Research in Business
(BUSN20016)
Name: Chennupati Surendra Kumar
Student I’d: 12035340
Topic: Reasons behind failure of Hyderabad metro rail project.
INVESTIGATION INTO THE FACTORS RESPONSIBLE FOR THE FAILURE OF HYDERABAD METRO RAIL PROJECT.
Problem statement:
L&T failed to deliver Hyderabad Metro project within the time and budget. In civil industry, most of the organization fail to deliver the project within the time agreed, within the quoted budget the reasons behind the cause may be difficult because the construction project is a set of unique activities which are mostly dependent on each other. (Deccan Chronicle, 2016.)
The entire project was divided into six stage which was about 71.16km line and the estimates budget was 14132crore rupees but due to the delay of the project the estimation has raised to 16375crore rupees. The project was to be completed by July 2017 but the company has requested an extension to December 2018. (Koride, 2017)
Project was divided into three lines the first line construction was done and in use by the public but the second line was not yet done to lack of cooperation of public to the project. The main reason behind lack of public cooperation was as the line two passes through the market are which effects lot of people’s business. The state government failed to assure people in their discussion with them. This is the main reason due to delay of the project. (Kumar, R., 2017. The Hindu.)
Evidences
• As per Times of India Newspaper Article L&T had asked the state government for 18 months extension (Koride, 2017)
• Article by The Hindu states that local state government had pitched for 2,100 crore Rupee extra investment (Kumar, 2017)
• According to Deccan Chronicle a Hyderabad Based Newspaper sated that Hyderabad metro is delayed due to heavy traffic (Deccan Chronicle, 2016)
Aim:
To investigate the factors responsible for failure of Hyderabad metro rail project.
Research Questions:
When will the Hyderabad metro rail project start?
Main reasons behind failure of the project?
Will L&T able to complete by extended time?
Will the project complete at least in extended budget?
Can government assure people about their business?
Is the project failure due to government or company?
Do government need to implement any rules for project complection?
Research methodology:
Data Collection methods:
• From news publications, Experts comments, voice of local news channels.
Data Analysis methods:
• Qualitative Analysis: understanding the news articles and analyzing probable reasons and their main cause using observation technique.
• Quantitative Analysis: Analyzing the extra budget incurred for the project delay due to various factors.
References:
Deccan Chronicle, 2016. Hyderabad Metro facing delays due to heavy traffic. http://www.deccanchronicle.com/nation/current-affairs/181116/hyderabad-metro-facing-delays-from-heavy-rail-traffic.html.
Koride, M., 2017. Times of India. http://timesofindia.indiatimes.com/city/hyderabad/metro-rail-project-may-get-delayed-by-2-more-years/articleshow/57195111.cms.
Kumar, R., 2017. The Hindu. http://www.thehindubusinessline.com/economy/logistics/lt-seeks-deadline-extension-for-hyderabad-metro/article9684209.ece.
Thenewsminute.com (2017). http://www.thenewsminute.com/article/never-ending-construction-woes-why-hyderabad-metro-rail-plagued-delay-51812.