Project Life Cycle
This study critically evaluates the Project Life Cycle (PLC) of the chosen organisation, Starbucks and also describes various stages of this model. As discussed by Waldenet al. (2015), this model is used by the project managers in order to finish their projects in the best way. This study would present the overview of the case study of Starbucks and then provides the description of PLC as well as its four stages. If the project managers do not follow this project life cycle model, then that may delay their projects, and ultimately, they would not be able to finish it within its deadline. The PLC is a systematic approach to completing a project, and it would also help a project manager to understand whether all the stages have been completed correctly or not.Besides that, this study would also describe the relevant model of this project life cycle and assess the tools, methodologies and leadership within this business organisation. As per the discussions ofZue and Paik (2017), this fact is evident that there are some other factors associated with this PLC model. The most relevant factors are the project plan, business case, work breakdown structure as well as the cost-benefit analysis. Thus, this study would address all these issues related based on the case study of the Starbucks company.
This report is based on the operation management policies of the Starbucks company which is one of the most renowned companies in the coffee shop industry. As suggested byChong and Hopkins (2016),operation management is associated with the designing and managing the production process, manufacturing as well as the provision of best services to the customers. Besides that, the strategies of this operation management process are forecasting, capacity planning, sch ........
This report is based on the operation management policies of the Starbucks company which is one of the most renowned companies in the coffee shop industry. As suggested byChong and Hopkins (2016),operation management is associated with the designing and managing the production process, manufacturing as well as the provision of best services to the customers. Besides that, the strategies of this operation management process are forecasting, capacity planning, scheduling, assuring quality, employee motivation, retention as well as managing the inventories. In most of the cases, it has been found that this business organisation has been able to fulfil the objectives of this operation management process.
This Project Life Cycle (PLC) is a circular model which is used by the project managers of the business organisation for executing a model correctly. There are four primary stages found in a PLC which is shown with the help of figure 1. As mentioned by Volkov and Kuzina (2016),the steps are project initiation, project planning, project execution and project closure as well.
Figure 1: Stages of Project Life Cycle (PLC)
(Source: Volkov and Kuzina2016)
- Project Initiation:
This is the first stage of the PLC in which the project managers gather different information regarding the project. Ranathungageet al. (2017) have mentioned thatbased on that information, he tries to develop the project constraints as well as the problem statement. Once he is able to identify the possible problems of the project, he can also decide how to manage those difficulties as well as challenges. In other words, it can be mentioned that this is just the initial step of the project life cycle which determines how to start the project (Kloppenborget al. 2014).
- Project Planning:
As mentioned byGhaffariet al. (2014), the project planning is the next step of the PLC which deals with the detailed planning of that project. More precisely, in this step, the managers evaluate the cost and benefit of this project and then set up the budget according to that. Besides that, this step also determines the team members of the project as well as the team leader who play the vital roles in a project. Then, the team leader divides the entire task among the team members equitably so that they can proceed with their works.
- Project Execution:
The third step is the most significant stage of this project life cycle plan because the majority of tasks are fulfilled in this step. From the discussion of Stark (2015), the experience and skill of every team member, as well as the team leader, are also evaluated by this stage. There may exist differences of opinions among the group members regarding the project, but it is the responsibility of the team member to mitigate the conflicts among them. Besides that, if one member lacks behind the rest of the team, the leader has to talk to him separately and try to solve his problems.
- Project Closure:
Project closure is the final stage of the project in which the project is completed and also submitted to the higher authority. Loveet al. (2015) have discussed thatin this step, feedback is taken from each of the team members about their experiences. Besides that, the performances of all the team members are also monitored as well as reviewed in this last step of the PLC. This would help the group members to overcome their difficulties in the future, and they would also be able to perform better.
This part of the study evaluates how the PLC model can be applicable to the Starbucks company for fulfilling their projects. For conducting this analysis, some relevant factors such as the business case, project plan, cost-benefit analysis and the work breakdown structure have to be described. All these analyses would help a person to understand how much the business organisation has been able to apply the PLC model appropriately (Stark 2015).
- Business Case:
From the discussions of Ashtianiet al. (2017), this fact is evident that the business case is defined as a well prepared written document of a company. Sometimes, it may be in the form of a presentation or verbal agreement, but written version is better than the verbal one. The project manager of a business organisation generally has to prepare the business case for their organisation. The business case template of the Starbucks company is represented with the help of figure 2.
Figure 2: Business Case Template
(Source: Dibrellet al. 2014)
There are various strategies associated with a business plan such as challenge or goal, solution, cost, benefits and execution timeline as well. Besides that, this is classified into five categories which are financial, operational, market, customer and lastly staffs.
- Project Plan:
According to the literature of Boardmanet al. (2017), the project plan can be defined as a well-structured formal document used by the project managers. In other words, a project plan tries to identify the value proposition, significant products or services, cost-benefits and lastly the purpose of the project. Apart from these primary factors, the Starbucks company also involves some other relevant issues in their project management plan such as risk, quality, timeline and resources. The risk factor is associated with every project of this business organisation because the projects would be either very successful or fail to serve its purpose.
- Cost-benefit Analysis:
Gabbettet al. (2016) have mentioned in aresearch paper that the cost-benefit approach is a very significant process for all the business organisations. By applying this approach, a company is able to recognise its strengths as well as weaknesses or difficulties. In the first step of the cost-benefit analysis, this Starbucks company identifies the sources of remuneration and those factors which incur costs for their company. In the next step, the project managers find out the difference between these two factors (total revenue – total cost). If the gap is positive, then the company is gaining profit, but if it is negative, then they are facing loss.
- Work Breakdown Structure:
The Work Breakdown Structure (WBS)is a beneficial technique which is included in the project management plan of a business organisation. As per the discussions of Li and Lu, (2016),this structure helps a project manager to divide the entire project into several parts. Work break down structure of the Starbucks company is shown with the help of figure 3.
Project Management for Starbucks
Development of new system
Risk Mitigation Plan
Satisfying the customers
Designing of System
Provision of better services
Figure 3: Work Breakdown Structure (WBS) of Starbucks
(Source: Schowaneket al. 2018)
The above picture shows that there are mainly three significant sections such as the risk mitigation, development of new systems and satisfying the customers. These factors are again divided into some sub-sections which have been depicted in the above picture.
This section of the paper evaluates the significance of the PLC approach of the Starbucks company using two significant models. As mentioned by Gabbettet al. (2016), these models are linear project management life cycle model and adaptive project management life cycle model. The fundamental difference between these two models is that the first model is usually used by the small-scale projects whereas the second model is used for handling the large projects. The linear model is demonstrated by figure 4 where it shows the necessary steps of PLC.
Figure 4: Linear Project Management Life Cycle Model
(Source: Dibrellet al. 2014)
The figure 4 shows that the linear model has five significant stages such as scope, plan, implement, monitor and control and lastly closure. The project manager can quickly execute the project using the five steps of this simple model. This model is applicable only for the small projects because the large projects are usually complicated. Hence, in order to handle a complicated project, the project managers also require the different model, adaptive project management life cycle model. This model is represented with the help of figure 5 below which is different from the previous model.
Figure 5: Adaptive Project Management Life Cycle Model
(Source: Ashtianiet al. 2017)
The figure 5 shows the complicated version of the project life cycle model which is generally used by the large organisations such as Starbucks. Boardmanet al. (2017) have mentioned the fact in a research paper that sometimesthe projects are not successfully using the first model. In that case, a project manager has to use this second model which has included next cycle factor within this model. More precisely, it can be mentioned that whenever the project has failed to fulfil its target, then one should not close the project. Rather, he should try to understand his difficulties and make another improved framework for completing his project. It has been found from the discussions of Ashtianiet al. (2017) that theStarbucks company has been able to complete most of their projects successfully. In some of the projects, they could not achieve all the targets due to some of their strategies. For example, they could not make a considerable profit from some of the Asian countries such as India, Pakistan and Bangladesh. In these countries, the significant section of the population belongs to the middle or lower income group who cannot afford the expensive high coffees of this company (Starbucks.com2018). Hence, some of the projects of Starbucks company have failed in those countries where the company should apply the second model of PLC.
The entire study concludes that the project life cycle is a significant process for all the business organisations. This report has critically evaluated the four vital stages of this process such as project initiation, project planning, project execution as well as project closure. Besides that, this paper has selected the Starbucks company as a large organisation and evaluated its project life cycle. Apart from that, the business case, project plan, cost-benefit approach and work breakdown structure of this business organisation have been addressed by this report. It has been found by the discussion that the success of a project also depends on the abilities of the project leader to some extent. By the cost-benefit model, the managers can identify the budget of the project and allocate the resources according to that. The work breakdown structure splits a large project into sub-sections so that the employees can perform those tasks easily. Moreover, there are some specific models for this PLC such as linear and adaptive model, and the project manager should be experienced enough to utilize the proper model efficiently. If the project is not successful by the first model, then the second model has to be used by the business organization.