Assessment of risk management perceptions and practices of construction contractors in Saudi Arabia - Essay Example

) of Participants List of Figures Figure 1 – Risk Classification Figure 2 – Research Design Acknowledgement I have to mention and give thanks to the people who have provided help and inspiration in making this paper. To Mr. _________ for allowing me to use some of his insights and for giving suggestions; To my family and friends for the support at a time that I almost wanted to give up; And lastly, to Almighty God, for granting me the chance to use time and space to make life exciting and challenging, and student life worth remembering.

Contents Title Page No. Author Declaration ………………………………………………… …….. 2 Abstract …………………………………………………………………… 3 List of Tables ……………………………………………………………… 4 List of Figures …………………………………………………………….. 4 Acknowledgement………………………………………………………….5 Chapter 1 Introduction …………………………………………….. ………8 1.

1 Significance of the Study ……………………………………………… 9 1.2 Problem Statement ……………………………………………………. 9 1.3 Aim of the Research …………………………………………………,,. 10 1.4 Objectives …………………………………………………………….. 10 1.5 Justification …………………………………………………………… 10 Chapter 2 Methodology …………………………………………………… 12 2.

1 Introduction …………………………………………………………… 12 2.2 The Methods. This paper will delve on the vast literature on risk management, concepts and definition of risk management, risk assessment, and concepts and theories of value management and value engineering as introduced and practiced in Saudi Arabia construction Industry. Worldwide construction industry declined in performance because of globalization factors and the introduction of innovations. Some factors include weak management, introduction of new technology, sour relationships between stakeholders, and stiff competition.

The construction boom in Saudi Arabia was triggered by the discovery of oil and the government’s decision to allocate a big sum of the budget to construction of buildings, airports, hospitals and other government structures. The Saudi construction industry is now one of the largest in the world. It is estimated in 2005 that the industry reached $35 billion. But in 2006, figures reached a staggering $50 billion. The Saudi Ministry of Planning reported that in 2000, the construction industry accounted for 30-40% of the economy, the second biggest offered by a non-oil sector.

The Oxford Business Group reported that the amount of $300 billion was poured in to the economy through various construction projects. The industry contributed much to the increase in the Saudi gross domestic product. In 2005, GDP rose to SR767,749 Million (1$= 3.75SR), and from this 6.7% was attributed to construction, an amount reaching SR51,446 million. The growth for construction reached a level of 6% in 2005.