STUDENT and discrete have discrete start and finish

Executive Summary
This is an individual assignment and the main aim of this assignment is to in investigate the project management concepts that are used during the construction of a 3 story building for commercial. This assessment analyses four phases from the project lifecycle which includes; feasibility, definition, execution and handover. It also explains the work- breakdown structure which is in need to aid the team’s work into smaller tasks. There is also a critical path analysis is a technique scheduling one set of project activities. The main communication document for this commercial building is the project management plan. The recommendations for each phase and the conclusion of the report can be found in the last section. Secondary data such as journals, internet and textbook were examples of secondary data. Four main sections are discussed in this
assessment and separated into sub-sections. Each phase is discussed and explains the purpose in a relation to the building and planning details. The company has management and staff procedures to ensure the success of the project and all are dedicated to high quality which would lead to future growth. Customer dreams also
come to life when the company achieves the goals and objectives.

Table of Contents
Title Page No.

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1. Introduction………………………………………………………………………………
2. Feasibility
3. Definition
3.1 Scope management………………………………………………………..…….5
3.2 Time management…………………………………………………………………………..6
3.3Project management plan……………………………………………………….….6
4. Execution
5. Handover…………………………………………………………………………………
6. Recommendation…………………………………………………………………………
7. Conclusion…………………………………………………………………………………

1. Introduction
This project aims to produce deliverables that are unique which covers problems and discrete have discrete start and finish dates for the various activities. The project undergoes four project lifecycle activities such as feasibility, definition, execution and handover. The company (KVR Company Ltd) is a sole proprietor privately owned organization. This company aims to provide excellent customer satisfaction by transforming their dream into a reality. A project contract was made and signed by the contractor and Mr. Belford (owner of building) for the reason of constructing a story building at #4 Ramdhanie Trace, Penal for the creation and establishment of a new venture. These research identities the many phases of the product lifecycle along with the plans of, management to complete the commercial building as well as
requirements of stakeholders and deliverables for each phase. This assessment also analyses the network diagram and identities the critical path and issues faced with the project with relevant recommendation. Stated in the Project Management Institute (PMI, 2015), ” A project is a temporary endeavour undertaken to create a unique product, service or result.” Also, from (APM, 2015.), ” Project Management is the application of processes, methods, knowledge, skill and experience to achieve the project objectives. ”
2. Feasibility Phase
This is the first phase of the project lifecycle as it involves starting a new project that is identifying risks and being able to get approval from various stakeholders to allow the
building to commence. At this phase, the construction will start after the project sponsor Mr. Belford selects the company to undertake the business venture since the company is known for providing excellent quality service to continue having support from customers in the future. The reason for this phase to to consider costs, timeline and goals of the project to see whether the project manager has resources to complete the purpose of this project and the future profits. The project is next and this is a single source knowledge regarding the project (ENANI 2015, PAGE 853.). The reason of the project charter is to clarify and ensure the team is heading in the right direction while coming across any obstacles. The stakeholder register is then developed for the
project after the project carter is signed by the project sponsor. The key deliverables are resent in this phase as the team of the business venture begins to provide the solution. (Can see project charter in Appendix 1). One other deliverable is the schematic design as well as the completed commercial building being the main deliverable. Shapes, patterns, scales and textures can be identified by this design where the project deliverable is initiated to provide specific outcomes that are unique and based on the plan.

2.1Stakeholder Register
A stakeholder is a person, organization or group that can be impacted or affected or have any interest in the project or the outcome of a project that happens either indirectly or directly and this was according to the PMBOK guide. Below the project manager has listed all stakeholders, managers and their roles accordingly. (FIGURE
1) The stakeholder register is a document that contains data of different workers and
their involvement, roles, contact information, interest and names.


Role Involvement Impact Priorities
Mr. Belford
Customer High
C.P Hardware
Supplier Medium
KVR Company
Ltd 452-9555
Contractor Medium

Ben James

Very High

(Figure 1: Create for this project)
The Management strategy is there to increase the aid of stakeholder by providing information of the relationship and the project.

RoleCommunication frequency
Type of communication
Management strategies
Project Sponsor
(Mr. Charles)
Weekly reports
Be aware of risk that
may affect
the project
Email, telephone or face to face communication (e.g. site visits)
Manage closely by partnering or collaborating
Experts Construction Company
Monthly Reports about the progress
Face to face communication and email
Two way communication to make informed
Project team members
Weekly Meetings to discuss any issues
an offer solutions
Face to face communication and WhatsApp
Voicing opinions that are faced directly and

(Figure 2: Create for the report.

3. Definition phase
Once approval is permitted, this section will be determined from the project with details to achieve the goals and success. The feasibility study contains both the project
charter and stakeholder register. The resources from the project are identified and are tasks along the strategy.

3.1Scope Management

The scope of the project is combining the output of the project and the activities that require to produce the outcome. An important elemnt of the scope management plan is the WBS. This part involves the initial project start up, definition of deliverables, deadlines, goals and objectives. This is a project deliverable that organaizes the team’s work into manageable sub-sets. The PMBOK defines the WBS as,” a deloierbale oriented hieracrhial deco,postion of wrk to be executed by the project team. Figure 2 below shows a sample WBS with 4 levels starting with the main level deliverable and further divied into sub – deliverable . This aids the project manager as well as the team to break down the scope statement into smaller managemble activities for completion. AN estimated budget was allocated at thw top levels while the department budgets shuld be calculated. Thogh allocating cost and time estimates to specific levels of the WBS the project schedule and budget is determined. The communication and cost plans are better worked from the use of the WBS.
Figure 2: Shows a Work-Breakdown Structure for the commercial building

Commerical Building
Upstairs Downstairs
Electrical Plumbling
Framing Sheeting
3.2Time Management
Time is a valuable resource in project management and this is managed by scheduling. The critical path analysis helps to predict of the project will be completed in time and even if there’s a day delay, it will cause a huge loss to the company which will lead to improper time management. The total float is the amount of time that a schedule activity can be delayed without affecting the finish dates. The critical path has zero float. The diagram below shows all the relationship and activities together. The critical path methods enable project managers to calculate the time and resources needed to complete the commercial building. This is called the process of controlling a planning over the amount of time to spend on each activity which increases the effectiveness, productivity and efficiency of the project. The first success factor is meeting deadlines and making profits and the cost key factor to the effectiveness of project time management.
Figure 3: Shows the Critical Path analysis for the commercial building

The critical path in the diagram is the longest path in the network diagram or the shortest duration it can be completed. The red arrow shoes the critical path which cannot be delayed, the blue shows the latest start and time and the green shows the earliest start and finish time.
Projects that are based on the critical path, the activities fail to complete within the time duration. The path is planning tool and assumes that resources are available for all activities at all times. The less attention given is placed on the non- critical activities and the slack or float times is misused.

3.3Project Management Plan
The project management plan is a formal document that is used to define, integrate, prepare and coordinate planning activities. This phase is when the project plans are documented; the desirables and requirements are defined while the schedule is created.
Project cost management-
This is the process of planning and controlling the estimated budget of project. The cost management is important at every stage of the project lifestyle. The project manager is one who analyzes the various activities and identifies the human and infrastructure needs. The cost estimating process involves predicting the cost of the project and processes involve in production and utilizing materials by transformation and flow of activities. It a complex task to estimate the project cost due to uncertainty, inflation and variability in construction thus, this can increase the quality if the information in the cost plan.
Project communication management-
This includes the processes that are require to ensure timely and appropriate planning, collection, distribution and creation, retrieval and the ultimate decomposition and storage. (According to PMBOK 5th Edition, 2013.) The project manager uses different communication methods with team members and project stakeholders which are both internal and external. The communication plan should be displayed effectively and productively. One problem that relates to communication with relation to the commercial building is lack of information, insufficient control and time constraint and at this stage; the manager makes all the decisions. The plan for scheduling meetings is weekly, daily, monthly and will be help accordingly. This will help the project team to be updated with current situations and resolves issues. The project manager and the sponsor will communicate via WhatsApp, email to keep contact and discuss activities, success or a y mishaps.
Resources- At the initial stage of the project an agreed amount of labor, equipment an material are allocated to the project for the accomplishment of tasks.
Cost- This involves the estimating of resources such as labor, materials a=to keep the project within the budget.
Procurement- This deals with the suppliers and subcontracting therefore the manager is responsible for the sales and materials of quality selection.
Risks- This involves planning for possible risks ad considering optional contingency plans.
Quality- This involves assessing quality criteria to be used on the building. Quality assurance and quality control are the steps used whether the results conform to the requirements and assessing quality criteria to be used on the building
Schedule- This is the list of activities and sequence of implementation with specific start and end dates.
Human resource management- This involves conducting job planning, recruiting the right people for raining and managing, providing incentives and communicating.
4. Execution Phase
At this point, the project was planned in detail and is ready to be executed. This execution phase outlines how each plan will be carried out by which member and ensuring each task is completed within the given time and cost frame. The project manager spends most of
the time at this phase, members carry out the tasks and progress information is reported through regular meetings. Teams are formed using the Tuckman Model which allows member to grow effectively together and delivering high quality results. The four stages of groups are; forming, storming, Norming, and adjourning. The first stage “forming” takes place when the team members are introduced to each other and share information about their interests and experience. The storming is where the project manager ensures members listen and respect their differences and ideas and resolve any conflicts quickly. When the team moves to Norming stage, members work effectively together and take responsibility. The final stage is adjourning, the project is ending therefore members moving different directions however the project manager should ensure time to celebrate the success of the project. The project use a Charismatic leadership style, it involves inspiring and motivating the team members. It focuses on goals for the project without any change. Leadership ensures the empowerment of the project teams through training, motivation, and inspiring teams to work towards achieving goals of the project. The project
manager motivates team members using Maslow’s hierarchy of needs theory. Team members are motivated by achieving the highest needs in the hierarchy, which is self- actualization (Chiocchio, Kelloway, & Hobbs, 2015). Effective project managers should consider meeting all the needs of the team members shown below.

(Figure 4 shows Maslow’s Hierarchy
The triple constraint is represented as a triangle. (See figure 5 below).

Figure 3: Diagram shows the triple constraint.

Projects must be delivered within cost
Projects must be delivered on time
Projects must meet the agreed scope
Projects must also meet customer quality requirements+
Cost- the estimated costs of the commercial building increase as more labour are added to meet the new deadlines, however this increase labour cost also the delivery time will need to be reduce and meet the new date.

Schedule- the budget and schedule increase as a result of pushing up the final delivery date. The labour force was increase to minimise disruption to the project schedule, thus increasing the overall cost of the buildings.

Communications-during the project members’ encountered poor communication which cause delay in activities; however the project manager were ineffective to keep the level of communication and feedback open between stakeholders, team leaders and top management.

Scope changes- since the changes are not planned; this will cause delays which increase cost since it was not budgeted.

The plan should be updated and available on a regular basis for reviewing. The status reports will determine the probable end point in terms of cost, schedule and quality of deliverables. However, each project activity produced was reviewed for quality
measurement against the standards of acceptance. After the customer has agreed on the final solution of the phases, the project is ready for closure.

5. Handover
This is the final phase of the project and is also known as the closing phase of the lifecycle. At this point the project is officially closed and the final documents of all activities are signed off due to satisfaction by Mr. Belford. The robust handover plan is a key to ensuring that the commercial building is completed on schedule with zero defects and delivered on time. The key stakeholders in this phase includes the PM, contractor (KVR) and client (Mr. Belford).

Both the client and PM will ensure the project met its assigned objectives and the client formally satisfied with the building by using a checklist against each activity upon completion to track quality (foundation, walls, and roof). Once Mr. Belford is satisfied, sign off will take place on the entire project, this will prevents future misunderstandings. The components of the entire job need to be properly finished and sign off before the members dispatch. The project deliverables are reviewed by the client to agree on acceptance. All sub contracts with workers and contracts will be checked and closed as well in order to move on to another project. The project manager will than schedule a meeting with the team members to discuss any lessons learnt and ways to improve working conditions before releasing them.

6. Recommendations
One recommendation for the feasibility phase of the project lifecycle is undertaking a feasibility study. This will test the viability of the project and identifies problems that can occur and if the idea will deliver solutions to the problem. Also, the project manager should clearly identify the scope, deliverables and stakeholders.

At the definition phase, the project manager should create a work break-down structure to plan more efficiently. It makes planning consistent and provides for effective project execution in the next phase. From past experiences, the procurement strategy is viable to use since it’s a planned approach of cost-effectively purchasing supplies taking into consideration time, budget, risks and opportunities.

A recommendation for the execution phase is to monitor the quality of each activity so the cost would not be affected. The PM should ensure that team members meet their schedule time and quality of goals for tasks. Mr. Belford should sign off at the completion of each activity to prove satisfaction was achieved. However, effective communication
needs to take place at all level of stakeholder. Members will be clear on their tasks to complete and give training if necessary.

The closure phase is the final deliverables. To improve this phase documentation of project closure is needed. This is done to ensure all aspects are completed and provide reports to key stakeholders. The PM should also analyse project performance to determine whether the goals were met. Also, a final meeting should be conducted to discuss lessons learnt and make improvements for next projects to reduce risks.

7. Conclusion
A project is a unique endeavour which manages its deliverables within a time frame, cost and quality. All projects have a specific start and end dates. The project manager is responsible for meeting deadline, sharing information and estimate duration; the success is determined by all members input. The project undergoes four phases; feasibility, definition, execution and handover.

The activities are section off in smaller tasks, which requires teamwork temporarily to achieve the project objectives. The effectiveness of teamwork and essential project management practice is very critical to the success. The success of the project is determined if the objectives are achieve within an agreed scope, time and budget.

Reference List
Association for project management, 2015, project management available at, E. E. (2015). Project closing: the small process group with big impact. Paper presented at PMI® Global Congress 2015—EMEA, London, England. Newtown Square, PA: Project Management Institute.

Chiocchio, F., Kelloway, E., ; Hobbs, B. (2015). The Psychology and Management of
Project Team New York: Oxford University Press.

Enani, J 2015, ‘Project Charter ‘, International Journal of Scientific ; Engineering
Research, vol. 6, no. 3, pp. 853 -857. Project Management Institute available at viewed at April 15th,2018
Appendix 1
Project Charter
Project Name: Construction of a 2-story commercial building
Project Manager: Ben James Project Sponsor: Mr. Charles Project Overview
This project was undertaken to develop a commercial building for Mr. Charles. The building is a 2-story Rental style, 6 floor strip mall- acre lot (#148) situated #4
Ramdhanie Trace, Penal, Trinidad. The projected started on Monday 12th May, 2015 and was completed on 7th November, 2017. This building was constructed to utilize the last materials and technologies to develop business opportunities. Experts Construction Company (ECC) had supervised and manages all the activities in relation to this construction.

Section I: Project Purpose
This project is undertaken to construct a commercial building to attract investors to set up businesses.

Section II: Project Objectives
To transform Mr. Charles business idea into a reality
To build a sustainable and safe building for all renters and customers
To reduce delays within the stages and complete within the time and cost
Section III: Project Scope
Scope statement- The main goal of this project is to construct a commercial building within an 18 months period by analysing the stakeholders’ needs and interest. To provide better scope management plan and controlling the constraints within the estimated responsibility during the processing. The scope is the completed documentation work procedure within the definite time and budget.

The rental style commercial building was budgeted at $1.2 million should consist the following:
6 apartments
3 washrooms
2 offices
1 parking basement
1 storage room
1 lobby area
Section IV: Project Milestones
Foundation Plumbing and water pipes
2nd floor Tiling
Blocking up 1st floor washrooms
Plastering Garages
Blocking up 2nd floor
Building the roof
Section V: Constraints
This commercial building occupied 4562 square feet of land at #4 Ramdhanie Trace, Penal took18 months to complete and cost $1.2 million dollars. Therefore the triple constraint was identified:
Finishing this project with the allocated time period (Time)
Completing this project within the budgeted capital (Cost)
With regards to time management, the table below shows the amount of time allotted to each phase of the project in order for the project to be complete in 18 months.

Feasibility 4 weeks
Definition 6 weeks
Execution 15 months
Hand over 2 weeks
Section VI: Roles and
Name Role Responsibility
Ben James Project Manager Prepare project plan, monitor and control
project activities and approve project changes
Suppliers To deliver the raw material ordered accurately and one time with certain level of quality
Contractors To complete their work on time, within budget
and maintain quality while utilising resources
Mr. Belford Project team members
Communicate any issues to the project manager and be assisted in resolving

Section VII: Resources
Financial: The estimated budgeted cost for this project is $1.2 million dollars. Indirect labour: The estimated budgeted cost for indirect labour is $500,000
gravel Boxing board
sand I-beam/H-beam
steel Metal deck pan
nails Electrical
wire Washroom materials
Blocks roof material (z- purling etc.)
Cement Plumbing materials
Enterprise Environmental Document
Enterprise environmental factor:
The following environmental factors may influence this project:
Organizational culture (Carnival Monday & Tuesday)
Working hours (7 am – 4 pm)
Public holiday (e.g. Christmas day, Divali)
Internal factors (late delivery of material, and weather)
External factors ( public strike, inflation)
Organizational process assets:
ECC should have review past records to assist in the developing the cost estimation budget instead of employing accountant. The activities of the commercial building were different from a residential home. The contractor prices were higher than building a home, also should involve more expertise in construction for more accurate results.

Key deliverable: Architecture designs Tender contractor Product quality
Process efficiency

23 | P a g e

This diagram shows the cost management stages from initiation to the completion of the project. The process levels used in the cost management for the commercial building are
as follows; cost estimation, cost budgeting, cost controls and cost applications.

24 | P a g e

Student present buyer while picking materials, presenting

Student Name: Siva Kumar Yalamanchili
Instructor Name: Sean MastermanCourse Title:Business Strategy
Date of Submission: 06/04/2018
Table of Contents:
Executive Summary
Elevator Pitch
Mission Statement
Key Performance Indicators
Target Customers
Industry Analysis
Competitive Analysis and Advantage
Marketing Plan
Operations Plan
Financial Projections
Executive Summary:
As pioneers in the footwear business, Company B’s major goal is to beat client needs utilizing Total Quality Management (TQM) in which its clients and specialists can profit and get exceptional fulfilment through the age of surely understood, inventive, and footwear. Company B endeavours to centre around the necessities of the present buyer while picking materials, presenting traces, and gathering its quality footwear. Our inside will guarantee the unlimited quality of our business and solid its place among the central relationship in the business.

Elevator Pitch:
Company B will influence choices made amidst the coordinating framework. Company B will at first be worried over offering quality things to all compensation parties. The going with thing will be revolved around giving outstanding client association to all buyers. Relentlessness of all clients is a rule main thrust that has entire arrangement accomplishment for a business. Neglect to pass on the considerable client association could bother the capacity to make.

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Mission Statement:
The business will attempt to give a shopping foundation that satisfies the necessities of purchasers by offering a stand-out package that goes to the client. The mission is to set up the voyaging shoe advantage by offering extraordinary conditions that company can pass on to the customer. We will have a market build that will enable us to shape into a decision that is other than an adaptable shoe connection.

Our organization’s greatest strengths are S/Q rating, free delivering, discount value, refund offer and retail outlets. Reliably all through our recreation our S/Q rating has been solid. By having a decent S/Q rating we have possessed the capacity to expand the picture rating of our organization essentially, which pushes clients from our rivals. Our free sending alternative is additionally one of our most prominent qualities. By having no charge on delivery we can draw in clients to our items with the comfort factor that internet shopping is known for. Our low estimating is additionally a colossal quality for our organization as it is another appealing element, which draws clients from the opposition to us. Our refund offer and retail outlets are likewise the two qualities as our organization offers an appealing discount on our items and backings numerous retail locations who offer our items, making them all the more advantageously accessible to clients.
Our organization’s biggest weakness are promoting, superstar advance, retail support and conveyance time. One of our most impactful shortcomings is our absence of publicizing. In the initial couple of long stretches of our recreation we were attempting to set up an a dependable balance in the commercial center, which thus let to the disregard of a few parts of our business. One of these ignored viewpoints was promoting as we spend next to no cash on it. Another shortcoming is our big name offer. Be that as it may, we have an arrangement to either remain out of the superstar supports opportunity, or hold up until the last long stretches of the organizations life. Retail support and conveyance time are additionally shortcomings of our own. Conveyance time is a variable part of the retail business in light of the opposition. Accordingly, this will change every now and again so we remain aggressive against our adversaries.
The greatest oppurtunities to our organization are publicizing, big name bid. There are various open doors for us to enhance our publicizing and discover VIP supports. The reasons why we haven’t done this yet, is on the grounds that we need to accomplish a decent balance in the commercial center before we made any huge speculations without a strong return. We will probably make these interests later on as our organization is developing and during the time spent finding a consistent solid footing.
The greatest threats to our organization are the measure of rivals in the shoe business. There are nine other contending organizations in the market, which acts like a genuine danger to our business. Contenders can make focused methodologies that are all the more speaking to our objective clients, which will make those clients need to purchase from them rather than us. The most ideal way that we can prevent this from happening is by having our own focused system be the best in the market.

It is basically the objective of Company B to confine itself inside the business. Maker Footwear attempts to finish this objective by endeavoring to keep no not precisely an A-FICO assessment which is over the business run of the mill B+, and this will financially enable us to get the advantages basic as far as possible and possibly open a plant in Latin America.
Likewise, we will offer existing breaking point in our North American plant to counterbalance a heap of the entire arrangement cost from change of our new plant in Latin America. The heretofore determined objectives will at long last enable the relationship to have 20-25percent a more noteworthy number of models in the market than its foes and expansion segment. We do expect our entrance on motivator to beat money related specialist needs by 1 to 2 rate thinks yearly. We intend to keep up our headway rates inside predicted industry midpoints through the navigate of our business; regardless, we do expect our advantage per offer to dependably expand by 10percent over budgetary ace needs.
It is the conviction of Company B specialists that the affiliation can accomplish its goals and satisfy its central target utilizing the segment procedure. Through arrangement and age, we can beneficially and viably give the general market stunning shoes that offer new and inventive styles while making respect for the client. To meet objectives our potential respect impacting exercises to join inbound joint efforts, assignments, outbound coordinated efforts, showing and game plans, obtainment, and human asset association. The utilization of TQM near to the usage of Six Sigma will understand the best managing and recording of shoe materials and stock. To keep up trustworthy and drawing in things we expect to develop the measure of styles offered by 20-25percent all through the going with couple of years, giving us around 100 novel styles by year 2016-2018. Recalling the genuine target to empower master innovative capacity and profit we mean to expand the base pay by 2percent yearly. As a result of our confined method we just need to keep up industry customary as to mail in rebates and excellent movements. We accept that by developing mail in discounts, Company B would hurt its photo reasonably decreasing worth to financial specialists. Our outbound coordinated efforts join fourteen-day development times showed up contrastingly in connection to the business customary of three weeks. This stipends Company B’s things to achieve retailers and clients speedier than our foes. By developing our propelling spending plan by 7.5percent over the business normal in all domains, we can achieve more clients and produce stamp mind what’s more, secure brand resolve. In the meantime, Company B will develop cash related sponsorship of retail outlets to broaden bit of the pie and presentation. Our game-plan to build overpowering materials by 10percent yearly completed the business average will set our things as a high measure separated thing. We plan to join 100percent overwhelming materials inside model continuously 16. The utilization of these ruling materials will enhance general quality and execution of most of our models. This will permit Company B to detach ourselves from contenders and accomplish check faithfulness.

Key Performance Indicator:

As observed from the data in these tables, the change in the strategy through the previously described factors had a profound impact on the company’s performance. In this regard, all the monitored variables improved substantially, not only recovering the losses experienced in the previous two years but even surpassing them on year 13. Consequently, the strategy designed for the future three years
Target Customers:
Our target customers are classified into 4 categories’
Elites: These are elite athletics individuals or shoppers who contend in sports at a best level. There are after the most recent innovation and highlights in a games shoe for particularly intended for their picked sport.

Keeping Fit: This fragment comprises of buyers who consistently exercise or play sports at a social level. They need a decent quality shoe that gives sensibly great esteem.

Daily Comfort: These are individuals who wear sports shoes on an ordinary premise, essentially on the grounds that they are agreeable. They don’t by and large take an interest in sports. They brandish shoes for strolling, setting off to the shops, around the house, et cetera. They are keen on the agreeable shoes at a reasonable cost.

Fashion: This gathering of buyers are extremely inspired by the design components of games shoes. They for the most part don’t take an interest in consistent games, however do like shoes that have a surprising plan, shading, highlights et cetera. They wear the shoes as a component of their form and dress sense.

Industry Analysis:
The results obtained between years 11 and 14 in the business strategy game simulation and uses the results from the analysis carried out to design the strategy for the best three years. The objective is that of improving the position of the B company further. For this purpose, the game analyzes the impact that the business decision has on different variables, including the company’s net revenues, earnings per share, return on equity, stock price, credit rating, image rating, global unit sales, and global market share.

The selection of inappropriate decisions resulted in a substantially lower performance of the company compared to the rest of shoe companies in the simulation game during years 11 and 12. Having a look at the results, we hence decided to re-evaluate the company’s strategy and consider factors that we had disregarded previously. The first factor invested in the upgrade of our production plants to increase the productivity of the employees and decrease the rejection rate. The second one increased the advertising expenditure to promote the company and strengthen its position in the market share. Moreover, the promotion campaign also included hiring one celebrity to endorse the athletic shoes sold by the company. Finally, the third crucial decision consisted on increasing the image of the company by investing on corporate social projects.

Competitive Analysis and Advantages:

Since our items are all around made and have a high S&Q rating with respect to the market, we can value our shoes on the high end of the range. Enabling us to utilize a best-cost supplier system.
We feel that free shipping is a key component in the comfort factor of internet shopping, particularly in the event that it keeps the aggregate price tag under $90.00. Our discount cost is sufficiently high that we can deliver a benefit while waiting sufficiently low to guarantee the supporting retailers will advance and offer shoes over our rivals. In the discount showcase we intend to furnish our retailers with help simply over the business normal, blended with a moderately comparative level of publicizing cost. Doing as such will enable retailers to give our image high respects to the shopper. We are entering the private-mark section with a high S&Q rating and a low cost, simply over our make back the initial investment point. Our objective here is to offer however many shoes as would be prudent, so our image name can pick up acknowledgment.

Marketing Plan:
Our marketing plan begins off with expanding the quantity of models, getting an offer on a big name with a long haul contract to have greater big name request in both the discount and web section, and planning to concentrate more on the Latin-America showcase, all while keeping up a S/Q rating of 6 in the two portions. For simply the Internet fragment, we went to keep our transportation free, and have our promoting costs low.


Operations Plan:
The company needs to invest in advertisement and promotion of its products in order to keep a high market share.

Participation in corporate social responsibility projects is crucial for increasing the image rating of the company.

The competition in the wholesale market and in the private market are crucial to obtaining a high volume of sales and a high net revenue, resulting in higher earnings per share and return on investments.

The company may repurchase some of the outstanding stocks when it needs to increase the stocks’ appeal to investors. Through such strategy, the company increases the EPS, the ROE, and the stock price.

Financial Projections:
Tables 1-8 summarize the results obtained for the previously considered variables before and after the implementation of such strategies.

Table 1. Net revenues
Year Net revenue (millions of dollars) Variation with respect to year 10 (%)
10 250 11 229 -8
12 226 -10
13 286 14
Table 2. Earnings per share
Year Earnings per share ($) Variation with respect to year 10 (%)
10 2.50 11 1.98 -21
12 1.68 -33
13 2.63 5
14 Table 3. Return on equity
Year Return on equity (%) Variation with respect to year 10 (%)
10 15.0 11 12.6 -16
12 10.2 -32
13 15.6 4
14 Table 4. Stock price
Year Stock price ($) Variation with respect to year 10 (%)
10 30.00 11 20.45 -32
12 16.63 -45
13 31.64 5
14 Table 5. Credit rating
Year Credit rating Variation with respect to year 10
10 A- 11 B -2 grades
12 B -2 grades
13 A +1 grade14 Table 6. Image rating
Year Image rating Variation with respect to year 10 (%)
10 70 11 62 -11
12 59 -16
13 74 6
14 Table 7. Global unit sales
Year Global unit sales per market segment Variation with respect to year 10 (%)
Internet Wholesale Private Internet Wholesale Private
10 226 4276 740 11 220 4354 370 3 2 -50
12 230 4358 370 5 2 -50
13 389 4118 2179 77 -4 194
14 Table 8. Global market share
Year Global market sale (%) Variation with respect to year 10 (%)
10 25.0 11 22.8 -9
12 22.0 -12
13 28.0 12
14 As observed from the data in these tables, the change in the strategy through the previously described factors had a profound impact on the company’s performance. In this regard, all the monitored variables improved substantially, not only recovering the losses experienced in the previous two years but even surpassing them on year 13. Consequently, the strategy designed for the future three years includes:
1.Continue upgrading the production facilities and, if possible, purchasing or building a factory in Europe considering the high demand for the shoes in the European market and that the company is currently forced to import them from the factory located in Asia.

2.Maintain the dividend policy, such that investors receive up to $1.00 per share
3.Increase the advertisement expense and hire more celebrities to endorse the company’s products
4.Maintain the work in the corporate social responsibility field by continuing financing environmental protection projects, social activities and the training of all the employees


Student Name : Tanyaradzwa Nigel Joni
Student Number : 219702128
Subject Name : SPA
Subject Code : 111/101
Assignment Topic : Discuss the importance of bureaucracy in public administration.
Assignment Due Date : 07 March 2018

Administrative Class 4
Hierarchy 4
Division Of Work 5
Official Rules 5
Impersonal Relationship 5
Official Record 6
Administration 7
Articulating interests 7
Policy-Advice 7
Assisting Public Representatives 7
Political Stability 7
Smriti Chand defined Max Weber’s bureaucracy is an administrative system designed to accomplish large-scale administrative tasks by systematically coordinating the work of many individuals ( . In public administration context, Max Weber defined bureaucracy as a hierarchical model which states that an organization should provide for a clear division of labor ;authority should be hierarchically structured ,that is classified according to ranks with authority assigned in increasing order from the lower levels to the higher levels ;rules and procedures should be applied rigidly and impartially by employees; and selection and promotion of employees should be based only on technical competence and performance (Public Administration and Management In South Africa quoted by Smit et al. 2011:496).
However, the bureaucratic model proposed by Max Weber (1864-1920) is not quoted to prove that it was indeed the most appropriate system for the early twentieth century public sector. But it merely explains the point that the era of expanded public services , it was and still is possible to use strictly defined hierarchical lines , clear lines of authority and adhere to rigidly prescribed organizational structure.

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According to Ostrom 1974 , it states that the traditional model followed Weber’s work virtually to the letter. Weber argued that there that there were three types of authority namely, the traditional authority, the charismatic authority and the rational/legal authority. The traditional authority is the one such as the authority of a tribal chief, the charismatic authority is the one same as to the appeal of an extraordinary leader whilst the legal/rational authority is the one where a leader exercises power due to extraordinary qualities (Gerth and Mills,1970,pp78-80).
Weber’s theory of bureaucracy had six principles listed below;
A permanent, rule bound conduct of official business.
Technical competence of Bureaucrats.
The organisation should be based upon hierarchy.
The rules regulating the conduct of business should be technical and based on norms.
Complete separation of office property & personal property.
Complete absence of misuse of power & authority.
Complete absence of appropriation of official position by the incumbent.
formal & informal communication within the office.
Bureaucracy is inevitable in modern state. Its legal authority can be exercised in a variety of ways. (
In my own point of view these principles encouraged delegation, use of hierarchical organizational structures within the organizations, they also insisted that organizations should be separated from the lives of employees and training should be done to improve workers motivation. To conclude, Weber insisted a Bureaucracy from a purely technical point of view. The legal rational authority is exercised over human beings. Bureaucracy is stable, efficient & superior to all kinds of administrative tasks.
Features (Characteristics) Of Weber’s Bureaucracy
Administrative Class
Bureaucratic organizations generally have administrative class responsible for maintaining coordinative activities of the members.
Main Features of Administrative Class
i) People are paid and are whole time employees.
(ii) They receive salary and other perquisites normally based on their positions.
(iii) Their tenure in the organization is determined by the rules and regulations of the organization.
(iv) They do not have any proprietary interest in the organization.
(v) They are selected for the purpose of employment based on their competence.

Similarly, a subordinate will get authority from his immediate superior. However, this hierarchy is net unitary but sub-pyramids of officials within the large organization corresponding etc. functional divisions exist.
Thus, there are offices with the same amount of authority but with different kinds of functions operating in different areas of competence. For example, the Government organizations, we can observe separate offices looking after particular functions. This happens in business organizations too.
Division of work
Work of the organization is divided on the basis of specialization to take the advantages of division of labor. Each office in the bureaucratic organization has specific sphere of competence.
This involves:
(i) a sphere of obligations to perform functions which has been marked off as part of a systematic division of labour.
(ii) the provision of the incumbent with necessary authority to carry out these functions.
(iii) the necessary means of compulsion are clearly defined, and their use is subject to definite conditions.
Thus, division of labour try to ensure that each office has a clearly-defined area of competence within the organisation and each official knows the areas in which he operates and the areas in which he must abstain from action so that he does not overstep the boundary between his role and those of others. Further, division of labour also tries to ensure that no work is left uncovered.
Official Rules
A basic and most emphasized feature of bureaucratic organization is that administrative process is continuous and governed by official rules. Bureaucratic organization is the antithesis of ad hoc, temporary, and temporary and unstable relations. A rational approach to organization calls for a system of maintaining rules to ensure twin requirements of uniformity and coordination of efforts by individual members in the organization.
These rules are stable and exhaustive. When there is no rule on any aspect of organizational operation, the matter is referred upward for decision which subsequently becomes precedent for future decision on the similar matter. Rules provide the benefits of stability, continuity, and predictability and each official knows precisely the outcome of his behavior in a matter.
Impersonal Relationships
A notable feature of bureaucracy is that relationships among individuals are governed through the system of official authority and rules. Official positions are free from personal involvement, emotions and sentiments. Thus, decisions are governed by rational factors rather than personal factors. This impersonality concept is used in dealing with organizational relations as well as relations between the organization and outsiders.
Official Record:
Bureaucratic organization is characterized by maintenance of proper official records. The decisions and activities of the organization are formally recorded and preserved for future reference. This is made possible by extensive use of filling system in the organization. An official record is almost regarded as encyclopedia of various activities performed by the people in the organization. ( .

Functions of Bureaucracy In Public Administration
The primary function of bureaucracy is the execution and enforcement of the laws made by the legislature and policies decided by the political executive. Besides this the other important functions are :
The core function is to implement or execute law and policy, which is related to administering government business. This is why the bureaucracy is referred to as ‘the administration’ while the political executive is termed as the ‘government’.
Articulating interests
Policies once made are also implemented by bureaucrats. While implementing policies, bureaucracy come into contact with interest groups such as doctors, teachers, farmers etc. These groups provide information and advice to the bureaucrats relating to their groups, which help the civil servants to plan a policy to satisfy the interest groups.
The political significance of the bureaucracy largely comes from its role as the policy-advisers to the government. Generally, policy is made by the politicians and bureaucrats simply offer advice. Since policy- decisions are made on the basis of information available and advice offered, bureaucrats effectively control the policies made by the government. Politicians, being amateurs depend on bureaucrats, who are professionals and the politicians know what the civil servants tells them. Government decisions thus reflect the influences of bureaucrats.
Assisting Public Representatives
In a democratic setup, policy formulation is the privilege of the elected representatives at different levels of governance. Thus at the federal/central level, it is the cabinet which formulates the policies on the basis of the inputs provided by the respective concerned ministries. Minister in charge of a Ministry is responsible for the formulation of policies for his/her ministry and its attached departments. Bureaucrats being repository of institutional knowledge along with their experience serve as guides to their respective ministers in formulating these policies. They not only give vital inputs for this purpose but in most of the cases put up the first draft of any public policy.
Political Stability
Ministers and governments come and go, while civil servants are permanent, once appointed they continue till their retirement. Thus bureaucracy provides stability and continuity within political system and with change of government, there is no change of policy immediately.

However bureaucracy has got some critics in some views. Formal bureaucracy may also breeds time servers rather than innovators. It encourages administrators to be risk-averse instead of being risk-takers, and to waste scarce resources instead of using them efficiently .Weber regarded bureaucracy as the highest form or organization, but it is also criticized for producing inertia, lack of enterprise ,red tape, mediocrity and inefficiency and al conditions are thought to be endemic in public sector bodies.
Also, Weber regarded bureaucracy as inevitable with the modernization of society, there were clearly aspects that worried him. There was some conflict between bureaucracy and democracy and it was not making sense for a democracy to have a distinct elite acting secretively .(Gerth and Mills,1970, p. 2280)
Weber’s model will be performed in those enterprises where change is not anticipated. Big business houses and government departments use this type of organization. Weber is credited for attempting to develop Bureaucratic model for the first time.
Weber’s model has some drawbacks. It has rigidity, impersonality, excessive cost of control, excessive dependence on superiors, tendency to ignore organizational goals. In spite of these limitations this model is very useful in large enterprises.
Public administration and Management by Owen E. Hughes
Public Administration and Management In South Africa (Editors Chris Thornhill, Gerda Van Dijk, Isioma Ile
Internet Articles by Smrit Chand (
Internet Archives(
Internet source with an Author(


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