Risk Management Flashcards
What is risk?
An uncertain event or circumstance
What risk identification methods are there?
Brain storming
Historical data
Lessons learnt
Similar projects
Under NRM, what are 4 types of risk?
Design Risk - change to estimate data
Construction Risk - site conditions
Employer Risk - change to scope
Employer Other - acceleration/postponement
What solutions are there to risk?
Reduce
Retain
Avoid
Transfer
Share
How do you manage risk?
Monitor/Review/Update
1 - Risk Register - likelihood/impact
2 - Risk Management Plan - assess/optimise solutions
3 - Monte Carlo - simulation that analysis probabilities
Give me examples of risk?
UXO
Quality of work
Planning
Supply chain
Ground conditions
What is EMV?
Expected Monetary Value
Probability x Impact
Is there any guidance for risk?
NRM
RICS Management of Risk, 1st Ed
What are the Risk Categories?
External - influence
External - uncontrolleable
Internal - site operations
Internal - user requirements
Internal - project progress
5 steps to a Risk Assessment? [this is more health and safety]
Identify hazards
Decide who might be harmed and how
Evaluate risks and decide precautions
Record findings and implement
Review and assess
How do you calculate EMV?
Multiply the value of each outcome by each outcome by the chance it can occur ie probability x impact
Risk Quantification techniques?
Probability Trees
Monte Carlo
Percentage addition
Simple method of assessment
Event Tree analysis
Risk Identification techniques?
Risk Breakdown Structure:
Natural
Economic
Risk Categories:
Internal
Project Progress
Ext
Other:
Brainstorm
Historical Info
Workshops
Advise on risk of procurement?
Tender return risk profiling - risk of each tender
Risk responsibilities
Risk quantification to provide allowances
Poor tender selection and delays
How advise client risk for procurement routes?
Create a table:
Rows identify risk areas ie construction programme; design programme; control of quality; quality of construction; sub-contracting; cost certainty
Columns identify procurement route ie Traditional; D&B; Management Contracting; Construction Management
Score/grade each intersection with the level of risk
Total the scores to have overall risk rating
