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SuperValu Fuel Station Project: Analysis & Breakdown Case Study
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The company SuperValu is one of the most popular Private sector and supermarket chains that have been operating as a food distributor and largest grocery in the United Kingdom, Spain and Ireland. The company launched by "Sir John Valu" in 1900 and is currently seeking to an effective fuel station for its recent supermarket chain. Along with that, it has been observed that the company has almost 225 stores across the UK. The reputation and status of the company has been developed through providing fresh food quality, enhancing the services, strong value offerings and providing customers or experts services across the stores.
It has been noticed that fresh quality for has been provided by the company is the heart of SuperValu that has built its reputation in the market for everyday delivery. Together with supporting communities, promoting healthier living and championing local produce, the company SuperValu has become a knowledgeable and loved brand throughout the world (Ajibola, 2022). It has been observed that the company has no experience regarding petrol stations but the company will be the intended desire to operate a fuel station and accesses the viability of further fuel stations operating in the United Kingdom. It has been assumed that before it can do the company required feasibility knowledge to be operated for conduct on their first or foremost potential fuel station in the market.
Along with that, it has been assumed that the first fuel station is required to take effective advantages of technology while considering the customers of non-technological minded. The company is additionally required to maximize company profits and minimize operating costs including workers' costs. However, the SuperValu Company owned a one-acre derelict area adjoining Leeds city centre, generally a discussed warehouse. They need the previous warehouse and grocery store to be demolished or extinguished and to be modified or transformed ion to a state-of-the-art fuel station and a flagship supermarket. It includes almost 16 fuel pumps, eight current generations and eight next generations to transport trucks, cars and a kiosk with two cashiers.
In the beginning, the fuel station has been opened by a famous celebrity and has been well published. The contentious and growing concerns within the state-of-the-art fuel station and a flagship supermarket have been highlighting the need to systematically examine and determine both the internal and external organizational structure of the company. This helps to identify the impacts of the organizational structure towards customer integration, supplier integration, cross-functional integration and access geographical region (Latief et al. 2019). The effective organizational structure of the company can be investigated through the influence of complexity, formalization and centralization on both external including customers and suppliers and internal including cross-functional integration.
However, it has been observed that the effective organizational structure of the SuperValu Company has been increasing accountability, clarity and productivity of the company in the market. It helps to manage the political, economic, technological, environmental, socio-cultural and legal factors of the fuel station. Along with that, it also maintains the values, organizational structure, physical resources, management styles and human resources.
The work Breakdown Structure of the construction of a state-of-the-art fuel station and a flagship supermarket has been depending on five different stages such as initiation, execution, planning, closing and control. The work breakdown structure of SuperValu Company provides a hierarchical, clear, visual and deliverable-oriented deconstruction regarding the construction of fuel stations in the UK (Al-Kasasbeh et al. 2020). The diagram of WBS is beneficial for the project managers of the company that provide a clear vision of reading the breakdown of the effective project scope for all tasks. It needs to complete the projects of state-of-the-art fuel station in the UK through the effective work breakdown structure.
The major purpose of the WBS is adequate to examine the activities and works associated with the realization of the fuel station and flagship supermarket projects of SuperValu in the UK. The project fuel station has included the three-level and listed the main element that has related to the different areas and stages (Latief et al. 2019). Engineering and design are the most significant areas in the professionally developed plan for the SuperValu Company that drilling and exploration activities. The project administration has been related to the cooperation and collaboration of fuel station and flagship supermarket strategies in order to provide the required estimate of costs, planning and control of projects.
This estimate of costs, planning and control has been essential for managing facilities constructions and realizing drilling at the sites. It also helps to realize the technical management for the monitoring and controlling horizontal drilling of the fuel station. Operational areas have been analyzed as a separate field due to the necessity to monitor and organize employees, drilling operations and construction of the fuel station (Regan and Kneafsey, 2020). The operational areas have been including the support staff, drilling, preparation, construction and work force of creation fuel stations. along with that, it has been observed that the quality of the planned functions or activities has been deepened on the proper evaluation of the project.
The engineering drawing demonstrated the schematic arrangement of the fuel station process regarding valves, piping, vessels and instrumentation views for measurement and control. The actual arrangement of valves, piping and structural support has been reflect in structural dealing drawings and piping isometric drawings (Regan and Kneafsey, 2020). Petroleum engineers locate, maintain and recover the world's fuel station supplies and they make the drilling, explorations and production process efficient and safer for wildlife, people, communities and the environment. it also assists keep fuel prices reliable and affordable in the market. Drilling engineers keep a wide and tremendous range of research and look forward to the technologies and advanced tools to increase the drilling rate and rate of penetration.
The effective project administration areas have been maximizing t production of the company moreover, benefits during the period of contracts. They are responsible for managing the production, monitoring and planning the project and managing the overall projects in effective ways. Along with that, it helped to gain an effective competitive advantage, improve productivity, manage budget, mange timelines and improve relationships with different stakeholders through the effective WBS structure of the company.
A stakeholder refers to a party they are interested in and concerned about the project directly or indirectly. Stakeholders in this project management process of SuperValu Ltd's fuel station construction are classified as internal and external. Here internal stakeholders are employees, project managers, engineers and architects, finance managers, HRM managers, and quality control managers. As opined by Jin et al. (2017), external stakeholders are governments, Community clients, investors and suppliers. Internal stakeholder namely the project manager plays a role in proposing and managing the whole working process in the contraction project of SuperValu Ltd's fuel station construction. The engineer and architect are responsible for initiating this project by delivering appropriate design and quality measures based on clients' requirements. HRM is associated with managing employee-oriented activities such as payroll, capability, and skill set in the project management process.
Moreover, HRM contributes to building a project team for making the project success with a potential project team. The finance manager plays a vital role in managing financial aspects to maintaining cash flow, minimising financial risk and ensuring financial fallibility in this project management process. Quality control managers are considered key internal stakeholder because quality control manager contributes to maintaining quality aspects of the project team, building fuel station as well as procuring materials concerning clients' satisfaction and brand reputation. In this aspect, engineer groups act as technical experts for handling equipment and machinery in construction projects for a fuel station. Here, the client is SuperValu Ltd group and they are contracting the whole project by interacting with their interacts and requirements concerning the development of an agreement. Governments are key external stakeholders and they developed rules and regulations in a construction project for fuel stations as well as provide approval for conducting projects based on critical analysis. As cited by Serravalle et al. (2019), community peoples are another important external stakeholder in conducting a construction project for a fuel station without any legal issues.
Figure 3.1: Stockholder matrix
In this context, building a contraction project with environmental sustainability and the interest of the community peoples is required otherwise it leads to creating obstacles concerning the sudden shutdown of this project. Suppliers are delivering different building materials to SuperValu Ltd for constructing buildings for fuel stations with the availability of raw materials. Investors play a role in influencing the working process of this contraction project of SuperValu Ltd by maintaining financial feasibility significantly. Throughout the analysis of roles and responsibilities of stakeholder groups in the working process, it has been identified that project managers,., governments and communities, employees, clients and support are highly important for conducting the working process of this project management regarding the fuel station of SuperValu Ltd. Moreover, it has been identified that management groups namely HRM, finance manager, engineer and architecture are segmented as low priority lists in this construction project.
Stockholder management process in a construction project is associated with creating a list of key stakeholders based on analysis of their involvement and responsibility and identifying their priorities as well as requirements. Meeting the requirements and concerns of each stakeholder based on prioritisation with the implication of a communications plan is a significant way to conduct a specific stakeholder management plan. For managing the involvement of stakeholder groups in a construction project manager have to be managing a specific communication plan based on a schedule. A communication plan is associated with conducting meetings regarding the project management process based on deliverables and activities.
Stockholder | Role and responsibility | Power | Requirements | Concerns |
Project manager | Managing the working process in the project management Communicating with other stakeholders for project approvals Maintaining progress reports of the project Allocating tasks regarding the expertise of each member | High | Brand awareness and brand reputation with a successful project as well as an opportunity for career growth | Achieving project approval Conducting projects successfully within the deadline and reaching clients' requirements |
engineers and architects | Designing projects Technical supports Minimising technical risks | Medium | Different useful instruments for conducting working processes and plotting project design regarding the fuel station of Supervalu The opportunity for career growth with project design | Developing an oil station with a unique and sustainable design to reach clients' needs and expectations |
finance managers | Develop budget plan Maintaining financial aspects Minimising financial risks Enhancing cost-effectiveness | Medium | Authority for managing financial aspects Account management | Maintaining Cash flow and cost management and cost-effectiveness with quality work |
HRM managers | Hiring candidates for developing the efficient project team Retaining employees through managing payment-related aspects Reduced possibility of employee conflicts Provide proper training | Medium | Constituent of guidelines and employee policies of the organisation Selection process Hiring candidates with significant test | Developing Efficient team Reduction of delay and employee conflicts |
quality control manager | Assessing risks Increasing quality by providing a proper solution The testing quality measures of construction projects based on clients' requirements | High | Testing equipment Guidebooks of project quality measure | Ensuring identical quality of the project Reducing risks |
governments and Community | Providing approvals for conducting a project Minimised the possibility of legal issues by ensuring safety and security Providing project guidelines and restrictions Investigates projects requirements and sustainability | High | Tender management with paperwork The testing report of environmental impacts level through this project | Environmental sustainability Betterments of community people with significant facilities |
clients | Providing instruction and sharing their requirements Accepting project after finish Providing feedback | High | Delivered project namely fuel station | Purchasing a satisfactory project that fulfils their requirements significantly |
investors | Providing financial support for conducting a project Enhancing cash flow with financial security Take a share of the profit margin | High | Profit and commercial achievements | Commercial benefits with an adequate profit margin |
suppliers | Supplying building materials and other resources Maintaining the quality of products by providing quality products | Medium | Revenue | Supplying building materials and earning revenue with a trustworthy business relation |
Employees | conducting working process based on the instruction of the project manager | High | Job security and career growth | Completing regular tasks successfully |
Table 3.1: Stockholder management plan
Engagements action | Participants | Media | Frequency |
Proposing project with all documents for approval | Project managers, Governments, Clients | Face-to-face meeting | The intuitive phase of the project |
Ensuring sponsorship for conducting a project | Investor and project manager | Online Zoom meeting | The intuitive phase of the project |
Developing agreements with suppliers regarding cost, quantity and products list | Supplier and project manager | Online Zoom meeting | The intuitive phase of the project |
Allocating tasks for a team member | HRM, project manager and employees | Face to face meeting | Weekly |
Maintaining progress reports and discussions about project risks | Project manager, quality manager and other management groups | Face to face meeting | Weekly |
Finishing projects and delivering to clients Asking for feedback | Project manager and clients | Face to face meeting | Closer of project |
Table 3.2: Communication plan
Success measures of a project management process are associated with meeting agreements, customer success, the firm's future, and project teams concerning the implementation of four key success criteria time, quality, cost, and scope. In this project management process of SuperValu Ltd's fuel station construction project concerning the contraction project, Company emphasises reducing expenditure with cost-effectiveness with remarkable project quality. In this aspect, SuperValu Ltd's fuel station construction project is concerned with managing agreements to reach ultimate success with an implementation that includes maintaining and meeting objectives of schedule and meeting budget. The financial assistance of SuperValu plays a vital role in managing the budget concerning agreements and cost-effectiveness in a project management process (Pmi.org, 2021). The project agreement specified that maintaining finding time for the project within the deadline with the location of technical equipment that has been mentioned. Another success criterion of the project management process of SuperValu Ltd's fuel station construction project is associated with customers' success. Customer success includes addressing customers' needs, increasing customer satisfaction and meeting deliverables based on clients' requirements.
SuperValu Ltd's fuel station construction project is concerned with improving the quality of the project management process concerning future sustainability which includes developing brand awareness and brand reputation. Delivering satisfactory projects for customers is a significant success factor of a project t management process that contributes to generating new customers, and enlarging the market size and market share. This construction project emphasises achieving economic success through this project management process concerning the satisfaction of SuperValu Ltd. Another success factor depends on the project team because an efficient team is enabled to complete a project within time with satisfactory project quality and cost e effectiveness. SuperValu Ltd's fuel station construction has developed a potential team for project management as well as risk minimisation through the implementation of team capability.
In this aspect, motivation and satisfaction are other aspects for encouraging team effectiveness in a project management process that can be evaluated by providing them with proper training and growth opportunities. SuperValu is concerned to establish Planmark as a multidisciplinary department of project management that is associated with offering architectural, engineering, and design services for SuperValu Ltd's fuel station construction (Referenceforbusiness.com, 2022). SuperValu Ltd focuses on implementing that success factor with the utilisation of proper m project management principles, guidelines and agreements that imply the possibility of success with enhancements of SuperValu Ltd's satisfaction level.
It has been observed that the project of SuperValu has been comprised of both opportunities and threats during the execution and compilation of the project. This segment of the study has been focused to explore and critically discuss the susceptible opportunities and threats associated with the concerned project.
Level 0 | Level 1 | Level 2 | Level 3 |
“Project Risk” | Corporate | HR management | "Communication risk" |
Economic | "Cost management risk" | ||
Management | Performance | "Operational risk" | |
Requirements | "Health and safety risk" | ||
Application | "Limited Skills" | ||
External factors | Environmental | “Natural Disaster” |
Table 5.1: Risk with Levels
“Risk Number” | Type of Risk | “Chances of Risk Occurrence” | “Impact of risk due to occurrence” | “Level of Severity” | “Responsible Authority” |
1 | "Communication risk" | Low | High | High | HR management |
2 | "Cost management risk" | High | Medium | High | Board of SuperValu |
3 | "Operational risk" | Medium | Low | Medium | Managers of SuperValu |
4 | "Health and safety risk" | Low | Low | Low | Project managers |
5 | "Limited Skills" | Medium | Medium | Low | Contractors |
6 | “Natural Disaster” | Low | High | High | SuperValu |
Table 5.2: 6 Threat or Risk with Project
The 6 major risks associated with the concerned project have been enlisted below with a discussion of the potential impact upon the project.
The 4 major opportunities associated with the concerned project have been enlisted below with a discussion of the potential impact upon the project.
Opportunities | Impact |
Expansion of business | It has been observed that SuperValu has been operating under the segment of supermarkets. However, with respect to the concerned project, the business diversity across the region of the UK will be increased. |
"Resources management" | The resource management approach of the concerned company can be transformed with respect to current technological advancements. Therefore, organizations can get the advantage of accurate management of resources with a digital approach. Thus, operations of the organization can be performed with increased speed and accuracy. |
"Real-time communication and collaboration" | The organization can adopt a centralised approach to project management thus an aspect of precise time management can be brought into practice (Smith and Merritt, 2020). Besides that, the stakeholders of the concerned project can easily communicate and collaborate in contrast with the real-time method of communication. |
"Establishment of Strong Supply chain" | Due to the concerned project, a huge engagement with multiple suppliers and contractors will be performed. Thus, the relationship with suppliers and contractors can be much more productive and strong. Therefore, the prospect of developing a strong-natured supply chain can be made. |
Table 5.3: 4 Opportunities with Project
The response to the risk related to the concerned project can be accurately given through the formulation of a concrete risk management plan. Therefore, the identification of risks related to the concerned project of "SuperValu Ltd" has been critically performed and listed through the table of risk response. Thus, core cause and potential responses have been accurately addressed through this segment of the study.
“Identification of Risk” | “Root cause analysis” | “Potential responses” | “Owner of response” | “Category of Risk” | “Priority Order” |
"Communication risk" |
|
|
HR management | Human resources | High |
"Cost management risk" |
|
|
Board of SuperValu | Resources | High |
"Operational risk" |
|
|
Managers of SuperValu | Resources | Medium |
“Health and safety risk” |
|
|
Project managers | Equipment | Low |
"Limited Skills" |
|
|
Contractors | Human | Low |
“Natural Disaster” |
|
|
SuperValu | Environmental | High |
Table 5.4: 6 threat or risk response method of Project
On Each Order!
Communication risks can occur in construction-based projects and these issues can deliver a large negative in completing the entire activity of the project. The issue identification can be completed through root analysis and this analysis identified that failure in the communication channel can be a reason for this risk. This failure can occur due to technical issues in this project. This can occur due to another reason a lack of engagement of stakeholders can create issues in the communication process.
Therefore, information transferring and team awareness can face issues due to this. Technology modification and updates can deliver results and implementation of accurate allocation and continuation with effective work structure can mitigate this issue. HR management can identify and mitigate this issue to continue with an effective communication process in the organisation. Cost management risk can be another risk of this project and this can occur due to late resource acquisition and additional expenses of the project (Grakhov et al. 2020). This issue can be mitigated through consideration of the WBS plan and PERT analysis of the project to continue with effective schedule management and cost-effectiveness in this project.
Operation risk can occur due to issues in project equipment and lack of agreement and collaboration activity with stakeholders in this project. This issue can be solved by implementing an alternative sourcing strategy and documented agreement completion in a project to get additional support in this project. The managerial post can complete the mitigation of this risk by considering the implementation of AI, blockchain and automation technology in the project. Lack of safety equipment and health and safety policy can create issues for this project and consideration of safety tools and formulation of risk draft can ensure the safety parameters of this project. The project manager can mitigate this issue in this project.
Lack of knowledge and skills can decrease the pace of the project and the skill development programme and training process can deliver adequate support in developing the skills of employees. Natural disasters can get solutions through investing in geological surveys and atmospheric and climate forecasts and organisations can collaborate with the government to continue this problem-solving and decision-making activity of the project.
In view of the responses to the opportunities related to a concerned project can be performed with multiple development and adoption of technology across the organization.
In contrast, the opportunity for "Expansion of business" can be made by understanding the market environment and experience of business. Besides that, the management of resources can be performed with the adoption of "Enterprise Resource Planning" (ERP) technology. Therefore, accurate allocation of resources can be performed and along with that with modification of blockchain technology accurate communication with stakeholders can be made. Through those types of responses, opportunities with respect to the formulation of strong relations with stakeholders can be adequately met (Araújo et al. 2020). On the other hand, the opportunity of strengthening the supply chain also can be performed with the concerned type of technological advancement.
References
Journals
Ajibola, E.B., 2022. An investigation into talent management in the Irish retail sector: a case of Tesco, Aldi and Super Valu (Doctoral dissertation, Dublin, National College of Ireland). https://norma.ncirl.ie/5851/1/estherbolanleajibola.pdf.
Al-Kasasbeh, M., Abudayyeh, O. and Liu, H., 2020. A unified work breakdown structure-based framework for building asset management. Journal of Facilities Management. https://www.researchgate.net/profile/Hexu-Liu/publication/343697311_A_unified_work_breakdown_structure-based_framework_for_building_asset_management/links/5fa05ef1458515b7cfb54568/A-unified-work-breakdown-structure-based-framework-for-building-asset-management.pdf.
de Araújo Lima, P.F., Crema, M. and Verbano, C., 2020. Risk management in SMEs: A systematic literature review and future directions. European Management Journal, 38(1), pp.78-94. DOI: https://doi.org/10.1016/j.emj.2019.06.005
Grakhov, V., Mohnachev, S., Simakova, U., Kislyakova, Y., Saidova, Z. and Armyanin, A., 2020, July. Specific features of high-speed railway construction projects. In IOP Conference Series: Materials Science and Engineering (Vol. 890, No. 1, p. 012214). IOP Publishing. DOI:https://iopscience.iop.org/article/10.1088/1757-899X/890/1/012214/pdf
Jin, X., Zhang, G., Liu, J., Feng, Y. and Zuo, J., 2017. Major participants in the construction industry and their approaches to risks: A theoretical framework. Procedia Engineering, 182, pp.314-320.DOI: https://doi.org/10.1016/j.proeng.2017.03.100
Jung, S., Kang, H., Sung, S. and Hong, T., 2019. Health risk assessment for occupants as a decision-making tool to quantify the environmental effects of particulate matter in construction projects. Building and Environment, 161, p.106267. DOI: https://doi.org/10.1016/j.buildenv.2019.106267
Latief, Y., Nurdiani, D. and Supriadi, L.S.R., 2019. Development of work breakdown structure (WBS) dictionary for the construction works of lower structure steel bridge. In MATEC Web of Conferences (Vol. 258, p. 02003). EDP Sciences. https://www.matec-conferences.org/articles/matecconf/pdf/2019/07/matecconf_scescm2019_02003.pdf.
Regan, A. and Kneafsey, L., 2020. Understanding collective bargaining coordination: a network relational approach. The case of Ireland. http://www.publishbookonline.com/download/10/1-1-17-419.pdf.
Serravalle, F., Ferraris, A., Vrontis, D., Thrassou, A. and Christofi, M., 2019. Augmented reality in the tourism industry: A multi-stakeholder analysis of museums. Tourism Management Perspectives, 32, p.100549. DOI:https://doi.org/10.1016/j.tmp.2019.07.002
Smith, P.G. and Merritt, G.M., 2020. Proactive risk management. productivity press. DOI:https://www.taylorfrancis.com/books/mono/10.4324/9780367807542/proactive-risk-management-preston-smith-guy-merritt
Wideman, R.M., 2022. Project and program risk management a guide to managing project risks and opportunities. Project Management Institute, Inc.. DOI:http://portal.belesparadisecollege.edu.et:8080/library/bitstream/123456789/3396/1/1.%28The%20PMBOK%20handbook%20series%29%20Wideman%20R.M.%20-%20Project%20and%20Program%20Risk%20Management_%20A%20Guide%20to%20Managing%20Project%20Risks%20and%20Opportunities-Project%20Management%20Institute%20%281992%29.pdf
Willumsen, P., Oehmen, J., Stingl, V. and Geraldi, J., 2019. Value creation through project risk management. International Journal of Project Management, 37(5), pp.731-749. DOI: https://doi.org/10.1016/j.ijproman.2019.01.007
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