Feasability of customizing a pop music concert

Feasability of customizing a pop music concert The report is prepared in feasibility stage outlining activities needed for the project of customizing a pop music concert. The report covers the background of Woods Ltd and brief info of PLC. There after detail discuss on the stages of PLC from concept stage, development stage, implement stage to commission stage will all details of each sections and subsections, finally a brief summary of report in conclusion. Woods Ltd are a company specialising in the special events and have 1 base in the North West of England. The major job of Woods Ltd is focus upon giving customised special events on behalf of major organisation. Woods Ltd has developed an outstanding reputation on both large and small projects, nationwide and overseas. 1.1 PURPOSE OF REPORT The purpose of this report is Woods Ltd is planning to provide a one off event for a major music company. This report also discusses a range of activities required to manage the project successfully. 1.2 PROJECT LIFE CYCLE Burke (2003) said the project is a framework for dividing the project up into manageable phases. The four phases are concept phase, development phase, implementation phase and termination phase. Figure 1.0 Project Life Cycle 2.0 Concept Stage Burke (2003) said starts the project off by establishing the need for the project and the feasibility phase is in this stage. 2.1 Goal and objective The objectives of the project are customised a pop music concert. Beside that, make sure the project fulfil all the requirements for the sponsor of pop music concert. Once the project is conceptualized, the next obvious step is to set SMART goals for its successful implementation. Most professionals agree that the successful implementation of a project demands setting up of certain meaningful guidelines and SMART goals. Special Well defined Clear to anyone that has a basic knowledge of the project. Measureable Know if the goal is obtainable and how far away completion is Know when it has been achieved Agree upon Agreement with all the stakeholders what the goals should be Realistic Within the availability of resources, knowledge and time Time Based Enough time to achieve the goal Not too much time , which can affect project performance Table 2.1 Smart goal analysis 2.2 Project feasibility study Feasibility study is a critical part of the project life cycle. The aim of the study would be to carry out a preliminary investigation which should help to determine whether the project should proceed further and how it should proceed. A well-orchestrated project feasibility study provides the kind of impartial analysis that can separate profitable ideas from unproductive brainstorms (Joe Taylor Jr.). Table 2.2 shows that, the PM responsible for conducting the feasibility study would normally consider: Cost Is this within the budget set by the organisation or within the capabilities of the organisation to finance it? Timing Are there specific constraints on timing and is it possible to complete the project within these constraints? Performance Will the project satisfy performance criteria which have been determined? Effect on the organisation Is it feasible in the context of the organisation and the effect with it will have upon it? 2.3 STEEP analysis of the project According to Field and Keller (1998), STEEP analysis provides concentrated information covering social, technological, economic, ecological as well as political factor. STEEP analysis is a technique used to aid groups to focus on what is driving change in the external environment. STEEP Description Social Woods Ltd provides professional service to customer. Woods Ltd will provide all the customers wants. For example selling the DVD music, drinks and others to them when in the pop music concert. Technology Company is adapting new technologies and techniques to improve the customer needs and satisfaction. For example offer several options in eye-soothing and attractive plain and multi-colored stage lighting, including stage floor lights, pedestal-mounted lights, suspended overhead lights, and more. Economic Woods Ltd increases their levels of employment, reduce the national unemployment rate. Ecology This pop music concert will not cause any pollution and effect to the environment. Beside that, in introducing new products, Woods Ltd is offering more paperless transactions, implementing electronic payment and online statements. Political and Legal Woods Ltd ability to create more affiliated business and improve public perception of organization and government. Woods Ltd should also protect its workers by ensuring all the hiring, compensation, training or repatriation is according to UK Labour Law as stipulated. Table 2.3 STEEP Analysis 2.4 Identify the stakeholder group According to Slack et al. (2004), to understand the project environment is to consider the various individuals and groups of people who have direct or indirect interest in the project. The five primary project stakeholders are the PM, project team, functional management, sponsors and customer. Each stakeholder has an essential contribution to make and all stakeholder expectations need to be met. Stakeholders for this project are shown in the table below. Group of stakeholders Responsibility in this pop music concert Project Manager Project manager is the person who is responsible for ensuring that the project team completes the event for a pop music concert on time. Beside that, the project manager develops the project plan with the team and manages the teams performance of the project tasks. Project team members The project team members are responsible for executing tasks and producing deliverables as outlined in the project plan and directed by the project manager, at whatever level of effort or participation has been defined for them. Vendors Vendors are contracted to provide additional products or services the project will require and may be members of the project team. Consumers Consumers include all the people that will use the product or services that the project is developing. Consumers internal to the Performing organization may also be customers. Table 2.4 Group of stakeholder and Responsibility in this pop music concert 2.5 Identify the Resources Required In the Project According to (Sloman 2006), there are three types of resources form the perspective of economic study, they are human resources, natural resources and manufactured resources. Pop music concert is a big project and it needs a comprehensive plan on resources in terms of manpower, budget, equipment and machineries required. Below are the examples of the estimated music concert equipment that the PM planned to be required in this event. 2.6 Approval obtains in concept stage Once the project proposal gets endorsement of the stakeholder of client, project manager will move to the continuous phase which is development phase. 3.0 DEVELOPMENT STAGES In this stage, a project team is conceived with responsibilities allocated. The planning events will mostly be prepared in this stage. 3.1 Work Breakdown Structure (WBS) Since the pop concert project is also a portfolio of several activities, it is necessary to breakdown the work. The work breakdown structure (WBS) is used to capture all the works of a particular project. WBS is required throughout the entire project. This is a results-oriented family tree presenting the activities to conduct or perform. WBS is represented by a hierarchical figure to organised complex and large projects (Senaratne and Sexton, 2009). The WBS is designed to help more accurately and specifically define and organise the scope of the total project. Beside that, WBS in pop concert projects is to help with assigning responsibilities, resource allocation, monitoring the project, and controlling the project. Finally, it allows PM double check all the deliverables specifics with the stakeholders and make sure there is nothing missing or overlapping. 3.2Network Diagram According to Levine, R 2010 network diagram is representation of projects activities to show logical relationship between activities to find out the completion date. The PM will establish a network diagram as in the table 3.1 by stating all the activities that perform in the project. Based on the table 3.2 shows that, pop concert project needed 49days to be completed. (Please refer appendix 1 for example of network diagram). 3.3 Financial Project Appraisal Financial Appraisal Financial project appraisal is a series of methods used to assess the financial feasibility of a pop music concert project. In this report will cover several types of financial appraisal method which aims to aid management in project selection and to improve shareholders wealth as well. Payback Payback period is a type of financial appraisal that measures the duration it takes to recover the initial investment costs which can be closely describe as break-even point (Petty, et al 2006). Under the payback periods rule, which ever project that gives the shorter payback duration will be accepted (Andrew and Gallagher (2003)) p 271. Net Present Value (NPV) NPV method can be said to increase shareholders wealth as this method can be easily understood. The main point is as long as the benefits (cash inflow which already taken future discounted value into account) exceed its cost, it can be said the investment has created a value (Andrew and Gallagher (2003)), p 274. Internal Rate of Return (IRR) Internal Rate of Return (IRR) is a type of financial appraisal that finds a single rate of return that determines whether it is worth undertaking a project or not by measuring the rate of return that makes the NPV equivalent to zero. (Investopedia2010). 3.4 Project budget Keown 2005 said that, PM must make a master budget where all other budgets from various quarters are consolidated into the master budget. PM will determine the reasonable cost that required to accomplishing the pop concert project. When the estimated cost of an item is uncertain, the project budget often includes a design allowance. This is money that is set aside in the budget just in case the actual cost of the item is wildly different than the estimate. Estimated Expenses à ¢Ã¢â‚¬Å¡Ã‚ ¤ (pound) Performers Taken That Rhianna Jay Z à ¢Ã¢â‚¬Å¡Ã‚ ¤ 30,000.00 à ¢Ã¢â‚¬Å¡Ã‚ ¤ 50,000.00 à ¢Ã¢â‚¬Å¡Ã‚ ¤ 25,000.00 Manpower expenses à ¢Ã¢â‚¬Å¡Ã‚ ¤ 15,000.00 Concert services à ¢Ã¢â‚¬Å¡Ã‚ ¤ 10,000.00 Equipment Rental à ¢Ã¢â‚¬Å¡Ã‚ ¤ 18,000.00 Space Rental à ¢Ã¢â‚¬Å¡Ã‚ ¤ 12,000.00 Concert decorate à ¢Ã¢â‚¬Å¡Ã‚ ¤15,000.00 Total Costs à ¢Ã¢â‚¬Å¡Ã‚ ¤175,000.00 Table 3.2 list of estimate project budget 3.5 Project Policy and Procedure A well-laid out policy and procedures manual will help attract informed members and allow the company to operate more efficiently and effectively. As argued by Utar Project Management, a policy is created as guidance for the project team to carry out their task without go against the law and regulation. Beside that, a procedure is a method by which a policy can be accomplished; it provides the instructions necessary to carry out a policy statement. Project team has to set some significant policies such as employment policy which respectively bound to the UK Employment Act. Beside that, all the staffs are needed to follow the rules and regulation as presented in (appendix 3) to avoid anything occur in the workplace. 3.6 Obtain approval from owner to proceed with implementation stage At last of this stage, PM will discuss and show all the paper work of the development stages to owner and get approval to go ahead with the project implementations. 4.0 Implementation stage According to Burke (2003) this phase involve the actual implementation of the pop concert project as agreed by all stakeholders. 4.1 Leadership style for PM PM needs to understand human motivation, team development and how to influence people, Boddy (2002).The best leadership style is always subject to each situation and the objective of leadership is to lead the team to a common goal. Lead is to adapt to the situation and the group you need to lead. Woods Ltd would need to adopt democratic leadership as each key team member is able to provide better proposals in addressing problems in a particular area with their expertise.Below are five leadership styles. Leadership Style Characteristic Autocratic *Leader makes decisions without reference to anyone else * High degree of dependency on the leader * can create de-motivation and alienation of staff Democratic *May help motivation and involvement * Improves the sharing of ideas and experiences within the business * workers feel ownership of the firm and its ideas * can delay decision making Laissez-Faire *can be very useful in businesses where creative ideas are important * relies on good team work and interpersonal relations * can make coordination and decision making time-consuming and lacking in overall direction Participative *Leader acts as a father figure * Paternalistic leader makes decision buy may consult Consultative *Share the problem with relevant subordinates individually * The manager makes decision that may or may not reflect the subordinates influence. Table 4.1: Leadership style 4.2 Motivation Motivation for pop concert projects to be used is Maslow Hierarchy of Needs. Maslows model indicates that fundamental, lower-order needs like safety and physiological requirements have to be satisfied in order to pursue higher-level motivators along the lines of self-fulfilment. In order to motivate employees, leadership must be understand the current level of needs at which the employee finds themselves, and leverage needs for workplace motivation. Table 4.2: Maslows Hierarchy of Needs Pyramid 4.3 Procurement procedure Sound planning of procurement is crucial. PM shall determine what material and equipment are needed to purchase for this project and to ensure that the quality of material and equipment meet the requirement. Based on fair standards and non-discriminatory supplier selection, Woods Ltd is ready to enter into partnerships with new supplier applicants. Initially, PM need to identifying potential companies that can supply the products and services. After that, audition tasks should be held in order to identify the quality approved suppliers. Beside that, PM should also identify whether they require Just-in-Time delivery from their suppliers. (Please refer appendix 5) 4.4 Risk Management Tinnirello, 2000 said that risk management is to recognize potential problems before it happens so that corrective actions can be planned ahead and appeal when necessary to minimize undesirable impacts on the completion of projects. The approach PM has taken to manage risks for Pop concert project included a methodical process by which the project team define risk, identify risk, quantify risk, and develop response. The most likely and highest impact risks were added to the project schedule to ensure that the PM take the necessary steps to implement the mitigation response at the appropriate time during the schedule. (Please refer appendix 4) 4.5 Monitoring and Control According to Cadle, J Yeates, D (2001) PM require to control and monitor 4 main criteria into the pop concert project which is time, cost, quality and resources. The purpose of project monitoring and control is to provide actions can be taken when the project performance deviates significantly form the plan. During the execution of work, close monitoring and control is needed in order to ensure that progress, cost expenditure and scope performance are measured and reported with methods which are in line with the way the plan was set up. It could be daily, weekly or monthly. Criteria to Control Monitor How it is possible Time Time must be in control because it is significant to project to complete without any delay Cost Cost also should be in control because just for renovation and opening, owners should not spend a lot. Quality If the quality of project being monitored the ISO 9002 standard can be achieved Resources Resources also must be in control and require to use it until the maximum. Table 4.3 How to control Monitor the project. 5.0 Termination stage This phase is to confirm and aggress that the project has completed and meets customers requirement and satisfaction. Jack and Samuel (2003) 5.1 Opening concert preparations After all the checking is properly done, the PM will organize event management department to take over the opening preparations. 5.2 Release Unused Resources PM should transfer out all the unwanted materials, equipment, and any other resources to the appropriate places and redistribute personnel for the next project. For example machine and working equipment will transfer to the new project sites. 5.3 Documentation checked PM will run the last check into the pop concert, to ensure completion of the work, including tasks performed by subcontractors. Notify the pop concert owner of project completion and ensure that deliverables as planned. Beside that, PM must ensure that documentation is complete, including a terminal evaluation of the project deliverable and preparation of the projects Final Report. The PM is responsible to explain in detail about the item in the contract and after the owner of the pop concert has agreed with the item in the contract, the contract is sign off. 5.4 Payment and close up After the pop concert owner has sign off the contract, PM will submit the invoice for pop concert owner and remit payment. The information on an invoice includes invoice number, payment term, date invoice, client details and etc. Once payment being made by pop concert owner, the project will be finalize and close. 6.0 Conclusion In a nut shell, this report listed the activities needed by using the concept project life cycle. As a project moves through each process, the PM and senior management should continually monitor the projects critical success factors to ensure it is still viable. For the pop concert project, there are specific areas, and these are: integration to ensure that various project activities are coordinated; scope to ensure that all the work required and only the work required are included; time to provide an effective project schedule; cost to identify needed resources and maintain budget control; quality to ensure functional requirements are met; human resource to effectively employ project personnel; risk to analyse and mitigate potential risks and procurement to obtain necessary resources. Beside that, the project should be viewed alongside with the control techniques at all stages to ensure customers satisfaction throughout. 2145 words 7.0 Reference Sloman, J 2006, Economics, 6th Edition, Prentice Hall, Spain. Bruke Rory, Project Management: Planning and Control Techniques2003, John Wiley Boddy, D2002, Managing project Building and Leading the Team, Pearson Education Limited, London Project Management University of Tunku Abdul Rahman , Malaysia University of Sunderland Managing of Project notes. 2005 Field, M., Keller, L (1998) Project management. Open University. Richman, L (2002) project management Step-by step. AMACOM. Maslow, A. (1943) Motivation and personality, revised by R. Frazer et al (3rd edn 1970) Harper and Row, London. Herzberg, F. work and the Nature of Man. Ty Crowell Co Referring from Internet http://www.brighthub.com/office/project-management/articles/2645.aspx Viewed 15 December 2010 http://www1.agric.gov.ab.ca/$department/deptdocs.nsf/all/rsv9182#how Viewed 15 December 2010 http://webcache.googleusercontent.com/search?q=cache:MNTXauAUAYoJ:fm.dal.ca/policies/files/ae269c8cdab2a6ab9af1aa0d3b788bb4.doc+policy+and+procedure+definitionscd=4hl=enct=clnkgl=my Viewed 18 December 2010 http://www.12manage.com/methods_goleman_leadership_styles.html Viewed 18 December 2010 http://www.envisionsoftware.com/articles/Maslows_Needs_Hierarchy.html Viewed 18 December 2010 http://docs.google.com/viewer?a=vq=cache:weh8P22Py4UJ:www.wiley.com/college/dec/meredith298298/resources/ppt/Ch13.ppt+project+termination+processhl=engl=mypid=blsrcid=ADGEESiy7TJ0FuzLsZKfCWxNcvvB4dqm_IZc6b9L9LMFWjOjvggX6Hsy7pJCdGTN-oiM54pzGQ7aUxp3L2vUZtoY1Fj2H-4XE3IEDCgFRolkeMcmEk3n5fyAea94dckyPWRK8XgOELLhsig=AHIEtbRSLeD7hwcgLsDncMJnBUvJkerPkw Viewed 22 December 2010 http://www.projectsmart.co.uk/smart-goals.html Viewed 22 December 2010 http://www.hireking.com.au/stage-hire-perth.shtml Viewed 22 December 2010 http://www.allbusiness.com/management/444125-1.html Viewed 27 December 2010 Appendix 2 The difference between policies and procedure Policy Procedure Describe the rules that establish what will or will not be done. Can range from broad philosophies to specific rules. Are usually expressed in standard sentence and paragraph format. Include WHAT the rule is, WHEN it applies and WHO it covers. Describe the critical steps undertaken to achieve policy intent. Are succinct, factual and to the point. Are usually expressed using lists. Include HOW to achieve the necessary results. Appendix 3 Safety rules and guidelines 1) Observe and practice the safety procedures established for the job. 2) In case of sickness or injury, no matter how slight, report at once to your supervisor. In no case should an employee treat his or her own or someone elses injuries or attempt to remove foreign particles from someone elses eye. 3) Do not wear loose clothing or jewellery around machinery. It may catch on moving equipment and cause a serious injury 4) Where required, you must wear protective equipment, such as goggles, safety glasses, masks, gloves, hair nets, etc. appropriate to the task. 5) Safety equipment such as restraints, pull backs, and two-hand devices are designed for your protection. Be sure such equipment is adjusted for you. 6) Observe No Smoking regulations. 7) Do not operate machines or equipment until you have been properly instructed and authorized to do so by your supervisor. 8) Do not engage in such other practices as may be inconsistent with ordinary and reasonable common sense safety rules. 9) Shut down your machine before cleaning, repairing, or leaving it. 10) Report any unsafe condition or acts to your supervisor. Appendix 4 Risk management Planning Risk Management Planning is the systematic process of deciding how to approach, plan, and execute risk management activities throughout the life of a project. It is intended to maximize the beneficial outcome of the opportunities and minimize or eliminate the consequences of adverse risk events Identify risk event Risk identification involves determining which risks might affect the project and documenting their characteristics. It may be a simple risk assessment organized by the project team. Qualitative Risk analysis Qualitative risk analysis assesses the impact and likelihood of the identified risks and develops prioritized lists of these risks for further analysis or direct mitigation. The team assesses each identified risk for its probability of occurrence and its impact on project objectives. Project teams may elicit assistance from subject matter experts or functional units to assess the risks in their respective fields Quantitative Risk analysis Quantitative risk analysis is a way of numerically estimating the probability that a project will meet its cost and time objectives. Quantitative analysis is based on a simultaneous evaluation of the impacts of all identified and quantified risks. Risk response Planning Risk response strategy is the process of developing options and determining actions to enhance opportunities and reduce threats to the projects objectives. It identifies and assigns parties to take responsibility for each risk response. This process ensures that each risk requiring a response has an owner . The Project Manager and the project team identify which strategy is best for each risk, and then selects specific actions to implement that strategy Risk monitoring and control Risk Monitoring and Control tracks identified risks, monitors residual risks, and identifies new risks-ensuring the execution of risk plans, and evaluating their effectiveness in reducing risk. Risk Monitoring and Control is an ongoing process for the life of the project. Appendix 5 procurement procedure Woods Lth supplier Procurement procedure