Developing A Warehouse For Amazon In Woolloongabba

Overview of Amazon

Discuss about the Innovation and Mode Comparative of E-Business.

This report depicts the positive impact of developing rather construction a warehouse for Amazon, in at Woolloongabba, Queensland. Woolloongabba is comprises of a cricket ground, hospital and necessary transports facilities also. However, due to the frequently growing population and demand of the consumers a warehouse is going to be constructed in Woolloongabba, Brisbane. In order to develop the project for Amazon all necessary project management components are accordingly considered (Yu 2017). It is the responsibility of the project development team to consider all the factors appropriately to avoid operational and functional conflicts.

Amazon is world’s one of the largest E-commerce based company which has successful operational and functional abilities. Not only from the E-commerce aspect but also for logistics, payments, hardware, data storage and media Amazon is very famous. The business decisions developed by the executives for the company are developed based on Flywheel philosophy. According to the flywheel decision Amazon can encapsulate the dual ambitions comprises of conquering the commercial world and consumer obsessed (Sharbatoghlie and Sepehri 2015). The company its journey in the year of 1997 and it never has to look behind, till 2015 the net income of the company has exceeded $140 Billion. Amazon has the biggest shopping history to the consumers and its income rate increases per year.

Amazon is one of the most well-known logistic companies which include around 180 warehouses about 28 sorting centers and also about 59 local delivery stations. The facility and operation management approach used by Amazon helps it to gain effective success and wide market revenue throughout. Over 2 cores product are available for Amazon (Robinson, et al. 2015). The business of Amazon is widening everyday thus an accurate warehouse should be developed by the company so that it can operate in Woolloongabba also. In order to develop the project a schedule, risk management approach, procurement plan, communication management, stakeholder management plan are developed and demonstrated in this report. It is expected that in order to construct the warehouse for increasing the commercial profit, these components should be maintained accordingly.

For the manufacturers there were always intense level pressures for increasing the productivity at a lower cost. It has been found that, for managing storage, distribution and procurement with increased rate of productivity and production workflow the best way is to design a warehouse (Schwalbe 2015). This particular proposed project is absolutely justified due to the following criteria:

• It gives production level support
• It expands the business opportunities
• Packing and processing become easier
• It helps to spot stocking
• Gives financial profit with a price stabilization
• Minimized the business level risks and provides high security to the data storage

Benefits of a Warehouse for Amazon

Woolloongabba is a located in Brisbane but consumer who belongs to that location is unable to get the service of Amazon like other countries. In order to give similar opportunities to the consumers by delivering desired products with quality ant time, this particular project is proposed.

It is expected that with the implementation of the project the bunch of issues facing by the company will be completely minimized. The modern design of warehouse provides many positive outcomes of the consumers. Modern warehouse is much beneficial even beyond the simple storage solution (Hornstein 2015). It can increase the diversification for suppliers, logistics as well as for enterprise models also. Warehouse is capable to serve accessibility, flexibility and effective functional abilities. Warehouse is pertinent to provide value and quality service to the consumers. With quality functionalities of warehouse the business will be able to grab large number of consumers throughout the world.

Warehouse gives huge storage with high security factors. It takes care of the information confidentiality with additional updated new technologies. Amazon also has many secret employees. The distribution ability of the business organization improves simultaneously with the warehouse (Dwivedula, Bredillet and Müller 2015).  Warehouse management system save space and also enhances the satisfaction level of the consumers accordingly. The inventory management system, worker’s productivity increases a lot with order fulfillment. Warehouse acts as a catalyst in business operations and can eventually meet the consumers requirements (Dong 2017). Moreover, it can be said that the rate of real world saving and catalyst at the bottom line also improved accordingly.

It has been found that, the ideas generated from the warehouse project that is going to be designed for Amazon can benefit the organization in terms of goals, finance and capacity all together. 

Data warehouse is referred to as a central information repository that can be analyzed for making better informed decisions. From a transactional system the information, relational database and sources can flow into the data warehouse. Through the help of Business Intelligence (BI), analytical application and other SQL clients the business analysts will be able to access data (Ahern, Leavy and Byrne 2014.). In order to stay completely competitive in nature the data and the analytics have become indispensible in nature. For extracting insight from the data, business performance and accurate support decision making every business uses reports, dashboards and analytical tools simultaneously. Although the reports, dashboard and the analytics tools, powered by the data warehouse (Chan 2015). Besides this, data warehouse can store data very much efficiently which minimizes the input output actions of the data also delivers query results accordingly.

Data Warehousing for Amazon

Data warehouse is a three tire architecture where the bottom tier is comprises of database server which basically act as the data server or storage. The middle tier of the architecture is the analytics engine which is used for analyzing and accessing data. On the other hand, the top tier of the warehouse architecture presents the result of the total application through proper report, data mining tool and analysis (Hernandez et al. 2016). In order to describe the layout for different types of data warehouse are required as it has the ability to describe and organize data accordingly. Different query tools are available there which are described by the schemes (Joslin and Müller 2015). Above all these it can be said that in order to manage large of data warehouse is necessary to the designed in Brisbane. In order to give commercial buying opportunity to the consumers of Woolloongabba, implementation of this project is very much important.

Though Amazon is world’s one of the largest well known online shopping center but still due to lack of warehouses they are failing to deliver products to the consumers of Woolloongabba, near Brisbane. In order to gain competitive advantages and high to give tough competition to other online shopping centers a warehouse for Amazon is proposed to develop in Woolloongabba.

Amazon online shopping centre which is formally known as the Cadabra Inc is headquartered in Seattle Washington. This is one of the largest electronic internet based retailer giant service providers. The business started on 1997 and then expanded gradually. Collaboration, technical partnership, visionary leadership and continuous investments on the logistics have helped the company to gain effective commercial success (Marcelino-Sadaba et al. 2014). Amazon mobile application allows the users to access the website regardless of their location and time. It implies that the users will be able to book for their desired products. The products ranges also do not have any boundary. Starting from the fashion, accessories, food products, kitchen, home appliances, electronic goods everything consumers can avail from the online shopping store (Lock 2014). The network distribution center of Amazon is very strong but still due to absence of warehouse that are failing to deliver products to the consumers of Woolloongabba. Even the sizes of the warehouse are also vast enough.

Amazon has small, large fulfillment centers, specialty sites, and consumers return centers also. Based on the location of delivery or delivery destination the changes for products delivery are added. For Woolloongabba this delivery charge is very high. In order to balance this particular cost a warehouse is suggested to open in Woolloongabba for Amazon.

• To identify the current delivery and data management oriented issues facing by Amazon in Woolloongabba
• To develop a data warehouse for Amazon in Woolloongabba
• To prepare a schedule considering project constraints and assumptions

Project Management for Developing the Warehouse

The scope of the project is to identify the current situation of the organization and the market where is particular organization operates. After identifying the situational issues for Amazon a data warehouse will be developed and in order to develop the project an accurate schedule should be prepared. It is expected that, with proper project scheduling the issues of management and marketing in Woolloongabba will be completely minimized. The necessary technical constraints and the limitation that may interrupt the project success are also required to be identified. In order to develop the warehouse proper technical support in terms of hardware, software license are to be considered. In addition to this the project milestones taken for this project are project ignition phase. Design phase, construction site selection phase and project closure phase.

The deliverables of the project is to create a data warehouse for Amazon in Woolloongabba. However, for developing this warehouse appropriate risk management plan, communication plan, quality management plan, resource management plan, stakeholder management plan, human resource management plans are also to be delivered. The project schedule will highlight the critical path also.

Besides all theses in order to complete the project successfully a project control and monitoring plan is also developed for this warehouse designing project.  

All projects are carried out with the help of certain constraints. Each of the constraint designs the vertices with a central basis theme. After analyzing the detail requirements and features of this particular project it has been found that triples constraints in terms of cost, scope and time are to be considered appropriately.

For implementing this project total $107,408 cost is needed and for incorporating all the project requirements 2.5 years will be enough. Simultaneously, it can also be said that budget, time, cost and quality can together meet the expectation of the consumers. The central theme for this particular project includes the following:

• Project must be completed within cost $107,408
• Project should be completed within 2.5 years
• Project should reach the esteemed project scope
• Project should have to be completed based on the requirements of the customers

It is assumed that project will be able to resolve the issues of the consumers in terms of quality, delivery and security. Amazon serves over 2 crore of different products but due to logistics issues they are unable to deliver products as per the requirements of the consumers of Woolloongabba. In order to design a warehouse for Amazon in Woolloongabba, a general framework that is designed is given below:

In order to reduce the work pressure from the project manager and other project team members assigned the project scheduler has developed a project schedule showing the total duration of 555 days.

Deliverables and Milestones

The total work package is divided into 5 phases and those phases are to be followed accordingly to complete the project within estimated timer and budget. The phases chosen for this project include the following:

Project initiation phase: This is the initial phase of warehouse project deve4lopment. In this phase the developers should take permission from the government for license. Then based upon the required resources proper feasibility study is to be done. Contractors are also signed in the initial phase of warehouse development.

Design phase: Warehouse design planning, detailed architecture design, electricity design, plumbing are to be done in this phase.

Other planning phase: In this phase other planning such as resource management, risk management, feasibility study, quality management, project monitoring and control plans should have to be completed.     

Construction site selection phase: After planning all this site of construction should be selected. After designing the blueprint, the warehouse, service building and other requirements should be stated clearly to make it clear to the developers.

Project closure phase: After successful completion of the project, the stakeholders associated to the project should be signed off. Then a post project maintenance plan and final documents of the project should be approved by the project manager in this phase.

WBS	Task Name	Duration	Start	Finish	Resource Names
0	Warehouse development plan for Amazon	555 days	Thu 4/26/18	Wed 6/10/20
1	Project initiation phase	192 days	Thu 4/26/18	Fri 1/18/19
1.1	Government permission	12 days	Thu 4/26/18	Fri 5/11/18	project engineer
1.2	Project feasibility study	30 days	Mon 5/14/18	Fri 6/22/18	finance manager
1.3	Physical Resource identification	50 days	Mon 6/25/18	Fri 8/31/18	civil engineer, project engineer
1.4	Physical resource gathering	50 days	Mon 9/3/18	Fri 11/9/18	project manager
1.5	Human resource gathering	50 days	Mon 9/3/18	Fri 11/9/18	project engineer
1.6	Contract signing	50 days	Mon 11/12/18	Fri 1/18/19	civil engineer
2	Designing	166 days	Mon 1/21/19	Mon 9/9/19
2.1	Designing planning	30 days	Mon 1/21/19	Fri 3/1/19	architect, civil engineer
2.2	Detailed architect design	32 days	Mon 3/4/19	Tue 4/16/19	architect
2.3	electricity design	32 days	Wed 4/17/19	Thu 5/30/19	electricity
2.4	plumbing design	40 days	Fri 5/31/19	Thu 7/25/19	plumbing
2.5	steel pre casted structure design	32 days	Fri 5/31/19	Mon 7/15/19	foreman
2.6	construction commodity design	32 days	Fri 7/26/19	Mon 9/9/19	foreman, project engineer
3	Other planning	115 days	Tue 9/10/19	Mon 2/17/20
3.1	Resource management plan	15 days	Tue 9/10/19	Mon 9/30/19	project engineer, project manager
3.2	Procurement planning	14 days	Tue 10/1/19	Fri 10/18/19	project manager
3.3	Risk management plan	17 days	Tue 10/1/19	Wed 10/23/19	foreman
3.4	Feasibility plan	20 days	Mon 10/21/19	Fri 11/15/19	finance manager
3.5	Quality management plan	32 days	Thu 10/24/19	Fri 12/6/19	civil engineer
3.6	Project monitoring plan	20 days	Mon 11/18/19	Fri 12/13/19	project manager
3.7	Stakeholder management plan	25 days	Mon 12/16/19	Fri 1/17/20	foreman
3.8	Control plan	21 days	Mon 1/20/20	Mon 2/17/20	foreman
4	Construction site selection	76 days	Tue 2/18/20	Tue 6/2/20
4.1	Site analysis	4 days	Tue 2/18/20	Fri 2/21/20	civil engineer
4.2	Blueprint of the warehouse in Woolloongabba	15 days	Mon 2/24/20	Fri 3/13/20	architect
4.3	Design completed	15 days	Mon 3/16/20	Fri 4/3/20	architect
4.4	Completion of foundations	15 days	Mon 4/6/20	Fri 4/24/20	project engineer
4.5	Steel structure erection completed	8 days	Mon 4/27/20	Wed 5/6/20	civil engineer
4.6	Warehousing roofing	8 days	Mon 4/27/20	Wed 5/6/20	project engineer
4.7	Building service development	9 days	Thu 5/7/20	Tue 5/19/20	civil engineer
4.8	Substantial and finishing completion	10 days	Wed 5/20/20	Tue 6/2/20	project engineer
5	Project closure phase	6 days	Wed 6/3/20	Wed 6/10/20
5.1	Stakeholders signoff	2 days	Wed 6/3/20	Thu 6/4/20	project engineer
5.2	Successful warehouse completion	2 days	Fri 6/5/20	Mon 6/8/20	project manager, finance manager
5.3	Post project maintenance documents	2 days	Tue 6/9/20	Wed 6/10/20	project manager, scheduler

After analyzing the details of the project of warehouse development for Amazon the total work is divided into small tasks and for each task the resources are estimated cost are shown in the below table:

Task Name	Duration	Resource Names	Cost
Warehouse development plan for Amazon	555 days		$107,408.00
Project initiation phase	192 days		$40,112.00
Government permission	12 days	project engineer	$1,632.00
Project feasibility study	30 days	finance manager	$4,080.00
Physical Resource identification	50 days	civil engineer, project engineer	$13,600.00
Physical resource gathering	50 days	project manager	$7,200.00
Human resource gathering	50 days	project engineer	$6,800.00
Contract signing	50 days	civil engineer	$6,800.00
Designing	166 days		$30,816.00
Designing planning	30 days	architect, civil engineer	$8,160.00
Detailed architect design	32 days	architect	$4,352.00
electricity design	32 days	electricity	$3,072.00
plumbing design	40 days	plumbing	$3,200.00
steel pre casted structure design	32 days	foreman	$3,840.00
construction commodity design	32 days	foreman, project engineer	$8,192.00
Other planning	115 days		$23,728.00
Resource management plan	15 days	project engineer, project manager	$4,200.00
Procurement planning	14 days	project manager	$2,016.00
Risk management plan	17 days	foreman	$2,040.00
Feasibility plan	20 days	finance manager	$2,720.00
Quality management plan	32 days	civil  engineer	$4,352.00
Project monitoring plan	20 days	project manager	$2,880.00
Stakeholder management plan	25 days	foreman	$3,000.00
Control plan	21 days	foreman	$2,520.00
Construction site selection	76 days		$11,424.00
Site analysis	4 days	civil engineer	$544.00
Blueprint of the warehouse in Woolloongabba	15 days	architect	$2,040.00
Design completed	15 days	architect	$2,040.00
Completion of foundations	15 days	project engineer	$2,040.00
Steel structure erection completed	8 days	civil engineer	$1,088.00
Warehousing roofing	8 days	project engineer	$1,088.00
Building service development	9 days	civil engineer	$1,224.00
Substantial and finishing completion	10 days	project engineer	$1,360.00
Project closure phase	6 days		$1,328.00
Stakeholders signoff	2 days	project engineer	$272.00
Successful warehouse completion	2 days	project manager, finance manager	$560.00
Post project maintenance documents	2 days	project manager, scheduler	$496.00

After analyzing the warehouse project development details and requirements it has been found that in order to complete the project successfully the total estimated budget is approximately $110.500 and during the development phase the cost allotted was estimated as $107.408.

For this particular project of warehouse development for Amazon, the total human resource is divided into two parts such as internal resources and externals resources and their details is illustrated below:

Internal resource	External resource
Members of project management team Ø  Project manager Ø  Contractor Ø  Scheduler Ø  Site engineer and inspector Engineer Ø  Architect Ø  Civil engineer Ø  Project engineer Labors of the construction Ø  Foreman Ø  workers	Project subcontractors Ø  Plumber Ø  Electrician Material suppliers Ø  Construction commodities Ø  Steel pre-casted structure

Task Name	Project manager	Finance manager	Contractor	Architect	Project engineer	Civil engineer
Government permission	R	A	C	I	R	I
Project feasibility study	A	R	I	A	C	R
Physical Resource identification	R	I	C	A	I	R
Physical resource gathering	R	I	C	A	I	R
Human resource gathering	I	R	I	C	A	R
Contract signing	C	I	A	R	R	I
Designing planning	I	R	I	C	A	R
Detailed architect design	C	I	C	R	A	I
electricity design	R	A	R	I	C	A
plumbing design	I	R	I	C	A	R
steel pre casted structure design	R	A	I	C	R	A
construction commodity design	R	A	C	I	R	A
Resource management plan	R	A	R	I	C	A
Procurement planning	I	R	I	C	A	R
Risk management plan	R	A	I	C	R	A
Feasibility plan	R	A	R	I	C	A
Quality management plan	I	R	I	C	A	R
Project monitoring plan	R	A	I	C	R	A
Site analysis	R	A	C	I	R	I
Blueprint of the warehouse in Woolloongabba	A	R	I	A	C	R
Design completed	R	I	C	A	I	R
Completion of foundations	R	C	A	C	I	A
Steel structure erection completed	A	C	R	I	I	R
Warehousing roofing	I	R	I	C	A	R
I	C	I	A	R	R	I
R	C	A	R	I	R	A
Stakeholders signoff	R	A	C	I	R	I
Successful warehouse completion	A	R	I	A	C	R
Post project maintenance documents	R	I	C	A	I	R

All these resources are required to play active roles keeping themselves engaged to their job roles to successfully implement the warehouse construction project for Amazon within estimated budget and time.

Based on the project requirements the project manager should recruit stakeholders in terms of both external and internal. For this particular project direct and indirect stakeholders are considered. The stakeholder management plan in elaborated below:

Communication needs	Stakeholders (Between)	Method	Frequency
Informing the project manager about the final completion of the construction blueprint	Project manager, civil engineer, project engineer and architect	Face to face meeting and email	Weekly
About the site or location that has been chosen in Woolloongabba	Project manager, architect, project engineer and civil engineer	Face to face meeting and email	Monthly
About the current status of the warehouse construction project	Project manager, project engineers, civil engineer and workers	Face to face	Weekly
About the project schedule, cost and time	Project manager, finance manager, project engineer and contractors.	Face to face meeting and email	Monthly
Blueprint	Project manager, civil engineer and Architect	Face to face meeting	Weekly

In order to construct the warehouse development project successful the project manager and project team members are required to follow open communication (Kerzner and Kerzner 2017). Open communication gives equal priority to each team member and thus they feel free to share their point of views with each other. Internal team discussion always makes a project more innovative and creative.

Purpose of communication	Delivery method	Frequency	Responsible person	Type
Project status report	Paper document Emailed report	Monthly	Project manager	Mandatory
Constriction awareness program	Paper document Emailed report	Weekly	Project engineer	Informal
Managerial program	Emailed report	Stand up presentation	Project engineer	Informational
About change management	Emailed report	Weekly	Civil engineer	Informational
About current risks	Emailed report	Weekly	Project manager	Mandatory

Risks	Frequency	Probability	Impact	Ranking	Mitigation strategy
Accidental fire	Rare	Low	High	5	Installation of hose reel as well as fire extinguishers. Apart from this automatic fire detectors and sprinklers are also to be installed
Lack of safety	Rare	Moderate	Moderate	4	Safety precautions are to be adopted by the project manager for their general workers to construct the warehouse securely.
Security risks	Possible	High	High	1	CCTV camera surveillance cameras are to be installed to track the steps of the general workers and other stakeholders.
Lack of expertise	Possible	Medium	Low	5	Proper on time training and development programs are required to be arranged by the contractors.
Raw Material issues	Possible	High	High	1	The contract should be developed with the well known constructors so that

Project Control and Monitoring Plan

For managing the quality of the project the strategies those are considered include:

• Discovery of the quality requirements
• Setting proper standards for the project quality
• Allocation of resources for separate tasks based on skills and knowledge
• Criteria setting for correctness and completeness
• Identifying constant quality assuring system
• Tools to be used for measuring project quality
• Application of necessary quality control process

In order to accomplish the project successfully, the steps for controlling and monitoring the project progress are as follows:

• Expectation from the general workers and based on that motivate them
• Risk management policies and strategies development
• Business review and schedule implementation
• Team building and design and customization
• Training and development program
• Testing and deployment
• Support plan development

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Justification of the need for the proposed Project