RISKS ON THE PROJECT INVESTMENT IN SRI LANKA

Abstract

Risks must be managed to continue the project successfully. Objectives of this research were to identify risks in a project, measure probability of risk occurring, study the impact of risk and analyze responses for mitigating risks. 10 local projects were selected as the sample for data collection. The research was conducted through case study analysis by interviewing one team member from each project. As the conclusion, the possible risks were running out of materials (medium probability), natural disasters (high probability), objection of residents (high probability), running out of finance (medium probability), getting infected by diseases (high probability) and unawareness among beneficiaries (medium probability). Their impacts were delaying the activities, halting activities temporarily, stopping the project permanently, halting tasks until sufficient finance is gathered, halting tasks until team members recover from diseases and unable to get beneficiary support to continue the project respectively. Mitigation responses were having a flexible layout plan, establishing an early warning and monitoring system, conducting programmes to explain benefits, revising the financial plan, ensuring the beneficiaries are free of diseases and conducting awareness programmes for beneficiaries respectively.