Project Management Plan: Sao Paulo, Brazil Store Opening

Professor: ___________________
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Team members:
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Instructions
This template of a project management plan contains instructions to project managers as well as
basic examples of how to complete this document. The italicized text in square brackets clarifies
the objectives and context for the information requested in the document and gives further
instructions to project managers.
When completing this project management plan template, (1) modify all existing text to fit the
specifics of your project and (2) delete all instructional information that appears in brackets. (3)
Your project management plan and all appendices will be submitted as two files: one MS Word
document using this template and one MS Project file that your team creates. You will need to
export any elements drafted using MS Excel to include as appendices in this document.
 Project Management Plan: Sao Paulo, Brazil Store Opening

1. Introduction

The Sao Paulo Store Opening Plan is being prepared for all project stakeholders, including

the project sponsor, senior leadership, and the project team.

2. Executive Summary of Project Charter

Terrapin Construction Supply, Inc, (TCS) is expanding its home improvement and building

supply retail business to underserved international markets, implementing focused strategic

initiatives and challenging its competitors on the global stage. International expansion into

Brazil presents exciting opportunities to tap new markets, increase revenues, and generate

growth for long-term stability. Reducing operating costs, increasing resiliency, and improving

brand image are significant drivers impacting TCS international strategy, particularly as

domestic indicators anticipate an extended downturn in the U.S. economy.

The new international store will be situated on previously purchased property in Brazil’s most

populous city, São Paulo, and will be similar in size and scope to its domestic stores, bringing a

new shopping experience to new clientele in its spacious 100,000 SF building footprint and

outdoor garden center. With a grand opening scheduled for December 15, 2023, the store will

offer all amenities and products available within the home improvement arena stocked through

five major product groups. The store will be managed and operated by a local team hired and

trained by TCS personnel.

The scope of this project is to build, stock, and open a fully operational retail TCS store in São

Paulo within 10 months and project budget of $19.7M. Key stakeholders include Project

Sponsor TCS CEO Latoya Green, TCS Board of Directors, MCS CEO Jillian Best, and the

Mayor of São Paulo Ricardo Nunez who represents strong local community support. The store

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design will be based upon existing store layouts with construction completed by a selected local

general contractor who will coordinate all necessary subcontractor activities. Inventory will be

selected, procured, and stocked on shelves in advance of the December 15th grand opening. Any

other activities not specifically identified including property acquisition, marketing, and publicity

are not included and are not a part of the scope of the project.

3. Scope Management

This portion of the paper will explain the Gantt chart and the work breakdown structure

(WBS(Appendix 1)) . This section breaks down our choices between time management for each

step of opening the new retail store for Terrapin Construction Supply, Inc. in Brazil.

To begin, we decided to give the finance team time to gather the necessary documentation for

loans for the construction. Since we decided to start the process in March, a whole week should

be enough time to gather the financial documentation needed for the construction loan. We

decided to collect this information as we begin interviewing the contractors since we will need to

present architectural plans and contractor bids to the bank.

While interviewing contractors, the tax returns and a current profit and loss statement will be

needed, as well as a business balance sheet, according to Arizona Financial Credit Union. Once

we have financial approval, we can consider the bids for the contractors we interviewed. We

have given this an entire month to complete. We understand schedules are challenging to bring

together, and we want to provide the contractors with time to gather the information they need

for their bids before we make an entire decision.

Once we have chosen a construction team to complete the building, we begin the longest part of

the project. The design and construction of the building and the garden center are estimated to

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take up to 8 months. We are allotting time for any delays, and since we are starting at the end of

April, we should miss the rainy season in Brazil (see the risk management section).

While designs are being finalized, we can begin gathering the materials for both the construction

site and the garden center. The garden center will take place after the central portion of the

construction of the building is completed. We will begin the garden center four months into the

construction in the middle of July.

The final inspection of the building and walkthrough will be completed by late September. This

gives us ten months to complete the project's most significant and crucial part.

After the building has been completed, we will begin the work on the interior of the building by

fitting it for fixtures and systems. We broke this down into three sections, setup, floor layout,

display information, and procedures.

For floor setup and layout, a blueprint of the interior must be placed together to see the best

places for each of our products. This will also give the company a great way to see how best to

direct traffic with the building with the store fixtures. Once this is complete, the installation of

the fixtures can be placed into the building ready for stocking the product.

While the installation of the fixtures is being completed, the display information for the products,

such as banners, sale logos, price cards, and other designs, can be worked on by our marketing

team. When the display is ready to be shipped to the Brazilian store, we can have this checked

out to ensure it is accurate and understandable to the Brazilian population. Finally, a simple

installation of the display information for each product placed in the fixtures is straightforward

for the customers to read.

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Finally, the systems for the store must be hardwired and installed into the building. This will

include security and alarm systems and the information system for the retailing of the product.

Once the system is installed, training will need to be implemented so that it is easy to understand

and train other employees. To complete this step, we advise that a system procedure guide be

created to explain each step of the system so that the employees have a guide to reference if it’s

ever needed.

While we are working to have the fixtures installed, we can begin to order the inventory to be

stocked in the store. Since ordering and shipping can take a few days between getting from the

US to Brazil, we gave this a week to get the supplies in and effectively on the fixtures and selves.

Receiving the inventory and signing for it would be a simple procedure, but it should take time to

ensure everything ordered has arrived. After checking the supplies, placing them in the

designated spaces is essential. When this is complete, the excess stock should be placed neatly in

the back of the house and itemized to know what we still have versus what is needed. This will

help to prepare the next inventory shipment.

Finally, before opening the store, hiring employees for the store will take two months to

complete at the earliest. Advertisements for employees can begin once we have completed the

building construction and continue through the fixture installation and stocking phases.

The hiring process and interviewing will take most of the time to complete. We allotted an entire

month to this. This, plus orientation and training of the staff, are going to be an ongoing process.

As new products emerge, further training will have to occur—finally, the opening and selling of

the products and refining the employees’ skills.

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4. Schedule/Time Management

Regarding our critical path, we have broken the complete construction into Milestones. Below is

a full breakdown of the crucial path for steps that must be completed before moving forward.

“(This) is used by project managers to determine the latest completion date for a project. The

term path is used figuratively, to denote navigating a complex set of project tasks and critical

activities that will lead to the latest possible completion date. (Critical Path 2023).” Obtaining

financial approval must be the first milestone that needs to be completed. Without economic

permission, we cannot continue the contract to build the store in Brazil. We have allowed a

month to gather the documents and begin the loan approval process as we move into the

construction, which would take up the most significant portion of the project. We decided on

four months for the building and three more months for the garden construction. These two will

go hand in hand while other tasks are being completed.

Once construction is completed, we will need to begin the installation of the fixture and systems

for the building. This step must be the next milestone since it is required to stock the inventory

and sell the products. The final two milestones would be the hiring process, which can occur

while fixtures are being installed, and the employees’ training. Once this is completed, we can

have the store open and sell our products. Our estimated time is projected at eight months for

completion and opening on 12/20/2023.

❖ MILESTONES

The table below lists the key milestones for this project, along with the estimated timeframe

for completion:

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Milestone Estimated Timeframe for Completion

Obtain Financial Approval 30 days (03/15/2023 - 04/25/2023)
Building and Garage Construction 125 days (04/17/2023 - 10/06/2023)
Garden Center Construction 89 days (04/25/2023 - 08/25/2023)
Fixture and System Installation 15 days (10/06/2023 - 10/26/2023)
Stocking and Inventory 9 days (10/24/2023 - 11/03/2023)
Employee Training 14 days (11/09/2023 - 11/28/2023)
Store Opening Date 12/20/2023

5. Cost/Budget Management

The project budget is $19,700,000.00 for the entire scope of the design, construction of the retail

store, garden center, garage, parking lot, outdoor space, outfitting and stocking inventory for the

entire 100,000 sq. ft. Terrapin Construction Supply, Inc. retail store as discussed in the Scope

Management Plan. Cost estimate breakdown (Appendix 4) is comprised of 15 line items found in

the cost estimate breakdown chart as design store $12,200.00, obtain licenses and permits

$45,000.00, prepare site and lay foundation $1,350,000.00, construct garage $500,000.00,

construct retail store building $11,500,000.00, construct and pave parking lot $70,000.00,

construct garden center $27,000.00, install IT, communication, and security systems

$1,164,500.00, landscape exterior grounds $93,000.00, outfit store with shelves and fixtures

$260,000.00, hire staff and train personnel $1,030,000.00, procure store inventory

$3,500,000.00, grand opening $50,000.00, open store $5,000.00, and close project $2,500.00.

Each item has built in reserves of 10% that will allow a minimum of changes upon the approval

of the project management team and the principal stakeholders. Careful attention will be paid to

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keeping the project within the scope, cost, and time allowed for project completion (University

of Maryland Global Campus UMGC, 2022).

Monies for the project line items may be de-obligated at any time and may be used to support

other project items’ cost at the discretion of the project management team with the approval of

the stakeholders as a change in scope and cost if required (PMI, 2017).

This project budget was devised by using analogous estimating, a technique for estimating the

cost of an activity or project using historical data from a similar activity or project. The models

for this project are the retail home improvement stores that were built in the United States. The

cost for building a retail home improvement store is $10,500,000.00 in 2021 and the cost for

stocking the store is $3-5 million (Orona, 2022). The hourly rate in Brazil is $3.09 while the

hourly rate in the United States is $16.10. The cost in man hours will offset the high costs

associated with importing most of the materials and building supplies from sources outside of

Brazil, supply chain and shipping issues, and the cost associated with training of inexperienced

building teams that will require instruction and close supervision. In addition, there will be

compliance issues for obtaining licenses and permits in Brazil that makes it a complex and

challenging environment for construction and building enterprises. Other obstructions and delays

that may increase the costs may be due to the weather, inflation, exchange rates, taxes,

accountancy rules, regional nuances, local rules, negotiations, security, penalties, lack of

infrastructure for public water, sewer, electricity, and other utilities (Fernandes, 2020).

Requirements for employing Brazilian construction companies and personnel as well as

requirements for hiring all Brazilian workers such as subcontractors are mandated by law. The

construction company that wins the bid and that is selected to do the work will provide their line

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item list in detail for building supplies, labor, any subcontracting costs associated with paving the

parking lot, site preparation and construction of the building, the garage, and garden center.

Landscaping will be contracted out to a local landscape architect firm in Sao Paulo. Activities of

procuring the inventory for sale in the store are assigned to the TCS Procurement Department.

The actual work of stocking shelves with inventory will be conducted by local employees who

will be hired and trained by TCS Human Resources.

The project management team will schedule and conduct meetings on a weekly basis with major

stakeholders or more frequently as needed until the project is completed and the store opens for

business.

6. Human Resource Management

The Human Resource Department (HR) is responsible for hiring and training new staff

for TCS retail store in Sao Paulo, Brazil. The HR department will start by hiring and training the

management team. The training management team consists of a store manager, assistant store

manager, operation manager, HR/ payroll manager, and five department supervisors. The human

resource department will hire locals to fill positions, and a Portuguese translator will integrate

into the training process with their American counterparts. The hiring and training process will

begin two months before the grand opening. In addition to the management team, HR will hire

and train 120 employees one month before the store's opening for operations with four-hour and

eight-hour shifts. The HR department will spend approximately $700,000 for store setup,

Training, pay, hotel, travel, meals, and incidentals. The project management team will allocate

another $200,000 to build a classroom and practical hands-on training program for 125

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employees—$100,000 for contingencies and operational sustainment (Gentry, 2003). The total

HR cost will be $1000,000, based on the Depart of labor salary, the number of employees, and

training requirements. Local and Training team salary chart and conversion rate chart:

TCS Corporate Training Team Hourly rate

Store manager $36

Assistant store manager $31

Operation manager $26

HR/payroll manager $19

5 supervisors (to train 120 employees) $17

Local Managers Brazilian Hourly rate US Hourly rate

Store Manager R$33.68 $6.54 (USD)

Assistant store manager R$30.00 $5.82 (USD)

Operation manager R$28 $5.43 (USD)

HR/payroll Manager R$25 $4.85 (USD)

Portuguese translator R$46 $8.93 (USD)

120 Employees R$15.87 $3.08 (USD)

7. Stakeholder Management Plan

Key Stakeholders

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Client Terrapin Construction Supply, Inc. (TCS)

Sponsor TCS CEO Latoya Green
Project Co-Manager MCS CEO Jillian Best
Project Co-Manager Brianna Parker
Project Team Members Marilyn Kennedy, Garfield Mignott, Donnell
Morina, Mike O’Callaghan, Brianna Parker,
Nicole Torralva
Local Government Agency Brazilian Institute of Environment and
Renewable Natural Resources
Local Government Agency Ministry of Labour and Employment
Local Government Official Sao Paulo Mayor Ricardo Nunes

The project has identified actual and potential stakeholders, both internal and external, that may

affect the completion of this project. Top Management includes the project sponsor Latoya

Green (CEO of Terrapin Construction Supply) and MCS CEO Jillian Best.

Top Management includes the project sponsor Latoya Green, CEO of Terrapin Construction

Supply), along with TCS’s CFO and COO. These are key internal stakeholders who ultimately

approve the allocation of resources and approve decisions made by the project team (Stakeholder

Management, 2023). Communication should be consistent and thorough. After an initial

presentation wherein the proposed project plan is detailed and explained, status reports will be

provided on a schedule decided by TCS. They will also be informed if any project risks emerge

and be consulted during decision making when executing contingencies. TCS expects the Sao

Paulo store to be constructed on time, within budget and to

The Project Team, including the MCS CEO Jillian best, are also key internal stakeholders that

have a vested interest in the success of the project. Successful execution will bring prestige and

a long-lasting relationship with TCS and provide TCS with an international presence for their
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business. Communication between the project team should be constant and highly informative to

keep the project on time and within budget. MCS expects to faithfully execute the Sao Paulo

store and establish a continuous relationship with TCS to develop stores in other foreign markets.

BRR and subsequent subcontractors and suppliers are counted as external stakeholders. Their

main concern is designing and building the Sao Paulo store with proper specifications while

maintaining quality and safety. They must be apprised of the standards TCS requires and

communication should be very high. Weekly check-ins will allow for issues to be identified and

resolved quickly. BRR expects to secure future contracts with TCS if they further develop in

Brazil which will also benefit the subcontractors and suppliers they regularly purchase from.

Key External Stakeholders involve the Brazilian government, particularly the Brazilian Institute

of Environment and Renewable Natural Resources and the Mayor of Sao Paulo Ricardo Nunes.

The former is responsible for providing the necessary permits for new construction. Full

disclosure is crucial to avoid legal problems midway through construction. This agency expects

TCS and MCS to adhere to Brazilian laws, particularly when protecting the environment such as

the Brazilian Rainforest. The Sao Paulo Mayor is concerned with improving the lives of his

citizens through gainful employment and economic strength. He can also sway public opinion.

External stakeholders also include the Brazilian customers. TCS and MCS will ensure they

know the Sao Paulo store will be a welcome addition to the city. Marketing will influence their

opinion.

8. Risk Management

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Risk management is a critical, cost-effective method to increase operational success. Every

business venture has risk associated with it; project management teams incorporate a risk

management step into each project management plan to address potential issues. Risk

management experts use a risk register matrix to help the project management team adequately

recognize and prepare for project risk. The risk register in (Appendix 4) identifies, evaluates,

mitigates, and controls liabilities (UMGC,2023 a). The project management team identified ten

potential risks and correlated mitigation strategies using the risk register matrix for the Sao

Paulo, Brazil, store opening.

Weather and natural disasters: Sao Paulo, Brazil, has extreme weather conditions that can

delay construction and increase the project cost. The region has extreme summer heat and heavy

rainfall from the end of summer into the fall (Roncancio & Nardocci, 2016). The project team

will consistently monitor weather conditions and project progression. The project team also has

additional workforce and workday contingencies during that period to mitigate the impact on

construction.

Health and safety hazards: Unsafe work environments can lead to costly litigation, fines,

penalties, and project delays. Extreme weather conditions drastically increase the probability of

heat exhaustion and slip-and-fall accidents during summer and fall (Roncancio & Nardocci,

2016). Unsafe use of equipment and work practice also increases safety hazards. The project

management team will encourage unsafe practice reporting and increase managerial project

safety oversight. The oversight managerial staff will also implement additional safety measures

and procedures for all employees to accommodate the seasonal changes.

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Budgeting: Proper allocation of funds can prevent the project from going over budget and

potentially going bankrupting. The project management team will use our project cost matrix's

earned value management (EVM) concept to track and manage project finance (Bissonette,

2016). This process allows the project team to identify and monitor high-financial risk areas and

save expenses in costly areas while maintaining functionality and quality.

Low demand and economic stability: Sao Paulo, Brazil, is extremely unstable due to political

corruption and poverty (Eva Paulino, 2018). This instability has the potential to decrease short

and long-term projected profit margins. The project management team maximizes the Brazilian

market demand. The project management team will also monitor and forecast market conditions

to maximize profits. An additional control measure will be to have contingencies fund to combat

market swings.

A dramatic change in US-Brazilian dollar exchange rates: A drastic change in the currency

exchange rate can increase project costs and delay the project. The project team conducts

frequent exchange rate budget analyses and adds an emergency fund as a control measure. Due

to the current economic condition in Brazil, it is improbable that the currency exchange rate will

increase drastically (Eva Paulino, 2018).

Language and cultural barriers: Fluency in Portuguese and the Brazilian business culture will

prevent project delays due to errors in communication, both verbal and nonverbal. Project

timelines can be disrupted due to conflicting priorities or misunderstandings. Brazilian business

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culture emphasizes personal relationships and self-care above project timelines (Goman, 2013).

Hiring a consultant familiar with Brazilian culture and a translator will alleviate the impact of

these risks.

Labor and regulatory laws: The Federal Labour Inspection System, under the Ministry of

Labour and Employment, is responsible for overseeing compliance with health and safety laws,

workers’ rights and required hiring within the Brazilian workforce (International Labour

Organization, n.d.) Human resources will be in close contact with the FLIS prior to advertising

for open positions at the TCS store. It will make TCS an ethical and attractive employer and

continued compliance along the project timeline will prevent the store sitting idle.

Labor shortages: Labor shortages can cause major delays in the 10-month timeline. Fortunately,

Brazil has no shortage of labor. Brazil is one of the most productive workforces in the world and

is rapidly expanding (O’Neill, 2023). The key goal is to be competitive when it comes to

employment by providing fair wages, respecting labor unions, and ensuring TCS is sensitive to

Brazilian culture. TCS will want to endear itself to the local workforce.

Poor project management:Poor project management can have devastating effects on the

success of the TCS store. The Project Team at MCS has a vested interest in delivering for TCS.

The Project Co-Managers will commit to constant communication to resolve conflicts and issues

that arise in the project timeline. The Project Communications Coordinator will ensure

scheduled project meetings are kept and adjusted as necessary. The Project Timeline

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Management Lead will monitor and enumerate the effect that realized risks will have on the

project and assist the Risk Analyst with executing contingencies.

Supply and scheduling issues: Supply issues will negatively affect construction. BRR, being a

local design firm, can connect TCS with reliable, affordable, and trustworthy suppliers. These

suppliers ideally honor contracts particularly with cost. The Project Team will also stay apprised

of any possible interruptions in the local and global supply chains that may delay construction.

BRR should also supply acceptable substitutions should certain supplies become unavailable or

cost prohibitive.

9. Procurement Plan

To successfully deliver a new TCS retail store in San Paulo, Brazil, on time and within budget,

an effective procurement plan addressing management of multiple contracts including

professional services, construction, and supplier contracts must be clearly established to ensure

that construction is completed and necessary goods and services are procured in a timely manner.

This plan carefully considers proper planning, sequencing, and execution to fully support project

demands.

Given the complex nature of opening an international store, dedicated corporate TCS personnel

skilled with opening previously successful U.S. stores will be assigned to oversee and manage all

project procurement activities. These activities include the engagement of a primary design firm,

general building contractor, and various vendors committed to store stocking. Each contract will

consider applicable legal considerations related to professional services, construction activities,

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and inventory procurement and shall properly specify enforceable contractual provisions

governed by the laws of the State of Maryland.

TCS will contract with BRR Architecture, Inc., to utilize the proven services of its reliable

design partner for primary architectural design, leveraging on existing store layouts and plans to

kick off the project quickly. BRR, under the general direction of TCS management, will

consider the most cost-effective and innovative solutions to construct on the selected site and

will be the primary agent responsible for acquiring all permits and developing construction plans

for the fully functional retail store. Having built and established strong relationships with a wide

range of retailers around the world, BRR will create a new international TCS retail store which

will convey our vision and bring our brand of home improvement and building supply to a new

clientele (BRR, 2023). BRR will also act as TCSs on-site agent in construction administration

through the building construction phase of the project, overseeing all construction activities and

performing quality control to ensure that building construction meets all required standards. A

professional services contract based upon the Engineers Joint Contract Documents Committee

(EJCDC) standards consistent with previously executed professional services contracts with

BRR engaged as a Construction Manager as Advisor (CMA) shall be executed prior to

solicitation of general contractor services.

To obtain the most cost-effective and successful outcome, a request for proposals (RFP) for

building construction will be presented to select pre-qualified Brazilian general contractors (pre-

screened by TCS and BRR) for pricing and scope. A detailed statement of work (SOW) will

accompany the RFP outlining specific construction requirements and providing details associated

with the building and timeframe for delivery. General contractor proposals shall include any

necessary subcontractor services integral to building construction. Once proposals are received,

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an evaluation team comprised of TCS and BRR representatives will fully consider each

submission based upon established criterion and select the general contractor who is most

qualified to complete the turnkey project. While price is a significant consideration, it is equally

important that a qualified, dependable, and reputable general contractor is selected to safeguard

TCS interests and ensure that the store is opened to specifications within the timeframe

established. Contract documents, fully developed and reviewed by the TCS legal team skilled in

both U.S. and Brazilian contract law, will then be executed to kick off construction.

To engage local suppliers, TCS will evaluate local vendors who are qualified and capable of

providing select store inventory, with an achievable local goal of 20%. Remaining inventory

suppliers will be selected from qualified vendors with an international presence currently

supplying U.S. stores with inventory. Procurement negotiations for most competitive pricing

will be considered in making determinations for stocked inventory. Purchase orders

documenting the price, quantity, delivery window, and terms of payment will be initiated to

confirm that all vendors understand specific requirements associated with providing products to

the new store in Sao Paulo. Once inventory contracts are signed and POs are issued, these

contracts will be folded into overall project management responsibilities to ensure that the store

is successfully stocked prior to the scheduled store opening date (Watts, 2014).

TCS management will closely monitor and manage on-going contracts with BRR, the general

contractor, and various inventory suppliers through the course of the project. Regular status

updates, including budgets and schedule, will be conducted to thoroughly review work

performance to ensure that all contractors are meeting contract requirements. Regular

procurement performance reviews including inspections and audits should also be performed for

performance monitoring and successful project delivery (Landau, 2018). Finally, an on-site and

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dedicated TCS project manager will be assigned to oversee daily work and ensure project

activities and milestones are met throughout the project.

Conclusion
Sao Paulo presents TCS several opportunities for growth and the development of resiliency

within the organization. First, TCS expands its brand to the international market in an area where

the need for our services is demonstrated, offering an increased chance of success. Second,

through careful and strategic alliances both foreign and domestic, TCS stands to increase its

brand in the business-to-business market and develop further relationships with vendors. Finally,

by diversifying the markets that TCS operates in, they increase the resiliency of the organization

and buffer the bottom line by ensuring that if there are any other major disruptions towards our

other markets, that TCS can ensure it has a market with a profit already in operation.

Project Management Plan Approval

The undersigned acknowledges they have reviewed the Quebec City Store Opening
Project Management Plan and agree with the approach it presents. Changes to this
Project Management Plan will be coordinated with and approved by the undersigned or
their designated representatives.

Signature: Date:

Print Name:
Title:

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Role:

Signature: Date:

Print Name:
Title:
Role:

Signature: Date:

Print Name:
Title:
Role:

References
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BRR Architectures, Inc. (2023). Elevated Retail Design.

https://www.brrarch.com/portfolio/retail/

Commercial Construction Loan Requirements: What paperwork is needed? (2018) Arizona

Financial Credit Union. Available at:
https://www.horizoncommunitybank.com/commercial-construction-loan-requirements/
(Accessed: February 4, 2023).

Eva Paulino Bueno, E. (2018). The Solidarity Economy of Culture and Cultural Citizenship in
the ABC Region of São Paulo, Brazil. Cambridge Scholars Publishing.

Fernandes, K. (2020). Compliance in Brazil: what makes this a complex environment? Retrieved
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Gentry, C. R. (2003). Hiring Frenzy. Chain Store Age, 79(8), 79–80

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Goman, C.K. (2013). Where the truth lies across cultures. Forbes.
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Landau, P. (2018). Project Procurement Management: a quick guide.

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brazil/

Orona, J. (2022). Lowe’s home improvement in Leland one step closer to construction among
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Project Management Institute. (2017). Project cost management. pp 231-244. A Guide to the
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Roncancio, D., & Nardocci, A. (2016). Social vulnerability to natural hazards in São Paulo,
Brazil. Natural Hazards, 84(2), 1367–1383.
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University of Maryland Global Campus (2023 a). Project Risk and Risk Register. Document
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list/project-risk-and-risk-register.html?ou=722287

University of Maryland Global Campus (2023 b.) Learning topic cost estimating. Retrieved from
https://leocontent.umgc.edu/content/scor/uncurated/mba/2218-mba670/learning-
resourcelist/estimating-and-managing-costs.html?ou=722287

Watt, A. Barron, M., & Barron, A. (2014). Project Procurement. Project Management.
https://opentextbc.ca/projectmanagement/chapter/chapter-4-framework-for-project-
management-project-management/

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 Project Management Plan: Sao Paulo, Brazil Store Opening

APPENDICES:
1. Project Charter
2. Stakeholder Management Plan
3. WBS Diagram
4. Risk Register
5. Cost Estimate

Appendix 1: Project Charter

Project Charter: São Paulo, Brazil Store Opening

Background

Terrapin Construction Supply, Inc. (TCS), is expanding its home improvement and building supply retail

business to new markets, opening its first international store in São Paulo, Brazil in 10 months. The

average TCS store is 100,000 SF with additional outdoor space for a garden center and 200-space parking

lot, typically offering a minimum of 40,000 different products from over 3,000 vendors worldwide. Land

has already been acquired for the new store in São Paulo, which will need to be constructed and fully

stocked, with employees hired and trained before the grand opening.

TCSs expansion into the underserved international market focuses on untapped opportunities to bring new

home improvement tools to Brazil’s most populous, and wealthiest, city. This strategic initiative

complements its domestically successful 46 stores currently operating along the East Coast and will

expand TCSs talent pool and customer portfolio, improve its brand image, and provide competitive

advantages in the home improvement building supply market. International expansion will provide

growth opportunities, tax and compliance benefits, reduced costs, and increased resiliency that will lead

to long-term success.

Economic forecasts for the next 3-5 years within the U.S. indicate that inflationary trends and market

instability will continue to impact sales and revenue growth domestically. Growing TCS’s customer base

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 Project Management Plan: Sao Paulo, Brazil Store Opening

into new territories will capture new revenue and provide a positive outlook mitigating potential negative

downturn within the U.S. and provide positive footing for expanding throughout Brazil, South America,

and globally.

Goals

The objective of this project is to fully construct, stock, hire, and train employees to prepare for a new

retail store in São Paulo in 10 months.

● The new store should meet average TCS store requirements, being 100,000 SF with additional

outdoor space for a garden center and a 200-space parking lot. A minimum of 40,000 different

products from more than 3,000 vendors worldwide should be the target.

● Full construction should include fitting the store with all fixtures and systems, stocked with

inventory to last through the first two months of operation.

● Five major product groups should be present inside the store in the areas of plumbing and

electrical supplies, building materials, hardware and tools, seasonal garden and yard items, and

paint flooring and wall coverings.

● The store should include a manager, assistant manager, bookkeeper, information systems

manager, and a manager for each of the five major product groups. Additionally, customer

service employees to help with purchases on the store floor, cashiers, receiving and stocking

employees, and maintenance and janitorial employees should also be staff for full operations on

day one.

● Employees should be fully trained to open the store and handle all issues that may arise.

Project Goals:

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 Project Management Plan: Sao Paulo, Brazil Store Opening

● Goal 1: Design the retail home improvement store, garden center, and parking lot

● Goal 2: Construct the store, garden center and parking lot

● Goal 3: Outfit and stock the store with 40,000 or more products from vendors worldwide

● Goal 4: Hire and train employees

● Goal 5: Opening of the store by 10 months from start

● Goal 6: Maintain budget constraints

● Goal 7: Maintain the scope of the project

Scope

The scope of the project is to build a new home improvement retail store in São Paulo, Brazil in 10

months. The project includes all the requirements necessary for designing the store and operating the

store. Specifications include the size of the store which is 100,00 square feet with additional outdoor

space for a garden center, and a 200-space parking lot. The store needs to be stocked with 40,000 or more

different products from 3,00 vendors worldwide. The store is to have a garage and garden center. The

grand opening of a fully operational retail store with trained employees must take place by the target date

which is scheduled for 10 months from the start date of the project.

Costs associated with marketing/publicity are not included in the statement of work (SOW). Any other

activities or actions outside of the scope that are related to the costs of the operation of the store are not

included.

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 Project Management Plan: Sao Paulo, Brazil Store Opening

Key Stakeholders

Client Terrapin Construction Supply, Inc. (TCS)

Sponsor TCS CEO Latoya Green

Project Co-Manager MCS CEO Jillian Best

Project Manager Brianna Parker

Project Team Members Marilyn Kennedy, Garfield Mignott, Donnell

Morina, Mike O’Callaghan, Brianna Parker,

Nicole Torralva

Local Government Agency Brazilian Institute of Environment and Renewable

Natural Resources

Local Government Official Sao Paulo Mayor Ricardo Nunes

Project Milestones

The start date is February 15, 2023. The end date is December 15, 2023. Milestones include the design of

the store building, garage, parking lots, and landscaping, site preparation, obtaining permits and licenses,

contracting with a construction company, preparation of the site, lay foundation, construct the new store

building and finish the interior, construct the garage and garden center, outfit the store with shelves and

fixtures, install IT systems, pave parking lots and landscape the exterior of the store, stock the store with

inventory, staff, hire and train store personnel and open the store by the end date.

Project Budget

The project budget is $19,700,000.00 (USD).

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 Project Management Plan: Sao Paulo, Brazil Store Opening

Constraints, Assumptions, Risks, and Dependencies

Constraints Rainy weather, labor shortages, supply shortages,

political unrest, language and culture barriers,

corruption, and inflation.

Assumptions Favorable Currency Fluctuations USD to BRL,

Availability of importing supplies and materials,

trained subcontractors, approval of government

for project.

Risks & Dependencies Rainy season weather, employee strikes, health

and safety issues, environmental impacts,

approval of the project by issue of permits and

licenses.

Approved By:

______________________________

____________________________________

Chief Executive Officer, Latoya Green Project Manager

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 Project Management Plan: Sao Paulo, Brazil Store Opening

Appendix 2: Stakeholder Management Plan

Project Title: TCS Store in Brazil Date Prepared: 1/30/2023

Name/ Stakeholder’s
Position/contact Role particular Expectations Influence Classification
information interest
Latoya Project Sponsor Increasing the Sao Paolo High: Friend
Green/TCS economic store opened commissio
CEO/email & foothold of in 10 months ned project
phone TCS outside of and within and can
the U.S. budget alter plans

TCS CFO/ email Chief Financial Successful Sao Paolo High: Friend
& phone Officer execution of store opened approves
foreign placed within budget funding
store without
crippling TCS’
financial
stability

TCS COO/email Chief Operations Successful Sao Paolo Medium: Friend

& phone Officer execution of store opened oversees
Sao Paolo to day-to-day
store to specifications functions
develop and within of Project
operations TCS guidelines Team at
that can be MCS
replicated in
other markets

Cassandra Executive Assistant Assist Project Low: serves Neutral

Selzter/Executiv to Latoya Green communicatio completed as one
e ns between successfully level of
Assistant/phone MCS and TCS with CEO’s full communica
& email for project disclosure tion

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 Project Management Plan: Sao Paulo, Brazil Store Opening

duration

TCS Board of Board of Directors Protect the Sao Paolo Low: Neutral
Directors/shareh comprised of TCS equity of the store involvemen
olders/indirect shareholders shareholders profitability t is more
and avoid and increase big picture,
unnecessary in equity cannot
risk directly
veto
project

Jillian Best/MCS Project co-manager Highlighting Successful High: can Friend

CEO/email, the execution of influence
phone, in person competence retail store makeup of
of MCS and be opening for Project
a continued TCS CEO Team or
asset of a change
large client operating
such as TCS procedures

Brianna Stakeholder Support Keep High: Friend

Parker/Project Relationship project team prominent manages
Team/email & in Manager by identifying stakeholders interests of
person key content and different
stakeholders cooperative stakeholde
throughout rs to
the project prevent
and prevent project
delays in delays
completion
for overall
success of
Project Team

Donnell Project Timeline Support Monitor High: keeps Friend

Morina/Project Management Lead project team project track of
Team/email & in by keeping timeline and timeline
person every member progress to progress to
cognizant of adhere to 10- warn of
requested TCS month major
timeline and timeline delays
reflect
efficiency of

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 Project Management Plan: Sao Paulo, Brazil Store Opening

project team

Nicole Project Keep lines of Coordinates High: keeps Friend

Torralva/Project Communications communicatio and facilitates lines of
Team/email & in Coordinator n open and communicatio communica
person effective n between tion open
between Team Leads and
different and reaffirm resolves
Team Leads to project internal
ensure guidelines and project
successful scope team
completion of conflicts
project

Marilyn Project Research Arm project Research High: Friend

Kennedy/Project Coordinator team with costs ensures
Team / email & necessary (expected & project
in person information to unexpected) team does
make well- throughout not move
informed project span forward
decisions that with
can be unfeasible
defended to changes
TCS and MCS

Garfeild Project Risk Analyst Analyzes Predict risks High: Friend

Mignott/Project possible risks to project and ensures
Team/email & in and develops develop/exec project is
person strategies for ute able to
avoidance, contingencies address
mitigation, risk
transference appropriat
and ely and
contingencies with
for timeliness
acceptance

Michael Procurement Ensure Coordinates HIgh: Friend

O’Callaghan/Proj Coordinator construction with ensures
ect Team/email company has construction constructio
& in person needed company to n and
supplies and resolves staffing is
store can be supply issues done

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 Project Management Plan: Sao Paulo, Brazil Store Opening

fully staffed and TCS with according

upon timely hiring issues to project
opening timeline

BRR/Building Design: creates Design Design retail Low: must Neutral

Design/email & blueprint for blueprint to store to meet
in person construction of TCS TCS adhere to TCS design
retail store within specifications specifications specificatio
budgets and while and provide ns set by
specifications considering alterations for TCS Project
local Sao Brazilian Sponsor
Paulo marketplace
sensibilities

Brazilian Cultural Advises Top

Liason/email, Management and
phone & in Project Team on
person appropriate cultural
behavior for Brazilian
business dealings

Brazilian Provides necessary Prevent Ensures High: Neutral

Institute of licenses for unethical and TCS/MCS constructio
Environment construction projects unsustainable construction n cannot
and Renewable on Brazilian land businesses projects do begin
Natural from not negatively without
Resources/Gove constructing impact the licenses
rnment and operating environment and
Agency/email, businesses in and adhere to permits
phone, in person Brazil regulations

Luiz Directs employment Ensure gainful Ensures Medium: Neutral

Marinho/Ministe policies and defends employment workers rights can make
r of Labour and workers rights is available for are protected TCS store
Employment/em Brazilian and hiring less
ail, phone citizens practices are attractive
fair to
potential
employees
if
regulations
are not

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 Project Management Plan: Sao Paulo, Brazil Store Opening

followed

Construction Responsible for Construct safe Construct TCS Medium: Friend

company/ email, construction of TCS and functional retail store Constructio
in person retail store; located TCS store to safely and n can be
in Sao Paulo client within budget halted or
specifications impeded if
with minimal relationshi
delays and p is
injuries strained

Material Supplies building Sell as much To supply all Medium Neutral

Suppliers/Subco materials to supply as needed Influence:
ntractors/email construction available for materials and constructio
company clients secure future n can be
work with halted if
construction supplies
companies are
disrupted

Ricardo Project supporter Prosperity for Employment Medium Friend

Nunes/Mayor of citizens of Sao opportunities Influence:
Sao Paulo/email Paulo and increased Can sway
and phone economic public
growth opinion

Small business External Customers Being able to Increased Low Neutral

& Commercial find stores to competition influence:
buyers/potential supply to lower cannot
customers/email materials and prices in the affect
, phone and in knowledge to marketplace constructio
person spread to n
their own
customers

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 Project Management Plan: Sao Paulo, Brazil Store Opening

Sao Paulo External Customers Being able to Reliable retail Low Friend
Citizens/potenti find stores to store that will influence:
al supply bring cannot
customers/adver materials and employment affect the
tising knowledge for opportunities project
home and economic being built
improvement growth
projects

Appendix 3: WBS Diagram

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 Project Management Plan: Sao Paulo, Brazil Store Opening

Appendix 4: Risk Register

Impact: What are Risk levels if left unchecked

1. Potential risk potential Likelihoo Risk rating
Consequence
consequences? d (uncontrolled)
Weather and natural disaster Project delay and increase in
2.
project cost 4. Major MED
Unlikely

Is it possible to deal with Risk levels with controls

Other controls or tools
the risk? What is the
needed
method? Likelihoo Risk rating
Consequence
d (controlled)
The project team builds The project team consistently
additional workforce and monitors weather conditions
workday contingencies into the and project progression 1. Rare 3. Moderate LOW
project plan.

Impact: What are Risk levels if left unchecked

2. Potential risk potential Likelihoo Risk rating
Consequence
consequences? d (uncontrolled)
Health and safety hazards Litigation, fines, penalties and
project delay 2.
4. Major MED
Unlikely

Is it possible to deal with Risk levels with controls

Other controls or tools
the risk? What is the
needed
method? Likelihoo
Consequence
Risk rating
d (controlled)
Implement additional safety encourage unsafe practice
measures and procedures for all reporting and increase
1.Rare 3. Moderate LOW
employees managerial project safety
oversight
Impact: What are Risk levels if left unchecked
3. Potential risk potential Likelihoo Risk rating
Consequence
consequences? d (uncontrolled)
Dramatic change in US-Brazilian Increase in project cost and
dollar exchange rates need for approvals
3.Moderate 4. Major HIGH

Is it possible to deal with Other controls or tools Risk levels with controls
the risk? What is the needed
method?

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 Project Management Plan: Sao Paulo, Brazil Store Opening

Likelihoo Risk rating

Consequence
d (controlled)
The project team conducts Coordinate with TCS finance to
frequent exchange rate budget allocate an additional 10% for 2.
3. Moderate LOW
analysis emergency Unlikely

Impact: What are Risk levels if left unchecked

4. Potential risk potential Likelihoo Risk rating
Consequence
consequences? d (uncontrolled)
Project going over budget and Decrease the quality of the
potential bankruptcy material used. Take on
3.Moderate 4. Major HIGH
additional debt and halts
construction.

Is it possible to deal with Risk levels with controls

Other controls or tools
the risk? What is the
needed Likelihoo Risk rating
method? Consequence
d (controlled)
Add 10% emergency Identify and monitor high
contingency fund financial risk areas. Reduce
2.
expense in costly areas 3. Moderate LOW
Unlikely
without losing functionality
and quality
Impact: What are
5. Potential risk potential Risk levels if left unchecked
consequences?

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 Project Management Plan: Sao Paulo, Brazil Store Opening

Appendix 5: Cost Estimate

COST ESTIMATE: FOR TCS RETAIL LOCATION: SAO Paulo, Brazil

STORE
CONTRACT: For Design, build, outfit, and
opening store.
Duration: March 15, 2023-December 15, 2023
PROJECT NUMBER: 0001
LINE ITEM MATERIAL LABOR COST LINE COST($USD)
COST
NO.
001 Design Store $ 122,000.00
building and garden
center
002 Obtain Licenses and $ 45,000.00
permits
003 Prepare site and lay $ 1,350,000.00
foundation
004 Construct Garage $ 500,000.00
005 Construct store $ 11,500,000.00
building
006 Construct and pave $ 70,000.00
parking lot
007 Construct garden $ 27,000.00
center
008 Install IT, $ 1,164,500.00
communications, and
security systems

009 Landscape exterior $ 93,000.00

grounds
010 Outfit store with $ 260,000.00
shelves and fixtures

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 Project Management Plan: Sao Paulo, Brazil Store Opening

011 Hire, staff, and train Minimum wage $3.09 $ 1,030,000.00

personnel

012 Stock store with $ 3,500,000.00

inventory
013 Grand Opening $ 50,000.00
Ceremony
014 Open Store $ 5,000.00
015 Close Project $ 2,500.00
Activities

The estimated time to design build and outfit the Terrapin Construction Store in Sao

Paulo, Brazil is 10 months from March 15, December, 15, 2023. The project budget is

$19,700,000.00. The store size is 100,000 square feet. The budget for the actual store with

plumbing, water, and sewer lines; electricity installation, and all finishings are included in the

$13,500,000.00 allocated for the main building. The inventory and stocking inventory for the

store is estimated to be $3,500,000.00. Salaries and training hours will be set by Human

Resources. The hourly wage for Brazil is $3.09. The store requires 100-120 employees for store

operations with four-hour and eight-hour shifts. Other outdoor spaces such as the garden center

and parking lot cost are limited to $100,000 maximum without approval. The landscape budget is

$93,000.00 at present but is subject to change for review. Installation of IT, communication and

security systems are limited to $1,200,000. Approval is needed for any work over the budgeted

amount.

The store will be outfitted with shelves and racks at a cost of $260,000.00. This cost does

not include light fixtures and other finishes costs that will be covered in the main building

expenses.

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 Project Management Plan: Sao Paulo, Brazil Store Opening

The grand opening and day of store opening are part of the closing activities of the

Project Management Team and Stakeholders.

The contingency fee for the entire project is 10%. Insurance for the project build and any

legal fees are not included in the budget. Costs associated with marketing the store and any

publicity announcements are not included in the SOW. Any other actions outside the scope that

are related to the actions and other related costs of operations and expenses of the store are not

included.

36