How to Measure the Effect of Project Risk Management Process on the Success of Construction Projects: A Critical Literature Review

Abstract

Problem background: The problem of this research paper is centred on project risk management process and its relation to the success of construction projects. Organizations, project managers and all other stakeholders have been complaining of myriads of challenges on how to identify critical factors that can lead to project success. This issue has made these scholars and practitioners to concern themselves with the issue of project success and try to establish some other appropriate factors that measure project success from early as 1960s.These scholars have identified different critical success factors of construction project but how it is impacted on by risk management process is a research gap that this study will try to fill.

Purpose: The purpose of this research paper is to establish the effect of project risk management process on the success of construction project.

Methodology: The study empirically review literatures on the theoretical framework of project risk management process and its relation to project success in construction industry

Conclusions: The study found out that risk factors have significant impact on the success of constructions project success regardless of the type or complexity of the project. This means that the traditional success factors of cost, scope, time and quality are universally inherent in all construction projects and should always be considered as a base for all other forms of critical success factors however this is not a guarantee of project success since the main weakness of project success is not from the traditional success factors but rather the society that is pressurizing project managers to succeed in all tasks. Therefore, critical success factors are necessities aimed at supporting projects managers in tracking various risk factors associated with projects and make an informed decision.

Recommendations: Therefore, project managers need to develop a more appropriate critical success factor identification technique in order to avoid the problem of over planning or under planning at the start of the project. When the construction project is being planned, an appropriate measuring tool for critical success factor analysis may need to be identified and defined; this is a gap that needs further research. Also, the literature review on was limited to construction projects only and it is not exhaustive thus confirmation of this work may be done in other sectors.