ASSESSMENT 2 – LITERATURE REVIEW

Task 1 - literature review outline [40%] Task 2 - literature review [40%]

Presentation and written communication of task 1 and 2 [20%]

Name

Student number

Discipline (CM/PM/PV)

Task 1- Literature review outline [40%]

You are required to develop an outline for a literature review based on your topic. Search for relevant references that support your chosen subject area. You will need to source and cite at least fifteen references to complete this outline; your literature may include peer-reviewed journal articles, books, industry reports, or conference proceedings. You may select a new topic or continue with a topic from assessment-1.

After reviewing the literature, provide a structured outline for your literature review using the suggested formats in the lecture and tutorial sessions.

Your outline should consist of a series of meaningful headings and a number of bullet points beneath each, depicting the main logic of the argument. Outline is very concise and only serves as a path to form the flow of logic with associated reference, so it does not need to be written in full sentences and it only needs to convey the idea with least number of words. The outline serves as the initial step before writing the full literature review to form its logical structure, finalise flow of the arguments, and check coherence of the literature review. Space has been provided for FIVE sections (headings) that represent a five-paragraph literature review. Provide short in-text references for all the facts that support your core logic within the bullet points, e.g. (Smith & Zhang 2019).

[Each section has a maximum of 50 words including in-text citations]

1. Introduction to Risk management

· Important area of PMI (Banaitene and Banaitis 2012)

2. Importance of risk management in project

· To reduce the risk of any unforeseen occurrence (Smith et al. 2006)

3. Objective of evaluating risk management in project

· To keep aware all stakeholders (Kotlarsky et al. 2020).

4. Understanding Uncertainty

· Importance to understand its consequences in construction industry (Desai and Kashiyani 2015)

5. Risk in the construction industry

· Current scenario (Serpella et al. 2014).

References

Task 2 – Literature review [40%]

Please use the LR outline created above to write a full literature review below.

You are required to write a literature review on your chosen topic.” You will need to develop a focused, engaged and specific question from the given broad question based on your interest. Develop a high-quality literature review that focuses on a specific dimension of your topic rather than trying to cover all areas poorly and generally.

You will need to source and cite at least 8 academic references.

[Word count guide: Max. 750 words including in-text citations]

Research question:

Why evaluating the impacts of project risk management in construction industry is important?

Literature review:

One of the nine knowledge areas identified by the Project Management Institute (PMI), risk management is seen as a critical component and a prerequisite for project success. Construction projects are extremely complicated undertakings where different sources of uncertainty may exist. As a result, risk management is increasingly being incorporated into the project management of building projects in an effort to deal with unforeseen occurrences and ambivalence effectively. It is crucial because of the negative effects that risk and uncertainty have (Banaitene and Banaitis, 2012 p.432). However, the industry has long had a bad reputation for handling the negative effects of change, which leads to delays and a failure to reach goals for quality and cost (Smith et al.,2006). The success of contemporary nations rests on the construction industry. Since the demand for building infrastructure and facilities has expanded due to the rapid economic expansion. The essential living circumstances necessary for the continuation and expansion of life on this planet are also provided by the construction sector. Construction projects are becoming more and more in demand, and activities are rising in many nations to deal with an ever-increasing population, strain on land, and growing economic activity. Projects may encounter a variety of hazards at all stages of project implementation; as a result, these risks should be recognised, assessed, and cautiously handled using the knowledge currently available (Hessellund, 2017, p.37). This objective can be met by incorporating the participation of all stakeholders in the risk management process from the very beginning of a project's life cycle (Kotlarsky et al., 2020). The risks involved in the project at this early stage are based on unknowns that restricted decision-making on earlier ventures. According to Desai and Kashiyani (2015, p.3), this uncertainty is characterised as a situation for which there is no information. From conception through completion, project management is a methodical approach to carrying out the various construction phases. It is a crucial component of success and a means of ensuring stakeholder satisfaction (Iqbal et al., 2015, p.69). Additionally, risk management is important to ensure that construction projects are successfully completed in light of critical success criteria in construction (Waleed, 2018). Building projects should therefore always be managed by qualified professionals who are able to address any potential hazards that may materialise throughout project delivery (Elgadi, 2019).

Establishing a risk-conscious culture, incorporating fundamental risk management principles, and organisational integration are all components of risk management. This enables the project to be prepared for unforeseen issues and to promote transparency through proactive action (Schieg, 2006). As risks alter over the course of a project's life cycle, it is an ongoing process. You may recognise hazards and deal with them efficiently when they manifest by functioning as an integrated team from the lowest feasible phases. The process of identifying, evaluating, and responding to risks is known as risk management (Potts, 2008). The process' importance include a greater awareness of the particular risks connected to a project, judgments that are supported by thorough analysis, and the accumulation of historical data that can help with future risk management procedures. Unfortunately, a lot of project managers still do not understand how crucial it is to incorporate project risk as a crucial component of project delivery (Smith et al., 2006, p.72).

Lack of established procedures, discontinuity between project phases, improper knowledge management integration, and poor process and party interaction can result in an ineffective implementation of risk management. In order to manage risks during in the construction process, contractors must first decide if the dangers should be reduced, avoided, transferred, or maintained (Liu et al., 2007, p.385). To effectively manage risk, the contractor must be aware of risk responsibilities, risk management capabilities, and event circumstances (Banaitene and A. Banaitis, 2012, p. 442).

Historically, risk in the construction sector was either ignored or arbitrarily handled (Potts, 2008), but today risk management is a crucial aspect of project management (Serpella et al., 2014, p.658). Thevendran et al. (2004, p. 132) defined effective risk management as a process that incorporates proper steps for defining objectives, identifying sources of uncertainty, analysing them, and attempting to establish management reactions in order to develop a controllable balance between uncertainty and opportunity. In order to achieve the project's objectives, it entails reducing the likelihood and impact of unfavourable events and raising those of favourable events (PMI, 2000). At the end of the day, risk management implementation can be utilised as a tool to help in the decision-making processes in order to prevent, reduce, and decrease hazards.

References

List the references used in your literature review outline in RMIT HARVARD format. Ensure that they are cited correctly and consistently. See the marking rubric for further details.

Banaitiene, N. and Banaitis, A., (2012). Risk management in construction projects. Risk Management–Current Issues and Challenges. In N. Banaitiene (Ed.), Risk Management–Current Issues and Challenges, pp.429-448.

Desai, A. and Kashiyani, B., (2015). Role of insurance as a risk management tool in construction projects. Inter

Elgadi, A. (2019). The effectiveness of project manager’s strategies in green building construction. International Journal of Advanced Trends in Computer Science and Engineering, 8, 315-319.

Hessellund, R., B. (2017). Civil Engineering - Risk Management & Uncertainty – Version 1.2. [Reading] 6-10 March 2017: VIA University College, Denmark

Iqbal, S., Choudhry, R.M., Holschemacher, K., Ali, A., & Tamošaitienė, J. (2015). Risk management in construction projects. Technological and Economic Development of Economy, 21(1), 65-78

Liu, J., Li, B., Lin, B., & Nguyen, V. (2007). Key issues and challenges of risk management and insurance in China's costruction industry. Industrial Management and Data Systems, 107 (3), 382-396

PMI. (2000). A Guide to the Project Management Body of Knowledge. Upper Darby, PA: Project Management Institute

Potts, K. (2008). Construction Cost Management: Leaning from caste studies. London and New york: Taylor & Francis Group.

Schieg, M. (2006). Risk management in construction project management. Journal of Business Economics and Management, 7(2), 77-83.

Serpella, A., Ferrada, X., Howard, R., & Rubio, L. (2014). Risk management in construciton projects: a knowledge-based approach. Procedia - Social and Behavioral Sciences ,119, 653- 662.

Smith, N.J., Merna, T., & Jobling, P. (2006). Managing risk in construction projects (2nd Edition UPPL). Blackwell Publishing

Thevendran , V., & Mawdesley, M. (2004). Perception of human risk factors in Construction Projects: An exploratory Study. International Journal of Project Management, 22, 131-137

List the references used in your literature review outline in RMIT HARVARD format. Ensure that they are cited correctly and consistently. See the marking rubric for further details.

Choudhry, R.M. and Iqbal, K., (2013). Identification of risk management system in construction industry in Pakistan. Journal of Management in Engineering, 29(1), pp.42-49.

Desai, A. and Kashiyani, B., (2015). Role of insurance as a risk management tool in construction projects. International Journal of advanced Research in Engineering Science and Management, 2(3), pp.202-217.

Elgadi, A. (2019). The effectiveness of project manager’s strategies in green building construction. International Journal of Advanced Trends in Computer Science and Engineering, 8, 315-319.

Fellin, W., Lessmann, H., Oberguggenberger, M. and Vieider, R. eds., (2005). Analyzing uncertainty in civil engineering (pp. 51-72). Berlin: Springer.

Hastak, M. and Shaked, A., (2000). ICRAM-1: Model for international construction risk assessment. Journal of management in engineering, 16(1), pp.59-69.