The Recycled Tyre Factory Project Charter - Case Study Example

Author’s Name Instructors’ Name Course Date Table of Contents Table of Contents 2 Introduction 3 Purpose of the Project Charter 3 Project Overview 3 Justification 5 Needs Assessment 5 The Project Impact to the Community 6 Project Scope 7 Objectives 7 High-Level Requirements 8 Major Deliverables 9 Duration 11 Timelines 11 The Tyre Factory Project Gantt-Chart 11 Executive Milestones 12 Budget Estimate 13 Funding Source 13 Estimate 13 Project Organization 13 Roles and Responsibilities 13 Project Charter Approval 15 References 17 Introduction Purpose of the Project Charter The purpose of the following charter of the development of the Recycled Tyre Factory project is to provide necessary information that is required by the project sponsors and senior management for the approval or disproval of the project proposal. Project Overview The Recycled Tyre Factory project will involve the use of pyrolysis proves to recycle the used vehicle tyres. Pyrolysis is the process that enables producers to convert gases into oil though a cooling process. The oil produced has a calorific value similar to stage six of the unrefined diesel oil. The oil is useful in the production of petrochemicals. The factory will initially start by processing an average of fifty tons of waste tyres a month. It is expected that starting from next year it will be in a position to receive an infrastructural development grant from the National Recycling and Economic Development Initiative based on the tons of waste tyres processed per month. The project is spearheaded by a group of engineering students who are committed to finding a solution to the environmental problems faced by the local people and the population at large in the society. The project will be commencing in January 2016 and end in early 2017. The Recycled Tyre Factory project will include any stakeholders such as the donors who will be expected to collaborate with the project team in funding the project to its completion. Further, suppliers of used tyres and other requirements such as machines will be instrumental in making the project successful. Special experts in different fields such as chemical engineers will as are sourced to provide technical assistance in some areas. Additionally, various organizations including chemical industries will be major partners as potential customers of the final product. The project management team will be formed to overseer the personnel and the efficacy implementation of the project. Other stakeholders include the government officials who will facilitate the legal aspect of the project. However, it is important to note that all process of the selection of partnership and some stakeholders such as special experts will be done competitively. The Recycled Tyre Factory project will be based on an acre of land where the delivery of used tyres and processing will be taking place. In its initial stages, the facility will be employing twenty employees before increasing the number later. The project is expected to start from January 2016. The Recycled Tyre Factory project will involve transforming used tyres into simpler and smaller compounds. These small compounds will then be turned into various products such as oil and carbon char among other products, which can be used to generate electricity. The products will be supplied to various companies and industries in the country, which will further purify the oil before supplying it to the market. Additionally, carbon char will be supplied to the interested parties to reprocess and refine the product prior to selling it in the market. Justification Needs Assessment Tires represent a serious environmental issue on several fronts. One of the risks involves their chemical components (Limbachiya & Roberts 2014). The toxins that are released during their decomposition, accidental fires or incinerations lead to the pollution of water, soil, and air. Study as shown that some countries have enacted laws that ensure proper disposal of used tyres while other nations or regions are reluctant leading to the continued pollution of the environment (Elvik 2009). However, even with the presence of laws, illegal dumping and disposal is still being witnessed in many parts of the world. One of the problems that used tyres bring to the community is the increased accumulation of waste in the already overcrowded landfills (Allard 2011). Although only small percent of used tyres make up the total waste in a given region or city, only a small percent of used tyres are recycled. However, technology has helped greatly in the reduction of the amount of tyres directed to waste disposal sites by making tyres smaller and durable (Gieré & Stille 2014). Therefore, thus some are being repurposed while fewer tyres end up in landfills. The most adverse effect of the used tyres is the production of toxic chemicals in the environment. (Epps 2007). It is unfortunate that in most cases, such as in America tyres are classified as municipal waste rather than a hazardous waste. If tyres are thrown away instead of being too recycled, they release chemical into the environment after the breakdown process. In addition, tyres contain oil that can contaminate soil thus being toxin to the animals, plants and human beings. Further, used tyres have been used to cause deliberate or accidental fires (Excerpta Medica & Netherlands 2008). After tyres are heated, they automatically become the source of fuel. Study indicates that almost half of the scrap tires find a second life in the generation of fuel (Rapra Technology Limited 2006). It is well known that fires caused by tyres are difficult to extinguish or to control. On the other hand, the smoke produced has particulates matter and toxic chemicals that are risky to human health such respiratory complication. (Trey 2011). Over the years, poor disposal of tyres have become the breeding ground for mosquitoes and other pests that transmit various diseases not only to the humans but also to both animals and plants. Rodents also use tyres are habitat from where they affect the human livelihoods in many ways. Based on the above environmental problem of poor disposal of used tyres, it is advisable to start a the Recycled Tyre Factory that will help in collecting used tyres and process them into useful products such as oil as described above. The Project Impact to the Community As indicated above there are many problems from the used car tyres in the society. One of the immediate impacts of the Recycled Tyre Factory project is that local residents will not have to think of how and where they will put their used tyres. The factory’s employees will be going round in the community to collect to the tyres before being delivered for processing. This will relive local residents from the burden of accumulating used tyre in their homes. In order to ensure that the community benefits form the initiative, the company will be buying used tyres based on the weight of the load delivered. However, the priced per kilogram of used tyre will be determined later. The main objective is to encourage the local residents to be willing to deliver tyres to the factory. Global warming and environmental pollution have been debated for long due to the impacts they have on the environment. (Beukering 2011). As noted above, used tyres increase the risk of contacting many diseases such as respiratory complications. These health problems are caused by the environmental pollution, which is partly contributed through burning of tyres or poor disposal (Evans 2012). Therefore, the Recycled Tyre Factory project will be instrumental in reducing such health risks to the local residents. Despite improving the economic situation of the residents through offering employment and income, the Recycled Tyre Factory project is expected to reduce the occurrences of fires and making homes, businesses and other properties more secure. In case accidental or deliberate fires are started in the community, it will be easier to put off since the area will not be having used car tyres. Consequently, the health complications mentioned above from the tyres will be reduced tremendously. Project Scope Objectives The objectives of the Recycled Tyre Factory project are as follows: Enhancing economic potential of the community through income generation and direct and indirect employment opportunities Reducing the rate of health complications due to burning of tyres or poor disposal. Minimizing the burden of used car tyres accumulation in the residential places or garages. High-Level Requirements The following table indicates some of the major requirements that are needed for the successful implementation of the project and delivery of the above objects. Requirements Description of Requirements Skilled Personnel Skilled personnel will be instrumental to provide services such as designing and assembly of materials for the final product. Further, the project will require experienced management team that will see through the processes of planning and implementation of strategic steps for the completion of the Recycled Tyre Factory project. Regular training will be required to ensure continued efficient delivery of services. Funding The project will not be successful without enough funding. The cost of the first phase of the project is estimated at $1,000,000, the second phase $500,000, while the third phase $100,000. The table below illustrates how the money will be spent. However, much of the money is going to the purchasing of materials and equipment, installation of offices and warehousing, and advertising. Suppliers of Material The raw materials for the Recycled Tyre Factory project will be used tyres but other components include chemicals, machines, among others. Suppliers of these materials will be competitively selected based on the quality and price, among other factors. Advertising Agent The public will be needed to know about the existence of the Recycled Tyre Factory and how they will benefit from the project. Therefore, the Recycled Tyre Factory will hire an advertising agent to inform the community. Land, Office(s), Warehousing, machines installation, etc The Recycled Tyre Factory project will require an expansive land for the processing. Further, the management team will need offices, which will act as the point of reference for all stakeholders. Further, installation equipment and machines for processing will be instrumental for the project. Additionally, the raw materials and final products or other materials will need to be stored in a secure warehouse. Therefore, physical places will be helpful in the smooth running of the project implementation. Major Deliverables The following table presents the major deliverables that the Recycled Tyre Factory project must meet in order for the project objectives to be satisfied. Major Deliverable Deliverable Description Designing The engineering students have already done the designing process. Project Charter The charter is aimed at procuring funding and support for the implementation of the project. Feasibility Study Four weeks after presentation of the project charter, the stakeholders, including donors will be meeting for feasibility evaluation. Funding The feasibility study will determine whether potential donors will find the project. Team Building Management team and other personnel will be formed after two weeks of procuring funding to overseer the implementation and strategic planning of the project. Purchasing of land and materials Materials and other requirements will be purchased three weeks after the team has been formed. Construction , Assembly and Installation of materials and equipment The process is expected to start in June 2016. Advertising Advertising will take place together with assembling as the residents will be required to be aware in advance Duration Timelines Deliverable Timeline Planning and Designing September 2015 – February 2016 Team building February –March 2016 Purchasing of land and materials March-May 2016 Construction, assembly, and installation June 2016-January 2017 The Tyre Factory Project Gantt-Chart Project Name: The Recycled Tyre Factory Project Date of Report: September 30, 2015 Task Start Date End Date Days Completed Days Remaining Project designing 08/15/15 09/12/15 46 0 Project Charter 10/01/15 11/30/15 0 61 Feasibility Study 12/01/15 02/16/16 0 139 Team Building 2/30/2016 03/30/16 0 182 Purchasing 03/05/16 05/30/16 0 243 Assembly and Installation 06/02/16 02/02/17 0 491 Executive Milestones The table below lists the high-level Executive Milestones of the project and their estimated completion timeframe. Executive Milestones Estimated Completion Timeframe Designing September- October 2016 Project Charter October-November 2016 Feasibility Study Two weeks after presentation of the project charter Team Building Three weeks after procuring funding Purchasing of land, equipment, and other materials Two weeks after the team has been formed. Construction, Assembly and installation Construction, Assembly and installation process is expected to start in June 2016 and end in January 2017. Budget Estimate Funding Source The source of funding for the project will come from donors as a form of grant. Estimate The following table provides summary of the estimated spending to achieve the Recycled Tyre Factory project’s objectives in the first phase as indicated in this project charter. Object Code Budget Item Cost (In USD) 01 Personnel 70,000 02 Contractual services 6,000 03 Purchasing of land and materials 650,000 04 Construction of offices, Warehousing, etc 250,000 05 Advertising 24,000 Total Expenditure 1,000,000 Expected Total Income (31st December 2017) 2,500,000 Expected Expenses (Year 2017) 900,000 Estimated Net Profit 1,600,000 Project Organization Roles and Responsibilities The following table outlines the roles and responsibilities of different stakeholders in the project Project Role Project Responsibilities Project Sponsor The person will be responsible for offering funding support for the completion of the project. Project Manager The person will ensure that all members of the personnel team are working in accordance with the mandated roles with the help of project coordinator. Project Coordinator Project coordinator will be organizing, regulating, and controlling the project stages to ensure every step is completed in time. He will be responsible for knowing areas to be prioritized Communication Officer The person will be responsible for the communication matters including liaising with any external stakeholders and disbursing information on behalf of the management. Contractual Officer The person will ensure that the project follows all legal procedures including protection of the copyright. Financial Officer The person will handle all matters pertaining to project finances. Project Charter Approval The undersigned acknowledge they have reviewed the project charter and authorize and fund the Recycled Tyre Factory project. Therefore, changes to the project charter will be coordinated with and approved by the undersigned or their designated representatives. Signature: Date: Name: Title: Sponsor Role: Funding the project Signature: Date: Name: Title: Project Manager Role: Managing personnel Signature: Date: Name: Title: Financial Officer Role: Handling financial matters Signature: Date: Name: Title: Project Coordinator Role: Organizing and controlling the project References Allard, B. (2011). Water pollution. Berlin, Springer-Verlag. Beukering, P. V. (2011). Recycling, international trade, and the environment: an empirical analysis. Dordrecht, Kluwer Academic Publishers. Elvik, R. (2009). The handbook of road safety measures. Bingley, UK, Emerald. Epps, J. A. (2007). Uses of recycled rubber tires in highways. Washington, D.C., National Academy Press. Evans, M. S. (2012). Tyre compounding for improved performance. Shawbury, Shrewsbury, Shropshire, U.K., Rapra Technology. Excerpta Medica (Firm), & Netherlands. (2008). Excerpta medica. Section 46, Section 46. Amsterdam, The Netherlands, Excerpta Medica. Limbachiya, M. C., & Roberts, J. J. (2014). Used/post-consumer tyres. London, Telford. Gieré, R., & Stille, P. (2014). Energy, waste and the environment: a geochemical perspective. London, Geological Soc. Trey, K. Y. (2011). The environment. Ibadan, Nigeria, Environment Communications. Rapra Technology Limited. (2006). Rubber in the environmental age - progress in recycling: a one-day seminar held at Rapra Technology Limited, Shawbury, Shrewsbury, Shrops., 18th November 1996. Read More