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Beacon Aircraft Interior Project Esquire Elite

Project Manager Paula Kelly Senior Coordinator Corey Davis Senior Administrator Anatolio Rodriquez

Project Team

Beacon Aircraft Interior Staff

Background
Beacon Aircraft Interiors is owned by Bob Macey who first started aircraft interior as a hobby, and it has now grown into thriving business. Mr. Macey been working on interior designs for 39 years and his rapid growth has created a need for a more functional operations management. Beacon Aircraft Interiors has grow very quickly by the quality work and reputation which he has built. As a newly established business the need for more effective operational management is needed to keep up with the growth of the company. We at Esquire Elite will be developing a policy and procedure for Beacon Aircraft Interiors.

Beacon Aircraft Interior

Beacon Aircraft Interior

Beacon Aircraft Interior


Lear 55 Jet Interior

Cessna Citation II Jet Interior

Lear 45 Jet Interior

Problem statement

Beacon Aircraft Interiors is currently operating business with no policies & procedures.

Answer Statement
Esquire Elite will assess Beacon Aircraft Interiors operations and develop a plan of effective policies & procedures.

Scope
Esquire Elite will develop a policy and procedure plan for Beacon Aircraft Interior.

Deliverable
Produce a Policy and Procedure Plan for Beacon Aircraft Interiors

Statement of Work
Esquire Elite coordinated with Mr. Macey and the needs of his established aircraft interior company. After investigating the current Management Plan, Esquire Elite will be developing a policy and procedure for Beacon Aircraft Interiors.

Responsibility Matrix
Deliverable Initiation Planning Research Management Staff Development Execution Monitor and Control Closing Packet Code 1.2 1.3 1.3.1 1.3.2 1.3.3 1.4 1.5 1.6 Assigned To Paula Corey Paula Corey Anatolio Paula Anatolio Paula Backup Corey Anatolio Corey Anatolio Paula Corey Corey Corey

Work Breakdown Structure


Beacon Aircraft Interiors 1.0 122 Hours $14,640
Planning 1.3 49 Hours $5,880 Staff Development 1.3.3 12 Hours $1,440 Office Operations Plan 1.3.4 6 Hours $720 Execution 1.4 24 Hours $2,880 Monitor and Control 1.5 16 Hours $1,920 Software Operation 1.5.1 8 Hours $960 Closing 1.6 28 Hours $3,360 Scope Completion 1.6.1 6 Hours $720 Client Acceptance 1.6.2 2 Hours $240 Close Books 1.6.3 6 Hours $720 Handover Plan 1.6.2.1 1 Hour $120

Initiation 1.2 5 Hours $600 Research 1.3.1 10 Hours $1,200

Develop Scope 1.2.1 5 Hours $600

Management 1.3.2 27 Hours $3,240

Staff Development Training 1.4.1 8 Hours $960

BAI Current Operations 1.3.1.1 2 Hours $240

Communication Plan 1.3.2.1 2 Hours $240

Responsibility Assignment Matrix 1.3.2.1.1 1 Hours $120

Implement Management Processes 1.4.2 8 Hours $960

Office Operations 1.5.2 8 Hours $960

Conference Call with Bob Becon 1.3.1.2 2 Hours $240

WBS 1.3.2.2 4 Hours $480 SOW 1.3.2.3 2 Hours $240 Project Plan 1.3.2.4 6 Hours $720 Schedule Plan 1.3.2.5 4 Hours $480 Budget Plan 1.3.2.6 4 Hours $480

Software Operation Plan 1.3.5 6 Hours $720

Implement Software 1.4.3 8 Hours $960

Needs List 1.3.1.3 2 Hours $240

FAA Regulations 1.3.1.4 4 Hours $480

Risk Analysis Plan 1.3.2.7 4 Hours $480

Microsoft Project
ID 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 Duration Start Finis h Predeces s ors Res ource Names Oct 18, '11 Oct 25, '11 Nov 1, '11 Nov 8, '11 Nov 15, '1 1 S S M T W T F S S M T W T F S S M T W T F S S M T W T F S S M T W T F S S 10/25 122 hrs Wed 11/3/10 Wed 11/24/10 3 days 1 day Fri 10/22/10 Mon 10/25/10 Fri 10/22/10 Sat 10/23/103SF 1 day Sat 10/23/10 Sat 10/23/10 1 day Mon 10/25/10 Mon 10/25/104 1 day Sat 10/23/10 Mon 10/25/105SF 1 day? Sat 10/23/10Mon 10/25/10 0.5 days Sat 10/23/10 Sat 10/23/10 2 hrs Sat 10/23/10 Sat 10/23/10 2 hrs Sat 10/23/10 Sat 10/23/10 2 hrs Sat 10/23/10 Sat 10/23/10 4 hrs Sat 10/23/10 Sat 10/23/10 1 day? Sat 10/23/10Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10 Mon 10/25/10 1 day? Sat 10/23/10Mon 10/25/10

Software
The recommended software Esquire Elite has chosen for the Beacon Aircraft Interiors for their business strategy is Microsoft Dynamics GP. This software provides an extensive ability to generate accurate secured information pertaining to the management of the entire business. The modules covered by Microsoft Dynamics GP are: Financial, Sales, Purchasing, Inventory, Project, Payroll, Manufacturing, Company and System. It is the ideal software because it is easy to implement and provides free training for the business staff.

Microsoft Dynamics GP
Advanced Distribution:
Streamline the distribution cycle Rapid access to accurate information

Advanced Picking:
Meets multi-site needs Warehouse layout

Available to Promise:
Maintains information concerning stock availability Up to date, Current, Future

Microsoft Dynamics GP
Demand Planner:
Combines planning and forecasting functionality Multi-dimensional visibility about purchasing patterns Excel Collaboration Plug-in

Inventory Management:
Detailed inventory information Flexible reporting capabilities

Order Management (for Business Portal):


Around-the-clock Security-enhanced access

Microsoft Dynamics GP
Purchase Order Processing:
Manage costs and improve efficiency Complete purchasing audit control Track and analyze purchase activity (full historical and performance reporting)

Requisition Management (for Business Portal)


Enter and approve requisitions online Automatically transfer orders Reduces paperwork, repetitive data entry and errors

Sales Order Processing:


Enter quotes, orders, back orders, invoices and returns from one central location Distinguish prospects from customers Customizable data entry, sales documents and sales process Integration with Inventory, Receivables Management and e-commerce modules

Cost Analysis
Optimize Business of Beacon Aircraft Interiors
Esquire Elite will optimize the business performance of Beacon Aircraft Interiors This will allow Beacon Aircraft interiors to increase total revenue netted annually.

Cost Benefit Analysis


Validates the projects validity to Beacon Aircraft Interiors. By enhancing the performance of Beacon Aircraft Interiors they can expect to increase their amount of jobs completed annually. The Service Fee of the project will be offset by the potential revenue increase.

Cost Benefit Analysis


In order to calculate the potential revenue increase Esquire Elite will analyze the potential increase in business that would result from implementing their business plan. Currently BAI can handle an average of fifty jobs per year. The average profit of each renovation is $6,000. The total cost of each project can vary substantially; however, once BAI supplies all the necessary materials for the job the average profit margin remains the same. Once BAI improves their performance with software improvements we project that an average of 75 renovations can be done per year. Esquire Elite projects that it will take five years to fully implement the changes and increase the amount of jobs per year to the projected 75 jobs. The increase in performance will result in an average of $30,000 per year increase of revenue for Beacon Aircraft Interiors and it can be measured by 10% improvement annually. By year five Beacon Aircraft Interiors can expect to profit $150,000 more that year than if they maintained their current status.

Number of Jobs A ually


80

Cost A alysis

70

60

50

40

Curre t I crease of Five Jobs Per Year Projected

30

20

10

0 2011 2012 2013 2014 2015

Year

Revenue
$500,000

Cost Analysis
Increase of $150,000

$450,000

$400,000

$350,000

$300,000

$250,000

Projected
$200,000

Currently
$150,000

$100,000

$50,000

$2011 2012 2013 2014 2015

Year

Service Fee
To accumulate the service fee of this project each Work Breakdown Packet has an allotted cost that is directly associated with the amount of time that Esquire Elite spent on each packet. Esquire Elite determined that one hundred and twenty dollars an hour is an appropriate amount to bill for each hour of their time. Each packet hour is then calculated into the total hours spent on the project. The total amount of the hours spent on the project was 122 hours. To calculate the Service Fee to be billed to Beacon Aircraft Interiors, Esquire Elite multiplied the total hours spent on the project by what our organization time is worth per hour. 122 hours x $120 = $14,640

Business Plan
The project strategy of Esquire Elite is to develop a superior operations manual to implement into the organization of Beacon Aircraft Interiors. In order to accomplish this Esquire Elite performed an extensive analysis during the planning phase on the current operations of Beacon Aircraft Interiors. Once Esquire Elite developed a needs list of Beacon Aircraft Interiors they then planned to divide the organization structure into two parts, which were office operations and software operations. This will allow Esquire Elite to better manage the separate entities.

Risk Analysis
High If Beacon Aircraft Interiors feels that the Business Plan developed by Esquire Elite is insufficient and decided not to implement it into their organization.

Contingency Plan
Esquire Elite will develop a Business Plan that will be easily understood by Beacon Aircraft Interiors. It will also cover every available method to improve the operations of Beacon Aircraft Interiors.

Final Analysis
Esquire Elite has analyzed and developed management techniques that will enhance the ability of Beacon Aircraft Interiors to perform their jobs more efficiently and in a timelier manner. This will give Beacon Aircraft Interiors the ability to increase the number of jobs per year which will increase revenue, as well as, Beacon Aircraft Interiors reputation. Beacon Aircraft Interiors will develop business practices that will set them apart from the competition and give them an edge over their market. With a website built to suit the needs of the clients business would increase the business which was built on Mr. Macey reputation for 39 years.

Closing
Esquire Elite met with Bob Macey, owner of Beacon Aircraft Interiors, to compile a list of needs to improve his business. Our organization then developed a Business Plan to be implemented into the operations of Beacon Aircraft Interiors.

Citations
"Flammability Requirements for Aircraft Seat Cushions." Fire Requirements. Version 25.853-1. FAA, n.d. Web. 23 Oct. 1984. <www.fire.tc.faa.gov/pdf/25-853.pdf>. "Fire Safety Research." Fire Safety Branch. N.p., n.d. Web. 15 Nov. 2010. <http://www.fire.tc.faa.gov/research/targtare.stm>. Job. " PayScale - Business Consulting Industry Salary, Average Salaries ." PayScale - Salary Comparison, Salary Survey, Search Wages. N.p., n.d. Web. 17 Nov. 2010. <http://www.payscale.com/research "Microsoft Dynamics." Microsoft Corporation. N.p., n.d. Web. 22 Nov. 2010. <http://www.microsoft.com/en-us/dynamics/how-to-buy.aspx>.