Risk Management - Geographical Risk on GCC Project

Running head: RISK MANAGEMENT- GEOGRAPHICAL RISK ON GCC PROJECT
RISK MANAGEMENT- GEOGRAPHICAL RISK ON GCC PROJECT
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1RISK MANAGEMENT- GEOGRAPHICAL RISK ON GCC PROJECT
Table of Contents
Introduction: 4
Risk Identified: 4
Risk Analysis: 5
Qualitative analysis for the risk: 5
Quantitative analysis of the risk: 6
Risk response: 6
Conclusion: 7
References: 8

2RISK MANAGEMENT- GEOGRAPHICAL RISK ON GCC PROJECT
Introduction:
The report states about the GCC Railway line which has been planned to get initiated
from the city of Kuwait to the UAE which also had a further plan of getting extended on to
Muscat. Between Kuwait and Muscat the line has been proposed to move through the city of
Dammam in the Saudi Arabia. The project is expected to have a loop up to the Bahrain and
then to the Qatar which will then join the main line along with the branches made in the
junctions of Abu Dhabi and Dubai. Although there are many advantages of railways in the
country, there are several risks that are impacted in the project (Smith, 2015). This report
aims to discuss and identify the geographical risk that has affected the project.
Risk Identified:
The risk that has been identified in this report on the matter of the GCC Railway is the
geographical issues or the geographical risks that has created an impact on the project. The
line that is linking the East-West railways in the Saudi Arabia has geographical issues that
were identified during the use of the project. The rail transport in the GCC has the main
objective of transporting chemicals, petrochemical products, mineral ores and many more
fuel products. The geographical variance like the absence of the shipping ports due to its
location being the Middle East part of the country creates the absence of ports and railway
lines cannot reach to all the crucial parts of the countries. The GCC members are
geographically small (Bruno, Horvat and Raffaele, 2018). The distances can be attained by
the road transportation within four or five hours. Whereas, transportation cost including the
carriage charges seems to be calculated in loss unless it is minimum 500 km of journey to be
covered. The GCC countries mainly rely on the oil and gas production and business. The
pipelines are mainly used and hence it creates a risk on the railway project.