BSBPMG407A Apply Risk Management Techniques

Assignment Brief Semester 1

You are a Project Manager for Bob’s Beaut Building Company which offers a diverse range of building services in commercial and industrial construction. You have a lot of your own plant including boom and line pumps for concrete, mobile cranes, loaders, and skid steer loaders. Your workforce consists of concreters/formworkers, steel fixers, carpenters, and operators. As a PM you look after up to 4 projects at a time depending on the size of the project. You have a supervisor on each site that looks after all the daily activities and usually a graduate engineer who takes care of all the scheduling and cost reporting.

Your company has just won a tender to construct a basement for a new commercial building. Your estimator is quite reliable and has supplied you with your budgets for each stage of the job. The components are:

  • Excavate out a previously used site 20m x 25m x 2.2m deep.
  • Fix all reinforcing steel for a slab base and walls up to ground level including electrical conduits and plumbing
  • Place concrete slab and form and place concrete walls using S70 grade concrete and waterstop at all construction joints as per the design
  • Install a 2m high security fence along the back of the lot

Another company have won stage 2 of the construction to start putting up the building above the basement.

At the back of the lot there is a creek which is part of a major local catchment. The EPA monitors all activities near this creek closely and the bore holes for the security fence are quite close to the creek. The water table has been assumed to be roughly the same RL as the creek, 2.5m below ground level. Also a Dial-Before-You-Dig has indicated that there is a sewer line somewhere in the vicinity of where the fence is going to go but there are no markers to indicate where.

Your project plans are to subcontract all of the excavating, electrical conduits, plumbing work, and the security fence. Your company has reliable contractors they use regularly for electrical work and excavations, but doesn’t often do fences and has had a falling out with their plumbing contractors over some faulty work. A couple of random quotes were used to compile the tender, but they were received 60 days ago and may not be still valid so these amounts are now provisional sums in your budget.

Your company has done quite well tendering over the last few months and your own resources are pretty booked up. Half your equipment is in Whyalla on a job and the rest is booked out on jobs with unstable timeframes. This job is to kick off in 30 days and must be completed in 45 days for the building construction to start on time. Because of the scheduling of the building the client has set liquidated damage rates at $5,000 per day you run over schedule with negotiable discounts available if 20 days’ notice is given. This amount has been agreed to in your contract. Because of this your estimator made sure that you have 5 days slack in your program in case there’s any hold ups.

On your team is Fred the supervisor, probably the person in the company you get along with the least. He is always grumpy and often uncooperative. Although he generally gets a good job done he doesn’t like having to explain what he’s doing and will often get busy when you turn up on site. The engineer assigned to the project is new to the company and has very little experience in programming, scheduling, and cost tracking. This is his second project but he’s insistent that he’s learnt a lot from the last job he was on and is confident he can manage it.

The client is a private investor. He has no idea about construction but will require regular feedback regarding progress. The design consultant will be checking your work as you go, completing ITP’s which require you to stop work at set points so that he can do the inspection before you continue. Failure to meet the quality criteria will mean either re-doing the work, or filing an NCR which may require an engineer’s verification.

Before you commence soliciting subcontractors or ordering labour and materials, you have called a meeting with your company director, your supervisor, the graduate engineer, and the company plant manager to compile a risk management plan.


Either on your own or in a group of up to 3 you are required to produce a risk management plan complying with AS4360. It is to include a minimum of 15 risks, and the analysis must have all columns required in the standard.

The register is to be produced in Microsoft Excel. The plan must include a context and be submitted as both a hard copy and electronic.

The hard copy must include a cover sheet (found in your learning guide) and have the names of all students who contributed to the report.