Q1. You have been hired as the marketing manager for Solar Kitchens (P) Ltd., a start-up firm focusing on the renewable energy market. You also hold the PMP certication from Project Management Institute. Solar Kitchens has developed a solar-based cooking solution that eliminates the need to use any fuel such as wood, gas, or bio products for cooking. The solution consists of solar panels, Lithium- ion battery pack, charging instrumentation, induction table-top, and (optionally) induction cookware. The operating cost of the solution has been found to be 30% cheaper than piped natural gas, 35% cheaper than LPG, 20% cheaper than electricity at domestic tariff, and 50% cheaper than electricity at industrial tariff. The solution is environmentally friendly, as it avoids the carbon dioxide emissions arising from cooking gas, and also avoids the smoke and fumes that are prevalent in cooking fuels such as wood, cow dung cakes, and coal. Due to use of induction heating, it also heats up very fast. The solution protype has been proven through laboratory tests. Solar Kitchens management thinks that the solution is applicable for most cooking applications and the its cooking systems have large nation-wide potential. Solar Kitchens has received a sizable venture funding. The investors have put a condition that the solution must be launched within the next six months, and the business should scale up to Rs 100 crores in annualized revenues over the next three years. The management has asked you to manage the entire process of building the product and market strategy, devise the launch process, launch the product(s), and manage the selling and marketing of the product(s) thereafter. You are aware that strategizing and launching the product(s) is no different from a project. You have identified the following decision elements: 1. Conduct demand analysis across possible market segments, for instance: Home kitchen - starter family, Home kitchen - mid-to-large family, Urban and rural segments, Street food vendors, Commercial canteens such as factories, hospitals, student hostels, Ofce pantries etc. Prioritize the segments for entry and establish clear use cases Map cooking systems against the use cases Determine pricing, financing, and warrantee variables Determine the supply chain strategy Determine after-sales service strategy Prepare for launch Launch the product(s) Flt-'99??? Based on the above, you have prepared preliminary WBS as follows: Activity Description Duration Predecessor(s) Crash Weeks that can Can be no (weeks) cost/week be crashed laddered? 1 Demand Analysis 1.1 Engage an agency to study 2 M 0 No demand 1.2 Receive market demand survey & 4 1.1 M 0 No segmental forecasts 1.3 Prepare segmental use cases 1 1.2 M 0 No 2 Map Solar Kitchens's cooking 2 1.3 M 0 1.3 SS systems against the use cases 2.1 Seek management view on 1 1.2, 2 M 0 No segmental priority 3 Determine commercials: prices, 3 2.1 M 0 No financing, warrantees 4 Design supply chain strategies: 3 2.1 2000 1 No stocking, commissions 5 Design after-sale service 2 2.1 1000 No strategies 6 Prepare segmental P&L and 3 3,4, 5 1500 2 No investments needed 7 Prepare launch strategy: 6 2.1, 6 5000 2 No publicity, order entry, order fulfilment 8 Estimate funds required for 3 6 2000 1 7 SS launch 9 Present to management for 2 7, 8 M 0 No approvals for strategy and for launch 10 Product launch 3 9 1000 1 NoWhile You were preparing the WBS, the management has informed you that the investors want to see the solution launched within three months, i.e. 13 weeks. 2 Qla. What is the best you can achieve under the Critical Path Method? (12 marks) Q1b. In discussion with your consultant, two other options have emerged. . In the first option, she suggests using Critical Chain Project Management on the premise that your estimates were padded up, and CCPM deflates all estimates by 50% to insert buffers. She thinks this might help you meet the targets. In the second option, she suggests using Agile methodology after noting that several of the WBS items have outcomes that are negotiable and cannot be precisely defined a priori. Which methodology would you like to apply? CPM, CCPM, or Agile? Explain your choice. (8 marks)