scholarly journals A Sustainability-Based Risk Assessment for P3 Projects Using a Simulation Approach

2021 ◽  
Vol 14 (1) ◽  
pp. 344
Author(s):  
Beenish Bakhtawar ◽  
Muhammad Jamaluddin Thaheem ◽  
Husnain Arshad ◽  
Salman Tariq ◽  
Khwaja Mateen Mazher ◽  
...  
Keyword(s):  
Risk Assessment ◽  
Risk Management ◽  
Management Practices ◽  
Mitigation Strategies ◽  
Bottom Line ◽  
Implementation Framework ◽  
Complex Projects ◽  
Risk Management Process ◽  
The Social ◽  
Project Objectives

Integrating sustainability in the risk management process is an emergent problem, especially for efficient infrastructure delivery. For the case of complex projects like public–private partnerships (P3), traditional management practices offer a limited capacity to address long-ranging risk impacts on the social, economic, and environmental fabric within and around the project boundaries. Although P3 projects are objective-based contracts, present risk models rarely delineate risk impacts on focused project objectives. The relevant studies are very scarce creating a limited understanding of available approaches to conducting sustainability-based risk management for P3 projects. As risk and sustainability are two inherently subjective concepts with multiple interpretations, their combined assessment within a single framework demands a pragmatic approach. Therefore, the current study presents a model for conducting a sustainability-based risk assessment of P3 infrastructure projects through global data. Monte Carlo simulation is employed to further define the probabilistic risk ranges and risk ranks over relevant triple-bottom-line-based sustainability indicators for highway sector P3 projects. Findings are further demonstrated through two highway case studies and relevant mitigation strategies are also suggested. In the end, an implementation framework and future recommendations for the application of study findings on actual projects are also suggested. The study has useful implications for practitioners and researchers alike aiming for the delivery of sustainable complex projects.

A stakeholder-based risk assessment and intervention framework for international construction projects

2019 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Tao Wang ◽  
Shangde Gao ◽  
Pinchao Liao ◽  
Tsenguun Ganbat ◽  
Junhua Chen
Keyword(s):  
Risk Factors ◽  
Risk Assessment ◽  
Risk Management ◽  
Construction Projects ◽  
Management Practices ◽  
Intervention Strategies ◽  
The Body ◽  
Content Type ◽  
International Construction ◽  
Project Objectives

Purpose The purpose of this paper is to construct a two-stage risk management framework for international construction projects based on the meta-network analysis (MNA) approach. A plethora of international construction studies seems to assume risks as independent and therefore, risk intervention strategies are usually critiqued as ineffective. Design/methodology/approach In the risk assessment stage, a multi-tiered risk network structure was developed with the project objectives, risk events, risk factors and stakeholders, and critical risk factors were selected based on a series of calculations. In the risk intervention stage, targeted risk intervention strategies were proposed for stakeholders based on the results of the first stage. A highway construction project in Eastern Europe was selected as a case study. Findings The results showed that 17 risk factors in three categories – external, stakeholder-related and internal – are critical, and the project manager, construction management department, supplier and contract department are the most critical stakeholders that affect the entire project performance. Based on the critical risk factors and project stakeholders, targeted risk intervention strategies were proposed. The risk assessment results of MNA were found to be more reliable and consistent with the project conditions than the risk matrix method; the risk intervention strategies of MNA can effectively address project objectives. Originality/value This study modeled risk priorities based on risk associations and put forward a new method for risk management, supplementing the body of knowledge of international construction. The results of this study are of critical importance in management practices.

Design Thinking as a Tool for the Analysis of Project Risks

2019 ◽  
Vol 16 (6) ◽  
pp. 60-77
Author(s):  
E. V. Vasilieva ◽  
T. V. Gaibova
Keyword(s):  
Risk Management ◽  
Risk Analysis ◽  
Design Thinking ◽  
Management Tools ◽  
Project Risk ◽  
Team Members ◽  
Investment Projects ◽  
Risk Management Process ◽  
Project Objectives ◽  
Project Risk Analysis

This paper describes the method of project risk analysis based on design thinking and explores the possibility of its application for industrial investment projects. Traditional and suggested approaches to project risk management have been compared. Several risk analysis artifacts have been added to the standard list of artifacts. An iterative procedure for the formation of risk analysis artifacts has been developed, with the purpose of integrating the risk management process into strategic and prompt decision-making during project management. A list of tools at each stage of design thinking for risk management within the framework of real investment projects has been proposed. The suggested technology helps to determine project objectives and content and adapt them in regards to possible; as well as to implement measures aimed at reducing these risks, to increase productivity of the existing risk assessment and risk management tools, to organize effective cooperation between project team members, and to promote accumulation of knowledge about the project during its development and implementation.The authors declare no conflict of interest.

Customisable framework for project risk management

2017 ◽  
Vol 17 (1) ◽  
pp. 68-89 ◽  
Author(s):  
Jennifer Firmenich
Keyword(s):  
Risk Management ◽  
Management Practices ◽  
New Institutional Economics ◽  
Future Research ◽  
Project Risk Management ◽  
Management Process ◽  
Project Risk ◽  
Content Type ◽  
Risk Management Process ◽  
Management Concepts

Purpose The purpose of this paper is to emphasise on the need for efficient and effective project risk management practices and to support project managers in increasing the cost certainty of projects by proposing a new framework for project risk management. Design/methodology/approach The author adopts a “constructivist” methodology, drawing on practices common in construction management sciences and new institutional economics. Findings The author presents a holistic and customisable project risk management framework that is grounded in both practice and academia. The framework is holistic because, amongst others, all steps of the typical risk management process are addressed. The framework is customisable, because it allows for alternative ways of implementing the project risk management steps depending on the project-specific circumstances. Research limitations/implications The framework does not address the potential unwillingness of the project players to set up a project risk management process, at all. The proposed framework has not yet been tested empirically. Future research will seek to validate the framework. Originality/value The framework is designed to account for the difficult circumstances of a complex construction project. It is intended to support decision makers in customising a practical yet comprehensive project risk management concept to the characteristics of the unique project. Although many other project risk management concepts are designed based on the assumption that actors are perfectly rational and informed, this framework’s design is based on the opposite assumption. The framework is dynamic and should adapt over time.

scholarly journals The place of artificial intelligence in the risk management process

2021 ◽  
Vol 120 ◽  
pp. 02013
Author(s):  
Petya Biolcheva
Keyword(s):  
Artificial Intelligence ◽  
Risk Assessment ◽  
Risk Management ◽  
Real Time ◽  
Risk Identification ◽  
Management Process ◽  
Whole Process ◽  
Risk Management Process ◽  
Problematic Issue ◽  
The Individual

In recent years, there has been increasing talk of the rapid entry of artificial intelligence into risk management. All the benefits it would bring over the whole process are often commented on: real-time results, processing large amounts of data, more complete risk identification, more accurate risk assessment, etc. There are also negative moods that make various experts feel threatened by their need to be replaced by artificial intelligence. Another problematic issue that arises is related to the transparency of algorithms and the increase in cyber risks [6]. This material aims to identify the individual elements at the stages of risk management in which artificial intelligence (AI) can and should be applied alone, in combination with expert opinion or not. Here it is shown that because of the use of AI the efficiency of the whole process is significantly increased, first of all by conducting in-depth analyses, and the decisions are made by the risk management experts. This proves its usefulness and increases the confidence of experts in it.

Project Risk Management Process for Professionals

2018 ◽  
pp. 277-299
Author(s):  
Tamas Toth ◽  
Zoltan Sebestyen
Keyword(s):  
Risk Assessment ◽  
Risk Management ◽  
Risk Category ◽  
Project Risk ◽  
Risk Management Process ◽  
Minimum Requirements ◽  
Integrated Project ◽  
Assessment Procedures ◽  
Project Risk Analysis ◽  
Project Risk Assessment

This chapter will provide an instantly applicable integrated project risk analysis method, which tracks the probabilities of the occurrences of harmful events perceived by the owners from the conceptual phase to the end of the project. The chapter follows a threefold structure. First, the paper provides a revised integrated project risk assessment framework that enhances conventional risk category-based methods. Second, the minimum requirements of the owners are clarified to attain the main goal of project risk assessment and to identify the harmful events jeopardizing this goal. Third, the widely known risk assessment procedures are revised, and a methodology for taking and selecting proper risks is provided. Finally, a new valuation approach to the monitoring phase is introduced, which is able to capture the current market value of the project based on the risk management and controlling system's data.

Project Risk Management Process for Professionals

2018 ◽  
pp. 725-747
Author(s):  
Tamas Toth ◽  
Zoltan Sebestyen
Keyword(s):  
Risk Assessment ◽  
Risk Management ◽  
Risk Category ◽  
Project Risk ◽  
Risk Management Process ◽  
Minimum Requirements ◽  
Integrated Project ◽  
Assessment Procedures ◽  
Project Risk Analysis ◽  
Project Risk Assessment

This chapter will provide an instantly applicable integrated project risk analysis method, which tracks the probabilities of the occurrences of harmful events perceived by the owners from the conceptual phase to the end of the project. The chapter follows a threefold structure. First, the paper provides a revised integrated project risk assessment framework that enhances conventional risk category-based methods. Second, the minimum requirements of the owners are clarified to attain the main goal of project risk assessment and to identify the harmful events jeopardizing this goal. Third, the widely known risk assessment procedures are revised, and a methodology for taking and selecting proper risks is provided. Finally, a new valuation approach to the monitoring phase is introduced, which is able to capture the current market value of the project based on the risk management and controlling system's data.

Sociological Versus Metascientific Views of Risk Assessment

1994 ◽  
Author(s):  
Deborah G. Mayo
Keyword(s):  
Risk Assessment ◽  
Risk Management ◽  
Risk Estimation ◽  
Estimation Methods ◽  
Major Theme ◽  
The Social ◽  
The Difference ◽  
Sociological View

In this chapter I shall discuss what seems to me to be a systematic ambiguity running through the large and complex risk-assessment literature. The ambiguity concerns the question of separability: can (and ought) risk assessment be separated from the policy values of risk management? Roughly, risk assessment is the process of estimating the risks associated with a practice or substance, and risk management is the process of deciding what to do about such risks. The separability question asks whether the empirical, scientific, and technical questions in estimating the risks either can or should be separated (conceptually or institutionally) from the social, political, and ethical questions of how the risks should be managed. For example, is it possible (advisable) for risk-estimation methods to be separated from social or policy values? Can (should) risk analysts work independently of policymakers (or at least of policy pressures)? The preponderant answer to the variants of the separability question in recent riskresearch literature is no. Such denials of either the possibility or desirability of separation may be termed nonseparatist positions. What needs to be recognized, however, is that advocating a nonseparatist position masks radically different views about the nature of risk-assessment controversies and of how best to improve risk assessment. These nonseparatist views, I suggest, may be divided into two broad camps (although individuals in each camp differ in degree), which I label the sociological view and the metascientific view. The difference between the two may be found in what each finds to be problematic about any attempt to separate assessment and management. Whereas the former (sociological) view argues against separatist attempts on the grounds that they give too small a role to societal (and other nonscientific) values, the latter (metascientific) view does so on the grounds that they give too small a role to scientific and methodological understanding. Examples of those I place under the sociological view are the cultural reductionists discussed in the preceding chapter by Shrader-Frechette. Examples of those I place under the metascientific view are the contributors to this volume themselves. A major theme running through this volume is that risk assessment cannot and should not be separated from societal and policy values (e.g., Silbergeld's uneasy divorce).

Credit Risk Management of Commercial Banks in Nepal

2019 ◽  
Vol 4 (1) ◽  
pp. 27-37
Author(s):  
Shreya Pradhan ◽  
Ajay K. Shah
Keyword(s):  
Risk Assessment ◽  
Risk Management ◽  
Credit Risk ◽  
Commercial Banks ◽  
Management Practices ◽  
Risk Mitigation ◽  
Mitigation Measures ◽  
Credit Risk Management ◽  
Loan Repayment ◽  
Credit Risk Assessment

The study is primarily focused on credit risk assessment practices in commercial banks on the basis of their internal efficiency, assessment of assets and borrower. The model of the study is based on the analysis of relationship between credit risk management practices, credit risk mitigation measures and obstacles and loan repayment. Based on a descriptive research approach the study has used survey-based primary data and performed a correlation analysis on them. It discovered that credit risk management practices and credit risk mitigation measures have a positive relationship with loan repayment, while obstacles faced by borrowers have no significant relationship with loan repayment. The study findings can provide good insights to commercial bank managers in analysing their model of credit risk management system, policies and practices, and in establishing a profitable and sustainable model for credit risk assessment, by setting a risk tolerance level and managing credit risks vis-a-vis the prevailing market competition.

scholarly journals Effect of Employees’ Understanding on Risk Management Process on Risk Management: A Case Study in a Non-profit Organisation

2019 ◽  
Vol 10 (3) ◽  
pp. 144
Author(s):  
Erlane K Ghani ◽  
Nor Hamimah Nor Hassin ◽  
Kamaruzzaman Muhammad
Keyword(s):  
Risk Assessment ◽  
Risk Management ◽  
Risk Control ◽  
Risk Identification ◽  
Management Process ◽  
Poor Knowledge ◽  
Non Profit ◽  
Monitoring Process ◽  
Risk Management Process ◽  
Risk Assessment And Analysis

Purpose: This study examines the effect of employees’ understanding of risk management process on knowledge on risk management in a non-profit organisation. Specifically, this study examines the effect of employees’ understanding of risk identification, risk assessment and analysis and, risk control and monitoring on their knowledge on risk management.Design/Methodology/Approach: This study used questionnaire survey on 80 employees of various levels in a non-profit organisation.Findings: This study shows that the most of the employees felt that they have a poor knowledge on risk management. The poor knowledge on risk management is attributed by the all three determinants in this study namely, understanding risk identification, risk assessment and analysis and, risk control and monitoring process on knowledge on risk management.Practical Implications: The findings provide indication that non-profit organisations need to provide awareness programs to their employees in increasing their knowledge on risk management. The findings of this study is essential to the managements to ensure that their employees are well informed and understand risk management and subsequently, take necessary control to reduce risks.Originality/Value: This study provides further understanding on the importance of understanding risk management process on performance.

A neural network approach for retailer risk assessment in the aftermarket industry

2019 ◽  
Vol 26 (5) ◽  
pp. 1631-1647 ◽  
Author(s):  
Shirin Rezaei ◽  
Sajjad Shokouhyar ◽  
Mostafa Zandieh
Keyword(s):  
Neural Network ◽  
Risk Assessment ◽  
Supply Chain ◽  
Mitigation Strategies ◽  
Risk Level ◽  
Self Organizing Map ◽  
Neural Network Approach ◽  
Content Type ◽  
Risk Levels ◽  
Risk Management Process

Purpose Given the competitive environment and complicated relationships in supply chains in the modern era, it is important to take into account internal and external risks. In addition, proper methods must be designed to evaluate these risks correctly. The purpose of this paper is to provide a suitable map based on the artificial neural network technique to assess and classify the risk levels of retailers who have interconnected rules in the downstream of the supply chain. Design/methodology/approach In this research, a model for risk assessment with a hexagonal grid and 2D self-organizing map was applied. Findings According to the results, the model used in the study can provide a basis for classification of retailers based on the specified risk levels defined by the experts and risk managers of the company. Also with the model’s visual output, managers can have a better understanding of the distribution of the risk level of retailers. Practical implications The proposed methodology can be adopted by managers to assess the risk of members involved in the supply chain, helping them to formulate the risk mitigation strategies based on the risk levels. Originality/value As a part of the risk management process, organizations can use this developed method to reduce the existing risks imposed by the members or customers on the company.

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