The impact of projects and operation management on risk reduction for the international construction firms

Abstract

Contracting overseas construction projects is usually considered a “high risk business”, mostly because of a lack of adequate overseas environmental information and overseas construction experience. Managing risk is one of the primary objectives of firms operating internationally, nevertheless, the treatment of risk and uncertainty in the international management firm vary in their use of those terms and tend to look at particular categories of risk. In recent years, owners and contractors have aggressively pursued international business opportunities and projects, but in the face of the development risks may go unidentified and early warning indicators ignored. It is therefore assumed that every business organization have to develop a risk management system and an internal coordination systems in order for the organization to continue running. The goal of this research study is to develop a risk management process to increase the success of international facilities for owners and contractors, it’s important to note that these techniques are relevant to all organizations even outside the construction companies. This research is a study of a existing problem that every organization go through, even the ones that aren’t related to the construction fields, where the main purpose is to ensure that the lack of communication and coordination between the departments will certainly lead to failure of the whole organizational system. Particular attention was directed at how the two parties of the company coordinate to reduce the risk in the international construction fields using software’s and/or other tools. Primary and secondary data have been gathered through qualitative and quantitative data, questionnaires was used to collect primary data information from which the risk was the dependent variable and all the rest means were taken as an independent variables.