Analysis of Construction Organizations Risk Management

Abstract

In this report, the specific risk areas relevant to construction industry and the risk management process surrounding are addressed. It also tries to understand the hierarchical structure of risk management within a construction company. Published studies and general information regarding the subject were investigated and summarized into a literature review. New research information was then gathered through interviews and surveys, carried out on a specific case study company. The questions addressed revolve around the risk management process and how it is carried out in such a company today and how different risks are perceived and valued from different managerial levels and viewpoints. Through this report some areas were discovered to be in need of development to fully fulfill the requirements of larger clients and certification of international guideline standards such as ISO. Although the focus of risks differs between managerial levels, as to be expected, there is a strong culture of risk management involved throughout the organizational ladder. Risk management is understood to be an important tool that is highly integrated in the work of managers. What is mainly lacking is a structured, comprehensive system instead of a more project specific risk management for better communication, documentation, revisions etc. A valuation ranking of risks from different perspectives gave the understanding which risks are most interesting for such an organization. This could help show where energy and resources should be focused on in the development of future risk management work and procedures.