Carl scope of statement

1.0 DETAILED SCOPE STATEMENT 1.1 Project Objectives       Open and furnish a new KFC franchised restaurant in the new CCIS building Complete project by Aug 30, 2010 The project budget cannot exceed CAD $800 000 Complete renovations without failing an inspection Minimize the negative impact on neighboring businesses during renovations Final product conforms to all relevant legislations, regulations, codes and standards, as per required. These legislations include, but not limited to, Alberta Building Codes, Alberta Fire Codes, Canadian Electrical Codes, Alberta Gas & Plumbing Codes, Alberta OH&S Act, Regulation & Code, and any local bylaws or codes from the authorities having the jurisdiction. 1.2 Project Requirements  Get the KFC at CCIS Project contract signed by the client and the project team manager       Hire opening staffs and send them to the local KFC Training Centre Make changes to storefront to accommodate equipment Test and install all equipments and fixtures once received from KFC Corporate Renovations are properly insured Acquire building lease from the University of Alberta Provide renovation contractor with proper technical support from the University of Alberta   Prepare project budget under CAD $800 000 proposal for the client‟s approval Prepare the subcontractor‟s design drawings and get approval from client and KFC prior to construction  Conduct inspections by a third party to ensure all relevant regulations, legislations, codes, and standards are being met  Store opens on September 1, 2010 1.3 Project Boundaries Scope Includes:      Acquire a lease for the location Hire contractors for renovations Procure equipments from suppliers (i.e. KFC Corporation) Follow KFC Corporate standards and codes Follow the Canadian Electrical Code, Canadian Mechanical Code, Canadian Civil Code, Alberta Occupational Health & Safety Act, Regulation & Code, Alberta Building Codes, Alberta Fire Codes, Alberta Gas & Plumbing Codes, and any local bylaws or codes from the authorities having the jurisdiction.  Hire opening staffs (about seven workers) Scope Excludes:     Training of staffs Attain franchise from KFC Corporation under Yum! Brand, Inc. Run the restaurant after it opens Acquire the business license from the City of Edmonton 1.4 Project Constraints   Schedule –The project must be completed by Aug 30, 2010 Budget – The project cannot exceed the total budget (CAD $500,000 from owner‟s investment and CAD $300,000 from loan)  Experience – Lack of experience of the team members in the franchise fast food industry  Safety – The Project Team and contractors must adhere to regulations and practices  Permits – The Project Team must have appropriate permits before any work can be done  Inspections – The project must pass inspections or else work will be halted until problem is corrected  Communication – The KFC store front design team is in Vaughan, Ontario. They need to send one designer over to Edmonton for a site visit 1.5 Assumptions    KFC Corporation has approved the franchise for the Owner, Ms. Chen Space at CCIS and lease are available provided by the Faculty of Science Ms. Chen has good credit and can get a loan of CAD $300 000 from the bank to finance the project  We will get the store design from KFC Corporation, and it will be approved by the Faculty of Science and the City of Edmonton   KFC Corporation will deliver all the equipment early August 2010. KFC Corporation will deliver all the raw materials to the store at the third week of August 2010    Contractors start and finish the construction as per drawings on time Contractors provide good quality works Contractors work on weekdays only; no overtime work required 1.6 Milestones  2010-01-30, the store development plan had been designed and confirmed by the Owner, the City of Edmonton and KFC Corporation.  2010-02-20, the Owner or the Store Manager go to Vaughan, Ontario, the Yum! Brand, Inc. head office in Canada for a 8-week management training.  2010-05-17, the CCIS building is constructed, and the contractor start to build the restaurant.  2010-06-28, restaurant is finished building; start the decoration and furnishing.  2010-07-15, the order of all the equipment has been received, installed and tested.   2010-07-20, all raw material and ingredients are ready. 2010-07-19, start employees hiring preparation, preliminary interviews conducted.  2010-08-09, opening employees and staffs are hired, start employees training.  2010-08-20, in-store employees training orientation, and inspection done by KFC Corporation Representative and Capital Health.  2010-08-30, grand opening. 1.7 Expected Costs           Project Management Team: CAD $40,000 Construction and Installation: CAD $350,000 KFC Equipments: CAD $250,000 Design: CAD $20,000 Hiring opening staffs: CAD $11,000 Food: CAD $100,000 Inspection: CAD$200 Third party inspection (1 intermediate, 1 final): CAD$100 each Ancillary services: CAD $10,000 Inflation: 2% of total cost Rough Estimated Total = $781400*(1+2%) = $797028 2.0 WORK BREAKDOWN STRUCTURE (WBS) See Appendix A 3.0 STATEMENT OF WORK (SOW) 3.1 Project Background Ms. Chen wants to fulfill the demand of chicken on campus by opening a KFC franchised restaurant in the CCIS building that belongs to the Faculty of Science. The project team is responsible for setting up the restaurant. The critical success factors for this project are:     Meet or exceed the KFC Corporation Safety, Food & Health standards All finances are taken care of by owner Project team is paid 5% of CAD $800 000 upon completion The project will be completed before August 30, 2010. Otherwise, the project team pays a fine of CAD $1 500 per day after August 30, 2010 3.2 Project Scope & Deliverable The project is to set up a KFC Franchised Restaurant in the new CCIS Building before August 30, 2010. It will greatly reduce the overcrowded situation of SUB at The cost lunch time and it will add another great food choice to all U of A students. of this project cannot exceed the budget, CAD $800,000. We need to acquire a 3-year lease for the 400-square-foot space in CCIS building food court and find a qualified contractor to develop this space in order to meet KFC‟s and CCIS„ s standards. Employees also need to be hired for KFC‟s training before August 10, 2010. Cabinet installation, appliances installation, electricity wiring, internal and external decoration are subcontracted to contractors, and project team maintains overall project quality control. 3.3 Description of Services 3.3.1 KFC Corporation (Yum! Brands Inc) In this project, KFC Corporation (Yum! Brands Inc) will provide the necessary related equipments and training to successfully operate the KFC Franchised Restaurant in the new CCIS building.      The deliverables for the equipment section include: KFC trademarked signage KFC trademarked fixtures Display items (showcases, promotional items, etc.) All KFC equipment required to prepare and serve all consumables present on the KFC menu Also KFC Corporation will provide the project with all of the training. The deliverables for the training section include:       Comprehensive Owner training Basic new employee training Safety training Food preparation training All KFC Corporation codes and regulations training Training manuals and documentations In addition, KFC Corporation will provide the project with access to all of the resources necessary to abide by all KFC Corporation codes and regulations. The deliverables for the codes / regulations section include: Ongoing contact with a KFC Corporation Liaison, documentation, a thorough understand of KFC Corporation codes / regulations, and the full support of KFC Corporation throughout the project. 3.3.2 Personnel To successfully acquire good personnel for our new KFC Franchised Restaurant is a key for our business. Here are some steps that we will follow when preparing for hiring staff.  Determine the jobs need to be filled and skills are needed then write precise job descriptions, including duties and skill requirements   Advertise in appropriate media or use an employment service Screen all of the resumes in order to isolate a small group of suitable candidates to interview  Interview carefully. Focus on the applicant's qualifications, track record, attitude and demeanor   Check references and employment history Possible new employee recruiting Hiring the successful applicants includes getting their verbal acceptance and then following it up with the formal acceptance in which the applicant will finalize acceptance by filling out all appropriate paper work and signing the contract that confirms they will be available for September 1st, 2010. The deliverables include:     Offer successful applicant a position Sign agreements for availability to commence work on September 1st, 2010 Process paper work for each employee Create a list of the new employees to present to the owners 3.3.3 CCIS In order to maintain an organized and secure work environment for the duration of the project, the project team needs to attain a storage space in the new CCIS building. The deliverables include:   Obtain an adequate storage space Keep an inventory of all items taken and deposited to the storage space   Secure the storage space to protect all items within Ensure the availability of the storage space though out the project The restaurant space lease must be examined and evaluated to recognize all relevant sections that apply to the project management team. Deliverables include:  Write a report detailing all sections of CCIS lease that may pose some risk to the project    Perform the risk analysis to assess every risk involved Make a corrective action plan to mitigate risks associated with the lease Perform the risk transfer for items that are beyond the scope of the team‟s expertise The building codes and regulations specific to the CCIS building must be understood and followed in order to maintain the quality, and ultimately, the success of the project. The deliverables include:  Hold a meeting with a CCIS building manager to have all questions answered regarding codes / regulations   Create documentation outlining codes / regulations Analyze relating codes / regulations to relevant aspects of the project (i.e. Building codes, regulations)  Create the project plan to abide by these rules, regulations An insurance policy is to be acquired through University of Alberta in order to ensure the project has adequate coverage for every aspect involved. The deliverables include:     Obtain a list of requirements for the types of work being done Analyze of the CCIS lease Obtain an insurance policy from University of Alberta Ensuring the contractors obtain relevant insurance Relevant permits for all aspects of the project must be acquired from University of Alberta to ensure compliance with all building codes / regulations. Deliverables include:     Obtain a list of required permits for the types of work being done Obtain all necessary permits Present copies of the permits at the site of work being done Ensure the contractors are aware of the limitations of the permits The university codes and regulations with any relevance to the KFC in CCIS project must be fully understood in order avoid any unforeseen liability issues. The deliverables include:     Understand of all codes and regulations to do with the project Create documentation outlining these codes and regulations Ensure renovations contractor is aware of all codes and regulations Understand laws regarding general building practices 3.3.4 Contractors A renovations contractor must be hired to complete all alterations required to accommodate a trouble free installation of all KFC equipment. Deliverables include:     Choose a contractor who is qualified and adequately insured Debrief the contractor on all codes/regulations required in the project Verify the scope to ensure quality Perform risk transfer to contractor through contract A drafting contractor must be hired to complete drawings for the required renovations for the space in the CCIS building. Deliverables include:     Verify contractor credentials Gather equipment dimension information from KFC Corporation Prepare detailed modification drawings for the renovations contractor Acquire authorization of plans from CCIS Inspections must be performed to check the renovations being done as well as the installation of KFC equipment to ensure quality. Deliverables include:     Hire a qualified inspector with experience Inspect the schedule outlining proposed inspection dates List the codes / regulations for inspector to refer to Present certifications of passed inspections. 3.3.5 Ancillary Services Ancillary Services must be used to assist the renovations contractor and KFC Corporation as University of Alberta employed construction support for obtaining access cards and other such activities restricted to university employees. Deliverables include:    Obtain access cards for all required restricted area access Set up a billing method for compensating ancillary for services rendered Give ancillary an outline of work to be performed to ensure they are aware of what is required of them  Obtain access to all available resources that ancillary can provide the project with All campus transport must be directed by the ancillary office because they are responsible for all contractors on site and the transportation with which they use. Deliverables include:    Provide ancillary with all contractor vehicle insurance policies Outline the vehicle use for the universities own insurance Define a drop off / pick up location for all equipment entering or leaving campus  Define safe vehicle routes on campus A consultation must be coordinated between ancillary and the project management team to maintain a clear avenue of communication as well as technical resources required by the contractor to perform necessary alterations. Deliverables include:  Prepare a technical report for the renovations contractor outlining all CCIS resources and important tie-in locations including power, water and electrical  Set up an open line of communication between the renovations contractor and the ancillary employees   Estimate the resources required from ancillary Make a quote outlining approximate fees to be charged to the project. 3.4 Quality Assurance This project will use our standard Project Control and Reporting Process (PCRP) and KFC Codes and Regulations to monitor project quality. PCRP deals with “project management” expectations within project management team and sets rigorous, but minimum standards for quality in project management. Projects quality check ups are randomly arranged for review at Project Initiation, Quarterly, and at Project Closure. The quality processes that will be used on this project are:    Quality audits from our project management team Peer reviews of project deliverables The standard quality processes from KFC Corporation 14.0 COMPARISON OF PROJECT CHARTER AND ACTUAL PREPARED PLAN 14.1 Construction and Renovation Project Charter Information and the Actual Prepared Plan Accordance (Match / Not Match) Differences Identification Negotiation And Reporting Corrective Action 1 Store size is capable of servicing 100 people/hour, Match 2 Store front style design Match Match 3 No accident during construction and renovation 4 Construction and decoration contracts Match Match 5 Electricity wiring, water pipe installation 6 Cabinet building contract Match 7 All the signage show Match up 8 Construction and decoration are finished on time Match 14.2 Equipments Acquisition and installation Project Charter Information and the Actual Prepared Plan Accordance (Match / Not Match) Differences Identification Negotiation And Reporting Corrective Action 1 Equipments and Match appliances purchase 2 Equipments and appliances are delivered on schedule Match 3 Equipments and appliances are inspected and checked before installation Match 4 Equipments and appliances are inspected and checked after installation Match 5 Equipments and appliances installation is finished on time Match 14.3 Personnel and Staff Management Project Charter Information and the Actual Prepared Plan Accordance (Match / Not Match) Differences Identification Negotiation And Reporting Corrective Action 1 Staffs are stable and competent for operation Match 2 Team member lack experience in franchise business Match 3 Provide training to staffs Match Match 4 Employee hiring with relatively low start wages. 5 All opening staff and employees are hired at least a month prior to opening Match 6 Team members upgrade their experience during the project Match 7 Staffs are stable and competent for operation Match 8 Get experience from neighbor KFC store Match 14.4 Utilities and Supplies Management Project Charter Information and the Actual Prepared Plan Accordance (Match / Not Match) Differences Identification Negotiation And Reporting Corrective Action 1 There is no shortages of supplies (electricity, water) during construction Match 2 Raw material purchase Match Match Match 3 Ingredients purchase 4 Construction and renovation material 5 Materials and ingredients are delivered on time Match 14.5 Project Management and Quality Control Project Charter Information and the Actual Prepared Plan Accordance (Match / Not Match) Differences Identification Negotiation And Reporting Corrective Action 1 Meet all industry Match standards 2 Quality and timing concern with contracting small companies Get license and pass the Capital Health inspection KFC Corporation inspector come over for quality, safety & health check Financial support are stable Match 3 Match 4 Match 5 Match 6 7 8 9 Control the cost with budget Money is provided on time Overall quality control Space availability for lease from CCIS Match Match Match Match Match 10 Approval from KFC Corporation for finance and location 11 Approval from the Faculty of Science and the City of Edmonton Match 12 Project deadline must be met Match Match 13 Collect contractor information from previous KFC project 14 All the contractor will do the qualified work without causing delay Not match Cabinet building contractor didn‟t do the qualified work, will cause delay Pointing out the bad quality work this contractor has done, give them notice that they have to clean up all the bad Ask this contractor to work overtime make sure no delay will be caused, there will be no wiring and finish the contract no later than planned due date. penalty. 14.6 Miscellaneous Project Charter Information and the Actual Prepared Plan Accordance (Match / Not Match) Differences Identification Negotiation And Reporting Corrective Action 1 New store policy, such as lower price and quickly delivery Match 2 Three months free period is given to us for setting up all the facilities Match 3 Get a layout drawing for the food court from the KFC store front design team Match 4 There is little or no impact to the surrounding environment Match