subject: Risk Identification [print this page] Risk Identification Risk Identification
Risk identification
The project of developing the tunnel under the English Channel, involve underground and tunneling works. Due to the intrinsic worries, including groundwater conditions and their inconsistencies, it is much cost overrun (economic risk), fatalities and environmental risks during the tunneling. Besides, there is jeopardy to public protests (social risk) distressing the course of the projects. Finally, there is a probable danger of fat' scale disasters during tunneling (individual risk).
Risk prioritization
In this project of tunneling, associated risks can be prioritized as follows: Individual risk, which is the likelihood that unprotected being, undyingly present at a certain site, is killed due to a mishap ensuing from risky activity during the tunneling (Ministry of Construction, China, 2003).Social risk is another risk identified and is second to individual risk, is the link between incidence and the number of individuals anguishing from exact harm in a set population from realizing specific hazards. Individual and social risks are highly prioritized because it deals with human life (Hood et al.,1992). Environmental and Economic risks are prioritized respectively. The environmental risks from underground tunneling cause damage to persons, property, and environmental pollution, while the economic risks of this type of a project lead to substantially cost overrun for the Government (Chapman, 1997).
Risks Contingency plan
In order to mitigate the high risks prioritized above, namely: individual and social risks the workers, public, economy and environment ought to be assessed and analyzed based on the measure of the risk (Jonkman et al., 2003). This should comply with the risk acceptance criteria as the balance of benefit, risk, loss, cost and public concerns have to be considered.
Discuss why a key motive for risk management is the identification of opportunities that can change a project base plan.
Identification of opportunity is an iterative structured process for recognizing risk incidents that could change or change the project strategy. The process is continual used at dissimilar stages of the project time frame (Chapman, 1997). The reason for this key motive in risk management is to enable the known risk opportunity to be evaluated, assessed, and analyzed worthily by conveying values to incident likelihood and effects as a base for formative worthily risk factor(Business Teacher, 2003).. This identification procedure permits autonomous evaluation of the probability and outcome of a risk plus qualitative clarity of the threat' and its risk intensity. For example (Confining the gains of weather) North Sea offshore pipes engross major uncertainty linked to weather. Comparative to anticipated performance, lengthy periods of dreadful weather can encompass major constant impact. It is vital to recognize and deal with the threat'. It is as well imperative to recognize that the weather could be remarkably kind, in provision of a counterbalance opportunity. If this is not realized sways and round about' are but sways', the awful fortune is accrued, whereas, good fortune is shattered, a ratchet consequence suggesting noteworthy unanticipated setback while the project progresses.
