Benefits and Barriers to Applying Probabilistic Risk Analysis on Engineering and Construction Projects

Abstract

Although probabilistic risk analysis methods have been available to engineering and construction practitioners for decades, their use is not pervasive in industry today. To determine why their use is not more prevalent, the research team conducted in-depth interviews and administered survey questionnaires. The analysis of these data identified the benefits and barriers of employing probabilistic risk analysis. Engineering managers can implement more formal project risk management approaches by exploiting the benefits and training employees, adopting processes and procedures for risk management, and regularly communicating the results of probabilistic analysis with project stakeholders.

Keywords:

• Construction Management
• Probabilistic
• Project Risk Management
• Risk Analysis

EMJ Focus Areas:

• Program & Project Management
• Decision Making & Risk Management
• Organizational & Performance Assessment

Additional information

Funding

Construction Industry Institute

Notes on contributors

Christopher Senesi

Christopher Senesi holds a Master’s degree in civil engineering from the University of Colorado at Boulder and currently works as an associate consultant with the strategic consulting group of Parsons Brinckerhoff. His focus includes strategic and organizational development, risk management, and asset management within the highway and transit industry.

Amy Javernick-Will

Amy Javernick-Will holds a PhD in civil and environmental engineering from Stanford University, and has been an assistant professor in the Department of Civil, Environmental, and Architectural Engineering at the University of Colorado Boulder since 2010. Her areas of interest include global projects, global project organizations, knowledge mobilization and management, and disaster recovery.

Keith R. Molenaar

Keith R. Molenaar holds a PhD in civil engineering from the University of Colorado Boulder. After serving in a faculty position at the Georgia Institute of Technology, he returned to the University of Colorado Boulder where he is currently the K. Stanton Lewis Professor of Construction Engineering and Management. His areas of interest are risk analysis, cost engineering, and project delivery systems.