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Project Management National Conference 2011                                  PMI India




  Stakeholder Management Strategy: A
  Challenge in Indian Defence R&D
  Project – A Case Study



      SUBRATA DAS
      Scientist-E & Project Manager
      Gas Turbine Research Establishment




2|P a g e
 Application of Select Tools of Psychology for Effective Project Management
Project Management National Conference 2011                                                                           PMI India




                                                                                                             Contents


  1 Abstract..............................................................................................................................4
  2 Introduction........................................................................................................................4
  3 Project Stakeholders and Factors: A Literature Review....................................................5
  4 Characteristics of Technology Development Projects.......................................................6
  5 Case Study: Defence R&D project of fighter aircraft engine............................................7
  6 Discussions.......................................................................................................................10
  7 Conclusion........................................................................................................................11
  8 Abbreviation.....................................................................................................................12
  9 Acknowledgement............................................................................................................12
  10 References:.....................................................................................................................12
  11 Author’s Profile..............................................................................................................14




3|P a g e
 Application of Select Tools of Psychology for Effective Project Management
1     Abstract

Every project, whether simple or complex, need to indentify its stakeholders.
The selection of stakeholders, through its process of identifying the people or
organization to be impacted by the project and documenting relevant information
regarding their interests, involvement, expectations and impact on project
success, necessitates utmost attention and exhaustive analysis.               The
stakeholders may also influence the project deliverables, thus act as catalysts of
project success. The levels of stakeholders within and outside the organization
are also important factors, to be considered during the preparation of project
feasibility report and project scope. The necessity of evaluating stakeholder
expectations and its timely monitoring & review at an appropriate management
level determines the expected project outcome. It is always advisable and
desirable that project directors or managers effectively categorize the
stakeholder group according to their interest, influence and involvement in the
project. In modern era, almost every project takes place in a context where
stakeholders’ contributions add value in the successful completion of the tasks.
Often the project is sensitive to actions and decisions taken by the stakeholders.
Project stakeholders can include project sponsors, contractors, user,
competitors, media, insurance companies and third parties. Gas Turbine
Research Establish (GTRE), Bangalore under Defence Research and
Development Organisation (DRDO), while developing a gas turbine engine for
Indian military application, provided due importance to its stakeholder.
Considering the scenario of complex R&D project, the stakeholders at different
levels were identified from project inception for different activities viz.
Aerodynamic & mechanical analysis, simulation, technology acquisition,
prototype build. Expectations of stakeholders from Indian Govt. (Project
Sponsor), user (IAF), certification authorities, other scientific & academic
institutions, public & private sector industries were taken into account. In a
nutshell, this paper will bring out the methodologies of meeting stakeholder’s
interest, influence and involvement during planning and execution phases of
engine development.


Key words: stakeholder, project phase, technology, success factor.


2     Introduction

Gas turbine engine development projects financed, controlled and reviewed by
the Government of India necessitates stakeholders’ assistance and support
during project life cycle. The development cycle of an engine development
project typically follows Project Life Cycle (PLC) – initiation, growth, maturity and
decline.


* Scientist “E’ & Project Manager (Kaveri), GTRE, Bangalore email:
subratadas969@hotmail.com
Critical success factors for business or profit-oriented projects such as
construction project, information technology projects and so on have received
significant research interest by Pinto and Slevin (1987, 1989). However little of
this research pays adequate attention to ‘technology development’ projects
which are characterized by intangible development results, complex stakeholder
management and uncertainly. These factors, in each stage of project life cycle,
contributing to the outcome of a technology based project need to be brought out
explicitly and discussed.


3 Project Stakeholders and Factors: A
Literature Review

The project and its stakeholders can be viewed as a network in which the actors
interact with each other and exchange information, resources and results
(Milosevic, 1989). The user requirement and resources, vital inputs to a project,
are more often controlled by the stakeholders. According to Jergeas et. al
(2000), it is the stakeholder who ultimately determines whether a project is a
success, based on the project results. Jan Terje Karlsen (2002) brought out that
client, end users, contractors/suppliers, line organization, and public authorities
are equal, when it comes to causing problems and uncertainly for project. The
project environment is complex and changing (Gilbert, 1983). If stakeholder
management has not been managed properly, the project manager strive to
meet goals that were never intended by the stakeholders (Meredith and Mantel,
2000). The frequent scope changes leading to time and cost overrun, poor
communication, political & socio-economic situation are some of the additional
problems and uncertainties caused by the stakeholders. To meet this challenge,
several stakeholder management methods and guidelines have been introduced
(Cleland, 1986, Gilbert, 1983 Jang, Chen and Klein, 2002 Savage et al., 1991).
The guidelines include the execution of the management functions of planning,
organizing motivating, directing and controlling the resources used to cope with
stakeholders strategies.


Diallo and Thuillier (2004) was the first important empirical research that is
focused on the specific success criteria and factor of development project.
These authors assessed the project success as perceived by seven groups of
stakeholders; coordinators, task managers, supervisors, project team, Steering
Committee, beneficiaries and population at large. They also outlined a
comprehensive set of evaluation criteria that includes satisfaction of beneficiaries
with goods and services generated, conformation of the goods and services
produced to the project scope, achievement of project objectives, completion of
the project in time and within budget, receiving a high national profile and
recovering good reputation among the principal donors.
4 Characteristics of Technology Development
                  Projects

                  Technology development projects constitute a special type of project that
                  enhances technical expertise and technological capability of an organization and
                  the country with an objective to develop a system, useful to a group of target
                  beneficiaries. These projects differ according to its scope, deliverables and
                  beneficiaries.


                  The objective of technology development projects, by definition, concern
                  enhancement of technical knowledge & competency, capacity building and
                  development of physical infrastructures.        The scope of these projects
                  encompasses the requirements of the users, so that the products developed at
                  the matured stages of the project adhere to the specifications.


                  The other salient objectives of the technology development projects are
                  optimized utilization of national resources as a whole and complex web of many
                  stakeholders’ involved (Youker, 1999). This category of projects is characterized
                  by the knowledge and expertise of contemporary technologies of the
                  competitors. The life-cycle analysis of these development projects revealed that
                  the evaluation process and factors for these type of projects necessitate
                  refinement and modification. A typical life cycle analysis for technology
                  development projects are depicted in Table 1:




         TABLE 1: Typical Life Cycle Analysis for Technology Development Projects


  Life cycle phases      Milestones of activities             Stakeholders         Deliverables
Feasibility           • Analyze user requirements      •   Project sponsor      • Feasibility report
                      • Prepare             product    •   Subject experts      • Project proposal
                        specification                  •   User representatives
                      • Evaluate      the    project   •   Project mangers of
alternatives                         similar categories of
                        • Select the best alternative          project
                        • Identify stakeholders
                        • Discuss        with       key
                          stakeholders
                        • Assess capability
                        • Prepare product scope and           • Different    technical • Project
                          WBS                                   groups                    Implementation
                        • Augmentation of existing            • Budget & Resource         Document (PID)
                          physical capability                   Manager                   including
                        • Enhance knowledge base              • Risk Manager            - Project scope
                        • Evolve prototype building           • Quality Manager         -             Project
Planning                  strategy                                                         schedule
                        • Resource allocation                                           - Project Cost
                        • Quality         management                                    - Risk
                          implementation                                                   Management
                                                                                           plan
                                                                                        - Quality plan
                                                                                        - HR policies
                        •   Establish Project                 • Project sponsor        • Project      review
                            management group                  • Project        review     meeting
                        •   Review project plan                 members                • Modify        scope
                        •   Control & review mechanism • Technology                       cost, schedule
                        •   Modify project scope, if            acquisition group      • Prototype
Execution
                            applicable                        • Testing manager           manufacturing
                        •   Prototype manufacturing &                                  • Testing
                            its qualification testing
                        •   Stakeholder         requirement
                            reassessment
                        •   Component/system                  • User representative • Assembly &
                            assembly                          • Quality Manager           integration
                        •   Prepare             qualification • Project Management • Field trial
Product Integration &
                            document                            group                  • Limited Series
testing
                        •   Handing over prototypes for • Project sponsor                 Production (LSP)
                            field trials                                               • Project closure
                        •   Prepare project closure                                       report


                    5 Case Study: Defence R&D project of fighter
                    aircraft engine

                    Gas Turbine Research Establishment (GTRE), Bangalore under Defence
                    Research & Development Organisation (DRDO), is developing a gas turbine
                    engine for application in Indian fighter aircrafts. This class of gas turbine engine
                    consists of about 25,000 components, necessitating extensive project
                    management knowledge and expertise in design, manufacturing, assembly,
                    integration and testing of prototypes.


                    The feasibility study phase of this project, as in Fig.1, identified the system
                    requirement of military engine development. The process of evaluation and
                    system analysis of engine development with respect to contemporary technology
                    of similar class of engines generated initial awareness of an indigenous
                    technology development programme. The support of all key stakeholders
                    concerned was adequately raised to ensure the project proposal enters the next
planning phase and project execution with proper review & control mechanism
lead to prototype manufacturing & its qualification testing. The resource
allocation and physical capability building, emphasizing material technology of
high temperature and high strength based titanium & nickel based alloys,
manufacturing technology and engine prototype testing.




      Fig 1: System Analysis for Technology Development Project


The each and every process of the development cycle emphasizes the
importance of interaction with stakeholders. The design process of GTRE
encompasses different design integrations & its validation through simulation and
testing necessitating techno-managerial association of all technical groups, other
scientific organizations like National Aerospace Laboratory (NAL) and academic
institutes like IISc and IITs. The association of these scientific experts from
industry & academic fields enriched the design knowledge base of the country in
system development of fighter aircraft propulsion systems.


The manufacturing cycle of aerospace materials is very much challenging, which
warranted special process, techniques and should be embedded with
manufacturability, maintainability and reliability.


The stakeholders association in manufacturing these nickel and titanium based
alloy materials culminated in probable consortium of about 15-20 manufacturing
agencies. The manufacturing division of this engine programme associated
premier public sector industries like HAL, Brahmos Aerospace (erstwhile Keltech
industries). The participation of material production and manufacturing private
industries on risk-sharing basis facilitated the programme. The challenge of
techno-managerial decisions of Economic Order Quantity (EOQ) and cost of a
technology capability building with machines, “soft skills” of technical expertise
knowledge for machining were shared by these precision stakeholders. The
benefits accrued from this programme have also effect on socio-economic
            conditions of the country by contribution of employment and import substitution.


            The successful and precision manufacturing process leads to prototype
            assembly and integration, when risk mitigation and quality management
            philosophy followed in design and manufacturing process will be proven. The
            reliability and precision machining techniques and all associated stakeholders
            commitment & knowledge will be guaranteed by assembling more than 25000
            components/sub-systems.       The stakeholder’s management philosophy of
            prototype development process is depicted in Fig.2:




            Fig 2: Stakeholder Management Philosophy of Prototype Development
            Process


            The prototype engine & component testing associates the stakeholder from user
            (IAF), Certification Authority (CEMILAC), Project sponsor, industry experts along
            with project team of GTRE. The performance of prototype testing validates the
            task responsibility and accountability of all associated stakeholders. The laxity of
            the project team in assigning proper authority and delegation to its team
            members and stakeholders hinders the delivery schedule of final products.

            The criteria and factors chosen for Engine development project, other than
            traditional criteria of targets, time and costs are also included in all the life cycle
            phases of this type technology development projects, as brought out in Table 2,
            where issues like knowledge enhancement, physical capability building in-house
            and in stakeholder premises, were also considered.

          Table 2: Criteria and Factors for Engine Development Project
Project
                    Success Criteria                           Critical Success Factor
phases
• Meeting user specification                  • Clear      understanding      of  project
                  • Addressing all stakeholders                   objectives & scope
                  • Evaluating alternatives of available        • In-house capability evaluation
                    systems technology                          • Competence of designers
Feasibility       • Evaluating available resources to meet      • Effective consultation with main
                    user specification                            stakeholders i.e. IAF (user), CEMILAC
                  • Stakeholders meeting                          (certification    authority),    DGAQA
                  • Project team constitution                     (quality authority)
                  • Project approval
                  • Prepare WBS                                 • Planning implementation document
                  • Assign responsibility                         (PID)
                  • Resource optimizations & distribution       • Concurrence         of     primary/main
Planning          • Capacity utilization (in-house)               stakeholder
                  • Supplier/vendor meeting                     • Availability of resources
                  • Project plan with scope, schedule,          • Readiness of in-house facilities
                    deliverable, risk & quality                 • Project planner experience
                  • SOW        preparation      &    contract   • Commitment to project objectives and
                    finalization                                  plans
                  • Allotment of resources                      • Continuous support of all stakeholders
                  • Output produced vis-à-vis plan              • Users (IAF) active participation
Execution         • Continuous review mechanism and             • Resource mobilization
                    controlling                                 • Project team effectiveness
                  • Change control process                      • Minimum changes in project plan &
                  • Information to key stakeholders               scope
                  • Review of project scope
                  • Timely delivery of all hardware             • Project scheduling & its monitoring
Prototype         • Number       of   prototype     assembly    • Faster deviation analysis & its
assembly            optimized                                     acceptance decision
integration &     • Performance of components/systems           • Implementation of quality management
testing             w.r.t. physical dimension & quality
                  • Manufacturing deviation & its effect
                  • project achievements & its future           • Project deliverables vis-a-vis project
                  • growth potential for advanced system          scope
Project closure   • project financial statement                 • Project cost and time overruns
                  • key stakeholder appraisal                   • Interaction with project stakeholders
                  • project extension


                     6      Discussions

                     The technology development projects have a challenging task, the key factors
                     being the understanding stakeholder management and their expectations with
                     limitations of the project team or group. The stakeholders during the design &
                     feasibility phase consist of technical experts from industry and academia,
                     whereas the manufacturing facilities and technical expertise are utilized from
                     private industries of India and foreign countries. During the prototype assembly,
                     integration and testing the notable stakeholders are from user (IAF), aircraft
                     industries,                           certification authority (CEMILAC) and quality
                     authority (DGAQA). The development cycle of system and technology oriented
                     project provide emphasis on the following aspects of stakeholder management:


                     •   Understand stakeholder needs
•   Stakeholders assessment of the project


•   Association of multiple stakeholders with divergent interests and their
    respective company profiles


•   Quality and performance expectations from the stakeholders


•   Explaining project strategies


•   Resolve conflict and appreciation for positive inputs to the project


•   Resource mobilization through stakeholders


•   Encourage status reports submission as per schedule and its review
    mechanism


•   Address issues of stakeholders to avoid project cost/time overrun and timely
    delivery


•   Generating project ownership concept among key stakeholders.




GTRE from the inception of the engine development project associated all key
stakeholders and provided adequate exposure on project scope, schedule, cost,
risk and quality management practices. The processes and philosophy followed
always keep stakeholders informed of achievements, its shortfalls with techno-
managerial justification and resolution methodologies. All these facts and figures
are discussed during review meetings to gain their support and assistance. The
expertise of key stakeholders is also utilized at the time of facility augmentation
and the utilization of their facilities on time-sharing basis also provide leverages
in executing the project, resulting in saving resources and its optimal utilization.
The knowledge and physical capability augmentation facilitates the production
schedules through proper ‘technology and knowledge’ transfer. It was also
beneficial when the prototype, after successful assembly integration and testing,
is inducted for Limited Services Production (LSP) or production line.


7     Conclusion

This case study of defence R&D in the field of engine development project
narrates the benefits and its success factors with criteria in association with
stakeholders. The different phases of the project necessitated different levels of
stakeholder participation and involvement. The project manager during the
feasibility and planning phase of the project utilized the legacy data and
authenticated by application of risk factor. The interaction and discussion with
major stakeholders and the decisions emanating from review meetings
accelerated the development cycle. The techno-managerial inputs from private
and public sector manufacturing and sub-system development agencies refined
the design process and quality management system, resulting in risk mitigation
of defect investigation and its repair of component & sub-systems at the stage of
assembly integration and prototype testing. The execution phase of these types
of project is characterized by field experience inputs from IAF (user) and aircraft
development partner, who are pioneer in their relevant areas of expertise in the
country. However, the technology development projects is in the category of
risk-sensitive, as these are driven by aggressive, sometimes overly optimistic
approach of project team and its major stakeholders. The inexperience of project
planner and executor also delays the project schedule, leading to cost overruns.
The legacy data & information are not always beneficial and it is difficult to carry
out statistical extrapolation of the facts. More often, these projects suffer from
immature technology, ineffective acquisition strategy, unrealistic project deadline
and inadequate system engineering. The major or key stakeholders’ experience
should be transformed into a credible program baseline with realistic scope,
schedule & cost, maintaining quality of the deliverables to the satisfaction of the
user or customer. The area of training of manpower for skill enhancement and
imparting knowledge are the requisites of successful stakeholder management
philosophy for these types of projects.




8     Abbreviation

IAF: Indian Air Force


CEMILAC: Centre for Military Airworthiness & Certification


DGAQA: Director General Aeronautical Quality Assurance


9     Acknowledgement

The author would like to thank the Director, GTRE for encouragement and
providing support in submission of this paper. The acknowledgement is also
extended to Shri B. Shankara of GTRE for his excellent documentation support.


10 References:

[1] Khang Do Ba & Moe Tun Lin (2008), Success Criteria and Factors for
     International Development Projects:    A Life-Cycle-Based Framework,
     Project Management Journal, Vol 39, No.1, 72-84.
[2] Rose Timothy M. & Manley Karen (2010), Financial Incentives and
    Advanced Construction Procurement Systems, Project Management
    Journal, Vol 41, No. 1, 40-50.


[3] Meier Steven R (2010), Causal Inferences on the Cost Overruns and
    Schedule Delays of Large-Scale U.S. Federal Defence and Intelligence
    Acquisition Programs, Project Management Journal, Vol 41, No. 1, 28-39.


[4] Cleland David I. “Project Stakeholder Management” Project Management
    Journal 17:4 (1986) Page No. 36-44.


[5] Jergeas, George F., Erin Williamson, Gregory J. Skulmoski, and Janice
    Thomas, “Stakeholder Management on Construction Projects” AACE
    International Transaction (2000), Page No. P12.1-12.6.


[6] Jiang James J., Edward Chen, and Gary Klein, “The Importance of
    Building a Foundation for User Involvement in Information System Projects,”
    Project Management Journal 33:1 (2002) Page No. 20-26.


[7] Diallo.A.., & Thuillier, D. (2004). The success dimensions of international
    development projects. The perceptions of African project coordinators.
    International Journal of Project Management, 22, 19-31


[8] Diallo.A.., & Thuillier, D. (2004). The success dimensions of international
    projects, trust, and communication: An African perspective. International
    Journal of Project Management, 23(3), 237-252.


[9] Kwak, Y.H. (2002, September), Critical success factors in international
    development project management. Paper presented at the CIB 10th
    International Symposium Construction Innovation & Global competitiveness,
    Cincinnati, Ohio.


[10] Litt, A.N.N., & Walker, A. (1998). Evaluation of projection outcomes.
    Construction Management & Economics, 16, 109-219.


[11] Pinto J. K., & Slevin, D.P. (1987). Critical factors in successful project
    Implementation. IEEE Transactions on Engineering Management, 34 (1),
    22-27.


[12] Pinto, J.K., & Slevin, D.P. (1989). Critical success factors in R&D projects.
    Research Technology Management, 32(1), 31-35.


[13] Jan Terje Karlsen (2002) “Project Stakeholder Management”, Engineering
    Mangement Journal Vol 14 No. 4 Page No. 19-24.
[14] Cleland.D.I.,&
                 King.W.R. (1983). Systems            analysis   and   project
    management. New York: McGraw-Hill.


[15] Conger,J.A., & Fuller, R.M. (2003). Developing your leadership pipelines.
    Harvard Business Review 81 (12), 77-84.




11 Author’s Profile




Mr Subrata Das obtained his bachelor’s degree in Mechanical Engg.
Discipline from Calcutta University, India in the year 1989. Subsequently,
he joined Gas Turbine Research Establishment in 1991. He was
assigned the responsibilities of carrying out component performance
Testing of Kaveri engine development programme. On successful
completion of this assignment, he pursued Master of Business
Administration (MBA) with specialization in Technology Management.
After completion of MBA, he had been posted to Programme
Management Office of Kaveri engine. He is mainly associated with
project management especially in component manufacturing, contract
management, budget and resource management. Shri Das is a qualified
Project Management Professional (PMP) from Project Management
Institute (PMI), USA and also an Accredited Management Teacher (AMT)
from All India Management Association, New Delhi. He is currently
pursuing his Doctoral Degree from Visveswaraya Technological
University, Belgaum. He has to his credit 13 publications in various
International and National Journals and Conferences.


subratadas969@hotmail.com / subrata@gtre.drdo.in

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PMC2

  • 1.
  • 2. Project Management National Conference 2011 PMI India Stakeholder Management Strategy: A Challenge in Indian Defence R&D Project – A Case Study SUBRATA DAS Scientist-E & Project Manager Gas Turbine Research Establishment 2|P a g e Application of Select Tools of Psychology for Effective Project Management
  • 3. Project Management National Conference 2011 PMI India Contents 1 Abstract..............................................................................................................................4 2 Introduction........................................................................................................................4 3 Project Stakeholders and Factors: A Literature Review....................................................5 4 Characteristics of Technology Development Projects.......................................................6 5 Case Study: Defence R&D project of fighter aircraft engine............................................7 6 Discussions.......................................................................................................................10 7 Conclusion........................................................................................................................11 8 Abbreviation.....................................................................................................................12 9 Acknowledgement............................................................................................................12 10 References:.....................................................................................................................12 11 Author’s Profile..............................................................................................................14 3|P a g e Application of Select Tools of Psychology for Effective Project Management
  • 4. 1 Abstract Every project, whether simple or complex, need to indentify its stakeholders. The selection of stakeholders, through its process of identifying the people or organization to be impacted by the project and documenting relevant information regarding their interests, involvement, expectations and impact on project success, necessitates utmost attention and exhaustive analysis. The stakeholders may also influence the project deliverables, thus act as catalysts of project success. The levels of stakeholders within and outside the organization are also important factors, to be considered during the preparation of project feasibility report and project scope. The necessity of evaluating stakeholder expectations and its timely monitoring & review at an appropriate management level determines the expected project outcome. It is always advisable and desirable that project directors or managers effectively categorize the stakeholder group according to their interest, influence and involvement in the project. In modern era, almost every project takes place in a context where stakeholders’ contributions add value in the successful completion of the tasks. Often the project is sensitive to actions and decisions taken by the stakeholders. Project stakeholders can include project sponsors, contractors, user, competitors, media, insurance companies and third parties. Gas Turbine Research Establish (GTRE), Bangalore under Defence Research and Development Organisation (DRDO), while developing a gas turbine engine for Indian military application, provided due importance to its stakeholder. Considering the scenario of complex R&D project, the stakeholders at different levels were identified from project inception for different activities viz. Aerodynamic & mechanical analysis, simulation, technology acquisition, prototype build. Expectations of stakeholders from Indian Govt. (Project Sponsor), user (IAF), certification authorities, other scientific & academic institutions, public & private sector industries were taken into account. In a nutshell, this paper will bring out the methodologies of meeting stakeholder’s interest, influence and involvement during planning and execution phases of engine development. Key words: stakeholder, project phase, technology, success factor. 2 Introduction Gas turbine engine development projects financed, controlled and reviewed by the Government of India necessitates stakeholders’ assistance and support during project life cycle. The development cycle of an engine development project typically follows Project Life Cycle (PLC) – initiation, growth, maturity and decline. * Scientist “E’ & Project Manager (Kaveri), GTRE, Bangalore email: subratadas969@hotmail.com
  • 5. Critical success factors for business or profit-oriented projects such as construction project, information technology projects and so on have received significant research interest by Pinto and Slevin (1987, 1989). However little of this research pays adequate attention to ‘technology development’ projects which are characterized by intangible development results, complex stakeholder management and uncertainly. These factors, in each stage of project life cycle, contributing to the outcome of a technology based project need to be brought out explicitly and discussed. 3 Project Stakeholders and Factors: A Literature Review The project and its stakeholders can be viewed as a network in which the actors interact with each other and exchange information, resources and results (Milosevic, 1989). The user requirement and resources, vital inputs to a project, are more often controlled by the stakeholders. According to Jergeas et. al (2000), it is the stakeholder who ultimately determines whether a project is a success, based on the project results. Jan Terje Karlsen (2002) brought out that client, end users, contractors/suppliers, line organization, and public authorities are equal, when it comes to causing problems and uncertainly for project. The project environment is complex and changing (Gilbert, 1983). If stakeholder management has not been managed properly, the project manager strive to meet goals that were never intended by the stakeholders (Meredith and Mantel, 2000). The frequent scope changes leading to time and cost overrun, poor communication, political & socio-economic situation are some of the additional problems and uncertainties caused by the stakeholders. To meet this challenge, several stakeholder management methods and guidelines have been introduced (Cleland, 1986, Gilbert, 1983 Jang, Chen and Klein, 2002 Savage et al., 1991). The guidelines include the execution of the management functions of planning, organizing motivating, directing and controlling the resources used to cope with stakeholders strategies. Diallo and Thuillier (2004) was the first important empirical research that is focused on the specific success criteria and factor of development project. These authors assessed the project success as perceived by seven groups of stakeholders; coordinators, task managers, supervisors, project team, Steering Committee, beneficiaries and population at large. They also outlined a comprehensive set of evaluation criteria that includes satisfaction of beneficiaries with goods and services generated, conformation of the goods and services produced to the project scope, achievement of project objectives, completion of the project in time and within budget, receiving a high national profile and recovering good reputation among the principal donors.
  • 6. 4 Characteristics of Technology Development Projects Technology development projects constitute a special type of project that enhances technical expertise and technological capability of an organization and the country with an objective to develop a system, useful to a group of target beneficiaries. These projects differ according to its scope, deliverables and beneficiaries. The objective of technology development projects, by definition, concern enhancement of technical knowledge & competency, capacity building and development of physical infrastructures. The scope of these projects encompasses the requirements of the users, so that the products developed at the matured stages of the project adhere to the specifications. The other salient objectives of the technology development projects are optimized utilization of national resources as a whole and complex web of many stakeholders’ involved (Youker, 1999). This category of projects is characterized by the knowledge and expertise of contemporary technologies of the competitors. The life-cycle analysis of these development projects revealed that the evaluation process and factors for these type of projects necessitate refinement and modification. A typical life cycle analysis for technology development projects are depicted in Table 1: TABLE 1: Typical Life Cycle Analysis for Technology Development Projects Life cycle phases Milestones of activities Stakeholders Deliverables Feasibility • Analyze user requirements • Project sponsor • Feasibility report • Prepare product • Subject experts • Project proposal specification • User representatives • Evaluate the project • Project mangers of
  • 7. alternatives similar categories of • Select the best alternative project • Identify stakeholders • Discuss with key stakeholders • Assess capability • Prepare product scope and • Different technical • Project WBS groups Implementation • Augmentation of existing • Budget & Resource Document (PID) physical capability Manager including • Enhance knowledge base • Risk Manager - Project scope • Evolve prototype building • Quality Manager - Project Planning strategy schedule • Resource allocation - Project Cost • Quality management - Risk implementation Management plan - Quality plan - HR policies • Establish Project • Project sponsor • Project review management group • Project review meeting • Review project plan members • Modify scope • Control & review mechanism • Technology cost, schedule • Modify project scope, if acquisition group • Prototype Execution applicable • Testing manager manufacturing • Prototype manufacturing & • Testing its qualification testing • Stakeholder requirement reassessment • Component/system • User representative • Assembly & assembly • Quality Manager integration • Prepare qualification • Project Management • Field trial Product Integration & document group • Limited Series testing • Handing over prototypes for • Project sponsor Production (LSP) field trials • Project closure • Prepare project closure report 5 Case Study: Defence R&D project of fighter aircraft engine Gas Turbine Research Establishment (GTRE), Bangalore under Defence Research & Development Organisation (DRDO), is developing a gas turbine engine for application in Indian fighter aircrafts. This class of gas turbine engine consists of about 25,000 components, necessitating extensive project management knowledge and expertise in design, manufacturing, assembly, integration and testing of prototypes. The feasibility study phase of this project, as in Fig.1, identified the system requirement of military engine development. The process of evaluation and system analysis of engine development with respect to contemporary technology of similar class of engines generated initial awareness of an indigenous technology development programme. The support of all key stakeholders concerned was adequately raised to ensure the project proposal enters the next
  • 8. planning phase and project execution with proper review & control mechanism lead to prototype manufacturing & its qualification testing. The resource allocation and physical capability building, emphasizing material technology of high temperature and high strength based titanium & nickel based alloys, manufacturing technology and engine prototype testing. Fig 1: System Analysis for Technology Development Project The each and every process of the development cycle emphasizes the importance of interaction with stakeholders. The design process of GTRE encompasses different design integrations & its validation through simulation and testing necessitating techno-managerial association of all technical groups, other scientific organizations like National Aerospace Laboratory (NAL) and academic institutes like IISc and IITs. The association of these scientific experts from industry & academic fields enriched the design knowledge base of the country in system development of fighter aircraft propulsion systems. The manufacturing cycle of aerospace materials is very much challenging, which warranted special process, techniques and should be embedded with manufacturability, maintainability and reliability. The stakeholders association in manufacturing these nickel and titanium based alloy materials culminated in probable consortium of about 15-20 manufacturing agencies. The manufacturing division of this engine programme associated premier public sector industries like HAL, Brahmos Aerospace (erstwhile Keltech industries). The participation of material production and manufacturing private industries on risk-sharing basis facilitated the programme. The challenge of techno-managerial decisions of Economic Order Quantity (EOQ) and cost of a technology capability building with machines, “soft skills” of technical expertise knowledge for machining were shared by these precision stakeholders. The
  • 9. benefits accrued from this programme have also effect on socio-economic conditions of the country by contribution of employment and import substitution. The successful and precision manufacturing process leads to prototype assembly and integration, when risk mitigation and quality management philosophy followed in design and manufacturing process will be proven. The reliability and precision machining techniques and all associated stakeholders commitment & knowledge will be guaranteed by assembling more than 25000 components/sub-systems. The stakeholder’s management philosophy of prototype development process is depicted in Fig.2: Fig 2: Stakeholder Management Philosophy of Prototype Development Process The prototype engine & component testing associates the stakeholder from user (IAF), Certification Authority (CEMILAC), Project sponsor, industry experts along with project team of GTRE. The performance of prototype testing validates the task responsibility and accountability of all associated stakeholders. The laxity of the project team in assigning proper authority and delegation to its team members and stakeholders hinders the delivery schedule of final products. The criteria and factors chosen for Engine development project, other than traditional criteria of targets, time and costs are also included in all the life cycle phases of this type technology development projects, as brought out in Table 2, where issues like knowledge enhancement, physical capability building in-house and in stakeholder premises, were also considered. Table 2: Criteria and Factors for Engine Development Project Project Success Criteria Critical Success Factor phases
  • 10. • Meeting user specification • Clear understanding of project • Addressing all stakeholders objectives & scope • Evaluating alternatives of available • In-house capability evaluation systems technology • Competence of designers Feasibility • Evaluating available resources to meet • Effective consultation with main user specification stakeholders i.e. IAF (user), CEMILAC • Stakeholders meeting (certification authority), DGAQA • Project team constitution (quality authority) • Project approval • Prepare WBS • Planning implementation document • Assign responsibility (PID) • Resource optimizations & distribution • Concurrence of primary/main Planning • Capacity utilization (in-house) stakeholder • Supplier/vendor meeting • Availability of resources • Project plan with scope, schedule, • Readiness of in-house facilities deliverable, risk & quality • Project planner experience • SOW preparation & contract • Commitment to project objectives and finalization plans • Allotment of resources • Continuous support of all stakeholders • Output produced vis-à-vis plan • Users (IAF) active participation Execution • Continuous review mechanism and • Resource mobilization controlling • Project team effectiveness • Change control process • Minimum changes in project plan & • Information to key stakeholders scope • Review of project scope • Timely delivery of all hardware • Project scheduling & its monitoring Prototype • Number of prototype assembly • Faster deviation analysis & its assembly optimized acceptance decision integration & • Performance of components/systems • Implementation of quality management testing w.r.t. physical dimension & quality • Manufacturing deviation & its effect • project achievements & its future • Project deliverables vis-a-vis project • growth potential for advanced system scope Project closure • project financial statement • Project cost and time overruns • key stakeholder appraisal • Interaction with project stakeholders • project extension 6 Discussions The technology development projects have a challenging task, the key factors being the understanding stakeholder management and their expectations with limitations of the project team or group. The stakeholders during the design & feasibility phase consist of technical experts from industry and academia, whereas the manufacturing facilities and technical expertise are utilized from private industries of India and foreign countries. During the prototype assembly, integration and testing the notable stakeholders are from user (IAF), aircraft industries, certification authority (CEMILAC) and quality authority (DGAQA). The development cycle of system and technology oriented project provide emphasis on the following aspects of stakeholder management: • Understand stakeholder needs
  • 11. Stakeholders assessment of the project • Association of multiple stakeholders with divergent interests and their respective company profiles • Quality and performance expectations from the stakeholders • Explaining project strategies • Resolve conflict and appreciation for positive inputs to the project • Resource mobilization through stakeholders • Encourage status reports submission as per schedule and its review mechanism • Address issues of stakeholders to avoid project cost/time overrun and timely delivery • Generating project ownership concept among key stakeholders. GTRE from the inception of the engine development project associated all key stakeholders and provided adequate exposure on project scope, schedule, cost, risk and quality management practices. The processes and philosophy followed always keep stakeholders informed of achievements, its shortfalls with techno- managerial justification and resolution methodologies. All these facts and figures are discussed during review meetings to gain their support and assistance. The expertise of key stakeholders is also utilized at the time of facility augmentation and the utilization of their facilities on time-sharing basis also provide leverages in executing the project, resulting in saving resources and its optimal utilization. The knowledge and physical capability augmentation facilitates the production schedules through proper ‘technology and knowledge’ transfer. It was also beneficial when the prototype, after successful assembly integration and testing, is inducted for Limited Services Production (LSP) or production line. 7 Conclusion This case study of defence R&D in the field of engine development project narrates the benefits and its success factors with criteria in association with stakeholders. The different phases of the project necessitated different levels of stakeholder participation and involvement. The project manager during the feasibility and planning phase of the project utilized the legacy data and authenticated by application of risk factor. The interaction and discussion with
  • 12. major stakeholders and the decisions emanating from review meetings accelerated the development cycle. The techno-managerial inputs from private and public sector manufacturing and sub-system development agencies refined the design process and quality management system, resulting in risk mitigation of defect investigation and its repair of component & sub-systems at the stage of assembly integration and prototype testing. The execution phase of these types of project is characterized by field experience inputs from IAF (user) and aircraft development partner, who are pioneer in their relevant areas of expertise in the country. However, the technology development projects is in the category of risk-sensitive, as these are driven by aggressive, sometimes overly optimistic approach of project team and its major stakeholders. The inexperience of project planner and executor also delays the project schedule, leading to cost overruns. The legacy data & information are not always beneficial and it is difficult to carry out statistical extrapolation of the facts. More often, these projects suffer from immature technology, ineffective acquisition strategy, unrealistic project deadline and inadequate system engineering. The major or key stakeholders’ experience should be transformed into a credible program baseline with realistic scope, schedule & cost, maintaining quality of the deliverables to the satisfaction of the user or customer. The area of training of manpower for skill enhancement and imparting knowledge are the requisites of successful stakeholder management philosophy for these types of projects. 8 Abbreviation IAF: Indian Air Force CEMILAC: Centre for Military Airworthiness & Certification DGAQA: Director General Aeronautical Quality Assurance 9 Acknowledgement The author would like to thank the Director, GTRE for encouragement and providing support in submission of this paper. The acknowledgement is also extended to Shri B. Shankara of GTRE for his excellent documentation support. 10 References: [1] Khang Do Ba & Moe Tun Lin (2008), Success Criteria and Factors for International Development Projects: A Life-Cycle-Based Framework, Project Management Journal, Vol 39, No.1, 72-84.
  • 13. [2] Rose Timothy M. & Manley Karen (2010), Financial Incentives and Advanced Construction Procurement Systems, Project Management Journal, Vol 41, No. 1, 40-50. [3] Meier Steven R (2010), Causal Inferences on the Cost Overruns and Schedule Delays of Large-Scale U.S. Federal Defence and Intelligence Acquisition Programs, Project Management Journal, Vol 41, No. 1, 28-39. [4] Cleland David I. “Project Stakeholder Management” Project Management Journal 17:4 (1986) Page No. 36-44. [5] Jergeas, George F., Erin Williamson, Gregory J. Skulmoski, and Janice Thomas, “Stakeholder Management on Construction Projects” AACE International Transaction (2000), Page No. P12.1-12.6. [6] Jiang James J., Edward Chen, and Gary Klein, “The Importance of Building a Foundation for User Involvement in Information System Projects,” Project Management Journal 33:1 (2002) Page No. 20-26. [7] Diallo.A.., & Thuillier, D. (2004). The success dimensions of international development projects. The perceptions of African project coordinators. International Journal of Project Management, 22, 19-31 [8] Diallo.A.., & Thuillier, D. (2004). The success dimensions of international projects, trust, and communication: An African perspective. International Journal of Project Management, 23(3), 237-252. [9] Kwak, Y.H. (2002, September), Critical success factors in international development project management. Paper presented at the CIB 10th International Symposium Construction Innovation & Global competitiveness, Cincinnati, Ohio. [10] Litt, A.N.N., & Walker, A. (1998). Evaluation of projection outcomes. Construction Management & Economics, 16, 109-219. [11] Pinto J. K., & Slevin, D.P. (1987). Critical factors in successful project Implementation. IEEE Transactions on Engineering Management, 34 (1), 22-27. [12] Pinto, J.K., & Slevin, D.P. (1989). Critical success factors in R&D projects. Research Technology Management, 32(1), 31-35. [13] Jan Terje Karlsen (2002) “Project Stakeholder Management”, Engineering Mangement Journal Vol 14 No. 4 Page No. 19-24.
  • 14. [14] Cleland.D.I.,& King.W.R. (1983). Systems analysis and project management. New York: McGraw-Hill. [15] Conger,J.A., & Fuller, R.M. (2003). Developing your leadership pipelines. Harvard Business Review 81 (12), 77-84. 11 Author’s Profile Mr Subrata Das obtained his bachelor’s degree in Mechanical Engg. Discipline from Calcutta University, India in the year 1989. Subsequently, he joined Gas Turbine Research Establishment in 1991. He was assigned the responsibilities of carrying out component performance Testing of Kaveri engine development programme. On successful completion of this assignment, he pursued Master of Business Administration (MBA) with specialization in Technology Management. After completion of MBA, he had been posted to Programme Management Office of Kaveri engine. He is mainly associated with project management especially in component manufacturing, contract management, budget and resource management. Shri Das is a qualified Project Management Professional (PMP) from Project Management Institute (PMI), USA and also an Accredited Management Teacher (AMT) from All India Management Association, New Delhi. He is currently
  • 15. pursuing his Doctoral Degree from Visveswaraya Technological University, Belgaum. He has to his credit 13 publications in various International and National Journals and Conferences. subratadas969@hotmail.com / subrata@gtre.drdo.in