Faculty of engineering

Student Name :OSAMAGBE OSAGIEMWANGBON

Students number: 239373173

Module Code Cetm10

Module title: commercial and contractual management of projects

Title of assignment: TUM HYPERLOOP COMPANY AND ITS CONNECTION TO

ELON MUSK’S HYPERLOOP CONCEPT

Module leader: Ian Ridley

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Table of Content

1. Introduction and Background…………………………………………………………….1

1. Strengths………………………………………………………………………………...…1
i. Technological Advancements and Innovations………………………………………......2
ia. Vacuum Tube Technology………………………………………………………..…2
iib. Passenger Module Design…………………………………………………………….2
Iiic. Urban Integration…………………………………………………………………….2

2. Weaknesses…………………………………………………………………………...3

i. Resource Constraints………………………………………………………………....3
ii. Regulatory Uncertainty……………………………………………………………....3
iii. Technical Complexity…………………………………………………………….….4

3. Opportunities…………………………………………………………………………4

i. Hyperloop Demonstrator Completion…………………………………………………….4

ii. Collaborative Partnerships………………………………………………………………..4
iii. Technological Advancements……………………………………………………………4
iv. Regulatory Collaboration…………………………………………………………………5
v. Global Expansion………………………………………………………………………….5

4. Threats……………………………………………………………………………..…5

i. Infrastructure and Cost………………………………………………………………..…..5

ii. Safety and Regulation…………………………………………………………………....5
iii. Public Perception………………………………………………………………….…5

5. Application within Organizational Systems………………………………………………6

i. Boost Stakeholder Engagement………………………………………………………...…6

ii. Expand Your Funding Options…………………………………………………………...6
iii. Optimize Communication Strategy……………………………………………………...6
iv. Put an emphasis on technological innovation…………………………………………...6
v. Proactive Regulatory Engagement……………………………………………………..…6

Part B

2a. Rich Picture of TUM Hyperloop………………………………………………….….7

Assumptions

Rich Picture: TUM Hyperloop Stakeholder Relationships…………………………………..8

2
Description……………………………………………………………………………………..8

2b. Workshop Planning…………………………………………………………………….9

References

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 TUM HYPERLOOP COMPANY AND ITS CONNECTION TO ELON MUSK’S
HYPERLOOP CONCEPT

Part 1

1. Introduction and Background

The goal of the research and development project TUM Hyperloop is to transform transportation.
The company's goal is to create an environment in which time and space are unimportant. The
group is dedicated to pushing limits, setting records, and developing long-term solutions. Elon
Musk's ambitious Hyperloop concept, which was first put forth in 2013, is currently being
developed and implemented by the TUM Hyperloop Company, an initiative spearheaded by
TUM students working together (Barbosa, 2020). The goal of this student-led project is to bring
Elon Musk's vision of high-speed transportation—passenger pods moving at amazing speeds
through low-pressure tubes—to life. Based on the data accessible through the supplied links,
Elon Musk's idea is the basis for TUM Hyperloop, which presents a creative and instructive use
of the Hyperloop technology (Kharpal, 2023). The links provided define the company's goals and
objectives, which center on expanding the Hyperloop idea through experimentation and real-
world implementation. The goal of TUM Hyperloop is to construct a working prototype of a
hyperloop that highlights technological and engineering advances. The principal aim is to
construct a Hyperloop pod capable of reaching elevated velocities inside the tube; current data
indicates that a prototype with a length of around 24 meters is being considered (Kharpal,
2023).The aims go beyond simple technological accomplishment; they also include educational
goals and the promotion of professional and student participation. In order to support students'
academic and professional growth, TUM Hyperloop aims to give them an opportunity to obtain
practical experience with cutting-edge technology and innovative transportation (TUM
Hyperloop, 2023). This educational component supports the larger objectives of fostering STEM
(science, technology, engineering, and mathematics) education and developing the next wave of
engineers and innovators. To sum up, TUM Hyperloop Company is closely associated with Elon
Musk's Hyperloop concept, representing a student-led endeavor that seeks to realize Musk's idea
(Elon Musk, 2015). The company's main focuses are on developing a working prototype,
improving participant education, and keeping up with technology advancements. In order to
assess TUM Hyperloop's internal strengths and weaknesses as well as external opportunities and
threats, this research will employ a SWOT analysis. The organization's strategic position and
possible areas for improvement will be clarified by this examination.

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Part 1a

1. Strengths
i. Technological Advancements and Innovations
According to CNBC's most recent information, TUM Hyperloop is actively developing Elon
Musk's Hyperloop technology, demonstrating continuous attempts to turn the idea into a
workable prototype (Kharpal, 2023). The hyperloop technology market is expanding and
innovating at a rapid pace, exhibiting a number of significant trends:

The market for hyperloop technology, currently estimated to be worth USD 1.08 billion, is
expected to grow to USD 7.68 billion by 2028, a stunning CAGR of more than 40.45%. The
technology's promise of environmentally friendly, fast transportation with lower noise and
pollution is responsible for this expansion (MarketResearch.com, 2021). Globally, governments,
investors, and engineering corporations are all very interested in the Hyperloop. It is thought to
be a viable, climate-neutral substitute for air travel as well as a way to lessen urban
transportation congestion.

ia. Vacuum Tube Technology

Vacuum tube propulsion is a major component of TUM Hyperloop and is in line with the core
ideas of the Hyperloop concept. By reducing air resistance inside the tube, this strategic goal
eventually seeks to reach near-supersonic speeds. This strategy depends on ongoing
improvements in tube design, breakthroughs in materials, and the use of strong safety procedures
(Felez and Vaquero-Serrano, 2023). It is important to conduct a critical analysis of TUM
Hyperloop's advancements in these domains to comprehend the viability and efficiency of
vacuum tube technology in accomplishing the lofty velocity targets established by the Hyperloop
concept (Barbosa, 2020).

iib. Passenger Module Design

An important technical achievement for TUM Hyperloop is the creation of passenger modules
that prioritize a safe and enjoyable travel experience while still adhering to strict safety
regulations. This design is innovative in more ways than one, including in important areas like
aerodynamics, structural integrity, and passenger safety (Felez and Vaquero-Serrano, 2023). The
intricacies of these developments should be thoroughly examined, with an eye toward assessing
their efficacy and possible influence on the general viability and adoption of the Hyperloop
concept (Hyperloop, 2023). It is critical to address comfort and safety issues if high-speed
transportation systems are to be successfully used.

Iiic. Urban Integration

The way that TUM Hyperloop conceptualized Hyperloop hubs that smoothly blended with the
current metropolitan infrastructure demonstrates their forward-thinking approach. Beyond the
Hyperloop's technical features, this vision highlights advancements in station design,
accessibility, and intermodal connectivity (Hyperloop, 2023). Determining the viability of
deploying Hyperloop hubs in intricate urban environments requires a careful evaluation of TUM
Hyperloop's advancements in urban integration. Evaluating the viability of the company's
concept requires a close look at how well it handles issues with accessibility, urban planning, and

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integration with current transportation networks. In conclusion, TUM Hyperloop's emphasis on
urban integration, passenger module design, and vacuum tube technology highlights important
areas of innovation (Hyperloop , 2020). The usefulness and viability of these advances in
implementing the fundamental ideas of the Hyperloop concept should be evaluated in-depth
critically, taking into account both practical and technological factors.

2. Weaknesses
There are several obstacles that TUM Hyperloop must overcome; these obstacles are also seen as
the company's shortcomings. These shortcomings and difficulties result from three primary
factors:

i. Resource Constraints

- Financial Resources: Innovative transportation technology development calls for large

financial outlays. It is essential to secure funds for the phases of research, prototyping, and
testing. TUM Hyperloop needs to effectively handle the challenges of fundraising,
budgeting, and financial resource management (Leibowicz, 2018).

- Material Resources: Obtaining the materials, including specific technologies and

components, required to build a Hyperloop system is a major difficulty (Kassebi and
Siegfried, 2022). Procuring and handling commodities, particularly those designed for fast
transit, necessitate strategic planning and supplier cooperation.

- Human Resources: The success of TUM Hyperloop depends on a talented and committed
workforce. It is crucial to hire and retain specialists in a variety of disciplines, such as
safety procedures and aircraft engineering (Nikitas et al., 2017). Due to talent competition
and the interdisciplinary character of the project, human resource constraints may occur,
necessitating effective team management and communication.

ii. Regulatory Uncertainty: The creation of a cutting-edge transportation system like

the Hyperloop presents special regulatory difficulties. This uncertainty has multiple
dimensions:

- Safety Certifications: Securing safety approvals for an innovative transportation

technology requires venturing into regulatory unexplored area. To create safety standards,
carry out stringent testing, and fulfill certification requirements, TUM Hyperloop must
collaborate closely with regulatory bodies (Mitropoulos et al., 2021). This involves resolving
any potential conflicts that may arise between new ideas and well-established safety
procedures.

- Legal Compliance: It is a complex task to ensure legal conformity with current

transportation laws and regulations. Legal frameworks must be modified to take into
account the special features of Hyperloop travel, which may need constant communication
with regulatory agencies and the potential to propose policy modifications (Mateu, Martínez
Fernández and Insa Franco, 2021).

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- Operational Approvals: Obtaining operational authorization to test and implement the
Hyperloop system presents a challenging regulatory environment. Managing public safety
issues, navigating bureaucratic procedures, and collaborating with transportation
authorities are important facets that call for thoughtful deliberation and proactive
involvement (Kassebi and Siegfried, 2022).

iii. Technical Complexity:

The creation of a working Hyperloop presents complex technical challenges:

- Extreme Speed Management: Complex engineering solutions are required to control the
extremely high speeds anticipated for Hyperloop transit. To provide a safe and effective
high-speed voyage, TUM Hyperloop must overcome problems relating to propulsion
systems, levitation technologies, and aerodynamics (Lim et al., 2020).

- Passenger Safety: It is crucial to guarantee passenger safety inside the Hyperloop system.
In order to reduce the risks connected with high-speed transit, TUM Hyperloop needs to
solve issues with emergency protocols, structural integrity, and fail-safe devices (Nowacki,
2019).

- Vacuum Tube Stability: A key component of Hyperloop technology, vacuum tube

stability, adds a level of technical complexity. Innovative engineering solutions are needed
to address problems such tube design, pressure differentials, and environmental concerns
(Nikitas et al., 2017).

3. Opportunities

i. Hyperloop Demonstrator Completion: An important step forward is being made by TUM

Hyperloop as they continue to create Europe's first passenger-sized Hyperloop demonstration.
After it is finished, the demonstration might function as a display of the program's capabilities
and possibly draw in further funding, alliances, and cooperative opportunities (Sawant, 2018).
TUM Hyperloop's standing in the hyperloop industry would be greatly enhanced by the
successful demonstration of a working prototype.

ii. Collaborative Partnerships: The potential for future expansion may depend on TUM
Hyperloop's capacity to form and strengthen cooperative alliances. In addition to offering helpful
resources, interacting with government agencies, academic institutions, and business leaders can
promote creativity and quicken the program's advancement. Establishing a network of tactical
partnerships might establish TUM Hyperloop as a major participant in the Hyperloop ecosystem.

iii. Technological Advancements: Maintaining a leading position in technical developments

requires sustained investment in research and development. TUM Hyperloop ought to
concentrate on improving and enhancing its technology, handling technological difficulties, and

7
maybe investigating ideas that boost the effectiveness and security of the Hyperloop system.
Sustained expansion will depend on integrating cutting-edge technologies and learnings from
prototype testing (TUM Hyperloop, 2023).

iv. Regulatory Collaboration: It will be crucial to navigate regulatory frameworks as the

Hyperloop landscape changes. For the TUM Hyperloop to succeed in the future, proactive
cooperation with regulatory bodies may be necessary to guarantee adherence to safety
regulations and seamless operational clearances (transport.ec.europa.eu, 2023). Overcoming
deployment barriers will require continuing the conversation and keeping up with regulatory
developments.

v. Global Expansion: Given the widespread interest in hyperloop technology, TUM Hyperloop
may look into ways to grow internationally (TUM Hyperloop, 2023). Working together on
international projects, competing internationally, and being involved with Hyperloop initiatives
throughout the world could provide to opportunities for development and knowledge sharing.

The successful completion of the demonstration, cooperative alliances, technical breakthroughs,

regulatory cooperation, and possible worldwide extension are all critical to TUM Hyperloop's
future developments and growth possibilities. Strategic resource mobilization, proactive
regulatory engagement, ongoing technical innovation, efficient public relations, and a flexible
approach to adapt to the changing Hyperloop scene are necessary to overcome the existing
obstacles (van Goeverden et al., 2018).

4. Threats

The following threats are now facing the company:

i. Infrastructure and Cost: For TUM Hyperloop, the audacious plan to build a complete
Hyperloop network presents formidable financial and infrastructure hurdles. One major obstacle
is the amount of money needed to develop the necessary infrastructure, which includes stations,
tubes, and appropriate property (van Goeverden et al., 2018). A thorough and critical analysis
ought to examine TUM Hyperloop's approaches to surmounting financial obstacles and
safeguarding the necessary infrastructure. Understanding the long-term sustainability of the
project requires assessing both the approach's viability and the prospective economic viability of
a large-scale Hyperloop network.

ii. Safety and Regulation: Crucial components of the Hyperloop's deployment include
guaranteeing passenger safety, creating efficient emergency procedures, and abiding by legal
requirements. The success of TUM Hyperloop depends on advancements in effective risk
mitigation measures and fail-safe procedures (Visser, 2018). A thorough evaluation ought to
examine the particulars of their emergency response plans, safety procedures, and adherence to

8
current laws. In order to ensure alignment with new industry standards, the evaluation should
also take into account how well their safety measures respond to changing regulatory
environments.

iii. Public Perception: The way the general public and policymakers view the Hyperloop is
a crucial aspect that can impact the project's outcome. TUM Hyperloop continues to face the
difficulty of persuading stakeholders of the safety, dependability, and environmental advantages
of the Hyperloop. The company's outreach programs, communication strategies, and measures to
build confidence and dispel doubt should all be thoroughly reviewed critically. Creating a
favorable impression of the Hyperloop concept requires evaluating how their messaging matches
the real project advancements and resolving any possible public or policymaker concerns. To
sum up, a thorough critical evaluation of TUM Hyperloop needs to take into account the issues
with infrastructure and cost, safety and legal requirements, and public opinion (YAVUZ and
ÖZTÜRK, 2021). Assessing the organization's approaches, inventions, and outreach in these
domains will yield significant understanding of the project's general viability as well as its
likelihood of being accepted by society and succeeding (Lim et al., 2020).

5. Application within Organizational Systems

This SWOT analysis can help TUM Hyperloop make strategic decisions.

i. Boost Stakeholder Engagement: Promote information sharing, cooperative research projects,

and strategic alliances to improve cooperation with industry partners. Engage in active
communication with government agencies to keep up to date on regulatory changes and to help
shape standards in the ever changing Hyperloop environment(Mitropoulos et al., 2021).

ii. Expand Your Funding Options: Look into alternative funding sources including
crowdsourcing, private investments, and sponsorships in addition to government assistance.
Formulate a viable financial plan that minimizes resource limitations and guarantees the long-
term sustainability of the project.

iii. Optimize Communication Strategy: Make the strategy more transparent and efficacious.
Give more thorough and regular updates on collaborations, technology developments, and
project accomplishments. Employ diverse communication methods to expand your audience and
cultivate a favorable public image (Kassebi and Siegfried, 2022).

iv. Put an emphasis on technological innovation: Increase research and development spending
to solve technical issues and improve the effectiveness of Hyperloop technology. Work together
with research groups, industry professionals, and academic institutions to take use of a variety of
specialized knowledge to overcome engineering challenges (Lim et al., 2020).

v. Proactive Regulatory Engagement: Work with regulatory bodies in a proactive manner to

resolve any ambiguities and help create uniform, transparent rules pertaining to Hyperloop

9
technology. Throughout the development phase, assign a dedicated team to keep an eye on any
changes to the regulations and guarantee compliance.

By putting these suggestions into practice, TUM Hyperloop can become more sustainable and
successful overall. TUM Hyperloop can effectively manage hurdles and establish itself as a
prominent player in the Hyperloop business by tackling financial resilience, community
relations, technological innovation, and innovation in communication, regulatory engagement,
and stakeholder involvement.

Part B

2a. Rich Picture of TUM Hyperloop

Designing a 'Rich Picture' entails putting the intricate web of stakeholder ties in the TUM
Hyperloop Project on paper while taking connectivity and potential conflicts into account. As a
conceptual representation, this diagram might not fully convey all the subtleties. Based on
stakeholder interactions and the general dynamics of Hyperloop projects, assumptions are
established.

Assumptions

1. Client/Service Provider: The Bavarian State Government (financing) and prospective

investors or governmental organizations interested in Hyperloop technology combine to form the
client/service provider, TUM Hyperloop.

2. Supplier/Manufacturer: Organizations that supply components, technologies, and materials

for the creation of the Hyperloop demonstration are known as suppliers and manufacturers.
Assumption comprises collaborations with several business participants (Kharpal, 2023).

3. Construction: The actual process of constructing the Hyperloop's stations, vacuum tube, and
associated facilities is known as construction. The creation of the passenger-size demonstration
is another aspect of it (van Goeverden et al., 2018).

4. Public: The public consists of residents, local communities, and prospective travelers. The
public's opinion and support are essential to the project's success and acceptance.

5. Regulatory Authorities: This category consists of the governmental organizations in charge

of monitoring and controlling transportation networks. They are essential to compliance, safety
certifications, and approvals.

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 Rich Picture: TUM Hyperloop Stakeholder Relationships

Construction Phase
Client/Service
Provider Public Engagement
Relationship

Client/Service TUM Hyperloop Regulatory

Provider core Compliance
Relationship

Interconnectivity
Feedback Loops
Arrows

Description

1. TUM Hyperloop Core: The focal point of the project is TUM Hyperloop. TUM Hyperloop
maintains complex connections with a range of parties.

2. Client/Service Provider Relationship: The Bavarian State Government and TUM Hyperloop
have a client-service provider relationship, which suggests financial support. Project updates,
discussions, and matching project objectives with customer expectations are all part of this
dynamic.

3. Client/Service Provider Relationship: TUM Hyperloop works with a network of

manufacturers and suppliers to get technology, materials, and components. This entails constant
contact, quality control, and possible disputes about delivery schedules or technological
integration (Nikitas et al., 2017).

11
4. Construction Phase: Interactions with builders, engineers, and contractors are a part of
construction activities. Differing opinions may be expressed about budgetary restrictions,
unanticipated technical difficulties, or construction delays.

5. Public Engagement: TUM Hyperloop uses outreach initiatives, safety demonstrations, and
communication tactics to engage the general public. The public's opinion and support are crucial,
and if there is a lack of clarity or comprehension, then disputes could occur.

6. Regulatory Compliance: To manage the complicated regulatory environment, TUM

Hyperloop interacts with regulatory bodies. This entails constant communication, safety
evaluations, and possible conflicts with regard to legal requirements for compliance.

7. Interconnectivity Arrows: Arrows show how many stakeholders are interconnected. For
instance, public opinion can affect regulatory decisions, and public confidence and project
approval depend on regulatory compliance.

8. Feedback Loops: Feedback loops show how TUM Hyperloop and its many stakeholders are
always exchanging information. This input is essential for modifying tactics, resolving issues,
and guaranteeing compliance with regulations.

Key Points:

- If there are issues with regulatory permits, construction delays, or budget overruns, conflicts
may occur.

- Safety demonstrations, instructional programs, and communication tactics all impact public
image.

- Interconnectivity emphasizes the need for a comprehensive strategy that takes into account how
decisions may affect different stakeholders.

This 'Rich Picture' offers a visual depiction of the intricate relationships between the various
stakeholders in the TUM Hyperloop Project, taking interconnectedness and possible conflicts
into account. It is a tool for comprehending dynamics and providing direction for making
strategic decisions.

2b. Workshop Planning

Exploring Open Innovation Networks for the TUM Hyperloop Project

Objective:

- Examine how to use open innovation networks more effectively to further the TUM Hyperloop
Project.

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Duration:

- 180 minutes

Workshop Structure:

1. First Statements (15 minutes):

- Welcome and Goals: - Give a quick welcome to everyone and lay out the goals of the session.

- Clearly state the objective: investigating open innovation networks to improve TUM
Hyperloop Project collaboration.

- Icebreaker Activity: - To foster a lively and participatory environment, hold a quick

icebreaker.

- Invite attendees to provide one fascinating thing about themselves, along with their names
and roles.

- Overview of the Agenda: - Give a rundown of the workshop's main topics of discussion and
scheduled activities.

- Establish standards for engaged engagement and cooperative ideation.

2. Having a 45-minute understanding of open innovation networks

A succinct introduction to the idea of open innovation networks is given in this lecture.

- Showcase prosperous cases from various sectors to stimulate original thought.

- Interactive Session: - Lead a question-and-answer period to resolve any preliminary issues.

- Invite people to share their perspectives on open innovation and its possible advantages in a
cooperative debate.

- Case Studies: - Provide pertinent case studies that demonstrate how open innovation networks
have been successfully implemented in initiatives of a comparable nature.

Talk about the important takeaways and lessons discovered.

3. 60-minute breakout sessions:

- Create varied, tiny teams by dividing the participants into them.

13
 Make sure that different project responsibilities and backgrounds are represented.

- Open Innovation Brainstorming: Lead a structured brainstorming session with each team to
find possible topics for the TUM Hyperloop Project's open innovation networks.

- Promote the creation of ideas through the use of collaborative tools.

- Solution Mapping: - Groups map possible solutions after presenting their thoughts.

Promote the exchange of ideas amongst teams.

4. Thirty minutes for group discussion and refinement:

Group Sharing: Every team presents its main conclusions and suggested fixes.

- Promote helpful criticism and conversation.

- Lead a Facilitated Discussion: - Conduct a Facilitated Discussion to examine recurring

themes, obstacles, and connections amongst the solutions put forth.

Determine possible areas for improvement and convergence.

5. 30 minutes for action planning:

Prioritization: - Together, rank the ideas that have the greatest potential for success.

Employ a methodical strategy, such consensus-building or voting.

- Concrete Actions: - Create a plan for carrying out the chosen open innovation techniques.

Establish deadlines and delegate tasks.

6. Summary and Next Actions (20 minutes):

- Synopsis: - Highlight significant discoveries and conclusions from the workshop.

Stress that the conversation is a collaborative one.

- Gather participant input regarding the format, subject matter, and overall experience of the
workshop.

- Make improvements to next workshops based on input.

14
 - Next Steps: - Give details about what comes next, such as putting the ideas that are ranked in
order of priority into action.

- Promote continued cooperation through follow-up meetings or digital platforms.

Additional Remarks:

- To keep the atmosphere inclusive and focused, I’d make sure that active moderation is
maintained throughout the session.

- I’d utilize internet tools for virtual people to collaborate.

- Write important points of debate on an electronic whiteboard for instantaneous visualization.

- Take into account participants' varied backgrounds and areas of expertise for an all-
encompassing opportunity exploration.

The objective of this workshop plan is to promote teamwork, brainstorming, and practical results
for incorporating open innovation networks into the TUM Hyperloop Project.

15
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