Model Identification of Risk Management System

Abstract

It is important issue for the study of method of the project risk assessment. The quantitative method is used to resolve construction project risk assessment in this paper. Firstly, the study of project risk management and risk assessment is made a review. Secondly, the project risk management systematic framework is constructed, which include five purchases: risk identification, risk assessment, risk analysis, risk handling and risk monitoring, moreover, then the input-output model of the risk management system has been based on the theory of model identification, which make the solution of the parameters for this model by least squares based on differential equations. Finally, the simulation of project risk assessment is validated thought this model. The quantitative method of can approach to construction project risk assessment. The proposed method can easily give the description of the system which is the basement of building the managing policies of constructional project risk system.