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In the project environment, cause-and-effect relationships are almost always readily apparent. Good project management will examine the effect in order to better understand the cause and possibly prevent it from occurring again. Below are causes and effects. For each one of the effects, select the possible cause or causes that may have existed to create this situation:
Effects1. Late completion of activities2. Cost overruns3. Substandard performance4. High turnover in project staff5. High turnover in functional staff6. Two functional departments performing the same activities on one project
Causesa. Top management not recognizing this activity as a projectb. Too many projects going on at one timec. Impossible schedule commitmentsd. No functional input into the planning phasee. No one person responsible for the total projectf. Poor control of design changesg. Poor control of customer changesh. Poor understanding of the project manager's jobi. Wrong person assigned as project managerj. No integrated planning and controlk. Company resources are overcommittedl. Unrealistic planning and schedulingm. No project cost accounting abilityn. Conflicting project prioritieso. Poorly organized project office
(This problem has been adapted from Russell D. Archibald, Managing High-Technology Programs and Projects, New York: John Wiley, 1976, p. 10.)
Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..
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