Innovation in Megaprojects: Systems Integration at London Heathrow Terminal 5

TLDR

Megaprojects, typically costing over $1 billion, involve complex production systems where many processes can be standardized and replicated to boost performance, with the systems integrator leading governance, risk management, and supplier coordination. The study investigates the design and production of Heathrow Airport Terminal 5. The research developed a systems integration model that identifies key project and operational processes for megaproject success and demonstrates that recombining and replicating processes can enhance performance.

Abstract

Megaprojects require investment of $1bn or more to build infrastructure, usually involving a complex system of production consisting of discrete, routine, and highvolume repetitive processes. Many of these processes can be progressively standardized and replicated to improve overall productive performance. This article presents the findings of research on design and production of London's Heathrow Airport Terminal 5 (T5). The findings were used to develop a conceptual framework—which we call the systems integration model—to identify the project and operational processes that contribute to success in delivering megaprojects. The systems integrator is the lead organization in a megaproject, responsible for establishing a governance structure, managing risk, and coordinating processes performed by a large network of external suppliers. Innovations based on the recombination and replication of processes can be introduced to improve megaproject performance.