Research On The Project Risk Management Of Refractory Red Ore Of Renda Company

Abstract:Severe shortage of iron raw ore, external dependency is close to60%in China. The resources supply and domestic demand of iron ore is increasingly intensified with the rising price of it. So it is very necessary for China’s iron enterprises to developing of domestic refractory red ore. Dressing and smelting process are the most important stage in the entire chain system development and utilization of red iron ore.RenDa company invest a lot of manpower and resources, and achieved a number of patents in improving the efficient development and utilization of red iron ore under the Chinese national special support, and successfully completed the application of industrial test in production practice.However, the risk brought by uncertainty factors to the project is unexpected because there is no risk management system as yet. Some of the projects did not achieve the desired goal. These problems resulted in a waste of resources, and even sometimes drive the project to a greater risk, which is bring negative influence to the development of the company.This paper proposed use of project risk management on the RenDa company’s refractory red ore project, Sorting out the various factors faced by the project, to identify the normal key risk factors of the project through expert investigation method and factor-analysis-model, and by using principal component analysis method identified the project’s seven key risk factors, which is process technology, construction technology, human capacity levels, materials and equipment, marketing and management, social factors, natural environmental factors, then establish a risk management system after objective and subjective risk assessment by the expert analysis and equal-risk curve method to providing a basis for refractory red ore project risk prevention.The author attempts to add the general content of systemic risk management in the risk management of refractory red ore project in this paper, trying to use the theory of project risk management system to reduce risk by continuous risk management in a running project, to avoid the adverse effects in the previous project, to explore a practical operational mode for the later similar project risks management.