IDEAS home Printed from https://ideas.repec.org/a/taf/conmgt/v22y2004i3p237-252.html
   My bibliography  Save this article

Risk management framework for construction projects in developing countries

Author

Listed:
  • Shou Qing Wang
  • Mohammed Fadhil Dulaimi
  • Muhammad Yousuf Aguria

Abstract

It is important to manage the multifaceted risks associated with international construction projects, in particular in developing countries, not only to secure work but also to make profit. This research seeks to identify and evaluate these risks and their effective mitigation measures and to develop a risk management framework which the international investors/developers/contractors can adopt when contracting construction work in developing countries. A survey was conducted and twenty-eight critical risks were identified, categorized into three (country, market and project) hierarchical levels and their criticality evaluated and ranked. For each of the identified risks, practical mitigation measures have also been proposed and evaluated. Almost all mitigation measures have been perceived by the survey respondents as effective. A risk model, named Alien Eyes' Risk Model, which shows the hierarchical levels of the risks and the influence relationship among the risks, is also proposed. Based on the findings, a qualitative risk mitigation framework was finally proposed which will benefit the risk management of construction project in developing countries.

Suggested Citation

  • Shou Qing Wang & Mohammed Fadhil Dulaimi & Muhammad Yousuf Aguria, 2004. "Risk management framework for construction projects in developing countries," Construction Management and Economics, Taylor & Francis Journals, vol. 22(3), pages 237-252.
    • Handle: RePEc:taf:conmgt:v:22:y:2004:i:3:p:237-252
    DOI: 10.1080/0144619032000124689
    as

    Download full text from publisher

    File URL: http://www.tandfonline.com/doi/abs/10.1080/0144619032000124689
    Download Restriction: Access to full text is restricted to subscribers.
    File URL: https://libkey.io/10.1080/0144619032000124689?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Matej Špak & Tomáš Mandičák & Marcela Spišáková & Dominik Verčimák, 2023. "Risk Management on Concrete Structures as a Tool for the Control of Construction Efficiency," Sustainability, MDPI, vol. 15(12), pages 1-15, June.
    2. Ahsan Nawaz & Xing Su & Qaiser Mohi Ud Din & Muhammad Irslan Khalid & Muhammad Bilal & Syyed Adnan Raheel Shah, 2020. "Identification of the H&S (Health and Safety Factors) Involved in Infrastructure Projects in Developing Countries-A Sequential Mixed Method Approach of OLMT-Project," IJERPH, MDPI, vol. 17(2), pages 1-18, January.
    3. Agnieszka Leśniak & Filip Janowiec, 2019. "Risk Assessment of Additional Works in Railway Construction Investments Using the Bayes Network," Sustainability, MDPI, vol. 11(19), pages 1-15, September.
    4. A. Garcia-Bernabeu & F. Mayor-Vitoria & F. Mas-Verdu, 2015. "Project Finance Recent Applications and Future Trends: The State of the Art," International Journal of Business and Economics, School of Management Development, Feng Chia University, Taichung, Taiwan, vol. 14(2), pages 159-178, December.
    5. Philip-Mark Spanidis & Christos Roumpos & Francis Pavloudakis, 2021. "A Fuzzy-AHP Methodology for Planning the Risk Management of Natural Hazards in Surface Mining Projects," Sustainability, MDPI, vol. 13(4), pages 1-23, February.
    6. Weddy Bernadi Sudirman & Sarwono Hardjomuljadi, 2011. "Project Risk Management in Hydropower Plant Projects," Journal of Infrastructure Development, India Development Foundation, vol. 3(2), pages 171-186, December.
    7. Cunbin Li & Yunqi Liu & Shuke Li, 2016. "Risk Evaluation of Qinghai–Tibet Power Grid Interconnection Project for Sustainability," Sustainability, MDPI, vol. 8(1), pages 1-19, January.
    8. Anuja Shaktawat & Shelly Vadhera, 2021. "Risk management of hydropower projects for sustainable development: a review," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 23(1), pages 45-76, January.
    9. Irem Dikmen & M. Talat Birgonul, 2006. "A review of international construction research: Ranko Bon's contribution," Construction Management and Economics, Taylor & Francis Journals, vol. 24(7), pages 725-733.
    10. Palaco, Ileana & Park, Min Jae & Kim, Suk Kyoung & Rho, Jae Jeung, 2019. "Public–private partnerships for e-government in developing countries: An early stage assessment framework," Evaluation and Program Planning, Elsevier, vol. 72(C), pages 205-218.
    11. John Malu Nzioki & Dr. Mary Nyawira Mwenda, 2021. "Enhancing Performance of the Building Construction Industry through Quantitative Risk Analysis and Risk Response: A Case of Exchequer Funded Building Construction Projects in Machakos County, Kenya," International Journal of Research and Innovation in Social Science, International Journal of Research and Innovation in Social Science (IJRISS), vol. 5(3), pages 31-39, March.
    12. Ahsan Nawaz & Ahsan Waqar & Syyed Adnan Raheel Shah & Muhammad Sajid & Muhammad Irslan Khalid, 2019. "An Innovative Framework for Risk Management in Construction Projects in Developing Countries: Evidence from Pakistan," Risks, MDPI, vol. 7(1), pages 1-10, February.
    13. Ing.Jakub Blatak, 2016. "Potential of Using Design-Build in Public Procurement," Applied Finance and Accounting, Redfame publishing, vol. 2(2), pages 77-85, August.
    14. Xiaoyan Jiang & Kun Lu & Bo Xia & Yong Liu & Caiyun Cui, 2019. "Identifying Significant Risks and Analyzing Risk Relationship for Construction PPP Projects in China Using Integrated FISM-MICMAC Approach," Sustainability, MDPI, vol. 11(19), pages 1-31, September.
    15. Edwin Thomas Banobi & Wooyong Jung, 2019. "Causes and Mitigation Strategies of Delay in Power Construction Projects: Gaps between Owners and Contractors in Successful and Unsuccessful Projects," Sustainability, MDPI, vol. 11(21), pages 1-16, October.
    16. Mónika Garai-Fodor & Tibor Pál Szemere & Ágnes Csiszárik-Kocsir, 2022. "Investor Segments by Perceived Project Risk and Their Characteristics Based on Primary Research Results," Risks, MDPI, vol. 10(8), pages 1-13, August.
    17. Akbari Ahmadabadi, Ali & Heravi, Gholamreza, 2019. "Risk assessment framework of PPP-megaprojects focusing on risk interaction and project success," Transportation Research Part A: Policy and Practice, Elsevier, vol. 124(C), pages 169-188.
    18. Hande Aladağ, 2023. "Assessing the Accuracy of ChatGPT Use for Risk Management in Construction Projects," Sustainability, MDPI, vol. 15(22), pages 1-27, November.
    19. Babatunde, Solomon Olusola & Perera, Srinath, 2017. "Analysis of traffic revenue risk factors in BOT road projects in developing countries," Transport Policy, Elsevier, vol. 56(C), pages 41-49.
    20. Keonhyeong Lee & Liyuan Wang, 2023. "Chinese High-Tech Export Performance: Effects of Intellectual Capital Mediated by Dynamic and Risk Management Capabilities," SAGE Open, , vol. 13(1), pages 21582440231, February.
    21. Gholamreza Dehdasht & Rosli Mohamad Zin & M. Salim Ferwati & Mu’azu Mohammed Abdullahi & Ali Keyvanfar & Ronald McCaffer, 2017. "DEMATEL-ANP Risk Assessment in Oil and Gas Construction Projects," Sustainability, MDPI, vol. 9(8), pages 1-24, August.
    22. Jin Woo Won & Wooyong Jung & Seung Heon Han & Sungmin Yun & Bonsang Koo, 2019. "What Enables a High-Risk Project to Yield High Return from a Construction Contractor’s Perspective?," Sustainability, MDPI, vol. 11(21), pages 1-17, October.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:taf:conmgt:v:22:y:2004:i:3:p:237-252. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Chris Longhurst (email available below). General contact details of provider: http://www.tandfonline.com/RCME20 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.