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Case study

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Case study- Hazelton International
Data analysis
Construction projects require meticulous planning and system thinking to enhance successful project
implementation and development. System thinking enables project managers to divide construction
projects into manageable parts to enhance effective management and completion through a well
synchronized manner. In this case, Hazelton International, a consulting engineering company was
engaged in the road construction project in Tola Island in Asia. The company is tasked with designing,
construction, and supervision of the construction of the 245km highway along the Western coast of Tola
Island from Ladawan in the South to Maralinga in the North as part of the Soronga’s development plans
aimed at enhancing the communication and transportation sector. Hazelton International works
alongside the local government highway department as the advisor on design and engineering aspects,
as well as training the locals on the same. The Sorongan Highway Department (SHD), a government
department is tasked with the actual road construction.
However, based on the information provided, the project seems to be plagued with myriad of problems
that have derailed its progress. These problems include technical problems, differing objectives,
budgeting process, and intercultural relations. Hazelton International plans to send twenty two
expatriates that will include engineers, highway designers, operators, and mechanics. These expatriates
will come as advisors on technical aspects of the road construction and maintenance of equipment.
Also, the training will utilize formal classroom instructions and a counterparts’ system, where every
Sorongan engineer will be attached to an expatriate engineer. This strategy was to ensure that by the
time this company withdraws its staff after four years, the Sorongan engineers should be ready to take
over. The project’s deadline is five years, with Hazelton withdrawing at the end of the fourth year and
the will cost $3.26 million, the fifth largest project that this company has executed.
Moreover, based on the information provided in this case, there are various limits and constraints that
continue to derail the progress of this project as expected. For instance, Hazelton International was
tasked with the supervision role but lacks control over the local staff hired by the SHD because of the
force account. Because of the lack of control, the local employees who were tasked with the actual
construction hardly followed instructions, thus performing poorly in their roles. The inefficiency of this
local staff contributed significantly in derailing the project. This aspect explains why Hazelton
International has been working on this project for the last two years, but only 17 km out of the 245 km
are under the construction process. Furthermore, the SHD’s classified this project as a merely
betterment project that only required to be better than what was there before, thus compromising
workers’ work ethics.
Also, the fact that the company adopted on-job training method, training had to commence only when
the road construction starts. Moreover, the adopted budgeting process was also a hindrance to the
successful completition of this project. The government department conducted budgeting on yearly
basis instead of doing it for the project period, making it inflexible and susceptible to the volatile oil
prices. Furthermore, the Sorongan managers kept on reassigning job to other individuals randomly,
hampering counterpart training. Poor supervision at low operational and mechanical levels also made it
difficult to have a synchronized effort. Furthermore, weather also contributed to derailing this project as
workers’ productivity was low durcuturing rainy season. Religion was another factor that affected the
project, especially during the Ramadan holiday.
Part 2: Additional research instructions and questions for completing the Hazelton case
assignment
D. Hofstede’s insights for Indonesia
Figure: Hofstede’s insights for Indonesia
Source: https://www.hofstede-insights.com/country/indonesia/
The primary stakeholders that Anderson is working with include the SHD, the staff which includes Tola
people and Hazelton personnel, and the partners in the consortium. The interest of the people of Tola is
to have just a better road that can last for years. However, Anderson’s interest is to construct an
exemplary road that he can be proud of. In this respect, a conflict is likely to arise between Anderson
and the Tolanese people regarding the quality of their work. Anderson will demand workers to do their
work to perfection, a direction Tolanese employees are likely to rebuff, as perfection is not in their
culture. Furthermore, the SHD’s interest is to bring counterpart staff for training and then taking control
of the project. However, it continues to direct this project poorly, failing to give direction to the staff.
Furthermore, SHD’s manager hardly visits the construction site, which compromises the work ethics of
other local workers. Work ethics and synchronization of activities are some of the principles that
Anderson holds and which could heighten conflict between him and the SHD’s manager.
Based on Hofstede’s insights above, it shows that Indonesians are dependent on hierarchy and accepts
unequal rights between non-power holders and power holders. Power is centralized and leaders expect
total obedience from their team leaders. On the other hand, Anderson is an easy-going person who
operates in restrained suggestions instead of engaging in confrontational demands. Consequently, local
employees may hardly follow his instructions because he’s not firm and authoritative, thus creating
conflict between Anderson and counterpart staff. Concerning individualism, Indonesia has a score of 14,
meaning it is a collectivist society, where people conform to the societal ideals. This aspect means that
Indonesians work better in teams rather than as individuals. Coming from highly individualistic society,
Anderson may struggle to get high output from counterpart staff if he insists on assigning them roles as
individuals.
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