The study is based on two pillars namely stakeholder engagement and the runway construction delay in the Sydney Airport way back in the 1980s (Herbert, Matibet and De Wilde 1996). The paper would point out how engagement of stakeholders can be used to deal with complex challenges through the lenses of the Sydney Airport.
Cascetta et al.(2015) define stakeholder engagement is the process of engaging the stakeholders by organisations who have strong impacts on their business operations. The stakeholders are the groups or individuals which are capable of deciding the working of the organisations in every aspects both internally as well as externally. Barrett, Oborn and Orlikowski, (2016) point out that business organisations should aim to create value for the stakeholders. This would enable them to gain more support from them which would ultimately lead to growth of their business.
Types of stakeholders:
Lopez, Mascione and Liu (2017) mention that engineering and asset management sector comes under the influence of several parties. The runway projects involve stakeholders like the government bodies, banks, suppliers of raw materials and customers. The following are the categories into which the stakeholders of the actual parallel runway project involves:
Key stakeholders:
The sector comes directly under the influence of the government which forms the laws. The government of Australia not only makes laws to regulate the engineering projects but also makes laws to support them. Engineering projects require immense amount of capital, human resources and raw materials. Some of the engineering projects are often located in the interior. The government over her plays the role of that of facilitator. The government make roads, railways and other infrastructure which enables movement of bulky raw materials to the engineering sites. One can point in this regard that the governments also enable the engineering companies to get access to cross boarder resources. For example, the runways of the airports require advanced technology. This requires the airport authorities and the civil construction companies require plants and machinery of very high technology. The diplomatic relations and technological partnership which Australia has with other countries enable them to acquire foreign technology. This means the government makes laws to control the actions of the parallel runway projects. Similarly, its diplomatic relationships enable engineering companies to obtain advanced plants and machinery from abroad which makes these parallel runway projects feasible. This analysis shows that government plays multiple roles in the parallel runway projects. The government bodies makes laws, facilitates transportation of capital to the engineering sites and also facilitate import of foreign capital using its diplomatic power. Thus, the government is the key stakeholder holders of the parallel runway projects.
The next key stakeholder involved in engineering projects are the financial institutions and all other apex administration bodies. They consists of the stock exchanges and financial institutions which helps in movement of financial capital towards these projects. The actual runway projects at airports involve an immense movement of money towards them. This calls for use of payment gateways. Thus, it is clear from this analysis that the companies owning the payment gateways are also important key stakeholders.
Secondary stakeholders:
Yang and Zhao (2015) point out that suppliers of capital to the runway projects are the significant secondary stakeholders. They define stakeholders as stakeholders who facilitate the commencement of the engineering projects by supplying resources. The runways in the airports are constructed to facilitate safe landing and taking off of aircrafts. The runways are mainly constructed using concrete and asphalt. The Ministry of Aviation maintain specific standards of runway constructions which are subject to stringent tests. The runways and entire design of the airport are created by using software (webarchive.nationalarchives.gov.uk, 2018). Jose, Prasanna and Prakash (2018) add that the construction of runway is so complex and expensive, that airport authorities use lean management to construct runways. Marshall (2016) point out that runways require use of expensive machinery. It can be analysed from the above discussion that suppliers of raw materials and equipment for runway construction are significant secondary stakeholders (De Serio, Ridgley & Cusack, 2015). The firms which design the layout of the runways are also significant secondary stakeholders.
Stroeve et al.(2016) points out the risk management staffs who ensure safety on the runway are significant secondary stakeholders. The firms which conduct risk assessment and forms strategies to mitigate risks are also significant stakeholders. de Leege and Janssen (2016) enriches the discussion by pointing out that runways are subject to adverse weather conditions like fog and torrential rain. These weather disturbances cause serious disruptions during constructions of runways and are also capable of presenting serious threats due to accidents, This makes risk management of runways a matter of serious concerns. The authorities of airports appoint firms which specialise in runway risk management (Baomar & Bentley, 2017). It can be inferred from this analysis that risk management firms are also important stakeholders as far as runway construction is concerned.
Sun, Wandelt and Linke (2015) defines primary stakeholders as the stakeholders who use the finished products. Thus, in this light it can be pointed out that the passengers who use the runway to board and get off flights are primary stakeholders. Carr et al.(2015) point out that the primary stakeholders are the sources of revenue. The passengers use the run service and pay for the tickets. It can be reiterated from the mention of Jose, Prasanna and Prakash (2018) that construction of runway are executed by specialised firms. They further mention that these firms use lean management to control the entire construction process. Jeeradist, Thawesaengskulthai, and Sangsuwan (2016) in their work mention that perception among passengers regarding safety and convenience play significant role in ensuring their satisfaction. It can reiterated that as per Carr et al.(2015), passenger are the primary stakeholders who determine the revenue generation of the airports. Thus, this analysis clearly shows that the engagement of primary stakeholders or passengers result in generation of revenue.
Gârleanu and Pedersen (2015) define asset management as the maintenance of the assets which are valuable to organisations. The asset management sector maintains both tangible assets and intangible assets. Love et al.(2014) in this respect point out that asset management plays a significant role in maintaining assets of airports like runways. The asset management sector in Australia is the largest of its kind in the Asia-Pacific region (austrade.gov.au, 2018). The market manages tangible assets like public properties like runways. The sector manages the intangible assets like information technology and goodwill. Epstein (2018) points out that asset management companies are important secondary stakeholders since they management the assets of the airports like parallel runways.
The actual parallel runway at the Sydney Airport presented immense stakeholder management challenges and engineering challenges before the Australian Government, the then owner. According to the records of Herbert, Betbeder Matibet and De Wilde (1996), the construction of the airport required claiming of a hundred and seventy hectares of the Botany Bay and dredging of a hundred and fifty million cubic of sand. A precast concrete wall protected the sand filling. The project continued for one hundred and thirty weeks and cost AUD 210 million. The project presented several challenges which made the government nominate the Bay of Botany in spite of the environmental threats it posed.
The Sydney Airport is the busiest airport in Australia as per the official website, the airport handled 43.3 million passengers in 2017 (sydneyairport.com.au 2018). It is evident from this figure the immense traffic pressure the runways of the airport are subjected. The Government of Australia felt the need of new runway to handle the immense pressure of traffic in the 1960s. The location of the airport close to the city of Sydney presented severe threats due to the pollutants the flights emit. Secondly, the deafening sounds of the flights also posed threats to the health of the city. According to Vose et al.(2016), society is one the most important stakeholders and construction of the airport near the city of Sydney evidently violated their interests. The authorities had to engineering to solve this probability of the damage to social health in this case. Herbert, Betbeder Matibet and De Wilde (1996) again point out that the airport authorities used engineering to deal with this challenge. They considered bulk filling technique or concrete deck supported on pile structural steel framework. The final decision led to opting for the first process to construction of the runway. The bulk filling method consisted of filling of colossal quantities of sand from the Bay of Botany. The planners also considered obtained reserves form blast furnace and coal wash for the purpose. Bakshi, Ziv and Lepech (2015) points out that analysis of the entire planning reveals an attempt of the airport management to integrate sustainability with modern engineering. The proposal of use of rubbish from quarries and blast furnaces can be viewed as the recycle and reuse of wastes. It can be pointed out that the airport authorities aimed to gain sustainability and showed immense degree of stakeholder engagement by deciding not to build the new runway to the city of Sydney.
The Brisbane Airport Corporation Pty Limited in its publication has mentioned the need of a new runway just like the Sydney Airport. The report highlighted the disruptions in flights which is being caused due limited runway facilities (sydneyairport.com.au, 2018). The deeper insight would reveal that this situation is resulting in customer grievance. This grievance can be interpreted as stakeholder resentment instead of stakeholder engagement. A deeper probe into the Brisbane runway delay showed a negative side of stakeholder engagement (couriermail.com.au 2018). The ministers have not collaborating with each other on the subject of the new Brisbane runway. This resulted in delay in approval for the runway.
It can be expected that the Sydney runway delay would have received a more sustainable solution had it taken place in the present era. It would be worth reiterating Herbert, Betbeder Matibet and De Wilde (1996) which mentions that the authorities conceived using alternatives like ash and rubbish from blast furnaces way back in the 1990s. This presented immense attempt of the airport authorities to gain sustainability. It is evident from the discussion that the airport authorities would have used modern and sustainable technology to make the runway.
It can be recommended to the Sydney Airport that it should use modern technology like the green engineering. This on hand would enable it to become environmentally sustainable and exhibit higher degree of social responsibility.
Conclusion:
It can be concluded that airports should aim to gain stakeholder engagement. The comparison between the two airports provides evidence for this. It clearly shows that Sydney runway was successful due to stakeholder support. The Brisbane airport authorities could not construct the runway due to pending government approval. Thus, it can be concluded that airport authorities should stress on getting stakeholder support to make their projects successful.
References:
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