2.

0 Project Charter
2.1 Background

Nova Living Pte. Ltd. (NL) is one of the leading nutrition, health and wellness multinational

companies, based in Singapore with its global IT shared services known as Global IT Services

(GITS) located in Malaysia has embarked on a new project to enhance its supply chain

operations. The first wave will be concentrated to South East Asia and the implementation will

be deployed by local markets.

At present, markets located throughout South East Asia are using locally developed application

to record supply chain management activities information. The first-level support (L1) is being

rendered by local IT and second level (L2) is supported by the local application vendor.

Previously the cost for software support maintenance was managed locally within each market

which has resulted high in IT cost for both capital and operating expenses. Unfortunately every

market provides similar support framework which has created duplication among markets within

the South East Asia Region due to decentralisation of systems being used.

2.2 Aim and Objectives

The aim of this project is mainly to reduce the cost caused by redundancy as the company is now

beginning to expend. The project has to be completed within the time frame to prevent many

other issues arising of this matter. A centralized data warehouse should be adapted to the design

as this will reduce most redundancy across the company data.

2.3 Scope

The scope of the project can be broken down into the major interim product deliverables and

project deliverables, which are:

 Product Scope – Yard Management, Warehouse Optimization, Delivery

Management, Production and Packaging

 Project Scope - Team Members, Client, Stakeholders, Sponsors

2.4 Constraints

Most of the time used in the initial stage without proper planning and execution. Team members
were not briefed neither expectation were met according to requirement. Funds for the project
was used in an unplanned manner.

2.5 Estimation Budget

Estimation Budget $300,000.00

Human Resources (4months) $ 180000.00
Hardware / Software $ 60000.00
Training $ 10000.00
Miscellaneous $ 20000.00
Reserve $ 30000.00
2.6 Risks

Among the risk which has already happen is data collected for the project is most likely

redundant and incorrect. Therefore it is a risk to apply the data obtained in order to run the

project. Rather positive risk is Project Manager will not have to sort of human resource as there

might be good employees which actually under perform under the governance of previous

Project Manager. A negative risk is the time factor which might not be able to meet as the most

part of the project has to be done again as the documentation was incomplete under the previous

PM.

2.7 Critical Success Factors

The success criteria have been established for the project to ensure thorough assessment, and

effective completion of the project. There are several major critical success factors that

determine the success of the project, which are:

 The project must be fulfilled with no budget overruns. The allocated budget is $300,000.

 The project has to be completed within 4 months where the project was previously

planned for 6 months.

 The current team members should be assessed quickly yet accurately to be within the

team or new members should be hired.

2.10 Signature

Signature

CEO of Project Manager Project Sponsor

Healthy Living Pte.
Ltd