Sem ina r on Sem ina r on “ Recent Dev elop m ent in Project Ma na gem ent in HK Recent Dev elop m ent in Project Ma na gem ent in HK ” ” “ Project Ma na ging the Business Ca se Project Ma na ging the Business Ca se a s w ell a s Construction a s w ell a s Construction Mr. Russell Bla ck, Project Director of MTR Corp ora tion Ltd . 12 Ma y 0 6 Well Developed Model in HK Well Developed Model in HK Government Railway Corporation Request • Population & employment • Project Proposal forecast � Preliminary Design Study • Ridership & revenue forecasts � EIA • Economic development → Capital / O&M Cost growth → Detailed Patronage & → Territory-wide Rail Revenue Forecasts Development Strategy Robustly Debated Project Agreement Form of Financial Support, roles of involved parties, project scope and risk are WELL UNDERSTOOD 1
Since 2003, Shanghai Line 9 • Project Management • Fee based consultancy • 31 km, 13 stations Beijing Line 4 • PPP JV (E&M and Rolling Stock) • 29 km, 24 stations • Operate for 30 years Shenzhen Line 4 • BOT • 15.8 km, 10 stations (Phase 2) • together with Phase 1 (5 stations) Operate for 30 years Shenzhen Line 3, Wuhan,… .. Mainland China ’ ’ s Project s Project – – Business Case Business Case Mainland China Characteristic • Unrealistic politically determined completion dates • Realistic engineering scoping & costing • Unrealistic patronage & revenue forecasts Railway Corporation • Own assessment → Scope, programme & cost → Patronage & revenue assessments Financially Viable ? 2
Mainland China ’ ’ s Project s Project – – Project Project Managem ent Managem ent Mainland China Hurdles • Legal & statutory practices significantly different from HK • Local interpretation of National Regulation • Rapid changes of regulation & practice Project Management • Business/ Project Environment with huge uncertainty → Experienced staff + Established study process → Risk Margin <> Quality of available info → Negotiation: Risk mitigation / Risk sharing → Knowledge pool (experience from various China Projects) Recent Situations in HK Recent Situations in HK • MTR ’ s initiative • Route 4 Coastal Road West Island Line (Kennedy Town to Cyberport South Island Line & Aberdeen) Much Reduced • population • Economic growth …… Debate …… Debate ……… . Debate … .. Debate …… . …… Debate.. … .. 3
A New Practice in HK A New Practice in HK Education Programme > Public → A substantial body of people who understood what is fact / fiction Public Consultation • Mixed Engineering Liaison + Public Relations Background • Liaise with ALL interested parties • Down to very local level • Consult, Listen, Response, Answer Successful Examples (WIL & SIL) • Overwhelming support from Political Parties, Green Groups & Grassroots → Government > policy support A New Practice in HK A New Practice in HK Continuous Prelim. Design Stage • Station & Entrance Locations → MTR & Public Preferred Scheme Construction Stage • PM’s responsibility • Experienced Individual’s support • SIOW > Street level Com. relations 4
Conclusion Conclusion Well Rounded Versatile professional staff at All levels of management Drive Upgrade our Construction Industry Thank You Thank You 5
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