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Owner-Builder Risks - Research Paper Example

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"Owner-Builder Risks" paper determines the risks faced by owner-builders in terms of quality and time, the potential cause of the risks and their effects, and the possible remedies for the risks. The research is limited to two risks facing the owner-builder which involves quality risk and Time risk…
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Extract of sample "Owner-Builder Risks"

Name Tutor Course Date Owner-Builder Risks Summary Owner-builder is a person involved in the construction of their own building. They face several risks which include quality and time risk. The quality risks are mainly as a result of lack of adequate knowledge and experience by the owner-builder. Time risk mainly involves failing to completes activities on time as well as failing to complete the construction process according to the schedule. The risks have negative impacts on the owner-builder as well as the whole process. Introduction Owner-builder is a person who is involved directly in the constriction of their own building. The owner-builder may construct the building for different purposes including for rental purposes, for sale or for their own occupation. Owner-building can be risky and it is therefore important to understand the risks in order to avoid any problems including the legal problems. This is considering that owner-builder can be jailed or ordered to pay fine incase of certain risks (Victorian Building Authority, 6). Various risks may be encountered by the owner-builder including the quality risks as well as the time risks. The paper discusses the time risk and the quality risk that may be encountered by the owner-builder. Aims and objectives To determine the risks faced by owner-builders in terms of quality and time. To determine the potential cause of the risks and their effects. To determine the possible remedies for the risks. Scope The research will only be limited to two risks facing the owner-builder which involves quality risk and Time risk. A lot of focus in the research will be on the likely causes of the risks among the owner-builders. Discussion Quality risk The adequacy of drawings and specifications is one of the major risks that may be encountered by the owner-builder in terms of quality (Victorian Building Authority, 6). In most cases, the drawings and specifications are usually carried out by an architect and not the owner builder. This is because the owner-builder may not have the expertise to do so. This has negative impacts on the quality of the building as the drawing is highly relied upon during the construction of the entire building. Lack of adequacy in terms of the drawings may also result to the technical difficulties during the construction process. Poor interpretations of the drawing by the owner-builder may also result to the same risk as the building may end up collapsing. This risk is high when the drawings are not well interpreted or followed. The lack of proper specifications may also result to technical problems which may also result to poor quality building. The lack of adequacy of drawings and specifications may also result to the building undergoing a lot of repairs in order to meet the specifications. The owner-builder is therefore required to fully understand the quality risks associated with the adequacy of drawings and specifications. The standards of workmanship by others are also a risk that the owner-builders face (Victorian Building Authority, 6). The owner-builder will not be able to carry out all the building activities as other personnel may be required. Depending on the level of experience of the owner-builder, it may be difficult to supervise all the work being carried out by others. This is because lack of experience may make it difficult for the owner-builder to know exactly what is required of the different personnel carrying out different activities. This therefore raises the risk of poor workmanship by other which may impact negatively on the whole process. Poor workmanship has negative impacts on the quality of the building. The building may fail to meet the required standards in case of poor workmanship. The owner-builder has to understand the quality of the building is highly dependent on the workmanship. The owner-builder may face a huge risk in case the right skills in term of the workmanship is not sought or availed. It is therefore important for the owner-builder to ensure that the personnel being hired to carry out different activities are highly qualified in order to avoid this form of risk. Compliance with regulations is also a major quality risk that may impact negatively on the owner-building (Victorian Building Authority, 6). In Australia, the owner-builder is required to comply with certain regulations that have been put in place. The owner-builder has to comply with all the building standards that are in place. The failure to comply with the building standards pose a risk to the building and it may also attract penalties and fines. Regulations are also in place for the purposes of ensuring that the planning requirements are met. The owner-builder therefore faces a risk in terms of quality if the planning requirements are not met. The planning process may require certain conditions to be met before the construction process begins. The failure to meet the requirements may impact negatively on the quality of building. Occupational safety and health is also one of the risks that the owner-builder may face if they do not fully comply with the laws and regulations. In Australia, the occupational health and safety regulations have to be followed in order to ensure that the workers are safe. It is therefore important for the owner-builder to be familiar with all the regulations in order to avoid the quality risks that may be as a result of failure to comply with regulations. The technical ability to direct and assess workmanship is a major risk to the owner-builder (Victorian Building Authority, 6). Most of the owner-builder does not have any technical skills with regards to the building construction. This presents a high risk in terms of quality. The lack of technical skills to assess workmanship means that the processes will mainly be dependent on the ability of the works to carry out different tasks. The lack of technical abilities may force the owner-builder to rely on the services of other people in order to achieve the goals and objectives of quality. The owner-builder is at risk of facing the quality problems in case they are to assess and direct the workmanship without the technical abilities. It is therefore important for the owner-builder to consider the technical aspects before process begins. Time risks The identification and engagement of the suitable tradespeople is one of the time risks that the owner-builders are likely to face (Victorian Building Authority, 6). It may take as long period of time to find the suitable tradespeople. This is considering that work cannot begin if the suitable tradespeople have not been recruited. The construction process may therefore fail to start at the required time in case of the trades people are not found on time. It is also important to note that some of the process may stall if the tradespeople required to perform certain tasks are not found on time. Some of the activities require specialized skills that require experienced and highly trained tradespeople. It may take a long period of time before the owner-builder is able to find such personnel. It may also be difficult for the owner-builders to know whether the personnel they have recruited are the right people for the job. Coordination and continuity of the work is also a time risk that the owner-builder faces (Victorian Building Authority, 6). The building construction usually takes place in stages as different activities usually take place at different times. In some instances, some of the processes have to be stopped for a particular period of time before the construction process resumes. It may also be difficult for the owner-builder to coordinate all the activities in order to ensure the continuation of the building process. Alto of activities have to be carried out during the construction process and it requires a lot of efforts in terms of the coordination of activities. The process may be frustrating and difficult for the owner-builders who do not have experience in carrying out such activities. Delays may arise due to lack of proper coordination of the construction activities. It may also take the owner-builders a long period of time for the owner-builder to comprehend some of the activities and coordinate them and hence resulting to time risks. The completion of work is a time risk that the owner builders face (Victorian Building Authority, 6). This risk of failing to complete the construction work on time is quite high. This can be as a result of the combination of risks as well as challenges that the owner-builders may face during the construction process. The delays in the completion process have the potential of increasing the costs and hence affecting the budget. The quality of the building may also be affected by the delays in the completion of the building process. The failure of the works to be completed on time may also lead to more risks associated with building construction. Conclusion In conclusion, it is evident that the owner-builder face quality and time risk. The quality risk may be as a result of workmanship problems as well as difficulties and lack of experience in terms of technical abilities. Time risks may be as a result of coordination and completion of work as well as the failure to complete the work on time. References Victorian Building Authority. Owner-builder and application kit and information statement. Victorian Building Authority. 2015. Read More
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