SECTION A $[60$ MARKS$]$

Read the case study below and answer the questions that follow.

INTRODUCTION OF FORMAL PROJECT MANAGEMENT

AT HYTEN CORPORATION

On July $10,1998,$ Wilbur Donley was hired into the Business Development Department to direct new product development

efforts. Prior to joining Hyten, he worked as project manager with a company that supplied aircraft hardware to the

government. He had worked both as an assistant project manager and as a project manager for five years prior to joining

Hyten. Shortly after his arrival, he convinced upper management to examine the idea of expanding the Business

Development group and giving them responsibility for formal project management. An outside consulting firm was hired to

give an in$-$depth seminar on project management to all management and supervisor employees in the Division. Prior to the

seminar, Donley talked to Frank Harrel, manager of quality and reliability, and George Hub, manager of manufacturing

engineering, about their problems and what they thought of project management.

Frank Harrel is thirty$-$seven years old, has an MBA degree, and has been with Hyten for five years. He was hired as an

industrial engineer and three years ago was promoted to manager of quality and reliability. George Hub is forty$-$five years

old and has been with Hyten for twelve years as manager of manufacturing engineering.

Wilbur Donley: $$Well$,$ Frank, what do you see as potential problems to the timely completion of projects within the

Automotive Components Division?$$

Frank Harrel: $$The usual material movement problems we always have. We monitor all incoming materials in samples and

production quantities, as well as in$-$process checking of production and finished goods on a sampling basis. We then move

to $100$ percent inspection if any discrepancies are found. Marketing and Manufacturing people don$$t realize how much time

is required to inspect for either internal or customer deviations. Our current manpower requires that schedules be juggled to

accommodate $100$ percent inspection levels on $$hot items. $$We seem to be getting more and more items at the last minute

that must be done on overtime.$$

Donley: $$What are you suggesting? A coordination of effort with marketing, purchasing, production scheduling, and the

manufacturing function to allow your department to perform their routine work and still be able to accommodate a limited

amount of high$-$level work on $$hot$$ jobs?$$

Harrel: $$Precisely$,$ but we have no formal contact with these people. More open lines of communication would be of benefit

to everyone.$$

Donley: $$We are going to introduce a more formal type of project management than has been used in the past so that all

departments who are involved will actively participate in the planning cycle of the project. That way they will remain aware

of how they affect the function of other departments and prevent overlapping of work. We should be able to stay on

schedule and get better cooperation.$$

Harrel: $$Good$,$ I$$ll be looking forward to the departure from the usual method of handling a new project. Hopefully, it will work

much better and result in fewer problems.$$

Donley: $$How do you feel, George, about improving the coordination of work among various departments through a formal

project manager?$$

George Hub: $$Frankly$,$ if it improves communication between departments, I$$m all in favour of the change.

Under our present system, I am asked to make estimates of cost and lead times to implement a new product. When the

project begins, the Product Design group starts making changes that require new cost figures and lead times. These

changes result in cost overruns and in not meeting schedule dates. Typically, these changes continue right up to the

production start date. Manufacturing appears to be the bad guy for not meeting the scheduled start date. We need someone

to coordinate the work of various departments to prevent this continuous redoing of various jobs. We will at least have a

chance at meeting

the schedule, reducing cost, and improving the attitude of my people.$$

Project Management Case studies $2$nd Edition pg$.25$

H$,$ Herzner $($PhD$)$

QUESTION $1(20$ Marks$)$

$1\mathrm{.}1$ Hyten intends to introduce formal project management, and this means going through project management life cycle.

They intend to introduce planning as one of their focus areas. What happens at the project planning stage? And highlight

what Hyten intends to achieve at this stage. $(6$ Marks$)$

$1\mathrm{.}2$ In helping Hyten to avoid the material issues when the project is in progress, advice the team on SEVEN $(7)$ several

methods used to select a project. $(7$ Marks$)$

$1\mathrm{.}3$ Now that Hyten is intending to implement formal project management, there are possible benefits in managing related

projects in a programme format. What are these benefits? $(6$ Marks$)$

$1\mathrm{.}4$ Hyten will resolve a lot of compliance issues with the implementation of formal project management. True or False? $(1$

Marks$)$

QUESTION $2(20$ M

Need more answers for question $2$ and $3$ of these questions as they are over $60$ marks