RISK MANAGEMENT

Closely related to the avoidance of disputes and claims is the broad field of risk management. There are numerous potential risk areas throughout the Design and Construction process and we manage these risks by:

  1. Identifying them in advance.
  2. Finding ways to minimize their impact.
  3. Determining in advance how to deal with them, as they arise.
  4. Spreading the risk to the party(s) who have the most control.

Typically, the most common areas of risk in the design and construction process include the following:

  • Risks arising from the project delivery system chosen.
  • Risks arising from the A/E construction documents.
  • Risks arising from choices made in the General Conditions.
  • Risks arising from the Bidding process.
  • Risks arising from unforeseen condition on-site.
  • Risks related to delays during construction.
  • Risks related to how disputes are handled.
  • Risks related to communications on-site between A/E Team, the Owner, and the Contractor.
  • Risks related to the scope of A/E services and related services.
  • Risks related to making changes after the start of construction.

As the A/E and related documents are developed towards completion, a specific focus should be placed on identifying the actual potential risks related to the project in these areas outlined above, and a clear understanding established on how to deal with these risks.