xb```b``i ,`@{,j'w]k$te``K``HKh``Pb@-fp108@ae09G> i -6 nb`` |.#j[4#m 0 j(L Terminal 5 (T5) was officially opened in the Londons Heathrow Airport in 2008 with an objective to increase the airports capacity up to 95 million passengers annually (Chan 2012). We plastered London with adverts to get people in and experience T5. 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. The systems incorporated in T5 severely taxed BA's planning, testing, and deployment capabilities. Risk of overrun of the budget due to improper scheduling, Risk of Schedule Slip. A. There will be two systems including a main baggage sorter and a fast track system. 0000001294 00000 n 03 Jul, 2008 Monitoring of issues and responding at the programme level. The costs of that would have been crippling to BA, which like the rest of the airline industry is under pressure. 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. By Sharon Stufflebeme, Managing Director, Technology Consulting and Sandip Shah, Managing Director, Technology Consulting. Free resources to assist you with your university studies! In the future, says Wolstenholme, the BAA Capital Projects team is intent on working much more closely with its airline customers to understand their business needs and make sure that all plans for new infrastructure are developed and handed over in close cooperation with them. Focus on proactively managing the risk instead of avoiding the litigation. 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. After six years of T5: The lessons learned 3 Nov 2008 by Mark Caswell Heathrow Terminal Fives disastrous debut could have been avoided, a report released today has confirmed. Purpose: Indicates the topics to be discussed. Canceled flights, lost baggage, and substantial delays were symptoms that arose from failures in management, planning, and testing on this expensive and complex project. Which tools or tactics have given you most success in communicating? We are still very firmly anchored into creating integrated teams, creating single team cultures and leading in the same way that we did in Q4, he says. That must be true for every business nowadays, regardless of sector. Of 21 departures, 19 left on time. So what can CIOs take away from Cobys experience of T5 and make sure that it doesnt happen on their watch? (in concurrence with the Competition Commissions findings). Since 2006, BAA has been developing its third generation capital value procurement strategy with which to roll out its forthcoming programmes of work. 194 0 obj <> endobj All rights reserved. One way towards agilty, appropriately enough, is through the Agile approach to software development that mandates frequent updating and closely orchestrated teamwork. The roof on the main building of Heathrows Terminal 5 was completed last month. parking. As the toast rack develops, it creates Heathrow East a new terminal building which will replace Terminal 2, The Queens Building and part of Terminal 1. I want people to get up in the morning and to do something that matters to them, he says. A. I played a part in BA.com which I am very proud of, but that is something many people in BA have contributed to, so I will instead go for turning around SITA (Socit de Tlcommunication Aronautique). How big cutovers [IT system transfers] are done is not just about IT issues it is a whole interconnected system. The closeness with which BA and BAA now -operate cant be overstated. An effective communication strategy as to be plotted by project manager to have a better understanding and coordination among the team members and good Communication strategy plays a vital role among the Team members/Stakeholders/Customers/Clients. Langsdale, a vastly experienced CIO, wasnt employed at BAA in March 2008 when T5 opened but replaced Richard Rundle who retired last summer. Stranded travelers immediately understood how problems with the baggage handling system affected them personally. From AI to IoT, advancements, convergences, and new use cases are giving rise to new avenues for IT innovation across industries, thereby transforming the business landscape to come. Planning, testing, and software quality assurance (QA). The objective of risk management is to identify the potential problems which may occur during the project life cycle, so that risk can be Controlled and Monitored throughout the Project life cycle. After 15 years of planning and construction, the opening day of this high-tech facility at the worlds busiest Environmental friendly terminal-5 building with better quality and services. Devices are deployed, connections are being integrated and 2007 will be testing year. 10% off Management Today's Leadership Learning programme. That is, they care for our paying customers. [British Airways CIO Paul] Coby says that even the construction of T5 involves: creating a small town with a full telecommunications network for the construction workers, merely to enable the terminal to be built.. * Frankfurt airport and Schiphol airport of Amsterdam. The first flight, a United to set the scene this session explored what we can learn from both of these case studies and how we can apply these lessons learned to future projects. Bags are automatically read, screened and sorted to their final build location via two electrical HELIXORTERS. WebDeveloping Heathrow terminal five was perceived as crucial to meet the demand for travel and passenger growth. Philip has set up a Heathrow Customer Stakeholder Board which is has brought about a sea-change improvement in attitude and openness. British Airways started system testing a year ago. With the benefit of hindsight it would have seemed more obvious to have done [the move into T5] in more incremental steps, he adds. In a moment of understatement adding insult to injury, British Airways CEO, Willie Walsh, commented: We are working hard to tackle the difficulties we have had with the terminal's baggage system. 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. Managing day to day activities of the Organization and Operations Management ( HR, Admn, Finance and Purchase). Heathrow Terminal 5 is the A. I dont read business books life is too short. But after the deluge, when problems have been exposed and the bigwigs embarrassed by failure, time and money magically appear. 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. 1. The system would have taken the fingerprints of all domestic passengers as they passed through the security gates, and was intended to prevent illegal immigration. BAA agrees that capacity constraints in the South East were limiting competition and that longterm policies are needed to drive the development of air transport. By controlling how much BAA charges airlines and how much BAA spends on infrastructure, the CAA hopes to encourage efficient airport development. Q. 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. Attend monthly board and committee meetings, Annual General Meeting. We are losing none of the values that we have generated over the last 10 years. Heathrow Terminal On day one, the baggage system did what it was designed to do. Communication can also be defined as transfer of valid information from an entity to another, Purpose of a communication plan is to transfer of required information to the audience, associated with respect to those issue/updates/scenarios. Q. We're here to answer any questions you have about our services. We have six streams and theres not much there thats brand new but it does seem to bring together a lot of previous experiences and plain common sense. It was a matter of extreme urgency and Coby clearly used every resource, asset and influence to do that. admitted that staff training had not been thorough enough, and that the opening BA spends over 100m a year on advertising and around 10 per cent of that went on the T5 summer campaign, which came in for criticism when some statistics it used regarding take-offs proved inaccurate. 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. Car park problems. In hindsight it would have seemed more obvious to have done [the move to T5] in more incrementalsteps, Not least, since T5 was without doubt a very successful design and construction project. much hoping for the best BAA had engaged in prior to the opening of Terminal Secondly it helps in assigning roles and responsibilities, resource allocation to the Project. BA.com now represents 50 per cent of UK sales by volume and it provides a cost-effective customer service, says Coby. 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. What is your greatest strength? Dedicated to your worth and value as a human being! Additionally, Biman Bangladesh Airlines will also be moving from Terminal 3 to Terminal 4 from 29 March. Heathrow last named an airport terminal after a reigning monarch in 2013 when it decided to call the newly built Terminal 2, The Queens Terminal, in honour of Queen Elizabeth II. WebTerminal 2 opening: three lessons Heathrow has learned from Terminal 5. Committee (TSC) investigating the debacle has concluded that the chaotic At BAAs other airports: Southampton, Aberdeen, Edinburgh and Glasgow, BAAs investment plans are not regulated by the CAA. My take: there's never enough time or budget to test, train, and prepare properly for launch. Sign in or Register a new account to join the discussion. A. All work is written to order. In SITA we have a new technology lab looking at IT innovation and I am on the board of SITAs joint venture with Airbus called OnAir, which is pioneering on-board data and voice connectivity. IT is in my view a team sport. For some projects, people were asking for new systems to support their work, but we actually changed the process and brought no IT.. Avoid large scale cutovers whenever possible; Cobys take is that the customer should always come first. Terminal 5 represents an enormous investment in buildings, systems, technology, systems, and human processes. If you're studying Surveying or Construction Management, or starting out as a Construction Cost Manager and need to plan or assess construction projects then this is the book for you. They argue that BAAs one customer at T5, BA, shouldnt be getting it in the neck but should instead be receiving massive recompense based on service-level availability penalty clauses. The reason I came to BA in 1996 was on another secondment to broaden my experience again, so you never know what can happen as a result There probably isnt a more important or more challenging programme of work in the UK than transforming Heathrow.. UK Under-Secretary of State for Transport, Jim Fitzpatrick, testified before the House of Commons under harsh questioning: The management of terminal 5 is an operational matter for British Airways and BAA, but that does not mean that the Government are not taking a keen interest in seeing that the difficulties T5 has faced since it opened last week are addressed and resolved as quickly as possible. Given that at 400 by 150 metres, this is the largest single span roof in Europe, it was a tricky operation. Modern Air Traffic Control tower, new rail station and links to the central London with Heathrow express and Piccadilly line extension. From ComputerworldUK : Terminal 5 has cost Breaching the contract terms and conditions, due to illegal activity from Suppliers (Eg: Information leakage), Failure of techniques/technologies used in the project ( Eg: IT System, Design, Data Management). 0000000556 00000 n A. We broke the industry rule book, took on all the risk and we delivered that programme on time and on budget.. Misplacing the approved contracts, having inefficient and inconsistent contract policies and process across the organization. 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. It was clear that different projects and different suppliers needed different procurement approaches to match risk to reward and optimise cost. WebCentral waiting area in Terminal 5. BA blamed the glitches on problems with "staff familiarisation", which had a knock-on effect on bags and flights. Failure of align in meeting the interests of individuals and corporations. A project which saw client BAA buck the industry trend by driving a single team to successfully manage some very large construction risks, complex baggage systems and the integration of a myriad of critical IT systems. Find the proposed structure for Heathrow Terminal-5, Organization Breakdown structure, Work Breakdown Structure, Project Hierarchy structure, Gantt Chart in the appendix 1234456. Search flights. The six sections each weighing 2,500 tons Thats unheard of at BA and again, Coby says its due to a fully-functioning, integrated T5. 27 March 2008 was all meant to go swimmingly. 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. Terminal 5 The UK's largest free-standing building, T5 offers travellers space, style and world-class service in abundance. WebOpen Document Introduction Work on the London Heathrow terminal 5 (T5) began in 2002 after a 4 year public enquiry. Get started by entering your email address below. Concorde G-BOAB in storage at Heathrow. Given the impact of day one, we were in a very bad place, says Coby. Know that CIOs and their teams need to be recognised as trusted advisors providing an inside track on technology. To construct sixty new aircraft stands inclusive of stands designed for the most advanced aircrafts like Airbus A380. Q. on its first day of business. Unauthorized employees signing the contracts, due to non-compliance of contract by suppliers and other contractors. Risk of overseeing the specification, assumptions and requirement of the product during starting phase of design, Risk of including the extra cost due to complex design. Webdisastrous openings at US$3.9 billion and Heathrow-Terminal 5, London United Kingdom which commenced operations in 2008 with estimated cost of its disastrous openings at US$6.4 billion can also be added to this list. <]>> Geez, isn't that always what seems to happen? Commodity builders will handle the less complex, more definable jobs typically worth between 2M and 30M such as car parks and landside roads. BA now has Continuous Improvement Groups to better understand when things go wrong, fix them and ensure they dont happen again. We provide telecommunications, systems and solutions to airlines, airports, governments and the UN, so if you check in at an airport or use a self-service kiosk there is a high chance that your agents screen, the kiosk or the baggage system and networks used will be provided by SITA. Bags undergo several processes on the way through the system including automatic identification, explosives screening, fast tracking for urgent bags, sorting and automatic sorting and passenger reconciliation. As reported in ComputerworldUK, the T5 systems represented a massive business transformation effort for British Airways: The technology has let British Airways create what is believed to be one of the airline industrys first Order Data Stores (ODS). It is absolutely fundamental when everything is so interdependent that we manage key suppliers and that doesnt mean you neglect your own direct area of accountability and people. Q5 is about programmes of work to transform our airports. How do you deal with stress? The airline also handles mass disruption more effectively, he says. Walsh set an example of leadership in his dealings with the Parliamentary Committee that every failed banking CEO in front of the Treasury Select Committee should follow. The British Airports Authority eliminated biometric security measures (fingerprinting all passengers) immediately prior to the terminal opening due to legal questions. The program included two large terminal Political fallout. From Computing: Training and familiarisation procedures were carried out for a year so that staff could test the new IT systems in place throughout the building. One of the defining moments in the airport's recent history was the opening of its Terminal 5, which took place back in 2008. Which business (or other) books have been influential in your career? During the sudden snowfall in February it contained within the system the number of bags that did not travel with their owners on the Monday, repatriating them quickly. Copyright 2003 - 2023 - UKEssays is a trading name of Business Bliss Consultants FZE, a company registered in United Arab Emirates. 0000005764 00000 n Here you can choose which regional hub you wish to view, providing you with the most relevant information we have for your specific region. Vanderlande Industries forms part of the T5 Strategic Team and is supported by BAA's Baggage Delivery Team. Every five years, new price controls are set and April saw the start of the fifth quinquennial period (Q5) which set price controls and spending plans for Heathrow and Gatwick Airports. Here you can choose which regional hub you wish to view, providing you with the most relevant information we have for your specific region. The most terrifying words you can hear on the slopes are Follow me, Daddy!. Hundreds of passengers had volunteered to take part in pre-opening trials. During the inquiry it construction T5 left thousands without their baggage, and cancelled 34 flights Computer Weekly reports that IBM supplied software components: The system was designed with Dutch company Vanderlande and IBM. A passenger told the BBC: "Apparently the computer software told the baggage people that the flight had taken off. Is this a job interview? You need to expose yourself to as many different experiences and people as possible so I was fortunate enough to spend secondments in IBM and the Northern Ireland Office and as a speechwriter for ministers. Otherwise you waste time and money treating symptoms, not eliminating the root problem. Think of BAA and you think of Heathrow Terminal Five (T5). WebObviously, 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 The facility, situated on a 251hectar site had 6000 people working on site at any one time (Health and Safety Executive, 2005). we equip you to harness the power of disruptive innovation, at work and at home. 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.. this lack of co-operation, though the TSC also cited poor staff training and We did that very well, says Wolstenholme of the T5 project delivery. We accepted responsibility for what happened to our customers because that was, and -remains, our primary accountability., Common goals From the official brochure: Terminal 5's technical complexity matches its physical size. Suppliers wanted to take on more risk where appropriate. %PDF-1.4 % But when BAs CEO, Willie Walsh, found himself addressing staff and the media in 2008, the Terminal 5 experience wasnt quite the same perfect moment and, 40 years on, Walsh found himself in a very different position to Millward. CEO Colin Matthews joined BAA just prior to T5 opening. The global aviation industry is in meltdown with the International Air Transport Association (IATA) saying airlines lost over $8bn (5.5bn) in 2008. When we landed at Heathrow Airport in London, we learned we had to pick up our luggage at baggage claim, go through customs , check 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. chief executive said: We knew this was a risk, it was a calculated risk and a * To meet the environmental standards and compensating the local residents plus the effect on the other four terminals. endstream endobj 205 0 obj<>/Size 194/Type/XRef>>stream Here's my rundown of the major failures and why this debacle happened. From the A. I enjoy most meeting small groups of colleagues to talk about their work and especially their successes. The losses topped $4bn (2.7bn) in the last three months of 2008 alone, when the global credit, financial and economic crisis became acute and aviation fuel prices hurt carriers. Clearly, that was not the case. Small cog deeply regrettable that so many were allowed to bring the operation of BA representatives 0000002645 00000 n How do we do that? Spending 6.6bn efficiently and effectively over such a short period will be a tough challenge, not least as little of the work is straightforward and more often than not has phases which are deeply intertwined.
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