Airport PDA Project Business Plan By Marvin D.
Introduction Hand held and vehicle-mounted Personal Digital Assistant (PDA) are currently used by several service firms in the fields of paramedic and roadside assistance; inventory management warehouse vehicles; courier and shipping deliveries, and logistics and industrial monitoring and control. Employees in the field or shop floor use PDA units to retrieve data, record transactions and update central systems over wireless networks for real time processing. The company is seriously considering expanding it lines of business to offer handheld and vehicle mounted PDA technology in a commercial airport environment. A PDA can be configured to run applications to serve as a wireless computer terminal for online real time transaction processing when undertaking ground support activities for processing passengers, cargo and aircraft at the airport terminal. Functionalities of wireless Airport PDA The PDA will run a tweaked Microsoft Windows 8 OS that will have tight integration with the airport specific application and will have a rugged water and shock-resistant body casing of outdoor use, with attachments that can mount it in any part of a service vehicle or taken out for field assignment. The application suite that can be configured for specific airport user requirement will cover the following: Pre-flight activities Cargo and baggage handling: This feature often comes with a scanner that accepted IATA bar coding standards or Radio Frequency tags so they can just read bag tags and to ensure that baggage and cargo get correctly loaded as manifested into the right flight and destination (Stecher)
4 GHz. Business Requirements The project as initially estimated will require an investment of £5 Million in manufacturing assembly costs and systems development over an 18-20 month period.
Refueling vehicles to record actual fuel uploads Aircraft turnaround line maintenance
Post-flight activities: Cargo and baggage off-loading for delivery to appropriate terminals
Telecommunications Support Infrastructure The wireless network infrastructure will harness WiFi 802. well outside of airline UHF frequency ranges. Like hamburger fast foods taking orders while you’re queuing. terminal check-in staff effectively brings the counter to passengers forming a queue at the check-in counters (Trivedi).
Mobile check-in service for passengers: With a PDA on hand. Some airlines consider it a better alternative that Kiosk-based self-check-in counters offered in several European airports.
Conveyance for disabled and elderly passengers using electric vehicles to transport them to their gate assignments. It will use the 802.11n for higher throughput and longer range operation of up to a quarter of a kilometer or doubled with special repeater antennas in select tarmac locations. a) A client-server middleware that can send and interrogate data from in house systems b) UK-CAA clearance to operate in the frequency range that will not interfere with airline operations c) Project management teams that will develop and support the PDA
. airport staff can check you in doing the same thing but with a PDA.11 technology that operates on the spread spectrum range of 2.
Several vehicle mountable PDA computers are currently available from Rhino. The initial pricing per Airport PDA of £1.600 with the more expensive one at around £4. Datalogic. Pricing will be cost based plus mark-up.d) Marketing support for promotions and advertising for product pre-launch 6 months into the project which will fall into Year 1 of operations. The price will remain for the first few years of operation and can be marked down to £800 after the break-even point or payback period is reached.500 per gadget. Initial customers may have to carry the brunt of recovery costs while succeeding customers after achieving the break-even point can benefit from lower or discounted pricing depending on the volume of PDA terminals ordered. This is not a consumer product and the specialized application is meant to increase efficiency and seamless services for airport terminals and airlines which can have significant savings out of the PDA application.
. e) 24x7 help desk to support airport operators f) Organizational Project implementation support of customer users Pricing Approach The break-even point to recover product development costs will be computed and a suitable margin will be determined. A standard laptop or tablet can be sourced at less than £200 per unit but what sets the Airport PDA is its robust casing construction that can survive the elements for outdoor use as well as the default application systems that will provide the value add to the product.100 is at the low end of the market value spectrum. Motorola and Intermec costing upwards of £1. Unit prices will be uniform regardless of volume sold to each client. especially for highly specialized applications and all airline and airport applications are generally in the upscale pricing bracket.
The cost of 1.
Part A: Project Feasibility and Management The PDA technology is readily available to be enhanced for airport application and together with network connectivity.100 per unit will recover the licensing and royalty costs for 3rde party technology patents to be used in the Airport PDA hardware and software including in0house software development costs for the specialisd application. Stakeholder Identification using FFA (Forced Field Analysis) Determining the stakeholders of the project can be first validated using the Forced Filled Analysis. efficient and costeffective operations for managing ground activities in support of chartered and scheduled flights. Basic parts inventory and identified sourcing to ensure fast and reliable hardware repairs In-house systems programming work to support PDA client-server application Instant PDA field replacement during in-shop on or-site repairs. 3-6 hours response time for technical staff deployment and 1-hour remote diagnostics and repair support. Offshore manufacturing will be considered to achieve better cost efficiencies. It will contain the following components 24x7 help desk support. A separate pricing component will involve hardware and software maintenance services which will be priced at a minimum of 15% of total hardware acquisition and license cost per client per year after the expiration of the first year warranty. domestically and internationally. This allows the project management to identify people and groups that have a stake in
. the projects proposed here is merely an application that will allow airport and airline stakeholders to harness the technology for seamless. Licensing will be done on a per user per site basis.
Revenue streams are expected to be generated during the first 5 years based on initials sales of a modest 316 units based on the following assumptions: The pricing approach as discussed above will apply.
Table 1 FFA Analysis of stakeholder viewpoints
Forces in favor Operations Efficiency of operations Logistics. registering 500% annual increases in sales volumes for two consecutive years starting on the 2nd year and settling to a 200% increase annually thereafter. whether in confirming their initial support for it or in convincing those with lesser enthusiasm or harbor concerns about it. starting at 1. Data accuracy Accounting reflecting realand time changes in Operations the field Marketing Improved and airport client Operations satisfaction
Airport PDA Project
Forces against Airport Added management investment firm burden
investors Operations Rank and files
New learning curve Fear of new technology disrupting job security
Cash Flow Forecast and Analysis The Revenue Model The company will invest £5 Million in Year 0 from internal funds to roll out the product over a one-year project implementation timeframe. The first two years will experience heightened market growth.
..the success of the project.100 per unit and getting lower after the break-even on payback period has been achieved. The project development will take all of Year 0 and 6-8 months into the second year to accommodate the standards systems beta testing market penetration.
the following Operating and Capital Expenditure model is made. Taxes are expected to grow but cost component are excluded in the pre-tax variable costs. The Operating Expense and Capital Model With these assumptions. Licensing costs and royalties in the use of patented technologies in the PDA products will also increase the number of units sold and is estimated to cost 2% of unit prices. etc. trade exhibits. Maintenance costs will be a function of customer volumes and is initially pegged at 30% of the estimated maintenance charges paid out by customers from the purchase of the PDA. and will grow proportionately with the annual sales volume. For variable costs. promotional giveaways. the following assumptions are made. testing and marketing lasting 18 -20 months.) and this is initially pegged at 3% of the gross revenues and will grow at an estimated 20% annually representing planned client growth which is independent of PDA units sold. user training costs. accounting for the investment on year one with a project development.Table 2: Revenue Model
There will be a fixed operating and overhead costs pegged at £7 Million annually to take dare of manufacturing costs and salaries of executives and employees involved in the. Marketing costs will increase proportionately with increase in clients (sales calls.
888.20 -16.547.548.00 7.20 -16.515.13 -11.763.00% Cash Out Investment (Internal fund) 5.61 -5.52 1.97% Profitability Index 1.067.867.20 15.84 -4.125.61 -2.352.634.361.000. payback computations show that given the assumptions.00 N/A 5 4.125.968.13 17.13
5 20.127.790.20 -16.00 14.20 -5.
Table 4: Net cash flow forecast
Net Cash Flow Forecast Time Net Cash Flow Openning Balance Closing Balance Cumulative Cash Flow
0 1 2 3 4 -5.29 Modified Payback Period N/A N/A N/A NPV 9.00 -11.00 -5.932.405.12 months into the 5th year or roughly in the second month of that year.600.000.600.38 Cumulative Net Cash Flow -11.00 7.360.515.681.000.000.680.390.200.77 391.760.00 11.888. salaries and wages) Margins
Getting the difference between the revenue streams and operating and capital expenses yields the net cash flow forecast over the five year period as follows.846.836.668.506.61 -2.403.000.000.548.00 2.411.118.722.84 -15.600.722.20
2 7.00 11.100.577. the company can realize its money back only after 4 years.834.384.888.64 2.582.00 -6.634.668.64
Based on the cash flow forecast.22 9.268.67 -13.00 -6. Modified Payback.03 1.03 505. we get the following:
Table 5: Payback Period
Time 0 1 2 3 Payback Period N/A N/A N/A Discounted Cash Flow (7% interest) -5.Table 3: Operating expense model
Operating and Capital Expenditure Model Time 0 Capital Cost 10.52 782.548.846.84
Applying the standard financial measures of Payback.952.84 17.586.00 20. IRR.125.000.20 34.034.210.067.634.84 -14.150.000. 0.000.48
5 8.790.384.846.660.846.422.932.000.403.220.515.000.836.00 -11.64 34.000.865.763.586.81 IRR 22.00 20.97 -2.118.000.000.20 6.128.411.52 347.64 78.570.48 0.352.23
4 8. more precisely.030.992. and Net Present values.405.00 7.846.00 7.21 4.642.12 14.00 -6.763.00 24.000.83% Modified IRR 17.03 1.068.77 582.000.622.214.171.124 -4.050.479. This may prove problematic in seeking the
.00 Variable Cost (20% annual increase) Maintenance Marketing Licensing Fixed Cost (Manufacturing.000.634.84 -14.84 -14.660.83 1.506.00 7.381. and Profitability Index (Abraham).77 173.000.84 4 N/A 9.711.800.64 127.506.23 11.000.00 17.00 -5.381.956.360.
For expenses. the following assumption is made: Marketing cost will be increased to 540T for Year 1 and grow 20% on the 2nd year and maintained at the level thereafter.approval from the board which usually would like to see some promise of a return at an earlier date. Moving the Payback Period Earlier A second scenario can be simulated where the payback period is advanced to the 2nd year of project implementation.844 PDA units. This can happen only with the following assumptions based on the first scenario: The first year volume of sales is effectively increased nine-fold from 316 to 2. The 2nd year is critical and the earlier assumption of a five-fold growth is maintained while a slower growth can be expected for the 3rd year onwards. This means that the project development timeframe is shortened to less than a year during which time. This means a net cash flow that will allow full investment recovery on the 2nd year which is quite ambitious for the project. the unit price can already come down to 800 on the 3rd year and 600 on the 5th year. marketing would be in full swing. After this time. preferably in the 2nd year. The simulation yielded the following:
00 16.761.0% Revenue Model Unit Cost Assumption: 1.66 N/A
A second year payback period pushed all financial measures to an astounding level that is hard to believe – about 94% IRR and a staggering NPV of more than 5 times the initial investment.840.124.704.85 39.000.760.50 Cumulative Cash Flow -9.505.134. The financial indicators already present a lucrative promise for the project despite having a nearly 5-year break even period.00 16.203.995.65 N/A -675.633.85 -947.597.966.027.966.000.00 Sales forecast 3.128.50 Net Cash Flow -5.306.86 8.600.761.941.633.236.58 30.236.00 Operating and Capital Expenditure Model Capital Cost 7.980.00 N/A N/A Discounted Cash Flow (7% interest) -3.096.000.00 6. While the first scenario’s payback period may prove unattractive.00 39.00 1.00 Closing Balance -5.505.94 22.00 Fixed Cost (Manufacturing.5126.96.36.199 10.100 in the years prior to break even point and reduced to 800 thereafter 1.50 10.00 7.993.941.000.000.00 1.333.851.558.236.04 N/A NPV 28.00 767.145.477.00 17.000.355. salaries and wages) 7.00 Maintenance Charges (15% of Sales) 469.918.00 8.00 703.00 2.560.00 Cash In 3.000.665.144.993.704.000.203.00 9.50 29.420.00 -5.000.473.200.00 7.300.50 Licensing 62.880.00 -9.355.220.00
8.406.660.406.3188.8.131.52 IRR 94. On the other hand.00 Marketing 539.00 959.00 890.064.955.980.49 8.000.642.000.00 1.027.995.761.100.55 31.649.00 7.00 39.00 800.346.000.793.874.85 1.145.168.00 34.00 7.300.51% Profitability Index 5.00 Variable Cost (from cost assumptions) 742.145.850.881.50 Maintenance 140.00 16.400.330.50 10.69 Cumulative Net Cash Flow -3.000.778.00 -947.00 19.23 Modified Payback Period N/A N/A 2.000.306.85 127.50 8.335.742.00 39.00 -9.471.941.890.50 809.200.874.628.100.335.50 29.145.826.000.50 Payback Period N/A 2.096.000.50 29.568.85 287.559.50 3.826.767.50 1.70
10.335.000.86 -871.473.00 7.168.000.358.399.623.000.00 17.162.00 Volume Sold Assumption: rapid annual growth of 500% for the first two years and stabilized at 200% annual growth therafter 2.219.00 -4.134.600.00 312.988.473.50 809.168.50 Investment (Internal fund) 5.219.00 Margins -4.00 14.660.92 23.002.145.23% Modified IRR 42. a 2nd year payback simply looks too good to be true and betrays a very optimistic projection that can later disappoint
.Table 6: Scenario 2 moving the payback period the 2md year
Cash Flow Analysis (Scenario 2) Time 0 1 2 3 4 Capital Cost 7.00 15. the first scenario provides a more modest but realistically achievable target with IRR at 24% and a Net Present Value of 9.000.50 Openning Balance 0.119.00 42.793.000.260.134.00 21.00 9.850.00 800.50 38.50 29.628.280.00 341.739.0% Cash Out 7.50 29.00 2.614.918.00 809.335.00 5.529.00 682.65 38.000.2 million which is almost twice the value of the investment.
or that the Spice Girls are interested in cross into operatic singing. for instance. it will be a real challenge for marketing to penetrate the target airport and airline markets with its new product lines given the time constraints getting significant sales turnover right on Year 1. It is said that when Pavarotti partnered with the Spice Girls to make an album. A company needs only to choose which ones are relevant and have them assembled and branded by a 3rd party lost cost producer.as reality sets in. hurrying the project development team to get the Airport PDA out the production line sooner than planned could result in system bugs that. Taiwan and China. Benefits of inter-project learning for a global consumer electronics firm A company that has ambitious plans to manufacture and market consumer electronics as well special-function gadgetry such as what is envisioned in this project can benefit from a synergistic and symbiotic strategic alliances and business partnerships with companies overseas that have specialized focused skills and the products identified as critical to the totality of i9t planned products (Grant). could prove embarrassing for the company. manufactures LCD screens and built-up circuit boards for almost any kind of processing function needed to make a PC. smartphone or any appliance. while allowing for patches. In addition. just as what Apple is doing
. as it were. It’s all about collaborative enterprise engagement – one that creates more value to the customer because it achieves better efficiencies of focused contribution by each partner in the alliance. to allow a company to go into vertical integration when it is so much more efficient to focus on your own knowledge and skill and let other to what do best for you. it is not because Pavarotti is crossing over to pop. Companies in South Korea. It was all about creating a collaborated engagements where both partners reap a more rewarding performance and market following. In the first place. The point is that there is no business sense reinventing the wheel.
more cost effectively and profitably. The company can just re-house a hand-held computer with more robust casing for outdoor and have it rebranded. or do laser soldering. It is strongly recommend seeking out these companies. mostly based in Southeast and Northeast Asia for the company to achieve strategic cost efficiencies in business alliances with suppliers. but if these technologies are needed for their products. There are many in China that can do this.for its iPad and iPhones which are 100% built in China and elsewhere but conforming to rigid Cupertino-engineering and design specifications. they can always harness these highly focused skills using capital –intensive processes from partners faster. The only real effort the company needs to do is marketing and positioning the product well in the global markets. Even the programming effort can be outsourced to 3rdparty partners that specialize in airport applications. there’s now need to craft the PC from scratch. Hence.
. businesses today don’t want to learn how to make LCD displays. Just like Pavarotti or the Spice Girls.
Late Slack Time (weeks) 0 0 1 0.
Table 7: Project activities and duration
Time estimates (weeks) Expected Duration Time 4 6 3 1.5 0. Once their values have been estimated based on experience and educated guess.J K.5 19.5 1
m 4 6 3 1 3 3 2 3 2 1 1 3
b 6 8 4 3 4 5 3 4 3 3 3 5
Start ES 0 0 0 4 6 9 9 12 12 14 15.25 16.5 19.5
AOA/AON.75 0 0 4. The arrow node charts on Table 8 and Table 9 below illustrate this.5 2 1 1 2 1 0. Gantt charts and Critical Path Assessment (Q5/Q6) These duration estimates are expressed as: a (optimistic).5
Finish LF 4 6 3 6 9 12 14.C B.25 14 15.25 16. It has the following project activity parameters. Computing for the early start/finish and late start/finish as well as the slack times yield the columns thereafter (7th to 11th).5
Finish EF 4 6 3 5.25 16.5
Start LS 0 0 0 4.25 3 3 2 3 2 1.
.25 12 14 15.25 0 0 0 0
Predecessor Activity s p56 A B C D E F G H I J K L None None None A.25 9 12 11 15 14 15. the critical activities with zero float or slack times emerged to show the critical path.E F F I G.Part B: Project Planning & Control The project management aspect starts with defining the resource allocation.25 1. m (mostly likely) and b (pessimistic) parameters in each project activity or milestone.J
a 2 4 2 0.25 16.25 15. the expected time of completion can be computed using PERT formula (a + 4m + b) / 6 which yields the values reflected on the 6th column of Table 7.25 12.75 6 9 12.H.25 0. Based on the early start/finish and late start/finish. timelines and budgets for several developmental aspects of the Airport PDA project.D E D.
3 19. determining the critical path is fairly obvious and there’s no need to use the CPM.J 19. Creating the Gantt chart as illustrated in Table 10 clearly indicates which tasks have slack times and which does not.E 14.5
6 0 6 0 6 4
9 E 12
6 F 9
A slack time or a float of zero defines a critical activity (Meredith) which must be completed as scheduled or the next task cannot start and project delays become a certainly unless the succeeding task can be finished ahead of schedule.25
16.Table 8: Project activities in AOA
H G D
J L K
Table 9: Project activity on AON Chart
0 4 0
15. The critical path become obvious and in cases like these.D 9
Heuristic prioritization and optimized modeling using linear programming. Of course.Based on the expected duration time computed form the Table 7. unexpected supervening events beyond the control of the project manager. change in corporate priorities. changes in the project activities due to changes in suppliers. The minimum slack rule is often the most preferred scheduling method. accidental errors along the way.
Table 10: Project Gantt Chart
Duration in Weeks 1 2
Activity Start A B C D E F G H I J K L End Legend
Scheduling Optimization Option A great deal of time and effort often goes in planning a project in an the hope of arriving at the optimum schedule of activities mapped out to match time-sensitive resource allocation and to bring the project to its conclusion at the least cost and at the earliest possible time (Meredith). or inability to get the need resources in time. very few projects. This
. For this project. there are appropriate ways to schedule activities such as trial and error.5 months based on expected time of completion. the Project Gantt chart is constructed below with initial critical path presented. For sure. a simple Heuristic prioritization using minimum slack activities as having the highest priority can be used to optimum effect. if at all. project team member turnovers. The project is expected to be completed in 4. ever get done on schedule or as planned mostly due to several factors like.
meaning that the chances of exceeding the timeline or hitting it
.is constrained and something compromised by the availability of resources when needed and any lack thereof can restrict how far the project manager can manipulate the schedule without have any impact to the overall project deliverables and completion date. From Table 11.
Table 11: Labour resource spread over the project duration
Activity Start A B C D E F G H I J K L TOTALS 4 3 2 1 1 2 3 4 5 6 7 8 9 1 0 1 1 1 2 1 3 1 3 1 4 1 5 1 6 1 7 1 8 Duration in Weeks 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20
1 2 1
1 2 1
1 2 1
1 2 2 2
2 3 3 3 1 1 1 1 1 1 1 2 1 1 2 1 1 1 1 2 2 2 2 2 1 2 1 1
Expected Project Time and Probabilities (Q7) Activity durations are at best educated estimates made by project planners based on experiences and assumptions. Without any peaks or troughs. no resource smoothing is necessary as this would be just a waste of time in a project like these. But because these estimates are averages which open up risks that they are only 50% accurate. the manpower resources are fairly spread homogenously throughout the project duration.
4 0.5 0.2 0.4 2. management can only accept a 2-week delay form a planned 20=week project timeline. If management can only tolerate a 2% probability of not meeting the deadline. Table 11 shows the variance total among critical activities as 2 days and the standard deviation is its square root or 1.02 or 2 weeks. But having the information gives projecti managers a better handles on the project.2 0.1 0. Determining the probability that the project task will meet deadlines must be approached with a grain of salt as these are mostly the best guess estimates meant to boost confidence of the project sponsors and approving bodies. then multiplying 1. In short.41 weeks. It is in the interest of management to manage the risk and reduce them to the minimum using PERT (Program Evaluation and Review technique).5 1
b 6 8 4 5 3 3 3 5 5
Var 0.41 weeks x 2.1 0.earlier are equal.
Table 12: Duration variance of critical activates
Activity A B E F I J K L Total
a 2 6 2 1 1 0.4 0.054 (z-score found in a probability distribution table) yields 2.0
In getting the critical path variability. It’s a fact of life that the most well-planned projects rarely even fall within the target deadlines.
8 1.5 1 3 1 0.400. Project Performance as of the half point(Q9) On the 10th week or at the project’s half time mark.25 3 3 2 3 2 1.25 3 2 4 2 1 2 2 1 1 1 1 1 2 1 9 1 1 3 1.7% complete but is running
.6 3.4 1. Reducing B by two weeks will move the project two weeks forward but will cost £1.1 1.6 10.5 1 3. F.5 2.25 1.Reducing the Project Duration By Two Weeks (Q8) A sudden urgency may prompt the project manager to reduce the project timeline by two weeks. the summary of actual project expenses compared with budget allocation for each project activity is tabulated and it is plain the that the project is slightly behind schedule.8
Cost slope per week (£) 300 700 200 0 500 600 600 400 900 0 0 800
Critical activities B. It should already hit 51.
Table 13: Cost Slope of activities
Activity A B C D E F G H I J K L
Normal Expected Crash cost per Duration duration week Time (weels) (£k) 4 6 3 1. Another option is to crash E and F one week each which will cost £1. E.2 1 3. The latters makes for a cheaper option. A simple tabulation of the crash and normal duration and their corresponding associated costs per activity are shown on Table 13. The rule of thumb is to reduce the duration of a critical task with the least cost slope.100 for an overall two-week reduction. and L can be crashed.5 1 3
Crash Cost per week (£k) 1.9 0.
2 25 100 -75.0 0.900.0 99.3 95 100 -5.5 H I J K L TTL 9.6% complete for the 10th week. And when it should be 88.4 75.000.0 0.0 400.0 100 100 0.0 10 20 -50.0 21.5% as of the 10th week indicates that its completion level is off by that amount.at 48% which is not entirely out of hand.7 88.0 E 9.6 100 100 0.500.0 57.0 500.500. The project enjoys a negative cost variance of 0. a negative completion variance of 14.5 100 100 0.0 7.000.0 G 2.000.800. it is only hitting 75.3 0 0 0 0 0 51. is certain to result in failure to meet the project’s overall deadline.7 n/a n/a n/a n/a n/a
On the other hand.0 77.0 0.0 9.0 9.0 0.200.0 0.000. At the time the report was made.000.7% complete. Despite overshooting the budget by just a small amount.0 3.0 D 1.0 500.
Table 14: Actual and budget cost Summary for each activity and actual
Budgeted Costs to % Cost % % % Completion Activity cost (£) date (£) Variance Complete Planned Variance A 4.200. it went overboard by a measly £300.000 so far.4% which means that out of a planned budget of £77. but is hitting only 48.0 2.000.0 78.0 -0.0 0 50 0 0 0 48.2 100 100 0.000.0 F 4.0 50.6 -14.0 2.000.0 0. Optimizing Resource Mix (Q10) The project manager needs to minimize the cost of Rouserces U and V used in a certain project task.0 4.0 0.7%. it has failed to complete the project in the time allotted and unless subsequent schedules are completed earlier.400.0 80.3%.000.700.0 TTL Todate 77.0 1. The details are provided in tableseeks to minimize the total cost of a certain activity related to this
.0 0. the project should be 51.0 C 3.0 -2.0 95.0 3.000.000.0 -5.0 2.0 B 54.000.0 100.
Upper limit for Resource U is 3.Table 15: Constraints for resources U and V
Resource U (y) V (x)
7.5 4 3. These values and their corresponding optimal costs are tabulated below.5 4 4. Given the minimum and maximum values.5 1 1.45 resource -hours
y-x Not to exceed 1.5 0 0.5 2 2.75 and Y + 2X – 7.5 1 0.75 RH.5 5
Y = Reource U
Cost £400 £900
(y) At least 2. Upper limit for Resource V is 2. a Cartesian graph is made and the Y – X = 1.5 3 2.75
Y + 2X = 7.5 RH and lower limit is around 0.45
Upper and Lower Limits
Given the X and Y conditions in the table.5 5 5.
. the result is a set of values falling within a triangular area as illustrated in the graph.5 RH and lower limit is 2.5 6 5.75 resource-hours
4.5 7 6.5
Y – X = 1.5 resource-hours
y+2x Not to exceed 7.45 equations are plotted.5 2 1.5 3 X= Resource V 3.5 RH.
Conclusion While the use of PERT/CPM provides project managers a set of tools. getting the vehicle-mounted PC hardware. Indeed.5
Cost £1. Three areas and operationally critical. and the telecommunications infrastructure in place at the airport.75 2. Project managers in charge of the company’s Airport PDA project has 12-18 months to implement their new product offering and get the most cost-effective market to win local airports for starters. that enable them to check on the viability of a project’s timeline.Table 16: Optimal resource costs
Resource U (y) V (x)
Cost £400 £900
Upper Limit 2. the program to interface with airline and airport systems. observations have revealed that whether you use them or go for a trial and error approach. the tools are now better harnessed with project management software that use them as part of its algorithms and can benefit management in better adjusting schedules within available resources in part rather than in totality. __________________
. But having said that. Having the business alliance in place at this time is the first step and the best way to get the project off the ground and achieve the shortest implementation time.000 £3. This can be greatly reduced by identifying prospective partners in the supply chain to ensure the company does not re-invent wheel and get the best deal in any business partnership. they are rarely used in real world projects as the time and effort to gather all the data needed in the computations are better spent on getting the project on the road (Coster). it is rare that a complex project can meet the target deadlines and within budget.150
Lower Limit 0.5
Cost £300 £2.5 3.
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