Answer To: PPMP20010: Executing and Closing Projects Assessment 3 - Critical Analysis Report (Total Marks - 30)...
Pranjal answered on Feb 12 2021
PPMP20010: EXECUTING AND CLOSING PROJECTS
Table of Contents
1.0 Introduction 3
2.0 Project Description 4
3.0 Major Issues 4
4.0 Control Systems 5
5.0 Analysis of Overruns 6
6.0 Analysis of the Project Execution Team 8
7.0 Analysis of Relationship between Overruns and the Stakeholders 9
8.0 Analysis of Possible Actions for Success 10
9.0 Conclusion 11
References 13
1.0 Introduction
The failure in a construction project may be considered to be one of the most discussed and critically analyzed topics in the study of project management (PM). A number of researches performed on the given issue have been conducted in order to provide an insight into the reasoning framework of such failure. Since project management is a complex and critical success factor (CSF) for a business organization, it becomes critical for the management as well to gain a deeper understanding of various parameters and determinants of a project’s success or failure. In addition, the different stakeholders associated with the project may also get adversely affected due to such failure and therefore search critical analysis on failure may duly assume its importance. The instant study provides a brief background to a specific case scenario of project management failure in the context of a construction project of a hotel.
For the purpose of the study, the construction case of the Abraj Kudai hotel in Saudi Arabia has been considered which subsequently got faced failure and hence got stopped. In this report, the researcher has provided a brief introduction to the theme of the paper followed by a concise overview of the project. In the subsequent sections of the paper, the researcher has attempted to identify major issues that caused such failure and the control points that were not in place. In addition, the cost and schedule overrun have also been analyzed along with the efficiency of the project management team. Moreover, a relationship has been established between such overrun and different stakeholders associated with the project. At the last, possible sets of recommendations have been provided in order to avoid such failure and thereby the report is being wrapped up through a concluding note.
2.0 Project Description
The project is of construction of the largest hotel in the world with an approximate number of 10,000 rooms. The location of the hotel will be just a few kilometers away from Mecca which happens to be one of the most significantly important pilgrimage locations for Muslims for the annual Hajj function. The hotel project will be spread over 1.4 million square meters with the features of a small town. There will be a shopping mall, rooftop for 4 helipads, food court, full-size convention centers, and bus stations. Approximately, 12 towers will be developed for accommodation purpose (News.yahoo.com, 2020).
The hotel will be as tall as consisting of almost 45 floors with 70 restaurants. There will be 5 floors allotted solely for the use of the Saudi royal family. A 2.3 billion pound hotel will be luxurious to a great extent. In addition, there will be 10 story podium and a lavishly designed ballroom (Wainwright, 2015).
3.0 Major Issues
The project in the discussion was of construction of a hotel in Mecca, Saudi Arabia. The hotel was perceived to be one of the largest hotels in the world and the name of the hotel was Abraj Kudai. The owner of the project was the Kingdom of Saudi Arabia, Ministry of Finance; however, when the project started initially, the execution was going in line with the target set for the purpose. However, as the construction progressed, there were issues faced by the Government in the form of cost escalation and thereby the Government had to delay payments and consequently abandon the project. In addition, there was a mishap caused by the Saudi Binladin Group (SBG), one of the prime customers of Saudi Arabia's government. The fall in oil prices adversely hit the economy and the construction company. Also, the falling of a company’s crane on general people caused the mishap and death of people which compelled the government to cancel all the contracts of the company including the said project.
4.0 Control Systems
In a construction project, generally, the control points that may need to be considered by bhai the contractor are multifaceted different sustainability factors are critical for the success of the project in the long term this factors are comprehensive bikes nature and may range from budgeting to leadership that both in terms of financing and budgeting is a major determining factor for the project failure, in addition, the quality parameters me also so need to be considered by the contractor on account of standard set for the purpose compliances with respect to do statutory regulations customer satisfaction indexes and so on it is needless to mention that quality male lead to unwanted cost overrun which in turn may create additional burden for manpower and recruitment in addition safety shoes are also critical from console perspective general construction projects involve groundwork for the labours with heavy machines that may cause if not efficiently controlled and used significant damages including death of the workers, therefore, it becomes critical at supervisory level tu To oversee the work process in order to avoid any negligence on the part of workers as well on the other hand workers issues should also be another control. As the workers may not be available all the time at a given cost and time frame. Moreover, the category of workers may be of different types namely skilled semi skilled and unskilled therefore chalking out the control system of the construction project it is important for the management 2 note skill...