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In construction, risk management is used to plan, monitor, and control the precautions that must be taken to avoid risk exposure. To do so, you must first define the danger, determine the danger, implement risk control measures, and handle any residual risks.(Stakeholder map, 2008).

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General methods of Managing Risk if they occur.

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General methods of Managing Risk if they occur.

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A very informative report by (Gessner, 2004) states 10 methods of managing risks in a general sense but can be applied to M&E projects,

-       Isolate – separate people from the risk; examples are machine guarding, railings, and personal safety gear.

-       Reduce – reduce the amount of exposure, use less of the substance or less frequent •

-       Treat – Neutralize it, write and follow procedures, training

-       Substitute – Change to a less risky alternatives: use different chemicals or tools

-       Accept or Tolerate – roll the bones, think long and hard with this one or evaluate and analyze.

-       Transfer – to an insurance company (not everything can be insured) or contractor

-       Terminate – eliminate the risk

-       Avoid – we are not going to do “that”

-       Protect –others by fixed protection, such as sprinklers systems or warning systems

- Spread – share the risk between  involved parties (caution – usually financial risks).

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The process of a Risk Management plan is as follows:
Risk Identification
Risk Analysis
Risk Response
Risk Assessment
Risk Strategy and Type

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In Great Britain in 2017, fatal injuries in the construction industry represented 30% of all work-related fatal injuries, with electrocution representing 8% of all causes (Gestao, 2019).

An important document from  (Health and Safety Authority, 2013)  states how risks are managed when dealing with health and safety issues.

This topic is very important as building services and construction are very high risk. To combat the risks on site a Risk Assessment must be undertaken for high risk activities.

For all trades including building services, the following questions must be asked for undertaking a Risk Assessment,

- What is the likelihood?
- What is the Consequence?
- What can be done to prevent the consequences?

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Procedure for risk management in projects of electrical switchboard delivery

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Procedure for risk management in projects of electrical switchboard delivery

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The below image was taken from
(Dorota Kuchta, 2016). The report was for electrical switchboard delivery but can be applied elsewhere.

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The following types of risks were found on (O'Brien 2021),

Health & Safety
Financial
Site Risks
Training Risks
Brain Drain
Performance Risks.

All these risks can affect the cost, performance and quality of a project.

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The Harvard Business Review recently published a study of IT projects that outlined the different reasons why, on average, one out of every six projects results in a cost overrun of 200 percent—with a mean cost overrun of 27 percent—due to a lack of ability to fully quantify and account for large risks  (Dupslaff, 2020).

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This very informative information was gathered by  (Jones, 2020).

-       Safety hazards that lead to worker accidents and injuries
-       Managing change orders
-       Incomplete drawings and poorly defined scope
-       Unknown site conditions
-       Poorly written contracts
-       Unexpected increases in material costs
-       Labour shortages
-       Damage or theft to equipment and tools
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-       Availability of building materials
-       Poor project management

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Case Study - Service Duct Risk Assessment for West Wales General Hospital

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Case Study - Service Duct Risk Assessment for West Wales General Hospital

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The following case study was created by the BSRIA (Jupp, ND)

The hospital in question has an accumulative total of one kilometer of service ducts underneath the building. Which contain steam mains and steam condense lines, natural gas, oxygen and other medical gases, hot and cold water, power, communications and fire alarm cables and waste pipes.

The BRISA were commissioned to undertake  a Combined Risk Assessment.

1. BRISA undertook Site surveys, detailing findings for the Risk Assessment.
2. A Tabled Risk Assessment
3. Schedule of remedial works based on findings
4. A project report containing supporting information.

Result?

-  A comprehensive report detailing the number of risks and hazards.

-  Identification of remedial work to be carried out.

-  Improvement of overall safety and reduction of fire risks.

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1.

Risk management during construction of electric power substations
Link : http://www.scielo.br/scielo.php?script=sci_arttext&pid=S0104-530X2019000400221

2. Understanding Construction Risk Assessment.

Link:
https://www.hsa.ie/eng/Publications_and_Forms/Publications/Construction/Understanding_Construction_Risk_Assessment.html

3. Project Risk Management of Electrical Switchboard delivery

Link:
https://www.google.com/search?q=Project+Risk+Management+of+Electrical+Switchboard+delivery&oq=Project+Risk+Management+of+Electrical+Switchboard+delivery&aqs=chrome..69i57.403j0j7&sourceid=chrome&ie=UTF-8

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Bidua, A., 2017. Risk Management in Construction. [Online]
Available at: https://www.youtube.com/watch?v=7s47F40QNf4
[Accessed 08 03 2021].

Dorota Kuchta, E. P., 2016. Project Risk Management of Electrical Switchboard Delivery. [Online]
Available at: file:///C:/Users/james/Downloads/04-Kuchta-Project.pdf
[Accessed 09 03 2021].

Dupslaff, B., 2020. Reduce Risk With Proactive Project Management. [Online]
Available at: https://www.cbre.com/real-estate-services/real-estate-industries/data-center-solutions/data-center-publications/articles/reduce-risk-with-proactive-project-management
[Accessed 08 03 2021].

Gessner, C., 2004. Risk Management Considerations for Projects. [Online]
Available at: https://www.noao.edu/safety/manuals_and_handbooks/risk_management_considerations_for_projects_final.pdf
[Accessed 10 03 2021].

Gestao, 2019. Risk management during construction of electric power substations. [Online]
Available at: http://www.scielo.br/scielo.php?script=sci_arttext&pid=S0104-530X2019000400221
[Accessed 10 03 2021].

Health and Safety Authority, 2013. Understanding Construction Risk Assessment. [Online]
Available at: https://www.hsa.ie/eng/Publications_and_Forms/Publications/Construction/Understanding_Construction_Risk_Assessment.html
[Accessed 12 03 2021].

Jones, K., 2020. Construction Risk Management: Identifying and Managing Project Risks. [Online]
Available at: https://www.constructconnect.com/blog/identifying-managing-construction-project-risks
[Accessed 12 03 2021].

Jupp, R., n.d. SERVICE DUCT RISK ASSESSMENT FOR WEST WALES GENERAL HOSPITAL. [Online]
Available at: file:///C:/Users/james/Downloads/Service%20duct%20risk%20assessment.pdf
[Accessed 08 03 2021].

O'Brien, J., 2021. Risk Management. [Online]
[Accessed 09 10 2021].

Stakeholder map, 2008. Risk Management, Risk Analysis, Templates and Advice. [Online]
Available at: https://www.stakeholdermap.com/risk/risk-management-construction.html#:~:text=Risk%20management%20in%20construction%20is%20designed%20to%20plan%2C%20monitor%20and,and%20manage%20any%20residual%20risks.
[Accessed 10 03 2021].

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Risk Management in Construction

Link:
https://www.youtube.com/watch?v=7s47F40QNf4

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(Bidua, 2017) states the risk categories,

Known Risk
Foreseeable Risk
Unforeseeable risk