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Project Management Week 4

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Project Management Systems

Week 4: Planning and Monitoring the Projects:
Cost, Budget, and Earned Value
Jan 22-28, 2012

The Huntsville Plant Project
Planning and Monitoring Costs, Budget and Earned Value Analysis

It is important that the SEITZ Corporation understands our progress in relation to both the project team and the SEITZ Corporation’s strategic goals and objectives, regarding the progress of the Huntsville plant. As a continued effort to report the progress that is being made on the plant project we would like to report how our project team is planning and monitoring costs, budget and earned value.
As the project manager, I have used Key Performance Indicators (KPIs) to identify that the project is currently within budget.
We have assigned fixed costs to the following tasks: * Building Design = $32,000 * Site Cost = $216,000 * Permit Cost = $3,200 * Building Cost = $1,200,000 * Equipment Cost = $780,000 * Equipment Installation = $120,000 * Truck Cost = $135,000 * Landscaping = $26,000
Total fixed costs = $2,512,200 In addition to assigning the fixed costs we have identified the total cost for the allocated resources to be $119,268. Between the fixed costs of tasks scheduled and the allocated resource hours that are utilized during the ‘Planning Phase’, we are looking at a budget of $283,882 thus far. Currently the ‘Planning Phase’ is set to take 10 weeks to complete with a total of 1,066 hours of allocated resources. We have not identified all of the costs associated with the tasks in the ‘Planning Phase’ to date. The ‘Preparation Phase’ which is scheduled to take 47 weeks to complete and has 1,154 hours of total allocated resources, our team has identified costs totaling $128,442. The cost budgeted to date were calculated using fixed costs associated to tasks and currently scheduled allocated

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