Risk Management In Engineering Project

Engineering project is performed under the various natural condition and complicated social circumstance. It is a combination process of production and consumption, with the feature of long last-time, vast investment, complicated internal structure and broad external relationship. Going forward step by step, there are many uncertainties in the construction project. The uncertainties make risks happen which usually do harm to the implement of the project. So, it is urgent to apply risk management to engineering project. Nowadays, the study of risk management has become a hot issue in project management field.This paper discusses the identification, estimate, evaluation, reply, supervision and control of risks and tries to make the risk management systemically. A dynamic feedback risk system is set up with the five components. With the implementation of risk management schedule, some risk factors would be changed. The changes should be fed back successively so as to make the managers notified in time, revise the established schedule dynamically and achieve the expected target finally. Apparently, it is a repeated and cycle course.After generalizing various risk management methods, we focus on two methods: Analytic Hierarchy Process and Fuzzy Comprehensive Evaluation. Frameworks on project risk factors ranking, system risk assessment and risk response option using AHP are presented. Then we present a new approach to evaluate the fuzzy factors in engineering project, in which a multilevel fuzzy comprehensive evaluation model is taken into account. The two methods are applied to real engineering project, and their effectiveness in risk evaluation are demonstrated. In order to improving the calculation efficiency, we program an application on Fuzzy Comprehensive Evaluation by Visual C++, and create an ACCESS database to record the weight of risk factor in every layer as well as the fuzzy evaluation matrix with single factor.According to the requirement, the element number of evaluation set can be adjusted within a certain range with the advantages of dynamic expand and friendly interface.