Task 2 – Project feasibility and methodologies

The senior managers of the organisation are interested in one of the projects you have
recommended but want further information about the project to gain approval from the board of
directors. You should write a report to the board of directors that:
 assesses the feasibility of the proposed project
o reviews project methodologies and identifies a suitable methodology for the
chosen project
 describes the structure you have devised for the management of the project
 explains the role and responsibilities of the project manager.

Extension activities:
To gain a merit grade you must also:
 justify the methodology you have identified as suitable for the project
 evaluate the skills and experience needed by the project manager.

To gain a distinction grade you must also:

 analyse the contribution that the project will make in achieving the business
objectives
 justify the chosen management structure and explain the contribution made by
other team members.

LO1 AC1.3, 1.4 LO2 AC2.1, 2.2,

1M1, 2M1
1D1, 2D1

Task 2 – Project feasibility and methodologies

2.1 Assesses the feasibility of the proposed project
According to ‫״‬Gruneberg and Weight (1994) define the feasibility study report as a methodical
examination of proposals in order to establish the degree to which these attributes, amongst
others are present‫״‬.
PROPOSED BUDGET FOR THE CONSTRUCTION OF AJUMAKO-BISEASE HIGHWAY
BUDGET PERIOD: ONE YEAR (MAY 2019 – MARCH,2020)

ITEM DESCRIPTION UNIT Rate per Unit AMOUNT

(GHC)
Direct costs:
 Subcontractors 2 GHC 5,000 GHC 10,000
 Hired Labours 30 GHC 233 GHC 7000
 Rented House 1 GHC 1000 GHC 2000
 Materials - - GHC 10,000
 Supplies - - GHC 9000
 Equipment of Tools - - GHC 9500
  Bonds and permit - - GHC 3000
 Electricals - - GHC 2000
 Plumbering 2 GHC 500 GHC 1000
 Construction site Security 2 GHC 500 GHC 1000
Indirect Cost
 Maintenance - - GHC 3000
 Insurance - - GHC 1500
 Compensation - - GHC 1000
 Vehicle repairs - - GHC 1000
 Loss of productivity - - GHC 1000
 Legal Aspect - - GHC 1000
 Transportation - - GHC 1000
Capital Costs
 Duty paid on goods - - GHC 7000
 Duty paid on machinery - - GHC 6000
 Wages paid on the purchase - - GHC 1000
of goods
 Transportation paid on - - GHC 5000
machine purchase
 Installation charges - - GHC 3000
Operating Costs
 License fees - - GHC 1000
 Advertising - - GHC 500
 Office expenses - - GHC 3000
 Legal fees - - GHC 1000
 Utilities e.g. telephone, ECG - - GHC 5000
Project management costs
 Project plan and design - - GHC 7000
 Project Software - - GHC 5000
 Work Appraisal (incentive) - - GHC 4000
 Telecommunication - - GHC 2000
TOTAL EXPENDITURE GHC 114500.00

The estimates amount for the ongoing project for the construction of Ajumako -Bisease
Highway is GHC 114500.00

2.2 Reviews project methodologies and identifies a suitable methodology for the chosen
project
According to the ‫״‬Project Management Institute (PMI), a methodology is defined as 'a system of
practices, techniques, procedures, and rules used by those who work in a particular discipline‫״‬.
Traditional methodologies take step by step approach for project execution and it goes through
the following
 Initiation this determine the vision of the project, documentation and what one want to
achieved
 Planning this is where project infrastructure is built and enable one to achieve goal within
with schedule time and budget constraint.
 Execution this is where the allocated budget for the project deliverables are taken effect or
produce.
 Monitoring this stage involves keeping an eye on ongoing progress on the project and
taken necessary step for correction and direction.
 Closure which is the final stage of the project cycle.

Other suitable methodology for the chosen projects are

i. Agile project management methodology describing a flexible design and build process. It
assists team respond unpredictability.
ii. Scrum is another project management methodology which also proposes process and
principle to improve delivery.
iii. Kanban project management methodology it cores practise are workflow and visualizing.
iv. Lean project management methodology focused on theme efficiency. It identifies values
and maximized it by continuous improvement.

2.3 Describes the structure you have devised for the management of the project
Organizational structure is standard hierarchy of operation which can be coordinate, divide and
direct groups. It normally defines the positions and describe their task required to reach a target
or achieved organizational vision and objective. The three main ways that projects can be
handled and managed in the structure of the organization are the following:
Functional organization are group of workers based their area of specialization and the structure
in the extension in the line organization. The manager leads the team and manage the
operational of the business activities of the organization. Functional role and department may be
the following areas finance, Human Resources, Sales and Customer service. The functional
manager deal with the following budget allocation, resources allocation and involve in active
decision making and monitoring situations.
CEO

FINANANCE HR SALES MANAGER

STAFF STAFF STAFF STAFF STAFF STAFF

Matrix organization is another type of organization which is combination of the projectized and
financial organization. Matrix organization has usually had two chains of command which one
play a functional line and the other along project and client lines and the other chains play a
command such as geographical location area. The mainly primary reason for matric in large
organization is the functions and skills are important throughout the organization structure.

GENERAL MANAGER

MARKETING PRODUCTION HUMAN RESOUCES

FINANCE
MANAGER MANAGER MANAGER
MANAGER

STAFF STAFF STAFF STAFF

 STAFF STAFF STAFF STAFF

STAFF STAFF STAFF STAFF

Projectized organization is the temporary setup formed for specific project and when the project
ends the work come to an end. The project manager is in charge and head this structure at all
level. The project manager define task and control the activities of the ongoing project.
Monitoring the situation is very high key of his goal. Project manager has a vision to complete
and clearly define and basic objective.

PROJECT MANAGER

SUPERVISOR ARCHITECT PRODUCTION LEADER

LEADER 1
ENGINEER 1
PROJECT 1

2.4 Explains the role and responsibilities of the project manager.

ENGINEER 2 LEADER 2
PROJECT 2
According to Project Management institute ‫״‬a project manager organized, passionate and goal
oriented who understand what project have in common, and their strategic role in how
organization succeed, learn and change‫״‬.
ENGINEER 3 The role and responsibilities of the project manager
LEADER 3
are follows;
One of the responsibilities of project manager is activity and resources planning, planning
involves the starting time and the closure of the project. When a project fail it depend on the
qualities of the project manager. Good project managers define the scope of the project and
make available resources for the flow of the project. Project managers makes adjustments when
the needs arise to suit the development of ongoing project.
Another role and responsibilities of the project manager is organizing and motivating a project
team. A good project manager doesn’t joke on team members because it is collective ideas to
survive although he spearhead the project but he always count on his team to reach target and
achieved the aim of the project and also meet the deadline to win the heart of their clients.
Furthermore, project manager has the attitude of monitoring progress of the ongoing project
work, they don’t just monitoring but they supervise to make sure that right things are carry out
and where there is the need for him to adjust or change things he intervene and correct them.
Supervision and Monitoring are very important role for project managers because they are
always wanting to finished the project before time and make it genuine and quality.
Lastly but not the least, another important role of the project manager is ensuring customer
satisfaction at all time. A project manager aims to produce quality service delivery to it client at
all cost with meeting the deadline.

Extension Activities
2.5 Justify the methodology you have identified as suitable for the project
The traditional project management is the methodology where projects are carrying out in
sequential order. It follows in order: initiation, planning, execution, monitoring and closing or
ending. Traditional method such as budget and time.
Benefits of traditional methodology are
1. Clearly defined objectives
2. Controllable processes
3. Clear documentation
4. More accountability

2.6 Evaluate the skills and experience needed by the project manager.
1. A project manager must possess an interpersonal skill
2. He must have negotiation skills
3. Project manager must be analytical reasoning skills
4. He must have problem solving skills attitude at all time
5. He must have conflict management skill
6. Team building skills is very crucial and important role of the project manager.

2.7 Analyse the contribution that the project will make in achieving the business
objectives
1. Project manager must be team builder in other to archived business objectives
 2. Project manager must have a habit of supervision and monitoring power
3. Project manager must have organizational skills
4. Project manager must include all in decision making.
5. Project manager decides the methodology to be used in the project
6. Project manager established a project schedule and determining each phase at a time
7. Project manager assigning tasks to project team members

2.8 Justify the chosen management structure and explain the contribution made by other
team members.
1. Increase communication efficiency allow department to communicate on a ongoing
project and arrived in good conclusion.
2. Improved employee motivation lead to the success of the project since motivation
increased the morale of the employees to give their best to suit the business objective for
the success of the busines.
3. Maximizes resources usage play important role in the ongoing project since available
resources lead to smoot running of the project and help meet the deadline of the project.
4. Increased employee professional development is very important in the development of
ongoing project since it gives the employees fair ideas to work hard to meet the
expectation of the organization achievement.