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JOHNSON & JOHNSON COMPANY

Table of Contents

Executive summary .................................................................................................................... 2

Introduction ................................................................................................................................ 4

Project objective......................................................................................................................... 5

Deliverables ............................................................................................................................... 5

Key milestone ............................................................................................................................ 5

Constraints ................................................................................................................................. 5

Assumption ................................................................................................................................ 6

Resources Requirements ............................................................................................................ 9

Acceptance Criteria .................................................................................................................. 12

Conclusion ............................................................................................................................... 12

Reference ................................................................................................................................. 13

Appendix .................................................................................................................................. 14

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Executive summary

Johnson & Johnson is specializing in microbiological testing. It tests the swimming pool

water for local authorities, commercial clubs, schools, and holiday parks in terms of

pseudomonas, e-coli, colony counts, and legionella. The company corporates with local

hospitals for laboratory bacteria analysis. They have already had 16 employees within the

company in the office in North East of England. However, Johnson & Johnson made

decision to rebuild a custom laboratory in a new base, which is approximately 1,500 sq

meters in size. Besides existing employees, a microbiologist will be employed to operate the

new one.

This report, basing on a suitable structure for this project, expresses elements for a successful

project. The report is divided into six main parts: project objective; deliverables and key

milestone; constraints; assumption; resources and acceptance criteria.

Firstly, the objective is set up basing on SMART criteria as the desired outcome of the

relocation project. Secondly, the deliverables and key milestone are demonstrated in the form

of diagram. This diagram can express the duration of the whole project (12 weeks), the

activities in sequence and their float time. The next is constraints part, which shows the

internal and external limitations the project may get. Those constraints could influence on the

achievable scope of the project. However, solutions for them will be explained in the part of

assumption-risk. Risks will be located in categorises recommended by Field and Keller

(1998) and solved according to the Risk management model.

The forth-main part is assumption. In this part, the cost is budgeted basing on bottom-up

method and bottom-up approach. The finance needed for each activity are also illustrated in

details to help the project team running the project within the cost budgeted. In addition, an

amount of money is estimated as the exceeded fund for unwanted situations. The time

planned, possible delays and it’s affects are assumed, too. One more factor included in

assumption is the quality of the project. This part suggests the project leader to make a

project quality plan, which is arisen basing on the Project control cycle.

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The fifth one is the resources requirements. Besides the finance required, which is £189,000

as the cost budgeted, the human resource is the spotlight. Human resources are broken up into

two parts: the project team members and the project manager. An effective team, which is

multidiscipline team, will be advocated depending on the Belbin’s team roles. In term of

requirements for the project manager, his roles and skills are discussed visibly by showing

the suitable leadership style, leadership approach and ways of motivation (Maslow’s

hierarchy of needs) that he should follow in order to maintain the effectives of the team.

Moreover, the communication considered the vehicles of transferring within and outside the

project team, is given out in the table form added in the appendix.

The last part of this report is the acceptance criteria. This part is built up depending on the

four factors: cost, time, quality and goal. Furthermore, the improvements in relationships,

satisfactions of people involved in the project and experiences are criteria suggested.

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Introduction

A company specializing in microbiological testing of swimming pool water quality, Johnson

& Johnson, decided to relocate the office from the North East of England to a new base. The

existing staffs will transfer from the old to the new base, which is approximately 1,500 sq

metres. This report, prepared by the project manager, will outline the activities required to

manage the relocation project successfully.

As a formal one, the report should follow the feasibility life cycle suggested by Burke (2003).

That means the four stages, which are concept, design, implementation and commission must

be pointed out obviously. However, “there is no single life cycle that applies to all projects”

(Field and Keller, 1998). Besides, the fact is that there have been many types of project life

cycle and project structures such as Five phase model (Weiss and Wysocki, 2007),

Development life cycle (Jordan and Machesky, 1990), Prototyping life cycle (Park, Chae, and

Kang, 1991), Project life cycle (Charvat, 2003) and Project scope model (Crawford, 2007),

etc. Hence, this report will be presented in a different structure rather than the project life

cycle suggested by Burke (2003). Nevertheless, all elements within the project life cycle

(Burke, 2003) are included: the project objectives, estimation and analysis of cost and time,

the project team, requirements for the project manage, etc. Besides, the project feasibility is

guaranteed for the project to be done successfully. This structure is also supported and

suggested by many authors and associations such as ISB (Information Services Board of

America), the book named “PMP Project Management Professional Exam Study Guide”

(Heldman, Baca, and Jansen, 2007) and TBS (Treasury Board of Canada Secretariat).

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Project objective To relocate completely the laboratory within 12 weeks at the cost of £ 189,000.

Deliverables - Laboratory equipments

- Office equipments and stationeries

Key milestone - Preparation for the relocation is done completely in 11 days

- The people involved in the project are authorized, the moving standard is installed

and the package are approached for the relocation within 14 days

- All works for relocation must be done in 45 days

- The electricity, water, local requirements and other services should be checked and

verified in 2 weeks

Constraints Constraints include any internal or external restrictions that may affect the achievable scope

of the project (Field and Keller, 1998).

In term of internal project constraints, the project may not be done on time and hence the

fund can be increased. However, the project leader can base on the project duration diagram

(refer appendix 1) to control the delay within allowed days (slack time) so that activities

delayed can not influence on the whole project. This one may also cause the second

constraint, which is lacking of resources in both of human and finance (discussed in

assumption: risks). The financial objective could be affected by this, too. This is a serious

internal corporate constraint. However, the internal constraints causing risks that the project

team can control and reduce. Hence, the project leader can categorize these constraints into

types of risks in order to give out suitable solutions (discussed in assumption: risks).

The second one is external project constraint, which the project team and the company can

not control at all. That can be national or new local laws and regulations. As the part of

assumption risks above referred, although these constraints can not be influenced by the

company or the team, it could be reduced by outsourcing person who understand legal to

check before executing the project plan (refer appendix 2).

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Assumption

Cost:

In order to estimate the cost for the project, the project team of Johnson & Johnson can use

the Bottom-up method and Bottom-up approach. That means personnel cost from each

activity is estimated first. For instance, in order to check and get verification of the local

government for a new laboratory, a specialist from an authorized office must be hired and the

fee is £5,000. The next is to calculate the total direct and indirect costs for each activity such

as the insurance for the movement, transportation cost or cost for registration of the internet,

telephone services (refer appendix 3), and then the total cumulative cost is the cost of the

whole project.

Time:

The essential activities are shown in sequence in the appendix 2. Basing on that diagram,

starting on 29 June 2009, the project can finish on 14 October 2009 (working 5 days per

week). To finish the project on time, each activity in the critical path must be completed on

time. Besides, activities such as informing staffs, notes for dangerous chemical equipments,

insurance for relocation or authorizing supervisors can be delayed within determined time

(refer appendix 1) without affecting the duration of the whole project.

Quality:

Quality is one of four elements to ensure the uniqueness of a project (quality, budget, time

and goal) and it costs less to get the job done right first time because the cost of re-work may

be twice or triple the cost of original job (Field and Keller, 1998). In order to control the

quality of the project, it is necessary for the project manager of Jonson and Johnson to make a

Project Quality Plan. The project team leader can base on the Project Control Cycle to do it.

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Project Control Cycle (Field and Keller, 1998)

In the Baseline plan stage, the project team must estimate and foresee whether the project can

follow the plan set up or not. That means the risks and their solutions have to be identified

obviously (refer assumption: risks). After that, the project team leader should authorize and

empower the staffs for each activity. The people involve in the project may be divided into

small groups with supervisors: group to pack and move equipments, group to supervise the

progress of checking water and electricity of the new location or group of specialists to check

equipments after movement, etc. The next step is to expedite and monitor. In this step, the

project team leader and supervisors must control and monitor activities to ensure the time

bound of them (basing on the diagram in appendix 1, 2) at determined cost (refer appendix 3)

and quality standard (refer acceptance criteria). While expediting and monitoring, the project

team will get difficulties such as conflicts among team members or the delay in an activity,

etc. Hence, the project manager must make changes in the way of working and controlling.

After that, it is essential to review and evaluate the work done, get experience and forecast

the failures may happen. Then, the reports must be circulated and new decisions are made.

After this stage, some that are different from the original plan may occur. Thus, revising

update is necessary and the project team must review the baseline plan again.

Following all of the stages above can help the project manager to control the quality of the

project in planning, integrating, leading, controlling, communicating and motivating staffs

through the whole project.

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Risks:

Risk is what the project team of Johnson & Johnson may get at any moment of the relocation.

It could have a positive or negative outcome on the project (Burke, 2003). The project team

leader can apply the Risk Management Model (refer appendix 4) to manage it. That means

the risks must be identified first, they should be quantified and then the responses must be

raised up. In this project of relocation the laboratory, the project team may possibly obtain

risks from government, finance, human resource and delay.

The project here is to relocate an office. That means in the new location, the local authority in

building standard or registration of new office may be different. However, this is the risk

acceptance type. If the office gets troubles with laws, it can not start working and hence, the

cost for this risk can be quantified basing on time delayed of the project. However, the project

team can reduce this type of risk by authorizing works: the project team leader should

empower the staffs who understand the legislations for him/ she to check the required

regulations and to assure the allowances from government, a specialist should be hired to

check and verify the standard of the office after movement.

In term of financial risk, it is the cost exceeds. This risk can be reduction by controlling. The

project leader must control cost for each activity and the project should have a fund for the

case of extending cost (refer appendix 3).

The human resource risk is also an important element. There are some people may not work

until the end of the project or their skills are not enough for relocation (e.g. skills in moving

chemical equipment) or conflicts among team members. However, this risk can be avoided.

Consequently, the manager must ensure the skills of people outsourced (require the guarantee

from outsourced companies), build up effective team, train employees involving the

relocation and supervisors should monitor and motivate relationships of people (refer

resources requirements).

The next risk is that one or some activities may delay that influence on the whole project.

This risk can be forecasted and hence, it can be transferred by sub-contracting to specialist or

outsourcing. In order to do this, the project manager must prepare the resources allocation

carefully.

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Basing on the Risk Management Model, the project manager can identify risks and foresee

their influences on the project to respond rightly. Besides, the Prioritizing Potential Risks

(refer appendix 5) can be applied to assessing risk to see the levels of risks influencing on the

project. Additionally, by dividing risks into types (avoidance, reduction, transfer or

acceptance, etc); the project manager can understands how to make suitable responsibilities.

Resources Requirements

Finance:

The budget cost for the whole project is £189,000 (refer appendix 3 and assumption: cost)

Human resource:

Field and Keller stated that managing people is the most important element of project

management (Field and Keller, 1998). Hence, in order to manage the project successfully, the

leader of the project has to build up an effective team. In this case, the company has to

relocate the office. Hence, the multi-disciplinary team is the most suitable one. That means

the team gathers individuals from different functions. Multi-disciplinary team can help the

project team using the wide context of members’ tasks. Besides, they can generate solutions

and get suggestions by integrating disparate ideas. One more advantage by using this type of

team is that the co-operations and relationships among members through different functions

can be improved.

Moreover, the members within the team must be identified obviously. Johnson & Johnson

can apply the Belbin’s team roles here. That means within the project team, there should be

eight types of members: PL (plant) is an innovator, who can point out new ideas for the team

to approach the project creatively and effectively. RI (resource investigator) is enthusiastic,

quick off the mark extrovert, who is good at exploring and reporting back on ideas,

development or resources outside groups. In this case, because the company has to outsource

the movers and checkers, RI is so important. CO (co-coordinator) is mature, confident,

delegate well and able to cause people to work towards shared goals. Hence, the CO can be

the team leader. SH (shaper) is the one who can challenge the team to improve. ME (monitor

evaluator) evaluates ideas that PL gives out that can make the project plan more analytical.

TW (team worker) is a supportive member who prevents interpersonal problems arising

within the team and thus can allow all team members to contribute effectively. IMP

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(implementer) has practical common sense and good deal of self-control and discipline.

This member is essential for this team because of his reliability and capacity in application.

CF (completer-finisher) has high degree of accuracy and he is valuable where tasks demand

close concentration. The last is SP (specialist), who is an essential member here because he is

the person who has technical skills and specialized knowledge. Hence, he can define and

guarantee special laboratory equipments.

Skills and style for the project manager:

The project leader of Johnson & Johnson can apply the activity-based approach, action-

centred leadership and style of consultative autocratic (discuss with team).

The fact is that the movers are outsourced. Hence, they may lack of experience in moving

laboratory equipments. Consequently, the leader, who understands the nature of the company

deeply, has to make demands for members. However, the team members should know the

problems during the project. By using consultative autocratic style, it is necessary for the

leader to discuss with the whole team difficulties the whole team may get and guide members

the ways to solve. Besides, basing on the action-centred approach, the project leader can base

on three elements: task needs, individual needs and group needs to delegate works. As a

result, the leader must see obviously the right priority that should be given to each of the

three sets of needs. By using the leadership style and approach above, the project leader must

fulfil his managerial roles.

Field and Keller (1998) pointed out managerial roles that can make a project manager to be a

technical expert and a generalist. In this case of Johnson & Johnson, because the company

has to relocate the office, it is essential for the project leader to generate activities and

understand the technical terms. These two roles, with integration skills and knowledge of

organization, are basic skills for a project manager (refer appendix 7) (Richman, 2002).

The first is judgement. That means the project leader must know technical issues and so can

apply judgement skills. This one with the second, technical skills, enables the leader to

involve in the project process directly guaranteeing the safety of laboratory equipments and

project quality. Besides, an effective project manager requires many non-technical skills

(Field and Keller, 1998) such as team building, negotiation, coordination, sense of people’s

awareness and abilities in solving personalities’ problems. Those are human resource

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management skills (referred in people and integration skills of Richman’s diagram)

(refer appendix 7). The project leader here can achieve most of them by using motivation

theories. There are many motivation theories like Maslow hierarchy of needs, ERG theory

(Alderfer), Two factors theory (Herzberg) or Achievement motivation theory (McClelland).

Although there are many motivation theories, according to Mullins (2005), they have similar

points (refer appendix 9). Thus, in this case, the project manager of Johnson & Johnson can

use Maslow’s hierarchy of needs to motivate team members.

Basing on Maslow’s theory, the project leader should satisfy the needs of team members

according to the hierarchy of relative pre-potency arranged (refer appendix 8). For instance,

salaries for employees to purchase meals and drinks are essential (physiology needs).

Besides, the good working condition and security are necessary (safety needs). The fact is

that these two levels are satisfied by the salaries budgeted and the insurance for the project

(refer appendix 3). The third level, social activities can be satisfied if the leader can build

good relationships among members and between employees with people outsourced. The

esteem of people will be supplied when the project leader give to members high status job or

recognition from others. The last one, self-actualization, which is the development and

realization of one’s full potential (Mullins, 2005), can be met if people have challenge,

creativity in job and the project leader can build strong ethics within the team. Besides skills

above, the project manager of Johnson & Johnson must have project management skills,

which include ability in estimation, budget plans, report analysis and project executive.

In general, the management style, roles and skills above are suggestions for the project

manager of Johnson & Johnson to follow. In addition, the project leader should take care of

communication, which is the vehicle transferring information within and outside the project

team (refer appendix 6). However, during the project, he must be flexible to adapt the reality

and make necessary changes.

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Acceptance Criteria

The criteria of the project could be divided into four main elements: goal, cost, time and

quality. That means the objective of the project must be achieved as “To relocate completely

the laboratory within 12 weeks at the cost of £ 189,000”. In term of project quality, it can be

separated into two terms: all equipments have to be protected completely and further results

towards the project team and the company. The project is successful when people involve in

the relocation satisfy with their works done. Besides, they should realize that relationships

among employees within Johnson & Johnson and among employees with people outsourced

are improved. In addition, each member of the team as well as the whole company can get

valuable experience from the project they did. If the project gets all criteria above, it is

successful.

Conclusion

This report does not follow the project life cycle. However, it can ensure the best use of the

company’s resources and feasibility. The project objective is set up basing on SMART, the

key milestone can help the team to follow schedule to finish the project on time. Besides, the

quality, time, cost and risks that may incur in the project are shown obviously with alternative

solutions. A model of an effective team for Johnson & Johnson with roles and essential skills

for the project manager are discussed in details in order to build strong human resources for

this project. Using this report, the relocation project of the laboratory can be executed

successfully and Johnson & Johnson could get experience for further use.

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Reference

1. Belbin, M. (1981). Management Teams. London, UK: Heinemann.

2. Bogardus, A. (2007). PHR/SPHR: Professional in Human Resources Certification Study

Guide . Indiana: Canada.

3. Burke, R. (2003). Project Management, Planning and Control Techniques. San

Francisco, US: John Wiley and Sons.

4. Charvat, J. (2003). Project Management Methodologies. New Jersey, US: John Wiley

and Sons.

5. Crawford, J.K. (2007). Project Management Maturity Model. New York, US: Auerbach

Publications.

6. Field, M., & Keller, L. (1998). Project Management. London, UK: Thomson.

7. Heldman, K., Baca, C. M., & Jansen, P. M. (2007). PMP Project Management

Professional Exam Study Guide. 2nd

ed. Indiana, Canada: Wiley Publishing.

8. Herzberg, F., Mausner, B., & Snyderman, B. B. (1986). The Motivation to Work. 2nd

ed.

New York, US: John Wiley and Sons.

9. Information Services Board (2009) “Project Initation Examples” Project Management

Framework. http://isb.wa.gov/tools/pmframework/examples.aspx [accessed 1 January

2009]

10. Jordan, E. W., & Machesky, J. J. (1990). System Development: Requirements,

Evaluation, Design and Implementation. Boston, US: PWS-Kent Publishing.

11. Miner, J. B. (2005). Organizational Behavior I.: Essential Theories of Motivation and

Leadership. New York, US: M.E. Sharpe.

12. Mullins, L. J. (2005). Management and Organizational Behaviour. New Jersey, US:

Prentice Hall.

13. Park , E. K., Chae, K. L. , & Kang, C.S (1991) “The structured prototyping life cycle

model for systems development management” IEEE/ACM International Conference.

Washington DC, U.S. (30 September- 2 October).

14. Richman, L. (2002). Project Management Step-by-Step. New York, US: AMACOM.

15. Treasury Board of Canada Secretariat (2009) “Project overview” Project Charter

Template. http://www.tbs-sct.gc.ca/emf-cag/project-projet/documentation-

documentation/template-modele/template-modele02-eng.asp [accessed 1 January 2009]

16. Weiss, J. W., & Wysocki, R. (1994). 5-Phase Project Management: A Practical

Planning and Implementaion Guide. Reading: Addison-Wesley.

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ID Task Nam e Duration Start Finish

1 Allocate human resources 3 days Mon 6/29/09 Wed 7/1/09

2 Informing s taffs 1 day Thu 7/2/09 Thu 7/2/09

3 Moving standard 1 day Thu 7/2/09 Thu 7/2/09

4 Notes for som e dangerous chemical equipm ents 1 day Fri 7/3/09 Fri 7/3/09

5 Insurance for relocation 2 days Thu 7/2/09 Fri 7/3/09

6 Find the company to move 3 days Thu 7/2/09 Mon 7/6/09

7 Prelocation m eeting 3 days Tue 7/7/09 Thu 7/9/09

8 Supervisors authorized 1 day Thu 7/2/09 Thu 7/2/09

9 Moving standard ins talled 3 days Fri 7/10/09 Tue 7/14/09

10 Package 7 days Wed 7/15/09 Thu 7/23/09

11 Relocation 45 days Fri 7/24/09 Thu 9/24/09

12 Checking electricity 4 days Fri 9/25/09 Wed 9/30/09

13 Checking water 3 days Thu 10/1/09 Mon 10/5/09

14 Registration for internet and telephones 3 days Tue 10/6/09 Thu 10/8/09

15 Verified by local governm ent 4 days Fri 10/9/09 Wed 10/14/09

2 days

1 day

1 day

5 days

27 30 3 6 9 12 15 18 21 24 27 30 2 5 8 11 14 17 20 23 26 29 1 4 7 10 13 16 19 22 25 28 1 4 7 10 13 16

June 2009 July 2009 Augus t 2009 Septem ber 2009 October 2009

Appendix

Appendix 1: Relocating the laboratory of Johnson & Johnson to a new base

Legend:

Critical path

Non-critical path

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Appendix 2: Milestone for the project

Pre-Planning 11 days

Allocate human resources for the relocation 3 days

Inform staffs 1 day

Moving standard (equipment protection) 1 day

Notes for some dangerous chemical equipments 1 day

Insurance for relocation 2 days

Find the company to move (outsource) 3 days

Approaching the relocation 14 days

Pre-location meeting 3 days

The supervisors authorized 1 day

Moving standard installed 3 days

Package 7 days

During the relocation 45 days

Team assembly and briefing

Specialist team (for chemical equipments moving)

Procedure checklists followed

Re-installment at the new location

Sign off the relocation

After the relocation 14 days

Hire specialists to check

Electricity 4 days

Water 3 days

Cables and Internet services 3 days

Local requirements 4 days

Total duration

84 days

12 weeks

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Appendix 3: Cost budget for the project

Appendix 4: Risk Management Model (Field and Keller, 1998)

Activities Cost (£)

Outsourcing movers 30,000

Outsourcing checkers 10,000

Transportation 10,000

Insurance 50,000

Services registration 2,000

Inform stakeholders 5,000

Salaries for staffs involved the relocation 20,000

Equip and decorate the new office 50,000

Other 12,000

Total 189,000

Risk Management

Plan and Control

Document Risk

Management Plan

Develop

Response Quantify

Risk

Identify

Risk

Define

Objective

s

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Appendix 5: Prioritising Potential Risks (Field and Keller, 1998)

IMPACT

ABILITY TO INFLUENCE

Appendix 6: Communication for the project team

Task status Audience Frequency Responsibilities Communication type

Human resources

allocation completion

Project team

Champion

End of task

Project manager

Meeting

Package

Project team

Daily

Project manager

Supervisors

Specialists

Email

Laboratory relocation Project team Weekly Project manager Telephone

Relocation completion Review board

Project team

End of task

Project manager

Meeting

Champion

Checking completion

Project team

End of task

Project manager

Supervisors

Specialists

Email

Project completion

Project team

Champion

End of project

Project manager

Meeting

High impact:

Low ability to influence

High impact:

High ability to influence

Low impact:

Low ability to influence

Low impact:

High ability to influence

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Appendix 7: Diagram of Basic Skills (Richman, 2002)

Appendix 8: Maslow’s hierarchy of needs

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Appendix 9: Similar points among motivation theories of Maslow, Alderfer and Herzberg

(Mullins, 2005)

Maslow Alderfer Herzberg

Hierarchy of Needs ERG theory Two-factor theory

Physiological

Existence Hygiene factors

Safety

Relatedness

Love

Esteem

Self-actualization

Growth Motivators