Task 1—Developing the Project Narrative and Goals (15 marks)

Project Overview

he project aims at the construction of a

three storied shopping complex with
total built up area of
5000sq.ft with 1000sq.ft on each floor
and a parking space for 300 vehicles (2
The project aims at the construction of
a three storied shopping complex with
total built up area of
5000sq.ft with 1000sq.ft on each floor
and a parking space for 300
The project aims at the construction of
a three storied shopping complex with
total built up area of
5000sq.ft with 1000sq.ft on each floor
and a parking space for 300
Today people are engaged in busy schedule and must do all the work on time thus shopping complexes save time by
providing everything under one roof instead of searching their different needs at different places.
The project aims at the construction of a three storied complex with total built up area of 50000sq. ft. with 10000sq.
ft. on each floor and a parking area for 1500 vehicles within span of one year. Basement parking will be complete
with all utilities and amenities like electricity, plumbing, vigilance system, communication system, fire protection
system and aesthetic designing. The shopping complex will consist of grocery store, restaurants, clothing stores,
theatre, gaming centre and number of other services. This prime location will be highly accessible by regular transit.

After finalizing blueprint, cost estimate and scheduling is done, the project cost will come out to be $62 million.

Three identifiable goals

 Create 50000 sq. ft for commercial real estate outlet out of under-utilized land
 Entertainment and shopping site in the city
 Vast parking lot for easy entry and exit
 Implementation of highly sustainable practices
 Achievement of increased productivity and reduced operational cost by following strategies

Significant project constraints or potential limiting effects

 Economic constraints related to the project budget and the allocation of resources

 Waste and water management in the area
 Traffic congestion in the parking
 Delay in project due to potential covid situation
 Difficulty in qualitative assessment during construction

Task 2: Cost/Benefit Analysis (15 marks)

COST
Non-Recurring Expenditure ($)
 Land $ 13,570,000
 Construction $ 21,900,000
 Exterior $ 2,100,000
 Interior $ 18,100,000
  Mechanical and Electrical costs $ 4,730,000
 Utilities and Equipment $ 1,600,000
Total $ 62,000,000
Recurring (Monthly)
 Maintenance $ 670,000
 Salaries $ 750,000
 Other expenses $ 130,000
Total $ 1,550,000
Total (Annually) $ 18,600,000
BENEFITS
Non-Recurring Revenue ($)
 Property tax revenue $ 11,000,000
 Sales tax returns $ 2,400,000
Total $ 13,400,000
Recurring (Monthly)
 Retail sales $ 1,865,000
 Rent on common space $ 210,000
 Parking $ 270,000
 Visual Merchandising $ 510,000
Total $ 2,855,000
Total (Annually) $ 34,260,000

Cashflow = $ 34,260,000 - $ 18,600,000

= $15,660,000

Payback period = $ 61,950,000 / $ 15,660,000

= 4 years

ROI = ($ 15,660,000 / $ 61,950,000) * 100

= 25.2%

Task 3: Developing the Work Breakdown Structure (10 marks)

 Shopping Mall

1. Work 2. Structure 3. External Work

1.1 Furnishing 2.1 2.2 Masoning 2.3 Building 3.1 Groung 3.2 Excavation 3.3Drains &
1.2 Electricals 1.3 Sanitation 1.4 Security
& Fixtures Steel erection work finishes Level surfacing & foundation ducts

1.1.1 Doors,
1.2.1 Cabling & 1.4.1 Security 2.3.1 Laying 3.2.1
Windows, 1.3.1 Toilets 2.1.1 Columns 2.3.1 Interiors
wiring system masonry Excavation
Partitions
installation

1.1.2 2.3.2 Laying 3.2.2 Pouring

1.2.2 Heating 1.3.2 Plumbing 2.1.2 Joints 2.3.2 Exteriors
Elevators & cooling 1.4.2 Security roof drains concrete
system personnel

2.3.3 False
1.4 Railings 2.1.3 Beams 2.3.3 Roofing
ceiling

2.3.4 Tiling

Required Personnel

Personnel Activity Budget

Finance and Purchase Manager Land and Survey $ 13,570,000

Architects Designing $ 2,891,000

Project Manager Project Planning $ 1,360,000

Civil Engineers Construction $ 21,900,000

Electrical Engineers Electric wiring and installation $ 8,890,000

General contractors Furnitures and Fixtures $ 13,389,000

Responsibility Assignment Matrix

Activity Project Finance Electrical Civil General Architects

Manager and Engineers Engineers contractors
Purchase
Officer
Land and Survey A R I C I A
Designing A I C C C R
Project Planning RA C I I I I
Construction A C I RA I C
Furnitures and A C I I RA C
Fixtures
Utilities installation A C RA C C C
Cost Control R RA I I I I

Task 4: Project Risk Assessment (10 marks)

Type of Description of Impact of Risk Probability of Risk Seriousness of Risk Mitigation

Risk Risk (Consequence) (Likelihood) Risk (Probability
x Impact)

Financial Project It would delay 0.50 Medium The usual creditor

Risk financing the start of the list is analysed and
required for project. This approached for
the project would affect the project financing
might not be cost and based on history
obtained in schedule of the with the creditor.
time. project.
Political The labour It would lead to 0.15 Low Enter written
 Risk force might go project shutdown contracts with the
on strike or subsequent labour union
demanding delay. regarding work
overtime. time, leaves,
compensation, etc.
Risk with Non-availability Delay in project. 0.60 High Enter strictly
supply of resources. defined contracts
chain with suppliers.
Inflation Reduced Eroding power of 0.15 Low Pre decided
Risk money power money and contracts with
in future. financial suppliers would
instability. mitigate the risk.
Business Insufficient Financial 0.45 Medium Phase wise project
risk cash flow to instability. financing to be
justify applied with
investment sufficient time lead.

Task 5: Developing the Cost Estimates and Budget (20 marks)

Personnel Costs

Personnel Rate Loaded Rate Labour‐Weeks Needed No. of Total Cost

Personnel
Project Manager $ 46 $ 51/hr 40 4 $ 326,400

Finance Officer $ 37 $ 42/hr 40 4 $ 268,800

Electrical Engineers $ 35 $ 40/hr 20 5 $ 160,000

Civil Engineers $ 37 $ 42/hr 20 6 $ 201,600

General contractors $ 34 $ 39/hr 20 4 $ 124,800

Architects $ 54 $ 58/hr 5 4 $ 46,400

Labourers $ 16 $ 18/hr 40 65 $ 1,872,000

 Total $ 3,000,000

Material Costs

Material Purpose Total Cost

Steel Frames Construction $ 4,100,000
Concrete Construction $3,550,000
Sand Construction $ 900,000
Plaster Construction $ 875,000
Paint Interior and Exterior $ 2,450,000
Sanitary Fixtures Interior $ 1,430,000
Plumbing and sewage Interior and Exterior $ 4,780,000
PVC pipes Construction $ 890,000
Electrical system Interior and Exterior $ 3,250,000
Tiles and Flooring Interior and Exterior $ 4,050,000
Lighting fixtures Interior and Exterior $ 6,100,000
Glass fixtures Interior $ 1,110,000
Vigilance system Interior $ 930,000
Fire-fighting system Interior $1,740,000
Miscellaneous cost Others $ 845,000
Total $ 37,000,000

Overhead Costs

Activity Direct Costs Budget Overhead Total Cost

Land and Survey $ 13,570,000 $ 430,000 $ 14,000,000

Designing $ 2,891,000 $ 109,00 $ 3,000,000

Project Planning $ 1,360,000 $ 240,000 $ 1,600,000

Construction $ 21,900,000 $ 1,100,000 $ 23,000,000

Utilities installations $ 8,890,000 $ 610,000 $ 9,500,000

Furnitures and Fixtures $ 13,389,000 $ 611,000 $ 14,000,000

 Time-Phased Budget

Activity Jan Feb Mar Apr May Jun Jul Aug Sep Total ( in
thousands)
Land & Survey 13570 13570

Designing 2024 867 2891

Project 272 408 680 1360

Planning
Construction 6570 10950 3285 1095 21900

Utilities 2667 5334 889 8890

installation
Furnitures and 1333 8002 4054 13389
Fixtures
Monthly 15866 1275 7250 10950 5952 6429 2222 8002 4054

Cumulative 15866 17141 24391 35341 41263 47722 49944 57946 62000 62000

Task 6: Project scheduling (20 marks)

Precedence Diagram

Project Land &

Start Designing
planning Survey

Construction

Utilities Furnitures and

Fixtures
installations

Finish
Duration Table

Task Optimistic Likely Pessimistic Estimated Duration

Ground level surfacing 6 9 18 10

Excavation & 17 19 27 20
foundation
Drain & Ducts 7 9 17 10

Steel erections 6 9 18 10

Parking 32 38 56 40

First storey 31 38 57 40

Second storey 45 49 71 50

Third storey 45 49 71 50

Plumbing 18 19 26 20
Electrical 17 20 23 20

Vigilance system 8 9 16 10

Fixtures 8 9 16 30

Network Diagram

A B C
0 Ground 10 11 Excavation 30 31 Drain 40
Level & &
0 Surfacing 10 11 Foundation 30 31 Ducts 40

F E D
91 130 51 90 41 50
First Steel
Parking
storey Erections
91 130 51 90 41 50

G H
131 180 181 230
Second Third
storey storey
131 180 181 230
 231 250 231 Vigilance 240 231 250
Plumbing System Electrical
231 250 231 240 231 250

I K J

251 280
Fixtures
251 280

Gantt chart

Activity Jan Feb Mar Apr May Jun July Aug Sep Oct

Ground level
surfacing

Excavation &
foundation

Drain & Ducts

Steel erections

Parking

First storey
 Second storey

Third storey

Plumbing

Electrical

Vigilance
system

Fixtures

Probability under PERT

Task Activity Immediate Optimistic Likely Pessimistic Estimated Variance

predecessor Duration
(a) (m) (b) (t) (b-a/6)2

Ground level A ------- 6 9 18 10 4

surfacing
Excavation & B A 17 19 27 20 2.77
foundation
Drain & Ducts C B 7 9 17 10 2.77

Steel D C 6 9 18 10 4
erections
Parking E D 32 38 56 40 5.44

First storey F E 31 38 57 40 18.77

Second storey G F 45 49 71 50 7.11

Third storey H G 45 49 71 50 7.11

 Plumbing I H 18 19 26 20 1.77

Electrical J H 17 20 23 20

Vigilance K H 8 9 16 10
system
Fixtures L I, J, K 8 9 16 30 1.77

(55.51)2
=7.43

Z-score =310 - 280 / 7.43 = 4.037

 Probability of doing project in less than 310 days:

P (z < 310) = 0.9

 Probability of doing project in more than 310 days:

P (z > 310) = 0.1

 Probability of doing project in more than 280 days and less than 310:

P (280 < z <310) = 0.5

Task 7: Managing Your Project’s Resources (10 marks)

Resource-Levelling Table

Task
A
30

B
30
30

C
20

D
20

E
40
40
40
40

F
40
40
40
40

G
40
40
40
40
40

H
40
40
40
40
40
 20 28 20
20 27 20
20 26 20
10 10 25 20
10 10 10 24 30
23 40
22 40
21 40
20 40
19 40
18 40
17 40
16 40
15 40
14 40
13 40
12 40
11 40
10 40
9 40
8 40
7 4O
6 40
5 20
4 20
3 30
2 30
1 30

Duration

Labour
K

L
J
I