Project Management Email Dear Project

Titleabc123 Version X1project Management E Maildear Project Managerw

We have three project proposals to consider in next week’s Project Management Office’s (PMO) Review. Piper Industries Corp. needs the projects to be complete and to be generating revenue within 12 months of next week’s PMO Review. Wendell Deirelein, our vice-president, has assigned your team to analyze the three projects below and make a recommendation on which project the company should invest in. The recommendation must include your team description of the five phases of the project and the key deliverables (project completion date and cost) for each project.

Project Code Name: Juniper

  • This is an enhancement of a current widget being offered by our company.
  • Risk of completion of this project on time is low.
  • Product plan shows the critical path to be 6 months at a cost of $325,000 to bring the product to market.
  • Product is forecasted to have a ROI of $250,000 for a period of 2 to 3 years.
  • The third year is forecasted to be the end of life for this product line due to advances projected in technology.
  • This is a standard product line that marketing believes many customers will want to purchase.

Project Code Name: Palomino

  • This is a new line of widget products including enhancements using existing technology.
  • Risk for completion of this project on time is medium.
  • Production plan shows the critical path to be 9 months at a cost of $655,000 to bring the product to market.
  • Product is forecasted to have a ROI of $450,000 for a period of 5 years.
  • This product will be a custom part for one of your strategic customers—historically the forecasts from this customer have a 5% margin of error.
  • The seventh year is forecasted to be the end of life for this product by the customer.

Project Code Name: Stargazer

  • Research and development has already started on our new widgets. The company has spent $450,000 on this product so far and the estimate to bring this product to market is $575,000.
  • Risk of completing this project on time is high.
  • Product is forecasted to have ROI of $300,000 first year; $550,000 the second year; and $750,000 the third year.
  • The product life is forecasted to be 7 years for this product. (This forecast included derivative product which will cost more).
  • By delivering such an innovative product to the market place first, your organization will be seen as a leader in this industry.
  • Your sales and marketing teams have discussed this type of product with a few of your strategic customers; while some are interested, there are many questions about the business.

    Paper For Above instruction

    In analyzing the three project proposals—Juniper, Palomino, and Stargazer—using project management principles, it is crucial to evaluate each project through the lens of the five project management phases: initiation, planning, execution, monitoring and controlling, and closing. Furthermore, assessing the key deliverables, including project completion date and cost, will help in making an informed recommendation aligned with Piper Industries Corp.'s strategic goal of completing projects within 12 months to start generating revenue.

    1. Project Initiation

    The initiation phase involves defining the project’s purpose, scope, and feasibility. For Juniper, this phase would confirm the enhancement’s feasibility, given its low risk and straightforward scope. For Palomino, the moderate risk and custom nature of the product necessitate thorough analysis of customer requirements and project scope. Stargazer, with ongoing R&D and high completion risk, requires detailed assessment to determine viability, especially considering the substantial prior investment of $450,000 and the high uncertainties involved.

    2. Planning

    Planning entails developing project schedules, budgets, risk management plans, and resource allocations. Juniper’s plan shows a 6-month critical path at $325,000, suggesting a rapid and cost-effective process. Palomino’s 9-month plan at $655,000 indicates a longer duration and higher investment, reflective of its complex development and customization. Stargazer’s planning phase must incorporate the additional costs ($575,000) and timelines, considering the high risk and ongoing R&D efforts, which could extend the schedule and inflate costs if unforeseen issues arise.

    3. Execution

    During execution, project teams implement the plans, develop the product, and manage resources. For Juniper, execution is relatively low-risk with a clear critical path, aligning with its standard product nature. Palomino’s execution requires managing multiple technological enhancements and customer-specific customization, demanding meticulous coordination. Stargazer’s execution involves bringing an innovative, high-risk project to fruition, necessitating advanced risk mitigation strategies and flexible project management to handle potential delays and cost overruns.

    4. Monitoring and Controlling

    This phase involves tracking project performance against baselines. Juniper’s low risk suggests straightforward monitoring. Palomino’s project requires vigilant control over schedule and costs, given its medium risk and longer timeline. Stargazer’s high-risk profile demands rigorous oversight, with contingency plans to address possible delays or increased costs, especially considering prior investments and the product’s strategic importance.

    5. Project Closure

    The closure phase includes final deliverables, release, and post-project review. For all projects, timely closure depends on meeting the critical deadlines—particularly within the 12-month target. Juniper, with the shortest timeline, is the most likely to meet the target. Palomino might require adjustments or phase separation to align with revenue timelines. Stargazer’s release, being innovative and high-risk, might not meet the 12-month goal, but its potential to position the company as an industry leader offers strategic advantages despite the longer timeline.

    Evaluation of Key Deliverables

    Considering the projected costs and completion timelines:

    • Juniper: Completion in 6 months at $325,000, with a forecasted ROI of $250,000 over 2–3 years.
    • Palomino: Completion in 9 months at $655,000, with a forecasted ROI of $450,000 over 5 years.
    • Stargazer: Estimated to require approximately $575,000 and ongoing development, with an ROI escalating from $300,000 to $750,000 over 3 years, but possibly exceeding 12 months depending on unforeseen challenges.

    Recommendation

    Given Piper Industries' strategic goal of achieving revenue within 12 months, Juniper stands out as the most suitable project. Its low risk, shorter timeline, and adequate ROI make it the ideal candidate for immediate revenue generation. Palomino, while potentially more profitable over the long term, exceeds the 12-month window and involves higher risks and costs. Stargazer’s innovative nature and substantial potential benefits may justify its strategic importance, but the project’s high risk, ongoing R&D, and uncertain timeline make it less suitable for the immediate revenue goal.

    Thus, prioritizing Juniper aligns with the company's short-term financial objectives and risk appetite. However, it’s advisable to initiate the preliminary planning and risk assessment phases for Stargazer to ensure future strategic positioning without delaying the current revenue-focused projects.

    Conclusion

    In conclusion, a comprehensive project management approach underscores the importance of balancing risk, cost, and timeline. While all three projects offer strategic benefits, Juniper’s alignment with immediate revenue targets makes it the most viable investment for Piper Industries. Continuous reassessment and agile project management practices should be employed to adapt to potential challenges, especially with longer-term projects like Stargazer and Palomino.

    References

    • Kerzner, H. (2017). Project Management: A Systems Approach to Planning, Scheduling, and Controlling. John Wiley & Sons.
    • PMI. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide) – Sixth Edition. Project Management Institute.
    • Meredith, J. R., & Mantel, S. J. (2014). Project Management: A Managerial Approach. Wiley.
    • Heldman, K. (2018). Project Management JumpStart. Wiley.
    • Lehtinen, T. (2016). Risk Management in Projects. International Journal of Project Management, 34(3), 551–562.
    • Herrmann, M. (2019). Strategic Project Management. Routledge.
    • Cleland, D. I., & Ireland, L. R. (2007). Project Management: Strategic Design and Implementation. McGraw-Hill.
    • Gido, J., & Clements, J. P. (2014). Successful Project Management. Cengage Learning.
    • Schwalbe, K. (2018). Information Technology Project Management. Cengage Learning.
    • Standish Group. (2020). CHAOS Report: Decision Latency and Project Success. The Standish Group International.

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