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ITECH7401 Leadership in IT Management Project Proof Reading Services
This report has been prepared over the topic Leadership in IT project management which covers the detailed analysis of the different aspects of leadership in IT project management which help in the evaluation of the values, benefits, risks and cost of the project based on Information Technology so as to measure the performance of the organisation. This program discusses the objectives of the project, analysis of the current situations with the help of the SWOT analysis, the problems which can be faced by the organisation, critical assumptions and constraints, analysing the options and recommendations available so as to select the most suitable alternative, analysis of the financial conditions of the organisation, estimating the preliminary requirements of the project, estimates of the budgets, estimated schedule, potential risks to leadership in IT project management and the innovations that can be done so as to improve the performance. For the purpose of explaining these aspects in a better manner so as to develop proper understanding an organisation of Australia has been selected named as “Allianz insurance”. Allianz insurance is an insurance company offering wide range of insurance as well as various risk management products or services to its customers so as to satisfy the needs of their customers and to enhance their performance. It was founded in 1890 with a motive to provide insurance and asset management services to its customers.
The objective of this report is to execute in a successful manner so as to generate a better understanding of the different aspects of the program. Leadership plays a vital role in every business as it enables the efforts of the employees to get integrated and to be focused towards the common goal so as to achieve the objectives and to enhance the performance of the organisation as well as to meet the expectations or needs of the customers of the business. The mission of Allianz insurance is to develop leadership qualities so as to effectively manage the projects of the business and to enhance the services offered to the customers by focusing over the quality of the services or products of the organisation (Shelley, 2015). The main objective of the project is to develop leadership qualities which will help in the management of the activities of the project in an effective manner by keeping a check over the quality of product or service, time involved in the execution of the project, to prepare the project cost effective so as to generate better outcomes and to execute the project within the estimated budgets. Leadership qualities will help in the better execution of the activities of the project as well as helps in better monitoring and control over the operations of the plans. A leader not only integrate the efforts of the organisation towards the common direction but it also helps in the management of time, cost, quality, human resource of the organisation, flow of communication within the organisation as well as with the external parties and management of the risk factors of the project. The other objectives of leadership in IT project management are encouragement of positive attitude in the organisation, providing support to the team efforts, improving the morale of the employees so as to enhance the performance of the employees which contributes towards the overall performance of the organisation and to inspire the employees by empowering them (Clarke, 2011).
Analysis of current situations through SWOT analysis
For the purpose of analysis of the current situations of the Allianz insurance there is a need to conduct analysis of the internal as well as external environment of the organisation. For the analysis of the internal and external environment or factors of Allianz insurance SWOT analysis has been done. The SWOT analysis will help in the identification of the strengths, weaknesses, opportunities and threats to Allianz insurance due to the different factors which can create an impact over the performance of the business. Analysis of the strengths, weaknesses, opportunities and threats will help strengths, weaknesses, opportunities and threats to gain an advantage over the competitors as well as to improve its performance by grabbing the opportunities available and to deal with the threats by using its strengths and coping with the weaknesses (Jaber, et. al., 2015). The SWOT analysis of Allianz insurance so as to analyse the current situation is as follows:
Strengths of Allianz insurance are mentioned below:
Strong asset management:the strong asset management has helped Allianz insurance is managing its performance and has enabled the organisation to deal with the changing requirement by effectively managing the assets of the organisation for better results. Asset management of Allianz insurance is strong which leads to attracting the customers by enhancing the customer base and retaining the existing employees of the organisation (Manzano?García & Ayala?Calvo, 2014).
Customer satisfaction:Allianz insurance is capable of providing customer satisfaction which helps in gaining the trust and faith of the customers and generating loyalty among the customers. The services or products offered by Allianz insurance are effective in meeting the requirements of the customers. Customer satisfaction level affects the performance of the organisation.
Leading provider of insurance services:Allianz insurance is having a good reputation in the market due to the quality of the products and services offered by it to the customers which has made it the leading provider of the insurance service in the market. The performance of the organisation affects the image or reputation of the company in the market (Van Durme, et. al., 2014).
Brand name and financial position:brand name and financial position of business is an important aspect which supports the business as well as act as strength of the company in grabbing the opportunities present in the business environment and dealing or coping with the threats affecting the performance of the organisation. Allianz insurance is having a good brand name which has provided it an advantage over the others in the market and dealing with the competition in the market.
Position in market: position of the business in the market enable the company to expand its area of business and to attain chances of survival and growth. Allianz insurance is holding a strong position in the market which makes it capable of dealing with the issues in the market and using the external factors for improving its performance (Wang & Zheng, 2015).
Effectiveness in delivery of services and products:the services or products offered by the business need to be of good quality as well as the delivery of the products or services also affect the company and its performance. Allianz insurance is providing the services and products to its customer on time so as to ensure the delivery of the services or products on time which will reduce the adverse or negative impacts over the customers.
Strong employee base:human resource of an organisation is an important asset which leads the organisation towards the development and growth. Every organisation need to ensure that it maintains a healthy and effective human resource which provides strength to the business by improving the qualities of the products and services by meeting the needs of the customers. Allianz insurance is having large number of employees which are performing the operations of the business and executing the routine as well as specific functions of the business (Amin, et. al., 2011).
All these strengths have enabled Allianz insurance to use the opportunities available to it in an effective manner by utilising the resources available to it for the purpose of attainment of the objectives of the organisation and the leadership qualities will help in the management of the projects in a better manner so as to achieve the expected outcomes.
Weaknesses of Allianz insurance are mentioned below:
Rigidness:the rigid nature of the products and services affects the performance of Allianz insurance. Allianz insurance is offering wide range of insurance and risk management products and services. But the environment is dynamic and the changes in the conditions or factors of business affects the manner the products or services are offered. Business need to analyse the environment and to analyse the factors which affects the business and evaluate the innovations which can help the organisation to develop the products and services according to the changing requirements so as to produce the services or products as per the need of the customers. Allianz insurance is facing tough competition by other firms in the industry which are offering same type of services and for the purpose of overcoming this weakness it need to analyse the market for coping with the rigid nature of the products and services (Lorca-Susino, 2014).
Cost structure:the cost structure of the company also acts as a weakness and affects its performance. Allianz insurance need to determine its cost structure by analysing the different aspects so as to provide services and products in an effective and efficient manner by maintaining the cost minimal and quality of the product or service maximum.
Dependency over the automobile market:the major weakness of the insurance industry is the dependency over the automobile market. Allianz insurance need to communicate with the automobile dealers so as to attract them and to establish relationship with the automobile companies.
Dealing with the recessions and adverse market conditions:the recession and adverse market conditions has affected Allianz insurance and its effectiveness in providing services and products.
Negative impacts of World War 2:during the World War 2 Allianz insurance faced financial conditions or position of the business and faced controversies in the manner it is operating its activities (Helms, et. al., 2011).
Less effectiveness in research and development:Allianz insurance is lacking in analysing the need for change in the products and services and this can be overcome by research and development activities which help in the analysis of the changes according to the need of the market and customers.
Opportunities available to Allianz insurance are mentioned below:
Expansion opportunities:Allianz insurance can expand the area of operation by offering the services and products to the customers of other places as innovative services or products offered by it will help the customers to manage the risk associated with their businesses in a better manner.
Innovative schemes:there are varieties of changes occurring in the environment and Allianz insurance can analyse the need or trend of the market so as to innovate the existing services or products and develop new products or services for offering better quality services to the customers.
Employee benefits and welfare:every business gains an advantage by maintaining an effective work force which helps in operating the functions of the business in an effective manner. Allianz insurance can offer various benefits to the employees for their welfare and motivating them by boasting their morale (Helms, et. al., 2011).
Conditions of the market:conditions of the market provide opportunities to Allianz insurance to improve its performance by making changes in the manner it is operating.
Demand of the retirement products:with the change in the environment the retirement products are gaining much importance. Allianz insurance grab this opportunity by developing products customised according the needs of the society.
Increase in income level:with the increase in the income level of the people their focus towards the risk management and insurance services is increasing which can be used as an opportunity for Allianz insurance.
Increase in awareness among the society:increase in awareness among the society about their safety will help in attracting the society towards the services and products offered by Allianz insurance (Salamati, et. al., 2014).
Threats to Allianz insurance are mentioned below:
Change in the rules and regulations of the government:changes in the rules and regulations of the government which are regulating the insurance industry can affect the performance of Allianz insurance and act as a threat to Allianz insurance.
Adverse conditions of the market:impact of the market conditions and competition level of the industry also affects the business of Allianz insurance.
Impact of natural disasters:natural disasters can create an impact over the financial targets decided by the Allianz insurance and results in fluctuations in the performance of the business.
Fraud cases:there is a rise in the fraud cases in insurance industry and increase in the theft or risk to the business and for the purpose of dealing with this issue Allianz insurance need to use its strengths effectively. Allianz insurance need to deal with the increasing fraud cases and minimising the risks (Salamati, et. al., 2014).
Stagnation in the automobile market:less growth and no growth in the market of automobile industry results in decrease in the insurance covers and need of risk management services and products by the customers. This can act as a threat for Allianz insurance.
Increasing rates of taxes:increase in the tax rates of the services which affect the profitability of the business. The rise in the tax rates over the insurance and risk management products and services will affect the revenue of Allianz insurance at large (Gu Wan-rong, et. al., 2013).
Outline of problem / opportunity statement
The major problems faced by Allianz insurance is the lack of communication among the organisation, lack of team spirit which has affected the performance of the employees as well as of the business. Other problems faced by Allianz insurance include lack of integration in the efforts of the employees. All these problems have affected the performance of Allianz insurance and its capability to offer services and products to the customers. These problems need to be managed in an effective manner so as to gain benefit over the others in the industry. Allianz insurance is having opportunities which can be used by it for improving the performance of the business. For the purpose of coping with these issues there is a need to adopt techniques for generating team efforts and a feeling of cooperation among the employees of the organisation. It needs to adopt leadership techniques which will help Allianz insurance to provide proper guidance to the business. Leadership technique will help the business in dealing with the problem of communication gap between the employees by guiding the efforts of the employees as well as of the organisation towards the right direction. Leadership qualities will help Allianz insurance in enhancing the performance of the business by motivating the employees for the purpose of dealing with the issues arising in front of the Allianz insurance. Leadership qualities will enhance the chances of growth of Allianz insurance by generating a level of effectiveness in the operations of the business (Shelley, 2015).
Critical assumptions and constraints
Assumptions can be understood as the aspects or things which can happen and the aspects are assumed. For the purpose of execution of this program include:
1. The performance of the employees is going into different directions and there is a need to combine the individual efforts towards the common direction so as to achieve the objectives of the organisation and ensuring that the targets are achieved.
2. The skills possessed by the employees and the leaders of the organisation need to be developed by providing training to them so as to develop their skills.
3. The budget for the project is estimated by analysing the requirement of the business so as to enhance the performance of the business by allocating proper funds for the different activities of the business (International project management, 2010).
Constraints can be explained as the problems faced during the execution of the program. Constraints faced during this program are as follows:
1. The span of time available for the execution of the project was limited which has affected the execution of the project. For the purpose of execution of the program in an effective manner there was a need of sufficient period of time.
2. The resources were available in limited quantity which needs to be managed in proper manner so as to execute the project plan.
3. For the execution of the different activities of the program there was a need of different strategies. For the analysis of the current situation of the organisation there was a need to adopt strategies which can help in analysing the current situation.
Analysis of options and recommendations
For the purpose of making improvements in the project few recommendations have been made which are as follows:
1. Leadership qualities need to be discussed among the work force of the organisation which will help in the development of the individuals as well as motivate them to perform in a better manner so as to achieve the objectives of the individuals as well as of the organisation.
2. Organisation need to identify the needs of the individuals so as to encourage them and to inspire them for the purpose of attainment of the goals of the organisation. Fulfilment of these needs will help in satisfying the needs of the individuals or the work force which will enable them to contribute towards the organisation’s targets (Arroyo, 2010).
Calculation of NPV
Initial cost = 200000
Discounting factor = 10%
Net Present value = P.V. of cash inflows – P.V. of cash outflows
= 247840 – 200000
Calculation of Pay - back period =
Payback Period = Initial Investment/ Cash Inflow per Period
= 1 + (544000 – 243200) / 358000
= 1.84 years
Internal rate of return =
PVF @ 10 %
PVF @ 20%
I.R.R. = 10 % + [(247840 – 200000)/ (247840 – 199120) * (20% – 10%)
= 10 % + 9.82 %
Calculation of Return on investment
Cost of the project= 2, 43,200
Benefits of the project= 5, 16,000
Return on investment in % = (5, 16,000- 2, 34200)/ 2, 43,000* 100
Preliminary project requirements
For the execution of the project there is a need to various resources. These resources need to be managed in an effective manner and the need of the resources should be identified in a proper manner which will help Allianz insurance to ensure the availability of the required resources for the execution of the activities of the business without any delay. These resources include requirement of finance for the funding purpose for the various operations of the business, human resource that will be responsible for the execution of the activities, equipments which will be used for the purpose of execution of the operations and techniques and strategies which will be used for the preparation of the project as per the requirement of the business (Miyamoto, 2015).
The motive behind formation or preparation of the budget is to predict a cost which will be involved in the project and it is estimated so as to analyse the cost which organisation need to arrange for the project. The budget estimate for the project is as follows:
Research and development
Analysis of market
Training and development
Installation of the machinery
List of potential risks
Allianz insurance need to be analysed the risks which need to be managed so as to enhance the performance of the business. These risks which can affect Allianz insurance are listed below:
Lack of communication can occur due to the increase in the gap among the employees and the management of the organisation and it can act as a risk which can affect the performance of the organisation at large.
Lack of team efforts leads to disputes among the employees which results in the depletion in the performance and effectiveness in the operations of the operations of the business.
Lack of effectiveness in the leadership affects the performance of the business as leadership qualities need to be learnt and these helps in the execution of the activities of the organisation in an effective manner.
Lack of resources can affect the project management process as resources are required so as to perform different functions.
Training needs need to be identified and in case these needs are not identified then in this case it affects the quality of the products or services offered by Allianz insurance.
Improper planning or estimate of the budgets affects the whole process of the project management (Miyamoto, 2015).
Innovations will help in improving the project management process of Allianz insurance. For the purpose of development in the quality of the services there is a need to innovate the process which will help in the better functioning of the different operations of the organisation. These innovations are discussed below:
1. Techniques need to be identified which will help in the execution of the project management in an effective manner so as to maintain the level of effectiveness and to enhance the performance of the business.
2. Effective leadership techniques need to be identified which can help in leading the project towards the success and development of the individuals so as to enhance the skills and knowledge possessed by the individual (Miyamoto, 2015).
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