Measuring project risk management process for construction contractors with statement indicators linked to numerical scores

2010 ◽  
Vol 17 (4) ◽  
pp. 336-351 ◽  
Author(s):  
Grant Kululanga ◽  
Witness Kuotcha
Keyword(s):  
Risk Management ◽  
Construction Industry ◽  
Management Practices ◽  
Project Risk Management ◽  
Management Process ◽  
Project Risk ◽  
Content Type ◽  
Management Processes ◽  
Risk Management Process ◽  
Sub Saharan

PurposeThere is relatively low implementation of formal project risk management methods in practice, leading to the construction industry consistently suffering from poor project performance. This study aims to ascertain the extent to which current project risk management practices are used by construction contractors in one of the countries of the sub‐Saharan region – Malawi.Design/methodology/approachA management process tool with statement indicators linked to numerical scores was conceived that characterised a series of steps of project risk management process. To ascertain the degree to which project risk management processes were used, a questionnaire survey was employed. Data were elicited from registered Malawian construction contractors on the elements underlining a series of steps of project risk management process as espoused by the literature. Out of 84 sampled construction contractors, 51 completed questionnaires were received.FindingsApart from large‐sized and more experienced construction contractors, all the small and medium‐sized construction contractors – which constitute the largest proportion of the construction industry – were characterised by a low implementation of the various required steps for the project risk management process. The application of project risk management processes was significantly influenced by the various categories of size and experience of the surveyed construction contractors at p<0.01. Furthermore, contingence planning within the series of steps of project risk management process featured highly among the surveyed construction contractors. The majority of the variables under the series of steps of project risk management process were positively and significantly linked to progression in size and experience of construction contractors at p<0.01.Research limitations/implicationsThe study forms the basis for further research; replication of this study to other parts of world about how the actual implementation of the series of steps of project risk management process is undertaken could yield rich lessons for the construction industry.Practical implicationsThe intentional move by industry towards measuring management processes as a precursor to uncovering the root causes that underlie project success or failure to provide quick feedback for remedial action is supported by an approach such as this.Originality/valueThe originality of this paper lies in its uniqueness for a systematic approach to quantifying the project risk management processes with the view to understanding the implementation behaviours of construction contractors in one country in the sub‐Saharan region.

Customisable framework for project risk management

2017 ◽  
Vol 17 (1) ◽  
pp. 68-89 ◽  
Author(s):  
Jennifer Firmenich
Keyword(s):  
Risk Management ◽  
Management Practices ◽  
New Institutional Economics ◽  
Future Research ◽  
Project Risk Management ◽  
Management Process ◽  
Project Risk ◽  
Content Type ◽  
Risk Management Process ◽  
Management Concepts

Purpose The purpose of this paper is to emphasise on the need for efficient and effective project risk management practices and to support project managers in increasing the cost certainty of projects by proposing a new framework for project risk management. Design/methodology/approach The author adopts a “constructivist” methodology, drawing on practices common in construction management sciences and new institutional economics. Findings The author presents a holistic and customisable project risk management framework that is grounded in both practice and academia. The framework is holistic because, amongst others, all steps of the typical risk management process are addressed. The framework is customisable, because it allows for alternative ways of implementing the project risk management steps depending on the project-specific circumstances. Research limitations/implications The framework does not address the potential unwillingness of the project players to set up a project risk management process, at all. The proposed framework has not yet been tested empirically. Future research will seek to validate the framework. Originality/value The framework is designed to account for the difficult circumstances of a complex construction project. It is intended to support decision makers in customising a practical yet comprehensive project risk management concept to the characteristics of the unique project. Although many other project risk management concepts are designed based on the assumption that actors are perfectly rational and informed, this framework’s design is based on the opposite assumption. The framework is dynamic and should adapt over time.

The Rational Choice of Not Applying Project Risk Management in Information Technology Projects

2009 ◽  
Vol 40 (3) ◽  
pp. 72-81 ◽  
Author(s):  
Elmar Kutsch ◽  
Mark Hall
Keyword(s):  
Information Technology ◽  
Risk Management ◽  
Project Management ◽  
Project Managers ◽  
Project Risk Management ◽  
Management Process ◽  
Information Technology Projects ◽  
Project Risk ◽  
Risk Management Process ◽  
Project Management Institute

The management of risk is considered a key discipline by the Project Management Institute and the Association for Project Management. However, knowledge of what needs to be done frequently fails to result in action consistent with that knowledge. The reasons for this seem to have received little attention. This study researched the degree of use of project risk management and barriers that prevent IT project managers from using risk management. Interviews and a survey were carried out. The results show that, in one-third of cases, because of the problem of cost justification, no formal project risk management process was applied.

Analysis and Visualization of Project Structure Using Linkography: Focussing Project Risk Management

2009 ◽  
Author(s):  
Kilian Gericke ◽  
Bjo¨rn Kleinod ◽  
Lucienne Blessing
Keyword(s):  
Risk Management ◽  
Original Method ◽  
Project Risk Management ◽  
Management Process ◽  
Cost Information ◽  
Project Risk ◽  
Real Time Scale ◽  
Risk Management Process ◽  
Management Method ◽  
Project Structure

Product development projects are difficult to plan due to complexity, dynamics, lack of transparency and polytely. Risk Management is often used to cope with this situation. Linkography (originally proposed by Goldschmidt) is adapted with the aim to ease the effort of the Risk Management process. The elements of the original method are transferred to the area of Project Risk Management, complemented by a real time scale, and cost information of elements. Linkography is used to focus all Risk Management activities on those work packages, which might affect the project the most in the case of failing the expected outcome. The number of links to other work packages, its duration and its costs defines the criticality of a work package. By applying Linkography as a Risk Management method, a prioritized list of work packages can be generated which pass consecutively through the usual Risk Management process. Unlike other methods, Linkography supports the user in a visual manner. Hence, Linkography can easily be used for communication with unskilled stakeholders.

Research on the Project Risk Management Process Based on the Process Method

2011 ◽  
Vol 187 ◽  
pp. 23-28 ◽  
Author(s):  
Xiao Qin Liang ◽  
Shi Cong Hong
Keyword(s):  
Risk Management ◽  
Project Management ◽  
Project Risk Management ◽  
Management Process ◽  
Project Development ◽  
Complex Environment ◽  
Project Risk ◽  
The Core ◽  
Risk Management Process ◽  
Process Method

The project carrying on in the complex environment was affected by many factors. Project risk management is to manage the uncertainty elements in the process of project development to realize the smoothly running of the project. This paper provided the process method carried on the control to each type of resources in risk management investment in the project risk management process, built up process method in controlling project risk to reduce the threat that risk brings to the project, and attained the lowest damage of the project. Consecutively, risk management can be made to become one of the core parts in project management by excavating the project potential opportunities.

scholarly journals THE USE OF PROJECT MANAGEMENT METHODOLOGIES AND PROJECT RISK MANAGEMENT IN THE LIGHT OF EMPIRICAL RESEARCH

2021 ◽  
pp. 13-21
Author(s):  
Maciej Brzozowski
Keyword(s):  
Risk Management ◽  
Project Management ◽  
Empirical Research ◽  
Project Risk Management ◽  
Management Process ◽  
Project Risk ◽  
Basic Assumptions ◽  
Risk Management Process

The main purpose of the paper is to examine, on the basis of empirical research, the perceived manner of project management in organizations, as well as to determine the frequency of application of selected project management methodologies, in addition to the assessment of their usefulness for project risk management. The first part of the paper presents - identified on the basis of literature studies - types and examples of project management methodologies along with basic assumptions of the project risk management process, and in the second part - the results of empirical research conducted by recourse to a questionnaire among the participants of projects implemented in various types of organizations. The study showed that in organizations employing respondents, the methodical manner of project management is most often used, while the most popular project management methodologies were PMBoK, Agile and PRINCE2, wherein respondents highly rated the usefulness of selected methodologies for effective project risk management.

scholarly journals The Project Risk Management Process, a Preliminary Study

2014 ◽  
Vol 16 ◽  
pp. 943-949 ◽  
Author(s):  
Luiz Henrique Rodrigues-da-Silva ◽  
José António Crispim
Keyword(s):  
Risk Management ◽  
Project Risk Management ◽  
Management Process ◽  
Project Risk ◽  
Risk Management Process ◽  
Preliminary Study

scholarly journals Requirements for optimal learning environment for an online project risk management game

2012 ◽  
Vol 2 (2) ◽  
pp. 20 ◽  
Author(s):  
Bassam Hussein
Keyword(s):  
Risk Management ◽  
Learning Outcomes ◽  
Game Design ◽  
Real Life ◽  
Project Risk Management ◽  
Management Process ◽  
Structured Interviews ◽  
Optimal Learning ◽  
Project Risk ◽  
Risk Management Process

Several authors have questioned the effectiveness of using lecture-based teaching to provide students with enough confidence to apply project risk management. Gaming was proposed as a solution. However, despite widespread use of games in teaching project management, it is still not clear what conditions provide optimal learning through games. Another shortcoming with the existing games is oversimplification.  This paper addresses these shortcomings and proposes a game design that captures real-life challenges associated with applying the project risk management process; a design that prompts an appreciation for project complexity as well as providing students with the opportunity to experience the consequences of ignoring or following the risk management process. The paper also identifies and elaborates on the requirements for optimum learning, and distinguishes between two types of requirements: 1) learning requirements, and 2) qualitative requirements.  Learning requirements identify the learning outcomes of the game. These requirements were identified through structured and semi-structured interviews with senior project managers from several management-consulting firms. The challenges and the corresponding tactics that are adopted in practice in order to manage project risks were thus identified and ranked. These results are also presented in light of supporting literature. The challenges and associated tactics were mapped into a set of eight requirements representing the learning outcomes of the game. These requirements were then mapped to the design using four instructional methods: a briefing lecture, a team-based assignment, an online computer simulation, and a debriefing lecture. All these methods were linked by a real-life project case and executed in a gaming context to improve engagement.  Qualitative requirements represent important conditions that must be present for optimal learning. These were identified through structured interviews with continuing education students taking a master's degree in project management. This empirical study resulted in four qualitative requirements that must be considered in the game design: 1) ownership, 2) relevance, 3) feedback, and 4) adaptation.  The paper also presents the evaluation results of the game design. The purpose of the evaluation was to examine the game's ability to capture the two sets of requirements identified above.    

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