Developing And Illustrating The Budget And Project Schedule For Repairing Australian Storage Facility

Project Budget

The project manager assumed that the budget that is needed for completing the project successfully is around $80,000.00. However it is identified that around $67,960.00 is required for completing all the project activities successfully within the specified time and budget and $17,000.00 has been kept for material resources and for other additional purposes.  

The different types of assumptions that are made for budget preparation are as follows:

Requirement cost: The project manager analyzes the Australian market properly for preparing the budget for different types of material resources that are required for repairing the Australian storage facility. It is found that during preparing the budget for material resources they assumes that the cost of the materials will not vary much in the coming future in comparison to the cost that is estimated by them.

Low chances of scope creep: It is assumed by the project manager that scope creep within the project will not occur and for this they analyzes the requirement of the project properly before project planning so that the chances of scope creep will become low.

Budget needed for completing activities: The project manager estimated that the budget, which is needed for repairing Australian storage facility, is around $80,000.

Budget for risk minimization: The project manager estimated that $6,800 is required for minimizing the risks that are mainly associated with the project.

Task Name	Duration	Start	Finish
Repairing Australian Storage facility	181 days	Thu 21-09-17	Thu 31-05-18
Project initiation phase	17 days	Thu 21-09-17	Fri 13-10-17
Business case development	2 days	Thu 21-09-17	Fri 22-09-17
Analysis of feasibility	3 days	Mon 25-09-17	Wed 27-09-17
Project charter establishment	4 days	Thu 28-09-17	Tue 03-10-17
Team members appointment	5 days	Wed 04-10-17	Tue 10-10-17
Reviewing phase of the project	3 days	Wed 11-10-17	Fri 13-10-17
Milestone: Completion of initiation phase	0 days	Fri 13-10-17	Fri 13-10-17
Planning phase	37 days	Mon 16-10-17	Tue 05-12-17
Project plan creation	6 days	Mon 16-10-17	Mon 23-10-17
Resource plan creation	7 days	Tue 24-10-17	Wed 01-11-17
Financial plan creation	8 days	Thu 02-11-17	Mon 13-11-17
Testing quality	9 days	Tue 14-11-17	Fri 24-11-17
creation of acceptance plan	7 days	Mon 27-11-17	Tue 05-12-17
Milestone: Completion of planning phase	0 days	Tue 05-12-17	Tue 05-12-17
Execution phase	121 days	Wed 06-12-17	Wed 23-05-18
Agreement from participants	10 days	Wed 06-12-17	Tue 19-12-17
External issues settlement	9 days	Wed 20-12-17	Mon 01-01-18
Financing and creating agreement for the project	8 days	Tue 02-01-18	Thu 11-01-18
Preparatory work completion	11 days	Fri 12-01-18	Fri 26-01-18
Completion of strategies that stops leakage	12 days	Mon 29-01-18	Tue 13-02-18
Creating strategies that resolves issues	14 days	Wed 14-02-18	Mon 05-03-18
Activity adjustment	12 days	Tue 06-03-18	Wed 21-03-18
Whole repair completion	9 days	Thu 22-03-18	Tue 03-04-18
Adjustment of activities	8 days	Wed 04-04-18	Fri 13-04-18
Completion of repair risk	7 days	Mon 16-04-18	Tue 24-04-18
Analysis of work completed	11 days	Wed 25-04-18	Wed 09-05-18
Closure of issues	10 days	Thu 10-05-18	Wed 23-05-18
Milestone: Completion of execution phase	0 days	Wed 23-05-18	Wed 23-05-18
Closure phase	6 days	Thu 24-05-18	Thu 31-05-18
Construction of gas storage completion	2 days	Thu 24-05-18	Fri 25-05-18
Financial reporting	2 days	Mon 28-05-18	Tue 29-05-18
Analysis of the work	1 day	Wed 30-05-18	Wed 30-05-18
Milestone: Completion of Closure phase	1 day	Thu 31-05-18	Thu 31-05-18

Table 2: Gantt chart

(Source: Created by Author)

In this project, agile methodology is mainly used as it assists in breaking various project deliverables into number of manageable activities which are not available for re-ordering however they can be properly managed as well as tracked for completing the project (Larsonand Gray2013). It is identified that this methodology mainly focuses on time management and therefore proper as well as frequent reviews for improving the financial condition of the project in terms of profitability as well as productivity is generally done (Teller, Kock and Gemunden 2014). The agile methodology engages in continual improvement procedure by effectively encouraging all the project team members so that they can team up effectively ad assists in providing proper effort for managing different types of construction related task.

The tool and technique that is utilized in this project for organizing as well as designing the project effectively is Gantt chart. The advantages of using Gantt chart in the project are provided below:

Tracking: The project schedule which is generally created assists the project managers to keep proper track on the activities of the project (AhernLeavyand Byrne2014)

Illustration of the assumptions which are made for budget preparation

Cost: The cost that is required for completing each of the project activities can be reflected with the help of Gantt chart and thus it is found that the Gantt chart assists inn providing an overview about the cost that is needed for completing the activities of the project.

Idea about activities of the project: The Gantt chart provides idea about the initiation as well as execution of each of the activities that are generally completed for repairing the Australian Storage facility (Hornstein 2015).

Comparison of Agile methodology with Waterfall

Agile methodology	Waterfall methodology
It is identified that this methodology mainly focuses on time management and therefore proper as well as frequent reviews for improving the financial condition is necessary (Lock 2014)	It is identified that the methodology of waterfall do not focus on time management and thus it prevents different types of compatibility issues which are mainly associated with the project.
The agile methodology engages in continual improvement procedure by effectively encouraging all the project team members	This methodology mainly helps in allowing the team to focus on other project aspects so that the developers can ensure appropriate quality of development in each of the stage (Hornstein 2015).

Comparison of Gantt chart with WBS

Gantt chart	Work breakdown structure
The project schedule which is generally created assists the project managers to keep proper track on the activities of the project.	It is identified that the structure of work breakdown structure helps  in organizing various types of work that are associated with the team into number of manageable sections (Svejvig and Andersen  2015).
The cost that is required for completing each of the project activities can be reflected with the help of Gantt hart and thus it is found that the Gantt chart assists in providing an overview about the cost that is needed for completing the activities of the project (Mir and Pinnington 2014).	It is mainly found as a groundwork that assists developing proper budget plan for the project.

The estimated resources include:

Financial resources: The estimated financial resources for repairing the Australian storage facility is around $80,000.00

Human resources: The various human resources that are mainly needed for repairing the Australian storage facility are provided below:

Resource Name	Type	Material Label	Initials	Group	Max. Units	Std. Rate	Ovt. Rate	Cost/Use	Accrue At	Base Calendar
Project manager	Work				100%	$50.00/hr	$0.00/hr	$0.00	Prorated	Standard
Supervisor	Work		S		100%	$40.00/hr	$0.00/hr	$0.00	Prorated	Standard
Contractor	Work		C		100%	$40.00/hr	$0.00/hr	$0.00	Prorated	Standard
Business analyst	Work		B		100%	$30.00/hr	$0.00/hr	$0.00	Prorated	Standard
Project planner	Work		P		100%	$35.00/hr	$0.00/hr	$0.00	Prorated	Standard
Site planner	Work		S		100%	$30.00/hr	$0.00/hr	$0.00	Prorated	Standard

Material resources:The material resources which are needed for completing project include steel coatings, components for infrastructure improvement, mobile resources scaffolding, tank cranes as well as paint.

Analogous estimation techniques and tool is mainly used in order to estimate the project resources (Kerzner 2017). It is identified that this project is mainly used for estimating the budget that is needed for repairing the storage facility of Australia. It is found that the technique which is used not only assists in making reliable as well as proper estimation but also helps inreducing costs.

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