Project Planning Challenges and Risk Mitigation Strategies in Stadium Construction

Engineering Project Scenario

The Sharon Construction Corporation has been awarded a contract for the construction of a 20,000-seat stadium. The construction must start on 24 February 2020 and be completed within one year. A delay penalty clause of £15,000 per week (or part thereof) after 23 February 2021 is written into the contract.

Jim Brown, the president of the company, called a planning meeting. In the meeting he expressed great satisfaction at obtaining the contract and revealed that the company could net £300,000 on the project. He was confident that the project could be completed on time with an allowance made for the usual delays anticipated in such a large project.

Charli Green, the director of personnel, agreed that in a normal year only slight delays might develop due to a shortage of labour. However, she reminded the president that for such a large project, the company would have to use unionised employees and that the construction industry labour agreements were due to expire on 30 November. Experience indicates that a strike is possible.

Jim Brown agreed that a strike would cause a problem. Unfortunately, there was no way to change the contract. He inquired about the prospective length of the strike. Charli figured that such a strike would last eight weeks.

Jim was not pleased with this prospect. However, before he had a chance to discuss contingency plans, he was interrupted by Jack White, the vice-president for engineering. Jack commented that a colder December and January than had been assumed was now being predicted. This factor had not been taken into consideration during earlier estimates since previous forecasts indicated milder weather. Concrete pouring in December or January would require special heating that costs £500 per week.

This additional information did not please Jim at all. The chances of a delay were mounting.

The Technical Details of the Project 

Sharon Construction Company Technical Details for Stadium. 
The stadium is an enclosed structure with a seating capacity of 20,000. The project begins with clearing the site, an activity that lasts eight weeks. Once the site is clear, the work can start simultaneously on the structural steel and on the playing field.

The work in the field involves subsurface drainage, which lasts eight weeks, followed by filling for the playing field and track. Only with the completion of the filling (fourteen weeks) can the installation of the arficial playing turf take place, an activity that takes twelve weeks.

The work on the structure itself starts with excavation followed by pouring of concrete footings. Each of these activities takes four weeks. Next comes the pouring of supports for seat galleries (twelve weeks), followed by erecting pre-cast galleries (thirteen weeks). The seats can then be poured (four weeks) and erected (ten weeks). However, the painting of the steel cannot begin until the dressing rooms are completed (four weeks). The dressing rooms can be completed only after the roof is erected (eight weeks). The roof must be erected on a steel structure which takes four weeks to install. This activity can start only after the concrete footings are poured.
Once the roof is erected, work can start simultaneously on the lights (five weeks) and on the scoreboard and other facilities (four weeks). Labour teams are charged at £1,000 per team per working day and each project task requires one labour team.

Sharon Construction Company Assignment Tasks

1. Based on the foregoing information, and using Microsoft Project:
   i. Create the Sharon Construction Company project and include the project Entry Table, Cost Table and Gantt chart in your assignment document. Verify that the project duration is 48 weeks.
   ii. Verify that the stadium project should yield a profit of approximately 36%.
   iii. Identify which project tasks would be affected if the eight-week strike takes place.

2. Based on the foregoing information, and using Microsoft Excel (or similar spreadsheet) (NOT Microsoft Project):
   i. Perform an Earned Value Analysis on the basis that the eight-week strike takes place.
   ii. For your assignment, include the EVA table, including PV, EV, AC, SV, SPI, CPI, EAC, ECD.
   iii. Also, include in your assignment one chart showing PV, AC, and EAC vs. ECD.

3. Based upon your analysis of this Sharon Construction Company project, prepare a brief stakeholder report (max. 1500 words) commenting particularly on the following:
   i. Governance of the project, particularly considering the workforce.
   ii. Project risk assessment, excluding risks already identified, and the EVA.

Summary of Assessment Requirements

The given assessment required students to manage and analyse the stadium construction project awarded to Sharon Construction Corporation. The project involved both technical planning and financial analysis using Microsoft Project and Microsoft Excel. Key requirements included:

1. Project Planning (MS Project)

   • Develop the full project schedule with Entry Table, Cost Table, and Gantt Chart.
   • Verify that the total project duration is 48 weeks.
   • Confirm profitability of ~36% for the stadium contract.

   • Identify tasks impacted by a potential 8-week labour strike.

2. Earned Value Analysis (MS Excel)

   • Perform EVA under the assumption that the strike occurs.
   • Prepare a table with PV, EV, AC, SV, SPI, CPI, EAC, and ECD.

   • Create a chart showing PV, AC, and EAC vs. ECD.

3. Stakeholder Report (max. 1500 words)

   • Discuss project governance, particularly workforce considerations.
   • Conduct a project risk assessment, excluding already-identified risks.
   • Provide insights based on EVA findings.

Step-by-Step Guidance by Academic Mentor

The academic mentor supported the student in a structured and systematic manner:

Step 1 – Understanding the Project Scope

The mentor first guided the student to break down the stadium project into major deliverables and activities, clarifying dependencies such as site clearance, structural work, seating, roofing, and utilities. This helped establish a clear Work Breakdown Structure (WBS).

Step 2 – Creating the MS Project Plan

• The mentor explained how to enter tasks, assign durations, and set dependencies in MS Project.
• Students were shown how to input labour costs (£1,000 per team per day).
• The mentor guided verification of the 48-week timeline and ensured the Gantt chart aligned with contract deadlines.

Step 3 – Profitability Check

The mentor demonstrated how to calculate projected costs vs. contract value to validate the 36% profit margin. This included factoring in strike delays and possible additional heating costs for concrete pouring in winter.

Step 4 – Analysing Strike Impact

Using the project network, the mentor showed the student how to highlight tasks on the critical path most vulnerable to an 8-week delay. This gave practical insights into how labour disputes affect project delivery.

Step 5 – Performing Earned Value Analysis (EVA)

• The mentor introduced EVA concepts (PV, EV, AC, SV, SPI, CPI, EAC, ECD).
• Students created the EVA table in Excel under strike conditions.
• Graphs of PV, AC, and EAC vs. ECD were developed to visually represent project performance.

Step 6 – Writing the Stakeholder Report

The mentor guided the student to:

• Frame governance issues, especially related to unionised workforce and management responsibility.
• Identify additional risks such as supply chain disruption, cost escalation, and weather delays.
• Interpret EVA results for stakeholders in a concise and decision-oriented manner.

Final Outcome

By the end of the assessment, the student successfully:

• Produced a complete project plan with Gantt Chart, Cost Table, and profit verification.
• Conducted an EVA under strike conditions, with both tabular and graphical results.
• Prepared a stakeholder report highlighting governance and risk assessment.

Learning Objectives Covered

Through this process, the student achieved the following learning outcomes:

• Mastery of MS Project scheduling and cost management tools.
• Practical application of Earned Value Analysis for project control.
• Ability to link project risks with governance and workforce issues.
• Development of a professional stakeholder report balancing technical and managerial insights.
• Enhanced critical thinking in assessing real-world construction project challenges.

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