Pipattanapiwong, J and Watanabe, T (2000) Multi-party risk management process (MRMP) for a construction project financed by an international lender. In: Akintoye, A (ed.) Proceedings of 16th Annual ARCOM Conference, 6-8 September 2000, Glasgow, UK.
Abstract
In a multi-party environment, conventional risk management processes (RMP) that generally deal with one party may not be applicable. Particularly in a construction project financed by an international lender, managing risks at the procurement and construction stages is not straightforward since several parties (i.e. executing agency, contractors, consultants, lender, and borrower government) are involved. Involvement of a larger number of parties increase the frequency and impact of risks since each party has different objectives. Furthermore, risk responses taken by one party may create other risks to other parties. A systematic process of managing risks in a multi-party environment is thus required. The Multi-party Risk Management Process (MRMP) is proposed to assist decision-makers in systematically and efficiently managing risk in a multi-party environment. In order to demonstrate the applicability of the MRMP, it has been applied to a public bridge and elevated road construction project financed by the Asian Development Bank (ADB) as a case study. The perception of the executing agency, contractor and consultant involved with procurement and construction stages of project are investigated. In accordance to the application, a number of contributions such as multi-party response efficiency, multi-party risk-response-risk, response characteristics, and self-deficiency evaluations are demonstrated.
| Item Type: | Conference Paper (Paper) |
|---|---|
| Uncontrolled Keywords: | international lender; international project; procurement; risk management; project finance; infrastructure |
| Index terms: | construction project, risk management, road construction, international project, agency, project finance, construction stages, efficiency, case study, risk response |
| Subjects: | sociology, performance management, civil engineering, financial management, financial risk, production management, project delivery, risk assessment, strategic management, data collection methods |
| Topics: | Engineering Principles, Research Practice, Project Management, Cost Management, Risk Management, International Construction, Quality Management |
| Descriptive scope: | 4 PCTE |
N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here