INNOVATION IN MEGAPROJECTS Systems Integration at London Heathrow Terminal 5

Innovation perspective on megaproject management Research by Innovation & Entrepreneurship Group, Imperial College Business School Case of Heathrow Terminal 5 megaproject Inductive approach - generic model How megaproject performance can be improved through learning and innovation Aims of research: How was knowledge of previous project and industrial practices combined to create the T5 approach to project management? How was the approach applied on T5 and prepared for reuse on other megaprojects? © Imperial College Business School

Six processes of megaproject management © Imperial College Business School Systems integration Project & Programme Management Single Model Environment Modular pre- Assemblies Just-in-Time Logistics Test, Commission & Handover Project Processes Operational Processes

The role of the systems integrator – client or contractor © Imperial College Business School Systems integration Project & Programme Management Single Model Environment Modular pre- Assemblies Just-in-Time Logistics Test, Commission & Handover Coordinate system design & integration Establish project governance structure to coordinate supply chain Manage risks - cost-plus incentive a)Client bears risk (e.g. T5) b)Share risk (e.g. CTRL) Incentives for innovation Profits shared among partners in integrated project teams Collaborative partnership approach

Megaproject – key phases, transitions and challenges © Imperial College Business School Project Processes Operational Processes Planning phase Design phase Construction phase Handover phase Operational Service Operate & Maintain Time