Study On Risk Management Of International Engineering Project Under The EPC Contract

The year of 1978 is a legendary year in China's history,the 3rd Plenary Session of the 11 th Central Committee of the Chinese Communist Party is a fairly meaningfully turning point for China.At the same year,China Construction Engineering Corporation which engaged in the overseas construction work was founded,which marked the first step for China's overseas contracted project.Since China's go-out policy was issued in 1997,the international contracted project is getting improved and perfect as the global economy integration and China's economy continuous and fast development.In such a case,project management theory is highly acknowledged in China,especially in the field of international engineering contracted project widely.While as the booming of international engineering project,it is more and more evident that Chinese enterprise can't be acclimatized to the international social,economy and culture environment.Furthermore,the complex&volatile international environment and the deteriorative &tough competition coexist.Thus“high risk” has become the remarkable feature of international project.Risk management is directly relevant to the profit and deficit of any enterprise,even the success and failure of a project.As one of the nine knowledge systems of project management,Risk Management is playing more and more critical role in international engineering project management.This article firstly introduced the definition and feature of risk,and then writer analyzes the risk management theory of international engineering project from the point of systematic theory and describes the five important procedures of risk management indicated in the project management theory presented by PMI.Risk planning,risk identification,risk analysis,risk countermeasures and risk monitoring,all of which constitute a theory frame applicable to the international engineering project.Risk identification and risk analysis are the basic work of risk management,which have a fundamental effect on risk management.Only the complete and accurate risk is identified,the risk management can play the role of controlling and preventing.When state the risk management theory,one case is cited to summarize the risk of the international engineering project and discuss how to perform the risk management.Currently,at the newer and higher position,we should consider and study the risk management in the point of international view.As a engineer who is engaged in the international engineering project,i sincerely hope that this article shall be referred when we face the unknown risk.We shall be alert to the risk and contributed to make the “new normal” economy realized.