ROLL NO: MBA-284-2k9
ANALYSIS ON PROJECT PLANNING OPTED BY ABB FOR THE CONSTRUCTION OF SUBSTATION.
Submitted in Partial Fulfillment of the requirement For the Award of Degree of M.B.A (MARKETING & OPERATION MANAGEMENT)
Submitted By:AMULYA PUNJABI MBA-284-2K9
YMCA UNIVERSITY OF SCIENCE AND TECHNOLOGY, FARIDABAD
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TO WHOMSOEVER IT MAY CONCERN This is to certify that Mr.Amulya Punjabi, a student of “YMCA University of Science and technology” has undergone training in our organization from 16th June to 30th July. He has successfully completed the training on “Project Planning” office at ABB Ltd Faridabad.
During this period his performance and conduct was found to be good.
We wish him all the best in his future endeavours.
For ABB Ltd
Manager-HR
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ACKNOWLEDGEMENT I take this opportunity to thank all those who have helped me in completing the training successfully. I sincerely thank Mr. Vaibhav Srivastav (HR Manager, ABB) for providing me with an opportunity to work as a trainee in ABB. I would also like to show my gratitude to Mr. Sachin Mahato (Vice President, ABB) for giving me all the required resources and a healthy environment for me carry out my project work. I would also like to thank him for providing me full support where ever and whenever required. I am highly obliged to Mr.Ankit Chopra (Project Manager, ABB), Mr.Manoj Verma (Project Manager), Mr. RajaSekar (Project Manager, ABB) for providing me continuous and invaluable guidance throughout the project. Their kind and elderly advice always inspired me in putting my best efforts to develop an efficient project. I also thank Mrs. Jyotsana Chawla, my project coordinator for making it possible for me to undertake this project. Without her consent and support, it would not have been possible to undertake and complete this project.
AMULYA PUNJABI [YMCA UNIVERSITY OF SCIENCE AND TECHNOLOGY]
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TABLE OF CONTENTS
Certificate................................................................................................2 Acknowledgement..................................................................................3 Introduction to ABB................................... ...........................................4 Introduction to Project ........................................................................13 Research Methodology................... ....................................................43 Data Analysis........................................................................................45 7. Findings & Suggestions.......................................................................51 8. Webliography........................................................................................54 1. 2. 3. 4. 5. 6.
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INTRODUCTION TO ABB
INTRODUCTION TO ABB 5
As one of the world’s leading engineering companies, ABB helps customers to use electrical power effectively and to increase industrial productivity in a sustainable way. The ABB Group of companies operates in over 100 countries and employs about 120,000 people. ABB operations in India include 14 manufacturing facilities with over 7500 employees. Customers are served through an extensive countrywide presence with more than 18 marketing offices, 8 service centers, 3 logistics warehouses and a network of over 800 channel partners. The ABB Group is increasingly leveraging the Indian operations for projects, products, services, engineering and R&D. ABB India History General: • • •
•
The Company was incorporated on 24.12.1949 as The Hindustan Electric Company Limited. On 24.09.1965, the Company’s name was changed to Hindustan Brown Boveri Limited (HBB). Pursuant to the Scheme of Amalgamation of Asea Limited with HBB with effect from 1st January 1989, the name was further changed to Asea Brown Boveri Limited, with effect from 13.10.1989. Effective 16.04.2003, the name was further changed to ABB Limited.
Flakt India Limited was amalgamated with ABB with effect from 5th October 1995. During 1994-95, a joint venture Company - ‘ABB Daimler-Benz Transportation AG’ (Adtranz) was established by ABB Zurich and Daimler-Benz AG, Germany, in Germany. A subsidiary of Adtranz was incorporated in India viz. ’ABB Daimler-Benz Transportation Limited which took over the Transportation Business of the Company effective 1st January 1996. ABB’s power generation business was globally transferred into the new 50-50 JV with Alstom in 1999. In India the power generation business has been demerged and transferred to ABB Alstom Power India Ltd. with effect from 1st 6
April 1999. In consideration of the transfer of the power business, each shareholder of ABB has been allotted one share in ABB Alstom Power India Ltd. for every share held in the company. Capital: The Authorised Share Capital of the Company is Rs.500,000,000 divided into 212,500,000 Equity Shares of Rs.2/- each and 750,000 – 11% Redeemable 10 years, Cumulative Preference Shares of Rs.100/each. The Issued, Subscribed and Paid-up share capital of the Company, as at the end of the financial year ended December 31, 2007, is Rs.423,816,750/-, consisting of 211,908,375 Equity Shares of the face value of Rs.2/- each. ABB's presence in India This section gives an overview of ABB's presence in India
ABB Businesses
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ABB (www.abb.com) is a leader in power and automation technologies that enable utility and industry customers to improve performance while lowering environmental impact. The ABB Group of companies operates in around 100 countries and employs about 117,000 people. Power Products
Power Products are the key components to transmit and distribute electricity. The division incorporates ABB's manufacturing network for transformers, switchgear, circuit breakers, cables and associated equipment. It also offers all the services needed to ensure products' performance and extend their lifespan. The division is subdivided into three business units. Power Systems
Power Systems offers turnkey systems and services for power transmission and distribution grids, and for power plants. Substations and substation automation systems are key areas. Additional highlights include flexible alternating current transmission systems (FACTS), high-voltage direct current (HVDC) systems and network management systems. In power generation, Power Systems offers the instrumentation, control and electrification of power plants. The division is subdivided into four business units.
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Discrete Automation and Motion
This division provides products, solutions and related services that increase industrial productivity and energy efficiency. Its motors, generators, drives, programmable logic controllers (PLCs), power electronics and robotics provide power, motion and control for a wide range of automation applications.The leading position in wind generators and a growing offering in solar complement the industrial focus, leveraging joint technology, channels and operations platforms. Low Voltage Products
The Low Voltage Products division manufactures low-voltage circuit breakers, switches, control products, wiring accessories, enclosures and cable systems to protect people, installations and electronic equipment from electrical overload. The division further makes KNX systems that integrate and automate a building's electrical installations, ventilation systems, and security and data communication networks. Process Automation 9
The main focus of this ABB business is to provide customers with products and solutions for instrumentation, automation and optimization of industrial processes. The industries served include oil and gas, power, chemicals and pharmaceuticals, pulp and paper, metals and minerals, marine and turbocharging. Key customer benefits include improved asset productivity and energy savings. ABB Mission and Goal Mission : ABB is a global leader in power and automation technology that enable utility and industry consumers to improve their performance while lowering environmental impact. ABB’s vision is to be the “Value Creator”. ABB always try to achieve and maintain leadership with a focus on technology, reliability and safety in an environment of honesty, transparency and fairness and contribute towards betterment of society. Goal:- ABB always achieve a sustained Zero complaint in the product. Company always try to secure health and safety of all the employees and customers.
ABB Business principles To build value, performance and leadership into ABB, responsibility, respect and determination are key 10
Assuming responsibility, and acting with respect and determination makes it possible to nurture ABB’s traditional strengths – Their technology leadership, their pioneering spirit and their ability to be at home everywhere. The key to success lies in how well ABB understand and apply the business principles – demonstrating personal, professional and corporate responsibility, showing respect for the views and needs of others and applying our shared determination to win.
ABB Code of Conduct Each and every employee of ABB is bound by the code of conduct. This code of conduct is based on their business principles i.e. the way they follow rules and regulations of the company. Importance of code of conduct in ABB? Whatever change may be going on in the world around us, one thing remains unchanged: ABB’s commitment to maintain the highest standards of business ethics and integrity. Through its technology, ABB makes a major contribution to businesses and communities around the world. However, it is not only what they do, but how they do it which will determine our reputation with our stakeholders and help ensure our continued success. Their reputation is one of ABB’s most valuable assets. Like any asset, it must be developed and protected. The Code of Conduct is central to the way they protect and develop their reputation. It is built on their business principles of Responsibility Respect and Determination and describes how they are to behave, not just in general terms, but when faced with a range of situations where their actions could have a critical impact on the reputation of ABB. 11
The Code goes beyond compliance with the laws and regulations wherever they run their business. It demonstrates their commitment to acting ethically and with integrity in every situation while at the same time respecting people’s rights as individuals. They want to be recognized as a world-class leader in everything they do, and they want all our stakeholders to be proud of their association with ABB.
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INTRODUCTION TO PROJECT
INTRODUCTION TO PROJECT Project was divided into 2 phases: 1) Introduction Phase 2) Practical Implementation Phase. 1. INTRODUCTION PHASE 13
This part focussed on gaining the working knowledge of the company. It included getting familiar with: Various departments Rules and Regulations Working Environment Terminologies being used. I.
Getting familiar with the environment ofABB and gaining basic knowledge about how people work there.
Initial phase of training is aimed at introduction to the ABB India Pvt Ltd, Faridabad. Two weeks were dedicated to it. Basic idea behind it was to make us familiar with the environment of ABB and understand their work pattern. We were introduced to various managers. The aim of this was to give access to the information which would help us in our project at training. Following are the departments we were introduced to as a part of training:-
a) Human Resource Department b) Marketing Department c) PTPS department d)
Administration
e) IT a) Human Resource Department 14
This was the first Department of the company that we were introduced to. We were given an overview of the company (Its origin and its achievements in the past years of existence.) HR Department is responsible for managing people. They are responsible for the hiring, motivating and maintaining people in the organization. They used to do appraisals, performance evaluation and concerned with running various employees oriented functions. Hierarchy of designations followed in this department is:
HR SENIOR MANAGER
HR MANAGER
ASSOCIATES
HR MANAGER
ASSOCIATES
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HR MANAGER
ASSOCIATES
TRAINEE
b)
TRAINEE
TRAINEE
TRAINEE
TRAINEE
Marketing Department
This department is responsible for making all kind of negotiations and agreements with the customers.
In ABB, this department performs following Roles and Responsibilities:-
Filling in the quotations for the tenders. Making price negotiations with the customers. Deciding upon the total cost of a particular project. Deciding the margin (profit) to be taken or expected (in terms of actual facts and figures) from a particular project. Asking the project management team to check on the feasibility of the project(means checking whether the price and margin which is considered in actually feasible or not i.e. whether the project can be completed by taking these prices and margin.) Working on contract with the customer. 16
Making all the necessary pre communication (communication that takes place before the contract in finalised) with the customer. Satisfying customer needs and requirements in all respect.
c) PTPS Department
This is the department which actually carries out the project after the contract is worked out by the marketing department up to the completion.
Roles and responsibilities of this department are:-
Check about the feasibility of the project i.e. to check whether the project can be completed in the estimated cost as decided by the marketing team or not. Take over all details about the project from the marketing department To inspect the site allotted by the client, and check the availability of water, electricity and other necessary things. To prepare a strategy for the entire project. To ensure that the project is started and completed on the scheduled date. To constantly monitor the progress of the project. To make sure that the budgeted cost is accurately followed. To ensure the constant supply of raw material, labour and other necessary things on the site. 17
To constantly be in contact with the client and provide them with regular updates of the work. To constantly visit the site and directly monitor the work there. To get all the approval (from legal fronts as well) from the government or required authority. To ensure that all work is being done by keeping the code of conduct followed in ABB in mind. To ensure safety in all respect. Hierarchy of designations followed for a particular project in this department is:-
d)
Administration Department
This department is responsible for maintaining and regulating all the details like employees salaries, promotion etc…
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Roles and Responsibilities of this department are:-
To maintain record of personal details of each and every employee. To manage salaries of every employee. To handle promotion related issues. To ensure security in ABB campus. To handle all the communications within the company.
e) IT Department
A team from IBM Technologies is handling all the networking in ABB. They are responsible for making all the necessary arrangements related to
Networking Internet Facility Software Handling support Maintenance of all the laptops and desktops Monitoring the server and constantly updating it. Updating and maintaining the website of ABB. 19
All IT related support is provided by this department in ABB.
II.
Concepts and Terminologies a)
Concepts:-
Project Management • Project management is the discipline of planning, organizing, and managing resources to bring about the successful completion of specific project goals. •
What makes project management different is its approach to task which besides its specifications , is fully bound by time , cost and performance targets
• The project lives between the two cut-off points and the time-span is known as Project life cycle. • It can be viewed as: Plan:-It involves following questions: what, when How, where, who, why, how much.
Plan Program m e
Programme:-Defining Activities and Developing a Strategy for Execution, Adding Time. Scheduling:-Improvement on Steps 1 and 2 and Allocation of Resource
Project W ork Package Task
Organising:- To meet the Need of the Project Activity 20
as Finally Scheduled Budgeting:-Details the Master Budget Made in Step 3 Acitivity:- Designing a control system, basically time ,cost and quality Success of project •
It must get completed
•
Must be completed within budget
•
Must be completed within allocated time
•
Must perform to satisfaction
Project Planning and Organising
•
Project Plan Objectives:o Timely and economical implementation o Define the scope before drawing up a detailed plan o
•
Model of Project Planning Process
Project Planning process:- It can be shown with the help of following diagram :
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Project Development Cycle •
Conception Phase: germination of project idea o Ideas to be put in black and white and compared o Neither to be avoided / truncated nor to go for implementation plans
•
Definition Phase: develop the idea in to a detailed document o Suitable for customer and/or financial and other agencies o May cover specifications,time frame,financing etc
•
Planning and Organising Phase: Project Execution Plan o Overlaps with other phases o Project infrastructure,System design and engineering,Manpower ,Schedules and 24
Budgets,Licensing if any and Govt. clearances, Finance, PMIS and procedure,Identification of PM, Conditions for purchase and contracts,Site preparation,Work packaging etc. o Does not limit to paperwork and thinking but field work also o Decisions taken here relate to project basics
•
Implementation Phase: Above 80 % volume of project work o Detailed specifications, Consultants, Design and drawings, Procurement,Construction,Installation and commissioning etc o All techniques of project management applied essentially for fast track completion o Meticulous coordination and control
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•
Project Clean-up Phase: handing over o Document,O&M manuals are catalogued and handed over o Contractual obligations fulfilled o Accounts closed
Logical Framework Analysis (WBS)
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It is a fundamental project management technique for defining and organizing the total scope of the project, using a hierarchical tree structure. The first two levels of the WBS (the root and the level 2) define a set of planned outcomes that collectively and exclusively represent 100% of the project scope. At each subsequent level, the children of a parent node collectively and exclusively represent 100% of the scope of their parent node. A well designed WBS describes planned outcomes instead of planned actions. A well designed WBS makes it easy to assign any project activity to one and only one terminal element of the WBS.
• Hierarchy of Work o Job must be broken down into objectives, then into tasks, and finally into activities. o Objectives are big chunks of the project which when added together accomplish the project goal.
• Objectives o An objective is a combination of task that concern specific functional groups, major contractors, major sub-assemblies or some other logical division of the total project • Tasks o A task represents one of several major deliverables towards an objective. 27
• Activities o An activities is a time consuming piece of work with a definite beginning and a definite end.
Sample WBS:
Scheduling Techniques •
Precedence Relationship Precautions: o Precedence adds time o Fewer precedence steps result in more parallel activities o Test each precedence and question its necessity o Mistake in precedence relationships show up in later stages of the project o To deal with the unexpected:
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Have all the expected eventualities planned for , and then you can add some elbow room to cope with the unexpected.
• Program Evaluation and Review Technique (PERT) Characteristics: o to plan for best possible use of resources to achieve a given goal within time and cost limitations o enables management to control “one -of-a-kind” programs as opposed to repetitive situations o influence of time delays in certain elements on project completion;helps evaluation of alternatives o obtains facts for decision making o time-network analysis is used as methodology o provides basic structure for reporting information Basic requirements : o follow the WBS o events and activities must be sequenced under a logical set of ground rules;Networks can have up to one hundred or more events but not less than twenty o time estimates on a three way basis;Optimistic,Most likely and pessimistic o critical path and slack times are computed
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• Project Execution Plan o
In a typical scheduling and monitoring system using network and computer , the starting point is the Project execution plan
o
Then master network ,purchase schedule and tender schedule are developed simultaneously
o
7-C model :Conceiving ,Concurring ,Committing ,Communicating, Coordinating, Counseling and Controlling
o
Planning : Conceiving ,Scheduling : Committing,Communicating, Coordinating , Monitoring : Counseling and Controlling
Network : o Heart of the system 30
o Provides visibility to all concerned not only about their interdependence but also what is ahead of them and what may happen should there be a change in the desired relationship o Arithmetically a network computes time ,cost and resources requirement and highlights the importance of each element leading to self regulation or management by exception
Procedure : o Should be simple in nature o Front end activities should be kept detailed and the far end kept summarised o Each agency responsible for a particular work package is asked to submit a detailed schedule supported by list of drawings ,equipment and construction work properly referenced with schedule o The schedule is linked with the summarised activities appearing in the network
Graphical Representation : o A Project Execution Plan can be represented graphically as follows :
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PR O JE C T E X E PL A N
SY S& P R O C PL AN
W O R K PK G PL A N
PU R SC H E D U L E
CO N T R ACT IN PL AN
P R O J M A ST E R SC E D U L E
D R AWIN G L I ST E Q PT L I ST C O N ST WO R K IT E M
ORG .PL A N
TENDER SC H E D U L E
E N G SC H D E T AIL E D N E T WO R K
PR O C SC H C O N ST SC H
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COM
Tender Process
This Tender Process (or "Invitation to Tender" process) will help you to take the steps needed to appoint preferred suppliers to your organization. It takes you through the process of releasing a suite of Tender Documents, to find the right supplier at the right time. By using this Invitation to Tender process, you can quickly find and contract one or more suppliers efficiently.
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This Tender Process helps you with: Creating a Statement of Work Issuing a Request for Information Completing a Request for Proposal Selecting one or more preferred suppliers The Tender Process will also help you to: Define the roles of staff involved in the Invitation to Tender Evaluate and prioritize the supplier's proposals Monitor and control supplier relationships By using this Invitation to Tender process, you can ensure that you choose the best available supplier, at the best price. b) Terminologies Sub station An electrical substation is a subsidiary station of an electricity generation, transmission and distribution system where voltage is transformed from high to low or the reverse using transformers. Electric power may flow through several substations between generating plant and consumer, and may be changed in voltage in several steps. A substation that has a step-up transformer increases the voltage while decreasing the current, while a step-down transformer decreases the voltage while increasing the current for domestic and commercial distribution. 34
General diagram can be shown as follows: Trans form er
G
Distri butiio
Power is generated at power station may be either through wind,water or coal.. and is transmitted through conductors (insulated cables) at a very high volatage of greater than 765kv so as to reduce losses at transmission (because during transmission current is lost as there is a large distance between the substation and place where it is actually to be distributed, so to reduce this loss, voltage is stepped up using transformer,as P = VI , and losses = I2R, so reduce the losses voltage need to be increased) Budgeted Cost A cost included in a budget representing the cost expected to be incurred by a budget centre, cost centre, cost unit, product, process, or job. The amount of cost that is budgeted to be incurred during a period or process i.e. for the normal/budgeted activity . It is obtained as the product of the budgeted activity and the budgeted rate. BUDGETED COST = •
Budgeted Output X Budgeted Rate Per Unit This is when absorption is to be made on per unit basis.
•
Budgeted Time X Budgeted Rate Per Hour(unit time) This is when absorption is to be made on per hour basis.
PROFIT MARGIN 35
Also known as the margin of profit, a profit margin is simply the difference between sales generated and the cost to produce each of the units sold. The ratio is sometimes defined as a gross profit margin or a net profit margin, depending on the nature of the data that is under consideration. Businesses of all types pay close attention to profit margins, since they provide invaluable information that helps to assess the current financial status of the company. The profit margin ratio can be calculated in several different ways. In most applications, the ratio requires that the total cost of producing a good or service must be determined. This means accounting for the costs associated with raw materials, production equipment, salaries and wages of those involved in the production, packaging costs, and marketing expenses. Once the company has determined exactly how much it costs to produce one unit of this good or service, it is possible to set a price for the unit. The difference between the sales price and the cost of producing that one unit is the profit margin on that particular unit. For example, if a company generated sales of $5 billion US Dollars (USD) and it cost the company $3 billion USD to produce those goods, the company would have a profit of $2 billion USD. That amount would be presented as a 40% profit margin. Target Cost A target cost is the maximum amount of cost that can be incurred on a product and with it the firm can still earn the required profit margin from that product at a particular selling price. In the traditional cost-plus pricing method materials, labor and overhead costs are measured and a desired profit is added to determine the selling price. Target costing involves setting a target cost by subtracting a desired profit margin from a competitive market price. 36
A lengthy but complete definition is "Target Costing is a disciplined process for determining and achieving a full-stream cost at which a proposed product with specified functionality, performance, and quality must be produced in order to generate the desired profitability at the product’s anticipated selling price over a specified period of time in the future." This definition encompasses the principal concepts: products should be based on an accurate assessment of the wants and needs of customers in different market segments, and cost targets should be what result after a sustainable profit margin is subtracted from what customers are willing to pay at the time of product introduction and afterwards. These concepts are supported by the four basic steps of Target Costing: (1) Define the Product (2) Set the Price and Cost Targets (3) Achieve the Targets (4) Maintain Competitive Costs.
Critical Path The critical path is one having longest-time span through the total system of events. For example in the below network the possible paths and total time of each path are: Path 1-2-5 1-2-3-4-5 1-3-4-5
Total time : 28 : 25 : 22
The Critical path in the above network composed of events 1-25, being longest time-span among the three paths. The critical 37
path is vital for successful control of the project because it provides information to the management on two things: o Because there is no slack time in any of the events on the path, any delay will cause a corresponding delay in the enddate of the program, unless the delay can recovered during any of the downstream events on the critical path. o Because of the event on this path are the most critical for the success of the project management must take a hard look at this event, in order to improve the total program. Also if we want to reduce the total duration of a project we should be able to reduce the time taken by activity on the critical path.
Logical Sequence It means prioritizing activities to accomplish the project’s goals or objectives. Why it is important? •
By doing so, the project manager and the core team can efficiently plan and organize resources for each activity,
• Objectively measure achievement of goals and justify their decisions to move ahead, correct, or terminate. 38
Risk Planning
RACI Charts Roles and Responsibilites for tasks in Project Management process
•
Responsible : The person involved in performing the committed task who has to make something happen. The degree of responsibility is defined by the accountable person. Responsibility can be shared amongst different persons.
•
Accountable: The person who has the power of veto and carries the can if it all goes wrong and is in charge of the fact that the task will be performed: - in the right way - with the right outcomes - in the assigned time - with the involvement of the right resources. This person has the power to make the final decision. Important: For each task there is one and only one “A”.
•
Informed: The individuals that must always be informed after a decision/action is taken or a task is executed.
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Sample RACIChart
Contract Analysis
A/R
2
Order Entry
A/R
R
3
Order Acknowledgment
A/R
R
4
Process Plan
A/R
5
Quality Plan
A/R
6
Basic Project Planning
A/R
R
R
R
I R
C
C
C
7 8 9 10
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C
C
I
R
I C
I
Customer
Sales
1
Legal
Finance
Management
Quality Assurance
Installation Lead
Engineering Lead
Project Manager
Activities
Commissioning Lead
Roles
Purchasing/Supply Management
Order Preparation
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2.
PRACTICAL IMPLEMENTATION PHASE This part involves handling actual running projects under the supervision of project managers. Projects that were assigned are :a) G-05 b) Nabinagar G-05
About project This project was started on 2nd march 2010. Client of this project is HVPNL(Haryana Vidyut Parisan Nigam Ltd.) This project is about building 220 KV substations. This project is divided into 2 packages : •
Package A: Cost of this package is 497,930,130 INR It consisted of Building substation at 2 locations namely: o Masudpur o Sangwan
•
(Hansi), Haryana
(Tosham) , Haryana
Package B: Cost of this package is 443,202,111 INR It consisted of Building substation at 2 locations namely: 41
Raiwali (Panchkula), Haryana A-5 Faridabad (upgradation of 66KV S/Stn. A-Faridabad) Haryana Group Process Group process consists of all the necessary details of the project like project description, its scope, its process, communication plan etc. This is required to made for every project and generally it is made by project manager or assistant project manager. It has following contents:•
Order Preparation(handing over) to be received From marketing
• Project Description • Process Plan(process elements applicability Summary) • Communication Plan • MOM Internal Kickoff • MOM Customer Kickoff • Project review(executive summary) •
Project close out report
• Risk review report • Acceptance report • RACI chart
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Nabinagar About project This project was started on 27nd march 2010. Client of this project is BRBCL(Bhartiya Rail Bijlee Co. Ltd.) This project is about building 400/132 KV Switchyard package for 4 * 250 MW TPP – Nabinagar. Scope Of Project Turnkey solution comprising of design, engineering, manufacture, testing and inspection at manufacture's works, packing supply, transportation, transit insurance, delivery to site, insurance and equipment erection including associate civil and structural unloading and handling at site, storage. works. Also include cabling, lighting, lightning protection, earthing association of sub vendors in the erection, supervision site testing, inspection and commissioning of 400/132kV switchyard. Cost Of Project Cost of whole project including supply, civil and erection is: 452109011 INR. Engineering Weightages Engineering weights are calculated for every activity and element in the project on the basis of its assigned priority. These weights are used to calculate percentages which are then used to make S-curve to measure the progress of the project. For Nabinagar project engineering weightages in form of percentages is shown in the figure below:-
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P r o g r eM s sa rA- 1
% M o n t h 0 l y. 0 P02 l%a. 44
RESEARCH METHODOLOGY
RESEARCH METHODOLOGY 45
Methodology used is Analysis and Descriptive.
Tools used are : •
MS Project:- For making various pert charts and to find out critical paths used for project planning
•
S-Curve:- Used to measure progress of the project.
Objective: To learn about roles and responsibilities of a manager To get and judge the opinions of the employees toward planning methodologies. To find out whether the planning methodologies have helped the organization in bringing about on overall development of the organization To understand tools used for measuring the progress of project.
Limitations: Proper factual data was not imparted for analysis purpose. Not familiar with the tools used for planning. Proper resources were not available for interns like internet facility.
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DATA ANALYSIS
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DATA ANALYSIS
1.
Tools used for analysis were: MS Project, S-Curve
a) S-Curve The S Curve is a well known project management tool and it consists in "a display of cumulative costs, labour hours or other quantities plotted against time".The name derives from the S-like shape of the curve, flatter at the beginning and end and steeper in the middle, because this is the way most of the projects look like. The S curve can be considered as an indicator and it's used for many applications related to project management such as: target, baseline, cost, time etc. In order to be able to generate a S Curve, A Baseline and Production Schedule are necessary because they contain important information for each task: -the Baseline - contains information about Actual Start date and finish date. The Baseline - can also contain information about Man Hours and costs. • The Production Schedule- contains information about the actual percentage complete. •
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There are some software scheduling packages that generate automatically S Curves. For example MS Project does not have this possibility so a third party software application is needed to process the Baseline and Production Schedule data and generate the needed S Curve.( for example S Curve Generator that integrates with MS E.
Sample project’s Curve
S-Curve for NabiNagar project
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b) MS Project Microsoft Project (or MSP or WinProj) is a project management software program developed and sold by Microsoft which is designed to assist project managers in developing plans, assigning resources to tasks, tracking progress, managing budgets and analyzing workloads. The application creates critical path schedules, and critical chain and event chain methodology third-party add-ons are also available- Schedules can be resource leveled, and chains are visualized in a Gantt chart. Additionally, Project can recognize different classes of users. These different classes of users can have differing access levels to projects, views, and other data. Custom objects such as calendars, views, tables, filters, and fields are stored in an enterprise global which is shared by all users. • Project creates budgets based on assignment work and resource rates- As resources are assigned to tasks and assignment work estimated, the program calculates the cost equals the work times the rate, which rolls up to the task level •
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and then to any summary tasks and finally to the project level. Resource definitions (people, equipment and materials) can be shared between projects using a shared resource pool. Each resource can have its own calendar, which defines what days and shifts a resource is available. Resource rates are used to calculate resource assignment costs which are rolled up and summarized at the resource level. Each resource can be assigned to multiple tasks in multiple plans and each task can be assigned multiple resources, and the application schedules task work based on the resource availability as defined in the resource calendars. All resources can be defined in an enterprise-wide resource pool. •
MS Project presumes additional physical raw materials are always available without limit. Therefore it cannot determine how many finished products can be produced with a given amount of raw materials. This makes MS Project unsuitable for solving problems of available materials constrained production. Additional software is necessary to manage a complex facility that produces physical goods MS-Project Plan For Nabi Nagar Project
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2. SWOT Analysis Of ABB
Strengths • • • •
Broad product portfolio Wide geographic base Strong order book position Robust Growth rates in revenues and profits. 52
Weaknesses • • • •
Sizeable non core activities Low production in off session Obsolete technology Less Manpower
Oppurtunities • Growing global demand for electricity • Positive outlook for the oil and gas sector • Organic and Inorganic growth
Threats • Increasing new material prices • Intense competition • Exposure to government regulations
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FINDINGS AND SUGGESTIONS
FINDINGS AND SUGGESTIONS a) FINDINGS Around 5000 pages contract is made for every project. It
includes every kind of communication taken place between the marketing team and client before and after the contract is signed i.e. pre-communication and post communication talks, Price 54
details, material details, duration, penalty clause, bank guarantee etc. Extra stress is given on Code Of Conduct. This means that each and every employee of ABB is bounded by code of conduct. For example they cannot bribe any one for getting their work done; they cannot accept any kind of gifts from any of their clients etc. Shortage of WorkForce. Every employee in ABB in overloaded with work, and has to work under certain amount of pressure. Every Project Manager is handling around 5 to 6 Projects simultaneously because of which their efficiency is going down. Canteen timings not feasible. Canteen is only accessible from 12:30 pm to 2.30 pm throughout the day and there is no arrangement for snacks and other necessary things in between. Work Timings: Reporting time for each and every employee in the office is 9 a.m. and leaving time is 6.pm. but because of their work load employee have no fixed time to return because of which their social life is cut off. Findings related to projects:• In A-5 faridabad, Issues are :1) Problem of the neighbouring quarters. Even though they had started the demolition activities of quarters under HVPN supervision, but the same had to be suspended on account of opposition by neighbouring occupants.
•
2) ABB is not in a position to start their office and store activities, as the equipments are lying at space identified/ decided for ABB office & store. In Sangwan, Issue is :Some FGL (Finished Ground Level) is to be provided by the client on the site before work can be started there, which was not yet made available by the client i.e. HVPNL
b) SUGGESTIONS 55
Recruitment of fresh engineers must be done in order to
release stress from employee and also to increase their efficiency,otherwise the employees will start loosing their interest in their jobs and will for a switch over. Fixed office timings : As there is fixed reporting time similarly there must be fixed leaving time as well so that employee can enjoy thei personal life as well. Canteen must be accessible through out the day.As anyone can feel hungry anytime during a course of time. Suggestions for the project : A Letter from the concerned authority should be send to HVPNL mentioning details of all the issues in the project and was asked to take immediate action against it as if the project is delayed than ABB will be unnecessarily charged penalties like liquidity damages.
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WEBLIOGRAPHY
WEBLIOGRAPHY Following web sites were referred for making this project report: a) b) c) d)
www.google.co.in www.abb.co.in www.wikipedia.com www.electricsubstationsafety.com 57
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