Transcript Silver Fiddle Case Study - Stacey R. Cook MBA Portfolio

Presentation By: Stacey R. Cook
March 25, 2013
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Silver Fiddle Construction Background
The Customers
Project Statement/Objective
Requirements of the Project
Milestones
Technical Requirements
Limits and Exclusions
Risk Assessment
Customer Review
Examples of What Could Go Wrong If a Proper
Risk Assessment is not conducted
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Silver Fiddle Construction (SFC) specializes in
high quality customized homes
General Contractor operation
Part Time Book keeper
SFC tentatively scheduled to complete 11
houses this year
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The Czopeks hired SFC to build their “dream
home”
SFC has promised the Czopeks that the final
costs would be $450,000- $500,000
The home could take up to 5 months to
complete
The Czopeks would be willing to have the
project delayed in order to save costs
Strengths:
Opportunities:
Experience
Possibility to establish new
customers if current customers are
satisfied
Flexible Customers
11 other homes to complete
Weaknesses:
Threats:
Hiring other contractors for other
trades
Over extending finances
Part time book keeper
Time constraints
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“To construct a high quality custom home
within 5 months at a cost not to exceed
$500,000.”
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Upon completion of the project SFC will be
able to provide:
◦ A 2,500 square feet, 2.5 bath, 3 bedroom, finished
home
◦ An insulated and finished garage
◦ Kitchen appliances including range, oven,
microwave, and dishwasher
◦ High efficiency gas furnace with a programmable
thermostat
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The Permits for the Home were approved July
5th
The Foundation for the home was poured July
12th
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The home must meet local building codes
Windows and doors must pass NFRC class 40
energy ratings
Exterior wall insulation must meet
requirements
Ceiling insulation must meet requirements
Structure must pass seismic stability codes
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Original Blue prints were designed by the
customer
Owner is responsible for the landscaping
Refrigerator is not included with the kitchen
appliances
Air Conditioner is not included, but the house
is prewired for it
SFC reserves the right to contract out services
Risk Event
Likelihood
Impact
Detection
Difficulty
When
Time
Constraints
3
5
1
2 months
after ground
breaking
Exceeding
budget
2
5
3
3 months
after ground
breaking
Hired
Contractors
3
5
1
3 months
after ground
breaking
Wiring of AC
unit (non
existent
unit)
3
5
1
4 months
after ground
breaking
Customer
Satisfaction
3
5
1
After project
is complete
Risks
Response
Contingency
Plan
Trigger
Responsible
Time Constraints
(Schedule)
Mitigate: Review
schedule daily with
those involved.
Hire more
resources
3 Months before
deadline
Project Manager
Exceed Budget
Mitigate: Find
efficient
contractors that are
within a reasonable
price
Set aside
emergency fund
aside for the
construction or
contractors
Budget exceeds
$300,000
Book Keeper,
Project Manager,
and President
Outside contractors
not working on
assigned tasks
right away
Mitigate: Before
starting the
construction
project, ensure
contact is made
with additional
contractors
Have at least two
sets of contractors
for each specialty
required
Before ground
breaking to start
construction
Project Manager
Technical risks with
the wiring for the
AC unit
Mitigate: Test the
wiring with a unit
even if it is not for
the house itself
Increase the team
size to resolve any
issues with the
wiring
Knowing that there
will not be a unit
placed in the home
right away after
wiring
Project Manager
and contractor
Customer
Satisfaction
Mitigate: Customer
Service follow up
after project
If customer is
unhappy find out
why and how to
Complaints from
the customer
The potential for all
involved with the
project.
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“Bolo” and Izabella will be inspecting the
home once the inspectors have gave the final
say so if the safety and regulations have been
complied with.
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The Cronacher remodel disaster
The Appellate court ruling
8 Lawsuits filed in Pennsylvania for violating
Home Improvement Protection Act
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Project Managers and their Project Teams
really need to ensure that the customer is
satisfied, not just for the company to succeed
but to be able to decrease the likelihood for
potential lawsuits!!!