SECTION A CASE STUDY

QUESTION 1: Read the case The Other Water Pipeline and respond to questions below.

The Other Water Pipeline

Some projects are contentious from the start, particularly those that find themselves thrown into the political arena. The Other Water Pipeline project found itself facing more than just the normal project risks, but also assumed some potential of making or breaking a government. The parent organization that ultimately won the tender for the Other Water Pipeline project came into the country on a whirlwind of publicity. Senior Management of the organization seemed addicted to the association with journalists. Where many senior executives would shy from talking to journalists, and perhaps request a questionnaire where they cannot avoid them, this new group sought them. Such publicity is a double sword, and those executives seem to realize that rather late. That as it may, they won the tender due to their superior technology and least cost. They also promised several benefits to communities along the route of the pipeline. While their client was ultimately Government, the potential risks the project faced had potential repercussions that could affect the government itself. The country was virtually in lockdown when the project commenced, the rainy season was intensely wet, supply chains were at their lowest level of efficiency, and due to the election season, enemies had increased significantly on notions and suspicions of corruption. The project Organization seems to have drawn on its African experience and instituted several measures that were able to counter the risks: Other than the use of sub-contracts, the project manager subdivided the pipeline into several sections managed separately. This might have created a competitive environment which enabled the project to accomplish targets before time; They used existing machinery and equipment (sunk costs) that had to be moved from a neighbouring country; The parent organization, located in the neighbouring country, assisted with supply chains and supplies continued to flow; Institution of more than one shift to counter effects of rain which, in some cases washed away completed sections of the pipeline; Due to the nature of the project, Covid-19 lockdowns did not affect it as workers are mostly working outside in the bush; Project manager focused on schedule slippages as the main threat to completing the project within budget; Implementation of Earned Value as the management reporting and control system to drive value for money throughout the project;

In addition to key milestones being identified, a Risk and Responsibility (RACI) matrix and a communication plan were established to keep the implementation plan on track.

REQUIRED: i. Identify which of the schedule development tools could have been ideal for the Other Water Pipeline project between Programme Evaluation and Review Technique(PERT) and the Critical Path Method (CPM). Explain the basis of your choice. 10 marks

ii. Explain the concept of sunk costs and the role these could have played in the organizations bidding considerations for the Other Water Pipeline project. 10 marks

iii. Explain Earned Value Analysis (EVA). Why did the organization consider EVA useful in the Other Water Pipeline project? 10 marks

iv. One of the components of a communication management plan is stakeholder communication analysis. Explain this analysis. Do you think that the parent organizations leadership had done this analysis sufficiently before winning the tender for the Other Water Pipeline project? 10 marks