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Mr. Chung, CEO of an electronics manufacturing business, expanded his firm’s business into the retail industry some years ago and set up a supermarket chain called, ‘Chung Mart’. The supermarket chain’s mission is to provide ease of service offering and convenience to customers shopping for daily groceries, freshly produce products and household items. The strategic objectives are to achieve sustainable stakeholder values, provide affordable products and be a well-recognised brand. This business segment has been delivering strong results for the group, following aggressive expansion to 48 outlets with an increased in headcounts in three distinct retail formats, including supermarkets, minimarts and halal hub outlets catering to the Muslim community on a brick-and-mortar business model.
Hence, there are challenges in prioritising the projects and resources are thinly spread in the multiproject environment. However, the profit of the supermarket business has declined in recent years based on a reduction of 20 outlets due to raising operating cost, intense competition and increasing customer shopping preference for new products and platforms.
(A) Organisational strategy must be given careful consideration during project selection. Given the limited resources ‘Chung Mart’ has for new and existing projects, propose the concept of project governance by explaining this concept and providing a list of important information needed by ‘Chung Mart’ senior management to properly assess the viability of the projects. Explain why project governance is important to ‘Chung Mart’.
(no. of words: 400 words)
(B) As the Project Director, you need to prioritise the projects effectively. Describe the Project Priority System and discuss three (3) possible problems faced by ‘Chung Mart’ that may affect its survival. For each problem, recommend how the system can help to eliminate or minimise its impact.
(no. of words: 550 words)
Mr. Chung needs to improve the business performance of ‘Chung Mart’ to achieve their strategic objectives in providing sustainable stakeholder values, affordable products and be a well-recognised brand. Hence, he has developed a list of potential projects to embark on.
As the Project Director, classify each project, Project A to Project F below, into one of Compliance, Strategic or Operational categories. Evaluate how each project can help ‘Chung Mart’ improve its business performance as shown in table:
Project List for Chung Mart
Project | Description |
---|---|
Project A | Implement an online platform/apps to cater to online buyers. |
Project B | Expand the main store into a full-fledged shopping mall experience. |
Project C | Develop direct supply chain to reduce reliance on other organisations as an intermediary (e.g., middleman). |
Project D | Develop the current labour-intensive warehouse into a bigger warehouse that is fully automated. |
Project E | Create a new, unmanned, mini-mart shopping experience. |
Project F | Install a fire extinguisher system and exit signages for all outlets. |
Kindly analyse the nature of the project and explore their applications.
(no. of words: 600 words)
Please include a page of reference list in APA style for the above Project Management case study.