A Project can be defined as a temporary plan for a specific period that has particular beginning and end time, therefore it posses defined resources and scope. Every project is unique in its way because they involve specific set of operations to be accomplished in a given time period (Kerzner & Kerzner, 2017). However, Project management is a bigger term that involves planning, controlling, staffing, executing so that the defined project can be accomplished on time. In the current business scenario, it is important for all the small, medium and even bigger enterprises to have proper project management. In this report, case study of the Custom Ronworking Company will be taken into consideration. The firm is a small to medium sized and Custom manufacturer of furniture and cabinets. However, the above mentioned company is being facing critical problem in their current project due to lack of proper management. This report will highlight failures of the project and the ways through which company can cope up with it in future endeavor.
Ron Carpenter if the Chairman and Chief Executive Officer of Custom Ronworking Company. He with his wife Mrs. Emelia Carpenter started their business long back in 1954. Since then, the company got highly recognized in the furniture market and the way they created attractive furniture design. They now also produce custom made furniture to order for their retailers and wholesaler (Fleming & Koppelman, 2016). Further, the company has created a loyal staff and work force to accomplish their organizational goals. John Carpenter, Son of Ron Carpenter had also joined their company management as a Director. He has obtained an Engineering degree form the University of Newcastle. Currently, with John Carpenter’s insistence, the company is moving into new commercial construction that involves, subcontract work supplying, new cabinets and furniture and fixtures (Walker, 2015). The company had to decide whether they wanted a new land for their manufacturing or use their vacant land in their current property due to lack of manufacturing space. Thus, with lots of hated arguments they decided to go for their current business site considering the time and energy factors in shifting process.
Ron carpenter headed the meeting with all the directors and respective people to discuss on the project. It was agreed that the additional production capacity that will be equivalent to25 % of the existing floor area. Offices of President and Executive Vice President was also to be renovated.At the meeting the total cost for the project was estimated was $17 million and Ron also passed this budget considering all the cost will be coming under this budget. The target date that was decided for the project was 18 months from the day of beginning. The project was named as Rony’s. Expert Industrial Developer (EID) were working on the project under the Spencer Moneysworth who was looking after the responsibility of the project.
Project management is one of the most important part in starting any new project. Thus, before planning any new project it is mandatory to understand the basic steps to start any new project. Below mentioned are few points through which proper project planning can be done:
Initiating: This is the first step in order to start to new project. Initiating involves proper description of the project to the respective people so that they can have an appropriate idea (Harrison & Lock, 2017). Thus, this involves proper documentation project objectives so that work can be done accordingly and each person knows what their job is in a defined project. Thereafter, a project Manager should be appointed to look after all the work and give report to their respective seniors regarding the project accomplishment.
Planning:Planning is the most important task in any project. It provides proper guidelines so that the work can be done and managed accordingly. This involves proper documented project plans and updated regarding the plan as the project progresses. This will help everybody in the project to understand the progress and issues involved with the project (Mir & Pinnington, 2014).
Executing: Executing involves practical accomplishment of work that has been planned for the project. In this the project manager uses the planned documents so that they can work accordingly (Kerzner, 2018). However, it is important to make detailed information of the all the work that has been executed for the future reference.
Controlling:Controlling involves regular measurement of the project performance so that they can verified and controlled if required. This will help the manager in optimum and best utilization of the resources. In addition to it, if any activity is being missed in the project can also be identified and completed properly.
Closing:As, projects are temporary operations they have to be closed once they are completed. All administrative and official work has to closed after the project is being completed.
Every project has a starting and ending. Thus, it is important for all the organizations to understand proper project Management. Taking the case of Rony’s project it can be very well understood that there was no proper project management for their expansion of manufacturing space (JOSEPH. PHILLIPS, 2018). Therefore, they lacked the successful completion of their project. Below are the listed factors that explains the failure of the Rony’s Project:
Lack of effective management: Most important factor that affected the failure of the project was lack of proper management. Rony’s Project was not doing properly due to inappropriate management. Spencer Moneysworth being Vice president of Finance and administration was least bothered with team and was despite interested in showing his own administrative skills. He did not involve any people form the production department. Infact, he invited developers from outside to look after and plan the project for them. Thus, this contributed to the failure of project (Too & Weaver, 2014). The stated issue revealed communication gap in the project as well which led to ineffective evaluation and planning of project activities thus creating significant management gap for the project.
Inadequate Defining and planning of Project: There was no proper planning in Rony’s Project. At the meeting no such points regarding the planning of the project was being discussed nor any project manager was appointed. No one had an appropriate idea regarding the project and no guidelines were defined regarding the completion of goal. Thus, the project was a failure.
Poor estimation: Kim Cashman controller of the firm was looking after the cash inflows and outflows of the project. Initially the budget that was decided for project was $17 million. Spencer while discussing project with EID increased it to $20 million. Thus, improper budgeting led to the failure of project (Nicholas & Steyn, 2017). Moreover the project negotiation aspect also lacked efficiency. The project management team did not include any effective tools to manage and maintain the project workflow and budget.
Improper Communication: Communication is the most crucial factor in Rony’s Project. There was no proper communication within the higher and lower staff members. Lots of correction were made in between the project but were not communicated to the respective people (Hornstein, 2015). Thus, no member was aware about the changes being made in the project.
Lack of Team work and Goal Setting: In Rony’s project there was no team work. All the people were doing their task individually and no one was bother to interact with each other to accomplish the project (Kalyan, et.al., 2016). However, there were no proper goal set for the project that can be achieved during the right time. Therefore, lack of communication within the team work and no proper objectives led to failure of the company.
Lack of Project Management Tool: One of the most important project management tool that was not considered by the firm was project documentation. No details regarding the project were written anywhere and no sources regarding the information was made available at the time of measurement. Further, there was no proper performance control that led to delay in the work with comparison to the defined time period (Leming, 2017).
Thus, these are some of the major factors that hindered the project and contributed in the failure.
The project evaluation revealed a significant gap in project management aspect. It created an insignificant impact on project completion and success. The principles of project management are cost, budget and time. Rony’s project could not attain any of the above mentioned project principles which resulted in the stated issue. The stated issue is not new in the field. Projects with ineffective planning, execution and control fail creating huge impact on the company’s brand identity and investment. Rony’s project faced similar issue and in order to efficiently overcome the project failure the company must efficiently understand and implement project management mythologies and tools.
Applying Prince2 methodology will be effective in creating a significant impact on the project management and planning. The stated methodology will control the project and the associated constraint and create a well defined impact on the overall project growth. The measure will also be an effective means to deliver quality and communication perspective for the team.
The stated issue of the project stated that communication, planning and execution gap were the major issues which led to project failure. In addition lack of effective project management tool resulted in creating a significant gap between the estimated and actual results hence the following measure will be effective in creating a well defined impact on project competition.
Rony’s project must implement the following stages of project management in order to attain significant and well defined project results:
Lack of quality and control of the project was yet another issue for the project management and quality tools leads to significant project issues. Rony’s project failure lays a clear example of the similar issue. Hence project quality aspect is one major issue for ensuring success and growth of the project. Implementation of Total quality management technique would have helped the project in ensuring an effective and well defined growth for the stated project. The stated tool ensured that every stage of the project is quality ascertained and has minimum errors. It is also an effective means of analyzing and resolving the project issues at an early stage so that the cost of rectification and control is minimized thus project schedule is efficiently managed and maintained (Wang, et.al., 2015).
Implementation of TQM technique would have helped in ensuring an effective and well defines progress of the project. This technique would have controlled the cost and progress of every stage in an effective and well defined manner. It is an effective tool to influence and communication and monitoring as well. Hence the project manager would have created an effective working aspect in the project progress. The process involves continuous development as well. This aspect would have ensured that the outdated and in effective processes are replaced with quality results and cost effective measure. It would have ensured cost, quality and time issues of the project in an effective manner (Tang, 2016). Hence implementing effective methodology and tools in the project was an effective and well defined means of project success. Rony’s project failure was delivered a significant reflection about the same. the stated solution would have helped the project in managing the resources, time and budget to deliver expected outcomes.
Conclusion
Project management is a bigger term that involves planning, controlling, staffing, executing so that the defined project can be accomplished on time. In the current business scenario, it is important for all the small, medium and even bigger enterprises to have proper project management. In this report, case study of the Custom Ronworking Company will be taken into consideration. The firm is a small to medium sized and custom manufacturer of furniture and cabinets. The evaluation revealed that multiple factors resulted in the failure of the project. The analysis of the overall project helped in identifying that lack of effective project management methodologies and quality control tools created an insignificant impact on the project. Effective implementation of the stated techniques thus has been recommended for the effective results of the project.
References
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