HYPERLOOP ONE

Prepared by
Amrit Acharya
S295387

Submitted to
Sureshkumar Perinpanayagam

And
Asma Rehman Khan

Date: 22/03/2017

Charles Darwin University

Project Management Risk and Reliability

1
 Table of Contents

Introduction ……………………………………………………………… 3

Objectives…………………………………………………………………. 4

Stakeholders……………………………………………………………. 6

Financials…………………………………………………………………. 7

Risks………………………………………………………………………… 8

2
INTRODUCTION

Transportation is the movement of people, animals and goods from one location to another.
Modes of transport include air, rail, road and water. These modes of transport tend to be
either relatively slow (i.e., road and water), expensive (i.e., air), or a combination of relatively
slow and expensive (i.e., rail). Transport is important because it enables trade between
people, which is essential for the development of civilizations. Transportation plays a major
role in the economy. It increases the production efficiency and it links to the logistics system.
Vehicle should have some characteristics which are used for easy transport of goods and
services.

. We live in the age of science and technological innovation but also there is a greater gap in
the living standard of the people. Moreover the means of transportation we are using in not
only adding to the global warming , traffic congestion and urban sprawl but also summing up
for different kind of losses like natural habitat , agricultural land , human health and so on. If
we want to lift the standard of living through better transport options, while staying mindful
of our ecological footprint, we need dramatic improvements in transportation efficiency.
Hyperloop is a new mode of transport that seeks to change this paradigm by being both fast and
inexpensive for people and goods. So ‘Hyperloop One’ is must to control all these factors
and to add to the living standard of the people. It is a new way to move people and things at
airline speeds for the price of a bus ticket. It is safe and energy-efficient.

OBJECTIVES

Hyperloop One seeks to reinvent transportation efficiently and sustainably to eliminate barriers
of time and distance. It is a proposed mode of passenger and freight transportation that would
propel a pod-like vehicle through a near-vacuum tube at more than airline speed. Hyperloop
One’s main objectives is to figure out the relationship between cost and speed. The main aim
is to come up with useful, fast, cheap, reliable mass transportation to the billions who can’t
afford more than a bus, or who must travel faster than private jet. The objectives are discussed
below: -

 Zero Risk Mobility: Hyperloop one transportation system being one of the most
advanced technological innovation aims to focus on passenger safety by reducing the
number of infrastructure failures thus reducing the major losses of human resources.

Strength: With the advancement of science and technology there has been increasing
number of means of transportation. This significant increase in number has also
increased the risk associated with the various means of transportation. However the
hyperloop one technology emphasises on high safety because of its advanced
technology and considerations of various external and internal elements associated with
risk during its design.

Weakness: We often witness large-scale failures in transportation infrastructure.

Furthermore, nothing is crash proof so there is a possibility that the Hyperloop may

3
 break down, or any of its machinery may malfunction. There is no provision for
passengers to stand, move within capsule and use a restroom during the trip which is
certainly unpleasing regarding the level of comfort human wants.

Opportunity: Hyperloop one transportation system uses modern and developed means
of technology and infrastructure which makes travelling easier, cheaper, convenient and
most importantly faster saving time. This will be one of the great achievements in the
field of infrastructure if the hyperloop one transportation technology operates in near
future upgrading the life standard of the people. It also encourages technical manpower
for the development of other advanced modes of transportation.

Threat: Hyperloop one transportation system uses modern and advanced technological
innovations so highly skilled manpower is needed who is supposed to be well trained.
Furthermore it requires highly advance equipment which costs high. It requires large
amount of land and may also affect the natural scenario of an environment.

 Energy and Time Efficient: Hyperloop one transportation system uses the most
developed and advanced technology which makes it fastest and efficient means of ever
existing medium of movement of goods and people.

Strength: The use of most advanced scientific innovation and discovery has made it the
most effective means of transportation. Because of the use of renewable energy
resources, it is one of the most energy efficient transportation system. Moreover, it is
designed with such technology and equipment which helps to conserve the non-
renewable energy resources. It doesn’t add to the ongoing pollution and other
environmental hazards.

Weakness: This is one of the advanced transportation system. It uses the solar energy.
However, it is not in the practice and it is impossible to figure out what impact it will
have on the existing environment. It is also the fastest means of transportation and is
also uncertain how will people feel about its system while moving from one place to
another in such as small and fastest device.

Opportunity: It give rise to other energy efficient devices. All the middle class
passenger can experience the safest and fastest means of transportation in as low price
as the public vehicles and buses. It evolves a market of competition thus benefitting the
consumers.

Threat: It is one of the most advanced and developed transportation system. Because of
its speed its possess various threats to the human health. It will affect the other various
modes of transportation. It will make world very smaller and can give rise to various
terrorist attacks. It also needs a huge budget allocation for the successful completion of
this project.

4
 Emphasises on high safety

May be prone to failure due

to machinery malfunction

Zero Risk Mobility

Upgrading the life standard

of people

Highly skilled manpower and

high-tech machines

Objectives

Use of Renewable energy

resources.

Impacts on existing
environment

Time and Energy Efficient

Give rise to new technology

Needs huge budget

Fig: Objectives of Hyperloop One

STAKEHOLDERS

The hyperloop one team consists of best individual to accomplish this super technical
innovation and to achieve its desired objectives. Stakeholders consist of a person, group or
organization that has interest or concern in an organization. Stakeholders can affect or be
affected by the organization's actions, objectives and policies. It is categorized into three
divisions:

5
Primary Stakeholders – Internal stakeholders engaged in economic transactions with the
business (i.e., stockholders, customers, suppliers, creditors, and employees).

Secondary Stakeholders – External stakeholders not engaged in direct economic exchange

with the business but are pivotal to change the action of the business (i.e., the public,
communities, activist groups, business support groups, and the media).

Excluded Stakeholders – Disinterested public.

The 10 stakeholders are listed below:

1. Board of Directors
2. Sponsors
3. Advisors
4. Suppliers
5. Shareholders
6. Customers
7. Employees
8. Communities
9. Government
10. Competitors (i.e., existing transportation system)

Generally, a project comprises of different personnel Here the competitors and the
communities are the one who will face the negative impacts because of the amount of the
cultivable land used to develop the infrastructure. All the stakeholders are directly or
inversely proportional to the success of the projects. The positive impacts on the overall
scenario is the aid to financial conditions because of the development of markets, increase in
the tourism sector, attraction of different groups of people for the investment. All other
modes of transportation will face a fierce competition with the arrival of this advanced
transportation system. It will attract lots of passenger to save their time and money and
encourages many to have some experience as well.

6
 Board of Directors
Stakeholders 1.Sponsors
2.Advisors
3.Suppliers
4.Shareholders
5.Customers
6.Employees
7.Communities
8.Government
9.Competitors (i.e., existing transportation system)

fig: List of Stakeholders

FINANCIALS

The Hyperloop high-speed transport system estimated a route from Los Angeles to the Bay
Area in 2013 which was estimated to cost about $6 billion. According to Forbes official
website, Hyperloop One which is attempting to make Musk’s idea a reality is estimating the
potential cost to be somewhere between $9 billion and $13 billion or $84 million to $121
million per mile. The route between Abu Dhabi and Dubai, which the company recently
announced ahead of a new $50 million round of funding, would cost $4.8 billion, or $52
million a mile. This huge deviation in the financial estimation is due to various aspects of
budget allocation which vary in accordance of time, place and much more. The main factors
are the land acquisition costs, tunnelling costs, number of stations and length along the route.
The allocation of budget is made on various aspects such as pre-feasibility study, feasibility
study, marketing strategy and most importantly a huge analysis is made on passenger
forecasting.

RISKS

Risks are unplanned events that have significant effects in a business. The Management team
must deal with various kinds of risks in day to day operation such as the threat of new
competitors, customer satisfaction, political ups-and-down and ever changing economic
condition. Tangible risks can be easy to quantified in terms of benefits and costs relating to
money. Intangible risks are difficult to quantify in terms of benefit and cost requiring more
subjective analysis.

7
Some of the tangible risk associated with hyperloop one transportation system is listed below:
 The project and product management risks such as unavailability of personnel, delay in
schedule and budget shortfall hampers the project. It can be managed through cash and
cost control measures.
 Inadequate training, lack of skilled manpower and lack of responsibility leads to the
failure of project. So, it is must to provide essential training and orientation for all the
human resources involved in the project.
 Environmental risk relating to the wastage of cultivable land and degradation in the
quality and quantity of the flora and fauna thus affecting the ecological balance.
 The rising price of raw materials, technology and other equipment affects the profit of
the project. So, certain allocation on the budget should be made by analysing the market
scenario affecting the price and purchase of the product.
 Because of the development of various kinds of globally accepted software’s there is
possibility of the leakage of the confidential information, design, records etc. which
hamper the operation of project.
Some of the intangible risk associated with hyperloop one transportation system is listed below:
 The unstable politics and government policies along with the ever-changing rules and
regulations affects the smooth operation of the project. Therefore, it is necessary to
amend the plans and policies with such changes.
 The globalization has introduced advanced technology and equipment in the field of
infrastructure development. Hyperloop One is the most advanced innovation in the
field science and technology. So, it is must to change itself constantly with the
emergence of more advanced technology and equipment.
 This is the age of competition so in order to cope with this competition it is must to
integrate new technologies such as social media and enterprise resource planning in
the business processes to avoid being rendered obsolete by the competitors.
 As the transportation becomes cheaper, easier and faster it gives rise to terrorist attack
and leads to the domestic war.
 Effects of different kinds of natural hazards in the development of the infrastructure.

Risk management includes identification of potential risks and implementation of measures

to minimize their impact. Risks should be prioritized according to their probability of
occurrence and severity of impact. Risk mitigation strategies should be made to minimize
their impacts.

8
References:

Hyperloop One. 2016. Hyperloop One. [ONLINE] Available at: https://hyperloop-one.com

[Accessed 20 March 2017].

A Summary of Tangible & Intangible Risks | eHow. 2016. A Summary of Tangible &
Intangible Risks | eHow. [ONLINE] Available at: http://www.ehow.com/info_7996114_summary-
tangible-intangible-risks.html. [Accessed 20 March 2017]

Allwork.Space. [ONLINE] Available at https://allwork.space/2015/07/a-public-transport-

overhaul-could-revolutionise-the-business-centre-industry. [Accessed 20 March 2017]
Forbes. [ONLINE] Available at https://www.forbes.com/. [Accessed 20 March 2017]
CNCBC [ONLINE] Available http://www.cnbc.com/id/100956997. [Accessed 20 March 2017]