AT&T is a telecommunication company that mainly deals with the sale of mobile phones and the provision of internet services. Cost assessment analyzes the revenue required to ensure an organization's operations smoothly. The project to be undertaken in AT&T involves venturing into a new market and gain competitive advantages. Several activities will have to be undertaken to succeed in the project. For instance, there is a need to do campaigns, product promotion, and understand the target consumers. The big data that the project managers will encounter are the consumers' feedback and market trends in terms of cost. The data will be essential in measuring the project's performance and progress level.
The cost assessment process will entail four main stages. The first step will be to analyze the flow of the actual units. The primary stakeholder involved in the process will be the executive team. The main focus is to identify all the project activities that will require funds allocation. Some of the activities include marketing, advertising, and promoting the product. The next step is evaluating the inventory to establish the relevant units (Learning, n.p). The action entails creating an approximation of which activity will cost. The third step will be to make a comparison. Since the project's focus is to gain a new market, there is a need to compare the prices and strategies that other competitors use in their plan. The assessment will help fixed costs that are not too high or too low. The last step is to determine the total cost and compare it with the budgetary allocation. There will be a summation of each activity's cost and compare with the budget. The comparison outcomes will require either an adjustment to be made or the project initiation.
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The major cost drivers for the modernization efforts will be capital utilization and technology. The technology entails investment into the various social media platforms like Twitter and Instagram to increase the market scope. Capital utilization will involve the manufacturing and production capabilities. There will be a need to improve on the quality of the product and hasten the manufacturing strategies that are more effective and efficient. There are three main, most crucial project items to the cost model. They include the hardware, software, and personnel. The workforce is the first essential item. It will entail the employee involved in the marketing and promotion of the product to gain popularity in the new market (Learning, n.p). The second in line is the hardware that includes the computers for running the software. The last item in the hierarchy is the software used to monitor the market trends. The software will be vital in the decision-making process after analyzing the output and its response to the new market. The reaction can be monitored through the feedback that some of the products' users make. More so, it will be effective in comparing the changes taking place in their preference and taste.
The approval of the project will be done in two stages. The first stage will be to make a proposal presented to the stakeholders. The second step will be to submit the request to the finance department. The CEO and the Finance Manager will do the approval. The finance docket individual will first have to approve the project by assessing the cost, liability ad budgetary allocation. The CEO will provide the last signature as a go-ahead sign.
References
Learning, L. (n.d.). Promotion: Integrated Marketing Communication (IMC). Retrieved from https://courses.lumenlearning.com/wmopen-introbusiness/chapter/promotion-integrated-marketing-communication-imc/ Accessed 22 February 2021.
