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FACULTY OF DESIGN AND CREATIVE TECHNOLOGIES
AUCKLAND UNIVERSITY OF TECHNOLOGY
TE WANANGA ARONUI O TAMAKI MAKAU RAU
School of Engineering
Master of Engineering Project Management
Name AKSHAY ALAGUNDAGI
ID Number 15876949
Paper Name ADVANCED INTEGRATED PROJECT MANAGEMENT
Assignment 2 – STAKEHOLDERS / LAW / RISK
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……………AKSHAY ALAGUNDAGI …………………………………………14-05-2015…………
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ADVANCED INTEGRATED PROJECT MANAGEMENT
ASSIGNMENT 2 – STAKEHOLDERS / LAW / RISK
MEGA PROJECT
DEVELOPMENT OF COMMERCIAL AIRCRAFT - AIRBUS A380
BY
AKSHAY ALAGUNDAGI - 15876949
MASTER OF ENGINEERING PROJECT MANAGEMENT

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Contents:
Introduction 4
Methodology 4
Executive summary 4
1.0 A380 Mega project outline 5
1.1 Aircraft key systemic and performance requirements 6
2.0 Project Stakeholders 7
2.1 Project Stakeholder register 8
2.2 Project Stakeholder mapping 9
3.0 Outline plan for stakeholder engagement 9
3.1 Stakeholder shift cause 12
4.0 Critical Risks in the Project 13
4.1 Critical risk register 13
5.0 Legal risks in the project 15
Reference 16

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Introduction:
This mega project is about developing a commercial aircraft. The development of such
aircraft is about creating new aircraft designed for the end users i.e. the people or for cargo
transport, which operates primarily in a commercial environment where the development is
managed commercially as well.
Such development is whether a project or a program? This leads to an argument as this
consist many technical and managerial emanations. This mega project has the scope of
designing, developing, supporting and maintaining of an aircraft and thus it can be defined as
a mega program rather than a mega project. This project covers a large number of various
components and stretches across the complete life-cycle. This kind of project takes many
years to complete and overcomes the phases like research, development, production and
testing. The events developed for the purpose of developing an aircraft stretch across its
actual development phase and apply to major component assemblies.
Thus the development of a commercial aircraft can be called as a mega project, which
comprise of many small projects within it. Such mega projects being developed commercially
indicate that they will be financed commercially (Altfeld, 2010).
This mega project is a continuous type of project, as always, there will be a need for the same
from the primary as well as the secondary customers throughout its life cycle. This kind of
mega projects undergoes continuous improvements based on the feedback.
Methodology:
o Developing a project outline and its key systemic and performance requirements.
o Developing stakeholders register and create a stakeholder mapping.
o Developing an outline plan – method of engaging stakeholders in the project.
o Developing a register of critical risks, justifying main means to minimize identified
project risks.
o Identifying sources of legal risks & liabilities and assessing the liabilities of the
project.
Executive summary:
This piece of work is about considering the mega project and assessing its stakeholders, laws
and risks involved in the project. The mega project chosen is about the development of
commercial aircraft – Airbus A380. The project is in the initial phase and the whole project
outline is developed as per the project plans and deadlines. The product’s systemic key points
and the product performance are included.
All the stakeholders concerned to the project like development of commercial aircraft are
identified and mapped according to stakeholder diagram.
As per the project plans, the stakeholders are engaged in their particular work towards
accomplishment of the project. The cause of the shift of stakeholder in the stakeholder
diagram according to different phases is explained.

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At the initial phase of the project, the risks involved are identified with their possibility and
impact and the mitigation methods are planned and will be implemented during the
occurrence of risk.
The legal risks which will cause an impact on the project are identified and assessed how the
legal risks can be avoided in the project.
1.0 A380 Mega Project outline:
The following outline describes the overall project duration, and budget allotted for the
project.
The project started from year 1996 and the work has begun for forming large aircraft
divisions.
According to the various aircraft components, the project is planned to be manufactured in
various places and procured at one place – Toulouse, France, for final assembly.
As per the project outline, the first testing has to be done in year 2005 and the first delivery to
the customer in year 2007 ("Airbus A380,").
The overall budget of this mega project is €8.8 billion, which is being invested by the Airbus
group.

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1.1 Aircraft key systemic and performance requirements:
This mega project is about the construction of a wide body, jumbo jet with maximum seating
capacity than any other aircraft. This jetliner is going to be manufactured by Airbus group.
As per the project plan, this jetliner consists of double deck and four engines. The design is to
provide seating capacity of 525 people in a typical three class configuration or up to 853
people in all economy class configuration. It is being designed for a distance range of 8,500
nautical miles, which is 15,700 km and cruising speed of 0.85 mach which is about 900 kmph
(Morales, 2006).
o A new standard of comfort
- First wide body double-decker
o Large capacity
- 35% more passengers. 853 people – economy class configuration
o Huge economic gains
- 15% less direct operating cost/seat
o Long distance range
- 8,500 nautical miles, 15700 km - Non stop
o The green economic jumbo
- Less than 3l of fuel/pax/100 km
- Very less noise.
1996 – Forming
Large Aircraft
Division
2000 –
Commercial
launch of the
Aircraft
2001 –
Completion of
detailed design
2002 – Start
component
manufacturing
2004 – Start
final assembly
2005 – First
flight test
2006 – Entry
into service
2007 – First
delivery

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2.0 Project Stakeholders:
For this mega project, The Airbus group has the following main stakeholders
("RESPONSIBILITY MADE BY AIRBUS GROUP," 2013):
Government Regulatory bodies
FAA – Federal Aviation Administration
EASA – European Aviation Safety Agency
FAR – Federal aviation Regulations
ATA – Air Transport Association
The project, which is going to be designed and developed will follow all the regulations and
the Airbus group will always try to obey and satisfy the Government regulatory bodies.
Airport authorities
The Airbus group requires approval from airport authorities for the operation of aircraft to a
particular airport. By providing the same, they seek approach from the airline companies for
development of the airport.
Board of directors/Higher management level
These are the stakeholders whose level of interest and power will be always high throughout
the project. The plan of Airbus group is to satisfy these stakeholders with higher priority.
Employees
The Airbus group’s plan is to engage the employees as partners who share the company’s
goals and rise to its challenges. The plan is to respond to the employee's expectation
regarding to development within the confines of local regulations.
Suppliers
The Airbus group based on mutual interest with suppliers, benefits from sustainable
relationships and depending on their performance, it recognizes its ability to satisfy
customers.
Society
The Airbus group’s mission towards members of society is for local and larger communities
to present themselves as a source of high quality employment, seeking the benefits of culture
and skills in its country.
Shareholders
By developing a profitable portfolio of aerospace and security business, the Airbus group’s
aim is to create value for the shareholders. The plan is to meet its obligations to lenders and
other financial opponent parties, and safeguard its reliability.
Competitors
The competitors are always a threat in market perspective. The Airbus group’s plan is to
ensure prevention of loss of tribal knowledge to its competitors.

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Airline companies
The ultimate aim of the Airbus group towards its customers is to provide choice, to offer
superior value for money through behavior and performance. The group ensures to manage
customer’s expectations transparently and honestly.
End users – passengers
The passengers – these are the main stakeholders for the airline companies. The Airbus group
ensures maximum safety and comfort to their end users.
Media
This stakeholder is interested in the project during the beginning and the first test of the
project. There are chances of variation of level of interest depending on the phase of the
project.
2.1 Project Stakeholder Register:
SL. NO. STAKEHOLDERS ROLES & RESPONSIBILITY
01 Govt Regulatory bodies Acting as per the regulations. Approve & provide
certification as per the tests.
02 Airport authorities Provide license to the manufacturer and act
according to airline company regarding airport
development.
03 Board of directors, Higher
management level
Key drivers of the Airbus group management.
Issuance of work orders and seeks to report,
progress of the project.
04 Employees Key drivers of the project. Working as per the
project schedule and archive individual targets.
05 Suppliers Design or act as per the design and manufacture
quality products. Communicate and avoid
conflict between other suppliers. Supply material
safely, on time.
06 Society Community groups that can cause turbulence in
the project progress. To be kept satisfied with the
company.
07 Shareholders/investors Company’s financial sponsors. High interest on
investment returns.
08 Competitors Get informed about new developments of
competitors and acting accordingly.
09 Airline companies Primary customers with high interest. Make
manufacturer act according to their requirement.
10 End user - passengers Main customers for airline companies. Seek
safety and comfort from the manufacturer.
11 Media High coverage as it is a new generation mega
project. Always kept informed about the status.

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2.2 Project Stakeholder Mapping:
The stakeholders are mapped in the diagram below according to the project initial phase:
The first group stakeholders may not be focused by the organization. These stakeholders will
not impose any turbulence on the project due to low interest and power.
The next group stakeholders are with high interest, but though they have low power, they are
the key drivers of the project. They will be kept informed about the events.
The next group has high power, but less interest in the project. They are the key imposers for
regulations for the project. These stakeholders must be kept satisfied.
The next group stakeholders with high interest and power have all powers to impose changes
to company as well as project. Firstly, the organization must satisfy these stakeholders.
3.0 Outline plan for stakeholder engagement:
Stakeholder engagement can be called as the routine that any organization commences to
involve all stakeholders in the organizational activities in a productive manner. This process
reflects that all the areas of organizational activities require stakeholder engagement. The
stakeholder engagement is not the priority work of socially responsible firms nor of the
activities of the firm. It is the responsibility of the organization to provide their needs and
wants and keep them satisfied throughout the project and also establish fruitful cooperation
between the stakeholders towards accomplishing their individual milestones. According to
the organization’s objectives and milestones, the process of giving priority to regulate
stakeholder’s requirements and expectations, results in lowering the hindrances and rising the
backing from the stakeholder towards accomplishment of the project. In the stakeholder
End Users - passengers,
Media, Airport
Authorities, Society &
communities
Compititors, Suppliers,
Employees, Airline
companies, Shareholders
Govt regulatory bodies
Board of directors, Higher
management level,
Technical experts
HIGH
LEVEL OF INTEREST
POWER
LOW
HIGH
LOW

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engagement process, the difference between present and expected engagement can be found
with the use of technical methodologies (Greenwood, 2007).
As this mega project is in the starting phase, accordingly the stakeholder engagement plan
would be as follows:
S.NO
.
STAKEHOLDER ROLES ENGAGEMENT PLAN
1 GOVT
REGULATORY
BODIES
Forming rules and laws.
Create airport design,
construction, &
operation. Govern flight
inspection standards.
Ensure passenger safety.
Collaborate and involve by:
Deliberate for code of ethics.
Seek for approvals.
Updates of project status.
Ensure regular meetings.
2 AIRPORT
AUTHORITIES
Issue license. Approval
for operation.
Keep informed by:
Ensure periodic meetings.
Seek for approvals.
3 BOARD OF
DIRECTORS,
HIGHER LEVEL
MANAGEMENT
Key drivers of the
project decisions and
directions with high
interest and power.
Regulate code of laws.
Collaborate and empower in
project activities:
Forming project plans, milestones,
deadlines.
Allocate work, resources and funds.
Focus on project progress and
conduct regular meetings.
Share deviation plans.
Inspect flow of work.
Achieve milestones and deadlines.
4 EMPLOYEES Key movers of the
project with low power.
Work as per the project
plans and deadlines.
Keep them involved in work:
Impose positive motivation.
Provide training, conduct
workshops.
Work completion as per targets.
Work progress as per milestones.
Seek for work reports. Keep
informed about project plans and
updates.
5 SUPPLIERS Project key partners and
players. Supply
material/component as
per project design and
standards.
Keep them involved in project
activities:
Share project designs.
Provide knowledge.
Seek for feedback.
Actions as per corrections.
Ensure periodic meetings.
6 SOCIETY Can affect the project
progress in unity.
To be kept informed:
Seek for suggestions and act
accordingly regarding communal
and environmental safety
7 SHAREHOLDER Invest in the company To involve in knowing company

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S/INVESTORS shares, dividend plans.
Reflect as a socially
responsible investor.
& the financial status by:
Business papers
Monthly F&O’s
Quarter, Semiannual, and Annual
reports.
Path to the financial documents and
company’s investments.
8 COMPETITORS Threat in terms of
market and competition
perspective.
No engagement.
Establish a separate team to get
information about:
Competitors products and launches.
New developments.
9 AIRLINE
COMPANIES
Primary clients of
company with high
interest. Requirement
provider for the project.
To keep involved & project status
sharing by:
Involving in product stage
information sharing.
Seek for their requirements.
Understanding their customers
requirements.
Regular meetings.
Planning and working as per client
requirement.
Iterative progress till product
delivery.
10 END USERS –
PASSENGERS
Product end user.
Feedback provider about
product comfort and
general performance.
Keep them informed:
Highlight the project key systemic
points & create interest in end users
for the product. Consecutively
develop media interest.
11 MEDIA Power of highlighting
the company and the
product to the world in
both positive and
negative ways
depending upon its
success.
Keep them informed:
The project status, milestones,
launches.
Highlight project key systemic
points. Generate interest. Share
project status/information through
Conducting conference, company
website.

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As per the initial phase of the project, this above is the stakeholder engagement plan. As the
project commences, the stakeholder mapping will change according to the different phases of
the project. As a result, the stakeholder moves to different group of the mapping whose level
of interest and power will change. The change of group position is shown in the form of table
below:
S. NO. Phase/stage Stakeholder
Existing
position
Change in
position
Group & level
of Power and
Interest
Group & level
of Power and
Interest
1 Airport
development.
Airline operation.
Airport
authorities
A – minimal
effort.
LOW/LOW
C – Keep
satisfied.
HIGH/LOW
2 Transportation Suppliers B – Keep
informed.
LOW/HIGH
D – Key players.
HIGH/HIGH
3 Product launch,
Entry to services.
End users –
passengers
C – Keep
satisfied.
LOW/LOW
B – Keep
informed.
LOW/HIGH
4 First flight test Media C – Keep
satisfied.
LOW/LOW
B – Keep
informed.
LOW/HIGH
5 Entry to services.
Prior to delivery
Airline
companies
B – Keek
informed.
LOW/HIGH
D – Key players.
HIGH/HIGH
3.1 Stakeholder shift cause:
1. During the phase of airport development, the level of power of that stakeholder changes to
low to high. That particular stakeholder needs to provide approvals for the manufacturer and
license to the airline companies for the operation. If the airport runway is not compatible for
the Airbus A380, the development has to be done.
Also during the aircraft operation phase, if any emergency emerges when flying near to the
airport, the level of power of airport authorities will become high as the flight crew needs
their permission for emergency landing.
2. As this project is outsourced and the components are being manufactured in various places,
there is always risk in procurement. According to the project plan, the components are being
procured to the assembly plant by sea way, river way, roadway. The supplier-stakeholder’s
level of power will shift from low to high as they are responsible for the procurement of the
components for the project with maintaining standards.
3. After the project is completed and its launch, the end user is keen to travel in this particular
jumbo aircraft due to it new technologies and key systemic points. The level of interest from
low will shift to high.
4. At the current phase, the level of power and interest of the media is low. After the launch,
the whole media will be eagerly waiting for the first official flight test day, for the coverage.
The level of interest will shift from low to high.

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5. After the project is completed and aircraft entry for the services is near, the level of power
of airline companies will shift from low to high as the manufacturer has to deliver the product
as per the orders and their requirement in time.
4.0 Critical risks in the Project:
In general all the projects are associated with risks because the projects include many
unpredictabilities which can impact on the target of the project. The management of the
project should accord with the risks linked with a project.
The risk management gives the early alert which the project requires at a particular time.
Before the risk reflects as a big issue, the risk management analyses the risk and lowers its
impact on the project by implementing mitigation methods.
In the initial stage of the project, the first step of the risk management process is identifying
what may be the project risks. The process is not only about identifying the risks but also
about accepting, acting, planning, communicating and taking responsibility for the risks. In
the multi-functional team culture, the risks should be identified, raised and discussed during
the meetings.
The risk identification process can be easily triggered from risk category records developed
during the previous development projects. The high level type risk caused would be:
o Technical product risks
o Market risks
o Process risks (Altfeld, 2010).
4.1 Critical risk register
PHASE RISK PROBAB
ILITY
SEVERI
TY
MITIGATION PLAN
DESIGN Aerodynamics:
As per the super
jumbo size and
weight, will it fly?
LOW HIGH Design Iterations and
simulations for different
loads, Wind tunnel testing of
the prototypes, Check
structural strength and
Review performance records
of past aircrafts
Material:
As the lightweight
concept is being
considered for
development of this
project to reduce
weight, will the
material chosen result
in serious issues?
HIGH HIGH Analyze the material
properties, test the prototypes
for different loads and stress
conditions, review similar
components and study their
behavior
Mismatch in mating
parts:
LOW HIGH Suppliers related to
connecting parts have to

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Communication risk
due to conflict
between suppliers may
cause problems in
mating components.
communicate with each other,
Review by Airbus for supplier
coordination,
Involve in supplier progress
and information collecting.
PROCU
REMEN
T
Transportation:
As the component
manufacturing is
shared in different
places, different
transportation methods
are necessary for the
procurement and there
exists the risk of
accidents, quality
damage
HIGH HIGH Review transportation plan
regularly, Use of alternative
methods for transportation
where logistics is not feasible
by air or road depending on
the components.
Quality:
The components being
manufactured at
various places, the risk
is whether they are
being manufactured
according to quality
standards
HIGH HIGH Review by Airbus for supplier
coordination,
Involve in supplier progress
and information collecting.
Confirming part tolerances as
specified by Airbus
Manage
ment
Project fail:
Regulatory risks:
If the aircraft project
fails during testing,
the regulatory bodies
will ground and stop
the project until the
issues get resolved
LOW HIGH Follow the iterative design
process, undergo various
testings on the ground,
undergo dummy trials before
final testing, prepare for fall
back plans.
Delay in project:
As the project is
planned to undergo the
first flight test by
2005, is it possible to
achieve the milestone
on time?
LOW HIGH Airbus to control and manage
schedule for every stage.
Raise an alarm in case of any
delays. Be prepared for the
unexpected delays.

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5.0 Legal risks in the project:
o In the process of making the aircraft lighter, many light weight materials are considered
even for the critical structures. When the product enters into service, due to fatigue
loading, there is a chance of material failure and cause severe damage to the aircraft.
- The regulatory bodies will ground all the A380’s and stop the services. The NTSB
will issue inspection orders on the project and design. The media, Government
and public will react & the Company reputation will be lowered
Mitigation plan:
Create a structurally strong frame.
Undergo iterative testings.
Consider changing of material if required.
o As the project is planned for manufacturing the components at different places and
procuring the same at one place for assembly, the risk figure increases and the possible
risks are:
- The communication gap between different suppliers which leads to mismatch of
mating parts.
- Procurement on time for the assembly.
Mitigation plan:
Provide clear objectives and communication details between suppliers where required.
Review the project progress at supplier plant regularly
Review transportation plan and create an agreement between manufacturer and supplier about
the responsibilities of product/component quality and procurement schedule.

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References:
. Airbus A380. Wikipedia.
Altfeld, H.-H. (2010). Commercial aircraft projects: Managing the development of highly complex
products: Ashgate Publishing, Ltd.
Greenwood, M. (2007). Stakeholder engagement: Beyond the myth of corporate responsibility.
Journal of Business Ethics, 74(4), 317-318.
Morales, J. (2006). The A380 transport project and logistics. from http://www.aviation.tu-
darmstadt.de/media/arbeitskreis_luftverkehr/downloads_6/kolloquien/13kolloquium/05dr
uckvorlage_morales.pdf
. RESPONSIBILITY MADE BY AIRBUS GROUP. (2013) Airbus Group - CR&S Report (pp. 09).