Question:
1) Explain briefly and make the application of analysis tools for SWOT Analysis based on this case study.
Case 10 Project Management Tools for Cost Savings in Network Upgrading Accounting information systems . Management accounting . Cost-benefit analysis . Project management . Process, systems and people strategy TechGlobal System San Bhd is a company that provides services such as network planning and optimization (NPO), manpower solutions outsourcing (MSO), business process outsourcing (BPO) and knowledge process outsourcing (KPO). This company was first established in Malaysia and it expanded its empire in the Philippines, Indonesia, Thailand and Singapore. Mr Anil Singh, a project manager, was asked to manage a large- scale NPO project. He was asked to suggest solutions on how to decrease the time frame of the project and at the same time reduce the downtime of each site. The main goal was to reduce the cost needed in the project and maximize the profits from the project. Mr Anil had to respond quickly, within one week, to his CEO, Mr Tan. Background of TechGlobal Eighteen years ago, from a humble garage, ideas were developed with a vision to conquer the information communications and technology field. TechGlobal Systems Group was incorporated in 1999. The early years saw TechGlobal carving a name in NPO. Soon after, new avenues opened, enabling TechGlobal to have a firm footing in MSO, BPO and KPO. The first office was located in Kajang and is currently used as the operations office. The sales office is located in Jalan Tun Sambanthan, Kuala Lumpur. The vision of this company was to exceed expectations in NPO in the telecommunications/IT industry, MPO, BPO and KPO in the Asia Pacific36 Integrated Case Studies for Accounting region. TechGlobaJ believes in integrity and effective management. It has an empowered, dynamic and innovative workforce, the backbone of the organization, dedicated to excellence in service with a commitment to standards of high quality. Overview of issues TechGlobal provides services to telecommunication companies in the radio frequency (RF) field- The services provided include drive tests and network optimization for 2G, 3G and LTE mobile networks. A drive test is conducted to check the coverage criteria of a cell site with an RF drive test tool. The data is collected by the drive test tool as log les, which are analysed to evaluate various RF parameters of the network. In a multimillionringgit project, one of its customers, Celtax. wanted to modernize and upgrade the existing Celtax network in the Klang Valley area. totalling to 1800 sites, from April to December 2016 to support the LTE mobile network. Celtax needed this service to make sure that the network provided to subscribers was up to date and compatible with current devices that have adopted the new technology. On average, a total of 100 sites needed to be modernized daily, and each site required ve RF engineers. TechGlobal needed to hire and manage a total of .500 skilled RF engineers for the project. Mr Anil was asked to suggest solutions on how to decrease the time frame of the project to six months when similar projects took up to twelve months to complete, reduce the downtime of each site during the modernization to ensure that the subscriber experience did not get interrupted, reduce the cost needed in the project and maximize the prots from the project. Mr Anil had the choice of using either PCT e1 Management System or Zoho Project. PCT at Management System In order to deiiver this project and achieve the goals, PCT el Management System was suggested since it was an automated tracking and management system using state-of-the-art solutions. The system could shorten the project duration and minimize errors made by the engineers. MINI: 38 Integrated Case Studies for Accounting In implementing this new management system, TechGlo'oal Systems could improve in many aspects including the productivity and the efciency of the project team. Five project managers were sent [or training at PCTel for this new system. The project managers then involved the whole team in using it in the project and to improve their performance. Based on the performance review after the implementation, it could be seen that the system had improved project management. None of the deliverables failed to meet the key performance index set. As a result, TechGlobal was able to reduce the project cycle time by approximately 20% and save almost RM4OD,000. Customer satisfaction also increased. TechGlobal was able to have biweekly project progress meetings with the clients to discuss the delivery. With this project management system, TechGlobal also managed to reduce the number of RF engineers for the project from 500 to just 350 because most of the tasks were automated. TechGlobal also managed to coach and mentor a new group of project managers using this automated system. Zoho Project Another management system suggested was Zoho Project, which was an online project management software that helped in planning work and keeping track of progress. People in the project could communicate easily, discuss ideas and stay updated, which could help deliver quality results on time. The project needed to be accomplished within a defined period of time and tracking tasks became easier when all the team's responsibilities could be accessed easily using the software. The project manager could monitor the status of tasks, assign tasks to team members, send email reminders and track progress of the project. Milestones, task lists and tasks provided in the system could help the project manager break down the complex project into easily manageable units and get a more rened control with subtasks, recurring tasks and dependencies. The reporting tools in Zoho Project were as good as the tools in PCTel Management System- It included Zoho Reports, an advanced analytics and business intelligence application. The integration with Zoho Projects could provide in depth insights into the team's progress. Employees, clients, vendors or consultants, nearby or from remote locations, could all work together seamlessly with a set of tools and make efcient decisions. Case to Project Management Tools for Cost Savings in Network Upgrading 3? This radically new management practice was introduced to a traditionally trained project management staff with an emphasis on end user delivery. According to the lead project manager of TechGlobal Systems, this solution had been used before and it was able to track the project progress from end to end, but it required the project management team to correctly insert the data on a daily basis. The tools were able to provide delivery progress daily to the higher management so that proper budgeting, invoicing and payment could be done. PCT el Management System came with many benets that were protable to both the customer and the company itself. This tool could provide a social collaboration platform that enabled everyone to get the same information anywhere, any time. The management system provided everyone involved in the project a shared workspace. PC'I'el Management System also came with mobile version called TrackerOnTheGo With this functionality, the RF engineers involved in eld works can easily update their work progress without waiting to get back to their ofce or homes. This was especially benecial when they were carrying out large scale projects where they needed to travel long distances. While they were in the eld, they could still update their work progress, and the project manager could monitor them and analyse their pelformance. All of the things that needed to be done or changed could be detected easily and could help the company avoid great losses in terms of money and effort. Basically, there were three main things that could be done using PCI'el Management System- Firstly, it could monitor the tasks that had been completed within the time needed and within the budget. For all completed works, the team could present the works to the customer and get the customer to sign it off. When the works have met the customer's requirements and satisfaction, the company could demand payment for the works. Secondly, it could also monitor ongoing works. The project manager could analyse the team's performance while they were performing the work. The project manager could see the areas that needed help and satisfy the customer\" 5 requirement. The process would also ensure that the RF engineers did their work properly and minimize the errors made. When there are minimal errors, a lot of money and effort could be saved by nishing the project on time and within the budget. Thirdly, it could forecast the works that needed to be done in the future. By analysing the current team's performance, the number of workers and time needed to complete a task can be better planned. Well-planned work can also minimize errors and save money. -. \"is: Case 10 Project Management Tools for Cost Savings in Network Upgrading 39 Costing and pricing Mr Anil hoped to generate a 12% first-year return or profit if TechGlobal invested in PCTel Management System amounting to RM270,000. The following information is available for the first-year operations: 25,000 hours of services to be provided, RM33 anticipated variable cost per service hour and RM285,000 per year of anticipated fixed costs. Other costs that he might need to consider are presented in the appendix. What is next? - In order to achieve its goal for the project, TechGlobal Systems and Mr Anil had to choose whether to use PCTel Management System or Zoho Project. One of the solutions provided by PCTel was RF Solutions, which was specifically for RF, which could make it more preferable for TechGlobal, considering the project. As a side note, Zoho Project was more general and did not have specific solutions for RF. PCTel's RF Solutions products and services could improve the performance of wireless networks and PCTel provided specialized staffing, interference management and performance critical RF engineering services for wireless networks. By using PCTel, the number of RF engineers needed to handle the project could be reduced, thus reducing the cost. As for Zoho Project, it had a somewhat inconsistent interface across all its applications which made it look unprofessional and users may not find it appealing to use. Moreover, Zoho Project tended to show sluggish performance when using larger files. Despite the obvious benefits of using PCTel Management System, Mr Anil still has to perform an analysis and decide whether the use of PCTel Management System could really contribute to cost savings and profit maximization. Application Questions 1 If you were Mr Anil, would you choose to use PCTel Management System? Elaborate why. 2 Perform a cost-benefit analysis for both PCTel Management System and Zoho Project. Which system is more appropriate for TechGlobal? 3 If Mr Anil chose Zoho Project, suggest solutions on how to decrease the time frame of the project to six months and at the same time reduce the downtime during the upgrading to ensure that the subscriber experience is not interrupted. Prepare the project schedule and timeline.40 Integrated Case Studies for Accounting Appendix Possible direct costs associated with information technology/information systems implementation Direct project costs associated Examples of direct project with IT/IS implementation costs associated with IT/IS implementation Environmental operating costs Air-conditioning facilities Uninterruptable power supply Computer furniture Initial hardware costs File server Terminals and network printer Initial software costs Software packages and networking software Operating system Installation and configuration costs Management consultancy support Installation engineers Network wiring, junctions and connectors System development costs External customizing time In-house customizing time Project overheads Running costs: electricity, space Networking costs: telecommunication time Rises in insurance premiums Training costs Vendor software familiarization courses Software upgrade training courses Maintenance costs Yearly service contractsCase 10 Project Management Tools for Cost Savings in Network Upgrading 41 Unexpected hardware costs Secondary data and storage devices Upgrades in processing power Unexpected software costs Protection against viruses and abuse Consumables Print cartridges/ribbons, disks and paper Possible indirect costs associated with information technology/information systems implementation Indirect human costs associated Examples of indirect human with IT/IS implementation costs associated with IT/IS implementation Management/staff resources Integrating new system into new/ revised work practices Management time Devising, approving and amending IT and manufacturing strategies Management effort and dedication Exploring the potential of the system Employee time Absorbing the transition from traditional to new work practices Employee motivation Interest in IT/IS reduces as time passes Changes in salaries and structures |Promotion and pay increases based on improved employee flexibility Staff turnover Increases in recruitment costs: interview, induction and training
