SCHOOL OF ENGINEERING SCIENCES AND TECHNOLOGY
MASTER OF SCIENCE DEGREE IN ENGINEERING PROJECT MANAGEMENT
STUDENT NAME : GWATIRINGA MAXWELL
REG. NUMBER : C21148103B
COURSE TITLE : PROJECT RISK MANAGEMENT
COURSE CODE : MEPM 608
LECTURER : DR. MBIZI
INDIVIDUAL ASSIGNMENT
RISK MANAGEMENT PLAN
Project: Construction of a new office block at the premises
Company: J & J Construction Pvt ltd
Introduction
The risk management plan sets out all risks and how they will be mitigated.
Risk Management Strategy
J & J Construction Pvt Ltd is an internationally recognised company and is ISO certified hence the project will be managed in accordance with
the Integrated Management System which comprises of the three standards i.e. the Health & Safety Management standard ISO 45001:2018,
Environmental management System ISO 14001:2015 and the Quality Management standard ISO 9001:2015.
The effective management of risk and uncertainty through accurate evaluation and proactive mitigation of risks is critical to the success of the
project. The following guiding principles will be adhered to:-
Risk management will be part of all meetings and decision making
The risk register will be maintained and updated fortnightly during the project’s meetings
Risk assessment will be carried out at the commencement of the project with the identification and assessment of risks in terms of
likelihood and cost outcomes.
All risks will be documented in a register with impact on project clearly defined and mitigation set out.
Risk Audit
An audit will be carried out to discover deviations from accepted standards and circumstances of illegality, inefficiency, irregularity and
ineffectiveness early enough to take corrective action, hold violators accountable and take steps to prevent further losses.
accepted standards and instances of illegality,
inefficiency, irregularity and ineffectiveness
early enough to take corrective action, to hold
DOI: 10.4018/ijpada.2014070104
Copyright © 2014, IGI Global. Copying or distributing in print or electronic forms
without written permission of IGI Global is prohibited.
International Journal of Public Administration in the Digital Age, 1(3),
70-84, July-September 2014 71
violators accountable, and to take steps to pre-
vent further losses (Mikesell, 2007). In general,
information technology (IT) audits play a crucial
role in effectively and efficiently managing IT
in a public organization
An audit seeks to discover deviations from
accepted standards and instances of illegality,
inefficiency, irregularity and ineffectiveness
early enough to take corrective action, to hold
DOI: 10.4018/ijpada.2014070104
Copyright © 2014, IGI Global. Copying or distributing in print or electronic forms
without written permission of IGI Global is prohibited.
International Journal of Public Administration in the Digital Age, 1(3),
70-84, July-September 2014 71
violators accountable, and to take steps to pre-
vent further losses (Mikesell, 2007). In general,
information technology (IT) audits play a crucial
role in effectively and efficiently managing IT
in a public organization
A Risk Audit will involve:-
Reviewing project management systems, policies and procedures and ensures
Interviewing project personnel to check whether they have received appropriate training.
Observing other similar projects to see how participants are likely to interact with the event environment
Checking for possible hazards.
Risk identification
The process will involve the project team, appropriate stakeholders and will include an evaluation of environmental factors, organisational
culture and the project management plan. Careful attention will be given to the project deliverables, assumptions, constraints, resource plan and
other key project documents
Panning Procurement
Project schedule not clearly defined tendering selection criteria
Insufficient funding procurement of out of specifications resources
Misinterpretation of user needs financial constraints
Insufficient funding
Impractical time frame
Probability issue
Skills flight
Brain drain
Occupational health & safety injuries
Poor engineering controls
Poor handling of equipment and material.
Failure to comply with Statutory Instruments
Failure to follow procedures or work instructions
Lack of communication
Cultural beliefs and social interactions
Behavior
Negligence
Pandemics
Use of faulty equipment/appliances
Use of uncertified electrical equipment/appliances
Incorrect and/or faulty electrical installation
Use electrical equipment/appliances that do not meet relevant Standards and Codes
Chemicals & Hazardous materials
Chemical exposure - acute or chronic
inhalation
absorption
ingestion
injection
Fire and/or explosion through incorrect storage, handling, labeling or mixing of chemicals.
New chemicals with uncertain properties.
Time sensitive chemicals that can become unstable during storage.
Generation of hazardous wastes.
Contamination due to accidental leakage, spills, emissions:
air
.water
soil/ground
RISK REGISTER
The Risk Register is intended at identifying, recording, communicating risks and mapping out of action plans to mitigate the risks in terms of
their comparative importance at J & J Construction Pvt Ltd. Its key function is to provide management and all its stakeholders’ noteworthy
information on the main risks faced by the construction company. Coupled to this are the relevant policies and systems in place to refute or
reduce these risks to a tolerable level.
I.D Risk title Risk description Likelihood Impact if Severit Owner Mitigation Contingent Progress
of the risk risk y Action plan on
occurring occurs actions
1 Planning Project schedule not medium 6 medium Project Hold scheduling Escalate to In
clearly defined manager workshops with Project board progress
team members so
understand the
plan & likelihood
for missed tasks
is reduced
Insufficient funding
Medium medium Project Allowing the user Escalate to In
manager to raise a Project progress
Misinterpretation of 5 Sponsor
specification for
user needs the item they
want procured.
Insufficient funding
Impractical timeframe Setting realistic
Probability issues targets
Ensure
availability of
spares in stock
2 Procurement Tendering selection
Medium medium Procurement
Guided by the
The In
5 Manager Procurement progress
criteria tender document manager
and the agreed to
interrogation follow the
Open
Procurement of out of system. guidelines of
specification products the tendering
/ equipment procedure
Preapproved
Financial constraints suppliers list.
Refer to specific
hazard category
for controls
3 Poor Nepotism Low 3 Low HR manager
recruitment Not following
process recruitment procedures
Directives from Higher
Offices
4 Skills flight Brain drain
negligible 2 negligible HR
Training of
Escalate to the In
Manager Project progress
employees to Sponsor
improve on skills
base
5 Possible Delay in payments
High 6 High
labour unrest
among
contractors
6 Occupational
Poor engineering
High 7 high Risk Officer
Manual handling
Escalate to In progress
Health and Risk officer
controls training.
Safety
injuries and Poor handling of Manual handling
diseases equipment and risk assessment.
material.
Failure to comply with Work station Pre-
Statutory Instruments Task Risk
Failure to follow assessments.
procedures or work Pre-start
instructions induction and on
Lack of communication the job Induction.
Cultural beliefs and Use of correct
social interactions PPEC/E
Behavior Carrying out
Plant Hazard
Negligence and Risk
Pandemics Assessments
Use of faulty Emergency stops
equipment/appliances Training and
Use of uncertified supervision.
electrical Scheduled
equipment/appliances maintenance.
Incorrect and/or faulty Standard
electrical installation Operating
Use electrical Procedures.
equipment/appliances Personal
that do not meet protective
relevant Standards equipment.
and Codes
Confined space
entry permit
system
7 Chemicals Chemical exposure -
High 8 high Risk Officer
MSDS and
Risk Officer In
and progress
acute or chronic inventory
Hazardous
inhalation system
Materials
absorption
Chemical Risk
ingestion
Assessments
injection
Local area
Fire and/or explosion
standard
through incorrect
operating
storage, handling,
procedures
labeling or mixing of
chemical Purpose built
storage areas
Generation of
for cylinders
hazardous wastes
and compressed
Contamination due to gases.
accidental leakage,
Correct labeling,
spills, emissions:
storage and
air
segregation.
water
soil/ground Time sensitive
chemicals dated
Emergency
procedures for
accidental
release/spillage
Chemicals
handling
Training
Gas Safety
Training
8 Water Supply Inadequate water supply 7
Make sure the
Project In
Shortages by Harare City Council Manager progress
borehole is
Water Leaks (Internal) functional at all
times
Malfunctioning of
Boreholes and drying
up of boreholes
Risk rating descriptors
Colour Description Required action
code
Negligible Acceptable:
Unlikely to require specific application of resources
Manage by routine procedures
Monitor and review
Low Acceptable
Unlikely to require specific application of resources
Monitor and review
Moderate Acceptable
Unlikely to cause much damage and/or threaten the efficiency and effectiveness of the program/activity. Treatment
plans to be developed and implemented by operational managers.
Monitor and review
High Generally not acceptable:
Likely to cause some damage, disruption or breach of controls.
Senior management attention needed and management responsibility specified; Treatment plans to be developed
Catastrophic Not acceptable:
Likely to threaten the survival or continued effective functioning of the organisation. Immediate action required;
Must be managed by senior management with a detailed treatment plan
Risk rating table
Very
High
10
9
High 8
Moderate 6
5
FREQUENCY
Low 4
Not likely 2
1 2 3 4 5 6 7 8 9 10
Neglible Low Moderate High Catastrophic
SEVERITY
POLICIES TO IMPLEMENT
Health & Safety Policy
J & J Construction Pvt Ltd recognises and accepts its health and safety duties for providing a safe and health working environment (as far as
reasonably practocable) for all its workers and other stakholders to its premises under the Health and safety policy.Under this policy the
company intends to:-
Make suitable and sufficient assessment for the risks to the health and safety of employees
Make safe arrangements for protection against any risk to health and safety of the general public that may arise
Provide sufficient information, instruction, training and supervision to enable everyone to avoid hazards and contribute to their own
safety and health.
Ensure the provision and maintenance of plant, equipment and systems of work that are safe
Encourage persons on the premisses to cooperate with the organisation in all safety matters in identification of hazards which may exist
and in the reporting of any condition which may appear dangerous or unsatisfactory
Ensure that departmental safety representatives are elected in all departments to coordinate tool box talks and safety meetings
To make the workplace safe without risks to health
Ensure plant and machinery are safe and that safe systems of work are set and followed
ensure that articles and substances are moved, sored and used safely
give employeesthe information. Instruction, training and supervision necessary for their health and safety
The company will comply with its duty to ensure, as far as is reasonably practicable, the heaslth, safety and welfare at work of its
workers and of visitors to the premises.
Quality Management Policy
QMS is a set of processes and procedures required for planning and execution in the core business area of an orgfanisation (i.e., areas that can
impact the organisation.s ability to meet customer requirements hence J & J Construction Pvt Ltd’s QMS policy seeks to:-
Ensure that all requirements of the policy have been met
Produce records and evidence that system requirements have been met
Measure, monitor and report the performance of the quality management policy
Confirm that employees receive applicable training in the quality system requirements
Plan changes to the quality system and take actions to address risks and opportunities as a result if changes
Ensure that internal audits are carried out to analise the quality management system and correct nonconformities.
Environmental Management Policy
This system and database integrates procedures and processes for training of personnel, monitoring, summarising and reporting of specialised
environmental performance information to intenal and external stakeholders of the firm.
This policy determines and continuosly improves J & J Construction Pvt Ltd’s environmental position and performance. It is a framework that
helps the organisation achieve invironmental goals through consistent reviews, evaluation and improvement of its environmental performamnce.
The policy is deployed in compliance with ISO 14001: 2015 standard as part of the organisation’s strategy to implement the environmental
policy and address government regulations.This policy focuses resources on meeting the commitments identified in the company’s policy which
includes reducing or eliminating the negative environmentsl impacts of the products, services and activities and increase their positive effects.
SUMMARY ASSESSMENT
J & J Construction Pvt Ltd, as an ISO certified company is not carrying out internal audits to make sure it remains compliant to the IMS
standards. Commitment of top management is very low hence there is need to carry out regular internal audits and correct non conformities in
time. Awareness’s of the IMS are not carried out and this has been shown by failure by some employees who failed to recite the companies IMS
policy statement. Some did not even know what IMS stood for. The policy should be posted at all departments notice boards.
The construction company has one borehole on site and if the pump breaks down works will be disturbed hence there is need to droll two more
boreholes so as to keep the company running even in times of erratic supplies of water from the municipality.
Managers and forepersons are no attending toolbox talks every morning and safety meetings on Fridays and there is no attendance register to
show who is attending. The company should ensure an attendance register and minutes of meetings are there all times when these meetings are
carried and these should be sent to the General Manager for review every month end. There is also need to appoint safety representatives in all
departments who would coordinate the safety meeting,
Workers are not carrying out pre task risk assessment at work stations so as to eliminate hazards and control them before works commence and
this is shown by the increase in number of accidents that are recorded at work stations. Some employee names will be missing of these pre task
forms but they would be part of the team carrying out the works. J & J Construction Company should ensure all workers should carry out pre
task risk assessment as a team so that they will exhaustively assess all available risks and put control measures before work commences.
