Probabilistic Risk Management in Design and Construction Projects
Summary
Project Delivery Methods have expanded dramatically. The integration of design and construction on projects can reduce the project schedule and allow for construction and property management input early in the process, thereby having the potential to reduce costs. However, alternative delivery methods need to be studied to improve the communication and coordination of team members to achieve these goals. This line of my research aims to study the methods teams can use to improve their project delivery methods. It analyzes tools that firms can use to deal with uncertainty; seeks to understand team dynamics to further improve the integration and delivery process; and strives to understand how sustainability can be better incorporated into project delivery methods.
Traditional methods for applying contingencies to construction cost estimates and schedules are often influenced by a risk-avoidance mindset. These methods are typically arbitrary and based upon historical benchmarks. This research seeks to understand the benefits and implications of applying a more sophisticated probabilistic analysis to analyze cost estimating and scheduling risks on construction projects. It seeks to identify and understand the techniques and best practices for probabilistic controls.
