Air Euro – Relocation of Head Office Report

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Updated: Jan 16th, 2024

Reviewing the Project Scope

The project scope will provide a clear blueprint to the type of activities expected to be undertaken in the project. The project scope will include the shift of company operations to a new location which will accommodate more than 300 employees. Employees are therefore a first priority in the project scope because the project aims at relocating the employees without interfering with the company’s operations.

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Secondly, the scope of the project encompasses the expansion of company operations by opening up a new office in a separate building. Since there is no time to set up a new building for the company, the best possible course of action would be to identify a new building, not very far from the headquarters.

The leasing cost for the new building is bound to be lower than the current leasing costs incurred by the company in its current building. However, this does not mean that the building ought to be sub-standard. The company requires a decent building that can host 300 employees, with a seamless ease of operations (some of these employees will be new employees, freshly recruited to fill the vacant positions created from the company’s expansion plans).

The building also needs to be in a good location that supports the operations of airline company workers. The new building is not expected to be far from the company headquarters because the shift will involve a lot of office and personnel transfers.

Part of the project scope will also be, to organize the transfer of some office equipment form the company head office to the new building. The transfer of office equipment will be made by a courier company, but since the company does not intend to spend much money in the transfer of the equipments, the new building is expected to be in close proximity to the company headquarters (not more than 30 kilometers).

The transfer of office equipment will involve the transfer of goods, such as, photocopying machines, fax machines, filing cabinets and computer hardware; but it will not involve the transfer of office furniture from the company headquarters.

The last objective of the project will be to ensure the operation of the business is not interfered in any manner during the relocation process. The entire project scope therefore ought to be effectively completed without slowing down the company’s operations. This shift ought to be completed in six months or less.

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Risk Assessment

The following elements pose the highest risk for this project:

Unrealistic Schedules and Budgets

Unrealistic schedules and budgets can ultimately bring an entire project to a halt, considering budgets and schedules are the major blueprints to the implementation of project plans (Niels 2005, p. 2). Budgets essentially design the costs requirements for each facet of the project implementation process, and if it is overestimated or underestimated; the project design and its antecedents may be ineffective.

Unrealistic schedules also imply that, there is minimal likelihood that the project will be completed in time (because from project scheduling, project activities are able to be properly coordinated and carried out within the right time).

Continuing Stream of Requirement Changes

Requirement changes may significantly hamper efforts to undertake the project in due time, and within the precise cost allocation, because varied requirements potentially mean that, there will be varied costs and varied time requirements for the accomplishment of given project tasks (Niels 2005, p. 4).

Requirement changes are however not distinctly odd because most projects tend to accommodate one or two requirement changes; however, the problem with requirement changes is observed when they occur frequently. This is likely to be a major problem in the overall completion of the project, if it is not effectively checked.

Shortfalls in Performed Tasks

Many project managers have often encountered the problem of dealing with poorly performed tasks from any quarter of the project team. This risk outlines the danger of having to deal with the problem of a shortfall in performed tasks because the danger in such a risk is that, poor project performance can come from any quarter of the project (Niels 2005, p. 5). The consequence of such a risk can be evidenced in a number of functional areas across the board.

Strained Technical Architecture

Strained technical architecture is a common project risk especially if project requirements are not effectively considered in the project plan. Strained technical architecture occurs when there are no facilitative technological requirements to coordinate the entire project.

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The strained technical architecture can be evidenced in certain functional areas such as network coordination, communication with suppliers and communication with other external agents (among other significant functional areas).

Insufficient Planning

Insufficient planning is also another possible risk in the project implementation process, in the sense that, certain functional areas of the project implementation project may not be included in the project blueprint (Niels 2005, p. 8). This becomes a sensitive risk because there will be no clear framework regarding the way omitted functional areas are to be treated.

This may totally distort the overall coordination of the project functional areas, in addition to causing a lot of time wastage because team members would break from their duties to figure out the correct procedures to be followed in undertaking the omitted project functional areas.

Scope Creep

Scope creep is a common project killer in any project design that is not carefully planned to take care of such risks. Shaker (2011) explains that:

“Scope creep results from adding new requirements to the scope that are not aligned with the project charter, or casually accepting requested changes without conducting a thorough analysis to assess the impact of accepting the change on cost, time, quality, risk, stakeholders, and customer satisfaction” (p. 4).

Gold Plating

With regards to Gold plating as a unique risk in this project evaluation, Shaker (2011) explains that “Gold Plating is the other side of the coin whereby the project manager will try to pamper stakeholders by adding fancy features that have never been included in the original scope” (p. 9).

These risks are potentially detrimental to the project, considering they affect the overall coordination of the project functions and the ultimate approval of the project by the client.

Project Delay

Project delays are a common recipe for the failure to meet project deadlines (Sears 2008, p. 1). There are several reasons why various projects fail to meet their deadlines, thereby resulting in delays, but a number of them are unique to the project itself. This project is expected to take not more than six months but there is a possibility this project may take longer than the defined time period.

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How to Minimize Identified Risks and Contingency Plan

Scope Creep and Gold Plating

Scope creep and gold plating usually occur when projects are delineated or insufficiently strict, such that, the project takes a life of its own (Project Smart 2011, p. 1). It is therefore important for the project to be carefully designed in a strict manner so that any chances of scope creep occurring are sufficiently squashed.

Also, as observed above, chances of delineation should be reduced in the general formulation and implementation of the project design so that instances of scope creep and gold plating are equally avoided. In another regard, research studies done to investigate the occurrence of scope creep and Gold creep (cited in Project Smart 2011, p. 9) have noted that the two often occur if there are weak project requirements, and a vague description of the project outline; right from the onset of the project development plan.

The same studies have also concluded that scope creep and gold plating often occur because all stakeholders are not included in the implementation of the project (Project Smart 2011, p. 9). These two variables therefore need to be carefully factored into the overall development of the project blueprint so that scope creep and gold plating is effectively eliminated.

In other words, the project requirements should be carefully articulated so that weak areas are avoided in determining the same. Finally, all stakeholders need to be constantly consulted at different stages of project implementation.

Insufficient Planning

Insufficient planning can be effectively avoided if project developers “grow a third eye” when formulating the project plan. This means that a comprehensive foresight needs to be included in the project design stage so that all significant facets of the project are incorporated into the planning stage.

Considering the fact that chances of human error are unavoidable; it is important that the planning process is not done by an individual but rather, a group. When planning is done in groups, there is an increased likelihood that all functional areas will be included in the project plan and any possible errors will be detected.

Also, it helps to compare the project plan with previous project plans of a similar nature and contrast their functional areas with the company’s design project plan. This will identify any shallowly developed areas in the project plan.

Strained Technical Architecture

Strained technical architecture can be effectively avoided if all the project demands are communicated to the IT department. A lack of proper communication may consequently cause a strain in technical architecture as described in pervious sections of this report.

Considering a strain in technical architecture is partially caused by a lack of synchrony of the IT infrastructure and the practical demands of the project; it is important to engage the internal IT department (of the organization) and avoid instances of outsourcing such functions to third parties. This element is important because third-party IT departments may fail to know the project demands of the organization when designing the IT infrastructure.

It is therefore important that an internal IT department carry out the given task because they are well versed with the company’s project demands (and therefore they can incorporate such demands when designing the IT infrastructure).

Shortfalls in Performed Tasks

A shortfall in performed tasks may arise from several factors defined by employee dynamics. Similarly, these are the factors that affect employee output in any given organization; let alone a given project. Improving performance tasks therefore incorporates several human resource strategies that can be effectively employed to improve employee morale.

This will incorporate an introduction of incentives to team members, if in monetary compensation or through human commendation. However, if this fails to work, a more radical approach should be employed. In particular, employees should be required to sign performance contracts that will ensure guaranteed performance; otherwise, compensation will not be given.

Continuing Stream of Requirement Changes

A continuing stream of requirement changes can be avoided through having a clear picture of the project requirements. To ensure a clear picture is obtained in designing the project plan (and in ensuring the project has sustainability power), it is important to engage experienced personnel; preferably, those who have had significant experiences with such kind of projects in the past.

Alternatively, the company can consult experts who have more knowledge in the project requirements of the company. This will avoid instances of requirement changes, which are often synonymous with inexperienced project managers.

Unrealistic Schedules and Budgets

The problem of unrealistic budgets and schedules often occurs because of a bottom-top approach to project design development (Harkins 2009, p. 5). This often occurs because lower-level employees lack the required foresight to detect any instances of impracticalities. To avoid this inherent risk in project management, it is important for a top-bottom approach to be employed in designing the project blueprint.

However, this does not mean that lower-level employees should not be consulted at all (because they should). However, between the two categories of employees, managers often have the bigger picture. Moreover, it is management’s role to increase more resources like: time, money and the likes, in case there may be a need to do so.

Project Delays

In ensuring the project meets it’s laid down time schedule, the details regarding the project ought to be critically analyzed (Luckey 2006, p. 203). This implies critically analyzing the requirements of the project so that the project manager can correctly know what the project entails (right to the slightest of details).

In instances where there is evidence of ambiguities, clarification should be sought and finally, professionals should be hired to iron-out the project requirements, functional demands and ultimately, the design requirements for the entire project. Emphasis should also be laid on the scope creep in the overall development of the project plan because it has the potential of killing the purpose of the project (Angel 2009, p. 157).

In highly demanding situations, it is advisable for the project manager to aggressively reduce the project scope and to ultimately avoid the inclusion of any new features to the project plan – which were otherwise not there in the first place.

Project Team Members and Key Responsibilities

The roles and responsibilities of project team members will vary depend on the role of each team member. At the head of the project will be the project manager. His task will be: to assess the need and the opportunities for the project; carry out project risk assessment; assess and approve the feasibility of the project and its resources; formulate the strategic plans of the project and ensure the project meets the client’s needs.

The second project team member will be the project sponsor, which in this case is the Air Euro Company. The task of the project sponsor would be to: articulate project requirements; validate project requirements and ensure they are effectively met; provide the necessary funding and resources as appropriate and champion the project to provide exposure and buy-in.

The project will also have the project finance officer who will: ensure the project’s finances are in order, by formulating the project budget, allocate finances to different project segments and help the project manager in project financial control. Among the project team members will also be the assistant project manager whose main task will be to assist the project manager carry out administrative tasks and carry out any other errands as may be assigned by the project manager.

Lastly, among the project team members will be the technical team members whose work will be to carry out handy work, like moving office equipment and helping the project manager implement project strategies.

Project Milestones

The ten important milestones of the project would be that: the project be completed within the defined time schedule (six months); the project does not surpass its initial cost; the project’s scope is effectively covered; the project meets its required standards and requirements.

To add on; the project exhibits a high level of performance standards; the project effectively meets the client’s needs; the project effectively overcomes project risks; the project is completed without affecting the organization’s operations in any way; to find a building that effectively meets the project requirements (host 300 employees and does not exceed rent limits). Lastly: the project achieves a high change review standard and the project effectively complements the Air euro’s strategy of expansion.

References

Angel, P., (2009). PMP Certification, a Beginner’s Guide. London, McGraw Hill Professional.

Harkins, S., (2009). Nontraditional Cures for Keeping a Project on Schedule and On Budget. Web.

Luckey, T., (2006). Software Project Management for Dummies. London, For Dummies.

Niels, E., (2005). Project Risk Factors. Web.

Project Smart, (2011). Web.

Sears, K., (2008). Construction Project Management: A Practical Guide to Field Construction Management. London, John Wiley and Sons.

Shaker, K., (2011). Scope Creep and Gold Plating Are Two Sides of the Same Coin. Web.

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IvyPanda. 2024. "Air Euro - Relocation of Head Office." January 16, 2024. https://ivypanda.com/essays/air-euro-relocation-of-head-office/.

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