Introducing a New Risk Management Model to the Saudi Arabian Construction Industry

Mohammed Algahtany, Yasir Alhammadi, Dean Kashiwagi

    Research output: Contribution to journalArticle

    3 Citations (Scopus)

    Abstract

    Research has shown that construction projects in Saudi Arabia have exhibited poor performance for the past three decades. The traditional risk management practices have been ineffective at helping contractors deliver projects on time and within budget while meeting quality expectations. Studies have identified that client decision making is one of the main causes of risks that occur on projects in Saudi Arabia. This paper proposes a new risk management model that can minimize client decision making, and enable the client to utilize expertise, thereby improving project quality and performance. The model is derived from the Information Measurement Theory (IMT) and Performance Information Procurement System (PIPS), both developed at Arizona State University in the United States (U.S.). The model has been tested over 1800 times in both construction and non-construction projects, showing a decrease in required management by owner by up to 80% and an increase in efficiency up to 40%.

    Original languageEnglish (US)
    Pages (from-to)940-947
    Number of pages8
    JournalProcedia Engineering
    Volume145
    DOIs
    StatePublished - 2016

    Fingerprint

    Construction industry
    Risk management
    Decision making
    Measurement theory
    Contractors
    Information systems

    Keywords

    • Best Value
    • PIPS
    • Risk management
    • risk mitigation
    • Saudi Arabia

    ASJC Scopus subject areas

    • Engineering(all)

    Cite this

    Introducing a New Risk Management Model to the Saudi Arabian Construction Industry. / Algahtany, Mohammed; Alhammadi, Yasir; Kashiwagi, Dean.

    In: Procedia Engineering, Vol. 145, 2016, p. 940-947.

    Research output: Contribution to journalArticle

    Algahtany, Mohammed ; Alhammadi, Yasir ; Kashiwagi, Dean. / Introducing a New Risk Management Model to the Saudi Arabian Construction Industry. In: Procedia Engineering. 2016 ; Vol. 145. pp. 940-947.
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