Project Risk Management Framework Research Articles

TAI-PRM: trustworthy AI—project risk management framework towards Industry 5.0

AbstractArtificial Intelligence (AI) is increasingly being used in manufacturing to automate tasks and process data, leading to what has been termed Industry. 4.0. However, as we move towards Industry 5.0, there is a need to incorporate societal and human-centric dimensions into the development and deployment of AI software artefacts. This requires blending ethical considerations with existing practices and standards. To address this need, the TAI-PRM framework has been developed. It builds upon established methods, such as Failure Mode and Effect Analysis (FMEA) and the Industrial ISO 31000, to manage risks associated with AI artefacts in the manufacturing sector. The framework identifies ethical considerations as hazards that can impact system processes and sustainability and provides tools and metrics to manage these risks. To validate the framework, it was applied in an EU project for Digital Twins on AI for manufacturing. The results showed that TAI-PRM can effectively identify and track different failure modes associated with AI artefacts and help users to manage ethical risks associated with their deployment. By incorporating ethical considerations into risk management processes, the framework enables the developing and deploying trustworthy AI in the manufacturing sector.

Exploration of the Project Risk Management Framework for Information Technology Companies

Based on CHAOS 2020: Beyond Infinity Overview, reported by the Standish Group, only 31% of IT projects were successfully implemented, while 50% of projects were challenged and 19% of projects failed. Many project managers less awareness about SRM and have a partial understanding of risk. The purpose of this study is to develop a project risk management framework for listing companies in the information technology sector. The sample for this study is 35 annual reports of technology companies listed on IDX. This study identified 122 types of project risks from 33 companies' annual reports. This study uses an exploratory study approach. The proposed framework includes three stages, namely the root cause, risk assessment, and performance stages. At the root cause stage, the identification of risks from elements of the business environment becomes the basis for measuring risk treatment. In the next stage, the identified risk treatment is measured through identify, analysis, and verification activities with the support of communication, documentation, and evaluation. The measurement results are classified into three major dimensions, namely cost, time, and quality. The final stage of the framework is in the form of residual performance risk and a risk mitigation action plan.

The Relationship Between Project Risk Management Framework and Sustainable Development of Mud Architecture Building in Yemen

This study was carried out to examine whether project risk management framework affect the sustainable development of mud architecture building in Yemen. The targeted population in this study was 260 projects of mud buildings implemented in the areas of Wadi Hadramout city. The study utilized a stratified sampling method and divided the population into three strata as represented by the geographical location within the main cities in Wadi. The modelling aspect of the study was performed using the structural formula of partial least squares (PLS-SEM, v3.2.7). The paper revealed the relationship between project risk management framework, and Sustainable Development was found a positive and significant at the level of 0.05. The findings are important contributions for policymakers and practitioners, offering valuable information on how project risk management framework can be integrated to achieve ssustainable development.

Comprehensive Project Risk Management Methodology

The objective of this paper is to introduce and discuss the basics of a methodology called the Probabilistic Critical Path Method (PCPM) for managing the previously identified risks (uncertainty) of the three project management dimensions: time, cost and return (performance). An interactive Graphic User Interface (GUI) has been designed for visualizing the tradeoffs among these three dimensions as well as their uncertainties on a flat computer screen. The user can choose to visualize the probability of failure (exceeding some user given due date, budget or not exceeding a given Minimally Attractive Rate of Return – MARR) or the probability of success (not exceeding the due date and the budget and exceeding the MARR). PCPM allows for comprehensive project risk management and it constitutes a new integrative project risk management framework. This paper shows that it is possible to integrate all three project management dimensions (time, cost and return) and show their known risks as well as determining the optimal cost and the associated time and return for such optimal cost. Finally, it is possible to interactively show all this multidimensional information on a flat computer screen.

Development of Project Risk Management framework based on Industry 4.0 technologies

PurposeThe purpose of this paper is to identify the risks involved in the construction project based on a literature survey (LS), to develop a project risk management (PRM) framework based on Industry 4.0 technologies and to demonstrate the developed framework using Internet of Things (IoT) technology.Design/methodology/approachA comprehensive LS was carried out to know the different risks involved in the construction project and developed a PRM framework based on Industry 4.0 technologies to increase the effectiveness and efficiency of PRM. Heavy equipment and parameters were identified to demonstrate the developed framework based on IoT technology of Industry 4.0.FindingsThis paper demonstrates Industry 4.0 in the various stages of PRM. LS has identified 21 risks for a construction project. The demonstration of the PRM framework has identified the sudden breakdown of equipment and uncertainty of equipment as one of the critical risks associated with heavy equipment of construction project.Research limitations/implicationsThe project complexity and features may add a few more risks in PRM.Practical implicationsThe PRM framework based on Industry 4.0 technologies will increase the success rate of the project. It will enhance the efficiency and effectiveness of PRM.Originality/valueThe developed framework is helpful for the effective PRM of construction projects. The demonstration of PRM framework using IoT technology provides a logical way to manage risk involved in heavy equipment used in a construction project.

Managing risk in green building projects: toward a dedicated framework

PurposeThe formal application of project risk management (PRM) in green building projects is still an emergent part of project management. The purpose of this paper is to provide a conceptual PRM framework that increases the probability of success in green building projects by minimizing unexpected events.Design/methodology/approachThis paper interprets the related literature and uses the opinion of green building experts. It exposes some pertinent elements needed for structuring the PRM framework and suggests some mitigation actions for high-ranked risks. It also performs ex-post analysis on a case study to practically validate the proposed framework.FindingsIt is found that high initial cost, lack of experienced contractors and subcontractors, consideration of lifecycle inflation and experience in green building project management are the most significant risks. To address them, the framework proposes a rigorous selection of contractors, provision of financial incentives from the government, setting of a time buffer to accommodate legal process and development of a deliberate proactive financial model.Originality/valueThis paper contributes to the body of knowledge and practice by providing a reasonable strategy for employing the PRM framework capable of effectively managing risk in green building projects to keep organizations competitive within the business environment. The overall aim of this study is to contribute to the further development of the area of risk assessment and risk management from a knowledge-based perspective.

E-Waste Management Awareness Program in Solomon Island

Worldwide electronic waste items have grown as product life has become shorter. The electronic products are e-waste and end up in rubbish dumps and recycling centers, posing a threat to the environment. The e-waste disposal methods adopted by Pacific island countries (PICs) are inadequate. The Solomon Island (SI) is one of the PICs and does not have a sustainable solution. The purpose of this article is to develop a framework for sustainable e-waste management campaign based on a project management framework incorporating stakeholder, risk, time, and public awareness and people management. A macro project management risk model is constructed to implement an e-waste awareness education program and assist PICs policy makers to successfully launch e-waste management program. It is shown in this work how an e-waste project management awareness program can work for SI. The important factors to be controlled for successful e-awareness program are identified with a project risk management framework. The impact, failure, and consequences of the e-waste awareness campaign are quantified. This article also provides a review of the e-waste awareness in Pacific island countries and puts forward a pan to mitigate the e-waste problem in IS. The e‐wastes in SI are unwanted electronic equipment and electrical appliances which reached its end of life and does not function as it was planned. The toxic elements within e-waste contaminate the water, land, and air. The SI does not have enough resources and technical capacity to recycle e-waste. Appropriate management and disposal of e‐waste is essential as the long-standing shield for the protection of SI and regional PICs environments. The aim is to maintain long‐term regional sustainability. The adoption of national e‐waste management policies will safeguard the movement recycling and disposal of e‐waste in a controlled manner through the Basel and Waigani convention protocols. The study designs a new paradigm for solving e-waste management issues is PICs using a project management approach, focusing on risk management, risk impact, organizational design with communication plan, and human interaction.

Customisable framework for project risk management

PurposeThe purpose of this paper is to emphasise on the need for efficient and effective project risk management practices and to support project managers in increasing the cost certainty of projects by proposing a new framework for project risk management.Design/methodology/approachThe author adopts a “constructivist” methodology, drawing on practices common in construction management sciences and new institutional economics.FindingsThe author presents a holistic and customisable project risk management framework that is grounded in both practice and academia. The framework is holistic because, amongst others, all steps of the typical risk management process are addressed. The framework is customisable, because it allows for alternative ways of implementing the project risk management steps depending on the project-specific circumstances.Research limitations/implicationsThe framework does not address the potential unwillingness of the project players to set up a project risk management process, at all. The proposed framework has not yet been tested empirically. Future research will seek to validate the framework.Originality/valueThe framework is designed to account for the difficult circumstances of a complex construction project. It is intended to support decision makers in customising a practical yet comprehensive project risk management concept to the characteristics of the unique project. Although many other project risk management concepts are designed based on the assumption that actors are perfectly rational and informed, this framework’s design is based on the opposite assumption. The framework is dynamic and should adapt over time.

Project risk planning in high-tech new product development

PurposeThe purpose of this paper is to present the implementation and testing of a modified project risk management framework that integrates PMI’s framework with Monte Carlo simulation to improve the effectiveness in high-tech new product development (NPD) projects.Design/methodology/approachThe modified framework considers three bodies of knowledge: project management, risk management, and Monte Carlo simulation to produce an enhance project risk management framework. Its application is shown through a case study.FindingsUsing the integrated framework in a recent case study project and prior NPD projects measures (as benchmarks), it was shown that it could help to enhance risk responses caused by task durations and costs’ uncertainties. The framework proved to be better than segregated generic best practices and was key in providing insight to the issue of early project risk assessment.Research limitations/implicationsMore experimental replications are required for enhancement effectiveness assertions of the framework, through the application of the framework to similar case studies. Furthermore, this could improve its reliability and soundness.Practical implicationsFuture directions for research could include case and empirical studies that include hypothesis’s testing, and the integration of optimization procedure for improved NPD project’s planning and execution.Originality/valueThis paper outlines a way to close the gap of project risks management planning in NPD’s initiatives. It was motivated by a relatively new tendency in exploring integrated frameworks to deal with complex project risks issues.

Risk management for sustainable restoration of immovable cultural heritage, part 1: PRM framework

Purpose – The purpose of this paper is to introduce and develop a knowledge base for the restoration industry to understand and deal with risks arising in restoration projects in a sustainable way. Restoration projects face a number of risks and are viewed unfavorably. The research study, therefore, is expected to generate interest and debate among the professional and researcher community in the arena of restoration of built cultural heritage for formally applying Project Management (PM) and Project Risk management (PRM) theories and practices. Design/methodology/approach – The research method consists of reviewing published literature and analyzing the dynamics of restoration industry (both from academic and practitioner point of view) in order to propose an application framework. Building upon and taking inspiration from the fundamentals of Construction Management, the proposed framework aims at methodically applying risk management within the proposed PM stages. Findings – Research results confirm that the restoration industry has not yet exposed to formal PM and PRM theories and practices to a greater level. The restoration projects are not necessarily so sustainable in their approach. Thus, there is enormous impetus and ensuing incentive for incorporating the formal theories and customized tools. Research limitations/implications – This research attempts to target the exceedingly important area of cultural heritage restoration and the missing aspect of PM and PRM. Further, the proposed framework is an attempt at bridging communication gaps between management and restoration experts. Thus, it highlights the importance of scientifically and effectively managing restoration projects. Nevertheless, this uniting attempt has its own risks in terms of terminologies, technical language, and the understanding of risk and its management which may be the effective limitations. Since in the field of engineering as well, the foundation of PM and PRM areas of knowledge finds its traces in Construction Management – which is further an application of management in construction engineering – therefore, it is rather challenging to reconcile knowledge from different areas. Practical implications – The paper explores issues concerning sustainability of restoration projects based on their use of PM and PRM. Results are expected to help stakeholders of restoration projects understand and apply the proposed PRM framework. This study is also aimed to develop a foundation for dissemination of PM and PRM knowledge in the restoration industry, and provide an impetus for future studies to examine how restoration projects can deal with risky situations. Social implications – The paper explores the sustainable development aspects of restoration projects in order to help stakeholders of built cultural heritage make critical decisions because if not managed properly, risks in a restoration project may either cause project failure or damage the historical buildings. Therefore, from a sustainable perspective, it is imperative that stakeholders identify, analyze, control and manage risks before commencing the restoration activities. Originality/value – The study is an original effort in examining the penetration of PM and PRM practices in restoration industry. Based on it, the study proposes an original framework for application of formal PRM for restoration projects. Results are of relevance in today's world where risks hinder and sustainability guides the decision making.

Combined interpretive structural modelling and expected value method approach for managing project risks in oil exploration project

Oil exploration projects involve a large number of vulnerabilities and uncertainties associated with all project phases. This paper aims to develop a comprehensive framework for project risk management based on combined interpretive structural modelling (ISM) and expected value method (EVM) approach for oil exploration projects. ISM is useful in categorising the risks into different levels depending upon their severity and also in identifying the presence or absence of an interaction between risky activities. By EVM analysis, it is observed that the expected time overrun and expected cost overrun is about 15% and 20.08 % more than the base time estimate (BTE) and base cost estimate (BCE) respectively. It is also observed that the probability of successful completion of the project within the scheduled contractual duration is only 10.75%. Thus, to ensure the probability of successful completion of the project, risk mitigation measures should be adopted accordingly.

Managerial Issues and Lessons for the Proposed Taiwan Strait Tunnel Project

The aim of this article is to explore some aspects of strategic and managerial issues that may pose challenges to the proposed Taiwan Strait Tunnel. These issues include political, financial, organizational, and human factors, and a framework for project risk management. The experience and accomplishment of the Eurotunnel are used as parallels to draw out important lessons on threats and opportunities, and raise relevant questions for any future would-be promoter and project leaders to ponder. The issues raised are preliminary and exploratory in nature and only to serve as a basis for further deliberation and debates.