Project-Risk Management and Decision Analysis in Maritime Maintenance and Repair

Abstract

The purpose of this paper is to provide insights regarding the implementation of using Project Risk Management (PRM) and Decision Analysis (DA) in managing projects for complex systems such as maritime vessels. The PRM approach apprehends many forms of risk both internal and external within a given project and assists the manager in determining the level of importance of each individual project phase and component to optimize project success. Ship Maintenance and Repair project decision-making requires that risk management and risk analysis techniques be applied in order to guide management in making better decisions to meet ship service life perspective. The Life Cycle Assessment (LCA) approach to project management is used to identify the short term limitations of projects with respect to a product's life cycle. There are many tools and techniques to assist project managers in implementing optimal solutions, but published statistics indicate failures to meet schedules and/or budgets are still common. The methodology for reducing risk and for determining how much contingency to add to reduce residual risk to an acceptable level will be discussed herein. This paper contributes to a discussion of empirical investigation centered across the areas of Project Management, Decision-Making, Reliability Centered Maintenance and Condition-Based Management.