PPMP20010- Assessment 2

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PPMP 20010 - Assessment 2 Project Audit and Governance Report Project name: Date of report: Project ownership: Senior User: Prepared by: Distribution list: 1 INTRODUCTION (100 TO 150 WORDS) The West Gate Tunnel Project (Project) has yielded several advantages for the city of Melbourne, including less traffic on the West Gate Bridge and improved accessibility along the frequently used M1 corridor. The West Gate Tunnel Project will provide a faster and safer alternative to the West Gate Bridge by cutting the number of trucks travelling through inner west residential zones by more than 9000 per day. The research will focus on two key issues: the financial implications for governments resulting from road tolls and the appropriate methods for the disposal of polluted soil. The government of Andrews has issued a cautionary statement on the potential financial repercussions for Transurban, a prominent road toll firm, in the event of a delay in the $6.7 billion West Gate Tunnel project. It is suggested that Transurban might experience significant daily revenue losses up to millions of dollars. E NTER YOUR NAME WITH STUDENT ID P AGE 1

2 PROJECT AUDIT REPORT (MAX 900 WORDS) 2.1 LIST TWO (2) ISSUES YOU IDENTIFIED FROM THE CASE STUDY RESOURCES PUBLICLYAVAILABLE OR DISCOVERED IN THE AUDIT REPORTS CONDUCTED FOR THE CASE STUDY (150-200 WORDS) Issue 1 Disposal of Contaminated soil There is an issue with abandoned filthy dirt at the Transportation Department's West Gate Tunnel construction site. Concerns for the environment have been voiced due to the absence of a set system for dealing with the huge quantities of soil taken from the construction site. The construction crew can't continue with chores like paving roads and completing the remainder of the project because of this. The result is a delayed project completion and higher-than-expected income. The transportation plan paperwork does not include a commitment to properly dispose of the soil. Delays in moving dirt away from the construction site are another consequence of ecological worries (Durkin & Wiggins 2020). Issue 2 Road toll revenue loss to governments Transurban's income from road tolls has decreased since the government approved a tunnelling programme. The new toll road is expected to be finished in 2023 instead of 2022. Delays in the project's implementation were caused by the inappropriate disposal of PFAS-contaminated soil. Responsibility should be shared between the government and the building sector (ABC News 2020). Time and money lost by the government and Transurban may have been reduced by using recovery procedures from the start of the project. 2.2 PROVIDE TWO REASONS FOR EACH ISSUE (150-200 WORDS) Issue 1 Reason 1 On every building site, removing dirt is difficult. Workers try to move rocks and cables during an evacuation. The tunnel dirt cannot be moved to a landfill; thus, it is temporarily held there. The project's transfer to contracted landfills is delayed by soil approval. Reason 2 Human health has been adversely damaged by the discovery of carcinogenic chemicals in the soil during evacuation. Thus, places where over 11,000 tonnes of dirt must be removed daily for evacuation lack access to external garbage (AECOM 2023). When project expenditures exceed budget, warehousing fees must be covered. Tunnelling is slowed by landfill shortages. Issue 2 Reason 1 Victorian authorities are behind on West Gate Tunnel. The project E NTER YOUR NAME WITH STUDENT ID P AGE 2

was delayed for many reasons. Law enforcement in some regions has waived all tunnel expenses. The $1 million daily toll money loss hurt the government hardest. The Victorian government blames Transurban for the project's year-long development delay. Reason 2 Coronavirus epidemic, soil cleanup, and staff shortages delayed the project. The 2022 project deadline has been extended to 2023. Like the project manager, other personnel take longer than expected to do the job, which is annoying. Overspending requires hiring more workers, which raises salaries (Environment Protection Authority Victoria 2022). To meet deadlines, construction firms rent unbudgeted equipment and materials. 2.3 PROVIDE TWO RECOMMENDATIONS FOR EACH ISSUE (150-200 WORDS) Issue 1 Recommendation 1 There are no plans to transport soil disposal outside the municipality. After approval, dirt may be simply transferred to new landfills. The suggested alternative avoids project delay. The land contractor must handle difficult work safely and use waste management. To dump several cars in a landfill, permission is needed. Recommendation 2 Infected soil must be removed from the building site and disposed of properly. Without greater disposal resources, it will take too long. The procedure can remove foundation-laying detritus (Jacks 2021). When lots of dirt are stockpiled nearby, building timelines may be easier to maintain. To continue the project's scheduled phases. Issue 2 Recommendation 1 Environmental and physical difficulties have slowed the project. These difficulties hindered project completion. If it implies all tasks will be finished on schedule and the project will be successful, the project manager will increase workers and hours. More resources may speed up and smooth construction (Jacks & Hatch 2020). Recommendation 2 The project timetable must be adjusted for the increased work. There are team members that don't gain from the current strategy. All the facts showed that the plan needed to be changed. This method can improve all project characteristics. The updated plans will restore the toll road by 2023. The government and contract profit from increased toll income (Victorian State Government 2023). E NTER YOUR NAME WITH STUDENT ID P AGE 3

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2.4 DESCRIBE HOW ABOVE ISSUES AFFECTED MEETING THE SPECIFIED OBJECTIVES OF THE PROJECT (200-300 WORDS) The success of the West Gate Tunnel project is hindered by the aforementioned problems. A 3-kilometer-long tunnel will connect already existing roadways. Naturally, this is done so that commuters and heavier trucks may travel more easily between urban centres. The estimated cost to build the road is $6.7 billion, with 2022 set as a firm deadline. There are several challenges that the government and the project team must overcome during the building process (Wiggins 2021). The project's timeline and budget might be severely affected by unforeseen difficulties. It's worth noting that while this is occurring, the root cause is working against the project's success. Transurban is having a hard time due to the large amount of contaminated dirt that must be removed from the evacuated region. There is a lot of PFAS chemical oil being discharged into the environment because the project is situated in the middle of the city. It will take time and the proper permits to transport the soil to a dump outside of the city. The snag began when the land contractor requested and received a raise in salary. It's taking longer than intended to dispose of the nearly 11,000 metric tonnes of dirt that was created during the evacuation (Wiggins 2021). 2.5 ACTUAL PERFORMANCE: STATE WHETHER FOLLOWING CRITERIA HAVE BEEN MET /NOT MET/ PARTIALLY MET FOR THIS PROJECT AND PROVIDE REASONS FOR NOT MET OR PARTIALLY MET (200-300 WORDS) Criteria Met/ Not Met/ partially Met Reasons of (Not Met/ Partially Met) Scope Partially Met The completion of the West Gate Tunnel project for vehicular traffic will be constrained by a suboptimal allocation of identified demands and resources. The project's potential has been constrained as a result of development delays and cost overruns. The efficacy of the project is compromised due to the presence of these challenges. Cost Not Met Due to the inability to provide a definitive assurance of the entire project cost, it is not feasible to fulfil the cost criteria. The lack of appropriate disposal methods for contaminated soil and the absence of formal authorization for the establishment of new landfills are responsible for this issue (Wiggins 2020). The cost of the project will increase in direct proportion to the utilisation of employees and machinery. The elimination of road E NTER YOUR NAME WITH STUDENT ID P AGE 4

tolls would result in a financial loss for the government. Schedule Not Met It is anticipated that the project will be completed by the year 2022. The projected deadline for completion, initially set for 2022, has been extended to 2023 as a result of unforeseen challenges such as a global pandemic, construction delays, or inadequate readiness (Chamberlain et al. 2022). Hence, the adherence to the timetable is not achieved due to the occurrence of project delays and planning errors. Quality Met Given the absence of any identified faults, it may be inferred that all quality criteria have been satisfactorily fulfilled. The work has been approved by the Quality officer for satisfying all quality criteria. Upon completion of the project, the tunnel road successfully fulfilled all of Victoria's stipulated criteria. 3 G OVERNANCE ( MAX 800 WORDS ) 3.1 GOVERNANCE STRACTURE & RESPONSBILITIES (200-250 Words) Board Member Responsibilities Project owner (Transurban) The person who takes ownership of a project is the one who is responsible for managing all aspects of that project's lifespan, beginning with the project's inception and continuing all the way through to its conclusion. The owner acts as a go-between by facilitating clear communication lines between the individuals who financially support the E NTER YOUR NAME WITH STUDENT ID P AGE 5 Victorian State Government Department Project Owner (Transurban) Project Head Resource Allocation Budget Calculation Building Contractors Construction Engineers Supervisors Employees/Labour

project and the members of the team ( Duvarcı & Yigitcanlar 2019). Site Engineer The engineer who is in charge of the construction site will be responsible for ensuring that all building materials are stored in an orderly and secure manner. The members of the team are given the advice that is essential in order to make specific adjustments. Project Head In a business setting, the function of project manager covers the responsibilities of managing the planning, scheduling, and execution of a project. These aspects of the project are all managed in conjunction with one another ( Duvarcı & Yigitcanlar 2019). The manager of the project takes on the job of properly communicating to the team the requirements that have been outlined by the owner, as well as ensuring that those requirements are successfully met. 3.2 GOVERNANCE DOMAINS AND FUNCTIONS (200-250 WORDS) Governance domain name: Risk How were these functions handled by the project board? What could have been done differently to avoid/mitigate the problems encountered? Function 1- Control Team members face construction risks but don't always alert the project management. Failure may result from insufficient communication. The project manager is also ignorant to risks that might derail the project. Thus, reliable risk management procedures should be established to prevent many setbacks and distractions. Lack of regulated risk planning generates several issues and threatens project completion (Environment Protection Authority Victoria 2022). Before commencing a project, create a risk strategy. Project meetings can adopt and discuss the best control mechanism. The team and interested parties can discuss risks and mitigation options (Environment Protection Authority Victoria 2022). The team's capacity to interact, communicate, train, and have an open timetable helps reduce project risks. Function 2- Decision Making. All significant choices should be made by team members, the project manager, and the owners. They must notice anything that might go wrong and derail the project. Multiple departments' participation makes building decisions difficult. All team members and related departments benefit from simplified decision-making and proactive threat mitigation. Modern communication allows decision- making and idea lists. Before making any final choices, all project E NTER YOUR NAME WITH STUDENT ID P AGE 6

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Management fails to address establishing risk contingency strategies (Environment Protection Authority Victoria 2022). Risk assessments need immediate building process or other work activity changes. stakeholders offer their perspectives. A scarcity of land disposal professionals should be discussed by department leaders, who may give insight and suggestions. The project team receives the completed risk register plans and selections via the designated route (Environment Protection Authority Victoria 2022). The proposed solution must be investigated before being used on the present project. 3.3 DESCRIBE TWO GOVERNANCE FAILURES AND REASONS YOU IDENTIFIED FROM THE CASE STUDY RESOURCES PUBLICLY AVAILABLE (200-250 WORDS) No. Failure Reasons 1 Ineffective project plan The project plan is an essential tool for guaranteeing the project's success as it evolves through its phases. Planning ahead can help you determine the project's timeframe, scale, and potential dangers. Several issues with the West Gate Tunnel project were discovered because of poor planning. Without proper planning, the project has become disjointed and disorganised. To yet, no effective strategy for eliminating dirt has been developed (Jacks 2021). After tunnels are built, there is the challenge of dealing with the massive amounts of soli that build on the ground's surface. The process of getting approval to dispose of waste soil lacks any sort of streamlined plan. Upon completion of the plan, it should be reviewed by the team and the necessary steps done to assure the project's success (Jacks 2021). 2 Communication failure Communication is essential when it comes to informing individuals who have a stake in a project. Teams can stay on schedule and complete projects on time if they all have the same information. The success of a project might be jeopardised for a number of reasons, including a E NTER YOUR NAME WITH STUDENT ID P AGE 7

breakdown in communication. Members of the team are not briefed on the project's goals or the approach that will be used to achieve them (Jacks & Hatch 2020). This leads to confusion among team members and employees regarding the overall goals and purpose of the project, which might lead to failure. Some requirements cannot be adequately assessed due to a lack of clear communication. Issues that crop up during construction dampen the positive effects of working together. When team members fail to communicate effectively, it costs money to fix the problem. 3.4 DESCRIBE TWO LESSONS LEARNT FROM THE GOVERNANCE FAILURES BY THE PROJECT GOVERNANCE BOARD OR BY THEIR ORGANISATION (150-200 WORDS) No. Failure Lessons Learnt 1 Developing proper project plan Planning for the project will involve input from the project manager, the owners, and all team members. Activities on a timeline outline each stage. Think about the scope, objectives, timeline, and available resources for the project. A project's execution is simple if it has been well- planned. Delays can be avoided by monitoring project development against the schedule (Victorian State Government 2023). Management can benefit from preparation in terms of analysing the budget, resources, and equipment, and reporting on those findings. Plan incentivizes individuals to take charge of their professional responsibilities. Determine the abilities of team members that will help the project be completed on time (Victorian State Government 2023). With forethought, they can see both the potential and the challenges of a project. 2 Developing proper project plan A project is more likely to succeed when all team members and stakeholders agree on its strategy and goals. The project goes better when team members can discuss their roles and responsibilities. Distributing project plans to team members involves effective communication and technology (Wiggins 2020). Preparedness, especially effective team communication, is the key to project success. Meetings with relevant feedback may build trust between the project manager E NTER YOUR NAME WITH STUDENT ID P AGE 8

and personnel. Involving teammates in problem-solving encourages knowledge exchange. Active and passive communication are recommended during project implementation (Wiggins 2020). 4 C ONCLUSION The report concluded that building a bridge across the Maribyrnong River, digging two new three-lane tunnels through Yarraville and connecting the tunnels to CityLink by an elevated connection are all necessary steps before the Project can be considered complete. The Project also includes upgrades to the West Gate Motorway between the M80 and Williamstown Road. The Port of Melbourne will be linked to the city's northwest neighbourhood of CityLink under this proposal. To maintain the highest levels of public accountability and ensure that the Transurban Proposal was always reviewed fairly and in accordance with the Guideline, a comprehensive probity structure was constructed. To ensure the legitimacy of the entire transaction, we strictly adhered to the rules laid out by the probity framework. With this in mind, the Project has been designed to use eco-friendly building methods, reduce its consumption of energy and water, and make liberal use of recyclable materials in order to minimise its impact on the natural environment. References: ABC News 2020, May 4, ‘ Transurban pushes West Gate Tunnel deadline out a year, citing contaminated soil dispute ’, viewed 6 September 2023, https://www.abc.net.au/news/2020-05- 04/west-gate-tunnel-expected-to-finish-2023-transurban-tells-asx/12211374 AECOM 2023, ‘ West Gate Tunnel Project ’, viewed 6 September 2023, https://aecom.com/projects/west-gate-tunnel-project/ Chamberlain, K, Storey, B, Brown, J, Rayburg, S, Rodwell, J & Neave, M 2022, ‘Cleaning up forever chemicals in construction: Informing industry change’, Sustainability , Vol. 14, No. 5, p.2854. https://www.mdpi.com/2071-1050/14/5/2854 Durkin, P & Wiggins, J 2020, December 10, ‘ West Gate Tunnel soil “stuff-up” turns toxic’ , viewed 6 September 2023, https://www.afr.com/companies/infrastructure/west-gate-tunnel- soil-stuff-up-turns-toxic-20201210-p56mbl E NTER YOUR NAME WITH STUDENT ID P AGE 9

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Duvarcı, Y & Yigitcanlar, T 2019, ‘Can tube tunnel crossings relieve urban congestion problems? Izmir tube tunnel project proposal under scrutiny’, Sustainability , Vol. 11, No. 9, p.2543. https://www.mdpi.com/2071-1050/11/9/2543/pdf Environment Protection Authority Victoria 2022, ‘West Gate Tunnel Project | Environment Protection Authority Victoria’, viewed 6 September 2023, https://www.epa.vic.gov.au/for- community/current-projects-issues/west-gate-tunnel-project Jacks, T & Hatch, P 2020, May 4, ‘ West Gate Tunnel delay to cost Transurban “millions of dollars a day ”’, viewed 6 September 2023, https://www.smh.com.au/business/companies/transurban-pushes-back-west-gate-tunnel- completion-to-2023-20200504-p54pim.html Jacks, T 2021, February 11, ‘“ Substantial overruns”: Road toll giant pushes back West Gate Tunnel completion date’ , viewed 6 September 2023, https://www.theage.com.au/national/victoria/west-gate-tunnel-s-2023-completion-date- unachievable-20210211-p571gm.html Victorian State Government 2023, June 9, ‘ West Gate tunnel’ , viewed 6 September 2023, https://www.planning.vic.gov.au/environmental-assessments/browse-projects/west-gate- tunnel Wiggins, J 2020, June 25, ‘ West Gate Tunnel digging to start next year’ , viewed 6 September 2023, https://www.afr.com/companies/transport/west-gate-tunnel-digging-to-start-next-year- 20210625-p5847s Wiggins, J 2021, August 8, ‘ Transurban confirms $3.3b blowout on West Gate Tunnel’ , viewed 6 September 2023, https://www.afr.com/companies/infrastructure/transurban-confirms-3-3b- blow-out-on-west-gate-tunnel-20210809-p58gzo Please Note: Four audit reports have been uploaded on Assessment 2 section on PPMP 20010 Moodle. You do your own research finding more detailed but necessary information. E NTER YOUR NAME WITH STUDENT ID P AGE 10

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PPMP20010- Assessment 2

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