Identification and Assessment of Risks and Response Strategies in High-Rise Construction Projects

Abstract

The construction industry in the United Arab Emirates (UAE) is recognized as one of the most dynamic in the Middle East. This is due to its continuous expansion and the endless investment opportunities it offers. There are various risks that could impact the performance of projects in terms of budget and schedule. This subject has gained attention in research, however there is a notable gap in studying the potential risks in high-rise construction in UAE. This thesis explores risk management in UAE, specifically focusing on the high-rise construction segment. The first objective of this research is to identify the top ten risks in high-rise construction in UAE. The second objective is to empirically assess the impact of the identified risks on project budget and schedule. The third objective of this study is to determine the suitable response strategies to manage the identified risks. The identification of the critical risks was carried out through extensive literature review. These risks were incorporated within a survey questionnaire to evaluate and assess their probability and impact utilizing a Likert scale approach. The survey results were further analysed and the Relative Importance Index (RII) was used to rank the risks based on their impact on budget and schedule. The survey was also utilized to identify the most effective management strategies to control the identified risks. Key risks such as financial constraints including delayed payments and fluctuating material costs emerged as significant concerns. The research findings indicate that the risk of tight schedules holds the highest impact on project duration, with RII of 0.979. In addition, the risk of design changes and variation orders is identified as having the most significant impact on project budgets, bearing an RII of 0.975. The findings highlight the importance of proactive planning and clear contractual frameworks as crucial in managing these risks. The thesis contributes significantly by offering a wide understanding of risk management in the context of UAE's high-rise construction. This research serves as a practical guide, and it offers robust strategies to control and manage risks in this dynamic field.