Integrated Methodology for Project Risk Management

TLDR

Project risk management processes must be tailored to the specific project and organization, and the article’s points can be adapted to other participants. The article presents a generic risk management process tailored for construction projects from the owner and consultant perspectives. The authors describe a generic risk management process for high‑maturity construction projects, identify factors for simplifying it, propose simplifications, and validate the methodology with a Delphi analysis. The methodology was applied to a real construction project and validated through a Delphi analysis, demonstrating its practical applicability.

Abstract

This article presents a generic project risk management process that has been particularized for construction projects from the point of view of the owner and the consultant who may be assisting the owner. The process could also be adapted to the needs of other project participants, and many points referred to in the article can be directly applied to them. Any project risk management process must be tailored to the particular circumstances of the project and of the organization undertaking it. First, the article explains a complete or generic project risk management process to be undertaken by organizations with the highest level of risk management maturity in the largest and most complex construction projects. After that, factors influencing possible simplifications of the generic process are identified, and simplifications are proposed for some cases. Then the application to a real project is summarized. As a final validation, a Delphi analysis has been developed to assess the project risk management methodology explained here, and the results are presented.