The role of risk management in the construction industry is essential due to the complexityand dynamic environment of the projects. To enhance project success, it is important toembed risk management practices in every activity of the project.The research question is “What is the classification of risks of joint ventures projects indeveloping countries and especially in countries that are facing economic crisis?” Theobjective of this thesis work is to assess the risks by creating proper risk probability versusrisk impact matrices and proceed with further analysis and based on the criticality of themand furthermore to allocate the risks and possible bias of the Concession AgreementBased on literature review and the objective of this thesis work, the propositions are thefollowing: “1) All the examined risks have the possibility to exist. 2) Risks, which hugelyimpact joint venture projects, are financial risks. 3) The purpose of the ConstructionContract is to ensure a fair distribution of risks between the parties, determining the parties'rights, duties, responsibilities and obligations in advance. 4) Criticality is an independentvariable from impact and possibility.”Due to the nature of this research and the research objective, the scientific idealimplemented is critical realism. This research is conducted based on quantitative method ofprimary data analysis. A questionnaire was formed in order to be given to the Panel ofExperts from different organizations for the evaluation of the problem.Based on the empirical data and analysis, the author indentified and evaluated the risks ofthe joint venture construction projects in developing countries within the definedenvironment of the consortium, where the state has a specific regal role, based oncriticality, risk probability and risk impact. The analysis of the data was done with the RankReciprocal method (Carr & Zwick, 2007, p.70). In this thesis work, they are identified,individually and also aggregately, the specific risks with high criticality, high probabilityand high impact. The risks of joint venture projects classified with the higher criticality, thehigher probability and the higher impact, aggregately, are: Public Utilities Organizations(P.U.O.) permits delay (due to either Concessionaire's fault, or State's), State defaults (or anExtensive Force Majeure Event creates a State Event of Default), Events of Delay occurduring Design-Construction period affecting that period or the next one (the OperationPeriod), Critical path complications due to Archaeological Surveys revealing antiquities,Delays, inability of State in its obligation to go forth in expropriations. Risk managers canfocus on those risks and ensure the success of risk management and project control.

Risk management (RM) should be seen as one of the most important functions in the South African built environment. Without the effective management of the risks associated with the industry, the noble vision of a sector that is efficient, profitable, and sustainable cannot be achieved. By embracing tried and tested policies that successfully mitigate risk, industry stakeholders will achieve many project successes, and will outlast any competitors that choose to ignore, or are ignorant of the fact, that the negative impact risk has on projects is inversely proportional to the level of RM employed. Construction Project Management (CPM) practices, realising that there are excellent business opportunities across South Africa’s borders, and faced with a competitive South African market, are engaging with developers and government entities involved in cross border projects in the hope of securing these potentially lucrative African projects. With this move into Africa comes increased uncertainty and risk for these CPM practices, and other project stakeholders. Similarly, CPM practices that have made the strategic decision to remain operational only within South Africa’s borders, are faced with a competitive and complex built environment and industry, made increasingly challenging by a weakening economy, exacerbated by industrial strikes, infrastructure deficiencies and a decrease in industry skill levels. This study reports on Project Managers’ (PMs’) perceptions of project failures and inefficiencies resulting from inadequate RM on projects, including the RM methodologies currently being employed. The study focused on perceptions of PMs who operate within South Africa’s borders, PMs that operate across border into other African countries, as well as PMs who operate exclusively within South Africa’s built environment framework. A study was undertaken incorporating qualitative methodologies via a normative survey. The survey was split into three main phases. Phase one employed the use of a pilot survey executed with the objective of further investigating the main sub-problems to gain more insight into the related issues and challenges. For the pilot survey, PMs were selected based on their engagement in CPM activities within South Africa as well as across South Africa’s borders into other African countries. Phase two of the main survey, with the sample stratum being the Association of Construction Project Managers (ACPM), was aimed at PMs within the ACPM who have engaged, or are engaging, in CPM activities both within South Africa’s borders as well as across South Africa’s borders into other African countries. Phase 3 of the main survey, with the sample stratum being the ACPM, was aimed at PMs within the ACPM who have engaged, or are engaging, in CPM activities within South Africa’s borders only and have not engaged in cross border activities. Survey findings identified the commercial sector and value of the projects undertaken by the practices, the level of risk associated with different client typologies, the link between inadequate RM and project inefficiency and failure, and the importance of RM on projects. Findings also identified that RM methodologies are employed by CPM practices, and that CPM practices generally endeavour to create a culture of risk awareness amongst employees. Further findings indicated that CPM practices may not always understand the risks associated with new industry sectors, regions or countries that they are considering operating within, and that that there is room for improvement regarding the effectiveness of current RM systems. Survey findings also indicated that risk is not always transferred to the correct project stakeholder most suited to managing the risk, and CPM practices are not always able to accurately quantify the costs associated with project risk. Furthermore, it was identified that CPM practices do not always undertaken risk assessments (RAs) at the correct project stage resulting in inadequate risk contingencies allowances, regular risk reviews are not always undertaken for projects, project pre-mortems are seen as valuable tools by CPM practices as a method to reduce future risk, and project post-mortems relative to ‘lessons learnt’ are not always undertaken. Conclusions outline the link between effective RM, project inefficiencies and project failure, as well as the increase or decrease in risk relative to ineffective or effective use of risk identification and management methodologies for time, cost, and quality factors respectively. Conclusions also outline the fact that although CPM practices generally understand the link between RM and project success, they are not always able to fully comprehend the risks associated with new industry sectors, regions or cross border countries. This indicates that without the adequate identification of risk, the RM process or steps that follow the qualitative risk identification process will have little or no value. This is indicative of the requirement for professional associations to consolidate risk data for industry activities with the aim of improving the level of RM industry wide. Recommendations highlight the importance of the compiling of sector specific risk registers, compiled by the South African Council for the Project and Construction Management Professions (SACPCMP) with registered member input, made available to all PMs via the SACPCMPs online database. Further recommendations include: the engendering, by senior management of CPM practices; a healthy ‘risk aware’ culture, by promoting RM practices aligned with best practice methodologies; the implementation of well balanced and formal RM systems throughout the CPM practice, with the aim of achieving effective RM without overburdening PMs with unnecessary documentation or ‘paperwork’; the attendance of risk conferences and workshops by all CPM practices, aimed at specifically identifying challenges that exist with RM and methods that can be employed to improve the status quo; the attendance of formal risk training courses, by all CPM practices, aimed at improving the knowledge base of PMs relative to effective RM, and the appointment of risk professionals, driven by the monetary value and risk levels of the project, to undertake the RM process and unburden PMs from the task, allowing PMs to concentrate on the other project knowledge areas.

A Research Report proposal submitted to the Faculty of Engineering and the Built Environment, University of the Witwatersrand, in partial fulfilment of the requirements for the degree of Masters of Science (Building) Project Management in Construction. Johannesburg 2015 / The construction industry is one of the major industries in the world and has one of the poorest records in Occupation Health and Safety. In developing countries with improved political and economic stability in recent years, infrastructure developments have significantly increased which has implications for the industry to deliver projects safely. Many designers’ in the construction industry in developed countries believe that contractors have knowledge to offer concerning safety as they have the experiences from different projects and can pin point potentially hazardous risks in the design phase of the project and consequently improve on the Health and Safety and Safety Performance of a project. This research aimed to discover what designers’ in the South African construction industry perceived about the use of ECI in the industry and its effect on the safety performance on construction sites. A review of the literature showed that the designers in the construction industry had various perceptions towards trust and commitment of the contractor towards safety and liability issues among other concerns. Twenty-nine questions were identified, which formed the basis of the quantitative analysis that was undertaken. Five hundred architects, engineers and project managers were identified from the Gauteng Province of South Africa and a questionnaire survey emailed to them. A census sample was used in this research and despite the low response rate (9%) from the participants; the data collected was seen as representative of the population. Analysis of the data collected from this survey revealed that designers believe that the use of ECI in the construction industry may improve the safety performance of the project as well as including contractors earlier in the design phase may be beneficial in enhancing safety during construction. The research also revealed that the designers believe that contractors have knowledge to offer in designing for safety as well as identifying potentially hazardous risks that may elude the designers during the design phase. From the data collected, a number of recommendations were developed to promote the use of ECI in developing countries including a review of policies and guidelines in the construction regulations so as to boost the use of ECI and consequently reduce the number of accidents and fatalities in the industry and as well as improve the overall safety performance of construction sites in South Africa. The overall finding of this research show that the designers in the South African construction industry have a positive attitude towards the use of ECI in the construction industry and are ready to implement it mainly due to the fact that it has a positive impact on the health and safety of workers as well as the overall safety performance of construction sites.

M.Ing. / The research is based on the complexity of project management and risk management fields and how applying each field on its own can be problematic. This poses an everyday challenge to project managers when implemented simultaneously and such a problem predominantly exists in the engineering construction field.The challenge faced by project managers is approached throughout the research study by introducing a commonly used six order matrix framework with a high success rate in analysing and dissecting complex fields into small fragments. The framework is known as the Zachman Framework for Enterprise Architecture. However this is only done once a thorough literature review of both project and risk management as well as the limitations of the Zachman Framework have been well documented.Once the Zachman Framework for Construction adaptation is complete, it is then applied to an inner city construction case study. The results of the case study are used to determine if throughout the project lifecycle it has been possible to analyse and implement all project and risk management requirements simultaneously with little or no correction of project constraints.Using a developed integrated risk management tool which graphically tracks aggregate risk( s) in cost and time together with the Zachman Framework for Construction, the case study results reveal that it is possible to increase the ability to simultaneously manage risk and normal activities by concluding that the project constraints (i.e. cost) are accurately estimated and accomplished. In conclusion the research study,discussion and recommendations are made in order to implement all cells within the Zachman Framework for Construction therefore increasing the success of any project and risk management construction field.

This is a study of how mothers of young children relate to risk in everyday life, with an emphasis on the in­visible risks associated with modernity in general, and with food in particular. It explores variations and similarities in how mothers deal with risk in two cultural contexts: Sweden and Poland. The study is based on twenty qualitative interviews with university educated mothers of small children in Stockholm and Warsaw. While risks more generally challenge how we “get on” with our lives, mothers of young children in particular have a special relationship to risk. During pregnancy and breastfeeding they are subject to all kinds of risk minimization efforts, and mothers are ultimately held "infinitely responsible" for their children's welfare by society. Women's transition to parenthood then makes for a particularly in­teresting case as to how risks manifest in everyday life. The theoretical framework draws on modernization theory, combined with insights from cultural theory. In addition, various contributions from sociological and psychological risk research, family sociology and research on parenting and motherhood are used to highlight contextual aspects and to inter­pret the empirical results. Two aspects of the mothers’ relationship to risk and food are examined in this study: firstly, their risk constructs, i.e. what they perceive as ‘risky’ with regards to food; and, secondly, their risk management strategies, i.e. how they deal with identified risks on a practical and cognitive level. The overall risk management depicted in this study is characterized by reflexivity, critical thinking, infor­mation retrieval, attention to scientific evidence, purposely transferred trust, confidence and the ability to make fairly sophisticated tradeoffs between risks and other aspects of life. Neither the Swedish nor the Polish mothers then conform to popular notions of ‘security junkies’ or ‘paranoid parenting’. Nonetheless, the comparative approach demonstrates how contextual differences, such as general trust levels and family policy, influence both the risk constructs and the employment of different risk management strategies.

Project risk assessment is an effective tool for planning and controlling cost, time and achieving the technical performance of a building construction project. Construction projects often face a lot of uncertainties, which places building construction projects at the risk of cost, time overruns as well as poor quality delivery. Considering the limited resources of developing countries, there is need to complete building projects on-time, on-budget, and to meet optimal quality hence, risk management is an important part of the decision making process in construction industry as it determines the success or failure of construction projects. In line with this need, this research aims to establish a system to improve the time, cost and quality performance of building construction projects in developing countries, through a comprehensive risk management model that ensures the expectations of clients are met. To achieve the aim of this research, a mixed methodological approach was adopted. Through the review of literature, a conceptual risk management framework suitable to elaborate risk assessment of building construction projects especially for developing countries was developed. A questionnaire survey using a nonprobability sampling technique was conducted to elicit information from construction professionals in Nigeria to assess their perception of 79 risk factors identified from literature review based on the likelihood of occurrence and impact on projects using a five point scale. Responses from 343 construction professionals were drawn from 305 contractors and subcontractors and 38 clients (private and public) within the Nigerian construction sector. Response data was subjected to descriptive statistics to depict the frequency distribution and central tendency of responses. Subsequently, the risk acceptability matrix (RAM) was adopted to categorise and prioritise risk factors. 27 critical risks that affect building construction projects were identified. A Bayesian Belief Network (BBN) model was developed by structural learning and used to examine the cause and effect relationship amongst the 27 critical risk factors. The developed BBN model was subjected to validation using a multiple case study of two building construction projects in Nigeria. The result showed the interrelation between the 27 risk factors and how they contributed to cost and time overruns as well as quality problems. The critical risks directly affecting the cost of building construction project were: fluctuation of material prices; health and safety issues; bribery and corruption; material wastage; poor site management and supervision; and time overruns. The critical factors identified to directly affect quality were: supply of defective materials; working under harsh conditions; improper construction methods; lack of protective equipment; ineffective time allocation; poor communication between involved stakeholders; and unsuitable leadership style. Time overruns on building construction projects was directly caused by: quality problems; low productivity; improper construction methods; poor communication between involved parties; delayed payments in contracts; and poor site management and supervision. As a consolidation of the findings of this research, a BBN model for identifying risk factors that directly affect time, cost and quality on building construction projects has been developed which has the potential for assisting construction stake holders to manage risks on their projects. In view of the findings, a best practice system for risk management in building construction projects in Nigeria has been developed with an implementation guide to help building construction practitioners to successfully implement risk management on their building construction projects. Suitable risk responses, also in the form of recommendations have been identified. The strategies include actions to be taken to respond to risks based on their perceived significance or acceptability as well as some positive risk responses, such as exploiting, sharing, enhancing and accepting, and other negative risk responses, such as avoidance, mitigation transfer and acceptance.

The diploma thesis deals with the evaluation of the effectiveness and risks of a private construction project. This work is divided into two parts. The first part is a theoretical part, which defines the basic concepts associated with investment as such, but also directly with investment in real estate and construction investment. In the second part, this work deals with risk assessment, determination of their size and finally risk management. The end of the theoretical part is the elaboration of methodology for the practical part. The beginning of the practical part the work is devoted to the description of the construction area and specification of the building itself. In the next part are set investment costs, operating income and expenses. Operating income consists of the lease itself. This was determined on the basis of similar investments in the area. Operating expenses are divided into fixed and variable where only fixed are included in the evaluation. Subsequently, the work establishes the profit and loss statement and therefrom the cash flows. The second part defines the risks associated with the construction of the project. The switching value is then calculated for critical project risks. The end of the practical part is devoted to risk management. The conclusion summarizes the results of individual parts of the thesis and a written recommendation for the investor whether to realize the project or not.

Dissertation submitted in fulfilment of the requirements for the degree Master of Technology: Construction Management Department of the Built Environment in the Faculty of Construction Management and Quantity Surveying at the Cape Peninsula University of Technology 2014 / The construction industry contributes significantly to national economic growth and offers substantial opportunities for job creation; however the industry has continually been plagued by workplace accidents. Moreover, employers may not realize the economic magnitude of workplace injury and ill health arising from construction activities. These accidents represent a considerable economic and social burden to employers, employees and to society as a whole. Despite governments and organisations worldwide maintaining an on-going commitment towards establishing a working environment free of injury and disease, a great deal of construction accidents continues to frequent our society. Given the high rate of construction accidents experienced, employers are not entirely mindful of the actual costs of construction accidents, especially when considering the hidden or indirect costs of accidents. Various safety research efforts have attempted to quantify the true costs of worker injuries, however localised systematic information on cost of construction accidents at work is not readily available from administrative statistical data sources, therefore this study was carried out in order to estimate the costs, like lost workdays or lost income, are clearly visible and can readily be expressed in monetary value; for a large part however, economic consequences of accidents are somewhat hidden. Indirect costs following an accident may be disregarded, damage to the company image is difficult to quantify and pricing human suffering and health damage is subject to discussion. Nevertheless, it is possible to get an adequate insight into the costs of accidents and the potential benefits of accident prevention.

The construction workforce in South Africa is one that is ageing. This is a global phenomenon and necessitates research into how the older cohort of the construction work force can be optimally engaged. Optimum worker productivity, high quality products that meet the specifications required, and high levels of occupational safety and health are integral factors in achieving a sustainable workforce. The purpose of the research was to quantify the injury rates among older construction workers as well as to determine the events leading to these injuries, the nature of the injuries and the bodily locations affected. The costs associated with these injuries were investigated to understand whether there were any discernable differences between injuries to older and younger workers. Apart from the literature review, two statistical construction injury databases were analysed. Qualitative questionnaire based interviews were designed to gather information related to older construction workers. Questionnaires were sent to construction site managers to gauge their perceptions of older construction workers. The statistical data was collected from the Western Cape region and was for the period 1998 through 2005 while the interviews and questionnaire data were collected during 2008. xv The potential benefits to industry are a consolidation of injury information relating to older construction workers. This should assist construction managers with developing policies and implementing strategies to prevent or at least minimise injuries and minimise the related costs, with the aim of more effectively utilising their older workers and ultimately achieving a more sustainable construction industry. The study found that older workers sustained less injuries in total compared with younger workers. No discernable variances occurred between younger and older workers when it came to events leading to injuries (causes) and the type/nature of injuries. It was, however, found that for the body parts affected, older workers were more prone to certain injuries. Older workers sustained less severe injuries compared with their younger counterparts but the injuries were more costly. The research findings supported the notion that older workers receive less training than younger workers.

The present dissertation studies financial impacts of risks in the construction industry, providing one of possible ways of the risks expression and monitoring, through which they can be efficiently managed. Theoretical assumptions and selected methodology provided basis for an overall analysis of the Czech Republic construction market, identifying possible external risks sources including their processing and description. The present dissertation aims at finding major risks and assessing their financial impacts that pose threats to companies active in the construction sector, indeed a specific sector for doing business. These risks have been compiled in a Risk Catalogue intended as a guide for selected risks management. To elaborate on the risks identified, two specific companies have were selected, having provided their data (financial reports, accounts statements, number of projects contracted including their volume and type, personnel information, etc.), as well as key indicators they have been using. The dissertation outcome presents construction sector analysis and Risk Register compilation. The work clearly defines the procedure of the Register compilation, possibly to be used by construction companies with respect to recurrent activities and the risks involved. The Catalogue sorts risks in categories and defines their possible occurrence as well as their financial impact on the company. Furthermore, it presents their possible management, i.e. how they can be minimized or even eliminated, as well as necessary costs involved. Indeed, the costs have to be considered in the sense of financial impacts so that it does not result in covering risks with rather low financial impact.