Authentic Experience Project Components You Will Do What Is

Authentic Experience Project Componentsyou Will Do What Is Necessary T

Analyze and manage a failed project for NearlyFree.com by creating a detailed review of project costs and developing a revised budget and forecast. Use project management software to generate reports, estimate costs, identify failure points, and propose a successful turnaround plan based on the original project scope and resources.

Paper For Above instruction

Introduction

Effective project management necessitates thorough analysis of project performance, especially when a project fails to meet its objectives. In this paper, I will analyze the failed NearlyFree.com project, focusing on its financial aspects and proposing a comprehensive turnaround plan rooted in detailed cost estimation and forecasting. By employing project management tools like Microsoft Project, I will create reports, estimate costs, identify failure points, and develop a revised budget aligned with project goals to ensure future success.

Part 1: Budget Analysis of the Failed Project

The initial step in evaluating the failed project involved examining the existing project data, which included the original schedule, work breakdown structure (WBS), and cost estimates. Using Microsoft Project, I generated a project summary report that provided insight into the project’s actual expenditures, planned costs, and variances. This overview highlighted that cost overruns and poor resource allocation contributed significantly to the project's failure.

To analyze the current financial state, I exported the project’s cost data into Excel, enabling detailed reviews of individual work packages. Cost estimating techniques such as analogous and parametric estimating were employed to determine how accurately initial costs aligned with actual values. The analysis revealed several failure points, such as underestimated resource requirements for specific activities and unforeseen delays that increased labor and material costs.

Furthermore, by reviewing the project schedule and comparing it against actual progress, it became evident that scope creep and inadequate contingency planning exacerbated financial issues. These factors resulted in budget overruns and missed deadlines, ultimately contributing to project failure.

Part 2: Cost Estimating Forecast and Turnaround Plan

Building on the findings from Part 1, I developed a revised project schedule baseline, incorporating all necessary modifications to address previous shortcomings. Using Microsoft Project, I created a custom table to record these changes, including new activities, adjusted durations, and resource allocations. My forecast included updated cost estimates for each work package, considering realistic resource costs and potential risks.

The concept of Total Cost of Ownership (TCO)—the comprehensive assessment of all costs associated with a project throughout its lifecycle—was central to my analysis. TCO includes initial development costs, operational expenses, maintenance, and end-of-life disposal, providing a more holistic view of project value. For this project, considering TCO helped identify areas where cost efficiencies could be achieved, such as optimizing operational processes and reducing recurring expenses.

Return on Investment (ROI) was also meticulously estimated using revised cost data and projected benefits from the new system. ROI calculations considered the reduction in personnel workload, improved efficiency, and long-term cost savings, offering a compelling case for project continuation.

The new project budget was constructed with a detailed resource assessment, including labor, hardware, software, and contingency reserves. I employed parametric and bottom-up estimating techniques, justified by the project's scope and complexity, to produce a credible cost baseline. Contingency reserves were estimated based on risk analysis, allocating approximately 10-15% of the total cost to account for uncertainties.

The proposed budget aimed to improve upon the original by providing clearer visibility into resource needs, aligning with realistic timelines, and establishing measurable performance indicators. The updated baseline will serve as a control point for ongoing project monitoring and management.

Conclusion

In summary, the analysis provides a comprehensive understanding of the financial pitfalls that led to the failure of the NearlyFree.com project. The proposed revised budget and forecast, rooted in robust estimation techniques and strategic risk management, aim to position the project for eventual success. Leveraging project management tools like Microsoft Project facilitates ongoing control and transparency, critical for effective project recovery.

Ensuring project success requires diligent planning, precise cost estimation, and continuous monitoring. This project turnaround plan demonstrates a structured approach to overcoming prior issues, aligning project execution with strategic business objectives, and fostering a culture of accountability and proactive management.

References

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  • PMI. (2021). Practice Standard for Cost Management. Project Management Institute.

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