Human Resource Management B1. Take the above reported Royal Adelaide Hospital project as an example, how will you build

your project management team? Discuss and explain your conclusions.

10 marks

Risk Management

B3. With regard to the Royal Adelaide Hospital project, identify 5 risks, discuss the nature of these risks in terms of the possible duration, people who are responsible for managing the risks, and the strategies and methods for managing the risks.

10 marks

The $2.4 billion Royal Adelaide Hospital has undergone a refurbishment just eight months after its grand opening, with a new "discharge lounge to operate from today as officials desperately seek to ease chronic overcrowding ahead of the winter flu surge. But paramedics warned the "quick and dirty" solution to the hospital's design flaw, which involved no retrofitting, was a short-term fix. The lounge will add an extra $300,000 a year to the hospital's operating costs. As part of a public-private partnership, taxpayers will fork out $1 million a day in repayments until 2046 for the facility, once ranked third on the world's most expensive buildings list. Phil Palmer, state secretary of the Ambulance Employees Association, said the union was "sceptical of the RAH's intentions. They told us it is for 'fit to sit patients, not ambulance patients," Mr Palmer said. "If so, it is not a real solution and the inefficiencies will be ongoing. I fear they (RAH) are going for a quick and dirty solution. The lounge is on Level 6 of the hospital, rather than the foyer, has capacity for only 12 patients, is open Monday to Friday from 7.30am to 6.30pm, and closes on public holidays. A government spokesman said the lounge was "an interim option while plans for future options to improve patient flow are being assessed". Nurses union chief Elizabeth Dabars said the lounge was better than leaving patients unattended on trolleys in corridors. Mr Palmer pointed to a properly staffed discharge lounge in the foyer of the Royal Melbourne Hospital, with a dedicated pharmacist, clinical assistants, registered and enrolled nurses, seating for relatives, and facilities to administer intravenous medications. The areas are typically located in hospital foyers for patients to wait on the day they are discharged to help prevent bottlenecks elsewhere in the hospital by freeing up beds. As revealed by The Australian, unions lobbied health bureaucrats for more than two years for a discharge lounge to be included in the hospital's design, but were rebuffed. Central Adelaide Local Health Network chief executive Jenny Richter last week told The Australian there was insufficient clinical evidence to support a discharge lounge when the hospital was initially designed. Yesterday, she said SA Health had worked closely with staff and unions since the hospital opened to determine how a discharge lounge ... would best support the needs of our patients. Ambulance officers lobbied health bureaucrats and the former Labor government for more than two years for a "discharge lounge to be included in the design of the new Royal Adelaide Hospital before it opened, but were rebuffed, unions say. Phil Palmer, state secretary of the Ambulance Employees Association, yesterday told The Australian that health unions had been trying to convince SA Health and the former state government of the need for a discharge lounge or transit ward before the new hospital opened in September. We lobbied for these discharge or transit wards for years.... but didn't get any traction until the new Liberal government started listening to us," Mr Palmer said. It is so bleeding obvious because it has been proven around Australia and the world to increase hospital efficiency and improve patient flow." As revealed by The Australian yesterday, South Australia's new flagship hospital will be redesigned just eight months after opening in a bid to ease chronic overcrowding and inefficient patient flows that have seen nurses triaging patients in the back of queued ambulances in the carpark. Yesterday, the auditor-general, in a report to parliament, established the final cost of the new RAH once ranked third on the world's most expensive buildings list to be $2.44 billion because of project delays and extra costs for "transition, modifications and contamination remediation. SA Health was in the process of consulting staff and unions prior to establishing a discharge lounge at the RAH. "There is no documentation indicating why a discharge lounge was not included in the original plans," an SA Health spokeswoman said. She did not directly address questions about correspondence with unions. Mr Palmer said unions had written to the department and former health ministers for years once they found out the design of the new hospital did not include a discharge lounge. "The former Labor government just did not listen they didn't listen to doctors, they didn't listen to us," he said. We were told there would be a new model of care direct admission in which patients would just go seamlessly and directly to the wards. But that hasn't happened. Nurses will vote on industrial action if the problems are not resolved by May 16. Australian Nursing and Midwifery Federation chief executive Elizabeth Dabars yesterday said a discharge lounge would not work in isolation A review into the management of a public-private partnership for the $2.4 billion Royal Adelaide Hospital has found several unresolved disputes between the project consortium and the South Australian government, and a lack of controls to manage financial transactions. A report tabled in parliament yesterday by Auditor-General Andrew Richardson into the new hospital's operating-term arrangements revealed a financial mess under a 35-year PPP project agreement brokered by the former Labor government. The Auditor-General's Department has been reviewing the hospital project in phases, with the latest report probing SA Healths arrangements and controls to manage an agreement between project consortium Celsus and the state during a 29-year operating term. Under the PPP, Celsus financed most of the facility from design to construction, and provides a range of management services, while the government was responsible for some works including clinical equipment and provides clinical services. The government is paying $1 million a day for the consortium to manage the hospital. In May, the Auditor-General established the final cost of the new RAH - once ranked third on the world's most expensive buildings list - to be $2.44bn because of project delays and extra costs for "transition, modifications and contamination remediation. Health Minister Stephen Wade said the latest report by the state's financial watchdog into the hospital, which opened 18 months late and $640 million over budget, had revealed yet another financial mess that the Marshall Liberal government has inherited from Labor. The Marshall government last week appointed corporate advisory and restructuring group KordaMentha to lead the first stage of a turnaround plan to find more than $270m in savings over the next three years in the Central Adelaide Local Health Network, the agency responsible for the new RAH. The latest Auditor-General's report found controls exercised by SA Health were not sufficient to provide reasonable assurance that ... the financial transactions were being managed properly". The Health Department and CALHN needed to improve their procedures, practices and internal controls. There were "gaps in the governance and contract management controls, including a lack of detailed reporting for key committees and activities; monitoring of contractual obligations; risk- management documentation and reporting; reliable performance reporting; audit and quality assurance monitoring processes; and resolution of abatement issues. "We consider the control issues we identified as fundamental to good governance, monitoring and oversight ... over the 29-year operating term," the report said. "While some progress has been made to address the matters affecting the operations of the new RAH, the abatement disputes and other matters remain unresolved." The $2.4 billion Royal Adelaide Hospital has undergone a refurbishment just eight months after its grand opening, with a new "discharge lounge to operate from today as officials desperately seek to ease chronic overcrowding ahead of the winter flu surge. But paramedics warned the "quick and dirty" solution to the hospital's design flaw, which involved no retrofitting, was a short-term fix. The lounge will add an extra $300,000 a year to the hospital's operating costs. As part of a public-private partnership, taxpayers will fork out $1 million a day in repayments until 2046 for the facility, once ranked third on the world's most expensive buildings list. Phil Palmer, state secretary of the Ambulance Employees Association, said the union was "sceptical of the RAH's intentions. They told us it is for 'fit to sit patients, not ambulance patients," Mr Palmer said. "If so, it is not a real solution and the inefficiencies will be ongoing. I fear they (RAH) are going for a quick and dirty solution. The lounge is on Level 6 of the hospital, rather than the foyer, has capacity for only 12 patients, is open Monday to Friday from 7.30am to 6.30pm, and closes on public holidays. A government spokesman said the lounge was "an interim option while plans for future options to improve patient flow are being assessed". Nurses union chief Elizabeth Dabars said the lounge was better than leaving patients unattended on trolleys in corridors. Mr Palmer pointed to a properly staffed discharge lounge in the foyer of the Royal Melbourne Hospital, with a dedicated pharmacist, clinical assistants, registered and enrolled nurses, seating for relatives, and facilities to administer intravenous medications. The areas are typically located in hospital foyers for patients to wait on the day they are discharged to help prevent bottlenecks elsewhere in the hospital by freeing up beds. As revealed by The Australian, unions lobbied health bureaucrats for more than two years for a discharge lounge to be included in the hospital's design, but were rebuffed. Central Adelaide Local Health Network chief executive Jenny Richter last week told The Australian there was insufficient clinical evidence to support a discharge lounge when the hospital was initially designed. Yesterday, she said SA Health had worked closely with staff and unions since the hospital opened to determine how a discharge lounge ... would best support the needs of our patients. Ambulance officers lobbied health bureaucrats and the former Labor government for more than two years for a "discharge lounge to be included in the design of the new Royal Adelaide Hospital before it opened, but were rebuffed, unions say. Phil Palmer, state secretary of the Ambulance Employees Association, yesterday told The Australian that health unions had been trying to convince SA Health and the former state government of the need for a discharge lounge or transit ward before the new hospital opened in September. We lobbied for these discharge or transit wards for years.... but didn't get any traction until the new Liberal government started listening to us," Mr Palmer said. It is so bleeding obvious because it has been proven around Australia and the world to increase hospital efficiency and improve patient flow." As revealed by The Australian yesterday, South Australia's new flagship hospital will be redesigned just eight months after opening in a bid to ease chronic overcrowding and inefficient patient flows that have seen nurses triaging patients in the back of queued ambulances in the carpark. Yesterday, the auditor-general, in a report to parliament, established the final cost of the new RAH once ranked third on the world's most expensive buildings list to be $2.44 billion because of project delays and extra costs for "transition, modifications and contamination remediation. SA Health was in the process of consulting staff and unions prior to establishing a discharge lounge at the RAH. "There is no documentation indicating why a discharge lounge was not included in the original plans," an SA Health spokeswoman said. She did not directly address questions about correspondence with unions. Mr Palmer said unions had written to the department and former health ministers for years once they found out the design of the new hospital did not include a discharge lounge. "The former Labor government just did not listen they didn't listen to doctors, they didn't listen to us," he said. We were told there would be a new model of care direct admission in which patients would just go seamlessly and directly to the wards. But that hasn't happened. Nurses will vote on industrial action if the problems are not resolved by May 16. Australian Nursing and Midwifery Federation chief executive Elizabeth Dabars yesterday said a discharge lounge would not work in isolation A review into the management of a public-private partnership for the $2.4 billion Royal Adelaide Hospital has found several unresolved disputes between the project consortium and the South Australian government, and a lack of controls to manage financial transactions. A report tabled in parliament yesterday by Auditor-General Andrew Richardson into the new hospital's operating-term arrangements revealed a financial mess under a 35-year PPP project agreement brokered by the former Labor government. The Auditor-General's Department has been reviewing the hospital project in phases, with the latest report probing SA Healths arrangements and controls to manage an agreement between project consortium Celsus and the state during a 29-year operating term. Under the PPP, Celsus financed most of the facility from design to construction, and provides a range of management services, while the government was responsible for some works including clinical equipment and provides clinical services. The government is paying $1 million a day for the consortium to manage the hospital. In May, the Auditor-General established the final cost of the new RAH - once ranked third on the world's most expensive buildings list - to be $2.44bn because of project delays and extra costs for "transition, modifications and contamination remediation. Health Minister Stephen Wade said the latest report by the state's financial watchdog into the hospital, which opened 18 months late and $640 million over budget, had revealed yet another financial mess that the Marshall Liberal government has inherited from Labor. The Marshall government last week appointed corporate advisory and restructuring group KordaMentha to lead the first stage of a turnaround plan to find more than $270m in savings over the next three years in the Central Adelaide Local Health Network, the agency responsible for the new RAH. The latest Auditor-General's report found controls exercised by SA Health were not sufficient to provide reasonable assurance that ... the financial transactions were being managed properly". The Health Department and CALHN needed to improve their procedures, practices and internal controls. There were "gaps in the governance and contract management controls, including a lack of detailed reporting for key committees and activities; monitoring of contractual obligations; risk- management documentation and reporting; reliable performance reporting; audit and quality assurance monitoring processes; and resolution of abatement issues. "We consider the control issues we identified as fundamental to good governance, monitoring and oversight ... over the 29-year operating term," the report said. "While some progress has been made to address the matters affecting the operations of the new RAH, the abatement disputes and other matters remain unresolved