ABSTRACT
Construction procurement is increasingly becoming important because of the inherent risks in construction project. This chapter reviews risks and uncertainty in construction contracts and presents a framework for risk planning, assessment and management based on CMAA conditions of contracts. The analysis focuses on risks inherent in project management, cost management, time management, quality management, safety management and contract administration. The analysis of each of the management area of risk management covers three key areas; (i) management planning, assessment, (ii) risk assessment that is divided into two, risk identification and analysis (qualitative and quantitative analyses) and (iii) risk management in terms of response planning, monitoring and control. Agile specialist approach is used to demonstrate the application of the framework. The analysis shows that the construction management contracts services and practices and the contract documents explicitly identify, quantify, and develop responses and control project risks. In a broader sense, safety management can be said to be risk response development by setting the enhancement steps for opportunities and responses to threats.
