Institution Affiliated


Dateof submission:



To:All employees working on Rehabilitation Centre Project

From:Project Management Team

Financial Implication on the Rehabilitation Project

Iam pleased to announce that Rehabz Company will commence theconstruction of a Rehabilitation Centre from 1stFebruary this year. The project will ensure and enable people, whohave become drug addicts and had drug abuse issues, have a place ofrefuge as well as obtain professional assistance. The Company plansto offer all the employees an incentive for taking part in thisproject through half price payment for the rehabilitation costs if akinsperson is brought into the centre. Research has outlined that theregion is facing a terrible menace and rampant growth of drug abuserswho are ending up dying over time. Employees are encouraged to committhemselves to the completion of this project to not only gain fromthe reduced charges being offered but also to impact positively onthe society in the federal state. It is, therefore, important tofollow the stipulated procedures and instructions outlined by theproject manager to ensure effective and efficient flow of theproject’s operations as well as timely completion as projected.

Tasksto be conducted for the project are as follows

  1. Prepare site and foundation it will take four weeks at a cost of $ 18,000.

  2. Inspection of the foundation It will take two weeks at a cost of $ 5,000.

  3. Lay concrete in the dug foundation to create a strong base it will take ten weeks at a cost of $ 52,000.

  4. Continuous watering of the concrete placed in the foundation to ensure firmness it will take three weeks at a cost of $ 23,000.

  5. Construction of the skeleton structure and the walls for the Centre it will take twenty-one weeks at the cost of $ 132,000.

  6. Commence interior design as stipulated for Rehabilitation Centre’s it will take nine weeks at a cost of $ 275,000.

  7. Inspection of the work done it will take three weeks at a cost of $ 5,000.

Thetasks are expected to take fifty-two weeks at a cost of $ 510,000 asper the projections and estimation of the budget prepared.

Dueto the expected questions that may arise, below are some explanationsthat would assist in the understanding of the project’s objectivesand your role to play in this project.

  1. Wage package will be a rate per day as per the prevailing market rates.

  2. Completion of the assigned duties within the stipulated period will attract a bonus for the team working on the task.

  3. Any injury obtain while in the work stations will be fully covered by the company.

  4. Food will be served and offered at the stipulated time periods at no cost.

  5. The contract will be terminated when the project ends after 52 weeks.

  6. Any other project undertaken by the Rehabz Company shall give preference to this group of employees in case anyone applies for employment. It is meant to encourage and enhance long-term relationship.

TheCompany targets to enhance a major impact on the society and changethe community to a better place as one of its objectives. Many youthsin the region are idle hence turning to drug abuse. Theirrehabilitation will enable them go back to their productive state andchange their social and economic life. In the long run, the programwill have changed an estimated one thousand youths per year intonon-drug users. It would have adhered to the vision of the project asit would have contributed massively to the economy of the country.

Ifany employee has any question or challenge, one is encouraged toapproach the project management team and will be assisted to come toa reasonable conclusion. The Company sends its gratitude andappreciation to every person who has participated in the commencementof this project since their contribution is adhering to the group’svision line. The financial implication of any addition to the costestimates could result to major challenges in the project’sprojected period. The duration of 52 weeks would increase as thesequencing tasks will become costly than budgeted hence resulting tooutsourcing of funds. The wage rate has been established andevaluated at the current prevailing market rate, therefore, anyaddition n will be detrimental to the project’s lifetime.

Additionof estimates for all task duration and sequencing task would distortnot only the projected project period, but also affect the sequencingof the tasks. It would also have a qualitative effect on trust withthe federal state will have declined due to the agreement ofspecified dates. Cost of labor and materials, on an extreme level,could result in the discontinuation of the project as a budget of theproject had been prepared and is expected to be applied effectively[ CITATION Kat08 l 1033 ].Since the company is being funded, any increase in the cost estimatesfor both labor and material would affect the duration period of theproject, the number of employee engaged in the project due to layingoff some and the profit of the funder’s corporation.

Belowis a Gantt chart showing the operations[ CITATION Tim11 l 1033 ]


Kloppenborg, T. (2011). Contemporary Project Management. South Western: Cengage Learning.

Schwalbe, K. (2008). Introduction to Project Management. South Western: Cengage Learning.