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PART A - PROJECT MANAGEMENT Craith Energy, a fully integrated oil \& gas company has decided to implement an Enterprise Resource Planning (ERP) integrated business system to help manage both their upstream and downstream business activities. The company is growing so fast that their legacy system can barely keep up with the volume of transactions and increased user activity. Recently, the legacy system has been randomly crashing, preventing users from accessing the system for hours at a time. To have the new ERP system implemented soon, Sameera Balwani, Craith's Chief Information Officer (CIO) who had overall responsibility for the project's completion, began applying some project management techniques they learned in an operations management course. This first required Sameera to identify all the various activities that were required as part of this project and understand how they were related. Assume that today's date is Monday February 6th.2023. Sameera knew that the Board of Directors (BOD) would have to approve such a major expenditure before the project could start, but first a proposal \& budget would have to be prepared. Once approval was received, temporary employees could be hired and trained so that key employees could be freed from their regular responsibilities. Sameera knows that after board approval, it will take several weeks to determine the detailed specifications. Modifying the software can begin after the detailed specifications have been identified. Once the temporary employees hired and trained, process flow analysis (past \& future) could begin. Based on information discovered in the process flow analysis, the setup of system parameters could be completed. After system parameters have been setup and the software modifications have been completed, system testing and adjustments could be performed. Upon completion of the system testing and adjustments, the legacy data conversion and preparing the test database (with a small amount of data) for eventual training could be done simultaneously. With the test database complete, training documentation could be prepared with accurate "screen shots" of how to properly use the system. End user training could commence upon completion of the training documentation. Once all of the above activities are complete, the new software system could "go live". In preparation for the upcoming board meeting, Sameera developed an initial budget for the project based on the normal costs associated with each of the project's individual activities. Sameera's estimated cost for each activity is shown below, along with the activity's estimated completion time. Also listed are crash costs and crash times, in the event it would be necessary to accelerate a specific activity so that the project could be completed sooner. in costs for a given activity is ass associated with the acceleration of an activity. The weekzy increase in fortiven activity is assumed to be constant. Note: Prepare your submission assuming that you are the project manager and that you are providing this information to executives and the project team at a project "kick-off" meeting. Thus, a professional appearance and clear and concise responses (explaining your answers and showing relevant calculations) are required. Organize your submission so that your responses are entirely in sequential order (question 1, question 2, question 3, etc.). Do not use exhibits at the end of your submission. Use all default settings in MS Project (such as a 5 day workweek). 1. Completed Activity Table ( 5 marks) Activity Table (template attached) with "Immediate Predecessors" and "Crash Cost per Week" columns completed. 2. Network Diagram (4 marks) Prepare a Network Diagram (before crashing) in MS Project of the activities mentioned in the case so that it is easy to read, goes from left to right in general, and fits on ONE page (landscape is recommended). See MS Project Tutorial document posted on D2L for details on how to accomplish this in MS Project. Include a screen picture of your network diagram from MS Project as a full page in your submission document (symbol legend not necessary). 3. Path Identification (2 marks) Identify the paths and the length (in weeks) of each path. Specifically identify the critical path(s). 4. Project Duration \& Cost ( 2 marks) Without crashing, what is the expected project duration and expected project cost? 5. Project Crashing ( 12 marks) You are considering completing this project in the shortest time possible. What is the fastest the project can be completed, and the associated costs (incremental and total) of that approach (without incurring any unnecessary costs)? Your solution must indicate the step by step (one week at a time) order and duration of the 'crashing' of activities so that the board can choose their preferred combination of cost and schedule. 6. Gantt Chart ( 2 marks) Provide a Gantt chart of the "shortest possible time" (from previous question) in MS Project. See MS Project Tutorial document posted on D2L for details on how to accomplish this in MS Project. Include a screen picture of your Gantt Chart from MS Project as a full page in your submission document. 7. Complete project by fiscal year end? ( 4 marks) The Chief Financial Officer (CFO) was interested in having the new ERP system "go live" in conjunction with the start of the company's next fiscal year on January 1st, 2024. Would this be possible? If so, how much would the project cost? Do you have any concerns with such a project schedule? 8. Activity Delay ( 3 marks) After the first few activities were completed in their normal time, the leader of the software development team took an unexpected family leave which resulted in a four week delay for the modifying the software activity. If Sameera wants to still complete the project in the original "normal" time, what specific actions must be taken to minimize costs while still completing the project as originally scheduled? Why? 9. Project Triangle ( 2 marks) The accounting department has recommended an increase to the budget for all "mission critical" projects, including the ERP project, to the board of directors. Prior to approving the accounting department's recommendation, the board would like to know how this potential "budget increase" of a few hundred thousand dollars could impact the other aspects of the ERP project. Assume the ERP project has recently begun and is progressing at the normal schedule pace