Project Background

The Minimalism Tiny House Movement in the last decade is creating amazing business opportunities for construction companies and smart investors. With the advent of the 2021-2023 economy downturn in the United States, Tiny House Inc., a construction company in Spring, TX has joined this movement. The vision of Tiny House Inc. is to build comfortable, affordable, and efficient housing, which is environmentally friendly and contributes to saving the planet from waste and pollution.

M&G Angel Real Estate Investors share the same vision as Tiny House Inc. and are sponsoring the first Tiny House model. If the project is successful, they would like to expand their contract to create small communities and subdivisions of Tiny Houses in the area of Spring, TX. They strongly believe that in early 2024, the economy downturn will improve and the Tiny House market will be poised to explode. M&G Angel Real Estate Investors are partnering with Tiny House Inc. and have committed to funding the first Tiny House as a model to showcase the 2024 Tiny House Subdivision.

The scope of the Tiny House Project includes 800 sq. ft (40' x 20') of construction. The floorplan includes one bedroom (10' x 13'), one kid's bedroom (9' x 10'), one full bath (10' x 7'), an open kitchen (10'-6" x 7'-6") to living room area (10'-6" x 9'), dining area (12' x 7'), laundry (10' x 7'), and main entrance door area (5' x 5').

The Tiny House construction of their first model should be completed in 60 working days with a $90,000 budget or less. The project will be executed in three phases.

Pre-Construction Phase	Construction Phase	Close-Out Phase
Floorplan final approval Contract Execution	Foundation Rough framing Roofing Siding 1MEP rough-in Inspection of1MEP rough-in Insulation walls, ceiling, & Floor Drywall	Painting Flooring and trimming Bathroom installation Kitchen cabinet installation Kitchen & Laundry Appliances Doors and windows Solar system installation	Punch List Final Inspection Close-Outdocuments

¹MEP:Mechanical, Electrical, and Plumbing

Labor Cost

The project team is composed of three employees with similar construction skills earning $20 per hour each, 1 MEP Rough-in expert earning $25 per hour, and one Project Manager in charge of managing the project earning $40 per hour.

Construction Material and Equipment Cost

• 300 studs for framing: $3,000
• Vinyl siding: $4,000
• 100 plywood sheets for walls and roofing: $2,000
• Insulation: Exterior (R19-1,000 sq ft.): $1,000; Attic (R30-800 sq ft.): $800; Interior (R13-300 sq ft.): $100;Floor (R25-800S1 ft.): $2,500
• 60 sheetrock sheets: $900
• Paint: $400
• Flooring: $1,000
• Kitchen Cabinets: $2,000
• Appliance equipment (stove, microwave, refrigerator, and dishwasher) cost: $2,500
• Bathroom materials: $1,500
• MEP material ($4,500 ): includes Plumbing and electrical $1,500; HVAC: $3,000.
• Door and Windows: $2,500

Contractors

• Foundation with underground plumbing rough-in: $5,500
• MEP Inspector cost: $500
• 5KW solar panel system and installation cost: $10,000

Project Charter

Project Name	Tiny House	Project #:TN-000
Project Manager	Student's Name	Start Date	End Date
Project Sponsor	M&G Angel Real Estate Investor

Project Description:

• Tiny House Project includes 800 sq ft (40'x20') of construction. The floorplan includes the following.

• 1 bedroom (10' x 13')
• 1 kid's bedroom (9' x 10')
• 1 full bath (10' x 7')
• Open kitchen (10'-6" x 7'-6")
• Livingroom area (10'-6" x 9')
• Dining area (12' x 7')
• Laundry (10' x 7')
• Main entrance door area (5' x 5')

Business Need:

• The 2021-2023 economy downturnin the United States has created business opportunities in the real estate market to build Tiny Houses that are comfortable, affordable, efficient, environmentally friendly and can contribute to saving the planet from waste and pollution.

Business Objectives

• Building affordable housing under $90,000 within 60 days

Project Requirements

• Home must meet local building codes.
• Foundation: 6 in x 40 ft x 20 ft concrete slab with underground plumbing rough-in
• All windows and doors must pass the required energy ratings
• Exterior wall insulation
• Ceiling insulation
• Floor insulation
• 5KW solar panel system to provide electricity to the whole house

Milestones

1. Project Name: The Tiny House Project

1.1 Pre-Construction Phase

1.2 Construction Phase

1.3 Close-Out Phase

Budget

• $90,000

User Acceptance Criteria

• The Tiny House project must meet all deliverables and project requirements.
• Its cost must be under $90,000.
• It must be completed in or under 60 working days.

High-Level Project Assumptions

• The economy will improve in 2024 and the Tiny House market will explode.

High-Level Project Constraints

• Budget

Project Exclusions

• A garage is not part of the project.

Major Project Risks

• The U.S. inflation continues in 2024.

Key Stakeholders

• Tiny House Corp. CEO
• M&G Angel Real State Investors
• Project Manager
• Project team members

The project team has started the risk management plan and needs now to identify, assess, and manage the project risks. In order to identify individual project risks, the team will examine those tasks on the project schedule with potential issues during their execution. The Project Manager has asked their team to go over the instructions to complete the risk register and identify four negative and two positive risks. [Double-click the Risk Register on the next page and follow the instructions presented in Table A below to complete this assignment] Table A: Instructions to Complete the Risk Register Identify Task Name: Using the project schedule you developed in Week 5, select a task and enter it in the risk register. Risks Risk Identified: Ask yourself the question: What can go wrong during the execution of the task? Describe the risk you have identified. Probability: Ask yourself the question: What is the likelihood of occurrence of the identified risk in the task you have selected? Enter a number between 1 and 5. When the probability of occurrence is very high enter a 5, high enter a 4, medium enter a 3, low enter a 2, very low enter a 1. Assess Impact: Ask yourself the question: What will be the risk impact on the project objectives if the identified risk occurs? Enter a number between Risks 1 and 5 in the Impact columns. When the impact on the project objective is Very High enter a 5; when the Impact is High enter a 4; when the Impact is Medium enter a 3; when the Impact is Low enter a 2, or when the impact is Very low enter a 1. Risk Score: The Risk Score is calculated by multiplying the Probability of occurrence (P) times the risk Impact (I). Risk Owner: The risk owner is a subject matter expert (SME) from the core team, PMO, or from a different department who is familiar with the project task. Therefore, the risk owner is suitable to create a risk response plan. Enter the risk owner for each identified risk. Use the Plan dropdown menu for this cell Risk Risk Strategy (+ or -): This column presents Risk response strategies for negative & positive risks. Select a suitable risk strategy for positive Response | 2nd negative risks, using the dropdown menu in the cell. Strategies for negative risks include the Escalate, Avoiding, Transferring, Mitigating, & Accept risk strategies. Creatine fee 2a. etn tee ab renee PAL Pela CLA OO ABR inl. ten i Plan Risk Response Risk Owner: The risk owner is a subject matter expert (SME) from the core team, PMO, or from a different department who is familiar with the project task. Therefore, the risk owner is suitable to create a risk response plan. Enter the risk owner for each identified risk. Use the dropdown menu for this cell Risk Strategy (+ or -): This column presents Risk response strategies for negative & positive risks. Select a suitable risk strategy for positive and negative risks, using the dropdown menu in the cell. Strategies for negative risks include the Escalate, Avoiding, Transferring, Mitigating, & Accept risk strategies. Strategies for positive risks include the Escalate, Enhance, Exploit, Share, & Accept risk strategies. Risk Response Plan: Create a risk response plan based on the risk strategy selected. IDENTIFY PERFORM QUALITATIVE PLAN RISK RESPONSE RISK RISK ASSESSMENT Risk Risk ID Risk Identified Risk Task Name Prob. Impact (Description) Risk Response Plan Score Owner Strategy NEGATIVE RISK 1 2 3 4 POSITIVE RISKS 1 2 Risk score is calculated from the probability times the highest risk score. 20 to 25 10 to 19.99 0 to 9.99