Risk management in construction projects, selected methods for the evaluation of risks

Savings potentials can be realised in construction projects by application of risk management. The most difficult task, essential for the success of risk management, is risk analysis together with evaluation of risks, the quality of which is the basis for best risk control by the management. The objective of risk evaluation is to forecast the probability of occurrence and the relevance of the identified risks. The probability of occurrence can be determined through statistical evaluation, empirical data records, benchmarks or expert estimates. Risk analysis and evaluation lead to a basis for deciding upon actions for mitigation or elimination of risks.