Combat Gears Inc had a budgeted amount of $1,500,000 which was initially placed before the commencement of the project. The refrigerated module being too large for the designed refrigerated backpack pouch will affect the budget since there will be the need to redesign the refrigerated module to make it smaller or make the backpack pouch bigger. This is because more money will be required to effect the redesigning. The process of redesigning is to be discussed in a meeting scheduled for 103/07/16.
More manpower will be required to ensure that the backpacks are redesigned which was not in the initial plan of Combat Gears Inc. They must be employed in order to stay on the targeted deadline (Massy and Harrison, 2014).
Impact to schedule:
The change of events shall lead to the delay of schedule due to the redesigning of the refrigerated module. The action that needs to be taken is to ensure that little time is used to ensure that by all means the deadlines are met (Phillips, J and Phillips, P., 2015).
Quality of the backpacks:
The backpacks will be of a lesser quality with the refrigerated module being too large. Their redesigning shall be the best step towards the right direction since the wrong design will lead to the dissatisfaction of the customers which shall tarnish the name of Combat Gears. When the name of the company is tarnished, this will in turn affect the future business of the company, thus lowering revenue.
2. The Subcontractor shutting down
Change in the Budget:
There shall be a great change in the budget since new subcontractors need to be employed. The main cause of this may because new contractors may have different fees and costs to start the product design. The increased cost may lead to insufficient funds to facilitate the completion of the project.
b) Human Capital:
Combat Gears must immediately recruit another contractor with the same skills as required to complete the project (Massy and Harrison, 2014). The new manpower who are hired must meet the required standards of professionalism to ensure that they make suitable products that fit the customers need.
c) Impact to Schedule:
The schedule may be delayed due to such breakdown. Compact Gear has to ensure that the subcontractors that they employ are up to the task and shall be ready to work tirelessly to ensure that the products are produced in time. This shall ensure timely delivery to the customers to meet the deadlines (Phillips, J and Phillips, P., 2015). The company should also ensure that the sub-contractors are motivated enough in order to be able to produce quality products.
d) Quality of backpacks:
The change of subcontractors shall greatly affect the quality of the backpacks. Each subcontractor has a different design style. However the best action that Combat Gear needs to take is to ensure that the backpacks that are produced by the new subcontractors fit the needs of the customer by all means. If quality of the backpacks is affected compared to the original, this will have a negative effect on the way customers view the business. Quality affected changes the quantity customers buy, and therefore, Combat Gear should ensure that the quality remains the same even with the introduction of the new contractor.
Massy, J., & Harrison, J. (2014). Evaluating Human Capital Projects: Improve, Prove, Predict. Hoboken: Taylor and Francis.
Phillips, J. J., & Phillips, P. P. (2015). High-impact human capital strategy: Addressing the 12 major challenges today's organizations face.
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