Page 60 - BASIC PRINCIPLES OF QUANTITY SURVEYING PROFESSIONAL PRACTICES

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b) The risks that may develop during the project's delivery and how

those risks should be addressed.

➢ The risk connected with the construction project is the

second factor that may impact procurement strategy
selection. Risks are occurrences that may occur during

the delivery of a building project, both known and

unknown, and which will usually have a negative impact
on the project's outcomes.

➢ The nature of the project's risks, as well as their impact
on project outcomes if they occur, are frequently dictated

by the project's major objectives and restrictions. Delays
in the construction program, for example, can jeopardize

a project's timely completion.

➢ The risks can be determined once the project's primary

objectives and constraints have been outlined. The
procurement approach used for the project determines

who is responsible for controlling or minimizing specific

risks in general. (For example, if the procurement
approach is "design and construct," the risk of design

flaws is passed to the contractor in broad terms).

➢ As a result, before deciding on a procurement strategy

for a project, departments should think about and figure
out the best way to deal with the identified risks.

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