Evaluation and classification of risk from multi-party stakeholders of the construction industry

The presence of risk events in the construction industry is considered high among multiple industries. Furthermore, it results in construction projects having cost overruns with no precise mechanism to deal with it. Thus, this study focuses on the identification, assessment, and classification of su...

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Main Authors: Syed Muhammad Yasir Ashrafi, Wesam Salah Alaloul, Rizwan-Ul-Haq Farooqui, Muhammad Saqib, Rana Rabnawaz Ahmed, Abdul Mateen Khan
Format: Article
Language:English
Published: Taylor & Francis Group 2025-05-01
Series:Journal of Asian Architecture and Building Engineering
Subjects:
Online Access:http://dx.doi.org/10.1080/13467581.2025.2507863
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author Syed Muhammad Yasir Ashrafi
Wesam Salah Alaloul
Rizwan-Ul-Haq Farooqui
Muhammad Saqib
Rana Rabnawaz Ahmed
Abdul Mateen Khan
author_facet Syed Muhammad Yasir Ashrafi
Wesam Salah Alaloul
Rizwan-Ul-Haq Farooqui
Muhammad Saqib
Rana Rabnawaz Ahmed
Abdul Mateen Khan
author_sort Syed Muhammad Yasir Ashrafi
collection DOAJ
description The presence of risk events in the construction industry is considered high among multiple industries. Furthermore, it results in construction projects having cost overruns with no precise mechanism to deal with it. Thus, this study focuses on the identification, assessment, and classification of such critical risk events as an essential substance for causing project cost overruns. The study identified 150 risk events, and assessed the refined 40 major risk events, adopted multi-party stakeholders’ perception evaluation surveys for the identification, and assessment based on the Relative Importance Index (RII), Kendall’s concordance (W), Cronbach’s alpha, Corrected Item-Total Correlation, and Validity test, the values were found to be statistically adequate. Classification relied on Principal Component Analysis (PCA). RII reveals that inaccurate material estimation got the highest rank among all other risk events, followed by financial difficulties faced by contractors. (PCA) classified 40 risk events into nine components with contractual and on-site risk components having higher risk factors. Furthermore, the study output may be used for better decision-making, as a result of assessed and classified risk events.
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institution DOAJ
issn 1347-2852
language English
publishDate 2025-05-01
publisher Taylor & Francis Group
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series Journal of Asian Architecture and Building Engineering
spelling doaj-art-235d4d32b606400eb3e0c6e85c7dcf942025-08-20T03:21:28ZengTaylor & Francis GroupJournal of Asian Architecture and Building Engineering1347-28522025-05-010011810.1080/13467581.2025.25078632507863Evaluation and classification of risk from multi-party stakeholders of the construction industrySyed Muhammad Yasir Ashrafi0Wesam Salah Alaloul1Rizwan-Ul-Haq Farooqui2Muhammad Saqib3Rana Rabnawaz Ahmed4Abdul Mateen Khan5Universiti Teknologi PETRONASUniversiti Teknologi PETRONASMississippi State UniversityImperial College of New ZealandNED University of Engineering and TechnologyUniversiti Teknologi PETRONASThe presence of risk events in the construction industry is considered high among multiple industries. Furthermore, it results in construction projects having cost overruns with no precise mechanism to deal with it. Thus, this study focuses on the identification, assessment, and classification of such critical risk events as an essential substance for causing project cost overruns. The study identified 150 risk events, and assessed the refined 40 major risk events, adopted multi-party stakeholders’ perception evaluation surveys for the identification, and assessment based on the Relative Importance Index (RII), Kendall’s concordance (W), Cronbach’s alpha, Corrected Item-Total Correlation, and Validity test, the values were found to be statistically adequate. Classification relied on Principal Component Analysis (PCA). RII reveals that inaccurate material estimation got the highest rank among all other risk events, followed by financial difficulties faced by contractors. (PCA) classified 40 risk events into nine components with contractual and on-site risk components having higher risk factors. Furthermore, the study output may be used for better decision-making, as a result of assessed and classified risk events.http://dx.doi.org/10.1080/13467581.2025.2507863construction industrycost overrunrisk identificationprincipal component analysis (pca)risk classification
spellingShingle Syed Muhammad Yasir Ashrafi
Wesam Salah Alaloul
Rizwan-Ul-Haq Farooqui
Muhammad Saqib
Rana Rabnawaz Ahmed
Abdul Mateen Khan
Evaluation and classification of risk from multi-party stakeholders of the construction industry
Journal of Asian Architecture and Building Engineering
construction industry
cost overrun
risk identification
principal component analysis (pca)
risk classification
title Evaluation and classification of risk from multi-party stakeholders of the construction industry
title_full Evaluation and classification of risk from multi-party stakeholders of the construction industry
title_fullStr Evaluation and classification of risk from multi-party stakeholders of the construction industry
title_full_unstemmed Evaluation and classification of risk from multi-party stakeholders of the construction industry
title_short Evaluation and classification of risk from multi-party stakeholders of the construction industry
title_sort evaluation and classification of risk from multi party stakeholders of the construction industry
topic construction industry
cost overrun
risk identification
principal component analysis (pca)
risk classification
url http://dx.doi.org/10.1080/13467581.2025.2507863
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AT rizwanulhaqfarooqui evaluationandclassificationofriskfrommultipartystakeholdersoftheconstructionindustry
AT muhammadsaqib evaluationandclassificationofriskfrommultipartystakeholdersoftheconstructionindustry
AT ranarabnawazahmed evaluationandclassificationofriskfrommultipartystakeholdersoftheconstructionindustry
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