Risk Profile in General Contracting

This article is going to give an overview of Risk Profiling in General Contracting. General contracting is the most common project coalition in the construction site, and preferred by the EU procurement directives. . The general contractor has a contract with a client for the entire execution of the project, and is responsible for the day-to-day overview on the construction site. Risk profiling in Construction industry are complicated because these kinds of projects carries complex risks for all involved in the project, not only the stakeholders, but for the process alone. When the construction takes place the risk increases extremely, especially in congested or populated areas.

Introduction to Risk Profiling

Definition

Risk Profiling is a method to find the optimal level of risks and threats an individual or corporation are willing to accept. A corporation’s risk profile usually shows how willing a company is to take a risk and how that will affect the firm’s strategy, or it is an evaluation of a risk the corporation exposes too.