Project Management

Running head: PROJECT MANAGEMENT 1

PROJECT MANAGEMENT 7

Project Management

William Fiedler

Columbia Southern University

Project Management

Statement of the Customer’s Needs

The project is in line with the company’s efforts to construct more homes for the public. Currently, the firm is facing stiff competition from other businesses in the construction industry. For instance, some construction firms have adopted strategies such as advertising to attract customers. Equally, other firms have been in the market for a more extended time which gives them an advantage (Hesterly & Barney, 2008). As a result, the company has few customers for its products. Also, the construction industry is facing a challenge of limited land. The increase in population has put a lot of pressure on the available land which has reduced the land available for construction. As a result, the available land is too expensive to purchase.

Assumptions

One of the assumptions of the project is that the competition in the construction industry will continue to increase. The other assumption is that the value of land in the market will keep on appreciating. Another assumption is that the construction company will keep losing its customers if it does come up with an effective strategy as soon as possible. Also, it is assumed that there is a high demand for houses in the market and that minimum costs are incurred in the construction industry.

The Project Scope

The proposed solution is to construct modern residential apartments since they occupy less space on land. The solution will benefit the firm in various ways. For instance, the apartments will save on land since they will occupy more vertical space as compared to horizontal space. Equally, less land will be purchased which will help the company to save money. Another benefit that a construction industry can reap from implementing this solution is that the apartment will make the firm a lot of profit. The apartment will home many people who will generate a lot of profit for the company once it sells or leases these apartments.

Based on this solution, research will be conducted on the best modern designs that will be used in the construction of these apartments. Information will be collected through observing the other apartments in the area to get a glimpse of what the company needs to do and what to avoid. Equally, construction experts such as architects will be consulted on the same to help come up with the best modern designs. Additionally, the land available for construction will be investigated and the information generated analyzed to determine if it is suitable for construction. Consequently, this measure will prevent issues such as the collapse of the flats after completion. The construction materials will be researched to aid in selecting the best resources to use to ensure that quality apartments are constructed. Modern flats are attractive in the market since they meet the needs of the contemporary public. In the process, these apartments will generate profits for construction industries. Therefore, this project will be geared towards attracting more clients for the company and making profits for the firm, a solution that best addresses the issues being faced by the construction company.

Deliverables

The deliverables in this construction project include an architect who will be responsible for designing the apartments and providing the design drawings. As a result, the client will be able to see how the buildings will appear. Another deliverable that will be provided is an engineering report and a site investigation report. The other deliverables include personnel that will be responsible for decorating the apartments. The final deliverable will the apartments.

Resources

The construction project will require resources to ensure its success. They will be categorized into two parts, resources provided by the construction company and the resources that we will provide for the client. The latter includes resources such as materials for construction, land, and capital while the former will provide labor, the construction experts such as engineers and architects, designs of the apartments, and the manual workers.

Scheduling

The project will take two years to complete. The first step will be a site investigation which will take two weeks. The architects will the take a month to design the apartments and present the design drawings for approval. From there, the required materials and the equipment will be purchased and availed at the site which will take a month. The following ten months will be used to construct the apartments from the ground up to the last floor. The final year will be used for finishing the apartments which will include activities such as painting, installing sanitation equipment, and decorating the apartments

Pricing

The costs that will be incurred include;

Contractor $ 205, 000

Subcontractors $ 100, 463

Materials $ 500, 000

Labor $ 50, 000

Equipment $ 300,000

Expected Benefits $ 20,000

Total = $ 1, 175, 463

Risks

One of the risks that may be encountered in the construction project is an unfavorable climate such as rainy seasons. As a result, the construction will be delayed. Nonetheless, measures will be taken to ensure that the construction proceeds during the rainy season Smith, Merna & Jobling, 2009). Another risk that may be encountered is expensive materials and equipment. However, this risk will be addressed by using the alternatives for these items.

Expected Benefits

One of the benefits of this project is that the apartments will have a parking lot which will attract clients for the construction company. Most people are drawn to homes that have a place where they can park their vehicles. The other benefit is a building advertisement which will be placed on one side of the apartment to help market the apartments.

References

Hesterly, B., & Barney, J. (2008). Strategic management and competitive advantage. England: Pearson Prentice Hall.

Smith, N. J., Merna, T., & Jobling, P. (2009). Managing risk: in construction projects. John Wiley & Sons.