Legal Risk Management for Flagg Miter †Myassignmenthelp.Com

Question: Explain On Legal Risk Management for Flagg Miter? Answer: Introduction The construction industry is one of the complex industries in the world and able to involve wide risks which must be solved to achieve proper execution (National Research Council (U.S.), 2009). The Faggs Mitre 10 project has been able to experience those risks and the professional who were executing the project had to deal with the challenges and resolve them. According to Osipova Apleberger, (2007) there is no single project in the industry which does not bear risks during the execution process. The risks are able to begin from the single step when the different stakeholder come together with the decision of execution g the project. The risk management is a key element which is used to resolve these key risks which happen in the construction industry. The Faggs Mitre 10 project involves some key activities where were able to exhibit the existence of the risks. The project demolition of the different parts is a clear indication of the challenges and risks which the construction indu stry is able to exhibit during the construction phase. In addition, the risks do not only occurs during the construction phase but also the pre-construction phase which has the planning activities. In order to enhance the success of the project, different personnel have to be in charge of resolving these challenges. In the Faggs Mitre 10 project, Fagg Bros Pty Ltd is the client, P. J. OReilly Associates is the main architect and Lyons construction is the contractor in charge of the site. These key personnel are able to experience and resolve these risks in the both two phase of the project. They are responsible of identifying the risks and mitigating their effects to ensure continued progress of the work to timely completion. Generally, the increase of the risks in the construction industry has been able to raise the increased demand of the risk management in construction. The uncertainty in the construction site is one of the major element which is able to lead to the increased ri sks (Smith, Merna and Jobling, 2006). This paper will analyze the different risks which are associated with the pre-construction phase and the construction phase in the Faggs Mitre 10 project. The paper will also look at the different ways which the personnel in this project have been able to work out in order to resolve these risks. Pre-construction phase risks Design changes risks The design changes before the construction of the project is one of the key risks which the projects such as Faggs Mitre 10 project is able to experience during the pre-construction phase. The client, Fagg Bros Pty Ltd may decide to alter the designs in order to suit the different purpose. The aesthetics at different levels may force Fagg Bros Pty Ltd to change the design and ensure that they are appealing (Wu, 2011). The changes mean that the different parties will be able to get back to the drawing board and update the different changes (Bunni, 2011). This means that the architect, P. J. OReilly Associate is able to enhance the drawings. The risks are able to change the progress of the planning activities on the pre-construction phase. In addition, Fagg, Bros Pty Ltd and P. J. O'Reilly Associates are able to cooperate in order to bring out the risk and enhance the project planning (Zou, Sunindijo, 2015). A planning meeting will therefore be called between Fagg Bros Pty Ltd and P . J. O'Reilly Associates in order to bring on board the new designs in to effect. The client will be able to address P. J. O'Reilly Associates on the new changes and what need to in cooperate in the designs. The Faggs Mitre 10 is a project which did change to large warehouse and this means that the designs were able to change according to the Fagg Bros Pty Ltd requirements. Improper communication risk Another key risk which project is able to experience during the pre-construction phase is the lack of proper communication. This can lead to the update of wrong information for the different parties during the planning stages. This can be able to stall the projects for long before they are able to kick off (Zou, Sunindijo, 2015). Different stakeholders who are involved in the pre-construction phase may be reluctant to share the information they have and therefore lead to high risk of delaying the commencement of the project (Burtonshaw-Gunn, 2017). One of the key individual who may hold important information which may stall the planning of this project s P. J. O'Reilly Associates. The architect, P. J. O'Reilly Associates has the key information, which has to be used in the planning, and therefore holding information use to different problems may stall the pre-construction phase. The client, Fagg Bros Pty Ltd is the main personnel who can be there in order to resolve this risk. Sin ce Fagg Bros Pty Ltd is able to hire all these personell, he can therefore be able to resolve the risk. The client can therefore be able to represent the different information concerning the held information and authorize the resolution of the problem (Canada Mortgage And Housing Corporation, Marsh (FIRM), 2005). Dialogue between the different parties with the client overseeing the process and facilitating the release of the information will be able to resolve the risk. Design variation risk In addition, another key risk at this phase is the design variation on what need to be done and the materials to be used which the client usually does (Edwards, 2009). Fagg Bros Pty Ltd can change the different aspects and require the in cooperation of the instruction in the drawing at different times during the pre-construction phase. These changes can be critical in affecting the progress of the construction and planning (Ludhra, 2015). For instance, the client may require some extension of the building in order to accommodate more facilities. Nevertheless, the boundaries of the Feggs Mitre 10 project may be challenging due to the existing amenities such as the road network. This means that the different instruction for changes have to be considered from the professional point of view and their effects without agreeing to in cooperate them. P. J. O'Reilly Associates will be the key professional to enhance the solving of such risks and explaining their effects to Fagg bros Pty Ltd. P. J. O'Reilly Associates has to look at the different variations and the way they will be able to affect the different aspects of the building and the construction industry. In addition, P. J. O'Reilly Associates has to look from the legal perspective the effects of any in cooperation of the variation and the way they affect others (Canada Mortgage And Housing Corporation, Marsh (Firm), 2005). Dialogue and meeting between Fagg Bros Pty Ltd and P. J. O'Reilly Associates will be the best dispute resolution means to be used in order to resolve the risk. Construction phase risks Economic variation risk The construction phase is the key phase, which has a lot of activities in the construction industry. The phase is able to carry more risks due to the in cooperation of many stakeholders and different activities. Economic factors are able to change within the progress of the construction phase (Smith, Merna Jobling, 2014). The construction phase in many cases is able to run for year in which changes in economic factors happen. During this time, the estimated cost of the project will be able to change according to the available changes. In order to in cooperate these variation, the cost of the Faggs Mitre 10 redevelopment project is given an range of between $5 million and $10 million. The cost variation is able to affect the contractor highly. This means for this project, Lyons construction will be able to be affected by the changes in the economic condition. Therefore in the tendering process, Lyons construction should be able to estimate these variation and therefore in cooperate t hem in the tender sum. Therefore, Lyons construction will be the best party to resolve this risk and enhance the construction process. In addition, if Lyons construction was unable to include these variations on the initial stages, he will be able to contact the client, Fagg Bros Pty Ltd concerning the increase and request for the valuation and financing of the additional cost. Dialogue with the different parties can therefore be the best dispute resolution measure which can be used to resolve the risk. Available amenities hindrance risk Moreover, another key risk in the construction phase is the hindrance from the available amenities to enhance the construction (Hughes Ferrett, 2016). The Faggs Mitre 10 project is located where other amenities are available. The road and the car park are key areas which the construction of the project should not interfere with during the construction phase. This means the construction site may be stopped whenever it is found to interfere with some of these social amenities. The progress of the construction must make sure that these amenities are operational. Due to the close proximity, the execution of the project may be a challenge and this risk must be resolved while these facilities are operating efficiently. In relation to this risk, P. J. O'Reilly Associates is the best party to help resolve this problem. The P. J. O'Reilly Associates can help to come up with the best option which can ensure that this project is executed without the interference of their operation. In additi on, the client Fagg Bros Pty Ltd will be able to hold meeting with P. J. O'Reilly Associates to look at the way forward and ensure that the construction of this project does not interfere with the amenities operation. Project completion delay risk Another key risk which is found on the construction stage is the delay in the completion of the project. The delay in the completion of this phase maybe cause by different factors including the delay on payment by the client (Winch, 2010). The client must be able to honor the payment at different stages to ensure that Lyons construction continues with the execution of the works. If the delay on payment occurs P. J. O'Reilly Associates may act as an intermediary to ensure the Fagg Bros Pty Ltd is able to pay up and ensure continued execution of the project. Moreover, the best way to resolve the delays in execution is through holding meeting between P. J. O'Reilly Associates, Fagg Bros Pty Ltd and Lyons construction in order to reschedule. This will depend on the different factors which has been able to affect the execution. Conclusion In conclusion, the different risks are able to interfere with the proper execution of construction projects. Fagg Bros Pty Ltd, P. J. O'Reilly Associates and Lyons construction are the key parties who are able to resolve these risks at the pre-construction and construction phases of the construction industry. Resolving these risks is able to give a go ahead to ensure that the Faggs Mitre 10 project is executed well and up to standards. References BUNNI, N. G. (2011). Risk and insurance in construction. London, Spon Press. BURTONSHAW-GUNN, S. A. (2017). Risk and Financial Management in Construction. https://lib.myilibrary.com?id=997116. CANADA MORTGAGE AND HOUSING CORPORATION, MARSH (FIRM). (2005). Variability in construction insurance and alternative insurance solutions. [Ottawa, Ont.], Canada Mortgage and Housing Corp. https://www.deslibris.ca/ID/250380. EDWARDS, L. (2009). Practical risk management in the construction industry. London, Thomas Telford Ltd. NATIONAL RESEARCH COUNCIL (U.S.). (2009). Construction research at NIOSH: reviews of research programs of the National Institute for Occupational Safety and Health. https://public.eblib.com/choice/publicfullrecord.aspx?p=3378465. OSIPOVA, E. APLEBERGER, L. (2007), Risk management in different forms of contract and collaboration - case of Sweden. CIB World Building Congress 2007. 14-18 May 2007, Cape Town SMITH, N. J., MERNA, T., JOBLING, P. (2014). Managing risk in construction projects. Smith, N.J., Merna, T. And Jobling, P. (2006): Managing risk in construction projects. Blackwell, Oxford. THIENEN, G. V. (2007). Hazards, risks and preventive measures in the construction industry. Amsterdam, Arbouw. WINCH, G.M. (2010): Managing Construction Projects. Wiley-Blackwell, Chichester. WU, D. D. (2011). Modeling risk management in sustainable construction. Berlin, Springer. https://public.eblib.com/choice/publicfullrecord.aspx?p=646508. ZOU, P., SUNINDIJO, R. Y. (2015). Strategic safety management in construction and engineering. https://site.ebrary.com/id/11041428.