Study on the Application of System Dynamics in the Risk Assessment of PPP Project of Expressway

Abstract

This paper uses the method of system dynamics to study the risk factors of PPP project. First of all, on the basis of reading the relevant literature, identify the existing risks of highway PPP project, and establish the stock flow chart of highway PPP project risks. Then, the system dynamics model is used to simulate the project risk. The results show that the operation risk, completion risk and construction risk have a greater impact on the whole PPP project risk system; secondly, the key risk factors affecting the operation risk, completion risk and construction risk are analyzed. Finally, in view of the risk problems existing in the PPP project of expressway, countermeasures and suggestions are put forward. All participants of the project should pay attention to and prevent the risk, reduce the negative impact of the risk, so as to obtain the expected benefits.