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Strategic Project Management


This assessment is based on the previous assessment one which provided a basic description of the establishment of the New Sydney Cruise terminal contract given to stakeholders. The contract was made as per the project framework strategy. Having sufficient and advanced facilities given by Sydney Cruise to its customers, so it is assumed that the company will anticipate doubling the revenue by 2040. In this assessment, there will be a discussion about theories and project life cycle stages of project management. The government of Australia also supported the tourism in the country by ensuring that Sydney Cruise has the topmost Cruise destination. The objective of the project is to enhance the capacity of Cruise terminals with funding, procuring, and function as a potential terminal. There will be more important benefits of the new Cruise in Sydney such as the installation of the latest technologies, sustainability of resources, support, and help various communities by giving job opportunities. Apart from that the project also helps in fulfilling the needs of customers; mitigate the facing issues by customers.


The scope of the project is to develop the terminal that will enhance the operation of Sydney’s existing two terminals. The Cruise has the capacity to assess the various options for the establishment of the third cruise terminal in Sydney and it requires the NSW treasury. It needs the development of the business case and it is a significant tool for the NSW government due to it is presumed that it acts like evidence depends on the guide for taking the investment decisions. Business case involves a detailed description of models for funding, procuring, and operating a potential terminal.  

Source: (Port Authority, 2018)


The site for cruise terminal establishment various aspects that will be recognized such as, cultural heritage, feasibility engineering, width and depth of shipping channel, regional terrestrial and Marine environment, Proximity to residential areas and accessing to traffic and transport, and proximity to airports (Radujković and Sjekavica, 2017).  


It is shown from the above figure that in 2014 the capacity of the overseas terminal has boosted after planning for the development of cruise has been made. In 2017 recommendation is given to sites for the establishment of NSW and in 2018 a further new plan has been made for cruise development. In 2019- 2020 a business case detail is given to stakeholders. In 2021 the project will be approved by the government of Australia. In case, when the project will be approved then approval of the environment will be taken. After completing all previous stages project construction will get started (Radujković and Sjekavica, 2017).  

Statement of Work 

Theories and concepts applied in project management:

For the development of the third cruise terminal and to enhance the operation of existing terminals business management project principles are to be applied for better success and to achieve the targets. Frederick Taylor, the Father of Scientific Management gave four main management principles for all managers. These principles are followed in the Cruise Strategic project such as:

  1. Create a science for every stage of the project, along with study and evaluate is to look out the best possible method of doing the project.
  2. It ensures that workers are selected on the basis of scientific methodology, not on any discrimination and favoritism. Provide training and development programs to workers before involving in the project and motivate them to achieve the targets and goals of the Cruise development project (Meredith, et. al., 2017). 
  3. Employees are assets of business not enemies, so create a business culture of cooperation with employees to make sure that the execution of scientific theories and principles.
  4. Delegate the responsibilities and work in an equal manner between the management and workers.

The principles of Modern Management was given by Henri Fayol, he planned a theory of basic management that is applicable to all kinds of administration and fields. He divided all functions of business enterprise in certain groups:

  • Technical functions related to production
  • Buying and selling activities
  • Financial functions related to the best management of capital
  • Accounting and office functions
  • Security-related functions (Kerzner, 2017). 
  • Management functions

Henry Fayol emphasized his work by explaining and describing management functions. He divided such functions into planning, commanding, organizing, controlling, and coordinating. He recommended some management principles are as follows.  

  1. Division of task: project activities are divided into workers by ensuring that effort will be minimum with the required level of performance
  2. Responsibility and authority: project manager of the cruise terminal has to give the responsibilities (Heagney, 2016).
  3. Discipline: all employers and employees should obey and respect their seniors.
  4. Unity of Command: employees at the project should get orders from a single authority.
  5. Unity of direction: when there are a number of activities with a single objective, then there should be a single plan and a single head.
  6. Subordinates: the focus is given to common interest before every single interest.
  7. Wages and salary: It should satisfy the needs and demands of employees from the organization
  8. Centralization: the project management should decide about the power of authority that the senior-level will distribute and retain in the business.
  9. Order: all process and workers at the project should have a fixed place
  10. Scalar chain: the relationship between subordinates and superiors must not against the project (Kivilä, et. al., 2017). 
  11. Equity: project managers should strive for equality and equity treatment at the time of treating with workers and staff. They should show a combination of justice and kindness.
  12. Initiative: it can be taken by project managers and seniors.
  13. Stability of occupation of employees: Managers should try to decreases the turnover of employee
  14.  Espirit de Corps: There should be a focus on teamwork and good interaction for getting it.

Project Management Life Cycle:

For project managers observing to understand the working and process as per best practices, which are basically advised by PMI rules of practice that describes the project management life cycle. There are various functions going on in several stages of the project of cruise terminal establishments such as initiation, planning, execution, and closure.  

(Source: Guru99, 2020)

  1. Initiation: firstly. The project manager of the Cruise terminal project has to identify the needs of the project, issue, and opportunity, and some methods of brainstorm that the project team will meet the demands, solve the issue and grab the opportunity. At this stage, the project manager search out the goals of project considers the feasibility of project, and identify the important deliverables of the project. All these requirements have been discussed in the previous assessment and above also (Demirkesen and Ozorhon, 2017). 

Steps for the initiation phase of the project will include:

  • Responsibility a feasibility study: Classify the basic issue of the Cruise terminal project and whether this project will provide a result of such a particular issue of the increasing pressure of overseas passengers at the terminal.
  • Verify scope: The scope of development of the project is to enhance the operation of Sydney’s existing two terminals. The government of the country needs to meet the capacity of the cruise by supporting tourism. It will be useful for the cultural heritage of the country, and the main focus is given to fulfilling the on-going desires of customers, cooperating with various local operators (Zare Ravasan and Mansouri, 2016). 
  • Verify deliverables: Define the goods and services to give to passengers such as frequent improvement in the sustainability of the operation. Installation of new technology which has been created and steps are taken to solve the international targets. The cruise industry helps society worldwide sustaining 1,180,676 jobs to people.
  • Verify project stakeholders: classify the stakeholders such as project manager, passengers, customers, communities, environment, etc who can be positively or negatively affected by the project. 
  • Making a Business case: With the given information in assessment one, the NSW government decided to move forward with the investment of project $50 million 
  • Making a statement of work: The objectives, deliverables, and scope have been identified in previous assessment as discussed above as a working contract between a project manager and staff members (Martens and Carvalho, 2017). 
  1. Planning: After the approval of the project move forward as per business case, project initiation, statement of work document. At this stage of project management life cycle, project manager divides the larger tasks into smaller one, create project team, and make a schedule for assignment completion.

Certain steps are followed in project planning such as:

  • Making a project plan: Verify the timeline and schedule of projects involving the project stage, the activities to be performed such as consider sustainability actions, delegation tasks, and responsibilities to project members (Akbar, et. al., 2018). 
  • Making workflow charts: Imagine the processes and to ensure that project members have easily understood the duties in the Cruise project terminal.
  • Measuring budget and preparing a financial plan by using the cost estimates to consider the amount of cost spend on project 
  • Collecting resources by building a practical team from external and internal talent with necessary techniques and tools such as hardware and software etc. 
  • Expecting risk and possible roadblocks in quality: classify problems that can affect the project during the planning and try to solve such risks and preserve timeline and quality. 
  1. Execution: After the completion of planning, project approval has been taken, and developed the team. It’s time to execute or take the action as per the decided plan. The project manager of the cruise terminal at this stage of the life cycle is to carry activities on right track, consolidate timelines, manage project members and it is ensured that work will be done as per plan and timeline schedule (Zachko, et. al., 2017). 

The steps can be undertaken at this execution stage are as follows;

  • Preparing activities and managing work pressure: allocate work roughly of the cruise terminal project to the accurate project members, so that no individual can get burden of the whole work.
  • Briefing activities to group members: Describe and elaborate the activities to project members, giving required advice about how to complete, and managing training and development programs when required. 
  • Interact with project members, top management, and clients: Give information to project stakeholders at each level.
  • Controlling work quality; to make sure that project members are meeting their quality and time objectives for activities (Conforto, et. al., 2016). 
  • Organizing budget: regulate investing and carrying the project on track according to resources and assets. 
  1. Closure: After the completion of the whole activities of the Cruise terminal development project, then closing the project. At the closing stage, the project manager will give final deliverables, consider the project success, and release resources of the project. When the important project work has done, that does not mean the job of the project manager has finished, there are some significant things to do, covering analyzing what had done and whatnot.

Steps covered in closing the project such as:

  • Evaluating the performance of the project: Consider whether the objectives of projects were fulfilled on time and as per budget, and the beginning issue was solved with the use of a checklist.
  • Evaluating member’s performance: Analyse how project members performed, covering whether they fulfill their objectives along with suitability and work quality (Papke-Shields and Boyer-Wright, 2017). 
  • Documenting closure of the project: To make sure that all project aspects are to be completed without any loose ends remaining and giving reports to important stakeholders.
  • Showing post-execution reviews: Deporting a last evaluation of the project, undertaking into account lessons cultured for the same projects in the future.
  • Accounting for budget: Assign remaining assets for future schemes (Abyad, 2018). 


It is concluded from the whole assessment that Sydney Cruise established a project for initiating a third cruise terminal to decrease the pressure of passengers. The important aim of the development of the terminal is to enhance the operation of Sydney existing two terminals by increasing the capacity for supporting tourism in the country. This requires a complete project management life cycle of projects with an understanding of business management theories and principles. This assessment is based on the previous assessment one with a complete description of principles and project life cycle stages.

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