Construction managers have a lot of responsibility on their plate. With employees to oversee and projects to supervise, time isn’t always on your side. As a way to get more done in less time, many seasoned professionals are turning to technological solutions. If you think you could use assistance with your task list, it might be worthwhile to try one of these three nifty construction management apps. Read more
It happens to every contractor at some time or another. Your project unexpectedly balloons well over budget. The cost overrun then suddenly jeopardizes the entire project. Whether the discrepancy is caused by a design error, unexpected conditions or a scope change, there are strategies you can employ to save a project from spiraling out of control. Read more
If you are on the project management team, you know the buck ultimately stops with you. But, if you are like many contractors, you might not have a plan in place to ensure everything is completed on-time and within project scope.
In a recent article published by PIANY, it was stated that FEMA approved more than 1 billion dollars in assistance to individual families in NY. Last year super storm sandy put many families in the NY area out of their homes and repairs are still being made to rectify the damages.
Of the 1 billion spent by FEMA, $855 million was used for eligible survivors who needed home repairs and temporary rental assistance. The rest of the budget of $145 million dollars was allocated to other uninsured hurricane-related expenses. These uninsured expenses included personal property, transportation, medical, dental, funeral and moving costs.
The budget of 1 billion dollars was a part of FEMA’s individual and household program. It was a smaller part of much larger assistance program for New York’s recovery. The total cost in disaster assistance was 8 billion and included more than 1.5 billion in low interest U.S. small business administration disasters loans, and more than 3.7 billion in flood insurance claim payments. Besides all that, 1.8 billion dollars were spent for debris removal, repair or replacement of public facilities and reimbursement for emergency expenses.
FEMA’s mission is to support our citizens and first responders to ensure that as a nation we work together to build, sustain, and improve our capability to prepare for, protect against, respond to, recover from, and mitigate all hazards. Disaster recovery assistance is available without regard to race, color, religion, nationality, sex, age, disability, English proficiency or economic status. If you or someone you know has been discriminated against, call FEMA toll-free at 800-621-FEMA (3362) (TTY 800-462-7585.)
Concern by Owners and Contractors over Construction Risk Management
There are many risks involved in the construction industry. While business owners and contractor perspectives vary quite a bit, there is one aspect of construction which they can both can agree upon. In a survey done by KPMG, it was indicated that Risk Management was one of the top most concerns. It ranked in the top three list of concerns for both owners and contractors, indicating that it was indeed an important topic for further analysis. In addition to risk management, transferring risk was also a focus.
Why is Risk Management so important?
When dealing with construction, owners of major construction projects must deal with pressing issues such as capital expenditure, cost overruns, fraud, misconduct, and waste. The scope of large projects is what exposes contractors to risk, and only by having the right level of oversight can risks be managed. By effectively managing risk, both the owners and contractors benefit by eliminating issues and costs.
What are Construction Risks?
There are various risks involved in construction. Anything that causes a project to veer from the initial plan can be considered a construction risk. This is because it is something that goes beyond the scope of the project, wasting valuable time and money. Uncertainties, Liabilities, and Vulnerabilities are all examples of Construction Risk.
Construction Projects and Risk Management
There are a few steps you can take to ensure that construction risks are lowered. First off, one can devise a realistic plan and identify which aspects of a project are more risky than others. Secondly, as a contractor or owner, you can analyze situations in real time, either qualitatively or quantitatively. Qualitative analysis is when you prioritize risk by how critical certain project objectives are. Quantitative Analysis is when you use probability to measure the importance of particular task. Quick response is another aspect of risk management. By responding to issues as soon as they arise, you can eliminate avoidance of the risks, transference of the risk, and minimize project cost while, at the same time, maintain schedules and quality.
Protecting Your Construction Project From Risk
By focusing on construction risks, project development can occur quickly and efficiently. It takes proper planning and readjustment to minimize the risk involved with large contracting jobs. Take a few pointers from this article, and you will find that your company will be much better off in the long run. Risk is unavoidable, but it is the way in which you manage risk that dictates the success, or failure, of your construction business.