Riordan Manufacturing Project Management Plan (Week 6)
Christie M. Rivera-Colón
PM/571 – Project Management
April 9, 2015
Dr. Erika Ramos
Riordan Manufacturing Project Management Plan (Week 2)
Riordan Manufacturing is relocating its China plant from Hangzhou to Shanghai. After a project scope and Work Breakdown Structure has been established, the project management team must determine a budget. According to author Gregory M. Horine, the budget of the project must account for every single task, and should be able to cover for the project throughout its entire lifecycle. One of the most essential tools for identifying a proper project budget is by consulting the project schedule. Apart from working as a wonderful time management tool, the work schedule allows stakeholders and project managers to find out how many monetary resources are necessary to fulfill each task outlined in the schedule.
Among all the time and cost management techniques out there, the ones chosen by the project management team satisfied the best the needs of the relocation project. The team did not have to determine project duration, as it was established by the top management of Riordan Manufacturing. The entire planning, executing and controlling processes is determined to occur within a five year period.
Time and Cost Management
The Project Management Body of Knowledge guide mentions a Three-Point Estimating technique, which the team believes will be the most convenient when performing time management. Three-Point Estimates include three parameters: Most Likely, Optimistic, and Pessimistic. The Most Likely parameter is based on realistic duration of tasks, resource assignments, participant availability, and interruptions. This parameter is on the moderate side in regards to the duration of the project. On a Most Likely situation, the project will get done with a couple of months to spare.
The Optimistic parameter refers to all of the aspects of a task or...