Costing System Development Project | Project Plan

Scope Statement

This project plan outlines the various plans that will be required to successfully complete a software project. The project aims at developing a costing system. This will be a bespoke system written in Enterprise Java programming language. The envisioned system will facilitate the creation of cost baselines, cash flow forecast, earned value management calculations and percentage complete proposal. With regards to data entry, the proposed system will accept keyboard user inputs, data imports in form of XML and CSV files.

Other project activities will include;

• Purchase of a server to run the application
• Setup and Testing of the server
• Identification and contracting of subcontractors who will develop the system
• Purchase of 30 client PCs
• Configuration of client PCs with Windows 10
• Deployment of client PCs to the existing corporate network

Costing System Development Project

• Project Sponsor
• Project Customer
• Project Manager
• Software Engineer
• Hardware Engineer
• Business Analyst
• A Contractor
• Test Engineer
• End users

It’s required that a costing system be developed. This will be a bespoke system written in C#. The envisioned system will facilitate the creation of cost baselines, cash flow forecast, earned value management calculations and percentage complete proposal. With regards to data entry, the proposed system will accept keyboard user inputs, data imports in form of XML and CSV files.

The goal is to develop a costing software system that will facilitate the creation of cost baselines, cash flow forecast, earned value management calculations and percentage complete proposal. The system will accept keyboard user inputs, data imports in form of XML and comma delimited files.

• 1 Server
• 30 Personal Computers
• Windows 10
• Software development Platform  (Microsoft Visual Studio)

• A costing system
• 30 Client PCs configured with Windows 10
• A server to run the system

Key milestones of the project include;

• Project plan is completed
• System requirement gathering is completed
• Technical specifications are generated
• A contractor is identified
• PCs are purchased and configured with windows 10
• A server is set up to host the system
• The complete system is delivered by the contractor
• Complete unit tests are performed
• User acceptance testing completed
• Deployment of the system complete
• The system has successfully gone live

This section presents a rough order estimate of costs required for this project, presented in form of a Rough Order of Magnitude (ROM). The estimation is based on the project’s scope, risk, and schedule and approximated effort required. To facilitate estimation of cost, time requirements for each activity have to be approximated.

Description	Amount
Project Initiation and Planning	5000		Three Quarter Rule
Requirement Analysis	5000
Server & PC	20,000		Exponent	0.75
Application Design	5000
Development	55,000
Testing	5000
Launch	3,000
Closure	0
	98,000.00
Total Cost Estimate	242,984.53

Particular	Human Resource	Material	Total
Project initiation and planning	$9,440	0	$9,440
Requirement analysis	$5,120	0	$5,120
Server and PCs	$9,200	$10,000	$19,200
Application Design	$20,000	0	$20,000
Development	$55,000	0	$55,000
Testing	$5,000	0	$5,000
Launch	$3,000	0	$3,000
Closure	0	0	0
	$106,760	$10000	$116,760

• It is assumed that sufficient resources will be availed to the project, on time.
• It is assumed that all stakeholders will cooperate to ensure the success of the project
• The main risk in the project is quality issues, since the software will be developed by an external entity

• Like any other project cost and time will be major limitations for the project

• The project will be accepted by the client if all the deliverables and functions of the system are tested, and found to be fully functional according to the customer’s requirements

This project Stakeholder Management Plan presents a list of the project’s stakeholders and approaches to manage the stakeholders.

For the Costing System Development project, the main stakeholders will be:

• Project Sponsor
• Project Customer
• Project Manager
• Software Engineer
• Hardware Engineer
• Business Analyst
• A Contractor
• Test Engineer

Name	Position	Role	Contact	Influence	Impact Assessment	Expectations/Strategy
Project Sponsor	Project Sponsor	-Funding, Budget	Email	High interest, high power	Key player	High
Project Customer	Customer	-Requirements, Funding	Email	High interest, High power	Key player	High
Project Manager	Project Manager	-Project Control -Schedule and budget control	Email	High interest, high power	Key player	High
Project Team	Project Team	-Deliverables	Email	Low interest, high power	Key player	Moderate

Name	Role/ Responsibility	Contact Information	Information Requirements	Medium	Time
Project Sponsor	· Will be involved in Stakeholder identification · Budget approvals · Advice the project manager in preparing strategies · acts as the ultimate decision maker · Oversee the project · Provides guidance and authority Checks the project to maintain project priorities	Email —	Status of the project, arising problems, emerging risks, requirements changes Budget and schedule, risk management	Meeting Status report through Email	Once per week
Project Manager	· Performs day-to-day management of the project · Lead the project · Define project plans, project controls Manage project schedule, activities and resources	Email —	Problem arising from tasks Status from project team	Face to face meeting and emails	Daily
Project Team	· Will be involved in performing the actual tasks of the project e… e.g. setting up the server infrastructure · Responsible for delivering the project deliverables	Email	Changes to the project or requirements from the project manager	Face to face or through email	As need arises
Customer	· Receives the final deliverables of the project · Provide requirements of the project Control and organize project funding	Email	Project Status, budget, progress and risks	Emails or through meetings	Weekly and as need arises
Contractor	· Will carry out the software development aspect of the project · Testing the application Deploying and configuring the system		Requirements, any changes, feedback	Email or through meetings	Weekly and as need arises

Task	Description	Predecessors	Duration
	Costing System Project		141 days
1.	Project Initiation and Planning		20 days
2.	Project kickoff meeting		3 days
3.	Stakeholder Identification		1 day
4.	Risk Identification	4	2 days
5.	Development of a project plan	5	3 days
6.	Initiation Gate: Project Charter Approved	5	0 days
7.	Requirement Analysis		30 days
8.	Focus Group – Ideation	7	3 days
9.	Options Analysis	9	11 days
10.	Business Requirements	7	20 days
11.	Functional Requirements	10,11	10 days
12.	Functional requirements approved	12	0 days
13.	Server & PC		4 days
14.	Purchase	13	1 day
15.	Install	15	3 days
16.	Application Design		25 days
17.	Application Basic Design	16	10 days
18.	Technical Feasibility Assessment	18	5 days
19.	Architectural Reference Group Presentation	18,19	5 days
20.	Application Detailed Design	19	10 days
21.	Design Gate – Detailed Design Approval	21	0 days
22.	Development		36 days
23.	Module 1	22	10 days
24.	Unit Testing Module 1	24	2 days
25.	Module 2	24	10 days
26.	Unit Testing Module 2	26	2 days
27.	Module 3	26	10 days
28.	Unit Testing Module 3	28	2 days
29.	Development Complete	29	0 days
30.	Testing		26 days
31.	Integration testing	30	5 days
32.	Complete system testing	32	5 days
33.	User Acceptance Testing	32	10 days
34.	System & User Interface Bug Fix	33,34	6 days
35.	Training	35	2 days
36.	Golive Gate – Golive approved by Project Board	36	0 days
37.	Launch		11 days
38.	Marketing and Awareness Campaign Stage 3	37	10 days
39.	Deployment and GoLive	39	1 day
40.	Closure		8 days
41.	Document Lessons Learnt	40	1 day
42.	Release Project Team	42	1 day
43.	Finalise and Archive Project Documentation	42	5 days
44.	Close Project	44	1 day
45.	Completion Gate – Project final report approved by Project Board	44	0 days

Knowledge dissemination in a project is critical, in ensuring the success of the project. Good communication within a project ensures all stakeholders and project participants participate or feel as part of the project. Information about the status of the project and how they are affected makes the participants want to participate more in the project.

Communication Type	Tool	Frequency	Information to be shared	Participants / Responsible
Internal Communication:
Project Meetings	Meeting	Once per week	Status of the project, arising problems, emerging risks, requirements changes	The Project Manager and Project Team
Project Status	Email; PDF	Monthly	A status report highlighting the completion status of activities within the project	Project Manager Steering Committee
Project Status Meeting	Teleconference	Monthly	Project status	Project Manager Steering Committee
Project Team Status Meeting	One on one Meeting	Bi-weekly	Project status, emerging issues, activities progress	Project Manager Project Team
External Communication and Reporting
Project Report	Email; PDF	Monthly	Project status – progress – forecast – risks	Project Manager Sponsor Client

Source	Probability	Impact	Priority	Strategy	Responsibility	Review
Failure of subcontractor to deliver quality software as required	H	H	1	Transfer the risk to the subcontractor by imposing fines for any quality issue identified. Select a highly qualified subcontractor	Project Manager	Risk to be reviews bi-weekly in project meetings with the subcontractor and testing teams
Scope Creep	L	H	1	Weekly review of project progress against scope	Project manager	Review the scope statement and deliverables in weekly progress meetings
Unable to meet Schedule	L	H	1	Weekly progress meetings to review the progress against schedule. Deploy additional resources when required to meet the schedule	Project Manager	Review schedule and progress to
Inadequate Funding, which may result from schedule or scope creep	L	H	0	Review project progress to avoid scope creep. Cost estimation to be done with a margin of error and against best practices	Project Manager	Review scope and schedule to avoid weekly

This Procurement Management Plan outlines the framework to be used in procuring services and equipments to be using in this project. The management of this project will use this as a guide in managing procurements throughout the project’s life cycle, and may be updated as need arises. The plan outlines the approach to be used in any procurement activity. For this project a number of items have to be procured, including Client PCs, a Server and software development services – which will require hiring a contractor to provide the services.

Project Goals and Objectives

The project manager will lead and provide oversight in coordination with the procurement staff. The PM will coordinate activities of identifying items to be procured. The list of items will then be presented to the Steering Committee for review and approval.

The following products and services require to be procured for a successful completion of this project;

Equipment/Service	Justification	Category
1 Server	The server will be used to host the developed application	Hardware
30 Client PCs	The PCs will be required for use by staff to access services provided by the system to be developed	Software
Windows 10 OS	The client PCs will be configured with Windows 10,as such it is necessary to procure.	Software
Software Development Services	A contractor will be hired to develop the proposed application.	Services

Equipment and services to be procured for the Costing System Project will be purchased under fixed priced contract. The project team will closely work with the procurement staff in defining the technical requirements of the server and client PCs. The project manager shall then invite bids from trusted vendors.

Evaluation of the bids will be coordinated by the Project manager, working closely with the procurement staff.

Selection criteria will be based on;

• Technical qualification and past performance
• Vendor’s ability to deliver the requested items.
• Experience and general qualification( especially for the staff to be deployed in developing the application)
• Quality and
• Cost

In general, the lowest quality bidder will be awarded the contract to supply the items. For a software development contractor, the selection process will coordinate with quality control department to ensure that the contractor has a track record of quality delivery based on previous projects.

The project manager will be responsible for the management of suppliers and contractors. Weekly meetings between the contractor or representatives and the project manager will be scheduled to review the progress of software development, with the aim of ensuring quality and timely delivery of the software.

To effectively manage time in this project, a project schedule has been developed, represented below in form of a Gantt Chart, Critical path and critical network.

Gantt chart

 

 Critical Path

 

 

Critical Chain

The purpose of the Cost Management Plan is to outline methods to be used to manage and control costs throughout the project’s lifecycle. The aim is to facilitate the completion of the project without experiencing cost overruns. The plan therefore outlines how the costs associated with this project will be measured, controlled and reported.

The projects costs will be managed by the project manager, and the steering committee, which will analyze costs and schedule in the weekly project meetings. The measures to be used to establish the project progress in relation to costs will include;

• Cost Performance Index
• Schedule Performance Index
• Cost Variance
• Schedule Variance

 References

Gray, C. F., & Larson, E. W. (2014). Project management: The managerial process (1st Australianed.). McGraw-Hill/Irwin.

Gray, C. F., & Larson, E. W. (2018). Project management: The managerial process 7th Ed.. McGraw-Hill/Irwin.

Schwalbe, K. (2012/2015). An introduction to project management (4th ed./5thed.). Minnesota, USA: Kathy Schwalbe.

 Meredith, J., & Mantel, S.(2011). Project management: A managerial approach (8th ed.). Indianapolis: Wiley.

Project Management Institute (2013) A guide to the Project Management Body of Knowledge 5th ed. – abbr.

PMBOK/PMBOK Guide (5th. ed) Pennsylvania: Project management Institute.