Evaluating Risks in Construction Projects Based on International Risk Management Standard AS/NZS ISO 31000:2009

Abstract

Risk management nowadays has significant important role in ensuring the project implemented successfully, so it is extremely necessary process during undertaking project. In the case of construction projects, they are risky venture, in which implementing risk management framework to mitigate uncertainties and unexpected situations has been received great care recently by most construction companies. There are variety tools and techniques used for managing risks but among them the international risk management standard AS/NZS ISO 3100:2009 is seen as the most feasible framework which can be applied to all kinds of organisations regardless differences related to size, industries and products. This paper aims to introduce AS/NZS ISO 3100:2009 through illustrating identification, analysis and evaluation risks for Hanoi Urban Railway Construction Project, Line 1 (HURC-1) in Vietnam as a case study. Based on qualitative and quantitative method, there are eight events including scope changes, selecting contractors that do not have appropriate skills and experiences to carry out their work, uncertainties concerning the data, applying new technology which has not been sufficiently tested, difficulties in integration vendors, financial problems, government policy changes, the bad weather and political problems. These events are considered as high risk level which required involving parties have appropriate and particular plans to minimizing negative impacts caused by them during project period.