Risk correlation analysis for China's construction projects based on stakeholder theory

• Published in: International journal of management science and engineering management Vol. 5; no. 4; pp. 285 - 292
• Main Authors: Deng, Tiejun, Zhou, Xiangyun
• Format: Journal Article
• Language: English
• Published: Taylor & Francis Group 01.01.2010
• Subjects: construction project; correlation; risk; stakeholder
• ISSN: 1750-9653; 1750-9661
• DOI: 10.1080/17509653.2010.10671119

The construction industry is subject to more risks than other businesses for its complexity and longevity. As a result, many researchers have emphasized the importance of risk management in construction projects. However, in China, due to the lack of good understanding of project stakeholders, several risks associated with construction projects and their correlation cannot be analyzed effectively. To provide a deeper insight into project stakeholders and risk correlation in construction projects, this paper first reviews the status quo of project stakeholder management in China. And then a project stakeholder network is mapped based on stakeholder theory and features of construction projects in China, and the correlation of project stakeholders' risks is also analyzed. This paper also develops an analytic hierarchy model for the project owner to analyze the correlation among their own risks and those risks attributed to project stakeholders. Finally an empirical case study is used to demonstrate the application of the proposed model. The research findings in this paper will contribute to both the practice and the research of risk management and stakeholder management in China's construction industry.