TAG Heuer
Kassim Faour - 20200453
Lamees Bashasha - 20200536
Omar Shmaytilli - 20200240
Project Management - BMGT300
Fall 2022-2023
Date: 22 November 2022
TAG Heuer
TAG Heuer is a luxurious watchmaker originally based in Switzerland. The company designs,
manufactures, and markets watches and other accessories, such as eyewear and mobile
phones under license by other companies and branded by TAG Heuer.
Company Background
The company was first known as Uhrenmanufaktur Heuer AG, founded in 1860 by Edouard
Heuer in Switzerland. The TAG Group purchased a major stake in 1985 forming the name
“TAG Heuer”. In 1999, the french luxury goods conglomerate “LVMH” purchased 100 percent
of the Swiss company.
In 1980, TAG (Techniques d’Avant Garde), producers of complex products, such as
turbochargers for Formula one cars, and the British businessman Rob Dennis, acquired
Heuer.
In 1999, the company accepted a bid from LVMH (Louis Vuitton Moet Hennessy) valued at
1.15 billion (£452.15 million, $739 million).
Since then, the company has produced many famous watches, such as the Carrera, Monaco,
Link, Connected, Autavia, etc.
The company’s presence in the sports industry is one of the key factors responsible for its
fame.
TAG Heuer is the official timekeeper for multiple European football leagues, such as La Liga,
Ligue 1, and Bundesliga.
Moreover, it's also the official timekeeper for Gran Turismo Sport, a racing video game on
Playstation 4.
The company also entered unfamiliar markets when partnered with Red Bull Racing in
Formula one.
Mission
Statement: We believe that victories in life result from the choices we make every fraction
of a second.
The company also uses a famous slogan saying: Don’t Crack Under Pressure
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Organizational Structure
Tag Heuer follows a decentralized organizational structure. Its parent company LVMH follows
a decentralised structure to ensure that its houses control their affairs.
This implies that Tag Heuer follows the same method to improve its relationship with its
customers and maintain their satisfaction.
The company has fifteen subsidiaries around the continent which emphasizes that it has a
flexible structure to allow each subsidiary to innovate novel products and services for the
customers.
Core Values
Tag Heuer has a culture of avant-garde and a taste for challenge. It is empowered with
creativity and team spirit. Also, it ensures that the culture has an innovative approach and a
cool and free-minded spirit.
Strategy
Currently, Tag Heuer has a strategy to increase its presence on e-commerce platforms and
adopt a digital transformation position.
Key stakeholders
There are two types of stakeholders: internal and external stakeholders. In the internal
section, the key stakeholders are both the CEO of Tag Heuer and LVMH who are Frederic and
Bernard Arnault.
Also, the employees and managers within Tag Heuer are critical stakeholders of the
company, ensuring a constant innovative spirit.
In the external section, customers are key stakeholders to Tag Heuer and more precisely, the
customers who have an interest in athletic activities like Tennis, Golf, and racing.
Another type of external stakeholder is the suppliers. Tag Heuer ensures that its suppliers
follow the ethical practices of mining and retailing its supplied gold and diamonds.
The collaborators and ambassadors are vital types of external stakeholders for Tag Heuer.
Tag Heuer takes extreme care to choose the best ambassadors or collaborators with the
same drive as the company.
Statement of Work
Date Submitted
October 1, 2022
3
Revision number
90F2022
Project Name
Winding the Wheel - TAG Heuer
Project Identification Number
55b109
SOW Prepared by:
Kasim Faour - Lamees Bashasha - Omar
Shmaitilly
Figure 1.1
1. Description and Scope
a. Summary of work requested: A marketing strategy that will work on building
a documentary, introducing people to the history of the luxurious TAG Heuer.
b. Background: This project will aim to increase customers’ awareness about the
company and the stages it went through to reach its current position.
c. Description of major elements (deliverables) of the completed project: The
project shall use the services of insourced stakeholders:
● The company’s departments including Finance, R&D, and Marketing
departments.
● The top management will be part of the cast in the documentary.
The project will also use the services of outsourced stakeholders:
● Cast and Editors (Cinematography and production company)
● TAG Heuer’s Sponsors
● OTT media services that will stream the documentary (Netflix, HBO,
Amazon Prime, Hulu…)
The documentary will be shot in Switzerland.
d. Expected benefits: Increase the revenues due to the increase in its customer
base.
e. Items not covered in scope: The introduction of new products will not be
covered in the documentary.
f. Priorities assigned to each element in the project:
1. The company’s departments will ensure the feasibility of the project.
2. Finalize agreements with the sponsors.
3. Negotiations will be conducted between the production agency and
Tag Heuer.
4. Begin shooting and performing the documentary.
5. Formulate an agreement with the OTT media services.
2. Approach
a. Major milestones/ key events anticipated
Date
Milestone/ Event
January 2023
Initiate the project
April 2023
Assign the project objectives, budget, R&D, and the
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marketing strategy
May 2023
Collaborate with the participating sponsors
July 2023
Agree with the production agency on the documentary cast,
place, and dates of shooting
August 2023
Begin shooting and performing the documentary
August 2024
Finalize shooting and performing the documentary
October 2024
Set a deal with the streaming OTT platform
November 2024
Launching the documentary
Figure 1.2
b. Special standards or methodologies to be observed: Agile methodology
since the project will be divided into several phases. Moreover, there will be a
collaboration with the stakeholders.
c. Impact on existing systems or projects: The products developed by Tag Heuer
will receive an increasing customer demand. New customer segments will be
attracted to the launch of upcoming projects.
d. Assumptions critical to the project:
● Uncertain cast and OTT media services decisions
● High viewer ratings
● Preceding the timeframe set
e. Plans for status report updates: Weekly meetings shall be conducted
throughout the whole project period.
f. Procedures for changes of scope or work effort: The project facilitates
clustering teams to cope with changes and provide written reports when
necessary.
3. Resources Requirements
a. Detailed plan/rationale for resource needs and assignments
Person
Role and Rationale
Saul Goodman
Project Manager
Lewis Hamilton
Finance Manager
Ragnar Lothbrok
Campaign Manager
Michael Scott
Production Manager
Sarah Williams
Tag Heuer Ambassador
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Lalo Salamanca
R&D Manager
Figure 1.3
b. Other material resource needs (hardware, software, material, money, etc.)
Computers, cameras, editing software, Microsoft Project, research engines,
investments, microphones, lighting equipment, etc.
c. Expected commitments from other departments in support
All participating departments are expected to commit to their tasks, complete
them on time, and follow the corresponding reporting system.
d. Concerns or alternatives related to the staffing plan
The alternative staffing plan will be constructed in the sense that each
internal manager in Tag Heuer has a coordinator who helps in the project
logistics and is ready to take over when needed.
4. Risks and Concern
a. Environmental risks:
● The risk of putting our resources into this expensive documentary, when
there are cheaper alternative opportunities that aim to achieve the same
goal.
● The diverse team members would lead to challenges in the cultural
environment of the team.
b. Client expectation risks:
● Tag Heuer’s expectation for higher viewer rates, and revenues
● Tag Heuer’s sudden alter of previously agreed decision on the production of
the documentary.
c. Competitive risks
● The competitor focuses on producing new products for the market while Tag
Heuer focuses on marketing.
● Sudden release of a competitive documentary that reduced the value of Tag
Heuer’s documentary
d. Risks in project development (technical)
● Unavailability of the necessary skills for using Microsoft projects.
● Loss of data gathered or produced
e. Project constraints
● Budget
● Time
● Human resources
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f. Overall risk assessment
Using SWOT analysis and risk assessment matrix to indicate our risks and plan ahead.
g. Risk mitigation or abatement strategies
●
●
●
●
Flexible shooting places (not limited to Switzerland)
Alternative cast members
Alternative internal managers
Avoid unnecessary delays
5. Acceptance Criteria
a. Detailed acceptance process and criteria
1. Tag Heuer requests the appearance of one of its ambassadors in the
documentary.
2. Tag Heuer requests specific cast members.
3. Approval of the data shared in the documentary.
4. The documentary should not be published later than 2025.
b. Testing /qualification approach
All quality control and testing decisions are coordinated by Tag Heuer’s
research and development department.
c. Termination of the project
When the documentary is released on the OTT platforms and an assessment
is conducted, the project will be terminated.
6. Estimated time and Costs
a. Estimated time to complete project work
The project is set to start in January 2023 and is expected to terminate in
October 2024.
b. Estimated costs to complete project work
The project is estimated to cost about $2 million between casting,
production, marketing, R&D, and other expenses.
c. Anticipated ongoing costs
Approximately $500,000 is our anticipated cost, including cast bonuses, OTT
extra charge, advertising the documentary, etc.
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7. Outstanding Issues
1. Poor communication between the internal departments and the production
agencies.
2. Poor performance of the cast members.
3. Internal problems inside the OTT platform.
Work Breakdown Structure
Breakdown
Description
WBS
Documentary Launching Project
Code
1.0
Deliverable 1
Match Tag Heuer’s Departments to their
Tasks
WP 1
Preparation of the project’s budgeting by the 1.1.1
finance department
WP 2
Collection of the relevant data that is to be 1.1.2
documented by the R&D department
WP 3
Construction of the marketing strategies by 1.1.3
the marketing department
Deliverable 2
Collaborate with participating sponsors
WP 1
Agree on investing terms and amounts 1.2.1
granted by the sponsors
WP 2
Plan the appearance duration of the 1.2.2
sponsors in the documentary
Deliverable 3
Seek and hire a production agency
WP 1
Pick the cast members and hire them
1.3.1
WP 2
Assign the shooting locations and dates
1.3.2
Deliverable 4
Begin shooting
documentation
WP 1
Submit periodic reports
1.4.1
WP 2
Publish advertisement for attraction
1.4.2
Deliverable 5
Finalize shooting and performing the
documentary
8
and
performing
1.1
1.2
1.3
the
1.4
1.5
WP 1
Audit the content for the approval of the Top 1.5.1.
management
Deliverable 6
Set a deal with the streaming OTT platform
WP 1
Agree on the documentary’s streaming 1.6.1
duration on the platform
WP 2
Accept a financial offer from an OTT 1.6.1
platform
Deliverable 7
Launch the documentary
WP 1
Evaluate and monitor the impact of the 1.7.1
documentary on the development of Tag
Heuer
1.6
1.7
Figure 2.1
Responsibility Assignment Matrix (RAM)
Lead Project Personnel
Deliverable
Task
Code
& Saul
Lewis
Goodm (Finance
an
M)
(Project
M)
Match Tag
Heuer’s
Depart—
1.1
Preparatio
n of the
proj—
1.1.1
Ragnar
Michael
(Campaig (Productio
n M)
n M)
Collection
of
the
relev—
1.1.2
Constructi
on of the
mar—
1.1.3
Collaborate
with
partici—
1.2
Agree on
investing
ter—
1.2.1
Plan
the
9
Sarah
(Ambass
ador)
Lalo
(R&D M)
appear—
1.2.2
Seek and Pick
the
hire
a cast
prod—
membe—
1.3
1.3.1
Assign the
shoot—
1.3.2
Begin
shooting
and perf—
1.4
Submit
periodic
report—
1.4.1
Publish
advertis—
1.4.2
Finalize
shoot—
1.5
Audit the
content for
the—
1.5.1
Set a deal Agree on
with th—
the
1.6
docume—
1.6.1
Accept a
financial
offe—
1.6.2
Launch the Evaluate
docum—
and
1.7
monitor
the
impac—
1.7.1
Responsible
Notification
Support
Approval
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Figure 2.2
Risk Factor Analysis
1. Risk Impact Matrix
Risk Factor
Consequence
Likelihood
Impact Potential
High
Low
Moderate
in Medium
High
Minor
C. Loss of data High
gathered or
produced
Low
Serious
D. Information
conflict
Medium
Serious
A. Budget cut
B. Delays
shooting
Medium
Figure 3.1
2. Contingency Document for adjustments to Project Plan
Probable
Adjustment to Plans
11
Event
Absenteeism
Having Stunt Doubles available
Technical
damages
(Equipment)
Equipment reserves are ready to be used
when necessary.
Loss
of Storage of data in a decentralized cloud
gathered data system.
Information
Conflict
Conducting
frequent
brainstorming meetings.
socializing
and
Figure 3.2
Cost Estimation and Budgeting
Cost estimation technique
The feasibility cost estimation technique will be applied to measure the approximate
expenses and costs. Since most of our tasks are outsourced, from the cast members to the
production agency and the OTT platform, it is challenging to measure the expenses we will
endure in the early stages.
Cost Estimation Sheet
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ESTIMATE AND QUOTATION SHEET
Project No. 10339
Description: Documentary
Type No. 30
Work Package No. 1.3.1
Task No. 24
Estimate No. 76
Work Package Description: Pick the cast members and hire Task Description: Budgeting
them
Internal Labor
Skill
Category
Rate
Hours
Cost
Researcher
KF3
19.20
50
$ 50,600
Negotiator
OS9
14.50
15
380
Actors
LB1
15.60
80
100,000
Payroll manager
PSG7
18.00
40
8,000
Subtotal, Hours and Costs
185
$ 118,980
Labor Contingency (10%)
80
30,000
Total Labor, Hours and Costs
265
$148,980
Overhead (70%)
200,000
Gross Labor Cost
$348,980
Bought-Out Costs
Materials (Specify): computers, hiring system, mobiles
$ 10,000
Finished Goods (Specify): N/A
Services and Facilities: Actors agencies, transportation, auditioning 30,000
studios
Subcontract manufacture (Specify): N/A
Subtotal
40,000
Contingency (5%)
5,000
Total Bought-out Costs and Expenses
$ 45,000
Expenses
Specify: auditioning studios, transportation, salaries
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$ 100,000
Total Bought-Out Costs and Expenses
$ 145,000
Profit %: N/A
Total Quoted Sum: Gross Labor plus Bought-Out Costs and Expenses
$ 493,980
Compiled by: Kassim Faour, Omar Shmaitilly, Lamees Bashasha
Approved: Adolf Hitler
Date: October
27, 2022
Figure 4.1
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Project Scheduling
Figure 5.1
Figure 5.2
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