Behavior of Internal Stakeholders in Project Portfolio Management

Question: Discuss about the Behavior of internal stakeholders in project portfolio management and its impact on success.International Journal of Project Management? Answer: Introduction: It becomes very easy to convince and get involved with the communities in different ways through the use of festivals. It is also one of the easiest methods to increase marketing. There are different modes, through which the people can earn during festival like event management, selling of the products, transport system etc. This project is about Liverpool music festival that is going to be organized in England. In this project the researcher is going to write about different planning, processes and methods that can be used in making the project successful. Different marketing strategies can be planned before the festival to increase the marketing. In this project the researcher has discussed about project plan, Gantt chart, stages of LMF, budget of LMF, stakeholder analysis, risk analysis, advantages and disadvantages of the LMF project, Profits involved in organizing the event. Project plan: It is necessary to plan the commencement in LMF before the starting of the event. Everything should be planned earlier. The project managers have to decide earlier about the size, type and duration of the program for LMF. The main thing that should be focused is feasibility study .After the feasibility study LMF team can decide about the date, venue and the money required for organizing their event (Beringer 2013). The main points that should be focused are planning, marketing, location of the venues, money required for the project. In this project the project manager is going to plan for music festival in Liverpool. A project includes a group of people that work together to achieve a certain objective. The factors of the project management are time, cost, scope and performance. The success in the project can only be achieved by proper planning, otherwise it will fail. While planning for the project the project manager can easily check about each stage of the project and can identify the issues of every part (Kock 2013). It will help to them to plan according to the project as it is clearly known that for making a good project it is necessary to do it with a proper planning. In any small project the project manager can use a single plan to make the whole project but in large project there is high chances of issue so it is necessary to plan them by diving them into stages .It will also make their work easier and successful. There are different techniques for planning the project like Gantt charts, Structure of each part of the work, Cost involved in each part of the work. Gantt charts The starting phase of the project will help the project manager to do the feasibility study through which the project manager will decide what materials are required in the construction of the project. So that they can include several methods in their project to make it successful, in both the stages either starting and delivery stages. There are many methods that can be used to make the project successful. Like case of the project, Gantt chart, plan of the project, investment etc. In this project the manager is going to use Gantt chart technique to explain their project (Verzuh 2015). The main purpose of using Gantt chart is to create a bar graph to show the process in which the project is arranged according to the stages. It will help in explaining the process that will be used in the project. It will help the project manager to control the whole project. Each block of the Gantt chart will explain about the process of each stage and their time in which they are going to be implemen ted (Walker 2015). It will be considered as a best tool because it will help in keeping the record of every process, controlling the whole business process, to check each and every task of a project. This Gantt chart method can be used in many large projects as it will help in identifying many important elements that will show the time of process of each task and will also help in checking each task individually by sequencing the task according to the events. It will help in finishing the project perfectly and on time. In Appendix 5, it is clearly shown that Gantt chart is indicating some path in red colour .It shows that the project is not completed or the project is failed which means that it is necessary to complete that work. There are six stages in which the LMF project plans are divided. The six stages are planning, designing, financial budgeting, marketing, testing and delivery of the products. In every stage of the Gant chart there are different tasks that need to be completed according to the given time. In the table the first two stages and the last stage is considered as the set of 4-D. The other stages are explained in the table. LMF and their reasons Stages Reasons Planning It is the first stage that should be considered is planning .It is the main process through which the whole project can be controlled. The project can be delivered on time and according to the decided cost and proper quality with the help of proper planning. It is process to control Manage, and add new ideas in the project. It will become easy to work with the project after proper planning (Gemnden 2014) Through proper planning it will become easy to check the issues that may arise in the project and it can be solve within the time. There are seven task that is included in the planning process 1. Make a budget of the project, set the time within which the project needs to be completed. 2. Create planning for the applications that needs to be added in the project. 3. Select the team members to make the project team. 4. Make the contract with the sponsors to get financial support Designing, financial budgeting and location for the project It is necessary to set the design before starting the project. After planning for the design the project manager can decide how much cost is required to make a project. The budget is also dependent on the location because different locations have different cost (Teller 2014). The cost of the location is dependent upon the facilities that are available there like the design of the location, light, sound, garden etc. Here in this project the project manager has selected Sefton park in Liverpool city as the location for their project. Sefton park has various features like it organize concerts, symphonies, festivals, fairs and many events. It also gives permission to organize several annual events, special events. Marketing and delivery Marketing strategy is one of the methods to increase the demand and profit. To increase the marketing, people should be informed about the festival and the events. In this way marketing can be increased. It is necessary to fix the location first so that problems will not arise later. Stages of LMF Table 3- Stages that take a place for the LMF within Gantt Charts Before starting any project it is necessary to take the legal permission from the government. Permission before planning of the project will make the project strong and the project manager can proceed with the project without any disturbance and problems. To organize Liverpool international music festival in Sefton Park it is necessary to follow different rules. It is necessary to take the permission for closing the roads for inauguration function. Liverpool International Music Festival in Sefton Park should observe rules and road closures through to running orders for the inaugural event. The are several companies that provides security in the events .Here for LMF event the project manager can choose Safety advisory group that will help them in planning safety measures (Schwalbe 2015). They will provide different safety measures and advice that can be used while planning for LMF event. It takes all about seven weeks to decide for the event .Therefore it is suggested to start this safety planning earlier in order to save the time. It will take all about 100 days according to the Gantt chart to plan for any event so it is suggested to plan for the safety measures first in order to save the time. It will take all about two weeks to search for the location for organizing LMF event. Most of the time gets spend in finding the location for the event because location is the main factor which will make the event successful. It is necessary to check the stage, parking areas, transportation facility available in that area, location of the area, their surrounding etc. These factors are important because it will attract the customers and guests. It is necessary to check the parking areas, traffic conditions so that proper planning can be made to control the crowd. Events entry gate and exit gate can be prepared in this way that will not affect the traffic of the road beside the event venue (Rangarajan 2013) It is necessary to make many gates for entry and exit. It should be planned properly so that the guests and people will not face any problem while entering and exit from the venue location. Even if the number of the people will increase there, they will not face any kind of problem. There should be some emergency gate for the handicapped people. It will help in reducing the risk. Therefore it is necessary to make the Gantt chart 100 days earlier in order to reduce the risk. It is also necessary to plan for the health and safety according to the Health and safety at work ACT (1974). It will help to tackle any kind of dangerous situation. During the construction of the stage if any worker will get harm they can be immediately taken to the hospital by health and safety team. Therefore every planning for safety should be done in the beginning and should be maintained since from the beginning of the stage construction to the completion of the spot preparation. The delivery stage will take long time for completion according to the Gantt chart. The Gantt chart will show all the stages of every task since from the starting to till end. They will also show the time in which each task will be completed. In the marketing stage, if the organizers want to increase their marketing of LMF they have to follow the market strategy accordingly. They can publicize about their events in television, radio, newspaper etc to increase more and more customers. LMF Budget: The examples of some cultural festival budget are as follows: In 2012-2013 classic music festival budget Expenses= =140,300 income=150,000. Stamp music festival budget- 900,000. The Project manager examined that the budget of LMF will be around 500,000 (Phillips 2013) Stakeholder In this part the project manager will decide about the Stakeholder of LMF event, they will do the complete analysis of the stakeholder. After that they will discuss about the advantages and disadvantages of the stake holder. According to the analysis the meaning of the stakeholder is any person, group or any organization that will be affected positively or negatively by any issue or goal. The analysis of the stakeholder will define all the features of the stakeholder, with the help of stakeholder analysis the project manager can easily check their requirements and they can create the project accordingly (Olson 2014).The stakeholder can change their decision according to their choice at any time. Stakeholder analysis will help the project manager to manage the situation at any time. Stakeholder analysis will increase the satisfaction of the people because it will help to satisfy the stakeholder to according to their whole process of planning, and it will decrease the risk of the failure of the event. There are many advantages and disadvantages of stakeholder analysis as shown in the table below Advantages Disadvantages 1/ It will save the resources that are required to take the decision of the LMF. 2/It will provide different information and ideas through which the project manager can take different decisions. 3/ It will help in obtaining different resources and funds 1/ To involve any stakeholder in any project is very difficult as it requires more time. 2/ Stakeholder focus on the benefits that they are going to earn from the event they dont focus on the benefits of the festivals In LMF there are two types of stakeholder one is primary and another one is secondary. Sponsors, employees, participants are the parts of primary stakeholder (Hill 2013). Tourists, government, advertising community are the parts of the secondary stakeholder. There are different types of stakeholder in LMF and they have different features and demands. The main stakeholder of LMF is Liverpool city council. They help in providing many benefits to the LMF event. Both the LMF and Liverpool city council can get benefit from each other. Profits of Liverpool city council and LMF Liverpool City Council can provide for LMF Benefits of LMF for Liverpool city and Liverpool City Council 1/ It will provide security to the LMF event. 2/ It will provide better design , proper security, safe delivery to the event of LMF 3/ It will help in organising the events outside. 4/It will provide many business opportunity and services 5/It will help in providing many new jobs. 6/ It will help in growing the business and providing many benefits from the private companies 7/ It will help in advertisement. 1/ It will increase the value of the Liverpool 2/It will in increasing the marketing by attracting more and more peoples. 3/ It will help in increasing the business by increasing the market partners. 4/ It will attract more and more foreign companies. Stakeholder analysis Stake holder analysis is a defined as a method that provides different facilities and process to the organization to organize many events. It also helps in proving money for organizing the event. It also helps in recognizing the choice of the organization and other people. It helps in managing LMF Category and implications Stakeholders Why such stakeholders have been categorised as A, B, C or D A: High importance, low importance Press/media They are not the main stakeholder but they affect the organizations in many ways. Many times it causes delay in the event so it is the necessary to check them throughout the project. B: High influence, high importance. Process to make relationship with the stakeholder Liverpool City Council Project Sponsor These stakeholders are the main stakeholder. The whole project is mainly dependent upon these stakeholders (Sampson 2014). It is necessary to deal with them properly to get success in the project. Every decision related to the project depends upon the decision of these stakeholders. C: Less important Small suppliers These stakeholders are not very important as it doesnt affect much on the project (Heagney 2012). If one supplier will increase the price of their product or services, the company can find another supplier for the project. D: High importance, low influence. Members of health and safety department These stakeholders are not very important. They dont have that much power to change the decision of the project. These stakeholders provide support to the workers by providing those services and support to the workers. They will only help but they are not involved in any decision of the project. Categories of LMF stakeholder are shown in the table below Table 1- project stakeholders Categories There are many advantages of using these processes for stakeholder but it has many limitations also. After observing the advantages and disadvantages of the categories of the stakeholder the project manager can decide about their selection categories. Advantage Disadvantage It will provide the knowledge and process of choosing the good stakeholder It will provide the method to deal with the major stakeholders It will reduce the problems and issues. It will provide the details of different types of stakeholders. It also provides details about the problems that may arise due to them and their solutions. It will help in planning about the process and benefits that can be obtained from each and every stakeholder. Stakeholders are not the head organizers so their decision sometimes may cause problems Project manager should be aware not to give high importance to the decision of the stakeholder It doesnt mean to ignore the decision of the stakeholder It provides the process to handle In fact, it just gives one an image how to cope with different stakeholders. If only done with the matrix, important information which can be valuable later on can be forgotten. Examples of LMF stakeholders with explanations LMF Stakeholders Explanation Liverpool sponsor Through this programme LMF can organize many new musical events through which they can give chance to the artists to perform in the function. Competitors There will be many tuff competitors for LMF. Many music competitions are Organised around the Liverpool that can attract the audience towards them So it will become tuff competitions to gain more and more audience towards LMF (Meng 2012). Health and safety officer Health and safety measures are important part of the event. All the safety measures should be followed properly. It is necessary for the project manager to check and set the plans for health and safety measures in every week to avoid the risk and danger from the project. Press/ media Press and media also play a vital role in project management it will help in making a good relationship between the stakeholder and project management. Communication through telephone, email etc are the parts of press and media. Through press and media the project manger can publicize about their events in television and radio (Gido 2014). In this way they can attract more and more customers and can profits. This process can also decrease the marketing, if any default will occur in the program, it will easily circulate among people through media. The main method for getting success in the project is to make better communication with all the stakeholders. The support of the entire stakeholder is the only method to make the project successful. Proper planning should be made with the stakeholders to make the project successful. Risk Analysis Risk analysis is the most critical factor in any project. Risk can arise at any time without any information. So it is very necessary to handle the risk whether it is related to time, cost and quality otherwise it may become the cause of failure of the project. The main responsibility of the project risk management is to check the risk or the chances of the risk and to think how the risk can be reduced or how it can be completely removed. Generally risk occurs in the term of cost and money. Therefore it is necessary to check the risk in the project so that it can be minimized before sending it to the customers (Schumann 2014). The chances of the risk in each project should be identified and it is necessary to check the reason behind the risk so that it can be controlled earlier. To know about the risk and to control it, it is necessary to plan about the risk before the beginning of the project. A risk analysis is a systematic method to control the hazard and the analysis can be done by checking the features of the venue, audience, technical machines etc. This risk analysis will include the methods of identification of risk and the processes that can be used to control these. It will reduce the risk and make it successful. LMF risk rating Figure 2: Risk rating (Source: Kerzner 2013) The above risk analysis table is showing the rate of the risk involved in the project on different stages. The risk occurrence rate is low here but it is necessary to correct it otherwise it can highly effect on the project. The project manager has to be prepared for every kind of risk. Another kind of risk is commercial risk that is very common, it happens during ticket sale. The second risk that can arise is overcrowding, it is very dangerous kind of risk. The layout of the venue and proper seating arrangement should be prepared to avoid the risk the risk of overcrowding. The project manager has chosen sefton park to handle the over crowd. Reasons for other categories of risk Risk Why it is possible to occur Risk score Recession (visitors and tourists) During the recession period many tourists gets decreased. It also affect on the marketing of the event. This kind of risk is high category risk. The risk that arises in the recession period can be controlled by making several methods for controlling the risk. Destruction Of LMF event due to riot or theft. Riots and theft may happen at any moment. It is also dangerous because it is the cause in which the whole project will be destroyed. It can cause many injuries, loss of life and many other issues. There is very low chance of arising of this risk. It may arise or may not. Therefore the score of this kind of risk is low Planning permission rejected. This risk has low possibility. The project of LMF is prepared with successful planning strategies so there is less possibility for its rejection. This planning is supported by the England government. LMF can be permitted because it has many advantages as it provides job opportunity to many people. This kind of risk has low rate. Due to the proper planning of the LMF project the chances of its rejection is very low. Flooding This is a kind of external risk. Flood may arise because the site of LMF is located beside the river. This kind of risk is not high. Different processes can be used to control the flood Table- Reasons for mentioning certain risks within the LMF risk analysis in Appendix 2. The risk rating diagram has showed different methods to manage the risk. There are five objectives that can be drawn from the above risks: ignore the risk, Accept the risk, Reduce the risk, Distribute the risk and transfer of the risk. Reference Beringer, C., Jonas, D. and Kock, A., 2013. 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