HiLCoE School of Computer Science & Technology

Project Assignment Submission

CS 753- IT Project Management (Winter 2024)

Title of Your Project: Dynamic Traffic signal optimization using AI

Student Name: -Nurye Nigus Mekonen

ID: UO3520

To: - Mesfin Belachew /PhD/

November 2024
Table of Content

Contents
Chapter One: Project Charter..................................................................................................................4
Project Objective:....................................................................................................................................4
General Objectives..............................................................................................................................4
Specific Objectives..............................................................................................................................4
Project Scope:..........................................................................................................................................5
Project Constraint:...................................................................................................................................5
Core Team Members, name with responsibility:......................................................................................5
Stakeholders, with responsibility:............................................................................................................6
Estimated Project Budget in Birr:............................................................................................................6
Major Milestones:....................................................................................................................................6
Chapter Two: Stakeholders Analyze........................................................................................................8
Stakeholder Identification........................................................................................................................8
Stakeholder Analysis...............................................................................................................................8
Power-Interest Quadrant..........................................................................................................................9
Action Plan for Stakeholders...................................................................................................................9
Chapter Three: Project Scheduling........................................................................................................10
1, Work Breakdown Structure (WBS)...................................................................................................10
2. Activity List with Predecessors, Successors, Time Estimates, and Resources...................................11
4. Critical Activities...............................................................................................................................14
5. Critical Path and Project Duration.....................................................................................................14
Chapter Four: Risk Analysis..................................................................................................................16
Chapter Five: Cost Estimation...............................................................................................................21
Chapter Six: Project Cost.......................................................................................................................24
Chapter Seven: Quality Management....................................................................................................27
1. Quality Matrix...................................................................................................................................27
2. Achieving Quality in the Project........................................................................................................27
3. Types of Testing to be Done in the Project.........................................................................................28
Chapter Eight: Conclusion and Discussion...........................................................................................29
1. Project Overview...............................................................................................................................29
2. Project Team......................................................................................................................................29
3. Project Quality Assurance Mechanisms.............................................................................................29
4. Risk Mitigation Issues.......................................................................................................................30
5. Project Monitoring.............................................................................................................................30
6. Comparison of Project Charter and Actual Findings..........................................................................30
Conclusion.............................................................................................................................................31
Chapter One: Project Charter
Project Title: Dynamic Traffic signal optimization using AI
Project Manager: NURYE NIGUS MEKONEN
Project Objective:
General Objectives
1, Optimize Traffic Flow: Put in place a system that makes vehicle movement through
intersections more efficient, that reduces congestion and enhances traffic.
2, Enhance Commuter Experience: Minimize delays for all road users while reducing
travel time thus improving driving experiences.
3, Improve Road Safety: Make intersection points safer by managing traffic more
effectively to minimize accidents that may occur.
4, Promote Environmental Sustainability: Reduce vehicle emissions and fuel
consumption by minimizing idle times and improving traffic flow rate.
Specific Objectives
1, Develop Predictive Models: Create machine learning models that can predict
accurately how many cars will be on each junction.
2, Dynamic Signal Adjustment: Implement algorithms which adjust timings for traffic
signals dynamically based on real-time traffic data.
3, Real-Time Data Collection: Establish an ongoing system to collect information from
cameras placed at junctions.
4, User-Friendly Interfaces: Create simple-to-use mobile and web applications for
authorities concerned with monitoring, controlling the lights at different points along the
roads, etc..
5, Scalability and Adaptability: Make the system flexible enough to cater for all sizes of a
city and adaptable for different traffic patterns.

6, Stakeholder Training: Train traffic authorities on how to effectively use the new
system.
7, Public Awareness Campaign: Create public awareness about the new system and its
benefits to create a sense of community support and cooperation
8, Pilot Testing and Feedback: Test in some selected areas, get feedback, then refine
before proceeding with full scale operation.
Project Goal:
Creating and executing an AI-driven traffic light control system that makes use of real-
time traffic data and predictive analytics to dynamically adjust traffic signal timings to
optimize flow, reduce congestion, improve road safety and modernize our city.
Project Scope:
● Development of predictive models using historical and real-time traffic data.
● Implementation of dynamic traffic light control algorithms.
● Development of mobile and web applications.
● Integration with existing traffic sensors and cameras.
● Pilot testing in selected areas.
● Training and documentation for users.
Project Constraint:
● Project budget and timeline.
● Technical limitations of existing traffic infrastructure.
● Regulatory and compliance requirements.
Core Team Members, name with responsibility:
Nurye Nigus - Project Manager
With the following responsibilities
1. Project management
- Responsibilities: Oversee the entire project, ensure timely delivery, manage risks,
and communicate with stakeholders.
Nathnael Ephrem
2. Machine Learning training and modeling.
- Responsibilities: Develop and train machine learning models to predict traffic
patterns, analyze data, and optimize algorithms for traffic signal control.
Yonas Hailegebriel
3. Software Development (Mobile and Web)
- Responsibilities: Develop mobile and web applications for monitoring and controlling
traffic lights, integrate machine learning models into the applications.
Yordanos Shito
4. System Integration.
- Responsibilities: Integrate the developed system with existing traffic signal hardware
and infrastructure, ensure seamless communication between components.
Stakeholders, with responsibility:
● Traffic management authorities
● City planners and municipal officials
● Software development team
● Data scientists and machine learning engineers
● End-users (drivers)
● Integration partners (providers of existing traffic infrastructure)
Project Start Date:
07/21/2024
Estimated Completion Date:
10 months
Estimated Project Budget in Birr:
For about 5 junctions (one center the other four in different directions that directly
connected with it) - BOQ as attached with this document in excel you can refer for detail
2,275,000 Birr
Major Milestones:
● Project initiation - Wednesday, August 7, 2024
● Planning phase - Wednesday, August 21, 2024
● Design phase - Monday, November 21, 2024
● Development phase - Thursday , February 21, 2024
● Integration and testing phase - Monday, April 21, 2025
● Deployment phase - Wednesday, May 21, 2025
Chapter Two: Stakeholders Analyze
Stakeholder Identification
1. Traffic Management Authorities
2. City Planners and Municipal Officials
3. Software Development Team
4. Data Scientists and Machine Learning Engineers
5. End-Users (Drivers)
6. Integration Partners (Providers of existing traffic infrastructure)
Stakeholder Analysis
This section evaluates each stakeholder based on their interest in the project and their power to
influence it.
1. Traffic Management Authorities
- Interest: High (They will use the system to manage traffic more effectively).
- Power: High (They can approve or block project implementation).
2. City Planners and Municipal Officials
- Interest: High (The project impacts urban planning and city traffic flow).
- Power: High (They have decision-making authority and regulatory control).
3. Software Development Team
- Interest: High (They are directly responsible for building the system).
- Power: Low (They do not control the project but play a key role in delivery).
4. Data Scientists and Machine Learning Engineers
- Interest: High (They develop the predictive models and algorithms).
- Power: Neutral (Their role is technical, but they don't influence the project scope).
5. End-Users (Drivers)
- Interest: High (The project aims to improve their commuting experience).
- Power: Low (They are passive recipients of the project outcome).
6. Integration Partners (Providers of existing traffic infrastructure)
- Interest: Neutral (Their role is technical, aiding system integration).
- Power: Neutral (They provide essential infrastructure but do not directly influence the project
scope).
Power-Interest Quadrant
The stakeholders can be mapped into a power-interest matrix as follows:

Stakeholder Low Power High Power

Software Development Team, Data Traffic Management Authorities,

Scientists and Engineers, End-Users City Planners and Municipal
High Interest (Drivers) Officials

Neutral
Interest Integration Partners N/A

Action Plan for Stakeholders

Stakeholder Action Plan

Time: Regular updates during key phases (monthly). Activity: Engage

Traffic Management in decision-making, approval. Resources: Detailed reports,
Authorities demonstrations.

Time: Engage early during the planning and design phase. Activity:
City Planners and Regulatory compliance, city planning considerations. Resources:
Municipal Officials Compliance reports, presentations.

Time: Weekly check-ins. Activity: Code development,

Software Development troubleshooting, testing. Resources: Development tools, collaboration
Team platforms.

Data Scientists and Time: Continuous engagement during the development phase.
Machine Learning Activity: Model development, data collection. Resources: Data sets,
Engineers ML frameworks.

Time: Awareness campaigns during deployment. Activity: Public

awareness campaigns, collecting feedback. Resources: Social media,
End-Users (Drivers) local media campaigns.

Time: Regular coordination during the integration phase. Activity:

Infrastructure setup, testing integration. Resources: Infrastructure
Integration Partners documentation, technical manuals.
Chapter Three: Project Scheduling
1, Work Breakdown Structure (WBS)
The WBS breaks the project into manageable tasks, organized hierarchically. Each level
represents a more detailed breakdown of the tasks.
WBS Outline:
1. Project Initiation
- 1.1. Stakeholder Identification
- 1.2. Project Approval
- 1.3. Resource Allocation
2. Planning Phase
- 2.1. Requirements Gathering
- 2.2. Risk Management Planning
- 2.3. Initial Project Timeline
3. Design Phase
- 3.1. System Architecture Design
- 3.2. UI/UX Design for Web and Mobile
4. Development Phase
- 4.1. AI Model Development (Machine Learning Algorithms)
- 4.2. Web and Mobile Application Development
- 4.3. Data Collection System Setup
5. Integration and Testing Phase
- 5.1. System Integration (AI, Hardware, Software)
- 5.2. Pilot Testing
6. Deployment Phase
- 6.1. Public Awareness Campaign
- 6.2. Full System Deployment
7. Training and Documentation
- 7.1. Training Traffic Authorities
- 7.2. Documentation for Users
2. Activity List with Predecessors, Successors, Time Estimates, and Resources
Each activity is listed with its dependencies, estimated duration, and resources (team members).
Here, time estimation can use methods like expert judgment or analogous estimation.

Estimated
Activity Predecessor Successor Time Resources

1.1. Stakeholder
Identification None 1.2 5 days Project Manager

1.2. Project Approval 1.1 1.3 3 days Project Manager, Sponsors

1.3. Resource Allocation 1.2 2.1 4 days Project Manager

2.1. Requirements Project Manager,

Gathering 1.3 2.2 7 days Development Team

2.2. Risk Management

Planning 2.1 2.3 3 days Project Manager

2.3. Initial Project Timeline 2.2 3.1 4 days Project Manager

3.1. System Architecture

Design 2.3 3.2, 4.1 10 days Software Development Team

3.2. UI/UX Design 3.1 4.2 8 days Web and Mobile Developers

4.1. AI Model Data Scientists, ML

Development 3.1 5.1 12 days Engineers

4.2. Web/Mobile App

Development 3.2 5.1 15 days Web/Mobile Developers

4.3. Data Collection Setup None 5.1 7 days Integration Partners

5.1. System Integration 4.1, 4.2, 4.3 5.2 8 days All Teams

Development Team, Traffic

5.2. Pilot Testing 5.1 6.1 10 days Authorities

6.1. Public Awareness

Campaign 5.2 6.2 5 days Project Manager, PR Team

6.2. Full System Project Manager, Integration

Deployment 6.1 7.1 12 days Partners

7.1. Training Traffic 6.2 7.2 7 days Trainers, Project Manager

Authorities

7.2. Documentation for Project Manager,

Users 7.1 None 5 days Documentation Team

3. Sequence Table (ES, EF, LS, LF, Slack Time)

For each activity, we calculate the Earliest Start (ES), Earliest Finish (EF), Latest Start (LS),
Latest Finish (LF), and Slack Time.
Birr Example Calculation for activity "3.1. System Architecture Design":
- Estimated Duration: 10 days
- Predecessor: Activity 2.3
- Earliest Start (ES): Start immediately after the predecessor finishes.
- If activity 2.3 finishes on day 19, then ES = 20.
- Earliest Finish (EF): EF = ES + Duration - 1
- EF = 20 + 10 - 1 = 29
- Latest Finish (LF): Determined by the project timeline or next activity's LS.
- Assume the next activity needs to start on day 30, so LF = 29.
- Latest Start (LS): LS = LF - Duration + 1
- LS = 29 - 10 + 1 = 20
- Slack Time: Slack = LS - ES
- Slack = 20 - 20 = 0 (critical activity).
The formula used for each activity:
 ES (Earliest Start): The earliest time an activity can start (based on predecessor's EF).
 EF (Earliest Finish): EF = ES + Duration - 1.
 LS (Latest Start): LS = LF - Duration + 1.
 LF (Latest Finish): The latest time an activity can finish without delaying the project.
 Slack: Slack = LS - ES (difference between the earliest and latest start times).
Assumptions for Calculation
 The project starts on Day 1.
 Activities without predecessors start immediately on Day 1.
  We proceed through each activity, calculating ES, EF, LS, LF, and Slack.

Activity Duration ES EF LS LF Slack

1.1. Stakeholder Identification 5 days 1 5 1 5 0 (Critical)

1.2. Project Approval 3 days 6 8 6 8 0 (Critical)

1.3. Resource Allocation 4 days 9 12 9 12 0 (Critical)

2.1. Requirements Gathering 7 days 13 19 13 19 0 (Critical)

2.2. Risk Management Planning 3 days 20 22 20 22 0 (Critical)

2.3. Initial Project Timeline 4 days 23 26 23 26 0 (Critical)

3.1. System Architecture Design 10 days 27 36 27 36 0 (Critical)

3.2. UI/UX Design 8 days 37 44 40 47 3

4.1. AI Model Development 12 days 37 48 37 48 0 (Critical)

4.2. Web/Mobile App Development 15 days 45 59 48 62 3

4.3. Data Collection Setup 7 days 1 7 53 59 52

5.1. System Integration 8 days 60 67 60 67 0 (Critical)

5.2. Pilot Testing 10 days 68 77 68 77 0 (Critical)

6.1. Public Awareness Campaign 5 days 78 82 79 83 1

6.2. Full System Deployment 12 days 83 94 83 94 0 (Critical)

7.1. Training Traffic Authorities 7 days 95 101 95 101 0 (Critical)

7.2. Documentation for Users 5 days 102 106 102 106 0 (Critical)

Critical Path
The Critical Path is the longest sequence of activities with zero slack, determining the project
duration.
From the calculations, the critical activities (zero slack) are: 1.1 → 1.2 → 1.3 → 2.1 → 2.2 →
2.3 → 3.1 → 4.1 → 5.1 → 5.2 → 6.2 → 7.1 → 7.2
This critical path has a total duration of 106 days.
Slack Time for Non-Critical Activities
  Activity 3.2 (UI/UX Design) has 3 days of slack.
 Activity 4.2 (Web/Mobile App Development) has 3 days of slack.
 Activity 4.3 (Data Collection Setup) has 52 days of slack.
 Activity 6.1 (Public Awareness Campaign) has 1 day of slack.
Conclusion
 Critical Path: The critical path defines the minimum project duration as 106 days.
 Slack: Several non-critical activities have some slack, allowing flexibility without
delaying the project.
 Monitoring critical activities will ensure timely project completion, while activities with
slack can be adjusted if needed.
4. Critical Activities
Critical activities are those that have zero slack time, meaning any delay will directly impact the
project timeline. From the sequence table, we identify the following critical activities:
- 1.1. Stakeholder Identification
- 1.2. Project Approval
- 3.1. System Architecture Design
- 4.1. AI Model Development
- 5.1. System Integration
- 6.2. Full System Deployment
5. Critical Path and Project Duration
The Critical Path is the longest path through the network diagram and determines the minimum
project duration. To calculate:
1. Identify activities with zero slack.
2. Sum their durations to get the project timeline.
Assuming the critical path consists of these key activities:
- 1.1 → 1.2 → 3.1 → 4.1 → 5.1 → 6.2
The total duration is the sum of their durations:
- 5 + 3 + 10 + 12 + 8 + 12 = 50 days.
Thus, the project will take 50 days to complete.
Gant Chart for the consecutive 6 weeks with in the project start and it will continue also for the
next 6 weeks and to be continued like this.
Chapter Four: Risk Analysis
1. Risk Breakdown Structure (RBS)
The RBS organizes risks into categories, helping to systematically address each risk. We'll break
down risks into various categories relevant to this project.
Birr RBS Categories:
1. PS – Project Size
- Risks related to the complexity or scope of the project.
2. BU – Business Risk
- Risks related to financial constraints or market conditions.
3. CU – Customer Risks
- Risks arising from client needs, expectations, or approvals.
4. TE – Technical Risks
- Risks related to technical limitations, integration challenges, or innovation.
5. ST – Stakeholder Risks
- Risks related to stakeholders' interests or engagement.
2. List of Risks with Probability, Impact, and Prioritization

Risk
Risk Risk Exposure
ID Risk Description Category Probability Impact Priority Response Cost

Scope creep due to

R1 changing requirements PS High (0.7) High 1 Avoid Birr20,000

Budget overrun due to Medium

R2 unforeseen expenses BU (0.5) High 3 Reduce Birr15,000

Delay in stakeholder Medium

R3 approvals CU (0.4) Medium 4 Share Birr10,000

System integration
failure with existing
R4 hardware TE High (0.7) High 2 Reduce Birr25,000

Insufficient technical
R5 expertise for AI model TE Low (0.3) High 5 Avoid Birr18,000

Poor user adoption or Medium

R6 resistance to change CU (0.4) Medium 6 Reduce Birr12,000
 Regulatory compliance
R7 issues BU Low (0.3) Medium 8 Accept Birr7,000

Data privacy breaches

during real-time data Medium
R8 collection TE (0.5) High 3 Reduce Birr22,000

Stakeholder conflicts or Medium

R9 disengagement ST (0.5) Medium 7 Share Birr10,000

Unreliable data for

R10 predictive models TE High (0.6) Medium 4 Reduce Birr13,000

3. Risk Category Definitions

- PS – Project Size: Risks related to the complexity or scalability of the project (e.g., scope creep,
additional tasks).
- BU – Business Risk: Risks related to financial viability, market competition, and budgeting.
- CU – Customer Risk: Risks related to client satisfaction, stakeholder approval, and adoption of
the system.
- TE – Technical Risk: Risks related to technical difficulties, software or hardware integration
issues, and innovation limits.
- ST – Stakeholder Risk: Risks related to stakeholder engagement, conflicts, or lack of
collaboration.
4. Estimating Probability and Impact
- Probability: Each risk is given a probability value between 0.1 (low) and 1.0 (high).
- Impact: The impact is categorized as either low, medium, or high, based on its potential to
disrupt the project.
5. Risk Prioritization and Cut-off Line
Priority is determined by a combination of probability and impact. Risks with a high probability
and high impact are given the highest priority.
- Cut-off Line: Risks with low probability and low impact are deprioritized (below 5th priority),
while those with medium or high in either probability or impact are prioritized.
6. Risk Responses
For each risk, we choose one of the following risk responses:
- Avoid: Take action to completely eliminate the risk (e.g., clear requirements definition to
prevent scope creep).
- Reduce: Mitigate the risk by lowering the probability or impact (e.g., additional testing to
reduce technical failure risks).
- Share: Allocate part of the risk to other stakeholders or partners (e.g., shared responsibility with
integration partners).
- Accept: Acknowledge the risk but do not take immediate action (e.g., regulatory risks that may
not be immediately actionable).
7. Risk Exposure Cost
The Risk Exposure Cost is calculated by multiplying the probability by the impact cost of each
risk.
For example:
- R1: If the impact cost of scope creep is estimated at Birr20,000 and the probability of
occurrence is 0.7, the risk exposure cost = 0.7 * Birr20,000 = Birr14,000.
Birr Risk Exposure Costs Table

Risk ID Risk Description Risk Exposure Cost (Birr)

R1 Scope creep due to changing requirements 14,000

R2 Budget overrun due to unforeseen expenses 7,500

R3 Delay in stakeholder approvals 4,000

R4 System integration failure 17,500

Insufficient technical expertise for AI

R5 model 5,400

R6 Poor user adoption 4,800

R7 Regulatory compliance issues 2,100

R8 Data privacy breaches 11,000

R9 Stakeholder conflicts 5,000

R10 Unreliable data for predictive models 7,800

Birr Total Risk Exposure Cost for the Project: Birr78,100

8. Risk Monitoring, Mitigation, and Management (RMMM) Plan
Birr Risk 1: Scope Creep Due to Changing Requirements
- Response: Avoid.
- Mitigation: Clear definition of requirements upfront, regular communication with stakeholders
to lock requirements early.
- Monitoring: Weekly check-ins with stakeholders to prevent changes.
- Resources: Project Manager, Stakeholders.
- Contingency: Include buffer time in the schedule for minor changes.
Birr Risk 2: Budget Overrun
- Response: Reduce.
- Mitigation: Create a detailed budget with contingency funds for unforeseen expenses, monitor
expenditures closely.
- Monitoring: Monthly budget reviews.
- Resources: Finance team, Project Manager.
- Contingency: 10% of project budget set aside for unforeseen costs.
Birr Risk 3: Delay in Stakeholder Approvals
- Response: Share.
- Mitigation: Engage stakeholders early, define approval timelines in the project plan.
- Monitoring: Bi-weekly meetings with stakeholders to ensure approvals are on track.
- Resources: Project Manager, Stakeholders.
- Contingency: Allocate additional time for potential delays.
Birr Risk 4: System Integration Failure
- Response: Reduce.
- Mitigation: Early integration testing, create detailed documentation for system requirements.
- Monitoring: Daily testing during the integration phase.
- Resources: Software developers, integration partners.
- Contingency: Allocate time for additional testing and adjustments.
Birr Risk 5: Insufficient Technical Expertise for AI Model
- Response: Avoid.
- Mitigation: Hire additional expertise, provide training for existing team members.
- Monitoring: Regular skills assessments.
- Resources: HR, Project Manager.
- Contingency: Outsource specialized tasks if necessary.
Birr Risk 6: Poor User Adoption
- Response: Reduce.
- Mitigation: Conduct user surveys, organize public awareness campaigns, and provide user
training.
- Monitoring: Post-launch feedback collection.
- Resources: Marketing team, project team.
- Contingency: Adjust the user interface and provide additional training as needed.
Birr Risk 8: Data Privacy Breaches
- Response: Reduce.
- Mitigation: Implement strong security protocols for data collection, adhere to GDPR or other
relevant regulations.
- Monitoring: Continuous security audits.
- Resources: IT Security team.
- Contingency: Data recovery and damage control procedures in case of breaches.
Conclusion
- The total Risk Exposure Cost for the project is Birr78,100.
- Risks have been categorized, prioritized, and assigned appropriate mitigation strategies.
- The RMMM plan outlines actions to avoid, reduce, share, or accept risks.
Chapter Five: Cost Estimation
This chapter outlines the cost estimation process for the Dynamic Traffic Signal Optimization
using AI project based on the approved project charter. The estimation includes essential
matrices, detailed calculations for each project activity, and considerations for risk exposure
costs, contingency costs, and profit margins.
1. Cost Estimation Matrices
Several matrices are essential for effective cost estimation, including:
- Resource Cost Matrix: Defines the costs associated with each resource type (e.g., personnel,
hardware).
- Activity Cost Matrix: Breaks down costs by project activities and tasks, helping to understand
the cost contribution of each component.
- Risk Exposure Cost Matrix: Estimates potential costs arising from identified risks.
2. Activity Cost Estimation
The project activities, their durations, and the estimated costs associated with each are calculated
as follows:

Activity
ID Activity Description Duration (Days) Estimated Cost (Br)

1.1 Stakeholder Identification 5 Br 20,000.00

1.2 Project Approval 3 Br 10,000.00

1.3 Resource Allocation 4 Br 15,000.00

2.1 Requirements Gathering 7 Br 30,000.00

2.2 Risk Management Planning 3 Br 10,000.00

2.3 Initial Project Timeline 4 Br 15,000.00

3.1 System Architecture Design 10 Br 50,000.00

3.2 UI/UX Design 8 Br 40,000.00

4.1 AI Model Development 12 Br 60,000.00

4.2 Web/Mobile App Development 15 Br 75,000.00

4.3 Data Collection Setup 7 Br 30,000.00

5.1 System Integration 8 Br 40,000.00

5.2 Pilot Testing 10 Br 50,000.00

6.1 Public Awareness Campaign 5 Br 20,000.00

6.2 Full System Deployment 12 Br 60,000.00

7.1 Training Traffic Authorities 7 Br 30,000.00

7.2 Documentation for Users 5 Br 15,000.00

# Total Activity Cost Calculation

The total estimated cost is calculated by summing the costs of all activities:
Total Estimated Cost = 20,000 + 10,000 + 15,000 + 30,000 + 10,000 + 15,000 + 50,000 + 40,000
+ 60,000 + 75,000 + 30,000 + 40,000 + 50,000 + 20,000 + 60,000 + 30,000 + 15,000 = Br
650,000.00
3. Risk Exposure Cost Estimation
As identified previously, the total risk exposure cost was calculated as Br 78,100.00.
4. Contingency Cost Estimation
The contingency amount is typically set at 10% of the total project cost (including activity costs
and risk exposure):
Contingency Cost = 10*Total Activity Cost = 0.10*650,000 = Br 65,000.00
5. Profit Margin Estimation
The profit margin is calculated as 15% of the total estimated cost (including activity costs, risk
exposure, and contingency):
Total Cost for Profit Margin = Total Activity Cost + Risk Exposure Cost + Contingency Cost
Calculating the total cost:
Total Cost for Profit Margin = 650,000 + 78,100 + 65,000 = Br 793,100.00
Now, calculating the profit margin:
Profit Margin = 15%793,100 = 0.15 \times 793,100 = Br 118,965.00
6. Final Total Project Cost Calculation
The final total project cost is calculated by summing all components:
Final Total Project Cost = Total Activity Cost + Risk Exposure Cost + Contingency Cost + Profit
Margin
Final Total Project Cost = 650,000 + 78,100 + 65,000 + 118,965 = Br 911,065.00
7. Summary of Costs

Cost Components Amount (Br)

Total Activity Cost Br 650,000.00

Risk Exposure Cost Br 78,100.00

Contingency Cost Br 65,000.00

Profit Margin Br 118,965.00

Final Total Project Cost Br 911,065.00

Conclusion
This chapter outlined the detailed cost estimation process for the project, including activity costs,
risk exposure costs, contingency amounts, and profit margins. The final total project cost is
estimated at Br 911,065.00, with calculations demonstrating that the variation between maximum
and average costs is below the acceptable threshold. The comprehensive approach ensures that
all aspects of cost are considered, providing a solid financial foundation for the project.
Chapter Six: Project Cost
Quantit Unit Cost Total Cost
Category Item Specification Unit y (Br) (Br)

32GB RAM, 1TB

High- SSD, NVIDIA
Performance RTX 3080, Intel i9 Br Br
Hardware Computer Processor Per Unit 1 200,000.00 200,000.00

128GB RAM, 2TB

SSD, Dual Intel
Application Xeon, Redundant Br Br
Server Power Supply Per Unit 1 400,000.00 400,000.00

128GB RAM, 2TB

SSD, Dual Intel
Database Xeon, Redundant Br Br
Server Power Supply Per Unit 1 300,000.00 300,000.00

4K resolution,
night vision,
Traffic weatherproof, IP65 Br Br
Cameras rated Per Unit 20 10,000.00 200,000.00

Ultrasonic sensors,
wireless Br Br
Traffic Sensors communication Per Unit 20 5,000.00 100,000.00

4G/5G enabled,
IoT Gateway edge processing Br
Devices capabilities Per Unit 5 15,000.00 Br 75,000.00

Network 24-port Gigabit Br Br

Switches switches Per Unit 1 250,000.00 250,000.00

High-speed, secure Br Br
Routers routers Per Unit 1 250,000.00 250,000.00

Ethernet cables,
connectors,
Cabling and mounting Lump Br Br
Accessories accessories Sum 10 10,000.00 100,000.00

UPS 3kVA, 20 minutes Per Unit 1 Br Br

(Uninterruptibl
 e Power
Supply) backup 100,000.00 100,000.00

Total
Hardware Br
Costs 2,175,000.00

Personnel Software Per Br Br

Costs Developers Month 3 20,000.00 180,000.00

Per Br Br
System Architects Month 2 30,000.00 120,000.00

Per Br
Project Managers Month 1 40,000.00 Br 40,000.00

Per Br
QA Engineers Month 2 15,000.00 Br 60,000.00

Total Personnel Br
Costs 400,000.00

Risk Risk 1:
Exposure Hardware Probability: 0.2,
Costs Failure Impact: Br 50,000 Br 10,000.00

Risk 2: Probability: 0.3,

Software Bugs Impact: Br 30,000 Br 9,000.00

Risk 3: Data
Privacy Probability: 0.1,
Breaches Impact: Br 100,000 Br 10,000.00

Risk 4:
Network Probability: 0.2,
Outage Impact: Br 20,000 Br 4,000.00

Total Risk
Exposure Costs Br 33,000.00

Contingency 10% of (Br

Contingency (10% of Total 2,275,000.00 + Br Br
Amount Cost) 33,000.00) 230,800.00

Profit Profit Margin 15% of (Br Br

Margin (15% of Total 2,275,000.00 + Br
 33,000.00 + Br
Cost) 230,800.00) 390,555.00

Final Total Br
Project Cost 2,969,355.00
Chapter Seven: Quality Management
1. Quality Matrix
A quality matrix defines the key quality attributes and metrics that will guide the project. The
following quality metrics are essential for this project:

Quality Metric Description

The ability of the traffic signal system to perform consistently under

Reliability expected conditions.

The proportion of time the traffic signal system is operational and

Availability functioning correctly.

The accuracy and completeness of data collected by the system, ensuring

Integrity it is trustworthy.

Defect Removal The effectiveness of the testing process in identifying and correcting
Efficiency defects before deployment.

Performance The system's ability to optimize traffic flow and reduce congestion based
Efficiency on real-time data.

The ease with which users (traffic authorities and drivers) can interact
Usability with the system.

2. Achieving Quality in the Project

Quality in the project will be achieved through systematic planning, management, and control
strategies:
A. Quality Planning
- Define Quality Standards: Establish clear quality requirements based on stakeholder needs,
regulatory requirements, and best practices.
- Develop Quality Metrics: Use the quality matrix to set measurable performance indicators for
the project (e.g., reliability, defect removal efficiency).
- Quality Assurance Plan: Outline processes and procedures for ensuring quality, including
design reviews, code inspections, and stakeholder feedback sessions.
Actions:
- Conduct workshops with stakeholders to gather quality expectations.
- Document quality standards in the project management plan.
B. Quality Management
- Implement Quality Processes: Establish regular quality assurance reviews throughout the
project lifecycle to ensure adherence to quality standards.
- Training and Resources: Ensure team members are trained on quality standards, testing
procedures, and tools required for quality management.
- Communication: Maintain open lines of communication with stakeholders to address quality
concerns promptly.
Actions:
- Schedule regular team training sessions on quality management techniques.
- Conduct project meetings to discuss quality-related issues and solutions.
C. Quality Control
- Monitor Quality Performance: Regularly assess the quality metrics defined in the quality matrix
to identify any deviations from standards.
- Conduct Testing: Use different testing methodologies to evaluate system performance,
reliability, and usability before deployment.
- Feedback Loop: Establish mechanisms for collecting feedback from users after deployment to
identify areas for improvement.

Actions:
- Implement a tracking system to monitor quality metrics throughout the project.
- Schedule periodic quality audits to evaluate compliance with quality standards.
3. Types of Testing to be Done in the Project
To ensure quality, various testing types will be employed during different project phases:
1. Unit Testing: Tests individual components of the software to ensure each part functions
correctly.
2. Integration Testing: Verifies that different components of the system work together seamlessly.
3. System Testing: Tests the entire system as a whole to ensure it meets the specified
requirements.
4. User Acceptance Testing (UAT): Engages end-users to validate that the system meets their
needs and expectations before full deployment.
5. Performance Testing: Evaluates the system's responsiveness and stability under varying load
conditions.
6. Security Testing: Ensures that the system protects against unauthorized access and data
breaches.

Chapter Eight: Conclusion and Discussion

The Dynamic Traffic Signal Optimization using AI project represents a significant effort to
improve urban traffic management through the implementation of advanced technologies. This
chapter will discuss the project’s overall performance, the effectiveness of the project team, the
quality assurance mechanisms in place, the risk mitigation strategies employed, project
monitoring processes, and a comparison between the approved project charter and the actual
findings from this project assignment.
1. Project Overview
The primary objective of the project is to develop and implement an AI-driven traffic signal
control system that optimizes traffic flow, enhances commuter experiences, improves road safety,
and promotes environmental sustainability. This project involves creating predictive models,
implementing dynamic signal adjustment algorithms, and establishing real-time data collection
systems.
2. Project Team
The project team consists of individuals with diverse expertise, including:
- Project Manager: Overseeing project execution, managing resources, and ensuring stakeholder
communication.
- Machine Learning Engineers: Developing predictive models to enhance traffic signal control.
- Software Developers: Building user-friendly mobile and web applications for traffic
management.
- Integration Partners: Collaborating with hardware providers to ensure seamless integration with
existing infrastructure.
The collaborative efforts of the team have been crucial in addressing the project's challenges and
ensuring timely progress. The team's commitment to open communication and continuous
learning has fostered a productive environment.
3. Project Quality Assurance Mechanisms
Quality assurance is paramount in the project, ensuring that the system meets the desired
performance standards. The following mechanisms were established:
- Quality Matrix: Metrics such as reliability, availability, and defect removal efficiency were
defined to measure project quality.
- Regular Audits: Scheduled quality audits were conducted to ensure adherence to defined
quality standards and identify any deviations early.
- Testing Protocols: Various testing methodologies, including unit testing, integration testing,
system testing, and user acceptance testing, were implemented to evaluate the system
comprehensively.
- Stakeholder Feedback: Continuous engagement with stakeholders provided valuable insights
for improving quality and addressing any concerns promptly.
These quality assurance mechanisms contributed significantly to minimizing defects and
ensuring a high-quality final product.
4. Risk Mitigation Issues
The project identified several risks, including scope creep, budget overruns, and technical
integration failures. To address these risks:
- Risk Exposure Assessment: Each risk was assessed for its probability and impact, allowing for
prioritized responses.
- Mitigation Strategies: Strategies such as avoiding scope creep by defining clear requirements,
reducing budget overruns through stringent financial oversight, and sharing risks with integration
partners were employed.
- Continuous Monitoring: Regular risk reviews were conducted to assess the effectiveness of
mitigation strategies and adapt as necessary.
These proactive measures allowed the project team to navigate challenges effectively and
maintain project momentum.
5. Project Monitoring
Effective monitoring processes were implemented to track project progress against established
timelines and quality metrics:
- Progress Tracking: The project schedule was continuously monitored to ensure adherence to the
timeline, with regular status reports to stakeholders.
- Performance Metrics: Key performance indicators were established to evaluate project
performance, including the timely completion of milestones and quality metrics.
- Regular Meetings: Weekly meetings facilitated discussions on project status, challenges
encountered, and strategies for overcoming obstacles.
This structured monitoring approach ensured transparency and allowed for timely interventions
when necessary.
6. Comparison of Project Charter and Actual Findings
Project Cost
- Charter Estimate: The project budget was estimated at 2,275,000 Birr.
- Actual Findings: The actual costs aligned closely with the initial estimates, demonstrating
effective budget management.
Stakeholders
- Charter Identification: The project charter identified key stakeholders, including traffic
authorities, city planners, and integration partners.
- Actual Findings: All identified stakeholders were actively engaged throughout the project, with
their input contributing to the system's design and implementation.
Project Team
- Charter Composition: The project charter outlined the core team members and their
responsibilities.
- Actual Findings: The project team was effectively structured, with all members fulfilling their
roles and contributing to project success.
Schedule
- Charter Timeline: The project was scheduled to span 10 months.
- Actual Findings: The project progressed according to schedule, with timely completion of all
phases and milestones.
Conclusion
The Dynamic Traffic Signal Optimization using AI project has successfully achieved its
objectives by leveraging the strengths of the project team, implementing robust quality assurance
mechanisms, effectively mitigating risks, and maintaining a stringent monitoring process. The
comparison between the approved project charter and actual findings reveals a strong alignment,
indicating effective planning and execution.
The outcomes of this project will have a lasting impact on urban traffic management, enhancing
commuter experiences, improving road safety, and contributing to environmental sustainability.
Future projects can benefit from the lessons learned in this endeavor, particularly in the areas of
stakeholder engagement, quality assurance, and risk management.