Risk management maturity of construction projects in the Netherlands

Projects are bounded with uncertainties and therefore the occurrence of risks, either positive (opportunity) or negative (threat), in projects is unavoidable. Many researchers and practitioners believe that risk management increases the possibility of project success. A Risk Maturity Model (RMM) is a tool which can help projects measuring the maturity of risk management and therefore plan for better performing risk management. Literature shows that there is a close link between risk management maturity and success of projects. This research implements a Generic Risk Maturity Model (GRMM), developed by the authors specifically for the construction industry, in one contractor and two public organizations in the Netherlands. The research question of this research is: <em>what are the risk management improvement areas of construction projects in the Netherlands?</em> . The purpose of this research is: <em>to help projects in the construction industry improving their risk management practices</em>. By means of individual and group interviews, 23 experts in 7 construction projects are asked to assess the risk management in their projects. The research identifies the areas of strengths and weaknesses in risk management in these organizations. The result shows that risk management is appropriately performed in the both contractor and the public organizations. Experts assess their organizations high in performing 'Risk Assessment'. In addition, the results shows that the experts in the public organizations evaluate  'Policy and Strategy' of risk management and 'Management Commitment' towards risk management low. The results also show that in the contractor organization more attention should be given to the 'Risk Treatment' and 'Monitor and Review' process'. Project managers can use the results of this research for planning and improving risk management, and to do cross project analysis for learning purposes.