Adamtey, S and Kereri, J O (2023) Risk management in residential projects in the United States: Implementation status, evaluation techniques and barriers. Journal of Engineering, Design and Technology, 21(5), pp. 1481-1500. ISSN 1726-0531
Abstract
Purpose: Residential projects frequently suffer from low-risk management (RM) implementation and, consequently, are more likely to fail to meet performance objectives. With RM becoming an essential requirement, the purpose of this study is to investigate RM implementation in terms of status, risk analysis techniques, barriers and impact of RM on residential projects across the USA. Design/methodology/approach: Data were collected from 105 general contractors who had completed 3,265 residential projects in the past five years. Data collection was through a US national survey sent out through emails between August and November 2019 to residential general contractor firms. The firms were randomly selected from national organizations, such as the National Association of Home Builders, Associated General Contractors of America and Associated Builders and Contractors. Findings: The analysis indicated that RM implementation is still extremely low at 22.27%. However, there was an increase in RM implementation as the cost and duration of projects increased. Direct judgment is the most used technique. Also, the one-sample t-test indicated that the barriers have a significant impact on RM implementation. Multinomial logistic regression results indicated that the impact of lack of management support, lack of money or budget, the complexity of analytical tools and lack of time to perform analysis predict the impact on the overall performance of construction projects. Overall, the results provide empirical evidence, which can influence management’s decision-making regarding RM and improve implementation in residential projects. Originality/value: There is a lack of empirical evidence on the impact of barriers to RM implementation on the performance of construction projects. This research contributes to the body of knowledge by bridging this gap through a robust analysis of data collected from real residential projects.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | construction risk; project performance; residential projects; risk; risk analysis; risk barriers; risk management |
| Index terms: | duration, implementation, project performance, risk management, national survey, logistic regression, judgment, becoming, body of knowledge, risk analysis, complexity, methodology, decision-making, residential project, construction project, multinomial, evidence, general contractor, builder, evaluation technique, United States |
| Subjects: | evaluation and assessment methods, risk assessment, practitioner, dispute resolution, research products and data, contractual arrangements, knowledge management, research methods, economic development, project management theory and practice, production management, Geography, decision analysis, project controls, environmental hazards, statistical analysis, systems engineering, philosophical process |
| Topics: | Project Management, Geographical Context, Research Practice, Information Management, Engineering Principles, Procurement, Sustainability, Roles and Professions, Risk Management, Legal Issues, Urban Studies, Time Control |
| Descriptive scope: | 4 PCTA |
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