Risk Management Of Equipment Procurement Project Under EPCM Mode

The procurement of production line equipment is characterized by risk of high value and quality with long lead time and so on in the Enterprise's operation works.During the process of purchasing the production line equipment,we will face a variety of problems;it will cause the project delay or termination and bring economic losses when negative effects happen.So it is very important for us to study and apply the risk management for the project of the production line equipment procurement.Especially in the project is under EPCM mode(Engineering,Procurement,Construction,and Management).The domestic enterprises lack of experience of how to handle the EPCM.However with the development of enterprises,the national economic transformation,more and more enterprises will adopt EPCM mode to management project.The AHP-fuzzy relational matrix is used in the paper.It is based on the qualitative and quantitative analysis methods.The theoretical knowledge of risk management is applied to enterprise equipment procurement.The risk identification is done by through the real case of equipment procurement in EPCM mode.The table for the risk factors of production line equipment procurement is established,after that,the AHP-fuzzy relational matrix model is used to evaluate and summarize the risk factors of the equipment purchase.At last,a risk control manual is established through using the theory of risk control and risk control measures.This helps the buyers in the enterprise to well handle the risk that will face in the daily working.Also could be a good guidance to for people to right decision.