Project Risk Analysis and Mitigation: North East Link Melbourne

This report provides a comprehensive analysis of the North East Link project in Melbourne, focusing on project management, risk assessment, and mitigation strategies. Part A offers an overview of the project, including its rationale, key features, budget of $16.5 billion, social and economic benefits, key statistics, funding mechanisms, and stakeholders. Part B delves into a detailed risk analysis, identifying potential risks such as stress on the Yarra River, high project costs, access disruptions, schedule slippage, inexperienced team members, communication barriers, and improper management, assessing their likelihood and impact. Part C outlines a risk mitigation plan, proposing specific actions and responsible parties to address each identified risk, ensuring project success. The project is expected to be completed by 2027 and the report provides a WBS (Work Breakdown Structure) outlining the various phases of the project.

Running head: PROJECT MANAGEMENT
Project management: North East Link Melbourne
Name of the Student
Name of the University
Author’s Note

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Table of Contents
Part A. Project overview..................................................................................................................2
A.1 Overview of the project........................................................................................................2
A.2 Overall budget of the project................................................................................................2
A.3 Social and economic rationale..............................................................................................2
A.4 Key statistics.........................................................................................................................3
A.5. Funding mechanism.............................................................................................................8
A.6 Key stakeholders...................................................................................................................9
Part B: Risk analysis........................................................................................................................9
Part C: Risk mitigation plan..........................................................................................................16
Bibliography..................................................................................................................................23

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Part A. Project overview
A.1 Overview of the project
The paper mainly reflects on the construction of “North East Link in Melbourne”. It is
found that North east link will be helpful in delivering three major project which mainly include
construction of North east link, Eastern freeway upgrades as well as Doncaster Busway
construction. The north east link project will complete the construction of the ring road between
the Eastern Freeway as well as M80 ring road by successfully connecting the norther as well as
south eastern suburbs (Northeastlink 2019). On the other hand, it is found that the construction of
Eastern Freeway upgradation generally overhauls the eastern freeway with new technology for
providing the facility of 40% faster trips. In addition to this, it is found that the construction of
Doncaster Busway generally helps in properly launching a new Busway with proper dedicated
express along with the Eastern freeway towards the city. It is expected that the project of North
East Link in Melbourne will get completed by 2027 by utilizing budget of around $16.5 billion.
A.2 Overall budget of the project
After proper analysis, it is found that in order to undertake the project of “North East
Link in Melbourne”, it is quite necessary to complete the construction of the project within the
budget that is around $16.5 billion. The budget that is assumed for the construction purpose must
be found appropriate in completing the work of the project effectively within the expected time
as well as budget.
A.3 Social and economic rationale
It is found that the North East Link is one of the biggest road transport project that helps
in fixing the link in the network of Melbourne freeway. The utilization of North East Link will

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generally helpful in reducing congestion within the north east while maintaining local roads for
local trips. It is identified that the construction of North East Link will be helpful in slashing
traffic as well as travel times’ between Melbourne south east and north up to 30 minutes. The
additional lanes on the eastern freeway will generally helpful in eliminating some of
Melbourne’s worst bottleneck (Northeastlink 2019). In addition to this, the project is helpful in
improving public transport by building Melbourne’s first busway which further helps in
improving access as well as assists in upgrading the car parking at the Watsania station.
Moreover, the construction of North East Link in Melbourne will helpful in creating walking and
cycling connections and also assists in enhancing the growth of the economy by creating more
than 10000 jobs.
On the other hand, it is analyzed that the construction of North East Link will not be so
much successful in reducing congestion as the extension of both the freight as well as passenger
will generally provide both the combination of high capacity as well as speed for competing
between trucks and cars. It is found that rail extension to Rowville as well as Doncaster will
remain politically dead as the only body that is considered to be capable of properly reporting so
that the credible business get dead against the Victorian department of transport.
A.4 Key statistics
Scope and size
The construction of “North East Link” is considered as a large project that will be helpful
in providing the facility of road by reducing traffic congestion. The scope of the project mainly
includes:
 Construction of North east link

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 Upgradation of the eastern freeway upgradation
 Construction of Doncaster Busway
 Sash travel times between Melbourne north and south east
 Construction of interchange at the M80 ring road
 Development of dedicated busway with express lanes
Budget and estimated cost
It is assumed that budget of around 16.5 billion is required in order to construct the
North West link in Melbourne. The figure that is provided below generally showcases the
amount of budget that is needed in order to complete each of the project phase successfully.

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Figure 1: Budget for the construction of North East Link in Melbourne
(Source: Created by Author)
Time required for completing the project
It is identified that the construction of North East Link will get commenced by 2019 and
it is assumed that the work of construction will get completed by the year 2027. The figure that is
given below mainly focuses on the timeline of the project

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Figure 1: Gantt chart for the construction of North East Link in Melbourne
(Source: Created by Author)
Key construction elements or phases
The different construction phases that are required to be executed in order to complete the
construction of North East Link in Melbourne is mainly reflected with the help of the table that is
given below:

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WBS Task Name
0 North west link construction in Melbourne
1 Planning of the project
1.1 Analysis of project requirement
1.1.1 Requirement analysis
1.1.2 Analysis of project nature
1.2 Resource estimation
1.3 Estimation of time schedule
1.4 Budget estimation
1.5 Manpower estimation
1.6 Resource analysis
1.7 Milestone 1: Completion of project analysis
2 Initiation phase of the project
2.1 Fund procurement
2.2 Stakeholders appointment
2.3 Meetings arrangement
2.4 Arranging financial management
2.5 Appointment of workers
2.6 Preparation of blueprint
2.7 Procurement of land area
2.8 Releasing legal notice
2.9 Budget allocation

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2.10 Resource procurement
2.11 Division of time
2.12 Duty allocation
2.13 Analysis of project risk
2.14 Developing risk mitigation plan
2.15 Milestone 2: Completion of project initiation phase
3 Execution phase
3.1 Land preparation
3.2 Site works
3.3 Construction of North east link
3.4 Upgradation of eastern freeway upgradation
3.5 Doncaster Busway construction
3.6 Slash travel times between Melbourne north and south east
3.7 Providing the facility of walking and cycling
3.8 Road and footpath upgrade works
3.9 Victoria’s longest road tunnels
3.10
Interchanges at the M80 Ring Road, Grimshaw Street, Lower Plenty
Road, Manningham Road and Bulleen Road
3.11 Dedicated busway with express lanes
3.12 Testing and commissioning
3.13 Milestone 3:Completion of execution phase

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4 Closure phase
4.1 Sign off stakeholder
4.2 Review of post project
4.3 Milestone 5: Completion of closure phase
Environmental costs or benefits
It is found that the construction of North East Link is mainly committed to reduce the
impact on the communities as well as on the environment (Northeastlink 2019). Extensive
planning studies are generally undertaken in order to inform the state as well as federal
government for approvals. Moreover, it is found that the project will follow environment effect
statement, environment protection as well as biodiversity conversation act.
A.5. Funding mechanism
It is found that the money that is required for the construction of North east link in
Melbourne will generally be funded with the help of the government. The government take the
initiative of providing the fund so that the work can get completed on time.
A.6 Key stakeholders
The key stakeholders who are mainly involved with the construction of North East Link
in Melbourne are generally listed below:
 Project manager
 Sponsor
 Finance manager

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 Site supervisor
 Contractor
 Risk manager
 Project planner
 Sub-contactor
 Architect designer
 Human resource manager
 Civil engineers
 Construction team
 Workers
Part B: Risk analysis
According to McNeil, Frey and Embrechts (2015) risk analysis is one of the procedure
that helps in assessing the likelihood of an adverse event that occurs during the project. It is
found that both qualitative as well as quantitative analysis are mainly undertaken as per the
principle of PMBOK for determining the risks as well as challenges that are generally related
with the construction of North East Link in Melbourne. The table that is provided below
generally reflects on the risks and they are generally analyzed as per the risk level that is
identified in context to likelihood as well as the impact that the risk will generally create on the
progress of the project.
Risk Description Impact Probability Risk level
Stress and
degradation to
It is found that
due to the
Moderate Likely Medium

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the parts of
Yarra river
construction of
tunnels for the
North East link, it
is found that stress
as well as
degradation is
generally reflected
in the Yarra rivers
and well as in the
tributaries of
Yarra river
(Northeastlink
2019).
Expensive
project
It is found that
the North east link
project that was
mainly undertaken
is considered as
one of the
expensive project
as it generally has
embarked cost of
around $16.5
High Very likely High