Top 5 Things to Consider When Assessing Risk for a Construction and Building Project
- Mike Weeks
- Jun 12
- 3 min read
When delivering a construction project, risk is everywhere. The good news is that, with the right awareness and planning, most risks can be managed or mitigated before they derail your work.
The strongest project managers stay one step ahead of risk. Here are five key areas to focus on when assessing risk for your next construction or building project:
1. Project Scope and Complexity
Before any work begins, make sure everyone is clear about what’s being built.
Unclear scope, ambiguous briefs, or conflicting stakeholder expectations can lead to costly variations and programme delays. Complex designs, novel materials, or challenging logistics add further risk, so identify these early and plan accordingly.
A clear, shared understanding of scope is your first line of defence against project drift and dispute.
Site and Environmental Conditions
Know your ground – literally.
Geotechnical surprises (poor soil, contamination, hidden obstructions) are among the most expensive risks in construction. Likewise, weather and seasonal conditions can have significant impact on programme and methodology, as can environmental constraints such as protected species, noise restrictions, or regulatory conditions.
Invest in good site surveys, and factor environmental considerations into your risk assessment and programme.
Resource Management
People, materials, and equipment are the essential moving parts of any construction project. If any of these falters, your project is at risk.
Skilled labour shortages are a common industry challenge, as are materials supply delays, especially in a volatile global market. Equipment failures or lack of maintenance can also lead to costly downtime.
Mitigate these risks through proactive planning: secure key resources early, build relationships with reliable suppliers, and ensure equipment is well maintained and fit for purpose.
Health, Safety, and Regulatory Compliance
Construction is inherently high-risk, but no project is worth risking life, limb, or legal standing.
Common hazards to assess and manage include:
Working at height
Lifting operations
Plant and machinery use
Electrical safety
Temporary works
Site traffic management
In addition, building regulations, planning conditions, and health & safety legislation must be complied with fully. Failure to do so can result in fines, enforcement action, or project shutdowns.
Keep health, safety, and compliance at the heart of your project from start to finish, not just on paper, but in culture and behaviour.
Financial and Schedule Risks
Time and money remain the two most business-critical risk areas.
Unexpected costs, from material price volatility to late design changes, can derail budget control. Similarly, unplanned delays (due to weather, permissions, change control, or supply chain issues) can throw out programmes, trigger penalties, and damage client relationships.
Good risk management requires constant vigilance: monitor spend against budget, anticipate potential delays, and always keep a contingency plan in your back pocket.
Why a Proactive Construction Risk Assessment Sets Projects Up for Success
By taking a proactive, structured approach to construction risk assessment, and considering these five key areas, project managers can anticipate potential issues, develop effective mitigation strategies, and greatly improve the likelihood of a safe, efficient, and successful construction project outcome.
At Iconic, we believe proactive risk management is one of the key drivers of project success, and of building the trust that long-term client relationships depend on.
Author
Mike Weeks
Mike has over 20 years experience in the construction industry, delivering both single site projects and multi-site programmes of work. He has worked in the retail, aviation, commercial and real estate sectors, in both client and consultant organisations.
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