Risk Management in Construction Projects

Academic Research International, 2018

The study was carried out in order to obtain a comprehensive conceptualization on risk and the consequences it has in the fields of construction and the required management operation. Along with the utilities and techniques adopted to control risk in the construction industry, the effect of risk on the project assessment is also discussed. The aspiration of the topic of research is to be able to enquire into the productive method of implementing risk management in construction industry, to be able to respect the various types of managing techniques manipulated to reduce risk, to define the utility of implementation of the risk management, to resolve the components that affect the execution of risk management in the life cycle of projects. The following study discloses the research which focuses on distinguishing the practices of risk management and construction projects in the Arab region.

Construction projects are complex in nature and thus entail multiple threats and uncertainties that can adversely affect the project. The industry has witnessed many studies focused on a similar idea that identified the types of risk and the risk management method to handle these risks. Aim of this paper, to gather reviews on Risk and Risk management. So, the literature analysis of the referred articles emphasized the value of risk management in building projects to infer the relevant risks. Some of the authors have already suggested fundamental aspects, including contractual accountability, regular risk assessments, updated risk strategies and joint risk management. These filtered recommendations for productive outcomes from the study of the data must be taken into account and integrated into risk management procedures.

The Study investigated to acquire an overall idea about risk and its consequences in construction field and the process required for its management. The effect of risk on assessment of a project is discussed along with the tools and methods adopted to manage risk in construction industry. The objective of the research topic " Risk Management in Construction Industry " is to explore the effective way for implementation of risk management in construction industry, to consider the different types of risk management techniques applied to alleviate risk, to identify the use of implementation of the risk management, to determine the factors that can influence the applications of risk management in the project life cycle, wherein to categorize the principles adopted in Risk Management. I have conducted a survey on the following aspects of it, a) Identify, characterize, and assess threats involved in the construction industry b) Assess the vulnerability of critical assets to specific threats. c) Determine the risk (i.e. the expected consequences of specific types of attacks on specific assets). d) identifies ways to reduce those risks. e) Prioritize risk reduction measures based on a strategy.

2010

Construction industry is highly risk prone, with complex and dynamic project environments creating an atmosphere of high uncertainty and risk. The industry is vulnerable to various technical, sociopolitical and business risks. The track record to cope with these risks has not been very good in construction industry. As a result, the people working in the industry bear various failures, such as, failure of abiding by quality and operational requirements, cost overruns and uncertain delays in project completion. In light of this, it can be said that an effective systems of risk assessment and management for construction industry remains a challenging task for the industry practitioners. The aim of the this research is to identify and evaluate current risks and uncertainties in the construction industry through extensive literature survey and aims to make a basis for future studies for development of a risk management framework to be adopted by prospective investors, developers and contractors in Pakistan.

Technium: Romanian Journal of Applied Sciences and Technology

This study illustrates the risk assessment and analysis which was made as a requirement in the beginning of the project of a stadium.Risks at project are classified into ten items so that it is easy to manage and monitor them. Simple model is adopted in assessing risks such that it is easy to be understood and modified in contrast with the complex models that produce misleading. Sharing, mitigation and accepting risk are strategies adopted in the final assessment. In the case of sharing risks, it is shown that contracting strategy must be based on risk allocation. Inplanning for risk, purpose must be clear as well as responsibilities and this can be shown precisely in a form of Risk Plan. The objective that this study serves is to identify the cost needed for the whole project from the stage of design to the finishing works.This includes all facilities in the stadium like the concrete frames, buildings and so. The study was very important to provide information to the contractor (a...

2020

Risk management is an integral part of project management on all construction projects based on knowledge areas of PMBOK. Risk analysis is process of risk which is used to quantify and analyze risks and give the mitigation strategies for each risk. This research was conducted to identify, analyze risks and provide mitigation measures associated with Residential Projects in Bangalore. In this study, risk and its impact were identified and analyzed based on quality, safety and procurement of materials using the questionnaire survey. The impact of project risk was analyzed using qualitative risk analysis like probability of occurrence and impact of each risk based on quality, safety and procurement was found out. Separate risk heat mapping was also created and finally a risk register with risk mitigation measures was provided for impact of risk related to quality, safety, and procurement. Thus, risk management is the best tool for organization to minimize the losses and maximize the be...

Risk assessment is a series of processes consisting of risk analysis, assessment of magnitude of risk, judgment on whether the risk is acceptable or unacceptable, and making and assessing risk control options, to attain this goal. Risk assessment will play an important role when the part relate to the risk within decisions made by an organization is to be rationally implemented. Managing these processes can be quite a challenge for the management. Risk management includes identifying risks, assessing risks either quantitatively or qualitatively, choosing the appropriate method for handling risks, and then monitoring and documenting risks. This study identifies the procedures for risk identification, management and its perception from the Indian construction industry. Time and cost management need to be fully integrated with the identification process. The aim of this study is to advise for a method of risk mitigation which includes a well-documented procedure which serves as a one stop-solution to all the risks that would emanate in the future. We conducted a survey research by applying a questionnaire among in the construction industry. The risk identification techniques more frequently applied in construction are checklist, flowchart, Brain storming, Delphi method, Anova hypothesis etc.

International Journal of Project Management, 1997

The paper describes, on the basis of a questionnaire survey of general contractors and project management practices, the construction industry's perception of risk associated with its activities and the extent to which the industry uses risk analysis and management techniques. It concludes that risk management is essential to construction activities in minimizing losses and enhancing profitability. Construction risk is generally perceived as events that influence project objectives of cost, time and quality. Risk analysis and management in construction depend mainly on intuition, judgement and experience. Formal risk analysis and management techniques are rarely used due to a lack of knowledge and to doubts on the suitability of these techniques for construction industry activities.