Monkey Inc Project and risks management

The project manager will have to use the proposed budget in order to determine if the project is on track. The proposed budget will include cost for the staff labour, any of the ongoing operating costs, materials procurement as well as those other costs like travelling and training. The company is known to be situated in London having seventeen branches and territories across the world. If the project is implemented, the company’s profits would be higher than previous years in the next three years. Cost benefit analysis Year 0 Year 1 Year 2 Year 3 Costs Investment Costs 40,000,000 30,000,000 40,000,000 50,000,000 Operating Costs 20,000,000 40,000,000 30,000,000 40,000,000 Decommissioning Cost 40,000,000 50,000,000 60,000,000 70,000,000 Total 100,000,000 120,000,000 130,000,000 160,000,000 Benefits Gross profit increase 25000000 25000000 25000000 25000000 Reduced costs 7500000 7500000 7500000 7500000 Total 32500000 3250000 32500000 3250000 32500000 65000000 95700000 130000000 ROI 60% Sometimes these are difficult to calculate as well as always being inaccurate. The project has been proposed to cost a total of one billion shillings for it to be launched lasting for three months.

Budgeting, forecasting, ROI or payback Financial forecasting and the budgeting process are very crucial techniques which have been included in the project. They are very important as they would help the project during any decision making processes. The process of budgeting would include the estimation in order to quantify for any expectations of revenues the project might be in need. The use of the financial forecasting would be for the estimation of revenues amount which would be achieved. 00 Insurance for both employees & staffs $50,000. 00 Reward & Staff Recognitions $65,000. 00 Event organizing committee $25,300. 00 Project planning material $20,000. 00 Decorations $35,000. If the estimated budget won’t successfully make it for the proposed project, then the manger will be held to account for the budgeted amount. The project is estimated to be a perfect one as this is for the highly skilled manger of the proposed budget.

There are several parts of a budget which are included while doing budget analysis (Fayard et al, 49). Its basis employs the use of some approaches; a top – down approach and a bottom – up approach. The top – down approach would be for the purposes of including how much cash would be spend during the project. Additionally, it all brings about a huge impact based on the operations as well as the cash flow. The forecasting too is very essential as it would help for the smooth run of the project. During the three months, the company forecasting would help it to make adjustments in order to meet for the changes of within the business. Conclusions The monkey security Inc will have to use this cost-benefit analysis that has been performed for the project in order to implement the employee engagement and the ROI anticipation based on its implementation.