a) Explain how and why a theoretical approach to the management of this project is useful. You should propose and justify the theories taught to you in your lectures.

This case scenario talks about Joyful's concert organisation at Lincoln Cathedral in October 2008. May we consider this as a project? However there is no a universal definition of project, we could consider it as: a unique undertaking with a concise start and end date, a budget and resource allocation, with defined outcome and owner (McManus, 1996). It is unique (non-repetitive) and there is an identified outcome (the concert celebration). We could say the project began in January 2007, when it started first team project meetings of The Eternal Rock Committee (TERC), and it will likely finish in October 2008 when the concert will be done. This group may be defined as the owner. The treasurer has carried out a budget and there will be consumption of resources if the concert finally is carried out. The informal TERC leader Pat has become the project management of this project. How can project management approach help her? The purpose of project management is to foresee or predict as many of the dangers and problems as possible and to plan, organize and control activities so that projects are completed as successfully as possible in spite if all the risks (Lock, 2003:3). Predict dangers or problems is likely the most important thing that a theoretical approach can bring in this case. Pat and her group should be sure that they can make a viable concert with the resources that they can give or get. That should imply a risk analysis. They should analyse which are the requisites and the risks related to this project and decide how manage them, if they can really charge with them.

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For example, ICOM model (see annex) could be the first step in gaining and understanding of the processes of this project and the accompanying managing that we will suggest should be taken place (Maylor, 2005:24). Or the 7-S model (see also annex) could provide a comprehensive set of issues that need to be considered, and ensure that project manager will know where to look to find sources of help if novel situations arise (Maylor, 2005:32). Another point that may be useful through a theoretical approach could be that it can help to plan, organize and control activities at the beginning and during all the process. It is common in most authors define project life cycles or structured methods for managing projects, as Maylor’s 4 phases (definition, design, delivery and development), or PRINCE2’s eight key processes. Nevertheless, authors like Quinn, Mintzberg or Stacey doubt about projects based on logical, rational and planned process. Real projects are usually messy, complicated affairs. The manager grappling with that awkward reality is right to be sceptical of neatly packaged solutions (Boddy, 2001:9). Mintzberg (1994) defines three fallacies of strategic planning: reality plans rarely unfold as intended, effective strategists know and abstract from the daily detail (so it is after not before), and formalisation discourages insight, creativity and synthesis, all required in strategy. Against the logic of planned projects they propose the idea of emergent projects. Realized strategy always will be formed by some intended strategies and another emergent -unintended- strategies (Boddy, 2003:49). Why do we focus on planning if the experience shows us it will be changes? Control this changes taking account the initial aims is one of the reasons for explicit management of scope (Maylor, 2005:80). The results could be disastrous depends on the level of risks we have accepted. Making a scope BUS3054 - Business Project Management

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Pat and her group should define, plan and control the project. This will help them to clarify ideas, roles and responsibilities. Moreover, the Scope Management should ensure that all the parties to the project are agreed what it is the project is going to do (Maylor, 2005:80). This will likely have special importance is this case. Robbie, Heavenly manager, needs to ensure some aspects that imply risk for him. So, he shall probably put some conditions in the contract to clarify aspects as placement, characteristics of sound and lights, advertisement, previous tickets sold, minimum payment for cancellation… In the same way will act Lincoln Cathedral. Its managers will not borrow the Cathedral to everybody. They shall trust in TERC aims, of course. But also they shall want to ensure their risks, particularly Cathedral values. They will likely demand concert insurance, a high level of security… Finally, we have to take account that this case is a special event organise for a non profit group. They are probably moved for getting funds to their organisation or for cultural aims. They are not professionals but the risks are the same. They should take attention to participative approaches because these are consistent with democratic values of non profit organisations. In this case the decision path should always be more participative than in a hierarchic and lucrative organisation.

b) Analyse what Pat should do next in order to clarify her situation in order to move the project forward. Pat feels uncomfortable managing this project. She carries too much responsibilities although she doesn't have a official position as project manager. Furthermore she works full time as teacher at the same time. Several team members are not available for consultation, treasurer budget appoints out about £7,000 of losses and quite recently have been signed BUS3054 - Business Project Management

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contracts with the band, Cathedral authorities and stage, sound and lighting company. She has reasons to worry. TERC group signed contracts with main stakeholders. It means they believed in Pat and her group and they were convinced about the project. I have to suppose that Pat and her group developed something similar to project information document (PID). And so, they discussed and planed more or less about the project although there is no integrated project plan in a computer package. All they previously elaborated will serve along the project. First, Pat should clarify team availability and support. What happened with the missed members? Are they available? Do they carry on the project? If not, who will give their responsibilities? Can she hold more tasks taking account her job? This project is completely based on TERC group will. Pat has to push strong but all the group should participate being co-responsible. She has to trust in her team and vice versa. Therefore, Pat will first be sure they will continue having enough human resources to follow their plan. She likely made a prevision of time occupied in this project and she considered she could with all. But, what will she do if the project requires more of her time? She should think in this scenario and evaluate which may be her time complaint. Budget is second big topic. However they perhaps had already this money and they aim to spend in this concert, I should suppose a loss of £7,000 will not be a good scenario for TERC. Most non-profit groups organise events to fund themselves (Gray & Elsden, 2000). Then Pat and her group will probably want to gain a profit or at least they will lost anything. This budget deficit should not be a surprise. I want to believe TERC group had made a budget before they signed the contracts. So, Pat and her colleagues had already planned to continue working to improve financial outcomes. They can look for new fund sources. They can go up ticket price BUS3054 - Business Project Management

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if they consider demand will be inelastic, this is, Joyful followers are very loyal. They can think in include drink and food services and merchandising shop on concert day. But the most probably seems to be they shall look for sponsors. They will likely knock the door of several public departments and private companies. Either, cultural or youth departments of County or Town Council, may be interested on subsidize this event. Some private companies in Lincolnshire may want to sponsor the concert (music shops, youth clothes stores...). And also, other companies what make products related with the Joyful's Christian message (Purashop1, Christian publishers, other Purashop's advertisers...). Beer companies are suddenly the main sponsor on music events, but this is likely incompatible with TERC and Cathedral holders ethics. Another way may be reducing costs. Pat and her group can review spends and decide which points they can squeeze or remove. Focus on cost implies changes in trade-off decision. This is, in the prioritisation of the objectives of a project (Maylor, 2005:62). In this case, spends reduction would mean quality decrease too. Project team should think about choices on quality criteria taking account they will depend on achieved funds. A check point will be needed at the final of this fund searching phase. In that moment, TERC group should definitely decide final spend they can support. Therefore, it will mean the quality level they can bring. Nevertheless, losses risk has no disappeared. Lack of funds may continue happening. Risk analysis is the third and final topic that Pat and her group should clarify in order to move the project forward. Once team and budget are ready they should concentrate on risk area. Most dangerous risk is cancellation. It may occur the band will not be available on date because 1 Purashop is a virtual shop where people can pre-book tickets for Delirious concert BUS3054 - Business Project Management

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their members have been kidnapped in Colombia, singer has aphonia or guitar player falls down from palm tree2. This and other dangers (accidents and incidents during the concert...) should be avoided on contracts and assurances. Risk is related uncontrolled variables and they cannot assure all the risks. Pat and her group will assume risk until the concert date because they can't know previously final number sold tickets or final revenues. However, they can make a forecast from anticipated ticket sells, media reaction... Pat should put another check-point some weeks before the concert in order to decide what they do, specially on loss forecast scenario. Once contracts signed, what is the price that TERC would want to cancel? Is it bigger or smaller than £7,000 (or another forecast loss amount)? Anyway, they should decide what they do and how they share risk inside the group if finally losses are a fact.

c) From Robbie's and the band's perspective, explain how success will be achieved in this project, with specific reference to measures of performance and conformance and any other success criteria Robbie is an experienced professional musician who works to Heavenly company. Joyful?, Robbie's five piece rock band, is a Christian pop band. Joyful band are making a world tour3. Next month are playing in India, two weeks before Lincoln concert in Colombia. However this approach is limited, project objectives usually start on iron triangle -time, cost, quality-. We will consider whether there is a need to consider the further element of flexibility and whether a wider range of

2 Rolling Stones argued this reason to cancel their tour at Spanish places two years ago. 3 Some data have been gave from www.delirious.co.uk BUS3054 - Business Project Management

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measures would, in fact, be beneficial (Maylor, 2005:60). This case, as we will see, is not an exception. Conformance is a measure of the reliability required of the project system, being the most important for measuring project success. We can define conformance of a project from three main questions: Can the project be guaranteed to deliver on time? Will the project finish within budget? And will the project meet the specified level of quality? (Maylor, 2005:61). Time conformance will be got if the concert is carried out on programmed data. Cost conformance will mean there is no surprise towards cost budgeted (allocation, transport, sound materials...). And quality conformance will depend on stage, music and lighting standards contracted. Usually these standards are included in the contract with organisers. Thus, Pat and her group shall carry with these. Other element of conformance may be audience. Bands usually has a caché. This is the amount of money needed to contract them. This money depends directly on audience what band can collect. Organisers has paid for a level of audience. Therefore, audience conformance will be got if Joyful? will be able to call enough spectators towards their caché. Performance is related with excellence. Maylor (2005) defines it again from three questions: What is the shortest possible project duration? What is the lowest cost? What is the highest level of quality that can be achieved? Time performance has no sense in this case. Cost performance is doubtful. It depends on Heavenly criteria. I think Robbie does not look for minimum cost, but also a cost that ensures a good work environment. Joyful's components likely prefer travel on first class and rest on comfortable hotels.

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Quality performance has sense in this case. Getting highest level of quality possible should be Robbie's task. Furthermore, he have already ensured several quality standards as I explained above. Quality in music industry has a lot of sides. In quality conformance, Robbie should ask for standard as m2 of stage, potency of sound and lighting... These standards can be in fact a lot of things either agreeable or disagreeable. Thus, Robbie will try to achieve the best level of quality taking account real context, often same day of the concert. Quality performance will be carried out from Robbie's experience, his knowledge of each Joyful's players, controlling and reviewing work made by stage, sound, lighting company, putting backstage sound technician... Further elements of performance may be merchandising revenues, audience and media impact. One important sources of revenues on music industry is bands merchandising. However sales by internet are every time stronger, direct sales in concerts continue being an indicator about business capacity of one band. Consequently, merchandising revenues performance would mean to try to sell as band products (cds, dvds, t-shirts,...) as possible immediately before, after and during the concert. Audience performance will mean to collect maximum spectators number as possible. This is, achieving the full capacity of the venue, 2000 people in this case. Media impact would be related with repercussion on the media. Media impact performance will be defined as the maximum number of times that band appears on the media. Robbie, Heavenly and the band should aim to maximise media repercussion.

Annex

Annex 1: ICOM draft BUS3054 - Business Project Management

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Annex 2: 7s draft

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7S model* Element*

Description*

Strategy

Contact to Joyful manager and Cathedral administrators to deal The high-level requirements and data. requirements of the Ask for Council permission project and the means to Looking for sponsors achieve Prepare an advertisement plan ...

Structure

The organisational arrangement that will be used to carry out the project

Systems

The methods for work to be designed, monitored and controlled

Meeting every 3 weeks, budget...

Staff

The selection, recruitment, management and leadership of those working on the project

Project team: Pat as project manager, treasurer, other TERC components...

Skills

The managerial and technical tools available to the project manager and the staff

Motivation, common support, voluntary work...

Style

The underlying way of working and interrelating within the work team or organisation

Participative (non lucrative organisation)...

Individuals and groups

Stakeholder who have an interest in the project process or s outcome

Draft to TERC project

Probably every person or group of people take responsibility in one actuation area or task (treasury, advertisement, ...) and Pat coordinates all.

Project team (TERC), Band, Cathedral staff, Council and other Administrations, Assurance company, Pura shop (anticipated sales), Sound, stage, lighting company, advertisement company and other providers.

(*) following Maylor's (2005:33) scheme

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Bibliography Boddy, D (2001), Managing Projects: building and leading the team, Pearson Education Gray, J.F and Elsden, S. (2000), Organising special events for fundraising and campaigning. Directory of Social Change. Kerzner, H (2000), Project management : a systems approach to planning, scheduling and control, 7th Ed., Wiley Lock, D (2003) Project Management, 8th Ed., Gower. Maylor, H. (2005) Project Management, 3rd Ed., Financial Times/Prentice Hall McManus, J (1996) The role of Project Manager. Cited in Business Project Management class Watson, M. (2002) Managing smaller projects: a practical guide. Project Manager Today Publications.

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