Risk is inherent in all construction projects. A clear understanding of risk and its active management is key to project success.

As soon as is practical, we gather together all the stakeholders for the project and facilitate a risk identification session (it is never too early to identify risk, as from risk comes opportunity). From this will come a risk register which will be scored for likelihood and impact, should the risk occur, for both schedule and cost impact. We work with the stakeholders to identify ways and means to reduce, transfer, avoid and manage the risks. We regularly update the risk register and the mitigation plans as the project progresses.

Following development of the project outline schedule, we develop a schedule risk model; agree uncertainty around planned durations, impact of specific risks and determine likely range of completion dates and confidence level in target completion date(s); develop strategy for front end loading to induce float where schedule is tight. We continually review and update the schedule risk model as the project progresses, advising the sponsors of the current confidence level in the schedule.

As the cost estimate is finalized, we develop a cost risk model to determine the range of likely out turn costs, and agree with the sponsor the monetary contingency based on the desired confidence level. As the project progresses, we update and re-run the cost risk model to determine the current level of contingency required to complete the project, and advise the sponsor on how much contingency can be returned to the center as the project progresses and uncertainty diminishes.