Task 1
The ever-increasing project complexi-es and the context in which they are built, demands that
the project team is to an-cipate and mi-gate risks to achieve the an-cipated profit levels. Some
of these risks might arise at early stages or whist the project is ongoing. You have been hired by
the company to advise them on these risks. You are tasked to produce a risk report for the three
projects. To compile the report, use a risk register and associated matrices to perform a
qualita-ve risk analysis and a response plan (the risk issues taken into the risk register shall be
appropriately discussed and jus-fied based on their possible severance / significance in line with
the requirements of the project. (You may make and note down appropriate assump-ons).

Task 2
At the second stage of the risk evalua-on, you are tasked to consider all the quan-ta-ve data
presented to you and iden-fy all of the bidding alterna-ves open to the company. You are
required to establish the op-mal bidding strategy for the company to maximise its profit using
decision trees as a quan-ta-ve risk analysis tool. Calculate the expected monitory value of each
bidding op-on and use this to advise the company about the strategy most likely to provide the
‘best’ outcome for Company. You are to produce a report showing the decision tree, EMV
calcula-ons and explana-ons as needed. Remember, the company only has the resources to bid
for one project. Note down all assump-ons associated with your recommenda-on.

Task 3

Assessment Informa-on/Brief
4
During the evalua-on of project costs, you have discovered that the project you have
recommended in task 2 has the poten-al to produce a beQer profit margin for the company and
at the same -me lower the overall lifecycle cost for the client. Write a report to the board of
directors explaining the benefits and the process of going through a value management
exercise.

Notes:
• Reports are to be individually prepared; this is NOT a group submission.
• Reports should be structured as management reports and each should contain an
execu-ve summary, main body of the report (structured appropriately based on the
task), a cover page, a table of contents and a reference sec-on. Task 1, Task 2 and Task 3
reports then should be combined and submiQed as a single file.
The reports must fully reference (Harvard APA style) any published sources used.
Assessed intended learning outcomes

On successful comple-on of this assessment, you will be able to:

Knowledge and Understanding.
1. Cri-cally analyse various risk and value theories and techniques, demonstra-ng
understanding of strengths, weaknesses, limita-ons and reserva-ons of such theories and
techniques;
2. Evaluate the difference between the concepts of cost and value and the importance of the
cost/value rela-onship;
3. Develop and implement solu-ons to improve the effec-veness of risk and value management
of construc-on and property appraisal;
4. Evaluate performance and produc-vity processes and prac-ces in cost and value control of
construc-on and property ac-vity;
5. Cri-cally evaluate risks and uncertain-es associated with the appraisal of construc-on and
property developments.

Transferable/Key Skills and other ATributes.
6. Produce risk and value evalua-ons using the given techniques;
7. Apply appropriate appraisal tools;
8. Devise appropriate decision making strategies.

Module Aims
1. Explore, understand and differen-ate processes, tools and techniques which can be
used to evaluate risk management, and value management, of construc-on and
property ac-vi-es.
2. To explore and provide an understanding of how risk and value management techniques
can be u-lised in op-mising whole life cost solu-ons for construc-on and property
ac-vi-es.