Project Funding & Finance: Case study of Capital Hospitals and Barts and the Royal London

This case study discusses the risk and risk mitigation approaches, organogram, and case study discussion on Capital Hospitals and Barts and the Royal London. It also includes references for further reading.

Running head: PROJECT FUNDING AND FINANCE
Project Funding & Finance: Case study of Capital Hospitals and Barts and the Royal London
Name of the Student:
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1. Risk and risk mitigation approaches
1.1 Risk matrix
Risk
Id
Risk name Impact likelihood Risk
ranking
Mitigation approach
R1 Insufficient
clinical services
and support
High (4) Possible
(3)
High
(12)
In order to resolve the identified
risk the Capital Hospitals should
incorporate needful and ideal
clinical support as well as services
to make sure that the hospital is
meeting all primarily identified
operational and functional
objectives.
R2 Overrunning
operational and
allocation cost
High (4) Likely (4) Extreme
(16)
The Barts Health trust is a large
hospital group in the United
Kingdom (UK), but the challenge
that the organization was facing
throughout is overrunning budget.
Before initiating the final operation
the organization should conduct a
feasibility analysis to ensure that
the objectives will be completed

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within the estimated budget.
R3 Inappropriate
staff
recruitment and
retention
process
Medium
(3)
Most
likely (5)
Extreme
(15)
The hospital higher managerial
authority should incorporate proper
recruitment and selection policy.
The HR department must follow
those rules and norms while
recruiting new associates.
R4 Lack of quality In order to improve overall quality
of the process accurate quality
management program is needed to
be incorporated by hospital
authority. Continuous
improvement plan and change
management program are the best
suited approaches to be used for the
improvement of the quality. For
making both the hospitals fully
secured and operational as well the
continuous improvement plan is
very essential for success. It has
been determined that if this
approach is not successfully
incorporated to the hospital

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operations and services then the
patients will fail to get expected
safe services throughout.
R5 Inappropriate
construction
design outlines
High (4) Rare (1) Low (4) Before initiating the refurbishment
the civil engineer and the architect
are needed to outline the design
structure to make sure that the
expectation of the customers has
meet the objectives.
R6 Lack of support
from the supply
chain vendors
High (4) Unlikely
(2)
Medium
(8)
Before the design and development of
the hospital organizational structure
proper supply chain vendors are
needed to be selected by the hospital
authority. If the suppliers successfully
delivers the raw materials tp the
employees then it would help the
associates to meet the expectation and
objectives of the hospital.
2. Organogram or Organizational Structure
Organizational structure or Organogram is referred to as a hierarchical arrangement of
company lines of authority, rights, communication including duties of an organization. The
organizational structure helps to identify roles, responsibilities and duties of the company

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associates. The distributed responsibilities are controlled, assigned and coordinated with this
organizational chart. In addition to this, the differentiation between various management levels
and the direction of information flow are also identified with the help of organizational structure.
Not only these people but also all the stakeholders are also required to serve effective roles to
deliver proper services to the higher management and other associates as well. The developed
organizational structure are designed based on the distributed decision making power of the
organizational associates. The Organogram that has been prepared is elaborated and represented
in the below section:
contractors
supply chain
head
project
associates finance manager
advisers
sub contractors

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Figure 1: Organizational structure for Capital Hospitals and Barts and the Royal
London
(Source: created by author)
3. Case study discussion on Capital Hospitals and Barts and the Royal
London
a) After analysis the project details it has been identified that it is very essential from the
project management perspectives to accomplish any project within assigned timeline and budget.
If a project is not delivered within accurate timeline and budget then the project owners would
fail to meet the objectives and goals as well. The complexity for any project will absolutely get
resolved with the implementation of a project team. The overload of task and activities will also
get reduced if a project team is prepared. Though, the project team should be prepared or
selected after considering the skills and knowledge of the participants. If a team is prepared will
fully skilled employees then any complex project can also become a simple one much easily.
Therefore, after analyzing the skills and knowledge of all associates with a performance
measurement matrix proper project team is required to be developed and represented. the project
development life cycle phases that are to be sequentially followed by the project associates
includes project initiation, project planning, execution, control and monitoring and project
closure. Based on skills and knowledge for each of the project activity different resources are
needed to be assigned.

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b) After analyzing the case project I have realized that Capital Hospitals and Barts and
the Royal London are serving effective services and offers to the clients but still there are some
challenges which required to be resolved sooner to gain measurable commercial profit and
competitive advantages throughout New South Wales (NSW), Australia. The different risks
those are being reviewed from the given case scenario include overrunning budget, insufficient
quality, staff selection and recruitment strategies, lack of support from the supply chain vendors,
inaccurate construction design outlines and insufficient technical support as well. It has been
determined that, if all mentioned risks categories are properly measured and analyzed accurately
before the design and development of the risk management strategies then the company would be
able to meet the objectives and primary goals and aims as well.
In order to obtain commercial and business level project success, the project supervisor
and all team associates are required to design and implement accurate project flow chart and
follow that respectively. However, before initiating the project the project supervisor should
assign and distribute the roles and responsibilities among the project team associates based on
their skills and knowledge. From the initiation upto the end if the team associates follow the
project activities sequentially then the project will be considered as a successful one. Not only
this but also, proper risk management plan would help to identify the risks and their respective
mitigation strategies as well.
c) Capital Hospitals and Barts and the Royal London id a Skanska led availability
payment based finance, design and operate public private and partnership designed for
redevelopment and refurbishment of two historic hospitals located in the central London. The
first project is about transforming a 900 year old hospital in a state of art cancer and cardiac
center using a site for new building and demolishing a 13 building at Royal London Hospital. In

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combination with tremendous increment of PP scheme in the nominated hospitals the PPP has
evolved with different theoretical as well as empirical debates and issues pertaining for
improving the overall service quality. The main issue that is identified in this case is
insufficiency in PPP challenges as well as guidelines in managing knowledge Performance
Indicator (KPI).

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References
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