Evaluating Risk Management in Construction Project: A Proposal

This research proposal delves into the critical role of risk management within construction projects. It emphasizes the importance of risk assessment in preventing losses and ensuring project success. The proposal outlines the project's objectives, scope, and a comprehensive literature review covering various aspects of risk management, including risk identification, analysis, assessment, and control. The methodology section details the research design, data collection methods (qualitative and quantitative approaches using primary and secondary sources), and sampling techniques. The proposal also addresses research questions, hypotheses, and potential limitations, concluding with a timeline and references to support the research. The report highlights the necessity of proactive risk management to mitigate potential issues and ensure the safety of employees, thereby contributing to the overall success of construction ventures. The proposal aims to provide a deeper understanding of the complexities of risk management in construction and its practical implications.

Running head: Risk management in construction project 1
Research proposal
Risk management in construction project

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Abstract
By adopting risk management, the potential of saving can be summarized in the project
of construction. There are certain processes are included in the risk management which will be
described in detail below. The integration of forest management system in construction projects
must be initiated to the progress of the project and saturate all function, area and steps of the
project. The research proposal has been made for evaluating the risk management in the project
of construction. It has been defined that employees are essential for market success that is why
their safety should be done in prior basis.

Risk management in construction project 3
Contents
Abstract.......................................................................................................................................................2
Research title: Risk management in construction project............................................................................4
Introduction.................................................................................................................................................4
Project objective..........................................................................................................................................5
Project scope...............................................................................................................................................6
Literature review.........................................................................................................................................7
Research questions and hypothesis............................................................................................................11
Research questions................................................................................................................................11
Hypothesis.............................................................................................................................................11
Research Design and Methodology...........................................................................................................12
Research limitations..................................................................................................................................15
Schedule of time........................................................................................................................................16
Conclusion.................................................................................................................................................18
References.................................................................................................................................................19

Risk management in construction project 4
Research title: Risk management in construction project
Introduction
Risk management is essential for the project of construction because the main aim behind
making waste management is to prevent of losses caused by exposure to risk. Risk management
in the project of construction is designed to plan, control and monitor those requirements which
are needed to protect exposure to risk. It is a research proposal which will describe the role of
risk management in the project of construction. In order to understand the research, various
sources will be used to analyze the topic. Literature review will reflect the entire structure of risk
management to prevent exposure to risk. The importance of risk assessment will be described.

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Project objective
The main objective of this research is to search out the importance of the risk assessment
in the project of construction. Risk assessment is required to prevent the risk exposure.
Secondary sources are being taken together the relevant information regarding the research title.

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Project scope
The research program will reflect the importance of risk assessment in the project
construction. Risk identification and risk analysis will be discussed under the program of
research. The major scope of research proposal is to make better understanding about the kind of
risk in construction.

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Literature review
The projects of Constructions are exposed to risk at the time of their coming into
existence. It is important for the risk management to measure and cost of the measure must be
recognized and comfortable measures must be searched in order to avoid errors in the potential.
There are various kind of construction project with the course of planning, development and
realization. The importance of risk management in construction projects is vital. In the phase of
planning possible risk for the successive achievement of the project can be raised and decreased
by their integration into the planning. There is potential analysis of a construction project refers
to what extent project risk affect the circumstances of risk of the business (Zhao, Hwang and
Low, 2013). It is required for the risk potential to be predictable without depth knowledge of the
individual raised at as little expense as possible. Risk management includes the integration of
common Principles of risk policy and the organizational integration. With the help of risk
management, transparency enhances, various issues can be avoided from the outside by applying
the proactive action, and the construction project might be made for unavoidable issues (McNeil,
Frey and Embrechts, 2015). The processes of risk management include many steps, which will
be described in this literature review.
The certain steps of risk process are identifying risk, risk analysis, assessing risk,
controlling risk, monitoring risk and managing the goals. It is important for the risk management
that risk to be identified because the risks that are not recognized also cannot be assessed. The
risk identification can be distinguished into quality risk, personal risk, cost risk, deadline risk,
strategic decision risk and external risk. It is important for the organization to analyze the type of
risk in the construction project (Marcelino-Sádaba, Pérez-Ezcurdia, Lazcano and Villanueva,

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2014). The main objective of analyzing risk is to define the situation of Risk in the form of
completely and precisely. The recognized risks are investigated with the term probability of the
occurrence and the effect on the project the evaluation of Risk is brought by the project manager
in the term of controlling the project. It is important for the risk team analysis to determine and
evaluate as per the kind and points for risk are worked out. The third step of risk management is
assessing the risk. The risk assessment includes the qualitative assessment as well as quantitative
measurement of the risk of individual involving the interrelationship of their influences (Hwang,
Zhao and to, 2014). The result of risk assessment would be helpful for the company to analyze
the position of rest in the existing construction project. Risk assessment is considered as a
constitutional requirement for the health and safety risk under the management of Health and
safety at work regulation. In case of no objective data is present, risk should be quantifiable.
With the help of qualitative estimation, risk can be assessed subjectively as per the probability of
their occurrence and the amount of damage or loss.
Controlling risk has the effective influencing of the risk decided in the context of risk
analysis. The measurement of handling with risk maybe various between cause related and effect
related measures. The measure of cost related should be avoided or decrease risk, in the context
of effect related measures serve to decrease or safeguard against the damage. The effectiveness
of risk control is maintained when the operative control over the risk management is done on
continuous manner (Osipova and Eriksson, 2013). The aim of risk management is not to
eliminate waste entirely from the construction project. Monitoring risk facilitates guarantee that
the position of the risk of the construction project conveys to the situation of endeavored for. The
integral part of the body is internal control system. The constant monitoring of the previous

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indicators And the repeated risk verification are brought by the person who is responsible for
every case, no afterward than the respective milestone deadlines.
Figure 1: Risk Management
Source: (Aminbakhsh, Gunduz and Sonmez, 2013).
The response construction is wider at the earliest stages of the initiating project with the
option of procurement route. There are several routes of procurement that construction project
utilize each with different balance of risk either towards the customer or the contractor. For
instance the design of client-led and create the weight of the risk on the customer and the stage of
design where is contractor Finance creating the weight of Risk on the contractor by the phases of
design and construction. There are majorly three kinds of risks in the project of construction that
is client risk, contractor risk and health and safety risk (Manuj and Mentzer, 2008). Client risk is
related to the quality and cost time. The consideration of the risk management for the customer
may involve feasibility risk, design risk, funding risk and commercial risk. Feasibility risk
involved the decision to move further backed up by a business case of robust. The preferred
solution is presented after considering options. Design risk refers to a decision the level of
control to put design and therefore the risk is described in the context of design. Funding risk is

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making ensure about the availability of the fund to pay the contractor. It reduces the risk of
insolvency of contractor as well. The risk of commercial is on the profits and income if
contractor is unable to deliver the project on time with quality (Taylan, Bafail, Abdulaal and
Kabli, 2014).
The biggest risk for contractor is the stage of tender when commitments in the context of
price and time scale. Accuracy in the bill is must in the construction project. Due to lack of
quantity in the bill and inaccuracy in the bill can be the reason of fewer margins (Rothengatter,
2017). The contractor should define the entire detail about what he want related to the
construction project because subcontractors might not stand by their commitment and work
might be more costly in comparison of estimated if a choice of the method of construction is not
suitable for the existing construction project. It has been analyzed that on average 2 to 3 people
die every week on construction site. Most of them are avoided by constructor (Desai and
Kashiyani, 2015). To decrease the risk of die while performing the task of construction project,
health and safety regulation support to them directly or indirectly. The health and safety risk is
handled by the legislation regarding construction involving the design and management
regulation 1994 and the construction regulation 1996. The importance of Health and safety plan
in the construction project is vital and it is important to have the effective communication within
the entire team throughout the project. The guidance are reflected by the approved code of
practice (HSE 2001) that is concerned about the elements of the health and safety plan and
describe the responsibility of those person who are responsible and have duties under the
regulation. Apart from those risks, risk of Fire is higher in construction projects. Fire risk is
always available on the site of construction. It is necessary to have the certain firefighting
equipment in the place of construction project. Training program about preventing risk should be

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addressed to the existing labor (Froot, Scharfstein and Stein, 2013). The principal contractor
must develop the plan of fire prevention on construction sites.
Research questions and hypothesis
Research questions
Research questions have been created for this research topic which is defined below:
 What is risk management in the construction project?
 Why risk assessment is necessary to protect the exposure to risk?
 What are the steps or process of risk management to control the risk in the construction
project?
Hypothesis
Risk management is able to prevent the revelation to risk and their process is helpful for risk
management team.
Lack of controlling over the risk can take the lives of many. It can influence the image of the
construction project and organization as well in adverse manner.

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Research Design and Methodology
There are various kinds of design and methodologies available which gives support to
accumulate the data effectively. Different kinds of methods and techniques have been observed
while executing of the research. The used methods and techniques are listed below:
Research methods
There might be various kinds of techniques and methods which could support to research to
gather the information. Qualitative data has been considered to collect the data and information
regarding this topic. It will be facilitates to assemble the information on the quality basis.
Approaches of research
Qualitative and quantitative both approaches have been measured to gather the
information. The approach of qualitative helps to understand the aspects and opinion about the
gathered data. The support of primary and secondary sources has been taken to gather thee
quality research material and information regarding the topic.
Data collection
Data collection is done with aim to collect the information for the executing of research.
The relevant information is being collected by suing the primary and secondary data sources. A
combination of the resources would b advantageous for the research to make effective
understanding about the topic of research. Primary sources are fresh because it is directly fetched
by respondent and includes questionnaire and interviews (Musa, Abanda, Oti, Tah and Boton,
2016). The term of reliability is heavier of the secondary sources in the comparison of primary.
Secondary sources are able to increase the authenticity and reliability of the material of research.