Risk management of international EPCprojects through partnering

WANG Tengfei; WANG Yunhong; SHEN Wenxin; TANG Wenzhe

doi:10.16511/j.cnki.qhdxxb.2022.22.008

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Journal of Tsinghua University(Science and Technology) ›› 2022, Vol. 62 ›› Issue (2) : 242-249. DOI: 10.16511/j.cnki.qhdxxb.2022.22.008

SPECIAL SECTION:CONSTRUCTION MANAGEMENT

Risk management of international EPCprojects through partnering

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Abstract

The Belt and Road Initiative has lead to many Chinese enterprises actively participating in the international engineering- procurement-construction (EPC) market. Risk management is essential for EPC project delivery. However, existing research has mostly used only conceptual studies to explore the use of partnering strategies in risk management without mechanism analyses and validation using empirical data. This paper presents a risk management model based on partnering theory that is evaluated using questionnaire data and the partial least squares structural equation modeling (PLS-SEM) method. The results show the relationships among partnering, risk management and project performance and verify that partnerships between the contractor and various stakeholders improve interface management, organizational capacity and contract management to achieve effective risk management and continuous improvement of project performance. The results highlight the importance of partnering and risk management for EPC project performance and contribute to improving risk management of Chinese EPC contractors.

Key words

risk management / partnering / engineering-procurement-construction (EPC) / international project

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WANG Tengfei, WANG Yunhong, SHEN Wenxin, TANG Wenzhe. Risk management of international EPCprojects through partnering[J]. Journal of Tsinghua University(Science and Technology). 2022, 62(2): 242-249 https://doi.org/10.16511/j.cnki.qhdxxb.2022.22.008

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