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Project Charter Development
Alina Zargaryan
The University of Arizona Global Campus
BUS 633: Project & Operations Management
Dr. Jon Webber
March 4, 2024
Introduction
International Logistics Services (ILS) is focusing on expanding globally, and as part of this effort, they have acquired a warehouse and truck fleet in the Czech Republic. ILS is working
on a project to improve the operational efficiency of its newly acquired warehouse and transportation facility in the Czech Republic. This project strives to bring the facility to ILS's rigorous corporate standards while also reflecting the company's dedication to the triple bottom line philosophy, which emphasizes profit, people, and the planet. One of the company's key goals is to secure Walmart as a customer in their latest market. Regrettably, the warehouse's previous owner left numerous issues for ILS. The project aims to enhance the facility's operational standards, resulting in substantial annual net benefits and attracting business from important clients such as Walmart operations in the Czech Republic.
Scope and Limitations
This project aims to improve the operational efficiency of the recently acquired warehouse and transportation facility by International Logistics Services (ILS) to align it with ILS's corporate identity and standards. "A project requires an organized and planned effort with a
level of detail that is progressively elaborated when more information is discovered" (Kloppenbeorg et al., 2023, p. 4). Important areas to focus on include enhancing warehouse organization, upgrading equipment to lower maintenance costs and fuel usage, providing formal employee training, and creating documented procedures. The project must adhere to a budget limit of $100,000 and a strict timeline, necessitating completion by the end of Year Zero. ILS aims to reach an operational standard that justifies the $400,000 investment and enables the facility to generate a net benefit of $150,000 annually for the first five years. The project paves
the way for ILS to attract business from Walmart and other customers, capitalizing on the facility's enhanced operational efficiency and alignment with ILS's values and mission.
Business Case
International Logistics Services (ILS) strategically acquired a warehousing and transportation provider in the Czech Republic to extend its global operations. Revitalizing this facility is essential to aligning it with ILS's high standards of employee welfare and environmental sustainability. One must prioritize value related to achieving a desired result, meeting a need, or fulfilling a business case (Kloppenbeorg et al., 2023). The quote highlights the importance of ensuring that actions and decisions align with the fundamental goals and values that lead to success and fulfillment in business and project pursuits. Corporate Strategy
ILS can effectively implement its corporate strategy in the Czech Republic by utilizing its
proficiency in inventory management and last-mile delivery services, all while staying true to its core values of profit, people, and the planet. “The triple bottom line pushes corporations to assess
financial viability and environmental and social implications, perhaps reevaluating profitable activities based on their ecological and social costs” (CSR and The Triple Bottom Line, 2019). ILS can enhance its market position in the Czech Republic by building strong connections with local companies and grasping regional market trends. By combining internal operational excellence with external market integration, ILS will enhance its standards and effectively execute its corporate strategy in the Czech Republic, paving the way for future global expansions.
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1
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5-6
6-7
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0
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Activity
Duration
Number of men
1-2
3
5
2-4
2
3
2-3
3
7
3-4
0
0
3-5
3
2
4-5
7
2
3-6
2
1
5-6
6
6
4-6
5
5
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9
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- Q3b) Ghana Post has established various truck and air routes around the country over which it ships parcels. The holiday season is approaching, which means a dramatic increase in the number of packages that will be sent. The service wants to know the maximum flow of packages it can accommodate (in tons) from station 1 to station 6. The network of routes and the flow capacities (in tons of packages per day) along each route are shown in the following network: 1 ∞ 10 5 2 3 3 6 4 4 5 0 9 nter 0 5 0 6 6 You are to determine the maximum tonnage of packages that can be transported per day from station 1 to station 6 and indicate the flow along each branch + 00 0arrow_forwardExplain the Load–Distance Method?arrow_forwardTakealot to open massive new distribution centre in Cape Town in 2022 Takealot Property developer Atterbury says that construction is underway on a new distribution centre (DC)for online retailer Takealot in Cape Town, expected to launch in August 2022.The 24,000 sqm facility consists of 22,000 sqm of warehouse space and 2,000 sqm offices, designedto provide Takealot with expansion options to add an additional 50,000 sqm of warehousing to theinitial phase.“The new Takealot DC is designed for sustainability and will feature a dedicated solar PV installation,energy-efficient lighting systems, a rainwater harvesting system and water-saving xeriscapelandscaping. The cross-dock facility will provide clear racking height of up to 18 metres andspecialised floors,” Atterbury said.The developer said that a 6,700 sqm Takealot Customer Collection Centre – which includesexpansion opportunities with the potential to grow to 17,000 sqm – is also under construction atRichmond Park. “The Customer…arrow_forward
- Takealot to open massive new distribution centre in Cape Town in 2022 Takealot Property developer Atterbury says that construction is underway on a new distribution centre (DC)for online retailer Takealot in Cape Town, expected to launch in August 2022.The 24,000 sqm facility consists of 22,000 sqm of warehouse space and 2,000 sqm offices, designedto provide Takealot with expansion options to add an additional 50,000 sqm of warehousing to theinitial phase.“The new Takealot DC is designed for sustainability and will feature a dedicated solar PV installation,energy-efficient lighting systems, a rainwater harvesting system and water-saving xeriscapelandscaping. The cross-dock facility will provide clear racking height of up to 18 metres andspecialised floors,” Atterbury said.The developer said that a 6,700 sqm Takealot Customer Collection Centre – which includesexpansion opportunities with the potential to grow to 17,000 sqm – is also under construction atRichmond Park. “The Customer…arrow_forwardPlease explain the importance of ‘’project management’’ concept in the logistics management by considering and give some examples of realized projects today in all over the world.c) Constraints and scope the project d) Monitor & Control the project e) Close out the projectarrow_forwardDefy Opens a World Class Warehousing and Distribution Centre in Danskraal, Ladysmith Defy’s new Danskraal warehouse comes with an additional R170 million investment to the Ladysmith area, contributing to over 130 jobs. South Africa’s largest manufacturer and distributor of major domestic appliances, Defy, announces today the official opening of their new world-class distribution and warehousing centre in Danskrall, Ladysmith on 19 May. The new facility represents a R170 million investment into the Ladysmith area and will create over 130 jobs within the surrounding communities. Q.1.Organising must be seen as an ongoing process through which managers create structure. With the use of examples, discuss why organising is important in Defy’s new world-class distribution and warehousing centre in Danskrall, Ladysmith that will create over 130 jobs within the surrounding communities. The Defy Danskraal warehouse can process the loading and unloading of more than 200 trucks per day and has a…arrow_forward
- Defy Opens a World Class Warehousing and Distribution Centre in Danskraal, Ladysmith Defy’s new Danskraal warehouse comes with an additional R170 million investment to the Ladysmith area, contributing to over 130 jobs. South Africa’s largest manufacturer and distributor of major domestic appliances, Defy, announces today the official opening of their new world-class distribution and warehousing centre in Danskrall, Ladysmith on 19 May. The new facility represents a R170 million investment into the Ladysmith area and will create over 130 jobs within the surrounding communities. Q.1.Organising must be seen as an ongoing process through which managers create structure. With the use of examples, discuss why organising is important in Defy’s new world-class distribution and warehousing centre in Danskrall, Ladysmith that will create over 130 jobs within the surrounding communities. The Defy Danskraal warehouse can process the loading and unloading of more than 200 trucks per day and has a…arrow_forwardDefy Opens a World Class Warehousing and Distribution Centre in Danskraal, Ladysmith Defy’s new Danskraal warehouse comes with an additional R170 million investment to the Ladysmith area, contributing to over 130 jobs. South Africa’s largest manufacturer and distributor of major domestic appliances, Defy, announces today the official opening of their new world-class distribution and warehousing centre in Danskrall, Ladysmith on 19 May. The new facility represents a R170 million investment into the Ladysmith area and will create over 130 jobs within the surrounding communities. Q.1.Organising must be seen as an ongoing process through which managers create structure. With the use of examples, discuss why organising is important in Defy’s new world-class distribution and warehousing centre in Danskrall, Ladysmith that will create over 130 jobs within the surrounding communities. The Defy Danskraal warehouse can process the loading and unloading of more than 200 trucks per day and has a…arrow_forwardDefy Opens a World Class Warehousing and Distribution Centre in Danskraal, Ladysmith Defy’s new Danskraal warehouse comes with an additional R170 million investment to the Ladysmith area, contributing to over 130 jobs. South Africa’s largest manufacturer and distributor of major domestic appliances, Defy, announces today the official opening of their new world-class distribution and warehousing centre in Danskrall, Ladysmith on 19 May. The new facility represents a R170 million investment into the Ladysmith area and will create over 130 jobs within the surrounding communities. The Defy Danskraal warehouse can process the loading and unloading of more than 200 trucks per day and has a storage capacity of 100,000m3 of product. The strategic location of the distribution centre creates the opportunity to move product by rail from the Ezakheni manufacturing facility to the Durban port 250 kilometres away. This drastically improves the export supply of Defy, and sister brand Beko appliances…arrow_forward
- Malaysia Pushes Infrastructure Projects Malaysia is among the South-East Asian nations that have pledged to spend billions on infrastructure developments, as the country seeks to further boost its economic prominence. Last year during the tabling of Budget 2018, the government allocated billions of ringgit for infrastructure developments, paving the way for the country to provide a much needed support system for the economy. Among the projects listed include the valued RM32 billion Mass Rapid Transit Line 2 (MRT2) and the Pan-Borneo Highway or PBH (RM2 billion). Source: The Malaysian Reserve, 30th Jan 2018 Based on the article above: a) b) c) List two (2) transport infrastructure projects in Malaysia. Briefly discuss the importance of transport to the economic development of Malaysia. Examine three (3) factors which can influence the budget allocation for passenger transportation in Malaysia.arrow_forwardAn automotive company plan to utilize robotics in their automotive production line, the project team identifies two past projects within the automotive industry that involved implementing robotics in production lines; they coded them as Project X and Project Y: " Project X: Implemented by a leading automotive manufacturer two years ago. It involved the integration of robotic arms for welding tasks in the chassis assembly line. The total cost of Project X was SAR 1.8 million. The current project aims to implement robotics for paint application in the body assembly line, which involves different technologies and challenges compared to welding in Project X, which account for a 12% increase in costs compared to Project X. Inflation consideration for the costs of resources and technologies changes since the completion of Project X, which accounts for a 7% increase in costs compared to Project X. The size and layout of the production line is different in the current project, impacting the…arrow_forwardThe Morant Bay Urban Centre in St. Thomas is a major land development project spearheaded by the Ministry of Economic Growth and Job Creation, through the Factories Corporation of Jamaica (FCJ). The first of its kind to be built in Jamaica, the project so far has been plagued by long delays in its roll out, mostly due to the COVID – 19 outbreaks. The project’s location is former Good Year property and adjacent lands and slated to cost about $6 billion. This centre will serve Morant Bay's commercial, industrial and economic needs. Under the contract with China Harbour Engineering Company Limited (CHEC), 80 per cent of the labour force must be Jamaicans and reside in the area. Project managers assigned to this project are expected to manage the effective and efficient delivery of this venture. Key areas of focus will be planning, executing and monitoring. Develop a conceptual project budget for a section or phase of the project and explain how the project cost can be monitored and…arrow_forward
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