Project Management (QUAL11016) Assignment Sample

Introduction

Project management is the process of leading the work of a team effectively to achieve the project goals within the time frame. The project task information is usually described in the project documentation at the beginning for the successful development of the project (San Cristóbal et. al. 2018).http://Best Project Management (QUAL11016) Assignment Sample The main objective of project management is to produce a successful project within the budget and time estimated.

In this report, the construction sector project of the Berlin Brandenburg Airport project will be critically analyzed to understand the role of stakeholders and the impact of the stakeholder’s influence on the project work. The report will show the project’s success or failure with the challenges faced by the project will be discussed. The process of addressing the project challenges alongside the process of innovation considered by the project and their impact on the project will be critically analyzed. This whole report will help understand the stakeholder. Innovation’s importance and its influence on the project work.

Project overview

The case study of Berlin Brandenburg Airport is considered in this report. The airport project started in 1982, and the Federal Government of Germany announced a program to privatize the airport due to various budget restrictions (Besenyői et. al. 2018).http://Best Project Management (QUAL11016) Assignment Sample In 1996 finally, Berlin Brandenburg airport planned to privatize the project representing high hopes for Berlin. Also, Germany as will establish a new center for passengers connecting long-distance with higher passenger capacity to travel via flight. However, in 2003 the privatization process was aborted due to various private stakeholders pulling off the project. Therefore, it was decided to be built under the supervision of a public state-owned Flughafen Berlin Brandenburg (FBB) (Kerzner, 2022).http://Best Project Management (QUAL11016) Sample The project organization was set up as the main contact by the GM, but FBB did not appoint a general contractor which increased a lot of problems regarding the price and delay in completing the project.

Scope

The main scope of the case study analysis is to go deeper into the issues and the problems the project manager faced during the operation of the project. The project management planning, control, execution, and innovation process of the Berlin airport construction will be shown in this report. The failure of the project and the process of innovation that was considered to finally launch the airport after decades of struggle and billions of euros spent over the project will help to deeply understand the importance of innovation and stakeholders in the project’s successful delivery.

Benefit

The stakeholder’s roles and the power of influence over the project will be shown in this report which will help understand the impact of the too many different interests of the stakeholders failing the project of Berlin Brandenburg Airport. The project was one of the most surprising failures, especially in a country of Germany which is known for its effectiveness, and planning capabilities (Elmar and Hall, 2020).http://Best Project Management (QUAL11016)Assignment  Sample, Therefore, the in-depth analysis will be a benefit in understanding the challenges that a project manager must consider for effective project delivery.

Identify the list of stakeholders and their roles that failed the project

The list of stakeholders in the project was the state of Brandenburg, the German federal government, the city of major, the passengers, airlines, the workers of the project, and the Berlin citizens.

The formal setup of the project was made by Thomas Weyer who was the project manager for the finance and technical solution that looked after the workers and the quality check of the project work. The FBB was represented by the FBB management board and the FBB supervisory board who finalise the purpose and took board decisions to communicate and check the progress of the work as a client (Koseoglu et. al. 2019).http://Best Project Management (QUAL11016) Assignment Sample The FBB supervisory board takes the final decision and the FBB management board was already managing three other airports in Germany. The majority of the supervisory board were local government boards and politicians like the mayor that failed the leadership role delaying the project.

Role of City Mayor (FBB supervisory board): Communication was very important to provide the correct information about the project. The mayor, Klaus Wowereit who acted as the project sponsor and the chairman of the supervisory board project has been a major influence on the project’s failure (Bjorvatn and Wald, 2018).http://Best Project Management (QUAL11016)Assignment  Sample The lack of proper information and ignorance about the project delay during the construction of the airport delayed the project. The true leader was the project sponsor and he instead of communicating and discussing the problems ignored the delay that increased the impression of no need to act, costing almost 50% above the approved budget of Euro 5.4 billion.

Local Federal government (FBB management board): The initial set of the local government was to help fix the capacity problem for passengers of the two airports in the city, Berlin-Tegel, and Berlin-Schonefeld (Marshall et. al. 2020).http://Best Project Management (QUAL11016) Assignment Sample The local government work was to check the proper functioning and update regarding the work. But due to a lack of interest and support from the project sponsor and leader, the purpose of the project to increase the air passenger traffic was unclear, reducing the outcome of the project that led to failure (Strunk, 2022).http://Best Project Management (QUAL11016)Assignment  Sample The coordination of the local federal government and project sponsor leaders has been a major reason for the failure of the project.

Figure 1 Stakeholders

(Sources: Strunk, 2022)

Worker (Project manager, architecture): The quality of operation was a disaster as quality checks are planned throughout the project to check the outcome meeting the expectation. However, in the Berlin Airport Project, there was a significant quality issue which is very shocking for a technologically advanced country with excellence in providing high-standard solutions (Erne, 2022). It was indicated that 66,500 defects were found out of which 34000 were significant and correctable while 5845 defects were very critical.

The quality test worker defects included non-functional fire alarms, the building codes were not followed in setting the alarm system, and the wall was built in the wrong place for the fire extinguisher (Lee et. al. 2018).http://Best Project Management (QUAL11016) Assignment Sample The whole project was a disaster that was reconstructed after the failure. This role failed due to a lack of project sponsor and leader proper communication for the project. The ignorance on the quality check and update from the local federal government failed the project.

The project failed as the feasibility and preplanning phase took about more than 15 years to complete. The construction after shareholder financing issues was finalized by the government to take the project under control. The project started in 2006 and the estimation was that the airport will take 6 years to complete project construction. The target opening date was on October, 30th, 2011 (Sheng and Lin, 2018).http://Best Project Management (QUAL11016) Assignment Sample Now 2020, on 31st October, the airport project was completed and launched. The latest estimation of the cost is 7.9 billion euros, which was 50% more than estimated to be 5.4 billion euros in five-year times.

Thus, it can be said that the role of stakeholders, mainly the investor, board management, and the project manager must be effective and collaborative to manage the project operation. The lack of communication and discussion related to project quality degradation was the main reason for the project to failure (Spang et. al. 2019).http://Best Project Management (QUAL11016) Assignment Sample The finance and supervisory need qualified leaders who can consider making fair decisions rather than focusing on powerful politicians that increase the project failure chances.

Challenges faced during the Berlin Airport project and the address of the problems

Stakeholder management: Stakeholder management has had the potential risk since the beginning as the stakeholder list was not clarified and complex in this project work. The main bidding contractor for the project had disputes and mismanagement among themselves. The supervisory board, the chairman, contractor manager was all involved in complicated changes and bribery lawsuits (Whyte and Nussbaum, 2020).http://Best Project Management (QUAL11016) Assignment Sample The project excluded the importance of the citizens living near the airport. This citizen complained about the noise and pollution that was interfering with the work of the airport construction.

The external stakeholders like Deutsche Bahn who completed the railway work to connect the airport were not identified and talked about the delay of the project that made him lose the investment of millions (Kock and Gemünden, 2019).http://Best Project Management (QUAL11016)Assignment    Sample He filed a lawsuit against the contractor, management, and supervisory board who were irresponsible towards this stakeholder. The lack of engagement, proper list of stakeholders, and secure monitoring stages were some issues that were major challenges of the stakeholder management in the project.

Scope management: The changing requirements were not identified and they lacked identifying the requirement of noise control measures, luggage belts, requirements of the technical alarm system, and the proper size of the escalator were major management negligence that delayed the project. The management practices required documentation, regulation for building design and standards were improper which led to the reconstruction of the buildings (Whyte and Davies, 2021).http://Best Project Management (QUAL11016)Assignment  Sample The resource management was a disaster as the unqualified fire system designers were changed, but the law demands standards that were not met by the fire system. The customer needed a spacious platform and the project had to be redesigned as per customer requirements which were not considered earlier failed the project.

Project resource management: It is the process of planning, developing, and controlling while following up with the teams about the materials necessary to complete the project. In this project, the problem is they will need huge amounts of unique resources to complete the task. The interlinked tasks were separated by hiring subcontractors where they needed extra time to follow up, lead and communicate with various working groups (Abd Razak et. al. 2020).http://Best Project Management (QUAL11016) Assignment Sample The resources management got a lot more complicated with the different firms using different components that became harder to synchronize and manage.


Figure 2 Delays in the opening of Berlin’s new airport

(Sources: Delays in the opening of Berlin’s new airport, 2017)

Cost management: Cost management needs the initiation from the scope management about the need and delivery and also the inputs of the resources to complete the project with a good estimation of the cost. The cost management also requires estimation from the HRM regarding the human resource expenses. Unfortunately, the cost management provided inaccurate estimation due to the changing requirements, quality reschedules after the disaster in designing, also other resource-related problems (Ika et. al. 2022).http://Best Project Management (QUAL11016) Assignment Sample The original budget in 2009 was 2.83 billion, but the cost increased 50% to 7.4 billion euros. The scope management, schedule management, lack of support, and initiation to provide the estimation were the major challenges that increased the cost of the airport project. They address the issue of cost very irresponsibly which financially bankrupts the project work.

Quality management: Quality management was lacking in both the project work and resource procurement. As the project failed to establish proper management of the constant changes in the design, diversified resources, and teams reduced the measurement of the quality. The lack of quality management seen in architecture while designing the building, alarm system, and space reduces the efficiency of airport safety (Rezvani et. al. 2018).http://Best Project Management (QUAL11016)Assignment  Sample They address the problem of quality very weakly as the project cost plan, time, risk, and integration of the quality were missing. The constant change in design, the process of working, a team lacking coordination, and late follow-up made the measurement of the quality very difficult that reduced the efficiency of the project quality.

The challenges were addressed very irresponsibly as when planning for a risk management plan, the involvement of all the stakeholders is very important to consider especially for a large public sector considering huge investment and a fixed date. The FBB supervisory board attitude, the citizen complaints, and the Deutsche Bahn investment loss was evidence that the risk management plan was not properly considered (Koseoglu and Arayici, 2019).http://Best Project Management (QUAL11016) Assignment Sample This is the reason to reduce the addressing of the challenges effectively. The tender renewable after constant failure in the project was not addressed properly by the FBB board.

The outsourced project management and controlling of the seven lots of tendering were ineffective as options involved a delay in scheduling, and the advice and the date of revised completion were not consulted by the board. It took a huge time to re-applying for the building permits. The design work of parallel construction was failing and redesigning without considering their advice was a disaster. The risk breakdown structure was missed where the technical, external, and organizational project risks were not considered (Fariq et. al. 2020).http://Best Project Management (QUAL11016) Assignment Sample The architecture design and stakeholder overall list in terms of project involvement were major challenges that were not addressed during the second tender as well that have taken 9 years to fulfill the project work.

Role of innovation in project delivery

Innovation process at the initial planning of the project

New idea generation: In 1990, after the German restoration, the authorities of Germany decided to plan an airport that would fulfill the needs of the newly formed Berlin. The idea was to initially consider three town airfields as one for higher passenger traveling (Drucker and Bushnell, 2022).http://Best Project Management (QUAL11016) Assignment Sample The towns of Juterbog, Schonefeld, and Sperenberg from the northeastern state of Brandenburg were considered to plan an international airport.

Advocacy and screening: The initial plan however after six years was rejected by the government while they focused on expanding the Schonefeld airport which was known as Berlin Brandenburg Airport. The screening and finalization of the idea took six years due to various stakeholder interferences during planning in the early 2000s (Udokwu et. al. 2021).http:// Project Management (QUAL11016)  AssignmentSample The public government took the project for operating the project work and provided the design for managing the international airlines.

Experimentation and commercialization: The innovative idea was chosen by the shareholders consisting of the Federal government, the state of Brandenburg, and city-state Berlin authorities as both Berlin and Brandenburg can gain economic benefit from the huge project investment. The idea after six years when renovated was expanded from 9.7km2 to a total of 14.7 km2 for more passenger capacity building after experimenting and screening.


Figure 3 Innovation process

(Sources: Drucker and Bushnell, 2022)

Finalized: From 1997 to 2003 the project was also finalized in the hands of the public sector for managing the contractors. The FBB was given the responsibility to manage the project after screening and various discussions to execute the project work in 2004.

Reconsidering business model planning as part of innovation in the early 2000s.

Again, the public hearing for the planning approval between 2000 to 2004 was initiated by the public that was opposing the project. In 2004, The Brandenburg aviation authority issued the planning permission for the Brandenburg airport, finalizing again the financial concepts and the construction work began (Sydow and Windeler, 2020).http:// Project Management (QUAL11016) Assignment Sample In 2005, the five-airline claim of the public hearing on the planning approval. for Berlin-Tegel airport was rejected which again in 2006 was considered by the Federal administration converting the Tegel into Berlin Brandenburg international airport. The initial innovation was reconsidered while expanding the international airport into Schonefeld and Tegel. The finalized project estimated date for the inauguration was October 2011 after the reconsideration

Impact of the early 2000s expansion i.e., a new business model innovation

Between 2007 and 2010 after the reconsideration of a new business model to expand the project combining Berlin-Tegel airport started approving the railway tunnel and underground railway station for road infrastructure to enhance the airport terminal efficiency. In 2008 the worker finally began the work and the outer structure of the new terminal ended within a year (Ashill et. al. 2020).http:// Project Management (QUAL11016) Assignment Sample But in 2010, despite the completion of the building work of the new terminal. FBB announced it would postpone the opening from 2011 October to 2012 June.

The business model innovation failed in terms of technical building system delay and the security screening line in the airport was not completed. The construction planning with various changes from the start of the project to re-innovating and expanding the two airports into an international airport project delayed the designing system of the terminal.

Product innovation

The biggest mistake was the faulty fire protection system design that held the opening and clearance of the terminal since 2012.http:// Project Management (QUAL11016) Assignment Sample The ventilation system was not working, it was designed by a fake engineer and it is very basic. The architect designed the funnel smoke that rises underneath the airport halls and this has been considered to be rebuilt by Bosch and Siemens to provide a fire protection safety system for getting the terminal clearance to open (Voropaeva and Yurieva, 2019).http:// Project Management (QUAL11016)Assignment  Sample The redesign considered for the innovation of the fire system product; ventilation technical changes have increased the cost of the project but the product innovation has led the project to get the clearance of the building in 2019.http:// Project Management (QUAL11016) Assignment Sample

Impact of product innovation

Product innovation plays a crucial role in the successful delivery of the project. The project failed due to the negligence of the management to consider the list of stakeholders while designing the structure of the project work. The lack of proper management practices has allowed the project to be handled by amateurs that have ruined the design of the terminal (Müller et. al. 2020).http:// Project Management (QUAL11016)Assignment  Sample The basic clearance safety measures for the fire alarm system and proper ventilation system lacked the quality that delayed the opening since 2008. But after the proper organizational innovation with change in management the new company redesigned the product that finally permitted the building to operate in 2020, October.

Organizational innovation

The scandals and various negligence on the part of the supervisory board leaders have increased the delay in the project with various design failures that enhanced the cost of the project to 50% more alongside the project taking nine years to operate. The former Berlin Mayor stepped down as chairman of the project supervisor who was the main reason for various delays in the project work (Beste, 2020).http:// Project Management (QUAL11016)Assignment  Sample Alongside the CEO Schwarz of Berlin Brandenburg was also fired from the post. The technical director was accused of accepting bribes of $680000 which were changed and the management board was more strictly monitored and restructured to finish the project work.

The engineer of the fire protection system which was also the reason for the terminal delay and was considered to be a fake engineer who changed an organizational process completely was restructured to hire an authentic human resource to open the terminal by 2020 (Ruiz-Vanoye et. al. 2018).http:// Project Management (QUAL11016)  AssignmentSample The restructure was by appointing a new Berlin mayor as head of the supervisory board, also an investigation of the corruption and bribes of airport officials were managed. One official was convicted for the bribes in a fire smoke building that ruined the efficiency of the project.

Impact of organizational process innovation

The construction work started with changes in the management board and in 2018 it was declared that the project will open till 2020 with the 2019 ceremony taking place for good progress in the work. The assigning each airline to its terminal and profound test of each work efficiency enhanced the quality check of the project work that managed to progress the project delivery. Despite the Covid-19 pandemic, the project continues and on 1st October 2020, the airport operated while getting a permit from the Joint Aviation authority of Berlin Brandenburg (Gupta et. al. 2019).http:// Project Management (QUAL11016) Assignment Sample The clearance from the building authorities to use terminal 1 at the end of April was the successful completion of the project which was delayed due to constant management ill practices.

Conclusion

From the above analysis, it can be concluded that the challenges were mostly due to the management not willing to consider the stakeholder’s opinions while designing the project. The constant public interference and complaints from close citizens regarding noise was delaying the project work from 2000 to 2007. The project after proper reconsideration of the organizational process since 2014 has made the project successful with a change in leadership.

It has proved that innovation in the process of working alongside the stakeholder’s proper consideration before designing the work is very important to consider for the successful completion of the project. This project failed for more than 9 years due to wrong management practices and stakeholder ignorance which can be reduced with proper consideration of innovation practices.

References

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Online

Chrunk, (2022). Stakeholders. [Online]. [Accessed through]: https://www.christianstrunk.com/blog/how-to-manage-stakeholders

Drucker and Bushnell, (2022). Innovation process. [Online]. [Accessed through]: https://www.alchemyformanagers.co.uk/topics/UTUNv86fRrS5Xb6D.html

Delays in the opening of new Berlin’s airport, (2017). [Online]. [Accessed through]: https://antonionietorodriguez.com/project-focus-berlin-airport/

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