A Simple Analysis on the Function of Risk Management in the Reform and Development of Construction Enterprises

摘要

With rapid economic development and more intense competition, building industries are facing constant changes of market environment, main demand and technological innovation, and these will bring risk to the enterprise development. Owing to the characteristics of the construction products there are more unstable factors in the construction project which will be the primer to the future risk. Risk management is needed in the manufacturing course and has become the indispensable part of the national lash-up system. Based on the analysis of risk management situation of construction firms, the connotations of risk management are analyzed in this paper, then the necessity and approaches are also expounded. Appropriate patterns of risk management in building industry are erected based on description and analysis of the risk and the effective methods of risk management are presented. Through systematic research and analysis, this paper intends to provide theoretical foundation for the risk management of the building industry in China and strengthen their capabilities to evade risks. Meanwhile it also provides some valuable suggestions as a reference to the Chinese building industry so that they can establish and improve their ability to prevent and manage risk events.