Li, J and Zou, P X W (2008) Risk identification and assessment in PPP infrastructure projects using fuzzy analytical hierarchy process and life-cycle methodology. Construction Economics and Building, 8(1), pp. 34-48. ISSN 2204-9029
Abstract
To fulfil the increasing demands of the public,Public Private Partnership (PPP) has beenincreasingly used to procure infrastructureprojects, such as motor ways, bridges, tunnelsand railways. However, the risks involved inPPP projects are unique and dynamic due tolarge amount of investment and longconcession period. This paper aims to developa risk identification framework from theperspectives of project life cycle, and anassessment framework for risks associatedwith PPP project using fuzzy analyticalhierarchy process (AHP). First the paperreviews the current literature to identifycommon risks in PPP infrastructure projectsand classification methods used. The risksidentified from the literature were classifiedusing project life cycle perspectives. Followingthat, the paper presents the advantages offuzzy AHP. Furthermore, the paper provides aframework for assessment of risks in PPPprojects followed by an illustrative examplewhere the data was obtained from surveyquestionnaires. The paper concludes that risksassociated in PPP infrastructure projects areunique and therefore it is beneficial to classifythem from project life cycle perspectives, andthe proposed fuzzy AHP method is suitable forthe assessment of these risks.
| Item Type: | Article |
|---|---|
| Uncontrolled Keywords: | PPP infrastructure project; analytical hierarchy process introduction and research aims; fuzzy; risk assessment; risk identification |
| Index terms: | risk assessment, methodology, infrastructure project, analytical hierarchy process, life cycle, public private partnership, risk identification |
| Subjects: | decision-making and optimization, infrastructure and transport systems, contractual arrangements, value management, financial risk, research methods |
| Topics: | Cost Management, Engineering Principles, Project Management, Research Practice, Procurement |
| Descriptive scope: | 4 PCTA |
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