Abstract:
Construction is a risky industry compared to many other industries where it requires
proper application of business practices and plays a major role in the economy
via its significant share in the Sudanese Growth Domestic Product (GDP). The main
objective of this research is to gain understanding of some risk factors that could be
applied in managing construction projects in Sudan. The study aims also to investigate
the effectiveness of risk preventive and mitigative methods. Moreover, the usage of
risk analysis techniques is addressed.
The research objectives have been achieved through a comparative study of closedended
questionnaires and a case study in Khartoum State – Omdurman locality. The
results obtained from the data analysis where interpreted and discussed thoroughly.
The output that were directed to respondents concluded that the most important risk
factors are: poor/ defective supply of materials, natural disasters, awarding the design
to unqualified designers, shortage of human resources/ machinery and material
resources, instability of currency exchange, delays in resolving disputes, gaps between
the implementation and the specifications and poor resource management. The results
show that there are many risk factors contractors and owners could not allocate them
on the party that should bear these factors’ consequences. The research results show
that the respondents suffer from lack of innovative methods to prevent or mitigate
risks.
The results of this study recommended that there is an essential need for more
standardization and effective forms of contract, which address issues of clarity,
fairness, roles and responsibilities, allocation of risks, dispute resolution and payment
should be adopted for all the projects in Sudan instead of the consequential disorder
that was a result of applying different types of contracts. Owners and contractors are
advised to identify the possible risk factors that could confront their projects and to
allocate them contractually. The recommendations of this research are useful for the
policy makers to establish legislations towards the welfare of the industry.
