Dikmen, I; Birgonul, M T and Arikan, A E (2006) Application of an integrated risk management system (IRMS) to an international construction project. In: Boyd, D (ed.) Proceedings of 22nd Annual ARCOM Conference, 4-6 September 2006, Birmingham, UK.
Abstract
Integrated Risk Management System (IRMS) is a decision support tool designed to support users at all phases of risk management and to assist cost estimation in the bid preparation stage, especially in international construction projects. IRMS process model consists of four integrated phases such as risk identification, risk rating and response development, risk analysis, and finally, risk revising and monitoring. A hierarchical risk breakdown structure is provided in the system which facilitates systematic risk identification process. Risk coding option embedded in the system creates a common language between the project participants. IRMS carries out an iterative risk rating and response generation process as an input for Monte Carlo Simulation. Moreover, IRMS is designed to store and retrieve risk information from a corporate memory that helps learning from projects. IRMS also allows multi-user risk rating. It increases the awareness of project participants on the magnitude of risks and helps visualization of risk scenarios by its effective reporting options. It can be used throughout the project life cycle and risk scenarios can be revised as the project proceeds. In this paper, application of IRMS prototype is illustrated by a real case study. The example project is a hydro electric power plant project (HEPP) which has been carried out by an international consortium in Turkey. Performance, shortcomings and benefits of IRMS are discussed by referring to experiences gained as a result of this application.
| Item Type: | Conference Paper (Paper) |
|---|---|
| Uncontrolled Keywords: | decision support systems; international construction projects; risk management |
| Index terms: | decision support, Turkey, cost estimating, case study, consortium, risk breakdown structure, risk identification, electric power plant, Monte Carlo simulation, prototype, life cycle, risk management, monitoring, bid preparation, international construction project, option, risk analysis, visualization |
| Subjects: | design practice, financial risk, Geography, decision analysis, partnership management, environmental hazards, infrastructure and transport systems, strategic management, risk assessment, data collection methods, value management, control systems, modelling and simulation, financial and cost management, bidding |
| Topics: | Project Management, Geographical Context, Research Practice, Engineering Principles, Cost Management, Procurement, Sustainability, Stakeholder Management, Risk Management, International Construction, Design Practice, Site Management |
| Descriptive scope: | 4 PCEA |
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