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How to Make a Project Plan

Last Updated: October 4, 2023 References

This article was co-authored by Ksenia Derouin . Ksenia Derouin is a Business Strategy Specialist, OBM, and Artist based in Grand Rapids, Michigan. With over ten years of professional experience, Ksenia works with wellness and social impact sector solopreneurs and organizations to support their business strategy, operations, marketing, and program development. Her mission is to support business owners in building thriving businesses and creating impact so that they can achieve a sense of purpose, career fulfillment, and financial independence. This article has been viewed 20,535 times.

A good project plan allows you to present a complete picture of your plan to stakeholders, including the timeline, workflow, and cost estimate. Keep reading to learn more about the in-depth information you should include in your plan!

Organizing the Project Workflow

• The project sponsor is the person or business that provides the funds for the project. They usually own the end result. Usually the sponsor has to sign off on all big decisions.
• The management team are the ones who oversee the project. Usually each member of the management team heads a division that carries out specific tasks to complete the project.
• End users are people who will use the project when it's finished. Visitors to a building, for example, are end users. You usually don’t meet with end users, but you should take their potential concerns into account while planning the project.

• Speak with the project sponsor to understand their expectations and work out the project goals. Begin by consulting with them.
• Meet with the management team before drawing up concrete plans to understand the budget, timeline, necessary resources, and risks of the project. If the managers bring up any concerns about the project, take them seriously. They are the ones who have to carry the project out and can identify potential problems.

• For instance, a project scope could be building a new luxury apartment building. All the subsequent planning will build towards this end result.
• Make sure the project scope is feasible. For example, if a sponsor wants to travel to Mars next year, this is probably not a manageable scope. Talk with the sponsor and inform them of what is currently possible, and then work out a scope you can meet.
• If the sponsor is not entirely sure what the intended scope for the project is, help them work it out. Speak with them and the project managers to come to a conclusion on what the end result should produce.

• If the goal is building an apartment building, important milestones would include purchasing the land, getting the building permits, laying the building foundation, constructing the frame, and so on until the building is completed. Identify all necessary milestones like these.
• List the milestones in the order they have to be done. For example, you can’t lay the foundation until you have construction permits. Keep your project flow organized like this.

• Part of this workflow is making sure people aren’t bothered with problems that aren’t in their department. For example, the person responsible for landscaping around the building doesn’t need to know if there was an issue with the phone lines in the building, so they shouldn’t be contacted if such a problem occurs.
• Plan on writing this communications workflow in your project plans so all participants know who to contact if they need information.

Researching the Budget and Schedule

• If one milestone is “Lay the building foundation,” there are many substeps involved there. You have to contact potential contractors, get price quotes from them, choose a company, excavate the land, pour the concrete, and so on. Account for each of these substeps when making your estimate.

• If you're calculating the cost for the "Lay the foundation" milestone of an apartment building, the costs to account for include the price of concrete and other materials, the permits for pouring concrete, and the labor cost for the work. Research the average cost of each step to develop a cost estimate. Use the most up-to-date information you can find so your figures are accurate.
• If your company has analysts who have worked on these projects before, consult with them on these costs. It’s their job to account for project costs.
• Break your cost estimate into several different forms. Draw up a total project cost, cost per milestone, and cost per month or quarter. Project sponsors need this information to adjust their expectations and financing.

• For example, a new building requires construction permits. This means that no work can start until you get these permits, and all other steps are dependent on this step.
• Once construction starts on an apartment, you can’t start wiring the building until the foundation is constructed. However, you can start doing the landscaping outside while you wire the building, so these two tasks aren’t dependent on each other.

• Take the planning stage into account as well. For instance, building permits in your city may take 6 months to process. That means no construction can start for at least 6 months.
• While you're waiting for the permits, however, you can start negotiating with construction companies. Then when the permits come through, all the agreements are in place for work to start. Identify steps like these than can happen simultaneously to speed the process.
• When estimating project timelines, it’s often best to overestimate a bit. This way you have breathing room if there are any unexpected problems.

• For example, if you’re planning a building project, one potential risk is the price of raw materials going up and impacting the project budget. You might propose that working fast is the best option for avoiding this risk. Alternatively, you could propose buying certain materials ahead of time and storing them so the project doesn’t encounter unexpected price increases.

Presenting Your Project Plan

• Use clear, simple language when explaining your plan. Avoid jargon as much as you can so there are no miscommunications and everyone is on the same page.
• Clear statements like, "I will show you the three ways that this plan accomplishes our project goals," convey your message best.
• There are many options that can help you formulate your project plan and present it in a visually attractive way, helping with comprehension. For instance, you could present it like a Gantt chart to help stakeholders have a complete vision of the project.

• You don’t have to go through every calculation you made. Start by presenting the estimate for each milestone, and give a summary of how you reached that conclusion. If anyone wants more information, be prepared to go into more detail.
• Be concise and direct when explaining the budget. For example, state, "I've calculated a total budget of $15 million for this project. This includes $7 million for material costs, $1 million for permits, $5 million in labor costs, and $2 million in land purchases. I developed these estimates by researching the normal expenses for construction in this area last year. I'm happy to explain these calculations further if anyone wants more detail."

• If your team has a shared cloud folder or uses a communication software, upload the plan here. Also print off some paper copies to bring to the meeting.
• Your stakeholders may want a summary of the information without the entire report. Provide a handout that hits all the major points in your plan.

• Stating, "I'm confident that I've been comprehensive with this project plan, but I welcome any feedback or suggestions," shows that you're happy with the plan you produced but are flexible enough to work with a team as well.
• Take concerns from project managers seriously. They are the ones who have to carry the project out, and if they think one of your estimates is unrealistic you should consider revising it.

How Can You Become a Project Manager?

Community Q&A

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Expert Interview

Thanks for reading our article! If you’d like to learn more about making a project plan, check out our in-depth interview with Ksenia Derouin .

• ↑ https://www.projecttimes.com/articles/10-steps-to-creating-a-project-plan.html
• ↑ https://www.pmi.org/learning/library/milestone-different-planning-approach-7635
• ↑ https://www.projecttimes.com/articles/the-project-plan-how-much-detail-is-enough.html
• ↑ https://pm4id.org/chapter/11-1-defining-risk/
• ↑ https://www.usability.gov/how-to-and-tools/methods/kick-off-meeting.html

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• Starting a Business

How to Start Your Own Business

Last Updated: April 27, 2024 Approved

This article was co-authored by Art Lewin . Art Lewin is an Entrepreneur based in Los Angeles, California. He specializes in business, sales, marketing, and real estate investing. Art is the CEO and Founder of four companies based in Los Angeles: Art Lewin Bespoke, Healthy Choice Labs, SFR Properties, and Professional Business Network (PBN). Art is known globally for his exclusive custom-made and ready-to-wear business wear designs. Some of his notable clients include royal family members, politicians, and Hollywood stars including Hugh Hefner, Sylvester Stallone, Johnny Carson, Steve Allen, and William Shatner. wikiHow marks an article as reader-approved once it receives enough positive feedback. This article has 26 testimonials from our readers, earning it our reader-approved status. This article has been viewed 2,492,138 times.

Running your own business is a stressful but good career and life choice. It demands your patience and passion. Start by expecting to live your work until it is established, so it can get off the ground. There are many different opinions about how to start a business. Below are some basic ideas and guidelines to get you started.

Having An Idea

• Come up with business ideas by identifying things people need and are willing to pay for, that isn't provided in your area, or online, or which you can provide better than anyone else.

Making A Business Plan

• Knowing your cost of operations will be vital to determining if your business will be profitable, since you will need to make more than this baseline in order to remain in business.

Brandon Phipps

When starting a business, consider the benefits you can provide to your customers. Your main goal should be to assist your customer to solve a problem for a reasonable price. By providing such a service, you can earn a significant income while doing something you are skilled at and helping others. This philosophy is known as Ikigai (the life purpose), or the Japanese secret for career happiness.

• Evaluate your competition; if their market share or product offering is too strong and stable, then you will have a very hard time breaking into the market. No one will want to buy an equally priced or more expensive version of a perfectly good product or service which already exists.
• You will also need to explore the associated regulations and laws, especially regarding taxes. You should ask your local state authorities, as well getting information from the IRS. [6] X Trustworthy Source Internal Revenue Service U.S. government agency in charge of managing the Federal Tax Code Go to source
• Make sure there are no prohibitive costs, such as equipment which is too expensive to make the business profitable. For example, cars didn't take off until Ford figured out how to make them cheap by building more efficient equipment.

Making A Marketing Plan

• You will want to be sure that you are using marketing which is appropriate to the type of people you expect to be interested in your product or services. There is little point in using social media to, for example, advertise a 55+ only cruise line. Meanwhile, if you're advertising for your new dance club, a printed newspaper is probably not going to be your best bet. There is also no point in advertising a business only available in Chicago to people in Seattle, so consider physical location as well.
• If your services are seasonal you will want to consider what the best time of year would be to advertise. Also, television advertisements will need to be timed so that the right demographics will be watching when they air.

Getting Financing

Building Infrastructure

Building a Customer Base

• Advertise in a way that catches customers attention at a minimum and hopefully goes beyond to capture their imagination. Be creative and appeal to the right aspects of the customers you want to use your business.
• Offer free samples of what you do to the right people, in order to get people saying good things about what you have to offer. Word of mouth (i.e. good PR) is the best way to attract new customers. If you get bad reviews or negative feedback, respond positively and fix the problem. People will be much less judgmental about mistakes if you're willing to fix them.

Alena Le Blanc

Invest in tools that simplify working with clients. As a stylist, I rely on styling platforms for mood boards and outfit planning. I also use CRM software to manage client information, appointments, and communication efficiently. Try out different options until you find the best fit for your business and industry.

Getting Paid

Expert Q&A

• Make sure your product/service is appealing for the public area and community not just in your perspective if not how can you make it more appealing? Be sensible. Thanks Helpful 1 Not Helpful 0
• Ask people you know that run a home based business. They could help you get started. Thanks Helpful 1 Not Helpful 0
• Make sure your business looks professional and is attractive to the eye. Have a professional logo, branding that is consistent and a professional website to support it. There are several groups that will help you with all this, for example. Startyourownbusiness.net.au and vistaprint.com.au. Thanks Helpful 1 Not Helpful 0

Tips from our Readers

• Set up social media sites to spread awareness about your business.

You Might Also Like

• ↑ Art Lewin. Entrepreneur. Expert Interview. 11 June 2021.
• ↑ http://www.sba.gov/content/follow-these-steps-starting-business
• ↑ https://www.irs.gov/businesses/small-businesses-self-employed/starting-a-business
• ↑ http://www.tie.org/
• ↑ http://www.entrepreneur.com/article/57382
• ↑ http://www.entrepreneur.com/article/226059

About This Article

If you want to start your own business, first come up with a unique idea for a product or service that you think people would pay for. Then, look for funding by talking with your bank, looking for local investors, or approaching family and friends for start-up money. Next, set yourself up to work in an appropriate space, and buy whatever equipment your business needs. Finally, create a website for your business, find ways to advertise to your target customers, and network, network, network! For more information on starting a business, including writing business and marketing plans, read on! Did this summary help you? Yes No

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