MT5

Table Of Contents Title…………………………………….Slide #•Team Members…………………………3•Scope Description…………………….4•Miltech Objective……………………..5•PM’s Deliverables………………………6•Timeline…………………………………….7•Client Description…………………….8•Product Description………………….9•Product Requirements………………10•Deliverables by Teams………………..11-15

Project Management Team members•Chris Rod-Project Manager

•Tiara Stephens-Lead

•Sandeep Patel-Lead

•Ayat Elewa-Backup Lead

Scope Description•Develop a personal communication device

▫Must be built with military specs

▫Must be supplied to US government

Military services

General public

Miltech’s Objective• 1st to market

▫Computing/personal communication device

•PM Team will support each team by use of effective PM Techniques

Deliverables•New Product Project Plan

•Project Scope

•Timeline

•Project Change

•Budget

Client Description•Expand into consumer electronics market

•Create a high tech communication device

•Target market:

▫Business/corporate industry

Product Description•5G phone

•Fingerprint identification

•Touch screen

•Supports multiple OS

•Live video chat

•Hearing aid compatible

Project Requirements•Highly reliable

•Up-gradable

•Programmable

•9 months to manufacture the first 15,000 units

•15,000 units delivered per month

•Estimated cost $5,000,000

•Must break even in 1 ½ years or less

Project Deliverables By TeamsMarketing/Sales• Target Market determined

• Product features and retail price determined

• Sales literature and detailed advertising plan

Project Deliverables By TeamsDistribution• Distribution channel determined (stand

alone stores, chains, super stores. Etc)

• Complete evaluation on partnering with at least three telecommunications network providers.

• Amount of staff addition and any special staff training requirements

Project Deliverables By TeamsCustomer Support• Amount of staff addition and equipment

requirements for 24/7 telephone and web based support.

• Determine special staff training requirements

Project Deliverables By TeamsHuman Resource• Staffing Requirements

• Recruiting Plan

• Job Descriptions

Project Deliverables By Team

Finance• 5 year projection

• Break even in 1 ½ years

• Accurate amount of staff addition and any special staff training requirements

MARKETING TEAM

Table of Contents• Team Organization and Roles • Project Objectives• Deliverables

• SWOT • Market Share• Retail Pricing

• Product features• Sales growth

• Target market• Contingency plan

• Pre & Post Ads• Total Ad cost

• Lessons learned• Summary

Team Organization and Roles

• Christian Tubigan Team Leader

• Rich Ptak Project Schedule & Features

• Ann Petkevich Sales Literature & Market Share

• Eddie Lewis Advertising Costs

• John LaGiglia Target Market

Objectives

•Increase company product growth by creating a new business modelImprove brand recognition in the general

consumer marketFirst-to-market communication device18 % ROI18 month or less break-even point

Deliverables

•Determine: Target Market (Demographics)Product FeaturesRetail PriceStaffing and Markets (Geographic)Sales LiteratureBrand Recognition and Market Share

Marketing Plan

•Partnering with the three major providers:▫ T-Mobile, Verizon, AT&T

•Benchmarked where the competition is today▫Blackberry*, iPhone, Droid, Palm

•Selling MT5 product to a niche-market

Ann Petkevich

•SWOT Analysis•Competitor Analysis & Market Share•Retail Pricing

SWOT Analysis

Strengths

Weaknesses

Opportunities Thr

eats

SWOT

SWOT Analysis

•Strengths:▫ Innovative patent touch-screen, voice-to-text and

finger-print technology▫Leading supplier of military communication

devices▫Abilities to develop new products and financial

capabilities

•Weaknesses:▫Brand recognition, unknown in consumer market▫Missing expertise in marketing to consumers

SWOT Analysis•Opportunities:

▫Strong demand by business professionals for communication devices with ultimate security features.

▫Gain market share by differencing Miltech with their proven military technology and services.

•Threats:▫Large number of competitor products and services

that have large percentage of market share▫Potential price wars

Market Share Analysis

Competitor

2010Forecast

Units (millions

)

Market Share

2009Units Sold(millions)

Market Share

Growth 2010-2009

Total = 65.1 100.0% 47.2 100.0% 37.9%

RIM 28.0 43.0% 23.2 49.2% 20.5%

Apple 13.8 21.3% 10.9 23.1% 27.1%

Google 12.3 18.9% 4.6 9.7% 169.2%

Microsoft 4.7 7.2% 4.8 10.1% -1.3%

Palm 3.1 4.7% 1.4 3.1% 112.3%

Symbian 2.1 3.4% 1.5 3.2% 47.0%

Others 1.0 1.6% .8 1.7% 25.0%Source: Canalys

Retail Pricing

•Cost of MT5 to our major providers will be $599.99

•ROI for major providers starts after 4 months

Rich Ptak

•Product Features•Forecasted Sales

Growth

Miltech MT5 “Innovative” Product Features

•Breakthrough touch screen technology

•Fingerprint identification

•Proprietary telecommunication

•Superior connectivity with improved reliability

•5G capability▫Largest ram, fastest microprocessor

▫Video and television streaming

Miltech MT5“Premium” Product Features

•Measures 4.8”x2.5”x0.5”, slightly larger than most smart phones

•Weighs only 130 grams

•AMOLED screen 3.7”

•Slide out Qwerty keyboard

•MT5 has all of the comparable features

MT5Sales Growth

2011.5 Model I

2012.5 Model II

2013.5 Model III

2014.5 Model IV

2015.5 Model V

0

500

1000

1500

2000

2500

3000

5 Year Plan

Un

it x

10

0

MT52011 Marketing Timeline

MT52012 Marketing Timeline

John LaGiglia

•Target Market•Contingency Plan

Target Market MT5

Demographics

•Adults

•Business/Corporate Professionals

•Ages 25-44

•HHI $75,000 +

Marketing Channels

•(Outdoor) Airport Advertising:Airport dwellers - Median Household Income = $104,235.48% professional / managerial

•Young Adults

•Students

•Ages 18 – 24

•Facebook Generation

Contingency Plan

• Identify if sales expectations are being met

• Identify if competitor takes some unexpected action

• Reallocate the advertising budget, test ideas slowly.

• Try smaller changes, and watch for results.

• Test message, media, offer, and advertising schedule.

http://www.myprofessionaladvertising.com/Advertising%20Planning.htm

Contingency Plan in Action

•New product innovation and creation

•Promotion from famous spokesperson

•Price reduction and discount sales

Eddie Lewis

•Pre and Post Advertising Costs

Average Costs for Advertising

•Newspapers – $1,300 per week for 2” x 2” ad

•Television – $200,000 for one 30-second commercial (during prime-time)

•Radio -$120 per week on a rotator (prices higher if time slots for ad are selective)

•Magazines -$5,000 per month or per issue (depends on ad size and demographics)

Average Costs for Advertising

•Outdoor (billboard)-$500,000 minimum contract is 16 weeks

•Online -$1,800 a month plus search engine optimization $1,200 per year per banner ad on websites

Advertisement

• Pre-Launch February 2, 2011

• Post-Launch May 5, 2011

• Methods of Advertisement▫Television▫Newspaper ▫Radio▫Magazines▫Billboards▫Web

Advertisement Cost

•Initial 12 weeks Television- $2,400,000 Newspaper- $15,600 Radio- $1,800 Magazines- $45,000 Billboards- $1,200,000 (16 week contract) Web- $6,600

•Estimated Total- $3,669,000

Advertisement Cost

•Remaining 40 weeks

▫Television-$1,400,000 (7 weeks)▫Newspaper- $52,000▫Magazines- $135,000▫Web- $16,200

• Estimated Grand Total- $5,272,200

Christian Tubigan

• Market Regions• Staffing• CPI & SPI• Lessons Learned• Summary

Market Regions

  WestNorth East  

Mountain Nevada New England Washington     Northern California Southwest Philadelphia Tri-state Virginia

     Southern California Pacific New York Baltimore

North West               

  Mid West South  

Great Plains Kansas Carolinas Georgia     

Wisconsin Michigan Texas HoustonOhio Indiana Florida Golf Coast

     Pennsylvania Kentucky South Central Alabama

     Illinois   Missouri Tennesse    

Staffing

Director

Regional Manager- West

CPI & SPI

0 1 2 3 4 5 6 7 8 90

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

1

1.1

1.2

1.3

1.4

1.5

1.6

1.7

1.8

1.9

2

CPI SPI

Week

Un

itle

ss

Product Milestones (5 Year Plan)

Lessons Learned•Planning and developing marketing plan

•Working outside of curriculum

•Dynamics of working as a team

Summary

•MT5 Smart phone▫Innovative ▫Premium

•25-45 year olds Corporate and Business Professionals

•4 Key market regions

•$ 599.99 per phone

DISTRIBUTION TEAM

Sheena GutierrezRobbin MonteiroLorena Torres

Table of Contents

•Team Roles•Objectives•Deliverables•Carriers•Logistics•Q.C.•Network Providers•Risk Assessment

Team Roles

Sheena Robbin Lorena

Team Leader Status reports- Scope

Logistics

Contracts/ Telecommunication

Time sheets/Data Analysis

Customer Survey/Data

Sheena Gutierrez

Objectives

•Develop and setup of the software system

•Comply with ISO 9000

•Develop guidelines on contracts for carriers

•Contracts with telecommunication networks

•Training requirement set up

• Shipping Setup

• To develop a setup for cross docking

Deliverables•Establish a Relationship with Partners

•Specifications for Quality Control

•Recommendations for Contracts

•Establish High Market Carriers

• Implementation Plans for the Logistics operations.

Deliverables

•Develop a guideline for Staffing Positions

•Recommendations for Training requirements

•Develop Safety suggestions

•Provide Software Help

Carriers• FedEx

Quality TruckerInsures CargoQuick Delivery and Tracking

• UPSParent company- EstablishedMilitary ProductsTracking Options- Emails

• All Contracts Will be Handled by the Legal Department

Plan- Time Line

Network Providers

Criteria•T-Mobil

Cheaper ServicePresence in Consumer Market

•Verizon WirelessCustomer SupportReturns

•AT&TCommercialsEstablish a PresenceMarketing Muscle

Distribution Channels

Future Changes in Marketing Strategies

•Individuals

•Kiosks

•Super stores

•Other locations

Software - Cargo Wise EDI

•Parent Company Training

•Customer Orders/Invoices

•Shipment Management

•Manager Information

•AR and AP

•Customer and Employee Tracking

Lorena TorresLogistics

Topics

•Quality Control

•Process of Logistics

•Cross Dock Line Process

•Loading Truck with CargoWiz

•Shipping Dock

•Launch Time Line

Quality Control

Advantages

•Cross Dock saves time and Money

•Insure quality Packages

•Avoid unnecessary mistakes

Quality Control (cont.)

•Shipment Labels Must have Correct Address

•Before Shipping; Random Inspection

•Prevent Costly Repackaging and Defect-Free Crates

•1 out of 5 Phones will be Inspected For Defects

Logistics Process

• Package Received

•Send to Cross Dock

•Re-label with New Address

•Inspected

•Moved to Shipping

Cross Dock Line•Remove the Old Label

• Remove old Packing List

•Insert New Packing List

•Place new Shipping Label

•Send it to Q. A.

Quality Control•Inspect and repack damage boxes

•Properly packaged

•Comply with ISO 9000

• Send to shipping

Loading Truck Logistics• CargoWiz Software

3 easy steps Container Cargo Size Load Container

• Plenty of space for more freight using the smallest truck 20’

• 3 days guarantee delivery

Shipping Dock

Insert Crates Into Truck

and

Ship Product to Clients

Estimated Values

Risk Assessment

Risks Severity Contingency Plan

Loss Data High Back Up

Language Barriers Low Negotiate Language

Packaging High Secure

Risk Assessment

Risks Severity Contingency Plan

Time Zone Low 24 Customer support/Shifts

Weather Low Tracking

Rate Increase- Trucking

High Alternative truckers

Risk Assessment

Risks Severity Contingency Plan

Employee Turnover

High Employee List

Sold Customer Information

High Contract Terms and Conditions

Lost Inventory Low Stock

Risk Assessment

Risks Severity Contingency Plan

Safety High Training

Strikes High Negotiation

Shipping LTL High Greater QuantitiesFTL

Robbin Monteiro

Staffing Additions

•Shipping/Receiving Clerks (2) @ 14.00 Hr

•Inventory Clerks (2) @ $10.00 Hr

•Warehouse/Forklift Operators (4) @ $ 12.00 Hr

•Order Processors (2) @ $14.00 Hr

Staffing Additions

•Resources

•Positions

•Training Onsite

•Training seminar

Distribution ExpensesPre Launch

Wrap-up

•Planning

•InitiatingUsing Proven Vendors

•ContractsTerms and Conditions

•LogisticsShipping

•Charge Back

Learned Experiences

•Pursuit for Excellence

•Time Management / Organize

•Problem solving

•Communicate effectively

•Team collaboration

Learned Experiences

•Participation

•Patience

•Listening

•Accept Constructive Criticism

•Forecasting Cost

Team Expense

•Projected Team Cost $28,000

•Actual Cost $20,800

•CPI = 1.34

•SPI = 1.1

Projected and Actual Team Cost

Weekly Metrics

CUSTOMER SUPPORT

Customer Support Roles and Members

Rich Minchuk Team Lead

Mark Boen Project Coordinator

Magda Gutierrez Administrator

Hussain Zaidi Information Technology

Customer Support Scope

•Develop a customer support department

that will provide an exceptional level of

quality service using state of the art

technology and skilled professionals to

meet all of our clients needs.

Objectives

•Develop specifications for a 24/7 telephone and web based support system

•Develop specifications for a networked computing environment

•Determine staffing needs for customer service department.

•Determine staff training requirements

Deliverables

•Phone system/Recovery plan•Network•Customer database•Staffing•Costs•Learning experiences•Project recommendations

Customer Support – Phone System

Avaya 2410Features and Benefits:

Already being used by Miltech

Call logging management

Income and outgoing call management

Direct e-mail

Fax messaging

Avaya 2410

Advantages of Avaya Phone System• Fast • Reliable• Fewer equipment• Customer service

Customer Support - Network and Database

Network •Servers

▫HP ProLiant - DL180 G6 Server - 10 GB RAM - 2.26 GHz – up to 14 TB GB HDD

•Workstation ▫HP Business Compact 7900

2GB RAM 2.5 GHz Dual Core CPU 22” LCD monitors

Advantages of using HP Hardware

•Dell- You can start with a $499 computer and bring it to over $1000 depending on what options you pick.-Dell’s website is built very user friendly-Provides excellent customer service.

•HP-In most cases provides cheaper systems than Dell.

• -Plans start $399 much cheaper than Dell.-More models to choose from than Dell.-HP website provide award winning customer service

• -Almost the same amount of options as Dell

HP vs Dell

Database

•Requirements▫Store▫Monitor▫Security▫Disaster Recovery Plan

Database

•Specifications:

▫Oracle Database 11g Enterprise edition (cost $40,000)

▫Upgraded security features

▫Upgraded performance and scalability

Customer Support -Staffing

Staffing Timeline

Customer Support Staff Members•Customer service representative•Technical support •IT support•Database administrator•Management

Customer Support Staff Schedule•Day will be divided into three shifts

•1st shift: 7am-3pm

•2nd shift: 3pm-11pm

•3rd shift: 11pm-7am

Customer Support Staff1st Shift staff requirements:

▫2 Managers▫2 Supervisors▫20 CSR’s▫15 Technical support▫2 IT support▫2 Database administrators

Customer Support Staff Schedule

2nd Shift staff requirements:

▫2 Supervisors▫15 CRS’s▫15 Technical support ▫2 IT support▫2 Database administrators

Customer Support Staff Schedule

3rd Shift staffing requirements:

▫2 Supervisors▫10 CRS’s ▫5 Technical support▫2 IT support▫2 Database administrators

Customer Support Staff Training•Training and development program for

CSRs▫Avaya phone system training▫Network software training▫Database training▫Client support training

Training will begin one month prior to launch and

given by HR Dept.

Customer Support - Costs

Phone/Network/Database Costs

•Avaya phone cost $45,000

•Network cost $119,500

•Database cost $40,000

Team Costs

Hourly Rate: $100.00

Total project cost: $11,050.00

Week 1 Week 2 Week 3 Week 4 Week 5 Week 6 Week 7

hrs 16.50 16.50 18.50 14 16 13 16

AC $1,650.00 $1,650.00 $1,850.00 $1,400.00 $1,600.00 $1,300.00 $1,600.00

Learning Experiences

•Team Learning Experiences

▫Time management

▫Communication problems – mainly e-mail (cc:)

▫Functioning as a team with new people

▫Developing communication processes with the other departments

Team Project Metrics•CPI & SPI

Summary•We developed the specifications for the

phone system•Selected network and computing

environment for the call center•Projected staffing requirements •Completed all projects on time •Coordinated with different teams to get the

project done on time.

HUMAN RESOURCESFouad HusainAngelica AyalaMarie NemecRadhika Patel

HR Member Roles

Fouad Husain Project LeadAngelica Ayala Training

Manager Marie Nemec Human Resources

Manager Radhika Patel Recruiting Manger

Mission/Objectives

•Develop plans and procedures for staffing, recruiting, and training.

•Determine staff requirements to implement the new MT5 Personal Communications Product.

•Meet the projected nine month development and production cycle timeline while staying within budget.

Deliverables• Job Description

• Recruiting Plans

• Interview Schedules

• Salary Plans

• Staffing Plans

• Training Plans

Assumptions

• Benefits and compensations arranged through parent company

•HR processes the additional staffing needs

•Putting in recommendations before project launches

•Policy and procedures handbook are provided through parent company

Project Status •Months 1-3

▫Recruiting and hiring process•Months 4-6

▫Process of hiring and conduct interviews•Months 6-8

▫ process of training and development

Recruiting Plans• Hiring Ad

Monster.com Career Builder.com Daily Harold Yahoo hot jobs

• Outsourcing Aerotek Staffing Agency

• Internal

Hiring Process•Completed by the six month

Background checks

Drug test

Physicals, if needed

Staffing • Completed by the eighth month of project

• DistributionSix Full Timers

Set salaries for all positions

• Marketing17 Full Timers

Director

Regional Managers

Account Executives

Set salaries for all positions

Staffing cont...

•Customer Service33 Full Timers

Set salaries for all positions

• Project ManagementNo employees needed at this time

•Finance No employees needed at this time

Training Schedules

• Marketing Training for Regional managers to be completed by

eight month

Training for Account Executives to be completed by end of eight month

• Distribution Training for Distribution Manager to be completed by

sixth moth

Training for Supervisors, packaging operators, and shipping & Receiving associates will be completed by end of eight month

.

Training Schedules continued…• Customer Service

▫ Training for Customer Service Manager and Customer Service Supervisors to be completed by sixth month

▫ Training for first shift Customer Support Representatives completed by sixth month

▫ Training for second and third shift Customer Support Reps to be completed by eight month

Specialized Training• Distribution

▫ System and Equipment Training

• Customer Service

▫ Data Base, Problem Solving, Effective Customer Service

ScheduleSchedule Matrix

Duration (Days) Start Finish

1 Hiring Requirements 31 3/8/2010 4/8/2010

1.1 Number and position of 10 3/8/2010 3/18/2010

employees per dept

1.2 Create job descriptions 10 3/18/2010 3/28/2010

1.3 Determine Salaries 11 3/28/2010 4/8/2010

2 Recruiting 61 4/9/2010 6/9/2010

2.1 Create recruiting plan 21 4/9/2010 4/30/2010

2.2 Select recruiting media 30 4/30/2010 5/30/2010

2.3 Post jobs 10 5/30/2010 6/9/2010

3 Hiring Materials 30 6/10/2010 7/10/2010

3.1 Create all necessary forms 6/10/2010 7/10/2010

and applications

Task

Schedule cont…

Schedule MatrixDuration (Days) Start Finish

4 Interviewing 60 7/11/2010 9/9/2010

4.1 Review resumes 60 7/11/2010 9/9/2010

4.2 Select potential candidates 60 7/11/2010 9/9/2010

4.3 Screen candidates 60 7/11/2010 9/9/2010

4.4 Set up interviews 60 7/11/2010 9/9/2010

4.5 Select final candidates 60 7/11/2010 9/9/2010

4.6 Final interviews 60 7/11/2010 9/9/2010

4.7 Continue interviews as needed 9/9/2010 As needed

5 Training 61 10/8/2010 12/8/2010

5.1 Develop training plan 10 10/8/2010 10/18/2010

5.2 Create training manuals & material 10 10/18/2010 10/28/2010

5.3 Hire/train training trainer 10 10/28/2010 11/7/2010

5.4 Set up orientation 5 10/20/2010 10/25/2010

5.5 Begin orientation & training 30 11/8/2010 12/8/2010

5.6 Continue training process as 12/8/2010 As Needed

needed

Task

SPI/CPI

•COST Performance Index• CPI = .29• Cost overrun

• SCHEDULE Performance Index• SPI = .90• Work is slightly behind schedule

Recommendations•Additional staff needed when required

•Federal and State laws

•Training

•Review plans within a year

Learning Experience• Time Management

• Communication

• Figuring out details

• Team work

• Finalizing the project

FINANCE TEAM

TEAM MEMBERS & ROLES

Dave Schneck - Team Leader-Directs Activities Of The Project -Reviewing Other Member’s Work

Corey Lockwood - Financial Analyst-Spokesperson-Communication With Other Teams -Financial Analysis

TEAM MEMBERS & ROLES

Salma Ajmeri - Financial Analyst-Time Phase Budget-Financial Analysis

Malgorzata Glab - Financial Analyst-Midterm & Final Presentations-Financial Analysis

OBJECTIVES

•Five Year Financial Forecast

Break Even Point Within 18 monthsNet Present Value At 18.5% Return On Investment AnalysisIncome StatementWhat-If Analysis

DELIVERABLES

Develop & Provide Financial Projections

Changes To Timeframe & Budget

Price & Sales Volume Suggestion

Dave Schneck

Project Financial Analysis•Start-Up Expense Summary

Expenses Costs Manufacturing $5,000,000

Advertising $6,000,000

Salaries & Direct Labor $3,269,875

Network, Hardware, Software

$ 164,050

Consulting Expenses $ 192,000

Supplies $ 238,440

Total $14,864,365

Project Financial Analysis•Break-Even Analysis

Price per unit $600

Fixed Costs $14,864,365

Variable Costs $200 per Unit

Break-Even Point 46,211 Units

Break-Even Date 4th Month After Launch

Break-Even in Dollars $ 27,726,573

Project Financial Analysis•On-Going Expense Summary

Year Costs 1 $10,860,025

2 $25,442,317

3 $24,589,586

4 $ 28,337,801

5 $ 32,086,980

Total $121,316,709

Project Financial Analysis•Projected Sales Revenue

Year Units Sold Per Year

Revenue ($millions)

1 460,000 $276

2 600,000 $360

3 600,000 $360

4 600,000 $ 360

5 600,000 $ 360

Total 2,860,000 $1,716

Project Financial Analysis•Net Income Statement

($mil) 1 2 3 4 5

Sales $276 $360 $360 $360 $360

COGS (92) (120) (120) (120) (120)

Gross Profit 184 240 240 240 240

Op Exp (10.86)

(25.44) (24.59) (28.34) (32.09)

EBT 173 214 215 212 208

Chgbk (27.60) (36.00) (36.00) (36.00) (36.00)

PT Inc 145 178 179 175 171

Taxes (50) (62) (63) (61) (60)

Net Inc $95 $116 $116 $114 $111

What-If Analysis•Discount Price

Production Cost $120M

Sales Volume 600,000 units

Retail Price $500

Sales In Dollars $300M

Gross Profit $180M

What-If Analysis: Worst Case•15,000 Units Sold Per Month

Production Cost $36M

Sales Volume 180,000 Units

Retail Price $400

Sales In Dollars $72M

Gross Profit $36M

Net Present Value Analysis (18.5%)

Period NPV ($ Millions)

Year 1 146Year 2 153Year 3 129Year 4 107Year 5 89

Total NPV 625

Return On Investment Analysis

Period ROI

Year 1 168%

Year 2 148%

Year 3 149%

Year 4 143%

Year 5 137%

SALMA AJMERI

Forecasted Vs Actual Expenses

Forecasted Expense By Week 8 : $20,500

Actual Expense By Week 8 : $20500

100% Work Completed

CPI & SPICost Performance Index

CPI – 8.81Under Budget

Schedule Performance Index SPI – 1.00Work Is On Schedule

Summary

•Sales Volume

•Levels Of Production

•Break-Even Within 1 ½

Learning ExperiencesFinance

Teamwork

Communication

Project Management

PM TEAM WRAP-UP

Product Description

•5G phone

•Fingerprint identification

•Touch screen

•Supports multiple OS

•Live video chat

•Hearing aid compatible

Critical Milestones

•Product Planning: March 10, 2010

•Target Market Determined: March 26, 2010

•Product Designed: April 19, 2010

•Approval Deadline: May 5, 2010

•Production Start Date: August 5, 2010

•Product Launch Date: May 5, 2011

Start-Up Expense

•Total of $14,864,365•Includes:

▫Manufacturing Expense▫Advertising Costs▫Salaries & Direct Labor▫Network, Hardware, and Software Expense▫Consulting Expenses▫Supplies

Post-launch Expense 5 year total of $121,316,709

YEAR 1: $10,860,025

YEAR 2: $25,442,317

YEAR 3: 24,589,586

YEAR 4: $28,337,801

YEAR 5: $32,086,980

Break-Even Point•Price per unit $600

•Break-even in units: 46,211 unit

•Break-even date: 4 month after launch

Projected Sales Revenue•5 year total revenue: $1,716 million

▫Year 1: $276 million

▫Years 2 - 5: $360 million / year

•Total units sold in 5 yrs: 2,860,000

▫Year 1: 460,000 units

▫Years 2 – 5: 2,860,000 units / year

Return On Investment (ROI)

• Year 1: 168%

• Year 2: 148 %

• Year 3: 149%

• Year 4: 143%

• Year 5: 137%

Recommendations•Initial investment of $ 14.8 million dollars

will be recovered within 4 months

•First year expected profit is $95 million

•Projected financial return over 5 years is $552 million

•Average ROI: 149%

•Net profit of $36 million during first year of product launch

PM team Budget

Team Members

Hours Worked

Rate per Hour

Total Individual

Pay

Actual Budget

Chris Rod 17 $100 $1,700 1600

Tiara Stephens 17 $100 $1,700 1600

Sandeep Patel 17 $100 $1,700 1600

Ayat Elewa 17 $100 $1,700 1600

Totals 68 $100 $6,800 $6,400

PM Team Overall CPI & SPI

•Cost Performance Index

•CPI = 0.94

Over budget

•Schedule Performance Index

•SPI = 1

Right on schedule

Learning Experiences

•Time management skills are imperative

•Team communication and collaboration

•Good team leadership and general management skills

•Resolving conflict

Summary

• 5G phone

• Never been marketed technology

• Projected 5 year income: $552 Million

• ROI on first year: 168%

• 9 month start-up cycle

• Break-even in 4 month

• Expected Launch Date: May 5, 2011