Scope, Purpose and Method of the Research

Discuss about the Case Study for Risk Management in Construction Business in India?

Background and Context

This research study focuses on the fact that risk management in a construction project is a very vital and critical aspect. Researchers have considered one developing construction company of South India. Global construction projects provide unparalleled and paralleled forecasts to major engineering and constructing industries. Practices used in these kinds of the project offers high quality services so that business organizations easily target the markets for competitive advantages. However, these global construction practices face lots of challenges and negative risks due to inappropriate technologies, tools and management. Research analysts will analyze and evaluate the risks present in the Indian companies in against the risk management practices followed in the construction industry throughout the globe.

Purpose: This particular research proposal focuses on the tools and techniques used in the construction organization in India. The researcher will propose a solution towards the construction industry in India to mitigate the risks present in their construction business.  In specific the researcher will try to explore the concept of Building Information Modelling (BIM) and how it could help develop better understanding of Risks within Indian Operational Environment.

Scope: The primary scope of this research is to understand the existing construction framework of India as well as building a framework for adopting Building Information Modelling (BIM) to develop the better understanding of Risks within Indian Operational Environment.

Methods: The key method of this proposal is to evaluate the risk management plans in Indian construction business.

This research project is needed to understand the risks and challenges present in the construction companies and their mitigation process for the business improvements.

What are the risks present in the construction industry in India?

What is global best practice regarding using BIM for Risk Management?

How could BIM help develop the better understanding of Risks within Indian Operational Environment?
To identify the risks present in the construction industry in India;

To understand the concept of Building Information Modelling (BIM) for better understanding of Risks within Indian Operational Environment;

To develop a framework for adopting Building Information Modelling (BIM);

H₀: Use of Building Information Modelling (BIM) as risk mitigation technique does not have significant impact on construction industry in India;

H₁: Use of Building Information Modelling (BIM) as risk mitigation technique has significant impact on construction industry in India;

Researchers made a short outline of the proposal so that every section can be highlighted to understand the topic in a better way.

Chapter 1: Introduction

Details of the problem have been explained in this article which will help the readers to understand the needs of risk management in the construction business.

Chapter 2: Literature Review

Concepts of the construction business in India, their risk issues have been identified in this context. In order to mitigate those challenges, a solution framework will also be provided in this chapter. In specific, the concept of Building Information Modelling (BIM) as risk mitigation technique will be judged for construction industry in India.

Summary of the Research Proposal

Chapter 3: Research Methodology

Proper methods and methodologies will be described which can be used for this research proposal. Research design will help to analyze the project in a better way.

Chapter 4: Data Collection and Analysis:

Necessary data and information will be gathered from primary and secondary resources.

Chapter 5: Conclusion

Concluding chapter will represent the whole proposal with proper result and solution. Research analysts will try to determine the success level of the plan according to the objectives.

Researchers stated that Indian Construction Company has enough resources in their business process to evaluate their risk management methods and techniques. On the other hand, Dainty and Loosemore (2013) argued that Indian construction business needs some modifications and advantages to mitigate their risk issues.

In today’s competitive global marketplace, Indian construction companies are seeking to expand their business in foreign construction field (Albogamy et al. 2013). The international project offers attractive discounts and alternatives with growing infrastructure and building process. Global construction practices are explained in brief in the following sections

Budgeting and Cost Estimation: A construction project needs an accurate construction cost and project breakdown budget (Bharagava, Yadav and Chandra 2014). This construction cost includes labor, equipment and cost of construction materials. Other costs are included such as installation, shipping of resource materials, premiums related to labor management and many other things.

Layout Drawing and Planning: Before working on the construction project, engineers made a design layout, which is subdivided into five parts (Blondiau, Cleven and Rohner 2013). At first, commission board of the construction company defines the problems, so that workers can understand the design process and materials of site planning. By that analysis, a user program is developed by considering all the opportunities and constraints (Borgo et al. 2013). The schematic diagram is made, reviewed and finalized for the project.

Selection of Construction Materials: This plays a vital role in the construction management business (Chidambaram, Narayanan and Idrus 2012). Selection of right materials is the base of a construction method. These materials are categorized as cement, water, natural aggregate (sand) and coarse aggregate (Cooper, Junginger and Lockwood 2013). These ingredients are mixed up with compatible proportions so that a concrete building or road can be made.

Unfortunately, these global construction practices face some challenges and risks which are the highlighted points of this research proposal. Therefore, analysts try to mitigate these issues and provide some best possible solutions. The risks are categorized as

Regulatory Environment and Permission for License: A construction organization needs to take constructions permission, license, and planning permission from the government (Dainty and Loosemore 2013). This kind of regulation and requirements for that grant from central government increases the risk factors.

Procurement: It is one of the biggest risks present in the construction business. If this process cannot be handled with proper efficiencies, leads to corruption issues such as false credit notes or fake invoices (Dey 2012). Besides that, value and quality of services are significantly affected. This procurement risk is also related to the tender process, facilitation payments and interaction with government officers.

Research Questions

The only mission of Indian industry is to provide greater customers satisfaction with innovations and qualities (Eadie et al. 2013). Their construction business process is structured as the followings:

Process	Activities
Top Management	Leadership skills, responsibilities, and commitments.
Plan	Strategies, financial budgets
People	Training for personal development
Process	Flexible and clean, realistic and practical
Communication	Build a customer relationship management
Technology	Research and implementation, increase performance standards
Patience	Time consumptions, long-term success.

Table 1: Business Process of Indian Construction Organization

(Source: Browne 2013, pp-149)

Tools and techniques used in construction process of Indian company structured as follows

In order to expand and enhance their business worldwide, the organization needs effective project integration with efficient monitoring and successful execution (Albogamy et al. 2013).  But there are some risks identified in their construction business process, which is categorized as construction project risks, design risks, technical risks, environmental risk, and management risk (Harris and McCaffer, 2013). According to the market survey of 2015, construction contractors of Indian organization is facing five significant challenges which are described in the following table and must be handled with proper countermeasures.

Categories	Problems	Description
Risk 1	Construction risk	Labour’s working in the organization have conflicts between them (Hussin, Rahman and Memon 2013). They always take up their projects in a competitive mood, which can become unhealthy for the working environment of the company (Hwang and Ng 2013). Additionally, workers change the schedule of the construction activity very frequently; as a result, new resources and plans become unavailable according to the requirements (Hwang, Zhao and Gay 2013). Then system engineers are failed to provide all the required specification in the design layout due to these frequent changes.
Risk 2	Environmental Risk	Local people complained that the hazardous wastes and toxic gasses coming from the construction site polluted the environment and led to several acute diseases, which is not good for the society (Kelly, Male and Graham 2014). No waste cleanup or waste disposal system present in the organization.
Risk 3	Management risk	A work breakdown structure is not followed in the construction group so that schedule for the project plans and document of the process can co-ordinate with each other (Khosrowshahi and Arayici 2012). Project risks cannot be identified correctly.
Risk 4	Technology risk	Upgraded hardware tools and advanced software applications are crucial for construction industries (Kuo and Lu 2013). But in the Indian scenario of construction method, workers have subtle knowledge of this equipment, and they can hardly implement these tools for the growth of the construction project (Lintukangas et al. 2014). Incorporation of new technologies can rarely be seen in the Indian construction projects.

Table 2: Risks Present in Indian Construction Organization

(Source: Maguire and Hardy 2013, pp-240)

Construction industries and the construction projects face the major constraints from stakeholders as well as from several stages of the construction process.  Poor communication between the business partners and stakeholders of the construction business leads to a disintegration which creates significant barriers to the construction projects (Albogamy et al. 2013). Complications in the technology tools as well as in the organizational cultures are the major problems which rise to the adversarial relationship between the construction projects. Omissions and errors in the documentary papers cause unexpected delays, unanticipated expenses and many other legal problems (Alexander 2013). In addition, defective design, deficiencies in specifications and drawings which have already mentioned in the above section are major risks which are significantly affected the construction projects of India.

Bharagava, Yadav, and Chandra (2014) illustrated that development in communication and information can find out new opportunities, which will aim to re-engineer the construction process from initial phase to maintenance and operations. According to Dey (2012), building information modelling tool is one of the innovative approaches to deliver construction projects to the clients successfully with comprehensive repository facilities. Franklin (2013) agreed with the concepts of BIM, which is a novel, revolutionary tool that will help the construction industries to achieve effective communication with improved productivity. Use of BIM can be beneficial for construction business of India as it is an object-oriented, parametric and intelligent digital representation tool, which can extract and analyze the views and data according to the requirements of users. The major benefits of BIM model are that it engages collaboration, co-ordinations and can easily detect the conflicts which will mitigate the risks.

The visual manifestation of BIM process helps to transparent the management process and operations with a three-dimensional model (Galliers and Leidner 2014). This 3D model displays the problems with proper descriptions and specifications so that those problems can be easily resolved. Use of this 3D BIM model can easily generate building components with fabrication drawings. In order to maintain and review the standard of the design, code checking is very vital to ascertain the compliance with international practice code and local regulations and can be achieved by BIM (Guttikunda, Goel and Pant 2014). All the components and resources of building information modelling can be developed with the characteristics of materials, volume and cost so that cost estimation of the project can be so accurate.

Research Objectives

Hwang and Ng opined that BIM is the best tool for renovations, site planning, and maintenance, as it uses parametric modelling applications which involve relational database and contains the important information about the structure elements and their relationships. The data exchange platform of BIM model can minimize the errors made b the construction and design teams with the help of visualization techniques. 

Every construction project has some risks, which can be minimized, managed, transferred, shared or accepted but cannot be ignored (Pushkala and Sridhar 2016). After analyzing and comparing the construction business methods of India with the global construction industry, researchers finalized that Indian construction business must need some serious modifications and should implant the tools and techniques, which are used in rest of the world for risk management (Rigby and Bilodeau 2015). A perfect project risk management plan is needed to eliminate the issues present in the Indian construction group.)

A perfect plan should be made to identify the risks present in the organization and try to provide best possible solutions for solving those issues (Murthy, Patra and Paidipati 2013). Risks mentioned in Table 1 can be identified Delphi techniques (Sahu and Narayanan 2013). This method helps to set a questionnaire session with the experts, and their responses are summarized and collected to ensure the fact that causes lead to such problems can be handled correctly (Sadgrove 2015). Qualitative risks can be analyzed by the following tools and techniques –of BIM model.

Walker (2015) stated that Building information modeling is a door of the construction project management which contains all the information related to the locations of the project, installation of new hardware and software, manufacturing of raw materials and maintenance of operations. On the other hand, Yadav and Dabhade (2013) stated that in this particular research proposal BIM works as an approach that supports new technologies, visualization tools and communication platforms to build the proper design in the construction projects. 

Figure 4: BIM Processes

(Source: Zanni, Soetanto and Ruikar 2014, pp-580)

Processes of building information modeling engage several associated set of procedures to analyze communicate and produce building models. These integrated processes help to improve operational efficiencies with improved productivity (Zhao, Hwang and Low 2013). These processes are merged with the delivery of construction projects which will enhance the flow of information, communication, and collaboration with the stakeholders. The conceptual framework of BIM phases comprises of phase model, design model, construction model and maintenance model (Walker 2015).

Figure 5: Applications of BIM in Construction Business

(Source: Taylan et al. 2014, pp-110)

In the planning stage, designer of the construction project easily communicate with their business owners about their plans and processes and follow their instruction to execute the project so the basis of site conditions (Sitkin and Bowen 2013). The analysis results are generated by phase planning and entire budget project. In the design phase, 3D visualization and techniques are adopted and evaluated by technical and nontechnical staffs of the organization. In addition, to this engineering analysis and code validation process help to generate business documents with proper accuracy. Construction process stage allows the simulations related to planning, cost, and scheduling (Sadgrove 2015). According to the phase of the construction, the object of the building model in grouped and linked to project schedule. At the final stage, BIM helps to digitize the service management facilities with construction projects. Important data and information stored in the relational database system can be used for future purposes (Franklin 2013). The database used for the construction projects are very helpful, as it can update and diagnose the information as per the requirements of the project facilities.              

Hypothesis of the Proposal

Risk response planning is the final stage of project management helps to control and monitor the activities which can be greater potential threats for a construction organization (Sinha, Malo and Deb 2014). Risk response planning consists of some useful tools and techniques which can help to reduce the risks mentioned in the above sections

This project management risk plan is crucial for construction business which provides a framework to manage all the risks with confidence and by the use of this, future improvements can be made (Sahu and Narayanan 2013).

Figure 8: Conceptual Framework

(Source: Created by Author)

Research Design

Sitkin and Bowen (2013) stated that the research design is the best sequential approach which helps the research analysts to achieve the appropriate result for this research proposal. Research design engages the details of the research plans and process, with the analysis of data collection and method selection (Albogamy et al. 2013). In this research project, the graphic model has been choosing to assist the analysis for better understanding the tools, techniques and methods used in the construction business process of India (Walker 2015). This model also helps to analyze the implication of Business Information Modelling (BIM) in the construction organization in India.

The research design is very helpful in this aspect because it gives a clear idea of the fact that Indian construction business needs some serious modification to mitigate their risks (Pushkala and Sridhar 2016). This helps to illustrate the research problem, project purposes with the information and experience of the investigators (Yadav and Dabhade 2013). It attempts to provide the layout of ground project work for future studies. Future research is dependent on the how the risk management plans can be applied in the construction process of India. Three types of research design are used for surveying a research proposal.

Exploratory design helps the researchers to gain knowledge about the innovative ideas which can be used for the progress of the research study (Yadav and Dabhade 2013). Explanatory research contributes to explain the incidents or events and their effects on the research. The descriptive design aims to achieve the details of the research events. In this case, analysts have chosen an exploratory design and run the works accordingly.

Research questions of this research proposal can be best answered by the use of the qualitative approach. Qualitative research can be difficult in this case to emphasize the study purposes (Zhao, Hwang and Low 2013). Quantitative study helps to explore the risks present in the construction process of Indian organizations. The quantitative approach helps the research analysts to go in depth of the proposal as well as examine every data very efficiently.

The research approach generates subjective information which analyzes every aspect of the research proposal in a detailed way (Zanni, Soetanto and Ruikar 2014). Researchers deal with the value-laden questions present in the research proposal by using quantitative research method. This approach also explores the new area, new theories, and concepts for the research topic. Some complex question for this study which can never be solved by the qualitative method can be solved accurately with the use of the quantitative process.

Thesis Structure

Research philosophy in the research methodology section helps to determine the manners of achieving research details. Yadav and Dabhade (2013) discovered that the investigation philosophy will help to explain the assumption process adopted by the research analysts while working on the proposal. Research philosophy should be selected with proper considerations, as thinking process of individuals can vary according to the study (Albogamy et al. 2013). Positivism as an aspect of research philosophy helps to analyze the hidden information and factors of the research study in a scientific way (Zanni, Soetanto and Ruikar 2014). This plays a vital role in assessing the risk management process of the construction business.

A research proposal is conducted on the end to end the session with the managers of the Indian Construction Company. This end to end questionnaire approach helps the researchers to collect required data for the study. Survey questionnaire is distributed among the people to get the feedback for the improvements of the proposal. Intended population is considered as the total of 100 for this research work.

For this particular research project, researchers have chosen pure random probability theory, in which selection criterion was not considered. Interview sessions with the employees have been taken as per their convenient schedule, which is considered for this proposal to analyze the risk management process in construction business of India.

In order to collect required data and information from the selected participants and respondents, researchers have used semi-structured and open-ended interview process. Researchers used consent from every respondent, for the gathered information. Researchers give their personal e-mail to the respondents to let them inform about the interview time and schedule.

Main stages/ activities	Week 1	Week 2	Week 3	Week 4	Week 5	Week 6	Week 7
Selection of research topic	·
Data collection from secondary sources	·	·
Creating layout for the study		·
Literature review		·	·	·
Research Plan formation			·	·
Selection of proper research techniques and tools				·	·
Data collection from primary resources					·	·
Interpretation and analysis of Data Collection					·	·
Find out the required data and information						·
Conclusion of the proposal						·
Creation of Rough work						·	·
Submission of Final Project						·	·

Table 3: Grant Chart

(Source: Created By Author)

Data collection method is very useful to collect relevant facts and information helpful in researching the proposal in a better way and with detail manners. Alexander (2013) stated that data collection procedure can generate accurate results for the research and provides the standard format to work on the proposal. 

Data sources are very vital to penetrate in the research study and help to extract relevant information to meet the requirements of the research. Researchers divide these data collection method into two sections, one is primary resources, and the other one is the secondary resource. Data collected from primary and secondary resources achieves all the details of the research study. Dey (2012) explained that primary sources collected the raw data and channelized them according to the requirements of the proposal (Zanni, Soetanto and Ruikar 2014). Data collection methods need proper clarifications on validity and reliability. Secondary resources then construction helps to understand the hidden aspect of risk management in construction industries of India.

In this particular research proposal, primary data has been gathered from the interview session with the managers of Indian Construction Company. This interaction session helps to achieve the research objectives successfully. Secondary data has been collected from online blogs, journals, and surveys with proper specification of data and information.

Data techniques for analysis method are categorized into two sections; one is qualitative, and another is the quantitative approach (Bharagava, Yadav and Chandra 2014). SPSS model is used for analyzing the data.

Literature Review

Questionnaire:

Part A: Basic Demographic Information

Gender

Male / Female

Qualification

Graduation / Post graduation / Btech Engineer /Others

Duration of employment

Less than 1 years / 1 – 2 Years / More than 2 years

Please give rating from 1 to 5, where 1= low and 5 = high

Part B: Factors influencing risk

Construction Risk

[a] Disputes between labours

1 / 2 / 3 / 4 / 5

[b] Changing sequences in construction activity

1 / 2 / 3 / 4 / 5

[c] Non availability of resources

1 / 2 / 3 / 4 / 5

[d] Change in quantities of work 

1 / 2 / 3 / 4 / 5

[e] In Time work permissions for executing work

1 / 2 / 3 / 4 / 5

1. Design Risk

[a] Late changes of design from client side

1 / 2 / 3 / 4 / 5

[b] Revision of design

1 / 2 / 3 / 4 / 5

[c] Improper specifications

1 / 2 / 3 / 4 / 5

[d] Inadequate and incomplete design

1 / 2 / 3 / 4 / 5

Environmental Risk

[a] Impact of weather condition on completion of project

1 / 2 / 3 / 4 / 5

[b] Pollution by construction waste

1 / 2 / 3 / 4 / 5

[c] Procedure to facilitate construction waste cleanup or disposal

1 / 2 / 3 / 4 / 5

Procurement Risk

[a] Temporary demand of increase in price of materials

1 / 2 / 3 / 4 / 5

[b] Specialized labour for fixation/Installation

1 / 2 / 3 / 4 / 5

Sub-Contractors Risk

[a] Chances of sub-contractor walk out

1 / 2 / 3 / 4 / 5

[b] Delay in work execution of sub-contractor

1 / 2 / 3 / 4 / 5

[c] Revision of price

1 / 2 / 3 / 4 / 5

Part C:  Effectiveness BIM as risk management tool

Visualization

1 / 2 / 3 / 4 / 5

3D Coordination

1 / 2 / 3 / 4 / 5

Prefabrication

1 / 2 / 3 / 4 / 5

Construction Planning and Monitoring

1 / 2 / 3 / 4 / 5

Cost Estimation

1 / 2 / 3 / 4 / 5

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