Construction Risk Management

Course Introduction

Construction, as a capital investment venture, involves significant risk throughout its lifecycle—from development and design to construction and operation. Effective risk management is crucial for minimizing threats, seizing opportunities, and making informed decisions amidst uncertainty.

This Construction Risk Management training course, based on the latest PMIs Practice Standard for Risk Management and the ISO31000 series for Risk Management, will equip you with the essential processes, tools, and techniques for comprehensive risk management. You'll learn how to plan, assess, analyze, treat, monitor, and control risks. Additionally, the course helps you prepare for the PMI Risk Management Professional (PMI-RMP)® certification, which is awarded separately by PMI after its own examination.

This training course will feature:

• The special features and project delivery approaches in construction business
• The construction industry and its spectrum of risk
• Planning and identification of risks
• Assessment and Analysis of risks
• Planning and implementing appropriate risks responses to threats and opportunities
• Tools and techniques to keep the project under track while responding to emergent risks

Training Objectives

By the end of this training course, participants will be able to: 

• Provide a structured methodology to plan for risk management including strategic risks
• Prepare to become a Certified Risk Management Professional (PMI-RMP)® certification exam
• Improve the risk threshold through proper identification of risk tolerance and risk attitude
• Apply qualitative and quantitative risk analysis techniques
• Adequately plan for risk responses and treat the risks accordingly
• Monitor and report the status of residual risks, secondary risks, and emergent risks

Training Methodology

This training course will utilize a variety of proven adult learning techniques to ensure maximum understanding, comprehension and retention of the information presented. Case study exercises are used to facilitate practical application and reinforcement of theoretical concepts. Topic driven tutorial sessions are supported by risk simulations that allow delegates to explore their comprehension. Group discussions review the exam questions and quizzes and uncover the approach and prepare for the risk management certification.

Who should Attend?

This training course is suitable to a wide range of professionals involved in studying, designing, procurement, construction and operation of construction facilities, but will greatly benefit:

• Senior managers involved in the selection and strategic alignment of construction projects
• Professionals who are working as project managers or key project or program team members
• Professionals who have been directly involved in risk identification, analysis, and response on any kind of project
• Those who recognise project risk management as a core part of their professional experience and want to become certified Risk Management Professionals

Day One: The Construction Industry and Its Risk Spectrum

• Course Opening and Pre-Course Assessment
• Phase by Phase Understanding of construction and development
• Project delivery methods and its relation to risk allocation
• Challenges and Issues in construction Execution and management (with case studies)
• Lean construction concepts and waste minimization in construction
• PMI’s risk management approach versus ISO 31000 for risk management
• Other international risk management frameworks and standards

Day Two: Risk Strategy, Planning and Identification

• Assess project environment for threats and opportunities
• Confirm risk thresholds based on risk appetites
• Establish risk management strategy and the risk management plan
• Engage stakeholders in risk management activities
• Conduct risk identification exercises
• Develop risk register and risk report
• Exam Q and A review and Case Studies

Day Three: Risk Assessment and Analysis

• Perform qualitative analysis
• Perform quantitative analysis
• Identify threats and opportunities
• Schedule-Risk Analysis
• Cost-Risk Analysis
• Exam Q and A review and Case Studies 

Day Four: Risk Response Planning and Implementation

• Determine appropriate risk response strategy and response actions
• Assign roles and responsibilities for risk actions
• Execute the risk response plan(s) and the contingency plan(s)
• Encourage stakeholders to provide feedback on the risk response
• Evaluate and react to secondary and residual risks from the response implementation
• Exam Q and A review and Case Studies

Day Five: Monitor and Close Risks

• Gather and analyze performance data
• Monitor residual and secondary risks
• Risk auditing best practices
• Provide information required to update relevant project documents and plans
• Monitor project risk levels
• Exam Q and A review and Case Studies
• Exam Mock-up