. The implementation of the project has been done within the allocated budget. Moreover, all the activities of the project have been implemented based on the amount of money that had been allocated for them in the original project budget. The three variables of the time-dependent budget, cost baseline, contingency baseline and estimated cashflow, agreed with the original estimates. Therefore, the performance of the project as regards its financial status is a success. The initial objective related to the financing and cost control aspects of the project have been achieved. 2.2 Schedule Performance In the original project scope, the entire project was composed of the following six work packages: planning, advertising, facilities and venues, recruiting, training and regatta. These six work packages were further subdivided into specific activities. The activities for all the work packages were scheduled and the entire table was represented in the form of a Gantt chart for the project. Ideally, project schedule management activities are used to ensure that all the milestones of the project are achieved at specific dates (Project Management Institute (PMI) 2013, p. 146). Moreover, project managers can successfully identify errors in the way the activities of a project are being implemented if they use project scheduling procedures (PMI 2013, p. 147). Thus, project scheduling helps to ensure that the activities of a project are conducted according to the initial plan. In the context of the current project, all the milestones of the project were achieved on the specific dates indicated in the table of the specific milestones of the project. It is important to note that excellent schedule performance for this project was achieved because the project management team used specific scheduling procedures to scan for errors and institute corrective measures. The project management team relied on weekly meetings of all QISC stakeholders and executive logging to ensure that all the milestones of the project were achieved. 2.3 Achievement of Scope Variance analysis was used to control the scope of the project and ensure that the scope was fully achieved. Project managers used variance analysis to control the scope of projects by carefully documenting changes during project implementation and analysing the changes by considering the expectations of the stakeholders (PMI 2013, p. 392). Specifically, the QISC project managers relied on feedback from the various stakeholders regarding changes in the scope of the project to implement additional changes and ensure that the project scope baselines remained intact. All the expectations of the various stakeholders of the project have been met. The initial expectations of the various stakeholders were used to define the scope of the project. Special emphasis was laid on the need to ensure that the final results of the project met the expectations of the stakeholders. Moreover, all the stakeholders were required to validate the scope of the project. Stakeholders such as staff, volunteers, QISC, QITG and other bodies and individuals were required to validate the scope of the project using formal and informal methods. Thus, project scope validation and control are the two primary methods that were effectively used to ensure that the scope of the project is fully achieved at the end. 2.4 Variances from Original Business Case Variances from the original business case of the project can be determined by evaluating the extent to which the original objectives of the stakeholders of the project have been achieved (Whitaker 2013, n.pag). In this case, the project had several stakeholders. All the stakeholders of the project had specific objectives that represented their expectations. Given the way the project management team used the variance analysis methods to match the actual performance of the project with the expectations of the stakeholders, variances from the original business case were minimised. QISC, as the organising body, sought to successfully complete the regatta and raise its profile at the international level. On the other hand, sponsors such as QTG, QIMSC and QSSC sought to earn lucrative financial profits from the successful implementation of the project. Participants sought to get rewarded handsomely for the success and overall participation in the regatta. It can be noted that many of these objectives were met. For example, the regatta was successfully held and this means that the main objective of the organising body was achieved. Moreover, the final results of the project show that the objectives of the other stakeholders were achieved. Thus, the final results of the project do not vary from its initial business case. 2.5 Lessons Learned One of the most important lessons learned from the foregoing is that a time-dependent budget is a critical aspect of project finances. It is important for project managers to pay a lot of attention to how the time-dependent budget of any project is managed because doing so determines the overall financial performance of the project. Another important lesson that has been learned relates to managing the scheduling aspect of projects. It is necessary for project managers to effectively manage the work packages and activities that make up every work package as outlined in the Gantt chart of a project. Effective time scheduling helped to ensure that the entire project was a success. Another important lesson that was learned from implementing the QISC project is that the methods that are used to validate the objectives of the stakeholders of any project normally determine the extent to which all the objectives are achieved. Essentially, the scope of any project is defined by the interests of the project’s stakeholders. Thus, it is important to use a validation system that is acceptable to all the stakeholders. 3 Project Reports 3.1 Project Manager A special project management team was established by the stakeholders of the project. The organiser of the event as well as the other organisations that sponsored the event played a leading role in putting up the management team for the project. The main role of the project management team, under the leadership of the project manager, was to implement the project plan. Thus, the project management team was given access to all the budget of the project and asked to deliver the desired results within the stipulated time frame. The project management team managed to achieve the objectives of the project. This was possible because of many factors; however, the most important factor was the extent to which the project human resource structure was constructed. The project management team was organised according to the functional areas of the project. Thus, specialists in specific areas were required to manage aspects of the project that corresponded to their areas of expertise. The project manager is glad to report that all the expectations of the stakeholders of the project were met. Moreover, it is noted that all the main deliverables of the project, as outlined in the project plan, were achieved. Thus, the entire project was a success thanks to the expertise of all the members of the project management team and collaboration with the other stakeholders like sponsors and the project owner. 3.1.1 Project Summary The main objective of the project was to successfully host the Qingdao Annual Regatta 2018. Moreover, all the stakeholders of the project had their expectations. The expectations of the project’s stakeholders were incorporated in the specific objectives and goals of the project. Therefore, the project management team was tasked with the responsibility of implementing the activities that made up the work packages of the project to ensure that all the expectations of the project’s stakeholders were met by the time of the project’s closure. The regatta was successfully held at the venue and during the time that had already been indicated in the original project plan. All the scheduled activities took place as per the plan. Thus, it can be concluded that the entire project was a success. In theory, project success is determined by how well the entire project meets the three critical determinants of success: time, cost and quality (Wilson 2015, p. 7). Time, cost and quality are three important variables of projects because any change to one of them invariably causes corresponding changes to the others (Wilson 2015, p. 7). Thus, it is necessary for the project management team to carefully strike a balance among these three variables. In this case, the project management team struck a balance among these three variables by controlling costs, using internal meetings to maintain the quality of all the activities that constituted the project, and ensuring that the activities were implemented according to the schedule. 3.1.2 Events that affected Project Performance The main events that affected the performance of the regatta relate to risks. Prior to the event, the project management team developed a detailed risk matrix. The risk matrix identified various scenarios whose occurrence could undermine the successful implementation of the project. Also, the risk matrix predicted the likelihood of the occurrence of specific events and their possible impact on the project. Thus, at the heart of the risk management programme for the project was the risk management matrix and the information about the likelihood of occurrence of specific events and what could be done to mitigate the risks. It is important to point out that none of the situations that had been categorised as ‘severe’ in the risk matrix for the project occurred. For example, no sailing boats got damaged during the event. Similarly, the weather was relatively fair during the event. However, the wind speed varied considerably during the event. Nonetheless, variations in the speed of wind did not have a major negative impact on the event. Therefore, no major event affected the performance of the project. 3.1.3 Team Performance The performance of the project management team is a critical aspect that determines the overall performance of the entire project (Llewellyn 2015, p. 14). Essentially, a project team is composed of individuals from different professional backgrounds who are charged with specific responsibilities related to the project. Thus, the professionals who comprise the project team need to work together to ensure that the project succeeds. In this project, the overall performance of the team was above average. Members of the team understood their responsibilities and carried out their duties to the satisfaction of the project manager. The performance of the individual team members can be attributed to their level of individual expertise and professionalism. All the key staff members who oversaw quality, communication and other aspects of the project were highly experienced professionals in their areas of specialisation. Thus, recruiting such skilled professionals contributed to the performance of the entire team. Another reason why the performance of the project team was above average relates to the way the team members handled conflicts. Although there were few instances of interpersonal conflict during the life of project, it is important to point out that the project team members amicably resolved the few disagreements that occurred during internal meetings among stakeholders. 3.2 Project Sponsor The main sponsors for the project were the QSSC and CYA. These two organisations, together with others, sponsored the regatta with two main objectives. The first objective was to increase the level of popularity of the sport in China and Qingdao in particular. The second objective of the sponsors was to raise the level of awareness of the sport in Qingdao as well as China. Thus, these two objectives formed the expectations of the sponsors of the event. In general, these two expectations were met. The project led to a significant increase in the level of awareness about the sport among the locals of Qingdao. Moreover, the event led to a significant increase in interest in the sport among local fans. 4 What I Learned I learned several things while handling this assignment. The assignment was based on the previous one, in which I developed a comprehensive project management plan for the Qingdao International Regatta event. An example of an important lesson that I have learned from these two assignments relates to the need to plan meticulously for projects. I have learned that the extent to which a project is planned for is a great predictor of the likelihood of the project succeeding. As part of the assignments, I had to prepare a detailed plan for the proposed project. It was during the time of planning for the project that I realised how important it is to figure out how every aspect of the project is to be implemented and the people who are supposed to manage all the activities of the project. Thus, I have learned that planning the technical, financial and human resource aspects of projects is critical for the success of project management. Another lesson that I learned from handling these two assignments relates to managing project risks. I learned that projects often face risk situations whose chances of occurrence are unpredictable. I also learned that although a project management team can use a project risk matrix to analyse possible risk scenarios, there are still some risks that cannot be identified but which can be harmful to a project. This means that regardless of the risk management strategies that are used, there is always an element of the unknown when it comes to managing project risks. References Goodpasture, JC 2013, Quantitative methods in project management, J. Ross Publishing, New York. Llewellyn, T 2015, Performance coaching for complex projects: influencing behaviour and enabling change, Gower, London. Project Management Institute (PMI) 2013, A guide to the project management body of knowledge, Project Management Institute, Pennsylvania. Whitaker, S 2013, PMP rapid review, Microsoft Press, New York. Wilson, R 2015, Mastering project time management, cost control, and quality management: proven methods for controlling the three elements that define project deliverables, Cengage, Mason. Read More