ENMF 527 Identifying and Selecting Projects PDF

ENMF 527 – Identifying and Selecting Projects Learning objectives How projects are identified and selected A project charter Outsourcing projects using a request for proposal (RFP) The proposal solicitation process Identifying Needs, Problems, or Opportuniti...

ENMF 527 – Identifying and Selecting Projects Learning objectives How projects are identified and selected A project charter Outsourcing projects using a request for proposal (RFP) The proposal solicitation process Identifying Needs, Problems, or Opportunities Recognize a need, problem, or opportunity Problem: is an unknown gap between the present state and the Clearly define the problem or need expected state. Quantify the problem Determine the budget Opportunity: is a known gap between the present state and the expected state Prepare a request for proposal Select the project(s) with the greatest benefit for the cost expended  Project Selection Develop a set of criteria against which the project will be evaluated List assumptions Gather data and information for each opportunity Evaluate each opportunity against the criteria Project charter example: Suncor works with internal Project Charter employees and creates a proposal and gives it to Project charter is a formal project authorization document, it contractor is also called project authorization or project initiation document. Key points 1) Clear goals The main contents in project charter include the fund 2) Feasibility (project) approval from the sponsor, the key conditions and 3) Benefits of company - deliverables parameters, and the framework for developing a detailed baseline plan Figure 2.2 - Example There is no standard format for this document. General guidelines for drafting a project charter: 1) Project title 2) Purpose 3) Description 4) Objectives 5) Success criteria or expected benefits 6) Funding 7) Major deliverables 8) Acceptance criteria 9) Milestones schedule 10) Key assumptions 11) Constraints ENMF 527 Notes – Needs Identification Page 2 of 6  12) Major risks 13) Approval requirements 14) Project Manager 15) Reporting requirements 16) Sponsor designee 17) Approval signature and date ENMF 527 Notes – Needs Identification Page 3 of 6  Request for Proposal (RFP) Some companies may use a template proposal: State, comprehensively and in detail, what is required, from Figure 2.3 – Example the customer’s point of view 1) Major goal – Increase company sales Enable contractors or a project team to understand what When completed creating proposal, shred the papers the customer expects so that they can prepare a thorough according to NDA (Non-disclosure agreement) proposal Types of contracts The need may be communicated informally—and sometimes only orally 1) Fixed price Guidelines for drafting a formal RFP to external contractors: 2) Based on the cost 1) Project objectives Due Date of proposals 2) Statement of work (SOW) 1) Before 12AM, the proposal is valid. If not, the 3) Customer requirements proposal is invalid/rejected. 4) Deliverables 5) Acceptance criteria When submitting proposals: 6) customer-supplied items 1) Use Canada Post Registered Mail method 7) approvals required by the customer 8) type of contract 2) In-person method 9) the payment terms Contractor Proposal 10) the required schedule for completion 11) instructions for the format and content of the 1) Fairness contractor proposals 2) Have legal team read it 12) due date for proposals 13) evaluation criteria 14) occasionally will indicate the funds the customer has available ENMF 527 Notes – Needs Identification Page 4 of 6  Organizations: Soliciting Proposals o Canadian Manufacturing Imports & Exports Methods: advertise o Identify a selected group of contractors in advance Not talking privately in competitiveness and sending each an RFP o Advertise in certain business newspapers Process considered a competitive situation Don’t provide information that is not provided to all contractors May hold a bidders’ meeting to explain the RFP and answer questions Not all use RFP Some companies want best quality and lowest cost (cross-eyed) A Good RFP - doesn’t work A good RFP allows contractors or a project team to understand Don’t be ambiguity – feasibility is questionable what the customer expects so that they can prepare a thorough proposal that will satisfy the customer’s requirements at a Specify customer expectations clearly realistic price. ENMF 527 Notes – Needs Identification Page 5 of 6 ENMF 527 Notes – Needs Identification Page 6 of 6