Survey and Analysis of Risk Management in Building Construction Work

The literature on construction and project risk management is reviewed and analysed to identify trends and foci in research and practice. This analysis is used to identify gaps and inconsistencies in the knowledge and treatment of construction and project risk. The paper describes, on the basis of a questionnaire survey of general contractors and project management practices in Pune, the construction industry's perception of risk associated with its activities and the extent to which the industry uses risk analysis and management techniques. It concludes that risk management is essential to construction activities in minimizing losses and enhancing profitability. Construction risk is generally perceived as events that influence project objectives of cost, time and quality. Risk analysis and management in construction depend mainly on intuition, judgement and experience. Formal risk analysis and management techniques are rarely used due to a lack of knowledge and to doubts on the suitability of these techniques for construction industry activities.