Risk Management System and Project Staff Education Program for Overseas Construction Project Using the Expert System
- Publisher: Society for Social Management Systems
Society for Social Management Systems Internet Journal,
The turnover of the Japanese contractors and the consulting firms has kept the same level since 1983, in spite of the fact that the size of domestic market is shrinking. This is why they do not have a proper management system, especially risk management system for the overseas construction projects. This study aims at building risk management system and developing education program that can be applied to reinforcing the ability, based on the author’s experience. Risk is defined as “uncertain factors which will occur as the project is progressed”. And risk management is defined as “Project Risk Management is to convert the uncertain factors occurring as the project is executed to definite factors.” Process of risk management is to identify uncertain factors, qualify them, quantify them and respond to them. The author proposed a list to identify the uncertain factors in the initial stage of a construction project with his experience. Size of risk is expressed in the following formula; RL= PB x IP PB: Probability of occurrence. IP: Size of impact to the project. Management Ability Level (ML) of a member of the project team is evaluated in the following formula; ML= KLｘ √<PE + CE> KL: Knowledge of the project. PE: Experience of Projects. CE: Experience of International Contract such as FIDIC. Risk Response Ability (RA) of a project member is evaluated as RA= ML/RL. RA of the project team shall lead to a proper selection of the ways to respond to a risk. To manage the risks properly, the Project Manager and the staff are required to have minimum knowledge of the other disciplines than the civil engineering. To fill various roles required for the Project Manager, the ability of management should be gained through experience and education. The author proposes the education program to meet such requirement.