PARTNERING – THE ACCOUNTING SOFTWARE INSTALLATION PROJECT

CASE STUDY

CRANEFIELD COLLEGE OF PROJECT AND PROGRAMME

MANAGEMENT

INDIVIDUAL ASSIGNMENT

MODULE M1

Project Management: Leading, Creating, Implementing and

Improving

Please include the following declaration:

“I/We hereby declare that this assignment is entirely my/our work and that it
has not previously been submitted to any Higher Education Institution. I/We
also declare that all published and unpublished sources have been fully
acknowledged and properly referenced. This includes figures, tables, and
exhibits. Where modified by me/us, this has also been indicated.”

Name and Surname ID Number Signature % Contribution

Neville van Staden 830122 5219 082 100

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PARTNERING – THE ACCOUNTING SOFTWARE INSTALLATION PROJECT
CASE STUDY

B. TABLE OF CONTENTS

A. COVER PAGE
B. TABLE OF CONTENTS
C. EXECUTIVE SUMMARY
D. PARTNERING – THE ACCOUNTING SOFTWARE INSTALLATION
PROJECT – CASE STUDY
E. BIBLIOGRAPHY

C. EXECUTIVE SUMMARY

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CASE STUDY

This document discusses the case study of a software installation project, which
originally started on a positive note, but in the short period of six months was in
danger of failure. The project manager, Ms Karin Chung, was responsible for
installing accounting software throughout the company and decided to use a
partnering approach between six contractors and the different company divisions to
complete the project. Associated project costs, return on investment, and risk
assessment. The certain step requirements for the project to be successful and the
methodology used for tracking progress. Industry 4.0 is based on the horizontal and
vertical integration of production systems driven by real-time data interchange and
flexible manufacturing to enable customised production. The Fourth Industrial
Revolution will lead to full automation and digitalization processes, and the use of
electronics and information technologies (IT) in manufacturing and services in a
private environment. This submission identifies the various challenges portrayed
in the case study. It presents an evaluation of these challenges and seeks to
identify the causes that led to the challenges.

The illustration through several problems identified in this report such as a lack
of project prioritisation, no clear and appropriate balance of power between
project- and functional managers, inefficient utilisation of resources, lack of
personal development and knowledge growth programme and a display of
dysfunctional behavior by individuals.

The primary causes of the above-stated problems were a lack of leadership

and no formal system to facilitate effective project integration. The main
purpose of the workshop was to improve team building amongst the different
divisions with its task groups and the contractors. Two months after the start of the
project the first of several problems occurred that should have been a major concern
to Karin as the project manager. There also seems to be a lack of team culture in
the organisation and a limited understanding of the operating guidelines by
which the organisation should operate the Matrix-type Organisation.

Identified problems in the case study.

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 Programme Management
 Project Management Leadership Skills
 Programme Behaviour
 Project Team Interaction.
 Project Management Office

Projects big and small can feel overwhelming at first glance and for Karin Chung that
was then cased when he was appointed as the Manager for the large corporate
accounting software project. The impression of just leaping in and learning how to
swim is how projects drown in lost time and costs. As an experienced project
manager knows, everything must first be planned before putting it into action.

 One of the Big Five consulting companies assisted in the development of a work
breakdown structure (WBS). This a way to organise the work into smaller, more
manageable pieces. According to the Project Management Body of Knowledge
(PMBOK), WBS is a “deliverable oriented hierarchical decomposition of the work
to be executed by the team.”

What that means is the WBS is a graphic representation of every task in the project.
At the top is the final product with a line that goes down the page to a box that
represents the larger tasks that lead to that completed projects. Each box is attached
to lines that go under it to smaller tasks. This is visually defining the scope of the
project into smaller parts that can be worked on by the project team. As the levels go
further down on the WBS, there is more definition and detail. This provides a sort of
task map for the project.

The whole team who identifies the major deliverables and then subdivides them into
smaller and smaller sub-deliverables creates the WBS. This process continues until
the team reaches a point where the task can be accomplished, who will get that
assignment.

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A WBS defines and organises a project, but it can also be used to breakdown more
than just tasks. Budgets can be calculated based on the breakdown schedule and
even risks when a branch is not well defined.

Figure 1: Work Breakdown Structure

 A Gantt chart is another visual project management technique, but this one has
even more applications for a project manager. Making a Gantt chart is a
technique, but it can be combined with a Gantt chart tool to make that technique
much easier to execute.

When you import a WBS into a project, it creates a visual timeline across the life
cycle of your project, with start and end dates. You add the start and end dates,
which creates an individual timeline for each task. The time it takes to complete each

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task over the length of the project period will be seen. This can assist in better
scheduling of the project.

WBS also can be used to break down project activities such as a project manager
that can evaluate the risk involved easily and would be able to assign resources to
the project with ease.

Gantt charts can help with more than planning and scheduling tasks over one or
multiple projects. You can also plan and schedule entire projects, plan in sprints and
milestones, scheduling teams’ work, and compare planned versus actual timelines in
your project.

Karin Chung should consider using network diagrams when planning their projects
since they are involved in multiple projects. With the network diagram, you would be
able to see the complex interdependencies of activities of projects, to avoid
overcoming on resource allocation.

 The CPM (critical path method) calculates the start and finish dates of the
activities, their float, and the critical path.
CPM is a cornerstone of project management techniques. CPM requires that you
construct a project model that includes a list of all tasks or a WBS, the duration to
complete each of those tasks, what dependencies if any link the tasks and the
endpoints, such as milestones and deliverables, for the project.

With this information, you can calculate the longest path from the planned tasks to
their completion, including the earliest and latest time these tasks can start and finish
without affecting the project schedule. Now you know what tasks are critical to the
project and can be delay without lengthening the project timeline.

Therefore, as a project management technique, CPM is a sequence of tasks that

add up to the longest overall duration, whether there is float (whether free float,
which is a dependent task or total float, with is the overall project) or not. With this
information, you can figure out the shortest time needed to complete the
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project.CPM is an algorithm used to help with decision-making. By taking in specific

data (start time, duration, finish time), it determines which activities are most
important or critical for the project’s success.

CPM could assist the project manager in proper planning, especially on activities,
which form part of the critical path and have materials with long lead-time. When
submitting the project programme for approval by the client or client’s representative
they are more interested in seeing the critical path of the project because when the
project falls behind, the client checks if the delays were caused by activities on the
critical path. If not the client, will be reluctant to approve the extension of time, as the
delays on none critical activities and will not be extending the duration of the project.

In terms of dealing with contingencies, which are always around the corner in any
project, CPM has something called fast tracking. This is a process of running
multiple tasks on the critical path in parallel. What this does is reduce the overall
project time. This only works if the task is not dependent. Nevertheless, it does
require further resources and can influence quality.

Leadership Skills

Karin Chung’s leadership skills were poor as demonstrated by the handling of

situations left unaddressed in the workshop. The management and company
procurement plan was not effective, as a result, the company was suffering from
high, this was due to the fact there were lesser turkeys that were sold and some
were dying because of bird flu and the procurement plan was not actively re-
evaluating the impact of disease and backlash from the customer so that they can
adjust the amount of feed that they need to procure to suit the current conditions.

The leadership was not investing in continuous development and collaborating with a
virtual network of partners so that they can improve in innovation and product
development, as a result, they were bound to decline in sales, as there was no
campaign regarding healthy foods.

Programme management

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Programme Management is a technique that allows organisations to run multiple,

related projects concurrently to obtain significant benefits from them as a group.

Programme management is a way to control project management, which traditionally

has focussed on technical delivery. A group of related projects not managed as a
programme is likely to run off course and fail to achieve the desired outcome.
Programme management concentrates on delivering some or all of the following:

 New capabilities, products and services.

 Business plan.

 Strategic objectives.

 Change.

 Other initiatives.

Programme management is a technique concerned with controlling a group of

related projects carried out to achieve a defined business goal, objective or benefit. If
we take one of Robert Buttrick's definitions that some projects 'are simply too large
to manage as a single entity,' then we necessarily need to split them up into smaller
manageable projects.

If the whole is too large for a single project manager to handle, then it follows that
several project managers are required to run the smaller projects. So smaller
projects with multiple project managers all designed to achieve a single long-term
goal, objective or benefit for the organisation are what we require.

To control this group and have an overall view, we require a programme manager.
The programme manager is not concerned with the day-to-day running of individual
projects; this is the responsibility of the project managers. The programme manager
needs to ensure that all projects are running on target and that each will achieve its
overall contribution to the programme as a whole. The activities undertaken during
programme management are:

 Setting the baseline.

 Agreeing roles and responsibilities.

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 Programme planning.
 Project prioritisation.
 Stakeholder communication.
 Progress reporting.
 Managing benefits.
 Quality management.
 Risk management.
 Issue management.
 Programme closure.

The Framework

As identified, programme management is a way to control project management. A

group of related projects not managed as a programme is likely to run off course and
fail to achieve the desired outcome. There are eight important areas in the
programme management framework:

 Vision.
 Aims and objectives.
 Scope.
 Design.
 Approach.
 Resource management.
 Responsibilities.
 Benefits realisation.

A brief look at each area in turn.

 Vision is the high-level strategy or idea to drive the organisation towards a goal,
benefit or other desired outcome. The vision will usually be a brief statement of

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CASE STUDY

intent communicated down from the leadership. The vision must have high-level
sponsorship and commitment for it to be successful.
 The aims and objectives is a more detailed statement that explains exactly what
is required. This provides a point of reference to go back to when the renewed
focus is required.
 The scope gives boundaries to the programme explaining what exactly what will
be delivered. The scope should leave no room for doubt and everyone should be
clear about what is and is not being delivered.
 Design is how the projects that make up the programme are put together. In a
process the programme manager considers which projects have dependencies
on others, therefore which should come first, can run concurrently, and those that
come last.
 The approach is the way the programme will be run. It is dependent on many
factors and it is left to the skill of the programme manager to decide the most
effective way. The approach should include a communication plan and as a
minimum, and commit to regular progress reporting to stakeholders.
 Resource management looks at the scheduling and allocation of resources. Short
term and longer-term views should be taken. For the projects that will start
straight away, it is important to identify resources and obtain line manager
commitment early on. For later projects, required resource levels should be
identified, but line manager commitment is not necessarily needed at this stage.
 Responsibilities identify and allocate responsibility for each area of the
programme. Every member of the programme must clearly understand his or her
roles and the roles of the other team members. It is the task of the programme
manager to ensure that this is communicated and understood.
 Benefits realisation is the process at the end of the programme by which the
benefits identified at the beginning of the programme and measured. It is the
responsibility of the programme manager to demonstrate to the steering
committee or leadership that the desired benefits have been realised. Often this
will mean that the programme manager will continue to monitor a programme
long after the individual projects are complete to ensure that the benefits are
realised at a business level.

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Figure 2: Programme Management Framework

This framework will provide:

 A focus on delivering major organisational change or benefits.

 Greater control through visibility of all projects in the programme.

 An understanding of project dependencies.

 Clearly defined roles and responsibilities.

 A single line of communication to the steering committee or sponsor.

 Optimised use of resources across projects.

 Ability to leverage economies of scale and maximise value.

 Management of risk across related projects.

 Mechanisms for measuring benefit realisation.

Within this framework, there are four stages.

The Four Stages

1. Programme identification.

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2. Programme planning.
3. Programme delivery.
4. Programme closure.
These stages take the programme from initiation, based on strategy and a desire for
change, right through to the final realisation of a defined business objective or
benefit.

Figure 3: Programme Management Stage Mapping.

Stage 1: Programme Identification

This is a high-level process where the strategy and direction of the organisation are
decided. It is from this that the programmes required to realise these strategies are
determined. A document for each programme is produced outlining the business
case, alignment to strategy, scope and the expected business objective or benefits.
All benefits should be graded following their importance. I suggest three grades A, B
and C. A's are those benefits that are of the highest value, often it is 20% of the
programme that delivers 80% of the benefits. The B's those benefits that are seen as
important, but not essential. The C's are those benefits that if not realised will not
prevent the programme from being declared a success. This grading is used by the

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programme manager to assess the degree of success achieved at the end of the
programme.

Stage 2: Programme Planning

The planning stage is where the design of the programme takes place. The
programme manager in establishing the programme will:

 Define clear objectives.

 Agree with an approach.
 Agree on roles and responsibilities with the team.
 Set-up communication channels.
 Agree on priorities of the projects that make up the programme.
 Complete project planning.

It is important at this stage to identify adequate levels of resource for the early
projects and identify the requirements for later projects.

Stage 3: Programme Delivery

At this stage, the individual project managers run the identified projects. The
programme manager's responsibility at this stage is to monitor progress, assess
risks and report progress to the steering committee or leadership. The programme
manager has a view across all projects and must ensure that the programme stays
aligned with the overall objectives and strategy of the organisation.

Stage 4: Programme Closure

Like projects, programmes have a finite life and are closed once they achieve their
defined business objective or benefit. Before the programme is closed, the
programme manager must demonstrate to the steering committee or leadership that
the desired benefits have been realised, often called 'benefits realisation'. These
benefits are those that were identified in the first stage, programme identification. As
these have been graded it is easy to quantify success, for example, 100% of 'A'
graded benefits delivered. As a final task, the programme manager should review

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the entire programme and document any lessons that have been learned that will
enable future programmes to be run more effectively.

4.0 IR leadership and management in a program management context.

Often the difference between the projects that succeeds and the projects that fail is
the leadership of the project manager. Project leadership provides direction and
motivation for the team members to follow. Project leadership is particularly
important when a project encounters problems when change is required, or where
there is uncertainty about the objectives and the means to achieve them. This is
when self-directed cross-functional teams adopt an agile/ adaptive style of
leadership, which enables the project team to feel its way forward and progressively
bring structure to an uncertain environment. With their unpredictable nature, projects
need leaders who can adapt to different
Each project team is a group of individuals who needs motivation and coordination.
Planning is vital, but the ability to adapt to changes and work with people to
overcome challenges is just as necessary. A project manager must master the skills
that are necessary to be successful in this environment. The unique and temporary
nature of projects creates a work environment that mandates a different
management approach from that used by an operations manager. Project leadership
is a relatively new field of study, and thus relatively under-investigated. Sotiriou and
Wittmer (2001) stated that even though general leadership has been a focus of
investigation for more than one hundred years, relatively little empirical research has
focused on project leadership. Managers of modern-day complex organisations need
to strive constantly and creatively to achieve greater integration through programme
management principles, structures, and paradigms.

Traditionally, the project manager has been trained in skills such as developing and
managing the project scope, estimating, scheduling, decision making, and team
building. Project Leadership is one of the special project management techniques
within the Role of the Project Manager that enables the project manager to lead and
manage the project team and other participants.

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Although the level of skills needed by the project manager depends largely on the
complexity of the project, the people skills of the project manager are increasingly
more important. The skills to build a high-performing team, manage client
expectations, and develop a clear vision of project success are the type of skills
needed by project managers on more complex projects.

While project leadership is a topic of growing interest, there are challenges to its
investigation. One of those is captured by Slevin and Pinto (1991), whom themselves
asserted that successful project management requires effective leadership.
However, they stated that the fact that it is a topic that is simultaneously well known
and little known to complicate its study. A second challenge in the study of project
leadership is the wide range of meanings ascribed to the concept by different
authors. In his paper titled Technical Project Leadership, Thite (1999a) stated that for
his study, he used the term technical leadership to reference the leadership that is
provided to technical and scientific staff. Other authors considered project leadership
to mean something different, such as a skill for effective project management; others
thought it involved such elements as interpersonal relationships and facilitation
(Gemmill & Wilemon, 1994; Kezsbom, 1988, 1994). Still, others used the terms
project leadership and project leader interchangeably with the terms project
management and project manager (Puccinelli, 1999; Sense, 2003).

Albert Einsiedel discussed leader-sensitive projects and defined five characteristics

of an effective project leader. These characteristics were chosen based on some
assumptions about projects. These characteristics include the project environment,
which is often a matrix organisation that results in role ambiguity, role conflict, and
role erosion. The project environment is often a fluid environment where decisions
made with little information. In this environment, the five characteristics of an
effective project leader include the following:

 Credibility – the project manager is coming into an established organization and

must have a reputation or presence of credibility to receive the respect and
support of the client and team.
 Creativity as a problem solver – projects are never “business as usual”.

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 Tolerance for ambiguity – a project manager can often be unfamiliar with the kind
of work the client does and needs to be able to adapt and move the project
forward, even if not all aspects of the company are understood perfectly.
 Flexible management style – a project manager is constantly dealing with new
people and environments and must adjust accordingly. They do not have the
luxury of an established rapport with their project associates.
 Effective communicating – because of the ambiguous nature of projects, good
communication skills are crucial in understanding what is expected by the client
and being able to convey that vision to the project team.

 Empower and delegate key duties to others while maintaining goal clarity and
commitment.

Most frequently, the purpose of a team is to complete a task, so the project manager
needs to maintain focus on the achievement of the objectives. The leadership
responsibilities are:

 To ensure that the aims and vision of the team, its purpose, and direction are
identified and agreed upon.
 To facilitate the acquisition of resources needed by the team to achieve the task.
 To ensure that the team's plan identifies appropriate strategies, build-methods,
and tactics with clearly defined deliverables, measures of success, budgets,
deadlines, and time scales.
 To ensure that accountabilities, objectives, and measures are established and
agreed for all team members and that work is delegated.
 To ensure those quality standards, effective reporting, monitoring, and control
structures for the task are established.

Because project management is different from operations (organisational)

management, people who are trained in project management handle projects best.
Project Management Office is ineffective, as the structure does not seem to
have a programme manager who is managing all the project managers and
assisting the project managers in resource allocations. Clements and Gido

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(2012:409) highlight the importance of a Project Management Office (PMO)

concerning providing overall direction and support. The fact that project
managers determine the importance or prioritise their projects or customers
above others shows that the PMO at Karin Chung is ineffective. There are no
guidelines from the PMO about how resources are assigned to projects as well
as a lack of service level agreements between project and line functions within
the company. The organisation seems like they do not have a programme
manager or if they do he is not visible the problem with this is that no one is
accountable for the project manager’s decision. The above definition of the
Programme Office proves that Karin Chung’s office is ineffective. The PMO
ineffectiveness of the PMO results in Communication not being filtered down
because of the workload of employees. There is no ability to collect and hand
over vital lessons learned from one initiative to the next.

There are no continuity and maintenance standards. There are too many
projects running and they cannot keep up even though staff compliment has
grown.

This expertise can be obtained by hiring an outside consulting firm that specialises in
project management or by developing an in-house group. Project management
offices (PMOs) have emerged within organisations to facilitate the development of
organisational knowledge, skills, and tools to internally charter and manage projects.
Scheduling in project management is the listing of activities, deliverables, and
milestones within a project. A schedule also usually includes the planned start and
finish date, duration, and resources assigned to each activity.

Effective project scheduling is a critical component of successful time management.

 Project Schedule Management

 Project Procurement Management
 Project Resource Management
 Conflict Management
 Managing Project Teams

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If an experienced project manager had been appointed, with a Project Office to

provide the proper support the accounting software installation project could have
been a true success. If proper project management had been applied, the following
would have been achieved:

 Potential problems and risks would have been identified; Project performance
would have been on schedule if project progress were monitored regularly.
 Communication levels and channels would have been in place and effective
communication could have taken place if communication channels were in place.
Effective communication establishes credibility and builds trust.

 Teamwork would have been in place if effective relational management took

place. Internal and external customer satisfaction would have been a reality.
Leadership According to Harold Kerzner, project managers are responsible for
the coordinating and integrating of activities and to do it, they need to have strong
communications and interpersonal skills. Project Managers need to have certain
personal characteristics to be good leaders.
 Characteristics include: Identify potential problems, an expert in relational
management, goal-oriented and to be an effective communicator.
 Not one of these leadership skills from Karin Chung is visible in this case. Below
some of the core, competencies that any project manager should have to be a
successful project manager.
 Visible leadership: Get team members to work together and take action. Requires
the tenacity to see actions through to the end and see the results.
 Flexibility: The ability to adapt and to deal with situations and management of
expectations during change is critical to his/her co-workers especially the
stakeholders.
 Sound business judgement: Need to know the business purpose of the project
and make decisions in the context.
 Trustworthiness: Companies are betting their future on project managers and
should present a low risk because of a soundtrack record.

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 Communication styles; Project managers must get others to act and influence
them to get action. Project managers need to be able to recognise a person’s
communication style and adapt accordingly.
 Coach and mentor: The project manager must build trust for the team and
stakeholders to seek coaching and feedback.
 Active listening skills: Need to read body language, and by listening well they
achieve a better understanding of team members and others. Constructive
project management negotiations: Need to know when to say yes or no. Being
able to create win-win situations.
 Issue and conflict resolution: Conflict resolution models to be followed and have
to learn to cope with the resolution and handle stress.
 Organisational and leadership skills: Must be able to identify the project
stakeholders and create linkage amongst them to gain respect. •Project
management processes also include planning, estimating, scheduling, tracking,
controlling, measuring, and re-engineering. •Project definition: Any destination
requires a plan as to how to get there.
 Project managers need to be able to define the project business objective, goals,
deliverables, assumptions and constraints. It enables the stakeholders to
understand and agree upon the goals required, responsibilities, assumptions, and
the success thereof before the works commences.
 Planning process: The project manager must be able to bring the right resources
to project, and one common mistake is that they go through the lifecycle process
once at the beginning of the project and needs to understand that it is constantly
required during the project lifecycle.

CONCLUSION

To implement The Accounting Software Installation Project successfully Karin Chung

must be replaced as a project manager with an experienced project manager that
has all the desired personal characteristics a project manager must-have.

Not one of the desired characteristics a project manager needs to have to be

successful was visible in this case with Karin. It is also recommended that a Project

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Office be started with and program manager in charge to support the new project
manager. A Project Office will help to integrate the project activities, do effective
control and reporting plan on project progress, improve in house and external
communications with the contractors and help with the scheduling of a project risk
management plan or uncertainty that will result in risk monitoring and control.

E. BIBLIOGRAPHY

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8115

https://pm4id.org/chapter/1-3-key-skills-of-the-project-manager/

Cowie, G. (2003). The importance of people skills for project managers.  Industrial
and Commercial Training, 35(6), 256 – 258.

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Albert A. Einsiedel, “Profile of Effective Project Managers,” Project Management

Journal 18 (1987): 5.

Hans J. Thamhain, “Developing Project Management Skills,” Project Management

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Project Management Institute, Inc., A Guide to the Project Management Body of

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Kolberg, D.; Zühlke, D. Lean Automation enabled by Industry 4.0 Technologies.

IFAC-Papers Online 2015, 48, 1870–1875.

https://www.inloox.com/project-management-glossary/work-breakdown-structure/

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