Risk Allocation in the Construction Industry

How can you manage risk in industrial construction projects? While there’s no way to avoid accidents, pre-construction and financial threats are two of the areas that should be evaluated before a job begins. “We recommend managing risk in four stages – identification, assessment, mitigation and monitoring,” says Tricia Corcuera of DRAXware Solutions, a construction management software company. “These four strategies comprise the core of the process of risk management and can help minimize cost overruns, keep projects on-time, deliver exceptional project performance, prevent finger pointing, and protect the relationship between contractor and owner.” Corcuera adds that organizations that decide to “wing it” rarely experience positive outcomes.