Possible risk Factors in Construction Business Assignment PDF

1POSSIBLE RISK FACTORS IN CONSTRUCTION BUSINESS
POSSIBLE RISK FACTORS IN CONSTRUCTION BUSINESS:
Among all the domains construction industry is often seen the riskiest business not because of
its operations but because of its strategic nature and the complexity in its process(Baloi,
2003).The operations which are related to construction are not easily managed by everyone
because it takes knowledge and suitable steps to accomplish a certain task. It usually acquires
internal and external factors and many project stakeholders which will add enormous risks
into the processes. Not only that in construction business the risk management is poorly
manage as compare to the other industries. However, a construction business can never be
risk free but it can control its risks through different factors. Such risks can be accepted,
managed or minimized to make it bearable, but it can’t be ignored as it is the most essential
business which leads to improvement in any country. As risks are a multi-facet concept
according to (PMI, 2008) and while managing risks in a project it is concerned with different
factors which includes identifying, analysing the potential factors and responding to the
factors which relate to the certain project. In the light of construction industry, it is the
possibility of occurrence of a certain event or it could be a combination of events which are
deliberately occurring in the process of construction. (Baloi, 2003)Operations in
constructions involves various variables because of which it is difficult to define which
factors are the cause and effects of any certain event and on which it Is dependent and what
could be its possible correlations. Perhaps these risk factors play a vital role in decision
making and shows the possible outcomes which causes affects in the performance of a
project. (Thevendran, 2004)Hence risk management is now considered to be the most
essential requirement in the construction industry. This management includes the processes
which are risk control, hazard identification and risk assessment. Risks can be evaluated
through qualitative and quantitative methods as it is a systematic process which lowers the

2POSSIBLE RISK FACTORS IN CONSTRUCTION BUSINESS
effect of risk in different events. Following are different events which includes the risk
factors, as risks could be defined into two categories. (Haslam, 2005)
 Risks which are caused by direct safety issues
 Risks stated as a monetary issue
Safety experts defines these following factors which are the most pressing problems faced
in the direct safety issues: (Haslam, 2005)
 walking surfaces along the construction sites are always risky because of the work
that is going along the line, and people often face falls and injuries through these
surfaces, which also includes ladders and other tools which are used for climbing or
pulling things. (Abdelalim, n.d.)
 Scaffolds: scaffolds are a tool which is used as a temporary structure to support the
work crew and materials during construction processes. Among most cases many
people have injured through this framework because of its slant structure and hollow
spaces people gets confused while lifting the person or the materials. (Dehdashta,
2015)
 steer loaders and bobcats, lifts and dump truck drivers; these dump truck drivers
usually carry bulk materials and because of its amount the handling of the material
causes harms to the individual or the structure if it’s not perfectly handled. (Haslam,
2005)
 Excavation is a process defined as digging which is the most important factor in
construction, and it is done by special tool which is not only heavy but it also requires
a specific balance if not maintained it could harm the labours. (Baloi, 2003)

3POSSIBLE RISK FACTORS IN CONSTRUCTION BUSINESS
 struck-by construction equipment, usually in construction site works: struck by a
construction equipment would be a common factor which is faced by every individual
if they aren’t able to maintain the balance in using of equipment’s, or not wearing the
required safety kits and uniforms. (Dunning, 2003)
 electrocution, which are involved in overhead power lines; the possibility of facing
electrocution is always higher because in construction areas they always use higher
powers and people who doesn’t intend to wear safety kits usually faces such electric
shocks or could be due to short circuits. (Thevendran, 2004)
 The inappropriate use of lifting equipment, including cranes and forklifts, which are
used by labours and if it’s not properly managed by a perfect driver it could harm any
labour or individual around as it is a heavy equipment for loading and unloading of
material for faster performance. (Thevendran, 2004)
While on the other side financial issues includes the following factors:
The costs which are related to injuries which are faced by the labours because of
inappropriate handling of equipment’s, and it could cause the damage to soft tissues, and
problems related to ergonomic situations. (Thevendran, 2004)
 The contract liabilities which are caused by the multi-employers.
 Reputations are harmed in construction business usually because of certain events,
then brand name and bidding ability are lowered by highly exposed incidents, these
are caused by individuals or company which lack into the risk management process
and then face such events. (M.S.B.A.A.,2015)
The risk managers should plan for the possible factors to eliminate the effect of the risks
which are possibly faced by the labours as well the individuals which are working or walking
through construction sites, people should be aware of the possible harms as well as they

4POSSIBLE RISK FACTORS IN CONSTRUCTION BUSINESS
should be instructed for wearing safety kits to better perform and eliminate factors which
could cause harm to them. (Dehdashta, 2015)

5POSSIBLE RISK FACTORS IN CONSTRUCTION BUSINESS
References
El, M.S.B.A.A., El Nawawy, O.A.M. and Abdel-Alim, A.M. (2015). Identification
and assessment of risk factors affecting construction projects. HBRC Journal.
Dunning, K., LeMasters, G., Levin, L., Bhattacharya, A., Alterman, T. And Lordo,K.
(2003). Falls in workers during pregnancy: risk factors,job hazards, and high risk
occupations. American journal of industrial medicine, 44(6), pp. 664-672.
Abdelalim, A.M., El Nawawy, O.A. and Bassiony, M.S.(2203) Quantitative Risk
Assessment of Factors Affecting Construction Projects .2(1). pp. 141-145
Dehdashta, G., Zina, R.M. and Keyvanfarb, A., 2015. Risk classification and barrier
of implementing risk management in oil and gas construction companies. Journal
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Baloi, D. and Price, A.D.( 2003). Modelling global risk factors affecting construction
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Thevendran, V., and Mawdesley, M.J. (2004). Perception of human risk factors in
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Haslam, R.A., Hide, S.A., Gibb, A.G., Gyi, D.E., Pavitt, T., Atkinson, S. And Duff,
A.R.(2005). Contributing factors in construction accidents. Applied ergonomics,
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