Risk Assessment of Regional Rail Fleet (NSW): Analysis, Recommendations, and Safety Improvements

In this document we will discuss about Risk Assessment of Regional Rail Fleet and below are the summary points of this document:- Analysis of risk assessment for the Regional Rail Fleet project in NSW, focusing on replacing outdated trains. Review of the project's background, purpose, scope, and literature on risk treatments and management plans. Identification of potential risks, recommendations, and conclusions for improving safety and efficiency.

Running head: RISK ASSESSMENT
Risk Assessment of Regional Rail Fleet (NSW)
Name of Student-
Name of University-
Author’s Note-

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Table of Contents
Table of Figures...............................................................................................................................2
1. Introduction..................................................................................................................................3
1.1 Background............................................................................................................................3
1.2 Purpose of the research..........................................................................................................3
1.3 Scope of the project...............................................................................................................4
2. Research Framework...................................................................................................................4
2. Literature Review........................................................................................................................5
2.1 Possible Risk Treatments.......................................................................................................5
2.2 Risk Management Plan of Project Management...................................................................7
2.3 Reviewing the Regional Rail Fleet Report and Identify Possible Risks.............................10
2.3 Recommendations................................................................................................................14
3. Conclusion.................................................................................................................................14
References......................................................................................................................................15

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Table of Figures
Figure 1: Risk Analysis Matrix........................................................................................................7
Figure 2: Factors of Risk associated in Regional Rail Fleet Project...............................................9
Figure 3: Impact of Risks on the project.......................................................................................11
Figure 4: Showing Feasibility Study of the Project.......................................................................13

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1. Introduction
1.1 Background
The case study of the Regional Rail Fleet is analyzed in this project that replaces the
trains that are 36 years old. The project describes the maintenance of the training facility that is
to be built in Dubbo (Transport.nsw.gov.au., 2019). This will help to stimulate the economy of a
region as well as help to create job opportunities as well as skills involved in the project. The
report of the rail fleet will help to improve the safety, accessibility, reliability as well as comfort
of the trains (Cases & Viewer, 2019). The main aim of the project is to design more comfortable
trains as well as functions in terms of reversible seating, spacious buffet cars and many more.
The government of NSW has given the contract to Momentum Trains for delivering the Rail
Fleet project. The contract that is given includes financing of the project, designing of the
project, building as well as maintaining the rail fleet. The main purpose of the rail fleet is
providing safety, accessibility as well as comfort to the passengers of NSW.
1.2 Purpose of the research
The need for the project is to involve a new fleet of trains running within the cities is
needed to come into service in the last 2019. The project will help the customer to travel from
Sydney to the Central Coast, the Blue Mountains, Newcastle and South Coast (Cases & Viewer,
2019). The replacement needed for the Regional Rail fleet project mainly includes designing,
building maintenance, as well as financing the new fleet of trains and new facility maintenance is
to be constructed in Dubbo.
The project of the new rail fleet is required for the government to replace the aged
regional rail fleet in NSW. The new trains will provide safety, accessibility, reliability, and

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comfort for the customers to travel to regional centres in NSW from Sydney. There is a need for
the project as new trains will provide more comfort and will have a more functional design such
as buffet cars, luggage storage, as well as reversible seating (Blayney et al., 2017). The proposed
project will have accessible toilets in the trains having wide doors and automatic door opening
for the stations. The project states sustainable outcomes that are important for considering the
project of the Regional Rail Fleet. The government of NSW has to commit to boosting the
economic development of the region that mainly focuses on the skills, as well as job creation.
1.3 Scope of the project
The scope of the project is to determine the risk assessment framework that is considered
for project management as well as identifying the risk that are associated with the project. This
report also describes the need for Rail Fleet project and the risk that is associated with the
project.
2. Research Framework
The research that will be undertaken for this particular project is secondary qualitative
research containing the risk management strategy of rail fleet project of NSW. With the
secondary analysis of data collection, the official articles published by government of NSW have
been considered along with the journals, blogs and the published paper of Dubbo railway Fleet
project.
Secondary research will be carried out that will involve other research papers related to
the chosen topic. 11 such articles were considered for carrying out this research paper. For
carrying out the risk management strategies, articles related to project management were also
taken for this research paper.

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The rationale behind carrying out the secondary methodology of data collection method
is as this paper includes the risks management plan for the rail fleet project, the articles related to
rail fleet project is needed for carrying out this research.
11 published article were mainly considered for carrying out the research of Railway
Fleet project and all those articles are listed in the reference section below. Only secondary
qualitative research was carried out for this research study and thus no participants were included
in this research paper.
The limitations that are included in this research paper were finding out proper and
appropriate journal articles related to the research topic. As only qualitative data was taken for
this research, all research paper was not possible to take in to consideration.
2. Literature Review
2.1 Possible Risk Treatments
The risks that are identified in the project are categorized as positive risks as well as
negative risks. The positive risks and the negative risks. The type of risks and their mitigation
process are stated in the table below.
Risks Type of
risks
Severity Probability Mitigation Process
Increasing time for
completing the
project
Positive
Risk
Medium High The project of the railway fleet
is to be divided in several parts
so that risk of increasing the
time of the project is reduced.
Increasing the Negative High High If the project time is not

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budget of the
project
Risk increased, the project budget
will also not increase.
Maintenance
Management
Positive
Risk
Medium Medium Maintenance log is to be made
at the starting of the project so
that problem does not arise after
the project start.
Threat related Risks Negative
Risk
High Medium All the threats are to be
assumed at the starting of the
project and training should be
provided to all the team
members so that they can
mitigate the threat.
Natural Disaster Positive
Risk
Medium High Proper fund should be present
with the project manager in case
of natural disaster.
Technical Risks Negative
Risk
High Low The technical risks can be
reduced by organizing meetings
between project manager and
the technicians so that there is
no technical risk while working
with the project.

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Figure 1: Risk Analysis Matrix
(Source: Created by Author)
2.2 Risk Management Plan of Project Management
2.2.1 Risk management plan: The risks management plan is basically a summarization of
all the risks that are included while carrying out the railway fleet project of NSW. The risks
associated and their management and mitigation processes are included in this risks management
plan.
The tool that is used for identifying the risks of the railway fleet project is prioritizing the
possible risks as well as scoring the risks according to their impact. The main process to link the
identified risks with management is understanding the reason to mitigate the risk. Qualitative
assessment is mainly used in this railway fleet project for prioritizing the risks that have already
being identified.

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Table 1: Risk Register for Railway Fleet Project
(Source: Cases & Viewer, 2018)
Risks
Occurred
Risk Implications Type of
Risk
Level of
Risk
Impact of
Risk
Contingency/Mitigation
Political
Interest
Risks
The political risks associated
with the project might be
delayed in many business
scenario.
Negative Medium High The manager of the project
management team should have m
with the government to mitigat
political risks.
There should be proper contract
the government officials.
Technical
Risks
Improper technical design might
help in technical complication of
the project. Many changes in the
technical design also might
change the project schedule and
budget of the project.
Positive Medium Medium The project manager and the techn
related with the project should
meeting before designing and s
also have meeting before startin
project.
Manpower
related Risks
While working with the project,
there might be less manpower
and that would increase the
project completion time.
Positive Low Medium In the project schedule, there shou
proper estimation of the project h
resources and extra fund should b
to allocate extra man powers i
project.
Financial
Risks
Increasing in time and
manpower might lead to increase
is budget of the project.
Negative High High The sponsor of the project should
meeting with the project team me
so that to avoid project financial ri
Construction
Period Risks
Less power supply might risks to
period risks in the construction
procedure. Shortage of technical
resource might also be a reason
of period risks.
Negative Medium High The electric department in NS
responsible for construction pr
Meeting should be held with the p
manager and the electric depart to
any risks.

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2.2.2 Reason to develop a Risk Management Plan: According to NSW Government
(2018), the main reason for delivering a project successfully is implementing risk management in
a project. The risk management framework helps to deliver a project on time and within the
budget that is planned for the project. The Risk Management Framework is implemented at the
beginning of the project and also includes the process included in risk management for inception
for implementation. There is risk management log that is established in most of the projects, and
those artefacts that are included are to be checked regularly for the list in their action items.
2.2.3 Time to develop a Risk Management Plan: When the project is being processed,
with the project processes the risks are to be identified. For identifying the risk Cases & Viewer
(2019) has stated the framework of risk management consists of the following:
 Planning risk management: Developing a plan with the team for discussing how the
project risks are captured.
 Identifying the risks: The risks are identified in this phase, and the risks are identified in
the log of the risk register.
 Performing analysis of qualitative risks: The risk that is identified is prioritized.
 Performing risk analysis in a quantitative way: Performing some computation for the
risks included in a project.
 Planning risk response: Developing a response if the risk occurs in the project.
 Controlling the risk: To keep a track on the risks as well as monitor the risk log that are
involved in the project.

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Figure 2: Factors of Risk associated in Regional Rail Fleet Project
(Source: Created by Author)
2.2.4 Risk Mitigation Strategies: The project of the railway fleet is to be divided in
several parts so that risk of increasing the time of the project is reduced. If the project time is not
increased, the project budget will also not increase. Maintenance log is to be made at the starting
of the project so that problem does not arise after the project start. All the threats are to be
assumed at the starting of the project and training should be provided to all the team members so
that they can mitigate the threat. Proper fund should be present with the project manager in case
of natural disaster.
According to NSW Government (2018), the inputs that are to be included in the process
of the risk management plan are explained below:
 Project Management Plan: There are seven subsidiary plans as well as a minor plan that
are to be included in the project.
Long Process Horizons
Complex Interfaces
Non-Standard Technology
Conflicts with the Partners
Changing Scope of Project

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 Project Charter: There are high level descriptions as well as requirements that are to be
included in the project charter.
 Environmental factors: The risk of the organization is to be communicated at the
tolerance level.
 Process assets of the organization: The categories of risks, decision-makers as well as the
lessons that are learned are included in the project asset.
Transport.nsw.gov.au. (2018) stated that the risk framework of project management
includes project kick-off and includes buy-in option from the stakeholder. This is because to
identify the risks as well as manage the risk proactively as a team effort. The project team should
be educated so that they can manage the risks while planning for the project (Australia Southern
Railroad, 2019). With any of the activity in project management, the efforts that are spent
determining the risk management strategy for commensuration of the risks that are involved in
the project, the cost that is included in managing the risk and how the risk affects the objectives
of the project management.
2.3 Reviewing the Regional Rail Fleet Report and Identify Possible Risks
According to Collins (2018), the Government of NSW wants to replace the ageing rail
fleet of the XPT, XPLORER as well as the Endeavour trains. The government is building a
maintenance facility that service fleet in Dubbo. The total budget that is included for the regional
fleet project is $2.8 billion that includes the capital cost of about $1.26 billion for planning the
new fleet for a maintenance facility in the area (Heagney, 2016). The cost for the project includes
some minor network that enables the cost of the project and the recurrent cost associated with the
maintenance service.

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Collins (2018) also stated that for giving the tenders for the rail fleet project, an
Expression of the Interest process was held in the year 2017 having momentum trains,
Bombardier Consortium and the Regional Futures. The main focus was on the outcomes-focused
by the customer, train solution, the maintenance facility as well as the solution for asset
management. Other criteria of the project were to maintain the job, industry participation,
financial structure and the commercial solution for the project.
According to Australia Southern Railroad (2019), the project that is been proposed by the
government of Sydney indicate that the project will generate about more than 200 words new
jobs while the peak construction will be in process, for the final train fit out there will be 60 new
jobs, testing as well as commissioning the work will appoint 50 new job that includes the
apprenticeships and the traineeships (Heagney, 2016). The Momentum trains mainly create
employment, opportunities and apprenticeships for the aboriginal businesses.

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Figure 3: Impact of Risks on the project
(Source: Created by author)
The risks that are included in the project report is the level of defects and the severity of
defects that might increase. This provides risk to the safety as well as the reliability included in
the network.
Positive Risks associated with the project: The positive risks that are associated with the
railway project are discussed below:
 Exploiting the opportunities as well as making sure that the value of the railway project is
realized (Kerzner & Kerzner, 2017).
 It is enhancing all risks associated by increasing the impact of likelihood in the project.
The likelihood associated with the regional rail fleet project is the risk the probability of
occurrence in a project and the impact of risks that are associated with the project. The
impact of the likelihood is to be increased in the project (Larson & Gray, 2017).
 Sharing is considered as the positive risks that allocate responsibility to the third party by
increasing the capturing opportunity in the project.
 Accepting opportunity should be increased in the project.
Negative Risks associated with the project:
The negative risks that are associated with the regional rail fleet project are:
 Avoiding as well as trying to decrease the threat as well as protect the rail fleet project
from all the impacts that are associated with it (Cases & Viewer, 2019).
 Transferring all impacts in the thread to the third party as well as own response at the
same time.

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 They are mitigating all occurrence of likelihood in the project. The impact of the
likelihood is also to be mentioned in the project (Harrison and Lock, 2019).
 Accepting all the risks as well as taking no action unless the risk occurs.
The contract of the project is given to the Momentum Trains, which is an international
consortium consisting of CAF, Pacific Partnerships, UGL Rail Services, and CAF Investment.
The contract given to the Momentum Trains consists of project financing, building, designing as
well as maintaining the building of fleet.
Figure 4: Showing Feasibility Study of the Project
(Source: Created by Author)
According to Australia Southern Railroad (2019), the contract given to the Momentum
Trains, the work will start in 2019. They expect that the new trains will start running by the year
2023 and after that, the full fleet will come accordingly into service (Transport.nsw.gov.au.,
2019). The feasibility of the project is that the work is expected to get complete by 2021. But the

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time for a full fleet of the service is not mentioned in the project. That might take a long time to
make the full fleet in the service. The testing process of the New Intercity Fleet will begin the
testing process in 2019 and commissioning them in 2019 (NSW Government, 2018).
2.3 Recommendations
The recommendations that can be provided is improving the risk mitigation strategies
related with the project. All the risks should be maintained properly that are related to the
project. The project should be done within the scheduled time that is done for the project. For
completing the project on time, the project is divided in different sub tasks so that the project is
submitted on time. All the technical risks can be mitigated by periodically assessment. The
senior technician should have meeting with all the workers and sub workers so that there is not
requirement changes in the project.
3. Conclusion
The railway fleet project of NSW is to be established in the year 2019. All the risks that
are associated with the railway fleet project is established in this project stating the risk
management plan in the project. The project should maintain all the risks that can occur and
adopt all the risks strategies that are needed for the project. All positive risks as well as negative
risks are to be taken in to consideration for the establishing risk management plan for the project.
The methodology that is used for carrying out this railway fleet project is secondary qualitative
analysis of data collection and all the related articles were analyzed for this project.

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References
Australia Southern Railroad. (2019). RAIL SAFETY MANAGEMENT PLAN [Ebook]. Retrieved
from https://www.gwrr.com/pdfs/rs-pln-001_3_asr_rsmp.pdf
Blayney, B., Bourke, C., Coonamble, C., Gilgandra, L., Narromine, O., & Orange, W. (2017).
Regional State of the enviRonment RepoRt.
Cases, S., & Viewer, I. T. Annual Energy Outlook 2019 Release date: January 24, 2019| Next
release date: January 2020| full report
Collins, H. (2018). Annual Report Sydney Trains [Ebook] (1st ed.). Retrieved from
https://www.transport.nsw.gov.au/system/files/media/documents/2018/Sydney%20Trains
%20Annual%20Report%202017-18.pdf
Harrison, F. and Lock, D., 2017. Advanced project management: a structured approach.
Routledge.
Heagney, J. (2016). Fundamentals of project management. Amacom.
Kerzner, H., & Kerzner, H. R. (2017). Project management: a systems approach to planning,
scheduling, and controlling. John Wiley & Sons.
Larson, E. W., & Gray, C. F. (2017). Project management: The managerial process. McGraw-
Hill Education.
NSW Government. (2018). Regional Rail Fleet Project Dubbo Maintenance Facility [Ebook]
(1st ed.). Retrieved from https://www.transport.nsw.gov.au/system/files/.../Dubbo-
Maintenance-Facility-REF.pdf

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Transport.nsw.gov.au. (2019). Regional Rail | Transport for NSW. [online] Available at:
https://www.transport.nsw.gov.au/projects/current-projects/regional-rail [Accessed 12
Mar. 2019].
Transport.nsw.gov.au. (2019). Regional Rail | Transport for NSW. [online] Available at:
https://www.transport.nsw.gov.au/projects/current-projects/new-intercity-fleet