Research Article
Research on Risk Identification and Response Strategies of PPP Contracts Based on Risk Management
@INPROCEEDINGS{10.4108/eai.15-12-2023.2345423, author={Shyng Jyh-Harng}, title={Research on Risk Identification and Response Strategies of PPP Contracts Based on Risk Management}, proceedings={Proceedings of the 3rd International Conference on Public Management and Big Data Analysis, PMBDA 2023, December 15--17, 2023, Nanjing, China}, publisher={EAI}, proceedings_a={PMBDA}, year={2024}, month={5}, keywords={public-private partnership (ppp); risk identification; risk prevention; bidding; risk priority matrix (rpn)}, doi={10.4108/eai.15-12-2023.2345423} }- Shyng Jyh-Harng
Year: 2024
Research on Risk Identification and Response Strategies of PPP Contracts Based on Risk Management
PMBDA
EAI
DOI: 10.4108/eai.15-12-2023.2345423
Abstract
In the competitive environment of government and social capital cooperation (PPP) projects, contract management plays a pivotal role. It outlines the framework for monitoring and managing the risks associated with the rights and obligations of both parties, ensuring the project's long-term success. Without effective contract management, PPP projects are prone to various risks that can derail the project and impact its outcomes. To identify, assess, and respond to these risks, scientific and technological data monitoring is essential in risk project management. For instance, the “Risk Matrix Method” is commonly used in landscape architecture PPP projects. This method involves classifying risk factors based on their likelihood of occurrence and impact level, creating a risk matrix. The evaluation principle assesses the probability and impact level of risk occurrence to prioritize management and response strategies. Based on the Severity (SEV) and Occurrence (OCC) factors, these strategies can be categorized into four distinct categories: "Avoidance," "Transfer," "Reduction," and "Acceptance." Each category suggests a different approach to manage the risk associated with a specific project. Comprehensive empirical research methods, combined with qualitative and quantitative assessments, provide valuable insights into reducing risks in PPP project bidding contracts.