Study and implementation of risk management in construction projects

Risk management is defined as the process of identification, analysis and either acceptance or mitigation of uncertainty in investment decision-making. Essentially,by defining risk management processes for your company, you make success more likely by minimizing and eliminating negative risks so projects can be finished on time. This enables you to meet your budget and fulfill targeted objectives. When you don’t have risk management strategies in place, your projects get exposed to problems and become vulnerable. Effective risk management strategies allow your company to maximize profits and minimize expenses on activities that don’t produce a return on investment. Once the Project Team identifies all of the possible risks that might jeopardize the success of the project, they must choose those which are the most likely to occur. They would base their judgment upon past experience regarding the likelihood of occurrence, lessons learned, historical data, etc. Through detailed analysis, effective leaders prioritize ongoing work based on the results produced which can make company successful.

Keywords:

Risk , Management , Construction