Reflective Practice Assignment 1

Reflective Practice Assignment

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Submission date: 11-Apr-2021 18:00PM

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Executive Summary
Reflective Practice Assignment 2
The purpose of the report is to analyze two real-life cases in project management that
are failed and discover important lessons learned from each of these cases. The first project is
a mining project that is led by Rio Tinto, the world’s second-largest mining corporation. It
failed due to resistance from one of its major stakeholders. The project did not involve key
stakeholders at the beginning of the project. It has been learned that stakeholder management
according to their power, interest, and proximity is vital for efficient project management and
project success. Their interests must be preserved in the project. The second project is the
IAM project in Flora Stanley Hospital that also failed due to poor planning and governance, a
communication gap between stakeholders, weak risk management strategies, and an absence
of proper guidance to proceed in the project. It has been learned that proper planning and
appropriate implementation are vital for the success of any project. All the team members
must have accountability to fulfill their job efficiently and communicate whenever required

Table of Contents
Reflective Practice Assignment 3
1. Introduction....................................................................................................................4
2. Case 1: Destruction of the ancient Aboriginal site – Who’s to blame..........................4
2.1 The importance of Involvement of Stakeholders........................................4
2.2 Stakeholder Identification and Engagement Strategies...............................5
2.3 Stakeholder Engagement Assessment Matrix..............................................6

.3. Case 2 – Fiona Stanley IAM project has failed............................................................7

3.1 Early Warning Signs of Project Failure......................................................7
3.2 Dealing With Project Risks.........................................................................8
3.3 Risk Events and Risk Response Strategy....................................................9
4. Conclusion...................................................................................................................10
5. References....................................................................................................................12

1. Introduction
Reflective Practice Assignment 4
The report highlights two real-life cases in project management that are failed. The
objective of the paper is to analyze these two failed projects and reflect on the lesson learned
for these projects. The first case is related to the mining project. The mining project that is led
by Rio Tinto, the world’s second-largest mining corporation, reached failure status as one of
its major stakeholders resisted the project. Rio Tinto did not involve them at the initial stage.
The resistance caused deterioration of the reputation of Rio Tinto and the removal of the
mining giant CEO from the office. Another project is the IAM project in Flora Stanley
Hospital. This project failed due to poor governance and management. It lacked a proper
business case, appropriate planning, and suitable risk management plan. The project went out
of the budget and schedule. The report will analyze the stakeholder management plan for Rio
Tinto’s mining project and the reasons for project failure and the risk management plan for
Flora Stanley Hospital’s IAM project.

2. Case 1: Destruction of the ancient Aboriginal site – Who’s to blame!

2.1 The importance of Involvement of Stakeholders

The involvement of Aboriginal communities, in project initiation and planning at the

early stage is very important for the mining project led by Rio Tinto. Rio Tinto is the Anglo-
Australian mining corporation that holds the position of being the world’s second-largest
mining corporation. The company blasted the Juukan Gorge 1 and 2 to expand the iron ore
mine in Western Pilbara (Hepburn, 2020). These sites are extremely important for Aboriginal
communities as it is considered as the place of historical and cultural significance (Hepburn,
2020). The site is also important for human occupation. But the company, Rio Tinto, did not
inform the Puutu Kunti Kurrama traditional landowners. They were very disappointed after
the blast as the blast caused an irretrievable loss for future generations (Hepburn, 2020).
However, it is also to be noted that Rio Tinto was allowed to damage the Juukan Gorge caves
under ministerial consent given in 2013(Toscano, & Hastie, 2020). The company thought that
communicating with landowners at an early stage will not allow it to do the blast as the
traditional owners will not allow them. The company has three more options for expanding
the iron-ore mine that could have save the destruction of Gorge 1 and 2. But it chose the
fourth option which was more lucrative. The truth and accountability of Rio Tinto are in
doubt after the blast.
Reflective Practice Assignment 5
The stakeholder theory suggests that the needs and interests of all the parties in the
project should be fulfilled (Littau, Jujagiri, & Adlbrecht, 2010). It has been observed that
when stakeholders are involved in the project at an early stage, the probability of successful
project closure increases, The company’s reputation was deteriorated after the blast, if Puutu
Kunti Kurrama traditional landowners were involved at the early stage, they would have
discussed the other three options. As a result, the interests of aboriginal people can be
preserved, Rio Tinto also can continue its operations and its reputation would not have
destroyed. Involving them at an early stage can surely reduce the risk of negative influences
in the project. It can ensure steady progress and can improve the quality of project outcomes.

2.2 Stakeholder Identification and Engagement Strategies

The stakeholder Power/Interest Grid has been selected as the mapping tool to be used
to identify stakeholders around the blast crisis (Roseke, 2019). The Power-/Interest Grid is
the two-dimensional matrix that reveals stakeholders who have

 High Power and High Interest

 High Power and Low Interest
 Low Power and High Interest and,
 Low Power and Low Interest
Figure 1: Power/Interest Grid

High
Legal Authorities, Government Rio Tinto, Aboriginal Cultural Material
Ministries Committee
Power
Land’s traditional owners – the Puutu Kunti
Low International Media Kurrama and Pinikura (PKKP) people, Local
Media, community residing near blast area
Low Interest High

Figure 1 displayed that Rio Tinto and Aboriginal Cultural Material Committee are the
stakeholders that have high power and high interest. It has the power to execute the
project, approve the budget, make important decisions and manage other stakeholders’
interests and needs. The legal authorities and government ministries have the power to
stop the project or approve the project, but they have low interests. They will only check
whether all legal rules are adhered to in the project. They are not going to see how the
Reflective Practice Assignment 6
project is being executed, what the project schedule and budget are etc. The traditional
owners of land who include the Puutu Kunti Kurrama and Pinikura (PKKP) people,
people residing near the blast area, and local media are the stakeholders who have high
interest but low power. They want to be updated about the project scope, project
execution, and outcomes achieved, but they do not have the power to make any important
decision (e.g. budgetary approval) for the project (Bowen, Newenham-Kahindi, &
Herremans, 2010). International media are the stakeholders who have low interest and
low powers in the blast crisis.

The stakeholders who have high power and low interest need to be kept satisfied
(Bahadorestani, Naderpajouh, & Sadiq, 2019). It means that to keep them engaged, it
needs to be ensured that all government and legal norms need to be followed. These
stakeholders need to be informed about the project execution regularly. The stakeholder
that has high power and high interests, i.e. project leaders and managers in Rio Tinto need
to be managed closely. Regular meetings on project updates, problem-solving, and
empowerment for decision-making are the main strategies to engage them (Nguyen,
Mohamed, & Panuwatwanich, 2018). The PKKP people, residents, are local media have
high interest but low powers. They need to be involved at an early stage of the project.
They need to be communicated what the expected project outcomes are and how they can
affect their life (Panopoulou, et al., 2019). Acting according to their needs and interests
and keeping them satisfied are the important strategies to engage them (Eskerod &
Vaagaasar, 2014). The stakeholders who have low power and low interests require
minimum efforts to engage them. They only need to be updated about the vital
proceedings of the project.

2.3 Stakeholder Engagement Assessment Matrix

The Stakeholder Engagement Assessment Matrix is prepared under the classification

of unaware, resistant, neutral, supportive, and leading. “C” denotes the current engagement
level and “D” denotes desired engagement level.

Figure 2: Stakeholder Engagement Assessment Matrix

Supportiv
Stakeholders Unaware Resistant Neutral e Leading
Rio Tinto   D    C C
Reflective Practice Assignment 7

Legal Authorities   D   C  
Government Ministries   D   C  
Puutu Kunti Kurrama and C, D      
Pinikura (PKKP) people
Aboriginal Cultural
 C D      
Material Committee
Aboriginal Communities C, D
Local Media   D C    
International Media   D C    

Figure 2 represents Stakeholder Engagement Assessment Matrix just after the blast.
The primary stakeholder i.e. Rio Tinto is supporting the blast and wants to continue the
project after the blast. But the company needs to be resistant as the blast is considered an
irretrievable loss for future generations for traditional landowners who include Puutu Kunti
Kurrama and Pinikura (PKKP) people (Hepburn, 2020). The blast has caused damage to the
reputation of the company. The company should be resistant to continue the project. Legal
authorities and government ministries have given their consent to Rio Tinto to proceed with
the project. It means that they are supportive of the project. But they need to resist the project
as Rio Tinto had three more options to expand the iron ore mine. Ministerial consent should
not be given to protect the interests of the Puutu Kunti Kurrama and Pinikura (PKKP) people.
The Puutu Kunti Kurrama and Pinikura (PKKP) people and aboriginal communities were not
informed about the project before the blast (Toscano, & Hastie, 2020). After the blast, they
come to know about the purpose of the blast. They were resistant at the current level and they
should be resistant in the future also. The Aboriginal Cultural Material Committee was also
not aware of the blast. After getting ministerial consent under Section 17, Rio Tinto
proceeded with the blast. The Aboriginal Cultural Material Committee is currently unaware,
but it needs to be resistant now. The local and international media were neutral. But now they
need to advocate for preserving the cultural and historical heritage of Aboriginal people.

3. Case 2 – Fiona Stanley IAM project has failed

3.1 Early Warning Signs of Project Failure

Poor communication, no business case i,e, proceeding without a guideline, and

contract disputed are the three major early signs that caused project failure. The
communication between the project team members was poor. According to the Information
System Audit Report, the project was not planed properly. Also, the governance, supervision,
Reflective Practice Assignment 8
and monitoring of the progress were inadequate (Bender, 2014). Besides, there were seven
contract disputes that have been discovered in the project (Barbaschow, 2017). The disputes
were from the helpdesk, cleaning, management and integration, IT, linen, and internal
logistics (Barbaschow, 2017). Out of them, four formal disputes mainly from IT and internal
logistics are still unresolved. Another dispute is whether the hospital’s asset management
system would be integrated into other systems to facilitate asset planning for whole-of-life in
a comprehensive integrated system. It is revealing that there is poor communication between
project team members, IT, asset management team, cleaning, and internal logistics. It caused
poor coordination and the project failed. Besides, the lack of business cases made it difficult
to discover the dependencies that can affect the IAM project roadmap.

According to project risk management, project risks should be managed through a

formalized disciplined approach that includes context-setting. risk identification, risk
analysis, and risk treatment strategy (Baccarini, 2001). The project risks were not identified at
the early stage. Lack of Risk Register and risk management plan did not allow project
managers to stay proactive. Consequently, the project management, governance, supervision,
and monitoring were not done in a planned way, Poor project governance and management
led the project to failure (Obadia, 2018).

Therefore, it can be said that poor planning did not allow project leaders and
managers to manage the project efficiently. Risks were not identified proactively and thus
risk management plan was not prepared properly. As a result, project risks such as contract
disputes, varying stakeholders’ perspectives, poor governance, and supervision, etc disrupted
the project and caused the project to go out of budget and schedule (Obadia, 2018). Every
stakeholder has her/his own version of how things should be done or work.

3.2 Dealing With Project Risks

It is mentioned that the IAM project was not effective in identifying and handling the
risks. The important risks were not included in the monthly report summary that made key
stakeholders unable to identify and manage risks appropriately (Office of the Auditor
General, 2014). It can be said that the risks are mismanaged.

The project faced the financial risk that means it went out of the budget. It was
mismanaged because it has been found that approximately AU$24.6 million more than
Reflective Practice Assignment 9
budgeted estimates were approved for non-clinical services. This is because of poor planning
at the initial estimating stage (Barbaschow, 2017). The Auditor-General Colin Murphy found
a cost variation of AU$11.5 million in the IAM project (Barbaschow, 2017).

Weak reporting on project updates could allow stakeholders to assess milestones that
are achieved. Poor planning led to an inability to find out interdependencies. Inability to
resolve several contract disputes delayed the project as well as escalated the project costs
Office of the Auditor General, 2014). Besides, poor resource planning, lack of proactiveness,
weak planning, and risk identification process, and low accountability of project team
members caused project failure as these risks were not identified and mitigated proactively.
An appropriate structure of project governance was never established. Poor governance and
supervision fostered the risks to grow. There was not any appropriate approach to handle
risks.

After getting the audit report, the Department of Health admitted that it has made
several changes to make enhancements in project governance, management, and delivery
(Bender, 2014). It has established a new ICT governance structure and changed the executive
board for ICT projects (Bender, 2014). The new governance structure has improved the
framework of decision-making. It has defined the expected roles, accountabilities, and
responsibilities for all project team members for the ICT projects. This initiative was
expected to ensure that ICT project decision-making is business-led and integrate with the
strategic and business objectives of WAe Health (Bender, 2014).

3.3 Risk Events and Risk Response Strategy

 The project crossed its estimated budget. The audit report conducted by the Auditor
General Colin Murphy revealed AU$11.5 million cost variation in the IAM project
(Barbaschow, 2017). This risk event needs a proactive approach. The project cost
needs to be monitored from the initial stage of project execution. Any variation should
be managed through proper communication, cost-containing strategies, and effective
utilization of resources (Kwon, & Kang, 2018). Continuous monitoring and effective
utilization of monetary resources can reduce cost variation (Taherdoost &
Keshavarzsaleh, 2016).
 The Project crossed its estimated schedule. According to the audit report, the IAM
project will not be finished even after the opening of the Fiona Stanley Hospital. The
Reflective Practice Assignment 10
main reason is the non-completion of tasks on deadline. To manage the project
schedule, Work Breakdown Structure (WBS) should be created. All the small tasks in
WBS should be given a timeline. All the timelines need to be checked on weekly
meetings that should be conducted to discuss the progress of the project (Zulch,
2014).
 Poor Governance and supervision are other major risk events. The audit report also
revealed this. It requires the buy-in of senior stakeholders, defining the roles and
responsibilities of each stakeholder, and accountability of project team members
(Thamhain, 2013). Weekly meetings should be conducted to discuss the progress of
the project in the context of budget, timeline, and milestones. All the stakeholders
should be accountable for delivering their roles and responsibilities.
 Inadequate monthly reporting can also be considered an important risk event. It
caused project stakeholders not to get informed about the project updates. It caused a
communication gap, misunderstandings, disputes, and a lack of engagement and
accountability in stakeholders. Accurate monthly reporting should be done and it
should be discussed in every stakeholder meeting to avoid communication gaps and
disputes (Randeree, & El Faramawy, 2010).
 Several contract disputes were observed in the IAM project. Every stakeholder has
her/his own version of how things should be done or work. Gaining a shared
agreement is necessary before starting the project. The leader needs to share a vision
for the project and guide how to achieve it at the initial stage of implementation.
Every small activity in the project should be communicated to avoid disputes
(Randeree, & El Faramawy, 2010). There should be two-way communication between
all stakeholders (Zulch, 2014).
3. Conclusion

The paper analyzed two case studies and discovered lessons learned from each of
them. From the first case study, it has been learned that the project requires effective
stakeholder management and keeping them satisfied. The lack of proper management of
stakeholders can jeopardy the success of the project. They should be managed and
communicated according to their power and interests. From the second case study, it has been
understood that poor planning and governance, communication gap between stakeholders,
and lack of monitoring and evaluation of completed tasks can obstruct the project's success.
Reflective Practice Assignment 11
The stakeholders need to work for a shared objective. All the team members must have
accountability to fulfill their job efficiently and communicate whenever required.
Reflective Practice Assignment 12
5. References
Baccarini, D, 2001. Risk management Australian style – theory vs. practice. Paper presented
at Project Management Institute Annual Seminars & Symposium, Nashville, TN.
Newtown Square, PA: Project Management Institute.
Bahadorestani, A, Naderpajouh, N, & Sadiq, R, 2019. Planning for Sustainable Stakeholder
Engagement Based on the Assessment of Conflicting Interests in Projects. Journal of
Cleaner Production. https://doi.org/10.1016/j.jclepro.2019.118402.
Barbaschow, A, 2017. WA Auditor General finds Fiona Stanley Hospital over IT
budget by AU$7m. ZDNet. [Online] Available at https://www.zdnet.com/article/wa-
auditor-general-finds-fiona-stanley-hospital-over-it-budget-by-au7m/
Bender, A, 2014. Fiona Stanley IAM project has failed: WA audit. ComputerWorld. [Online]
Available at https://www.computerworld.com/article/3486509/fiona-stanley-iam-
project-has-failed-wa-audit.html#:~:text=An%20identity%20access%20management
%20(IAM,according%20to%20a%20government%20audit.&text=The%20IAM
%20project%20for%20the,hospital%20buildings%20for%20authorised
%20individuals.
Bowen, F, Newenham-Kahindi, A, & Herremans, I, 2010. When Suits Meet Roots: The
Antecedents and Consequences of Community Engagement Strategy. Journal of
Business Ethics. DOI 10.1007/s10551-009-0360-1
Eskerod, P, & Vaagaasar, A, L, 2014. Stakeholder Management Strategies and Practices
during a Project Course. Project Management Journal.
https://doi.org/10.1002/pmj.21447
Hepburn, S, 2020. Rio Tinto just blasted away an ancient Aboriginal site. Here’s why that
was allowed. SBS News. [Online] Available at https://www.sbs.com.au/news/rio-tinto-
just-blasted-away-an-ancient-aboriginal-site-here-s-why-that-was-allowed
Kwon, H, & Kang, C, W, 2018. Improving Project Budget Estimation Accuracy and
Precision by Analyzing Reserves for Both Identified and Unidentified Risks. Project
Management Journal. https://doi.org/10.1177/8756972818810963
Littau, P, Jujagiri, N, J, & Adlbrecht, G, 2010. 25 years of stakeholder theory in project
management literature (1984-2009) Paper presented at PMI® Research Conference:
Defining the Future of Project Management, Washington, DC. Newtown Square, PA:
Project Management Institute.
Reflective Practice Assignment 13
Nguyen, T, S, Mohamed, S, & Panuwatwanich, K, 2018. Stakeholder Management in
Complex Project: Review of Contemporary Literature. Journal of Engineering,
Project, and Production Management, 8(2), 75-89
Obadia, B, 2018. Why Projects Fail. Project Management Journal Vol 1(1000):7.
Office of the Auditor-General, 2014. Identity Access Management Project. [Online]
Available at https://audit.wa.gov.au/reports-and-publications/reports/information-
systems-audit-report-2014/identity-access-management-project/
Panopoulou, E, Tambouris, E, Tarabanis, K, ... et al, 2019. Stakeholder community for once-
only principle: Reducing administrative burden for citizens. Strategic stakeholder
engagement plan (D2.2).
Randeree, K, & El Faramawy, A, T, 2010. Islamic perspectives on conflict management
within project managed environments. International Journal of Project Management.
doi:10.1016/j.ijproman.2010.01.013
Roseke, B, 2019. 3 Types of Stakeholder Matrix. Project Engineer.net. [Online] Available at
https://www.projectengineer.net/3-types-of-stakeholder-matrix/
Taherdoost, H. & Keshavarzsaleh, A., 2016. Critical Factors that Leads to Project’s
Success/Failure in Global Marketplace. Procedia Technology, 22(1), pp. 1066-1075
Thamhain, H, 2013. Managing Risks in Complex Projects. Project Management Journal.
https://doi.org/10.1002/pmj.21325
Toscano, N, & Hastie, H, 2020. Rio Tinto blasted ancient Aboriginal caves for $135m of iron
ore. The Sydney Morning Herald. [Online] Available at
https://www.smh.com.au/business/companies/rio-tinto-blasted-ancient-aboriginal-
caves-for-135m-of-iron-ore-20200807-p55jia.html
Zulch, B., 2014. Communication: The Foundation of Project Management. Procedia
Technology 16:1000-1009. DOI:10.1016/j.protcy.2014.10.054
Reflective Practice Assignment 14