Case Study
Green Leaf Café –Meet Gary Aziz
Let us begin by asking Gary the following three questions
What are the types of projects you are involved in?
Gary responds:
We have plans to expand and want to increase customer awareness, so we are currently running two projects to help us do this. The first is a series of advertisements on local radio, the second is creating a social media profile. We also have plans to move into other markets, including extending our footprint into corporate catering. This is a big move and along with recruiting more people it will mean several projects over the next 12 months to enable the expansion. We have several exciting projects on the boil including overseeing the design and building of new facilities in Wellington CBD so we can cater for more walk-by customers. At the same time, we are going to completely refurbish the food preparation areas to allow us to prepare vegan meals and products. Down the track we hope to enter into a partnership to service aged care facilities which from my own experience do not cater as well as they can for the growing number of residents who are vegetarian.
How important are people skills?
Gary responds:
Firstly, people management skills. Although I am usually the ‘delegating authority’ for projects because I approve the budgets and sign off on project reports and so on, there are occasions when I am not around, especially as the business expands. In some of our projects (especially the larger more complex projects) I am not always available and cannot be present when each task is being accomplished by the team members. Therefore, I need people with skills to accomplish the tasks with minimum supervision. The various tasks in a project are done by team members with skills and expertise that fit the tasks.
Secondly, planning and organising skills. I need to be able to develop and implement plans to manage projects that can involve diverse stakeholders and they will often have competing demands. There is a lot of decision-making that goes into undertaking project work so we need to be able to systematically gather and analyse information and evaluate options to make informed decisions that will make the project a success and help us achieve our goals.
What is the first step to undertaking project work ?
Gary responds:
We follow a standard approach to project management based on the Project Management Institute of New Zealand (PMI) guidelines and standards. However, we have adapted some of the project planning documentation including the project scope and project plan templates to suit our projects.
Regardless of the type and size of the project we always start with identifying our project scope, because this allows us to establish an overall plan for implementing a project. At the same time, we identify and get to know the stakeholders. This may be an external consultant, local government or planning authorities. In other cases, the stakeholder may be a corporate client. This is a critical step and one that people will overlook especially in smaller projects. However, speaking from experience including some projects that failed, getting all the team members and stakeholders on the same page is important and can make or break a project.
Seek clarification from delegating authority of issues related to project and project parameters
THE ACT OF DELEGATION IS THE POWER TO SUBDIVIDE OR SUB-ALLOCATE POWERS TO A SUBORDINATE.
The delegating authority is the person who has authority on the project and has the power to delegate. As a project manager, you will seek clarification from the delegating authority regarding issues related to the project and its parameters.
The delegating authority can be determined by tracing the lines of authorities and approvals. The line of authorities and approvals is the chain of command or the organisational hierarchy that assigns tasks to team members. It also works as a channel of communication (team members report to the team leader and the team leader reports to the supervisor) and determines who is accountable for each task. Aside from that, your organisation’s lines of authority and approval is what you consult for when you want to obtain approval for a project before its implementation as well as the specific steps necessary to obtain the approval of each authority.
The line of authority is best illustrated by your organisational structure. You can also refer to your workplace policies and procedures to determine who your immediate supervisor is or who you are supposed to report to.
In undertaking a project, the delegating authority could be any one of the following:
- customer or client
- funding body
- manager or management representative
- project sponsor.
Defining project parameters
Project parameters are the conditions for which the project is set. They are the guidelines for accomplishing the tasks and includes the project timeframe, the budget allocated, and the resources needed among others. Project parameters are decided upon by the stakeholders in consultation with the delegating authority, around what the project aims to accomplish and what product or service is expected to be delivered. When determining project parameters, the best document to refer to is the project scope document. In determining the parameters of a project, the types of documents you can commonly refer to are the project brief and the project scope statement.
Project brief: The project brief basically outlines what is going to happen in the project; it contains a brief description of the project and outlines the project management framework to be adopted for the initiation phase. This includes the measurement of success for each phase implemented, deliverables and milestones, budget and resources, risk and issues management and related projects among others.
Project scope/scope statement: A project scope statement defines the boundaries of the project and forms the basis for every decision a project manager will make on a job. Sources of information that will help you in defining parameters may include:
- business plans
- project contract
- meetings and discussions with relevant stakeholder
- risk management reports
- issues log
- project charter..
Identify responsibilities of relevant stakeholders and reporting requirements
A project manager needs to identify the limits of each project team member’s responsibility and examine how changes to the project will affect its management. It is important that every member of your team has a set of clearly defined responsibilities to ensure that they understand exactly what they must and must not do, and what every other team member is to do and not do. This is the scope of their responsibility. If you do not clearly state this, members of your team may either go off and make changes which they are not authorised to do or, conversely, take less responsibility than needed for the success of the project.
Responsibilities of relevant stakeholders
We have previously defined the different types of stakeholders. This subsection will probe further into what the responsibilities of each of the relevant stakeholders are. Remember however, that some of the roles are interchangeable depending on the size of the project and the policies and procedures of your organisation. Of the stakeholders previously identified, the following are relevant as to the undertaking of the project. Since this is a unit of competency on undertaking a project, pay close attention to the roles and responsibilities of the project manager.
- Client: Clients play an active role throughout the project lifecycle; approving project plans, requesting changes, raising issues, approving milestones, releasing payments and accepting or declining final deliverables. The project client or owner may also be the project sponsor. In small or medium-sized organisations, the client is likely to be the owner.
- Sponsor: The sponsor, which could include the director, board or steering committee, is usually comprised of management representatives of other higher-level stakeholders. In small or medium-sized organisations, the sponsor is likely to be the owner. They oversee the project and serve as the leadership support. They offer guidance on strategic decisions and resolve issues escalated by the project manager. They are also accountable for the funds allocated to the project.
- Project manager: Project managers are responsible for the day-to-day running of the project and everything that comes with it, such as the development and maintenance of the project plan, management of project resources, management of stakeholder communication, identifying the skills required for the project and getting appropriate project staff, and identifying and resolving problems that come up on a regular basis.
- Project team members: The team members may be full-time or part-time employees who have different skillsets to accommodate the various tasks needed for the completion of the project.
Reporting requirements
Reporting requirements are the necessary information required by a governmental body, organisation or employer. It is often required within a certain time and within a specific format. Reports play a crucial role in project management as they help manage the expectations of stakeholders and track the progress of the project. Specific individuals tasked with receiving and reviewing reports will be noted in the project scope and/or project plan. Reporting requirements will vary according to the type of project being undertaken, the purpose of the report, stakeholder needs and organisational requirements.
Below are some examples of reports you can use:
- Progress report: Progress reports are used to update stakeholders; details how far the project has gone towards completion.
- Resource report: Resource reports details who is doing what when; shows a breakdown of project members and tasks for the day.
- Variance report: Variance reports tell you whether the project is, in fact, progressing as planned, comparing the plan against the actual outcome and giving you a metric to measure if you are on track, ahead of schedule or running behind.
- Board/Executive report: These reports are tailored to the person the report is for; for the board and executive level, they will want to know issues they can resolve, a summary of budget position and status of milestones.
No matter what business or industry you are in, project reports typically have similar requirements and information.
It is also good to include the following in your report:
- Updates on any pending and approve change requests for the project
- Milestones
- Issues and challenges
- Decisions required and actions taken.
Usually, the project manager is the one responsible for submitting reports to the relevant stakeholder. Your team members may also have their own reporting requirements and periodically submit their reports to you. Whatever the reporting requirements may be, they must be determined before the start of the project implementation
Scenario
Green Leaf Café: Because Gary is anticipating multiple projects to occur this financial year, he has developed the Green Leaf Café Project Management Policy and Procedure. There are sections that pertain to the content we have been discussing, for example:
- the PLOC principles,
- lines of authority and approvals
- quality assurance
- budgets and finance
- risk management
- record keeping
- reporting
- milestones
- processes
- relevant legislation, regulations and guidelines
- related policies and procedures
Activity
Check your progress in the activity below.
A PROJECT IS ANY PLANNED UNDERTAKING WITH SET TASKS DESIGNED TO ACHIEVE A DEFINED OBJECTIVE
Project planning lies in the heart of the project lifecycle. Think of it as the roadmap: it is where the goals are defined, deliverables determined, and a schedule created. Its purpose can be condensed into four requirements:
- To establish business requirements
- To establish cost, schedule, list of deliverables and delivery dates
- To establish resource plans
- To obtain management approval and proceed to the next phase.
Taking on a project involves many phases and different moving pieces working together for its success. Project planning plays an essential role in guiding the different stakeholders through the project phases. Without a plan, a project becomes just an assortment of tasks. In identifying your project scope, you will be able to establish an overall plan for the implementation of your project.
You may have heard of the managerial principle of PLOC: Planning, Leading, Organising and Controlling. This simple principle sums up exactly what a good project manager sets out to do.
Parameters of project scope
The project scope is a summary of the parameters of the entire project and will generally include:
- Goals
- Objectives
- Deliverables
- Task plan
- Costs and deadlines
- Responsibilities and roles
Most organisations will have a template and/or guidelines for project scope and project plan. Some will require more detail than others depending on the complexity of the project. It is important to remember that this module focuses on the tasks required to undertake project work on a minor project or a section of a larger project. The project scope can be included as part of the project management plan and is often referred to as a project scope statement.
Watch the following video for a straightforward explanation of the types of parameters included in a project scope. You can see how closely they resemble those of the AIPM.
Watch
What is a Project Scope? Effectively Planning a Project
The video explains project scope and the importance and benefits of scoping a project.
Duration: 1.51
Questions
Post Watch Task: Does your organisation scope projects? Leave a comment in the forum.
Activity
Does your organisation scope projects? Leave a comment in the forum about how this is done.
What is scope creep and how can we avoid it?
You can think of a garden as an analogy to think about scope creep. Imagine what a garden looks like when it is neglected and untended and your plants do not stay within the boundaries of the garden.
In other words, scope creep is what happens when changes to the scope occur. If new requirements are added to the scope without a change in budget, resources, or timeline, then that is uncontrolled scope creep. Sometimes changes in the scope are necessary and warranted but they should be planned. This is where the regular reports assist in monitoring. Keep in mind, the scope management plan can be included as part of your project management plan. As part of the scope management plan, you should include the processes that will be taken to complete the project and how these processes will be controlled and monitored.1
Project scope template
There are different formats used to develop a project scope and it is important that you refer to your organisation’s project management policy and procedure or confirm the template with your manager.
The project scope or the project scope statement is the part of project planning that lists what needs to be achieved and the work that must be done to deliver a project. It defines the boundaries of the project and forms the basis for every decision a project manager will make on a job. The project plan elaborates on the project scope. In this module we include the following components which will form part of your assessment.
- Project title and Project sponsor
The project sponsor may also be the delegating authority. - Organisational objectives
List relevant organisational objectives to which the project aligns or supports. - Project objective(s)
Describe specific project objective(s) (deliverables may also be required by your organisation). - Constraints
List any constraints. You may also be asked to provide inclusions. If not they will be included in the more detailed project plan. - Assumptions
Assumptions relative to decisions about the project that clarifies the scope of the project. - Critical success factors
These will be the deliverables/outputs of the project and the quality. - Stakeholders and responsibilities
These include project team members, delegating authority, internal stakeholders and external stakeholders.
You may also be asked to include:
- Issues or risks that might hinder the progress of the project
- Key deliverables
- Milestones
- Stakeholders
- High level requirements (resources required, budget breakdown).
The scope document should be used actively during the entire running of the project to ensure that the project is meeting its objectives and that the tasks being conducted are run according to the scope document. The scope document can also be used as a basis for a detailed project plan which will include more detail.
Other considerations
Let us now look at some important terms and concepts that are used in project management.
Project scope statement
A good project scope statement will make it easier to gain stakeholder’s approval and acceptance of your project. It will also put the project team in sync and prevent unauthorised tasks from popping up.
A great guideline to follow when creating project scope statements is the SMART method.
- Specific. Be clear and exact.
- Measurable. Qualitative and quantitative criteria will be used to assess whether you have achieved your goal.
- Achievable. Breaking down a daunting project into doable portions will help you and your team pace your progress.
- Relevant. Focus on completing the goals and avoid tasks that do not add value.
- Time Bound. A project is temporary and should have a time limit.
Issues, risks or constraints
- Issues: Issues are problems that come up while executing project activities, hindering the successful completion of such. Usually, an issue is either the difficulty in completing a project task identified in the project plan or discovering that there was a project task that should be included in the plan but was overlooked.
- Risks: Risks are the uncertainty involved in the project that, in the event that they occur, affect at least one project objective. Depending on the project, they can also refer to hazards. For example, at Green Leaf Café, common work health and safety hazards would likely be included given the nature of the worksite where many of their projects are implemented (for example, catering events or installing new refrigeration).
- Constraints: Constraints are the factors that will limit the project’s progress.
There are three main constraints that are interconnected:
- Time
The deadline for delivering the outcome - Cost
The financial resources available to achieve the outcome - Scope
The expected outcome
These three are called triple constraints because of how deeply interconnected they are. Notice that when you tug on one, the other two are directly affected; adjust the scope and you will have to adjust the cost and time as well. The list of constraints is not limited to the three mentioned above. There are others that could crop up at any time including risk, resources, organisation, method, customers and more.
Assumptions, inclusions and exclusions
The following table provides a definition and examples of assumptions, inclusions and exclusions.
| DEFINITION | EXAMPLES |
|---|---|
| Assumptions Assumptions are the events expected to occur during the lifecycle of the project. It is considered real or precise but has yet to be investigated further. As its name indicates, your assumptions are any factor in the project that you include in the project scope document to account for the possibility of uncertainty; they are concrete assumptions that you make in advance. For example, staff will require training to use the new equipment, or you can source your human resources needs from your internal personnel. Identifying assumptions for the project is best done by a collaborative effort. By including your team and other stakeholders in the process, you could gain valuable insight on areas of the project you may not be familiar with. |
|
| Inclusions and exclusions Inclusions and exclusions help establish the boundaries of the project. |
|
These statements help stakeholders be on the same page as to the project and not place unrealistic expectations over it.
Critical success factors refer to the elements in a project that are considered critical to the project achieving its objective/s. They are tracked by assigning key performance indicators (KPIs). Fortunately, CSFs aren't something vague. They're clearly defined elements that you can track with Key Performance Indicators (KPIs). Common critical success factors for a project include:
- Stakeholders agreeing on the project goals
- Developing clear project scope and project plans with assigned stakeholder responsibilities, deliverables and timeframes
- Managing the project scope effectively.
- Obtaining resources and approvals.
Scenario
Gary Aziz has recently started a project to have a new cool room built to accommodate the growing demand for vegan products. He has identified obtaining council approval within 30 days, entering into a formal agreement with the company who will install the new refrigeration units, and not overrunning the budget for the installation. He has also identified having a risk management plan in place and communicated to all staff before construction begins to avoid any accidents as a critical success factor.
List of tasks and quality standards
The list of tasks and quality standards referred to in scope statements is relatively straightforward. As its name indicates, it is just that, a list of tasks that you need to deliver throughout and at the end of the project lifecycle. If this is included in your project scope, specify the quality required for each task. It will serve as the standard to which the task will be upheld to assure management and stakeholders of the quality of the project.
In this part of the document, you and your team will make estimates of the cost, time and resources needed for the completion of the project.
- Estimating costs: In estimating costs, consider the project activities and items assigned per activity, cost per hour or per item, total of labour costs, GST
- Estimating time: In estimating time consider all project management tasks including planning and meetings. Depending on the project you may also have to consider possibilities such as accidents, staff shortages, suppliers not delivering on time, interruptions, equipment breakdowns. Time estimates are vital as they help you keep to a specific schedule. You will also find that the time estimate for each project task affects the cost of that same task.
- Estimating resources: Estimating resources involves assessing the nature and number of material and human resources. It also involves the tools or supplies required for the project.
Milestones are project markers that show what stage the project is in. It helps in making sure that the progress of the project is on track. You can ask the following questions to guide you in determining what the milestones in your project are.
- Is this a task or deliverable?
- Will it impact the final deadline?
- Is this an important moment in the project that will indicate progress?
Examples of milestones include project phase start/end dates, important meetings and presentations, client and stakeholder approvals and dates that might impact your timeline. It may also include the dates that project reports or status logs are submitted to the delegating authority or sponsor for approval.
Activity
Now it’s your turn
Prior to moving on to the next topic, have a conversation with someone that is not in Human Resources or studying this qualification and in your own words:
- Describe a project you have been involved in at your workplace and explain
- How was it delegated?
- What were the project parameters?
- Who were the relevant stakeholders?
- Did the project remain within its scope?
- Who produced and received the various reports?
