• Journal of Korean Tunnelling and Underground Space Association
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• v.13 no.1
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• pp.19-32
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• 2011

The risk assessment is essential for tunnel design in order to minimize risks associated with uncertainty about geological conditions and tunneling method. This paper provides a comparative risk analysis of a large single bore TBM driven tunnel against sequentially excavated NATM tunnel for a mixed-face large-diameter urban tunnel project near or under a river. The focus of this assessment is on the risks associated with the tunnel excavation methods, in particular whether a TBM or NATM presents more or less risk to achieve the planned excavation duration and bring the project within the estimated bid price. First, the impacts and risks to tunnel construction under each method were discussed, and the risks were scored and ranked in the order of perceived severity and likelihood. Finally, the assessment from a risk based perspective was conducted to decide which alternate tunneling method is more likely to deliver the project with the least time and cost. It is very important to note that this study is only applied to this tunnel project with specific geological conditions and other contract requirements.

• Korean Journal of Construction Engineering and Management
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• v.10 no.1
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• pp.126-135
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• 2009

Recently, operation of highway is the complex digital Infrastructure based on complicated IT. The application of IT is increasing more and more in digital Infrastructure. Though IT is very convenient, if unpredicted operating risk of highway occurs, widespread damage can be large. When operating risk of highway occurs, road users are out of smoothly-run service because of the operating interruption. This risk causes unpredicted operating management cost and additional maintenance cost. It will excess over the planned operating cost, which may leads to users's unsafety and operator's insolvency because of income loss. Until now, related studies to find out the risk are not sufficient. The purpose of this study is to suggest risk cost items and to estimate the reasonable risk cost by using simulation method in case of occurring the huge power failure at the operating digitalized highway. This study indicates the several plans to hedge against risk cost and the management of highway project. From now on, it will be used as basic data to confirm the soundness of operating system in Digital Infrastructure.

• Korean Journal of Construction Engineering and Management
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• v.5 no.3 s.19
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• pp.97-105
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• 2004

Planning phase became very important because the construction market in Korea is often unpredictable. The existing feasibility analysis cannot fulfill its purpose in development projects because they are based on intuitive approach rather than systematic approach. The purpose of this study is to make a prototype of feasibility model to be a good investment. To build the model, first, risk factors which can be occurred in project had to be selected. Risk factors were divided into several groups in basis of characteristical risk. Economical risk factors were input on financial analysis. Then, to catch the relevance and influence of all risk factors, influence diagram and decision tree were made. Finally, sensitivity analysis was activated, then what the critical factors were, and how those factors could be solved. Through these procedures, the feasibility model that was made in this study could include both quantitative and qualitative factors. This model is expected to be used as a guide of feasibility analysis including all risk factors and is to serve systematic frame in planning and feasibility stage.

• The Journal of Fisheries Business Administration
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• v.39 no.2
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• pp.109-123
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• 2008

This study is aimed to establish an investment decision model for offshore aquaculture project of rock bream in Korea using a certainty equivalent method (CEM) based on the expected utility theory and to investigate its economic viability under risk and uncertainty. In the analysis with CEM, the effects of risk attitude and risk level on investment and risk premium were examined and the impacts of various risk and uncertainty factors on the investment decision were also assessed. In addition, the outcomes were compared to those evaluated by the traditional net present value (NPV) method. Results show that risk premium grew as the investors became more risk averse and uncertainty level (the variance of NPV) increased. Consequently, the certainty equivalent value was predicted to decrease from the value assessed by the traditional NPV method.

• International conference on construction engineering and project management
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• 2017.10a
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• pp.328-331
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• 2017

The purpose of this study is to derive construction-phase risk factors in SMEs' advance into overseas plant construction projects. For this, construction-phase risk factors were investigated on the basis of the analysis of Korean construction companies, overseas plant industry-related research institutes, and overseas data. In addition, major risk factors were derived from the investigated construction-phase risk factors, and quantitative risk factors and qualitative risk factors were analyzed and derived from these major risk factors, by the use of three rounds of the Delphi analysis.

• Journal of Information Technology Applications and Management
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• v.19 no.1
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• pp.61-83
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• 2012

PMO has gained much interest as an approach to lowering project failure rates. PMO implementation is, however, not an easy endeavor. Many studies have reported that a significant number of PMOs were seen as contributing little to project performance. Local organizations are more likely to be exposed to the failure risk as they tend to heavily depend upon outsourced PMO services. We believe that it is essential for ordering organizations to collaborate with the PMO service firm to come up with a proper PMO governance prior to its implementation. This study is to empirically investigate the effects of PMO governance upon PMO performance and the effects of ordering organization's project readiness upon PMO governance. The study result shows that a proper organizational structure and a properly defined role and responsibility may enhance the PMO performance. And, a correct awareness about PMO and a project management capability were found to be contributing to the appropriateness of PMO governance.

• Proceedings of the KSR Conference
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• 2011.05a
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• pp.1604-1611
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• 2011

Light Rail Transit(LRT) is a large scale complex system which combines rolling stocks, power supply, signal communication, tracks & stations, and hundreds of billions of wons per project are spent for construction. Therefore efficient integration of sub-systems is very important. The systems engineering is a good method to reduce the cost and risk of LRT project. In this paper, we introduce a research plan on the application of systems engineering to LRT project. We, Korea Railroad Research Institute(KRRI), launched a research program with 4 companies, which is support by the governmen and project period is 4.5 years. Main research topic is to develop the technology for the application of systems engineering technical process to LRT project based on ISO/IEC 15288.

• Korean Journal of Construction Engineering and Management
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• v.7 no.5
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• pp.177-190
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• 2006

Construction projects are facing delay problems. Delays in construction have been immense effect on performance or satisfactory delivery of the project. Delays have been causing project cost overrun as well as it is a source of dispute hence damaging the relationship between the project participants. The purpose of this study was to explore the causes of delay risk through a field survey study. Data were collected from construction professionals working in owner, consultant and contractor organizations. All together 208 questionnaire instruments were used and analyzed by employing statistical tools (SPSS computer program). 19 delay factors were identified by this study, out of which following factors were critical: Frequent interruptions from public (local people, pressure group etc.), changed site condition, failure to provide required construction site, unrealistic project time estimation and design errors.

• Korean Journal of Construction Engineering and Management
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• v.8 no.1 s.35
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• pp.47-56
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• 2007

The Build-Transfer-Lease(BTL) system is a new way of attracting private capital to social infrastructure construction projects. Private companies will get back their investment by leasing facilities to the government. In January 2005, government introduces a 'Korean New Deal Policy' to initiate BTL system in the field of social infrastructure development such as education, public welfare, housing, culture etc. As BTL being still in premature phase, thus it is lack of knowledge in BTL and there is no such studies about problems and impacts of BTL projects. However, there could be so many problems underlying within BTL projects. Therefore, the purpose of this paper is to identify various risk factors during implementation of BTL projects. For this purpose, five BTL undertaking projects were studied. Field survey was conducted based-on interview instruments. Prevailing risk factors in operating the BTL Project were collected from the both officials of project promoters and concessionaires. In addition, a distinct need has emerged for analysis of risk factors for BTL projects. Based on real cases, this study resulted in risk factors influencing every phases and grouped risk factors into each phase. Moreover, this study also perform sensitivity analysis in order to know how risk factors affect to BTL projects. From analyzing the data, the study addresses that both major BTL project participants 'the competent authority' and 'Special purpose company(SPC)' have many problems and difficulties to operate the projects.

• Korean Journal of Construction Engineering and Management
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• v.13 no.2
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• pp.102-109
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• 2012

One of key success factors in PPI(Public Private Investment) is the structure of risk sharing between the public and the private, and the determination mechanism of fair return to private participants relative to the risk that private participants undertake. In Korea, two basic types of PPI exist. One is BTO and the other is BTL. In BTO, most risks are taken by the private whereas the opposite is the case in BTL. No intermediate form exists. As a result, BTO type projects had difficulty in attracting private participants because of the excessive risks. In this study, one intermediate form is studied where demand risk is shared between the public and the private. In the setting where the public authority takes all the project revenues and then pays ladder type payments to private participants depending upon the level of project revenues, appropriate level of fixed payments is endogenously derived using the real option pricing model. From the fixed payments, expected investment returns are calculated based upon a certain distributional assumption. The results of this study is expected to help introducing diverse forms of PPI in Korea.