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Risk identification often produces nothing more than a long list of risks, which can be hard to understand or manage. The list can be prioritised to determine which risks should be addressed first, but this does not provide any insight into the structure of risk on the project. Traditional qualitative assessment cannot indicate those areas of the project which require special attention, or expose recurring themes, concentrations of risk, or ‘hot‐spots’ of risk exposure. The best way to deal with a large amount of data is to structure the information to aid comprehension. For risk management, this can be achieved with a Risk Breakdown Structure )RBS) a hierarchical structuring of risks on the project. The RBS can assist in understanding the distribution of risk on a project or across a business, aiding effective risk management. Just as the Work Breakdown Structure (WBS) is an important tool for projects because it scopes and defines the work, so the RBS can be an invaluable aid in understanding risk. The WBS forms the basis for many aspects of the project management process; similarly, the RBS can be used to structure and guide the risk management process. This paper presents the concept of the RBS, and gives a number of examples drawn from different project types and industries. Although not necessarily based in FM, the concepts and experience can be applied to any project. The benefits of using the RBS are then outlined, including as an aid for risk identification or risk assessment, comparison of projects, providing a framework for cross‐project risk reporting, and structuring lessons to be learned for future projects. This paper shows how to use the RBS to gain these benefits.

The purpose of this paper is to address the current theoretical gap in integrating knowledge and experience into Building Information Model (BIM) for risk management of bridge projects by developing a tailored Risk Breakdown Structure (RBS) and formalising an active link between the resulting RBS and BIM.

A three-step approach is used in this study to develop a tailored RBS for bridge projects and a conceptual model for the linkage between the RBS and BIM. First, the integrated bridge information model is in concept separated into four levels of contents (LOCs) and six technical systems based on analysis of the Industry Foundation Classes specification, a critical review of previous studies and authors’ project experience. The second step develops a knowledge-based risk database through an extensive collection of risk data, a process of data mining, and further assessment and translation of data. A critical analysis is conducted in the last step to determine on which level the different risks should be allocated to bridge projects and to propose a conceptual model for linking the tailored RBS to the four LOCs and six technical systems of BIM.

The findings suggest that the traditional method and BIM can be merged as an integrated solution for risk management by establishing the linkage between RBS and BIM. This solution can take advantage of both the traditional method and BIM for managing risks. On the one hand, RBS enables risk information to be stored in a formal structure, used and communicated effectively. On the other hand, some features of BIM such as 3D visualisation and 4D construction scheduling can facilitate the risk identification, analysis, and communication at an early project stage.

A limitation is that RBS is a qualitative technique and only plays a limited role in quantitative risk analysis. As a result, when implementing this proposed method, further techniques may be needed for assisting quantitative risk analysis, evaluation, and treatment. Another limitation is that the proposed method has not yet been implemented for validation in practice. Hence, recommendations for future research are to: improve the quantitative risk analysis and treatment capabilities of this proposed solution; develop computer tools to support the solution; integrate the linkage into a traditional workflow; and test this solution in some small and large projects for validation.

Through linking risk information to BIM, project participants could check and review the linked information for identifying potential risks and seeking possible mitigation measures, when project information is being transferred between different people or forwarded to the next phase.

This study contributes to the theoretical development for aligning traditional methods and BIM for risk management, by introducing a new conceptual model for linking RBS to BIM.

Successful risk management is influential in different phases of construction projects. It can play a critical role in reducing the possibility of claims as well as related disputes. The risk management knowledge area in large capital projects such as oil and gas is considered a questionable problem in the construction industry. The present study makes an effort to identify the importance of process groups in improving risk management performance.

This study is selected and ranked 36 factors leading to the claim in Iran's oil and gas industry through the Delphi method and a questionnaire. Factors categorized into a risk breakdown structure (RBS) include eight groups. Factors are linked to one of the process groups by a Delphi method. Finally, the relationship between RBS and the five process groups is analyzed using partial least squares structural equation modeling (PLS-SEM).

Findings showed that the planning process group had more confirmed factors than others. Most of the supported communications belonged to the contractor and the owner parties. Also, the cause of delay in the implementation phase due to the contractor performance had a higher relative importance index.

This article, from a project life-cycle perspective, considers the new structure between the risks leading to claims and the key parties to the project. It can be a good criterion for identifying risks and a timelier response to them before the risks turn into disagreements.

The purpose of this paper is to systematically develop a delay risk terminology and taxonomy. This research also explores two external and internal dimensions of the taxonomy to determine how much the taxonomy as a whole or combinations of its elements are generalisable.

Using mixed methods research, this systematic literature review incorporated data from 46 articles to establish delay risk terminology and taxonomy. Qualitative data of the top 10 delay risks identified in each article were coded based on the grounded theory and constant comparative analysis using a three-stage coding approach. Word frequency analysis and cross-tabulation were used to develop the terminology and taxonomy. Association rules within the taxonomy were also explored to define risk paths and to unmask associations among the risks.

In total, 26 delay risks were identified and grouped into ten categories to form the risk breakdown structure. The universal delay risks and other delay risks that are more or less depending on the project location were determined. Also, it is realized that delays connected to equipment, sub-contractors and design drawings are highly connected to project planning, finance and owner slow decision making, respectively.

The established terminology and taxonomy may be used in manual or automated risk management systems as a baseline for delay risk identification, management and communication. In addition, the association rules assist the risk management process by enabling mitigation of a combination of risks together.

At the end of the case students will be able to:

1. Relate risk as one of the 12 principles in project management contemplated in the international standards of the PMBOK Seventh Edition guide.

2. Determine high-level risks by articulating the WBS and RBS of a construction project.

3. Perform a qualitative and quantitative analysis of the probability and impact of risks through the heat map tool and the Expected Monetary Value (EMV) technique.

4. Propose the different response strategies contemplated in the risk management through the formulation of a response and contingency plan.

MORESA S.A.S was a family company founded in 1994, whose value proposition focused on construction and permanent advice for the execution of innovative and contemporary projects with more than 27 years of experience in the city of San José de Cucuta, department of Norte de Santander, Colombia. The objective of the case is to Relate risk as one of the 12 principles in project management contemplated in the international standards of the PMBOK Seventh Edition guide; Determine high-level risks by articulating the WBS and RBS of a construction project; Perform a qualitative and quantitative analysis of the probability and impact of risks through the heat map tool and the Expected Monetary Value (EMV) technique and propose the different response strategies contemplated in the risk management through the formulation of a response and contingency plan. The teaching case is designed for academic programs in areas of knowledge of civil engineering, architecture and at postgraduate level such as: Master’s in civil engineering, Master’s in risk management, Master in project management or MBA. For this case, an expert judgment was developed with professionals belonging to different areas of knowledge. Likewise, secondary information was collected from the organization's strategic documents and the analogous estimation through the historical records of the project portfolio developed by the construction company. Finally, the case, classified in the Built Environment, a challenge that project managers must face in VUCA environment through risk management.

The teaching case is designed for academic programs in areas of knowledge of civil engineering, architecture and at postgraduate level such as: Master’s in civil engineering, Master’s in risk management, Master’s in project management or MBA. In the modules of risk management, project management, international standards, the case guides the applicability of methods and artifacts used in risk management considering the process identification, quantitative, qualitative analysis, and development of response strategies and contingency plans.

Teaching notes are available for educators only.

CSS 2: Built Environment.

As construction of commercial and recreational complex building projects (CRCBPs) is one of the most important issues in many developing countries and requires a very high cost of implementation, it is important to identify and prioritize the risks of such projects. Therefore, the purpose of this study is to identify and rank the risks of CRCBPs by studying the case of the “Hamedanian Memorial,” a CRCBP in Iran.

To pursue this aim, a descriptive-survey method was used. The statistical population of the study consists of 30 experienced experts (consultants, contractors and employers) of the “Hamedanian Memorial” project selected according to the Cochran formula and minimum population census. A questionnaire was used as the data collection tool, administered in all stages of risk identification and evaluation, and was devised by using library and field methods based on the literature and research background, as well as interviewing experts in the risk identification and evaluation stages. Kendall’s coefficient of agreement was used to validate the experts’ opinions in the risk identification stage. The ranking in qualitative evaluation was done based on the risk intensity and the cumulative risk index.

The results show that the risks are associated with exchange rate fluctuation, inflation fluctuation, access to skilled workers, contractors’ claims and foreign threats from international relations.

The results and findings of the present study can be of interest to the executives of large commercial, leisure, public and private projects in developing and developed countries; understanding risks can significantly improve the decision-making process of CRCBPs.

This study assesses outsourcing risks using the fuzzy analytical hierarchy process (FAHP).

This descriptive research combines both qualitative and quantitative approaches. Risks identified in the literature review were classified with FAHP using questionnaire data from respondents in operations, procurement and risk management in Brazilian Navy Industrial Military Organizations (OMPS-I, by its Portuguese acronym).

The results indicate that FAHP is a method capable of producing relevant information to decision-making in the risk management process. A framework was created incorporating 16 major risks related to outsourcing. The results point to higher inherent risk levels related to outsourcing in the context of OMPS-Is: in order, hidden costs and unrealized savings; loss of knowledge/skills and/or corporate memory and difficulty in reacquiring a function; and loss of opportunities and reputation. The category of economic risk was revealed as the most important.

This study improves understanding of outsourcing risks and improves risk assessment by refining decision-making information and developing a system of decision analysis with several criteria. It also contributes to the development and implementation of a usable version of decision analysis with several criteria at a managerial level.

The purpose of this paper is to present the implementation and testing of a modified project risk management framework that integrates PMI’s framework with Monte Carlo simulation to improve the effectiveness in high-tech new product development (NPD) projects.

The modified framework considers three bodies of knowledge: project management, risk management, and Monte Carlo simulation to produce an enhance project risk management framework. Its application is shown through a case study.

Using the integrated framework in a recent case study project and prior NPD projects measures (as benchmarks), it was shown that it could help to enhance risk responses caused by task durations and costs’ uncertainties. The framework proved to be better than segregated generic best practices and was key in providing insight to the issue of early project risk assessment.

More experimental replications are required for enhancement effectiveness assertions of the framework, through the application of the framework to similar case studies. Furthermore, this could improve its reliability and soundness.

Future directions for research could include case and empirical studies that include hypothesis’s testing, and the integration of optimization procedure for improved NPD project’s planning and execution.

This paper outlines a way to close the gap of project risks management planning in NPD’s initiatives. It was motivated by a relatively new tendency in exploring integrated frameworks to deal with complex project risks issues.

La investigación presenta la implementación y demostración de un esquema modificado de gestión de riesgos para proyectos que integra el esquema propuesto por el Project Management Institute (PMI) con la simulación Monte Carlo para mejorar la eficacia de proyectos de desarrollo de nuevos productos (DNP) de alta tecnología.

El esquema modificado considera tres áreas de conocimiento: gestión de proyectos, gestión de riesgos y simulación Monte Carlo, para producir un mejor esquema de gestión de riesgos del proyecto. Su aplicación se demuestra a través de un estudio de caso.

Utilizando el esquema integrado en un reciente estudio de caso de un proyecto y previos proyectos de DNP como puntos de referencia, se demostró que el esquema podría ayudar a mejorar las estrategias de respuestas a los riesgos causados por la incertidumbre en la duración de las tareas y costos asociado a estos proyectos. El esquema ha demostrado ser más eficiente que aquellos propuestos como mejores prácticas genéricas, proporcionando un claro entendimiento sobre el tema de la evaluación de riesgos en la fase inicial de proyectos DNP.

Se requieren más repeticiones experimentales para mejorar la eficacia de las afirmaciones del esquema, a través de su aplicación a estudios de casos similares. Por otra parte, esto podría mejorar su confiabilidad y estabilidad.

Futuras investigaciones podrían incluir estudios de casos y estudios empíricos que incluyan pruebas de hipótesis e integración de procedimientos de optimización para mejorar la planificación y ejecución de proyectos de DNP.

El estudio describe una forma de cerrar la brecha en la planificación de gestión de riesgos de proyecto en la industria. Fue motivada por una relativamente nueva tendencia en la investigación de esquemas integrados para hacer frente a asuntos de riesgos en proyectos complejos.

The purpose of this research is to identify the most impactful delay risks in Australian construction projects, including the associations amongst those risks as well as the project phases in which they are most likely present. The correlation between project and organisational characteristics with the impact of delay risks was also studied.

A questionnaire survey was used to collect data from 118 delayed construction projects in Australia. Data were analysed to rank the most impactful delay risks, their correlation to project and organisational characteristics and project phases where those risks are likely to emerge. Association rule learning was used to capture associations between the delay risks.

The top five most impactful delay risks in Australia were changes by the owner, slow decisions by the owner, preparation and approval of design drawings, underestimation of project complexity and unrealistic duration imposed to the project, respectively. There is a set of delay risks that are mutually associated with project complexity. In addition, while delay risks associated with resources most likely arise in the execution phase, stakeholder and process-related risks are more smoothly distributed along all the project phases.

This research for the first time investigated the impact of delay risks, associations amongst them and project phases in which they are likely to happen in the Australian context. Also, this research for the first time sheds light on the project phases for the individual project delay risks which aids the project managers to understand where to focus on during each phase of the project.