Apache Case Study
Apache Metals, Inc. Definition of the problem: The main causes of the Apache is having are as follows: 1- The late interfering of the Project manager “after the contract is signed” 2- The project leaders have 10 projects which make them: a. Over loaded, b. Cannot interact with the client directly c. Cannot follow up coordination problems d. Cannot have time to suggest or modify the end product according to quality or client requirements e. Cannot control cost over run – Due to the miss communications with the client Apache should have lost many opportunities for new work The new approach Apache was taking can help Apache to have a good project managers but major points should be taken into consideration in developing the new company methodology: 1- Giving authorities to the project managers to control costs 2- Training and authorizing the PMs to work as a company representative to make deals for new work with the same client 3- PMs should be aware of the full process of the manufacturing of the product The PMs should have experience: – The product Manufacture 2- The business development 3- Customer satisfaction 4- Cost Control 5- Project planning and Monitoring 6- Risk management To fulfill all the above the company culture should be modified to be project based so there is team for each project guided by the project manager and the team / PM will be rewarded for the savings or panelized for the cost overrun. The project managers should be required to bring in a fixed amount of contracts to achieve a yearly target preset by the management for their job secure and bonus.
IN order to achieve excellency we should allow for a full life cycle for each PM giving him the full authority guided and supported by the company management and then monitor the cost and time impact. By the end of full 3 cycles (the time 3 full project take place) a decision should be taken by the management taking into consideration: 1- The cost and time impact for the 3 cycles 2- The performance of the project managers 3- The quality of the products 4- Client satisfaction 5- New work which came in due to these pilot projects The decision should be a clear methodology of how Apache should run from now on.