© graham m winch case study feedback1 the channel fixed link : le projet du siècle case study...
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Case Study Feedback 1© Graham M Winch
The Channel Fixed Link :le Projet du Siècle
Case Study Feedback
Case Study Feedback 2© Graham M Winch
Major Projects Benchmarks
Performance
Criterion
Megaprojects1
Average
Channel Fixed Link
Budget increase 88% 69%
Programme
Overrun
17% 14.2%
Conformance
Quality
53% not up to expectations
Performed as expected
Operational
Profitability
72% not profitable
Operationally profitable
1) source : Merrow (1988)
Case Study Feedback 3© Graham M Winch
The Channel Fixed Link 1the external environment
• Political uncertainty– The 1987 UK election
• Suspicions of the banking community– The initial contract– Morton’s role
• Booming EU economies– Cost inflation, especially trains– Rising revenue forecasts
Case Study Feedback 4© Graham M Winch
The Channel Fixed Link 2governance
• Rolling stock – percentage fee– Largest budget overrun; failed to motivate TML
• Terminals and services – fixed price– Smallest budget overrun but largest source of
contention – effectively became inoperable
• Tunnels – incentive contract– Medium budget overrun, but on programme– Motivated both sides to solve problems
Case Study Feedback 5© Graham M Winch
The Channel Fixed Link 3stakeholder analysis
Internal• Eurotunnel ++• TML ++• Workers +• Contractors and
suppliers +• Shareholders +/-
External• Travelling public +++• British and French
states +• Local communities +/-• Banks - -• Future generations ++
Case Study Feedback 6© Graham M Winch
The Channel Fixed Link 4organisation design
• Phase 1 – separated construction; co-located design– Limited coordination required for construction as
two sites separate
• Phase 2 – integrated organisation– Breakthrough joined sites– M&E a common project
• Phase 3 – flattened organisation– Key tasks, commissioning and claims
Case Study Feedback 7© Graham M Winch
The Channel Fixed Link 5lessons
• Clear allocation of roles and responsibilities– Integrate or separate client and contractor
• Package project– Let packages as separate projects
• Strong clients mean successful projects• Motivate resource bases through incentive
contracts• Defined the project mission fully
Case Study Feedback 8© Graham M Winch
The Channel Fixed Link 6/7success and failure
• Whose success?• Whose failure?• Your opinion
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