• Title/Summary/Keyword: Construction project risk management

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The Development of Risk Management Process Model during Bidding Phase for Success of Oversea Construction Projects (성공적 해외건설사업을 위한 입찰단계의 리스크 관리 프로세스 모델 개발 - 발전 플랜트 EPC 사업을 중심으로 -)

  • Seo, Jae-Pil;Ryu, Han-Guk;Son, Bo-Sik;Choi, Yoon-Ki
    • Korean Journal of Construction Engineering and Management
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    • v.17 no.4
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    • pp.76-86
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    • 2016
  • Recently, the Contracts of International Construction Business has been decreased from the beginning of 2015 in Korea, although it has been steadily increased until 2014. This trend could be caused by Low-Price Contracts, the lack of Know-how and experience in operating, the poor management of Claims and Low-Profitability in Business. It has been recognized that the qualitative improvement of Business Contacts are necessary for successful Projects. In the Bidding Process, therefore, Experience data as In-House Data and Lessons Learned for projects should be strategically involved to assure riskless offers. Accordingly the Proposal Process are needed to be organized and enhanced by including processes for risks review about technical, marketing and commercial part during the bidding. This paper proposes a Risk Management Process model during Bidding Phase, using Risk Evaluation Method through the project life-cycle. The Concept of Model is to define CSF (Critical Success Factor) in the bidding process and Risk Factors are linked to CSF and Organization based on RAM (Responsibility assignment matrix).

Management Research in Plant Construction;Introduction of research center (플랜트 프로젝트 관리체계 표준화 기술 개발;연구단 소개)

  • Lee, Young-Nam;Kim, Chan-Soo
    • Proceedings of the Korean Institute Of Construction Engineering and Management
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    • 2006.11a
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    • pp.213-220
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    • 2006
  • Plant construction industry is a high value-adding industry because it is complex industry comprising engineering, procurements of equipments and construction. So, Revenue increase in overseas plant projects would boost up not only domestic construction industry but also growth of national economy. Recently, overseas plant-construction market is expanding dramatically. For instant, Middle-east countries are constantly increasing their orders for the construction of petro-chemical plants stimulated by sky-rocketing oil prices. The purpose of this research is to develop management techniques for plant projects such as work break-down structure, knowledge management system, logistics & procurement system, and risk assessment tools. We believe our research would contribute to the competion of Korean engineeing companies and contractors in overseas plant-construction market.

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A Study on Countermeasures for Risk Factors Through Risk Analysis of Earthwork (흙막이공의 리스크 분석을 통한 리스크 요인별 대응 방안에 관한 연구)

  • Jeon, Byung Ju;Isah, Muritala Adebayo;Kim, Hyun Bee;Lee, Yang Gyu;Kim, Byung Soo
    • KSCE Journal of Civil and Environmental Engineering Research
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    • v.42 no.5
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    • pp.681-688
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    • 2022
  • According to a recent study, most construction companies in Korea do not manage risk effectively, and it is judged that the risk management system needs to be improved. In addition, most risk-related studies deal with risks from a macroscopic perspective, and there are few studies dealing with process risks at the project construction stage. Therefore, this study tried to suggest a risk response plan through analysis and classification of risk factors that may occur in retaining work among process risks. To this end, a workshop was held for risk experts to identify and analyze risks that may occur during the construction of retaining work for apartments. As a result of the study, it was expected that savings of KRW 4.97 billion would be possible in the 95 % confidence interval, and the maximum possible cost was reduced from KRW 15 billion to about KRW 10 billion. Based on the risk reduction ratio, it was found that risks that can be reduced without any special input cost, risks with large effects in response to risks, and risks with insignificant effects were found. Therefore, using the types and risk factors presented in this study as guides, it is expected that it will be helpful in successfully operating the project if an appropriate response strategy is prepared and systematically responded to the site conditions.

Risk-based Profit Prediction Model for International Construction Projects (해외건설공사의 리스크 분석에 기초한 수익성 예측모델에 관한 연구)

  • Han, Seung-Heon;Kim, Du-Yon
    • KSCE Journal of Civil and Environmental Engineering Research
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    • v.26 no.4D
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    • pp.635-647
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    • 2006
  • Korean construction companies first advanced to the international markets in 1960's and so far have brought more than 4,900 projects which account for 193 billion dollars approximately. With the large increase of national employment and income being followed by the achievement, Korea's construction industry has made an enormous contribution to the improvement of domestic economy for the last 40 years. However, recently the increased risk in international markets as well as the sharpening competition with foreign companies promising in terms of advanced technologies and low labor cost have been driving Korean construction away from the market shares. According to ENR (Engineering News Record, 1994~2003), it is revealed that 15.1% of top 225 global contractors are suffering from loss in international construction markets. This phenomenon is largely due to the highly uncertain characteristics of international projects, which are inherently exposed to various and complicated risky situations. Furthermore, especially for Korean construction companies, it is often the case that the failure in an international construction project cannot be offset by even a sufficient number of successful domestic achievements. Therefore, not only the selective screening among the nominated projects which have strong possibility of collapse but the systematic strategies for controlling potential risk factors are also considered indispensable in international construction portfolio management. The purpose of this study is to first analyze the causal relationships of the profit-influencing variables and the project success, and develop the profitability forecasting model in international construction projects.

Basic research for Developing VR-based Risk Management System for Railway Construction Project (철도시설공사의 가상건설기반 위험관리체계 구축 기초연구)

  • Kang, Leen-Seok;Jo, Su-Ik;Lee, Myung-Seok;Park, Jin-Jung
    • Proceedings of the KSR Conference
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    • 2009.05a
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    • pp.560-564
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    • 2009
  • 절도시설과 같은 광역지역 공사 현장에서는 다양한 요인을 갖는 공종별 위험요소가 존재하고 있으나, 현장에서 이를 효율적으로 관리할 수 있는 방안의 수립이 미흡한 실정이다. 따라서 본 연구에서는 철도 관련 실무자들을 대강으로 설문조사를 실시하여 공종별 위험 요인을 도출한다. 이를 통해 RBS(Risk Breakdown Structure)를 구축하고 제시된 RBS에 의한 위험도를 산정한 후 이를 기반으로 VR시스템과의 연동 및 위험관리 체계 구축 방법론을 제시하고 있다. 따라서 현장에서의 주요 공종별 Risk 위험도를 가상환경에서 구현이 가능하므로 위험요인에 따른 시설의 직관적 파악이 가능하다. 또한 시공자들은 나타난 시각화 정보에 의한 Risk에 대비해 효율적인 공사 관리를 이행할 수 있을 것으로 기대된다.

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A Study on the Estimating Rate of Safety Management Cost in Building Work (건축공사 안전관리비 비율 산정 모형에 관한 연구)

  • Son, Ki-Sang;Gal, Won-Mo;Yang, Hak-Su
    • Journal of the Korean Society of Safety
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    • v.22 no.5
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    • pp.33-40
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    • 2007
  • Standard safety management costs can not be applied to each site with same rate, it is very difficult, because it depends on the experience, work method, work kind, work progress schedule, and hazard level of each construction company. Therefore, this study is to find out hazard level of each work kinds through questionnaire and interview and investigate analyze the status which standard safety management costs have been used. Also, this study is to show reasonable rates of standard safety management costs in construction industry and to set up countermeasures against those problem after reviewing its status in korea with in Japan and Europe. This study is to investigate eleven project kinds of domestic system, first, and to investigate eleven items of apartment bldg, office. Also this study is to investigate and analyze performed costs of presently processing worker finished work so that it shows a new reasonable rate against standard safety management costs in construction industry, in order to make basical data and material to be systemized.

Knowledge Acquisition and Application for Scheduling Expert System of Highrise Buildings (HRB Expert 구축을 위한 지식의 획득과 활용)

  • Hong Young-Tak;Yu Jung-Ho;Lim Gyeong-Ho;Lee Hyun-Soo
    • Korean Journal of Construction Engineering and Management
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    • v.6 no.2 s.24
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    • pp.92-101
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    • 2005
  • The duration of highrise building projects is more shorter than its increasing of the numbers of floors. The project is liable to overrun of the time in which the project must be complete. AS highrise buildings are increased, time management has been reorganized as critical success factor. To improve time management, time management softwares are introduced and the software's education is made lively in construction company. However a large amount of time management works still have been based on not the software but scheduler's experience. We often can find the time overrun risk of highrise building because of the shortage of scheduler's experience. To diminish the mistake of the scheduler who does not have much experience, we suggested HRB Expert which uses expert's knowledge to make the time plan of highrise building. We made an example of knowledge acquiring and knowledge usage which cased on reinforced concrete work of highrise building by literature review and interview with scheduling expert. The precision of time plan will be enhanced and time overrun will be prevented on condition that HRB Expert is constructed and used

Enhancing Construction Safety through Wearable Technology - A Study of Employee Acceptance and Adoption in the USACE

  • Karen E. CARNAGO;Junshan LIU;Scott KRAMER
    • International conference on construction engineering and project management
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    • 2024.07a
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    • pp.879-886
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    • 2024
  • In the dynamic construction industry, particularly within the United States Army Corps of Engineers (USACE), ensuring worker safety in high-risk environments is a critical challenge. This study explores the integration of wearable technology in construction safety, focusing on its potential to enhance personal protective equipment (PPE). The primary goal of this study is to understand the factors influencing USACE employees' acceptance and adoption of wearable technology. Additionally, the research aims to assess the experiences of employees who have already used such technology to identify its practical benefits and levels of user satisfaction. A mixed-method approach was employed to gather qualitative insights from interviews with USACE safety experts and quantitative data from an online survey of USACE personnel. The findings indicate a general reluctance among workers to adopt wearable technology for monitoring work activities, mainly due to privacy concerns, usability issues, and perceived additional workload. However, there is interest in technologies that provide direct safety benefits, such as hazard alerts. This study illuminates the gap between the potential benefits of wearable technology and its current level of acceptance in the construction industry. It identifies the need for strategies to enhance worker acceptance and offers recommendations for future research.

A Study of Development of Change Process for Configuration Management in Construction Project Management (건설사업관리에서 형상관리에 관한 변경 프로세스 개선에 관한 연구)

  • Ko, Ho-Un;Park, Hyung-Keun
    • KSCE Journal of Civil and Environmental Engineering Research
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    • v.29 no.1D
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    • pp.81-89
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    • 2009
  • CM(Configuration Management) is a field of management that focuses on establishing and maintaining consistency of a product's performance and its functional and physical attributes with its requirements, design, and operational information throughout its life. Recently upcoming concept of CM, regardless of various definitions, consists of the organization and the process for value creation through project change management, value preservation by Risk, Project Management implementation by Change management. The CM provide a basis for, and a record of, the project's performance in meeting the scope, time, cost. Overseas international companies have already adopted the CM system and enjoyed the benefits arising from such systems. And the CM provides perspectives and insights applicable to all types of projects. This study presents the review on the current systems now in use at jobsites and known to be efficient, and the introduction and application of configuration systems now at big issue. Hereby indicates the connective system consisted of work process, change control and knowledge referring to the methods and actual cases as an effective promotion of CM.

The Analysis of Waste Factors for Business Phases on Customized Apartment Project (맞춤형 공동주택 프로젝트의 업무단계별 낭비요인 분석)

  • Choi, Jung-Im;Lee, Ki-Suk;Jung, Sung-Ho;Song, Young-Woong;Choi, Yoon-Ki
    • Korean Journal of Construction Engineering and Management
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    • v.14 no.3
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    • pp.146-156
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    • 2013
  • Recently, to reflect the various needs of customers in the apartment field, the customized apartment has emerged. From the point of the customer, customized apartments have the definite advantage of being able to guarantee more customer options. On the other hand, from the point of the project manager, there are significant risk factors, with increase of management factors, construction delays, etc. The reasons for this are, to date, the insufficient systematic analysis of the project, and the lack of experience of similar projects. This study provides the waste factors of each phase in a customized apartment project. A survey and interview are conducted to achieve the waste factors using MUDA methodology; a process of the project was analyzed; and a factor of each process was identified. Also, AHP(Analytic Hierarchy Process) are used, to evaluate the waste factors in project stages. The AHP results show that "Design change" and "Inappropriate intervention in construction process" ranked highly in the waste factors. The results of our research will provide a countermeasure that addresses waste factors in similar projects, and contributes to reducing the extra cost and time in new projects.