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3084 words - 13 pages



Mid-Term Exam

Instructions: Apply course material from the the first half of semester (readings, lectures, handouts, and class discussions). Essay questions have a stated page-limit. One 8X11 page equals1 pages.

Remember to focus on the project management issues of each question. Read each question carefully and provide specific answers. Total Points = 100. This mid-term contributes 20% towards your final grade.

1. The Trophy Project (Kerzner, attached)
Read the case and answer the following question:
• Identify the top 3 project management issues you feel impacted the success of the ...view middle of the document...

When Reichart complained of this, he was told not to meddle in the functional manager’s allocation of resources and budgeted expenditures. After approximately six months, Reichart was requested to make a progress report directly to corporate and division staffs.

Reichart took this opportunity to bare his soul. The report substantiated that the project was forecasted to be one complete year behind schedule. Reichart’s staff, as supplied by the line managers, was inadequate to stay at the required pace, let alone make up any time that had already been lost. The estimate cost at completion at this interval showed a cost overrun of at least 20 percent. This was Reichart’s first opportunity to tell his story to people who were in a position to correct the situation. The result of Reichart’s frank, candid evaluation of the Trophy Project was very predictable. Nonbelievers finally saw the light, and the line managers realized that they had a role to play in the completion of the project. Most of the problems were now out in the open and could be corrected by providing adequate staffing and resources. Corporate staff ordered immediately remedial action and staff support to provide Reichart a chance to bail out his program.

The results were not at all what Reichart had expected. He no longer reported to the project office; he now reported directly to the operations manager. Corporate staff’s interest in the project became very intense, requiring a 7:00 AM meeting every Monday morning for complete review of the project status and plans for recovery. Reichart found himself spending more time preparing paperwork, reports, and projections for this Monday morning meetings than he did administrating the Trophy Project. The main concern of corporate was to get the project back on schedule. Reichart spent many hours preparing recovery plan and establishing manpower requirements to bring the program back onto the original schedule.

Group staff, in order to closely track the progress of the Trophy Project, assigned an assistant program manager. The assistant program manager determined that a sure cure for the Trophy Project would be to computerize the various problems and track the progress through a very complex computer program. Corporate provided Reichart with twelve additional staff members to work on the computer program. In the meantime, nothing changed. The functional managers still did not provide adequate staff recovery, assuming that the additional manpower Reichart had received from corporate would accomplish that task.

After approximately $50,000 was spent on the computer program to track the problems, it was founded that the program objectives could not be handled by the computer. Reichart discussed this problem with a computer supplier and found that $15,000 more was required for programming and additional storage capacity. It would take two months for installation of the additional storage capacity and the...

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