Obviously, Heathrow's management is keen to avoid the omnishambles that surrounded the opening of Terminal 5, when queues and delays became a national joke - particularly given Heathrow is in the running for a third runway. The following week, when the A380 arrived for its first flight, many of us believed that Heathrow had turned a corner and that the bad publicity of recent years would turn into positive publicity, notwithstanding the importance of scrutiny as regards the expansion. I talk to other CIOs, especially in the US where there is still amazing amounts of innovation coming out of Boston and the Bay Area. Along with BAA, they are the most mission-critical for us and we need very particular relationships with those organisations. Q. Given everything else, this one's just icing on the cake. T5, according to Coby, has many qualities that are similar to a factory, in that it aims to eliminate waste, simplify and streamline processes, create flow and create a culture of continuous improvement. At each level of tree structure breaks the Project deliverables and objectives to more specific and measurable packages/work packages. Deliverables: The outcome during the discussion for that meeting. A. * The estimated Cost of the project may increase because of the macro economical factors like exchange rate, cost of the materials and workforce. WebTerminal 2 opening: three lessons Heathrow has learned from Terminal 5. Misplacing the approved contracts, having inefficient and inconsistent contract policies and process across the organization. The structural change that [BAA chief executive] Colin Matthews has brought in takes out an important handover at the beginning of the process and at the end of the process, he adds.
Heathrow Here you can choose which regional hub you wish to view, providing you with the most relevant information we have for your specific region. As a former public monopoly, BAA airports in the South East (Heathrow, Gatwick and Stansted) are regulated by the Civil Aviation Authority (CAA) . Also acts as an approval document for the proposed Project. Delivering more than 200 IT projects was easy when compared to the people element of the plan, said BAs programme head of information management for T5, Glenn Morgan. Heathrow Terminal 5 and Wembley are two high profile projects whichwere both for different reasons perceived as less than successful by the public. Gantt charts provide quick and easily understood means for describing the project activities, while network activities can also be determined like Critical Path and PERT. Well learn our lessons and well put our front foot forward, he explains, although he points out that BAA had been planning much of the recent organisational change long before T5s opening crisis. Reviews and approves the annual budget, Program plans and organizational policies. Level 3.
Liz Weston: 3 Lessons I Wish I'd Learned Sooner about Travel He reiterates the criticality of understanding and recognising where suppliers fit in your universe and recognising that you have different sorts of suppliers, like Amadeus for reservations, and SITA for our networks. Complex Build Integrators will tackle complex, higher risk projects, typically worth between 30M and 300M. When we landed at Heathrow Airport in London, we learned we had to pick up our luggage at baggage claim, go through customs , check Take IDCs ERP Modernization Maturity Assessment to benchmark your organizations progress against your peers. Failure to meet the relationship between the participants (chief executive officer, management, shareholders, employees) of the project in determining the direction and performance of project. construction T5 left thousands without their baggage, and cancelled 34 flights So, we have lost some very senior people and thats as true in IT as elsewhere. <]>>
The founder of Gantt chart Henry Lawrence Gantt used this tool to show the actual schedule and progress of the project was invented on 1920s and used on large projects from 1931. communication and preparation on the part of both BAA and British Airways.
Has Kansas City finally learned its lesson for KCI airport traffic We did that very well, says Wolstenholme of the T5 project delivery. 03 Jul, 2008
My take: there's never enough time or budget to test, train, and prepare properly for launch. Q. 5.. How do you deal with stress? It could not have been more different from the Civil Service I had seen the future and it worked. Now. We plastered London with adverts to get people in and experience T5. In an irony perhaps better suited to a BBC sitcom, the British Airports Authority recently solicited for software quality assurance vendors. A contingency plan is also derived to mitigate the risk, below is the proposed Probability-Impact matrix for Heathrow Terminal-5: Resources Organizational Issues, Airport Security, Legal Issues, Technology, Corporate Governance, Design Political, Cultural, Adverse Publicity, As per PMBOK 3rd Edition work breakdown structure is defined as A deliverable-oriented hierarchical decomposition of the work to be executed by the project team to accomplish the project objectives and create the required deliverables., The Purpose of Work breakdown structure in Heathrow Terminal-5, firstly it helps the project manager accurately in defining and organise the scope of the Project. The Commission said it was satisfied that the right steps
Heathrow Terminal 5 I want people to get up in the morning and to do something that matters to them, he says. Everyone in BA recognised that it does not matter to our customers where the problems were they paid good money, bought tickets from BA and deserved to have a great travel experience, which we did not deliver. The costs of that would have been crippling to BA, which like the rest of the airline industry is under pressure. With consumers starting their search for new vehicles online, and even visiting showrooms and test driving cars virtually, Volkswagen Financial Services South Africa had to modernize their digital processes in order to keep up with demand. You could characterise Q4 as us having many relationships with our first tier suppliers and broadly point to between 300 and 350 people that we had relationships with. For historical reasons, the Stansted economic regulation report always comes a year later. Do Not Sell or Share My Personal Information. The application is of course subject to public inquiry but BAA anticipates that if the application proceeds smoothly it could potentially start construction of the new facility in 2011 ahead of an 2015 opening. There probably isnt a more important or more challenging programme of work in the UK than transforming Heathrow.. From ComputerworldUK: Terminal 5 has cost BA and the British Airports Authority 4.3bn [$8.5 billion] to build and outfit. According to Lock (2007) the compliment of good management communications is the provision of adequate feedback paths through and across the organization. have been made to ensure operations run smoothly in the future. Early bags are stored in a BAGSTORE warehouse with 4,000 positions, allowing individual access to each bag any time. But the airport insists it's learned its lessons. Langsdale, a vastly experienced CIO, wasnt employed at BAA in March 2008 when T5 opened but replaced Richard Rundle who retired last summer. And your greatest success? BA said the capability is facilitating the implementation of new business models and help[ing] the airline accelerate its transformation of the IT function into a business enabler to support key business goals and initiatives.. Should encapsulate the roles of Contractors, Cost controllers, Schedulers, Risk manager, Operations and Control as an when required during the Project life cycle, Level of participation as designed by Project Leader, Responsibility matrix for Heathrow Terminal in the Appendix, To communicate effectively with better understanding of the project among the Stakeholders, Project managers, Project team members there shall be standard procedures to be followed in a Project management context. It also describes salient details designed into the commercial policy, namely in relation to managing design change, paying suppliers for their work, and rewarding exceptional performance. Milestone 1: Completion of landside civil process. Concorde G-BOAB in storage at Heathrow. The principal IT problems were in BAAs baggage systems. Registered office: Creative Tower, Fujairah, PO Box 4422, UAE. To export a reference to this article please select a referencing stye below: If you are the original writer of this essay and no longer wish to have your work published on UKEssays.com then please: Our academic writing and marking services can help you! WebHeathrow's Terminal 5 is a good example of how stakeholders' perceptions of success, or failure, can vary enormously. In April, the CC s Emerging Thinking report cast doubt on whether BAAs airport ownership allowed proper competition. WebHeathrow Terminal 5 opened on 27 March 2008 with high expectations. Anyone having the misfortune to pass recently through Heathrow's new Terminal 5 knows the huge project debuted as a case study in full-blown systems failure. 0000001294 00000 n
That must be true for every business nowadays, regardless of sector. Theres no point in accountability if you cant do something with it. Minutes of meeting played an vital role to monitor if any issues occurred. The [parliamentary] report makes clear the software for the baggage system is provided by BAA, their contractor Vanderlande and their subcontractor IBM. This paper analyses a case of information system failure the London Heathrow Airport Terminal 5 (T5) failure; its causal factors, impact and lessons learned.
Heathrow East (the current concept study name for the next terminal) will also cause the demolition of Europier, a little building that RSHP designed relatively recently. Although no formal planning application has been lodged for a third runway at Heathrow and there will not be one before 2010 at the earliest BAA has been working up plans which would see a new runway nestled between the airport and the M4 motorway. Diversion of two rivers round the west of the airport incorporating many ecological enhancements( eg: Water Quality), Failure to compliance the standards for environmental act (Misunderstanding of process and pathways of the environment), Failure to meet the standard of air quality which defined before the execution of the project, Failure to meet the standards defines in Control of Pollution Act Section 61 agreement, Improper waste management will increase the estimated budget( eg: use of recycled product), Making sure the social activity of the people surrounding the construction site will not affect (eg: transportation, Traffic), Failure to compliance the policies of the government (will affect the progress of Project), Change in Government could lead to change in foreign policies and affect the project. Airport-technology.com describes the system: The baggage handling system at T5 will be the largest baggage handling system in Europe for a single terminal. If you outsource functions, thats still your accountability as a CIO and as a brand. Considering these the risk assessment is done for Heathrow Terminal-5: Awareness of the Project to both the customers and stakeholders. WebHeathrow Terminal 5 is a historical passenger terminal construction story for a number of reasons: it took 19 years to complete, the check-in desk solutions are renowned for their ergonomic, space saving configuration, and there were substantial teething problems over its inaugural opening month 42,000 bags travelled separately to their owners. Q. Its centrepiece is a 78-metre, 77 tonne metal sculpture by Richard Wilson called 'Slipstream', and it's built to handle 20 million people and 100,000 bags. In 2003, I was elected Chair of SITA the airline industrys network and solutions company when it was seen as an anachronism selling purely commodity products. Furthermore, we are a co-operative which is owned by its customers who form the Board, a model of global collaboration which I believe has some important lessons in the world we now find ourselves in. That is, they care for our paying customers. Know that CIOs and their teams need to be recognised as trusted advisors providing an inside track on technology. This will not be the case for T5. Q. But the system is only part of a complex end to end baggage process, he explains. They are requested to evaluate the magnitude of risk factors and influencing factors that appear in the risk mode, also assist in classifying the risk. The airports authority wants any suppliers to maintain software quality by putting in place rigorous development processes and testing procedures prior to systems go-live. WebDeveloping Heathrow terminal five was perceived as crucial to meet the demand for travel and passenger growth. * Its assumed the derived T5 agreement will effectively work between BAA and suppliers, team work can be effectively achieved. Not next quarter or next year. Who have been the most influential people in your career? To Increase the capacity of passengers flying per year by 30 million. Yes. 0
HWrH+(o bb"lwNFtOJP-j* If BAA is considered to be anti-competitive it could force BAA to sell assets for example Gatwick. BAA remains committed to making the investments needed to transform our airports and improve passenger service standards. The CCs report is expected by the year end. Delay of the services/materials from the Suppliers. If there isnt a demonstrable effect on revenues or customer benefit then we shouldnt be doing it, Coby admits. All rights reserved. The baggage handling system has a total of 12 transfer break lines and 132 check-in desks according to the walk through concept for easy flow of large number of passengers. The most terrifying words you can hear on the slopes are Follow me, Daddy!. This is the year we put the IT infrastructure and systems in place to manage our people and passengers, he said. Approving the contracts that are unfavourable to the organization, creating and/or signing contracts without advice/review by legal counsel. Coby is on record as saying: SAP is the highest cause of fatalities among CIOs, and he looks positively cheerful when confirming that a global ERP project was canned.
T5: The lessons learned Business Traveller * Risk factors involved in the project (Economical, Political, Social, Environmental). Thats the environment in which we will be operating over the next few years. Jonathan Smith, Future T2 program director, Heathrow Airport, reveals how the Lean process can lead to improvements in airport construction, ahead of his presentation on the subject at the forthcoming Passenger Terminal CONFERENCE. It would be nuts to says IT should determine which aircraft BA buys in 2012, but IT is in everything from crew rostering to data downloading to in-flight entertainment, Coby says. Most reports have focused on stranded customers, a crazed supermodel, and Queen Elizabeth's grand opening speech, which called the terminal "a 21st Century gateway to Britain.". The professionalism of the IT services and the acceptance of responsibility for the quality of that service have greatly improved.
(PDF) Analysing the Cause and Effect of I.S Failures in Complex I also write a very intermittent blog and have enjoyed participating in online discussions with colleagues across BA. Since 2006, BAA has been developing its third generation capital value procurement strategy with which to roll out its forthcoming programmes of work. First, there were technical software problems, but more significantly BAs challenge was integrating teams of staff, and it has been addressing this as a priority. [N]ational pride has been dented. chief executive said: We knew this was a risk, it was a calculated risk and a Think of BAA and you think of Heathrow Terminal Five (T5). Work in integrated team irrespective of their different organizations. We may fly to 157 countries and deal with 34 million customers a year but we are a tiny part of the worlds inter-actions and growing interdependencies, Coby says. also confirmed that it considers BAA to be a monopoly that should be dismantled Her Majesty The Queen had officially opened London Heathrow Terminal 5 just short of two weeks before. Change to Next-generation, cloud-based ERP systems yield new levels of strategic agility and business insights. BA now has Continuous Improvement Groups to better understand when things go wrong, fix them and ensure they dont happen again. Do you have a 2:1 degree or higher? Funding Issue throughout the Project Life Cycle, Uncertainty of the market (eg: Market Fluctuation, Inflation), Insufficient revenues to repay the debts after the Project Completion. Heathrow's control tower with a departing Virgin Atlantic Boeing 747-400 in the background. The purpose of risk mitigation is to specify the criticality and priority of risk, what are the effects of the risks, occurrence of the risks and impact of the risk to the organization/people/environment. In approving the programme the CAA gave a green light for a 6.6bn package of programmes which Wolstenholme says will transform all of BAAs airports with 13 individual programmes of work. This new runway could take Heathrows capacity from the predicted 2012 maximum of 78M passengers a year to 122M. This leads to difficulty in negotiation between supplier and client, Risk of differences in business ethics leads to difficulty in decision making. Do you believe in mentoring? Maintenance of the Terminal after handing over to BAA. Among all the other problems, the BBC reports that terminal staff had trouble new parking garages, which exacerbated the other issues. That performance is being enabled by T5, says Coby, and statistics show a marked improvement in baggage handling, punctuality and customer satisfaction. With a truly global board of directors from across the industry and an excellent management team we have turned SITA into a strong and competitive company with no debt and cash in the bank. In Q4 we tended to have isolated projects supporting individual terminals, he says. * Terminal 5 has the potential to become a major Surface Access interchange or substitution by providing an important role in the South East transportation system of U.K. * Resource availability throughout the Life cycle of the Project. From CIO UK: Originally designed for the automotive industry, the lean model is popular in manufacturing circles as a process management philosophy that focuses on standardising processes in order to reduce costs and time waste and improve efficiency. %%EOF
I never fail to be impressed by the breadth of skills and achievement of everyone in BAs IT department. v^ZXj2{rezl1nsusYl6.fw3wbI=wbK_. The King was also pictured touring a British Airways Boeing 787 Dreamliner and sitting in the Captains seat as he learned more about the fuel-efficient aircraft. What has been your biggest mistake?
Heathrow airport's new Terminal 2 opens to passengers That was a big fat target that didnt survive last autumn. WebIntroduction BAAs Terminal 5 Programme at Heathrow Airport is currently one of Europes largest construction projects. People believed that collectively we had all done enough, that the infrastructure was in place, delivered on time and on budget with extensive trials and testing, he explains. A business case is required form of document, supporting an argument for a proposal of the desired Project like (Project Rationale, Scope, Objective, Deliverables, Assumptions, Considerations and Constraints, Financial Analysis, Critical Success factor, Option Appraisal).
Heathrow Terminal 5 v Wembley - What can we learn? - APM In this excerpt from Stakeholder Relationship Management, author Dr. Lynda Bourne follows the saga of T5 from construction through to its public opening in 2008, and examines whether the passage of time can alter those perceptions. It would be very foolish to assume otherwise. April 2008 saw the start of the fifth quinquennial cycle (Q5) governing the economic regulation of Heathrow and Gatwick. At that, the intended capacity of T5 was 30 million passengers each year ( Towards a sustainable Heathrow 2011). The British Airports Authority (BAA) may own and manage T5, but it was BA that was pilloried for the debacle, caused by a forgotten software filter in BAAs baggage handling systems. When CIO published Cobys article entitled 50 Things I wish Id known before becoming a CIO a couple of years ago, number five on the list was entitled Try to be human. The challenge for us all in addressing the lack of capacity in the South East is how we ensure the timely delivery of investment, says BAA chief executive Colin Matthews. Still there may be some accidental positives. Given the new system's complexity, staff training and preparation was clearly lacking. Its a dire situation, far worse than 9/11 in terms of revenue challenges and the sheer systemic shock, says Coby. * Estimated Schedule of the project can increase due to intense public enquiries and the political influence. He apologised to customers, and Coby mirrored the approach soon after when he spoke at a Forrester Research event, saying: BA as a company apologises for the problems that we may have caused many of you travelling through Terminal 5. It represents a major step in the transformation of Heathrow and it is now a major gateway to the UK. Willie Walsh, BAs Most reports have focused on stranded customers, a crazed supermodel, and Queen Elizabeth's grand opening speech, which called the terminal "a 21st Century gateway to Britain. BA invested fairly early, back in 2002 to 2003, in BA.com, but its not as agile as wed like and our business colleagues are very keen to manage the way the site looks and its content without making fundamental -coding changes.. The TSC Oh, and Terry Pratchetts Discworld series for insights into human (and non-human) nature. We are now going to do 80% of our work through 15 to 20 suppliers.. A. I enjoy most meeting small groups of colleagues to talk about their work and especially their successes. But he is first to admit that, despite all the trials and testing it carried out at T5 before handover to British Airways (BA), and despite the physical equipment largely working well, the end product did not perform as planned. Deals with challenges and issues with regard to Corporate Governance, Corporate social responsibilities and corporate ethics. Share this article Walsh shouldered the responsibility and was extraordinarily frank during the Parliamentary Transport Committees enquiry into T5.
Heathrow Terminal 5: a fresh approach to the Balanced Scorecard From CIO UK: The project is a complex one. Acts as tool to Control the risks, like action taken towards a particular risk by choosing the appropriate Avoid, Accept and Mitigate, also provides that who is responsible for resolving the occurrence of the risk. With the benefit of hindsight it would have seemed more obvious to have done [the move into T5] in more incremental steps, he adds. All work is written to order. A. I dont read business books life is too short. As per Dobie (2007), project must be divided into measurable a package, that is actions which will contribute to the achievement of objectives. The application signalled the operators long term ambition to boost capacity at the airport beyond the single runway maximum of 35M passengers/year. Testing RFID blocking cards: Do they work?
British Airways CIO Paul Coby reveals lessons from Please find the proposed work breakdown structure of Heathrow Terminal-5 which mainly focuses on Execution phase with a budget of 3120 million and 300 million, Kept apart for the contingency which may occur during the Execution Phase, please find the Work Breakdown structure in the Appendix 1.23. Make sure milestones and deliverables to be achieved as per schedule. 10% off Management Today's Leadership Learning programme. Risk of overrun of the budget due to improper scheduling, Risk of Schedule Slip. The airline is moving onto the T5 systems, so they run for a year ready to operate at the new terminal when it opens in 2008. The program included two large terminal BA has come back from the brink before, however, and his mantra as a CIO has always been to cut costs, cut costs and cut costs again; find some IT innovation that will make a difference to the top and or bottom line and keep cutting costs. A construction programme to transform airports by 2013Airport owner BAA is about to embark on an ambitious five year, 6.6bn programme to transform its seven airports. What lessons were learned from this project? risk that I agreed to take.. Of 21 departures, 19 left on time. Coby says that blame doesnt help fix a problem, but understanding that problem does. My hero is of course Vetinari Committee (TSC) investigating the debacle has concluded that the chaotic Ive always said that the challenge to the IT department at BA is to do more with less and now the challenge is to do even more with even less. We are losing none of the values that we have generated over the last 10 years. During the inquiry it British Bags are automatically read, screened and sorted to their final build location via two electrical HELIXORTERS. External risks are the uncertainty which affects the organization/project by the external factors like environmental and downfall in the economy; these risks are uncontrollable by the organization which impacts the Scope. Given the impact of day one, we were in a very bad place, says Coby.