Risk and uncertainty in new installation projects

Abstract

The company I am working for two years ago decided to create a new department in order to handle the projects in a more efficient way. This thesis tries to identify the potential risk events may occur in a capital equipment project by analyzing a survey that was performed in 2009 for all projects that were executed in South Europe. The outcome of this thesis is a risk breakdown structure where all possible risk events are represented in a structured diagram for easier identification, furthermore statistical analysis was performed on the survey results for deeper analysis of the identified risks. The analysis of the survey shows that most risk events arise from technical problems due to inadequate technical knowledge on specific technical issues. The outcome of this thesis is developed in order to facilitate risk identification and can become a very useful tool for the project managers for the benefit of the company’s goals.