The perception and management of risk in Lithuanian construction company

Abstract

Risk analysis and management is nowadays a critical factor to successful construction project management, as construction projects tend to be more complex, dynamic, always unique, and competition increasingly tougher. Risk management helps the project participants – client, contractor, consultant, and supplier – to meet their commitments and minimize negative impacts on construction project scope, cost, schedule (and quality, as a result). The benefits of the risk management process include identifying and analyzing risks, and improvement of project management processes and effective use of resources. This paper reports the research that aimed to discover how Lithuanian contractor perceives the significance of the construction projects risks it faces and the extent to which it employs risk response tactics.