Engineering Risk Management in Performance-Based Building Environments

Abstract

Nowadays, a wide range of stakeholders seek explicit performance and risk information on construction projects. These stakeholders include end-users, authorities, insurance companies and financial institutions, among others. They look for proof that engineering risks are being properly managed and that specified performance-based requirements are fulfilled throughout all stages of the project (e.g. technical requirements related to the building such as structural safety, structural serviceability, structural durability, fire safety, energy efficiency, or others). Such demonstration can be conveyed through statements of technical conformity, such as technical risk reports or engineering performance certificates. Statements of conformity are particularly valuable to make informed decisions associated with contractual or other legal warranties against building nonconformities. This paper describes the conceptual background and the methodologies undertaken to design and develop a management framework that enables recognition of the conformity assessment results of building projects. It also presents the outreach of this management framework throughout the planning, programming, design, construction and use phases of building projects. This paper also summarizes the wide range of practical implications and benefits of this management framework for authorities and official bodies, owners and their representatives, banks and insurance companies, conformity assessment bodies, designers, builders, suppliers and end-users. 219This paper aims to present a management framework that enables the practical application of the RM-PBB principles to the construction sector as a whole, and to the building subsector in particular, at transnational (e.g. EU member states level), national, regional and/or local levels.Section 1 of this paper describes the methodology that was used to attain the final version of the RM-PBB framework. Section 2 summarizes the main benefits and practical implications of this framework for building projects' major stakeholders, such as authorities, owners, developers, end-users, banks and financial investors, amongst others. It also demonstrates how this framework may contribute to improving legal compliance or otherwise stated technical requirements throughout the planning, programming, design, construction and use phases of building projects. Following that, acknowledgments are presented. Bibliographic references and standards and guidelines which are mentioned throughout the text are presented in two separate subsections.

Enterprise’s Risk Assessment Of Complex Construction Projects

“…The method applied to identify and assess "high level" project risks was as follows [2], [3], [5], [6], [10], [16]:…”

“…Although the presented approach of projects risks assessment by linking risks impacts with their likelihood occurrence is quite well described in accessible literature [2], [3], [4], [6], [10], [13], [14], [16] but there is an insufficient number of construction projects reported and tested in measurable way. The data of enterprises in construction industry are under confidentiality agreements and well protected by global clients, project management companies and credit bank analysts.…”

“…Risk management stands for identification, assessment, and prioritization of risks defined in ISO 31000 followed by coordinated and economical allocation of resources to minimize, monitor, and control the probability and/or impact of unfortunate events or to maximize the realization of opportunities. Several risk management standards have been developed in construction management companies for years, enhanced by implementation ISO 9001 standard [2], [12], [14], [16]. 1 PhD., Eng., Wroclaw University of Technology, Faculty of Civil Engineering, Department of Construction Methods and Management, Wybrzeże Wyspiańskiego 27, 50-370 Wrocław, Poland, e-mail: jaroslaw.konior@pwr.edu.pl…”

Innovative Model of 3D Synergetic Management in Major Infrastructural Project

“…Consequently, conflicts that may be produced in the developmental process of the construction are solved, repetition and alternation are lowered. This leads to a shortened time for the developmental process of the construction while the cost is reduced and the quality is enhanced [8].…”

Managing the Technical Risk of Performance-Based Building Structures

“…This management solution is based on the concept of Risk-Managed Performance-Based Building (RM-PBB). The full outreach of this concept and the way in which it may benefit different stakeholders throughout the various stages of a building project are described in Almeida et al (2014).…”