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Chinese Construction Industry - Coursework Example

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In addition, a case study in China's construction industry is included to demonstrate the effectiveness of risk management.
Although the Chinese construction industry has organised a risk management campaign, the anticipated continuous improvement in risk alleviation fails to be realised in the industry. There are some obstacles to the successful implementation of risk management practices in a planned economy including those stemming from both within (internal) and outside (external) an organisation. This study aims to unveil these major obstacles by a survey analysed with the proper methodology. These obstacles include the mandatory requirement by the government; acute competition in the construction market; commitment and leadership of top management; bidding policies; labor training; unique specialties of the industry; statistical methods; organisation structures and teamwork; and resource input. The study reveals that such actions should be implemented that affects the industry's external factor, in which, it is more crucial than internal factors in hampering the successful progress of the construction industry in Asia, specifically in China. ...
Statement of the Problem 6
Aims and Objectives 7
Scope and Limitations 7

Chapter II: Construction Industry in China 9
Demands for Construction 10
Risk Management Approach 13
Measurement of risk 15

Chapter III: Literature Review 17
Opportunities, Risk and Value 17
Ownership of risk - transfer and spreading of risk 18
The benefits of having a Systematic Risk Management 19
Application of Risk Management 20
Risk Identification 21
Risk Analysis 22

Chapter IV: Information Collection (Methodology) 23
Descriptive Approach 23
Data Sources 24
Data Gathering Tools 25
Sampling Design and Respondents of the Study 26
Statistical Treatment 27
Validation of the Instruments 28
Ethical Consideration for the Study 28

Chapter V: Presentation, Interpretation, and Data Analysis 30
Research Design 30
Estimation and results 31
Results and Discussions 36

Chapter VI: Conclusion and Recommendation 44



The construction industry plays a very important role in the national economy in both developed and developing countries (Miles and Neale, 1991). There is normally a vigorous demand for construction in industrialisation and urbanisation, which is reflected from the sizeable proportion of added value of the construction industry in the gross domestic product (GDP) (Hillebrandt, 2000). In the period of economy 'take-off' in Japan from 1956 to 1973, the percentage of the construction industry in GDP went up from 4-5% to 9% while the average annual increase of GDP was up to 10% (World Bank, 1984). In Korea, the percentage increased from 3% at the beginning of 1960s to 9.8% in 1991. In ...Show more
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Risk management is expecting the unexpected - it is a tool which helps control risks in construction projects. Its objective is to introduce a simple, practical method of identifying, assessing, monitoring and managing risk in an informed and structured way…
Chinese Construction Industry
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