Project Management: Case Study- Regional Rail Fleet (NSW)

This case study focuses on the development of a regional rail fleet in Western Australian Government. It discusses the background, literature review, feasibility, and both positive and negative risk conditions in the Western Australian scenario.

Running head: PROJECT MANAGEMENT
Assignment 1: Case Study- Regional Rail Fleet (NSW)
Name of the Student
Name of the university
Author’s Note

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Table of Contents
Part 1: Deliverables..........................................................................................................................2
1.1 Background.......................................................................................................................2
1.2 Literature review...............................................................................................................2
1.2.1 Identification of PM Risk framework........................................................................2
1.2.2 Reviewing Industry Report and risk identification....................................................4
1.3 Western Australian Governments need for the project.....................................................5
1.4 Feasibility of the project...................................................................................................5
1.5 Both negative as well as positive risk conditions in the Western Australian scenario.....6
Bibliography....................................................................................................................................9

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Part 1: Deliverables
1.1 Background
The paper mainly reflects on the development of a regional rail fleet in Western Australian
Government. It is found that the Western Australian Government wants to replace the ageing
NSW regional rail fleet of Endeavour trains, XPT as well as XPLORER that further includes
train up to 36 years old. The government wants to implement the regional rail fleet for improving
safety, comfort, accessibility as well as reliability of the customers who generally travel from
Sydney to many of the western Australian regions. Furthermore, the various types of benefits
that are generally achieved from the project mainly include proper as well as comfortable designs
including the spacious buffet as well as overhead luggage status, accessible toilets, automatic
selective doors as well as the facility of electronic device charging points. The Western
Australian government generally awarded the contract in order to deliver the Regional Rail Fleet
projects for various Momentum trains. It is found that the development of momentum trains will
generally start their work on the entire detailed design so that the first new trains will be
expected to run by the year 2023 with the full fleet coming into service quite progressively.
1.2 Literature review
1.2.1 Identification of PM Risk framework
According to Jorge and De Jesus (2018), a risk management is considered as one of the
structured procedure that is mainly utilized for determining the potential threats to an
organization for defining the strategy in order to eliminate the impact of various types of risks as
well as a proper mechanism in order to successful monitor as well as evaluating the strategy. It is
found that there are six important components that helps in creating proper risk management

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framework. The components of risk management framework mainly include risk identification,
risk measurement, risk mitigation, risk reporting and monitoring as well as risk governance.
It is stated by Shad and Lai (2015) that the first step is to determine the risk that is faced
by the project. A project can face number of risks including IT risks, legal risk, operational risk,
political risk, strategic risk as well as credit risk. It is found that after properly listing the possible
risks, it is quite necessary for the project to select risks that is exposed in order to categorize the
risks into core and non-core risks. On the other hand, it is opined by Irani and Hamuli (2016) that
risk measurement helps in providing proper information of the quantum of a specific risk
exposure or an aggregate risk exposure as well as the probability of a loss that occurs due the
exposures. While measuring a different type of risk exposure, it is very much necessary to
consider its effect of that risk on the overall risk profile that is mainly associated with the
organization.
According to Javaid and Iqbal (2017), risk mitigation helps in eliminating as well as
minimizing the various types of core risks that are mainly related with the project. Risk
mitigation can be achieved properly by adopting proper strategies. Furthermore, after risk
mitigation, it is quite important to properly report on the specific risks for aggregating the
various types of risk measures for ensuring that the risk levels generally remain at an optimum
level. It is also necessary to send the risk report to the risk personnel that generally have the
authority of adjusting various types of risk exposures.
It is opined by Kountur (2018) that risk governance is one of the procedure that helps in
ensuring that all the employees of the company generally perform their duties as per the risk
management framework. It is found that risk governance mainly helps in defining roles of
various employees, segregating duties as well as assigning authority to various individuals,

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committees as well to the on board for the approval of various types of core risks, risk limits as
well as general oversight.
1.2.2 Reviewing Industry Report and risk identification
After reviewing various industry reports of Western Australia, it is identified that in order to
develop the regional rail fleet project number of risks and challenges occur. The risks that are
identified while reviewing mainly include design risk, site risk, financial risk, management risk,
material risk as well as legal risk. According to Hwang Zhao and Yu (2016), the risk that are
associated with the land acquisition can be properly mitigated with the initiation of the project
after all the required land is properly handled by the government. On the other hand, material
risk is mainly considered as one of the railway project risk that generally creates number of
challenges. It is found that the materials that are generally required for the development of rail
fleet project is not available on time then it would generally cause delay within the project
(Matsika et al., 2016). In addition to this, it is identified that proper design of the project must be
created so that the regional rail fleet project can be developed successfully and for this it is quite
necessary to hire experienced surveyors as well as designers within the project.
It is stated by Sarkar and Panchal (2015) that after proper identification of risks that are
associated with the development of regional rail fleet project in Western Australia, it is quite
important to look at various types of techniques that further helps in analyzing the different types
of cash flows that is generally considered as one of the important function of the entire risk
management procedure Javaid and Iqbal (2017). Safety related risks can also be a concern during
the development of rail fleet project and it is identified that site safety related risks generally
occurs due to the absence of glows, goggles, as well as different types of safety equipment for
the workers. In addition to this, it is found that there are number of government agencies that are

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generally affected by the development of the railway line further needs approvals for the entire
project which is considered as one of the complex as well as time consuming procedure.
1.3 Western Australian Governments need for the project
The Western Australian Government generally needs the regional rail fleet project for
stimulating the regional economy for creating appropriate opportunities as well as skills. It is
found that with the help of the new trains the government of the Western Australia generally
wants to improve safety, comfort, accessibility as well as reliability of the customers. The
western Australian government wants to provide more comfortable as well as functional design
including the facility of reversible seating, spacious buffets as well as accessibility of toilets
within every train. In addition to this, the government also wants to provide the facility of
automatic selective door opening facility for stations with very much short platform as well as
modern CCTV equipment. Moreover, the government wants to give the facility of electronic
device sharing points, tray tablets with suitable laptops as well as spacious seat pockets.
1.4 Feasibility of the project
Feasibility study of the project helps in testing the viability of an idea, project or even a
new business. The main goal of the feasibility study is to properly emphasize the various types of
potential barriers that could occur if any one pursues a project and properly determine the
various projects. The various types of feasibility analysis that is mainly undertaken on the
development of the regional rail fleet in Western Australia.
Financial feasibility: It is found that the project that is undertaken is financially feasible
and therefore the entire project will be completed within the budget that is estimated.

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Technical feasibility: The technical requirements that are needed for the development of
the project are easily available.
Operational feasibility: The regional rail fleet will operate properly due to the new
functions as well as features that are generally added within the project.
1.5 Both negative as well as positive risk conditions in the Western Australian scenario
The positive as well as negative risk conditions that are generally identified in the Western
Australian scenario is generally reflected in the table that is provided below:
Risk ID Risk Description Positive/Negative
1 Design risk The design that is
developed for the
regional fleet rail
project is not
properly designed
which causes number
of challenges.
Negative risk
2 Material risk If the material that is
needed for the
development of rail
fleet project is not
supplied on time then
the delay of the
project get affected.
Negative risk

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3 Financial risk If the budget that is
approved for the
project is not
appropriate for
completing the
project then a number
of financial risks
generally occur
within the project.
Negative risk
4 Schedule slippage As the Western
Australian
government wants to
add some more
facilities within the
regional fleet trains
therefore the time
that is required for
the purpose of
development
generally increases.
Positive risk
5 Management risk If the project is not
appropriately
managed then
Negative risk

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number of issues
occur in completing
the project within the
expected time.

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Bibliography
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review. International Journal of Production Research, 53(16), 5031-5069.
Hwang, B. G., Zhao, X., & Yu, G. S. (2016). Risk identification and allocation in underground
rail construction joint ventures: contractors’ perspective. Journal of Civil Engineering
and Management, 22(6), 758-767.
Irani, M., & Hamuli, C. (2016, November). A Novel Failure Management Framework for SAGD
Well Integrity. In SPE Thermal Well Integrity and Design Symposium. Society of
Petroleum Engineers.
Javaid, M. I., & Iqbal, M. M. W. (2017, April). A comprehensive people, process and technology
(PPT) application model for Information Systems (IS) risk management in small/medium
enterprises (SME). In 2017 International Conference on Communication Technologies
(ComTech) (pp. 78-90). IEEE.
Jorge, S. M., & De Jesus, M. A. J. (2018). Budheting and accounting reforms within the public
financial mangement framework: the Portuguese case. Budheting and accounting reforms
within the public financial mangement framework: the Portuguese case, 565-579.
Kountur, R. (2018). The likelihood value of residual risk estimation in the management of
enterprise risk. Investment Management and Financial Innovations, 15(3), 49-55.
Matsika, E., O’Neill, C., Battista, U., Khosravi, M., de Santiago Laporte, A., & Munoz, E.
(2016). Development of risk assessment specifications for analysing terrorist attacks

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vulnerability on metro and light rail systems. Transportation research procedia, 14,
1345-1354.
McNeil, A. J., Frey, R., & Embrechts, P. (2015). Quantitative Risk Management: Concepts,
Techniques and Tools-revised edition. Princeton university press.
Sarkar, D., & Panchal, S. (2015). Integrated interpretive structural modeling and fuzzy approach
for project risk management of ports. International Journal of Construction Project
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Shad, M. K., & Lai, F. W. (2015). A conceptual framework for enterprise risk management
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Wiengarten, F., Humphreys, P., Gimenez, C., & McIvor, R. (2016). Risk, risk management
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Production Economics, 171, 361-370.