Implementation of a Gym

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Project Management
2nd half-semester Spring 2011

Group Project Management

Opening a Gym

MSc in Management9th May 2011|

Table of Contents
1. Introduction2
2. Teamwork in Project Management2
Challenges and responsibilities in Project Management Team3 Internal and External Players - Project Governance4
Organisations in Project Management4
3. Project Environment5
SWOT Analysis6
4. The 7-S’s of Project Management6
5. Work Breakdown Structure8
6. Description of the Activities Necessary to Create the Project8 Stage Model9
7. Critical Path (CPM method)12
Gantt Diagram13
Activity on Node (AON) Representation13
8. Analysis of Costs & Revenues of the Project14
Estimative of the revenues of the Project14
Estimative of the costs of the Project15
Estimative of the profits of the Project16
8. Conclusion & Final Recommendations17

1. Introduction
The aim of this report is to present our Project to open a gym in Belas, more specifically in Massamá Norte (for further details see exhibit 1). This new gym, with an area of around 3000 m2 divided in three floors, would offer a broader range of activities when compared to what current competitors offer. Therefore, given the fact that all activities could be found in only one place (e.g. classes, pool, cardio) it would attract customers from the involving area: Massamá, Monte Abraão and Queluz (for further details see exhibit 2). Being a project team external to the company, our scope is to present our Project to the possible owners of the gym, and, if they accept it, we will then not only help with its implementation but also supervise it. As a project team, our tasks involve: understanding the work that needs to be completed; planning out the assigned activities in more detail if needed; completing assigned work within the budget, timeline, cost and quality expectations; informing the project manager of several issues, scope changes, risk and quality concerns; and proactively communicating status and managing expectations. Motivations

There are several reasons that drive us to do a Project like this. Firstly, from the point of view of Project Management, opening a gym has several interesting activities to analyze, with priority and precedence relationships, a team to manage and several tools that can be applied (e.g. CPM). Secondly, from the point of view of a company, being its main objective to be profitable, we believe that a gym has a high business potential given the Portuguese population characteristics (growing concern on health, well being and body shape). However, if a gym wants to accomplish all of its potential, we believe that it has to be well planned and managed. Finally, this is a Project that will affect the local society and its benefits will be transversal to all of its stakeholders. For instance, all age groups of the population that will go to the gym will become healthier or local businesses will benefit from the growing number of people coming to the area. 2. Teamwork in Project Management

The project teams in this Project are defined by the Project Manager. Then, he assigns some activities to each team. In this phase, it is absolutely vital that all the members of the project team understand properly the work that needs to be performed. Additionally, there could be a need within the team to define an “informal” leader that plans out the activities, delegates some tasks (normally considered as small sub-activities) and assigns functional roles to each team member. Moreover, each team should also complete the assigned work within the budget, timeline, cost and quality expectations. Obviously, completing the work within these constraints is the main objective of the teams, though sometimes there are some problems and barriers that require teams to inform the Project Manager of them in order for both the team and the Project Manager work collaboratively in finding a suitable...
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