P-ISSN: 2808-5957
E-ISSN: 2808-6724
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1581
RISK MANAGEMENT OF TIME CONTROL ON THE CONSTRUCTION
OF SAUMLAKI PORT
Arman Jayady, Edwin Moerdianto
Persada University of Indonesia Y.A.I, Indonesia
Email : ajayady@yahoo.co.id, edwinmoerdianto@gmail.com
ARTICLE INFO
ABSTRACT
Date received : 05 September 2022
Revision date : 16 September 2022
Date Approved : 25 September 2022
In the development of the port, there are potentially risk
factors that are not identified during its implementation,
which can affect work delays and add to unforeseen costs,
thus requiring handling in accordance with the
classification of risks that occur. The risk is in accordance
with the type of activity and the environment of the
construction project implemented. The study aims to
analyze the influential risk factors during the work carried
out, based on the perspective of service providers
(consultants and contractors) and
owners
as well as how
to handle risks (mitigation) and the effect of the
implementation of the Saumlaki Port Facility Construction
work on controlling the timing of work. Identifying risks -
risks encountered in the study using the interview method
against potential risks that are likely to occur. The survey
results show that there are three risks that have a high
risk classification from the perspective of service providers
that have the greatest impact on project delays.
Theconclusion in the research is the need to apply risk
management to the implementation of development to
minimize delays and reduce unforeseen costs. .
Keywords: Time performance,
port construction, risk
management.
This work is licensed under CC BY-SA 4.0
INTRODUCTION
In accordance with the development of the province and regency area, Saumlaki
City is the entrance / exit of Maluku Province in the southernmost which directly makes
this island cluster as a cluster of islands bordering Timor Leste and Australia. Saumlaki
Port became a movement orientation in cities located in Southwest Maluku and West
Southeast Maluku Regencies.
Saumlaki port waters currently serve port operational activities such as loading
and unloading general cargo, Sea Tolls and Pelni Passenger Ships. The condition of the
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port pool is very adequate for development with a depth of up to 7 – 20 m LWS and a
groove depth of between 15 – 25 mLWS.
Saumlaki Port has several dock segments that are integrated in one faceline with
a total length of 240 m, existing activities serving ship berths include KM Nusantara
Pelangi 101, KM Leuser and Sirimau and KM Sabuk Nusantara 103. To anticipate the flow
of loading and unloading cargo goods, Sea Tolls and Pelni Passenger Ships, it is necessary
to develop facilities and infrastructure with construction work for the construction of
saumlaki port facilities.
Risk management can help increase project awareness, delays in project
construction are often caused by risk factors in projects that have not been identified,
and cause project delays and unexpected cost increases. Each project has different risks
depending on the type of activity and the conditions of the work site, the handling carried
out will be different. Construction delay is defined as the completion time of construction
beyond the date agreed in the contract (Assaf and Al-Hejji 2006).
Sources of risk that fall into the major category include customer or government
sources such as changes in local regulations and bureaucracy. Financial risks such as
changes in the government's fiscal policy. Project risks are like changing the scope of the
project. Project Organization Risks (e.g. Authority to engage in the organization of Project
Leaders. Planning Risks; Regional Situation Risk (Weather); Contractor's Risk as executor
of Contractor Experience and Financial Status. Construction Significant risks to;
occupational risks; risk logistics (site access), inflation risk, risk of price fluctuations and
unavoidable risk (Raaftery, 1994).
(Kenzner, 2005) Risk Management procedures include strategies that are
established at the beginning of the work, and risks are continuously processed throughout
the project life cycle including some relevant behaviors; 1) risk planning is the process of
developing a systematic and comprehensive and interactive strategy and documenting
using risk problems, developing risk transfer planning planning, and identifying and
analyzing risk change monitoring;2) Risk assessment, program programming and risk
identification technology and risk analysis are important in improving performance, and
target costs; 3) Identify risks, program areas and processes to examine important
technical processes to determine and document relevant risks; 4) Processes for
investigating risk system issues that determine the analysis of risks, potential risks and
estimate their impact; 5) Processing is the process of identifying and selecting strategies
to adjust risk to a level of accepting restrictions and program objectives.
Research to identify risks that have the potential to occur during the construction
work of the Saumlaki Port Facility Construction, as well as how to handle it to minimize
delays in project implementation Identify risks to reduce negative impacts that cause
delays in work and have an impact on increasing costs in the implementation of work.
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Reducing the risk of construction projects with a methodology to minimize the risks
that occur is supported by all parties involved in the project. Minimize a large number of
risks that affect the overall performance of the project, analyze them and determine
appropriate measures to mitigate those risks. (Al-Ajmi, 2018).
In construction projects for risk mitigation are divided into three groups: external
risks, project risks, and internal risks. His findings show that decision-making in
construction management is very important, the selection of contractors and suppliers as
a result of risk assessment in construction projects (Rehacek,2017).
While Septiani et al. (2015) identified risks from the planning stage to
implementation and classified them into eight groups: pre-construction (permits) and
construction (design/research, land acquisition, financing, development), risk equipment,
unavoidable forces, and social policy. Different sources of risk can arise as well as
different assessment perspectives among individual researchers meaning different
groupings of risks.
The objectives of the study are: 1) to analyze the dominant risk factors in the
Construction of the Saumlaki Port Facility, based on the perspective of service providers
(consultants and contractors) and owners. 2) risk handling (mitigation) of the
implementation of the Saumlaki Port Facility Construction work which affects the control
of work time. The benefit of the study is to provide information and input to stakeholders
regarding risks found in high categories and that may occur in the remaining time of work
implementation, in order to overcome these risks in the implementation of similar projects
in the future.
The author's hypothesis is that inadequate risk management can lead to delays in
port construction projects due to unknown, large and significant risks.
METHOD
Risk determination is carried out by interviewing resource persons to identify the
causes of uncertainty in civil engineering work for the construction of port facilities and
classifying risks based on the causes of uncertainty is carried out through field observation
research. The research conducted is descriptive research, which collects detailed
information to explain existing symptoms, identify problems, and investigate applicable
conditions and practices (Sugiyono, 2019).
The potential and impact of the risk are categorized in discussions with the owner's
project coordinator. Questionnaires are distributed in two stages. At the first stage,
questionnaires are distributed to competent service providers: team leaders on behalf of
consultants and project managers on behalf of contractors. The questionnaire of the first
stage is aimed at determining the relevance of risks to the construction activities of port
facilities. The questions included in the first stage of the questionnaire were divided into
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26 indicators of the perception of consultants and 34 indicators of perception of
contractors.
The second phase of the questionnaire was distributed to two supervisory
consultant respondents as well as four from contractors. Respondents consisted of
practitioners who understood the actual situation at the site during the construction of
the port facility. The second phase of the questionnaire aims to clarify how the risks of
implementing the construction of the Saumlaki port affect the delay in implementation
time. The questionnaire was distributed to respondents in two stages, namely the
preliminary and main questionnaires.
The main questionnaire is intended to get an idea of how the risks of building port
facilities affect work delays. Indicators included in the relevant second stage questionnaire
and included in the risk registration based on the expert opinion of service provider
practitioners, according to a literature review. Respondents filled out the Likert scale with
a scale interval of 1 to 5 to assess the likelihood and impact of risk occurrence on all risk
indicators (results of the first stage questionnaire).
Probabilities can be categorized as follows: Probability/not at all (very low),
impossible (low), sometimes (normal), high probability (high), very likely (very high).
Risk impact assessment whose classification is based on LKPP Perlem No. 9/2018 i.e.
larger 48 calendar days (very large) because the impact classification does not affect the
schedule (very small), there will be delays.
Data Analysis
The data collected from the distribution of surveys that passed the validation and
reliability test requirements were then searched for the value of the probability index and
its implications. With reference to risk analysis and response studies conducted by Isnaini
(2011) for the Ramongan Shipyard Construction Project, a risk assessment method with
the
Severity Index
(SI) method, to help with risk classification. Severity index by formula
(Al Hammad, 2014) :
SI is
Severity Index
n is the number of
rating
m is the weight with the largest
rating
ai is the weight of
the fi rating
is the frequency of respondents sesuai with the indicator
value, probability measures and impact assessments can be determined by first
transforming the indicator value using classification (Davis & Cosenza, 1998, Al Hammad,
2014).
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Table 1. Probability and Impact Scale
No
Information
Value
Scale of Impact
1
Very Low
1
As planned
2
Low
2
There is a delay between 1
day to 17 calendars
3
Keep
3
There is a delay between
18 days to 34 calendar
days
4
Tall
4
There is a delay between
35 days to 49 calendar
days
5
Very High
5
There is a delay of more
than 50 calendar days
Processed data sources
As per PMBOK (2017) method for identifying risks with
probability impact matrix
.
Williams (1993),
Probabilistic Impact Matrix
is an approach developed using two main
risk metrics. That is, probability is the probability of an adverse event occurring, and the
impact is the extent or extent of the impact. Impact on other activities in the event of an
adverse event. Hillson (2002) explains that risk scores are the product of probability
scores and impact scores, and risk scores are obtained from respondents. Risk can be
measured using the following formula:
R = P * I ............ (formula 1)
where:
R = Level of risk
P = Probability of risk occurring (
probability
)
I = The degree of impact of the risk occurring (
Impact
)
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Table 2. Risk Tiers
Source : Marantika.D (2017)
Risk Response
How to increase alternatives to increase opportunities and reduce harm to work
goals, according to Williams( 1993
) Probability Impact Matrix
is an approach that is raised
Risk response strategies
can be tried using
tools
and
techniques
are: 1) Strategies against
risks that have a negative impact, namely: a)
Avoid
or avoid risks by carrying out changes
to the blueprint management concept to eliminate risk hazards, isolate project targets
from impacts by reducing the
scope
or duration of work; b) Transfers or transfers by
sending the consequences of risk impacts including liability to third parties. Transferring
risk is always linked to the payment of a risk bonus to the party who welcomes the
provision of risk, a kind of insurance. Contracts can be used to send risks to other parties;
c)
Mitigate
or reduce the opportunity and consequences of a risk event at the threshold
that can be obtained. Carrying out early action to reduce opportunities and or
consequences of risks in the blueprint is very efficient from carrying out corrections after
the destruction is established. 2) Positive risk strategies are a)
Exploits
generally these
strategies are selected for risks that have positive consequences where the group wants
to ensure that it is possible that it can be realized. You can use it by increasing the energy
base better to reduce the duration of blueprint handling or by sharing the better quality
of your early concept. b) Providing for the purpose of providing Positive Risk with third
parties in order to profit from the blueprint. The illustration of positive risk rationing is a
risk rationing partnership, squad, and joint venture. c) Replacing the opportunity
dimension by increasing opportunities and or positive consequences, as well as increasing
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by recognizing and optimizing risks due to positive consequences. d) Response Strategy
Some answers or actions are designed to be used when certain events occur.
Ensuring that the risk reaction is sourced from the results of the risk level analysis
from the perspective of the service facilitator. The owner then responded as the owner
of the highest provision. The owner's assumptions will be fed back to the provider to
ensure the concept of enforcement action for handling the construction of the Saumlaki
wharf facility.
RESULT AND DISCUSSION
The results of the analysis on the Construction of the Saumlaki Port Facility 7 risks
were identified: natural risks, political risks, technical risks, project risks, economic risks,
human risks, and environmental risks. Of the seven variables categorized into 26
supervisory risk indicators (RS) as per Table 3 and 34 contractor risk indicators (RK) as
per Table 4.
Table 3. Identify the risk of consultant perception
Category
Risk Factors
Code
NATURAL RISKS
Occurrence of unexpected things such as
extreme weather (heavy rains, climate
change)
RS1
Force majeur
(flooding, etc.)
RS2
Tides of sea water
RS3
Big Wave
RS4
RISK POLICY
Policy changes resulting from changes in
local government policies
RS5
Riots Occurred
RS6
TECHNICAL RISKS
The design does not correspond to field
conditions
RS7
Delays in obtaining planning approval
RS8
Delays in administration and licensing
processes
RS9
PROJECT RISKS
Work accidents during the project
RS10
Inaccuracy of the erection point
RS11
Shifting Erection Locations
RS12
Improper use of stakes
RS13
Procurement of materials is not on
schedule
RS14
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Category
Risk Factors
Code
Disagreement of working methods with
contractors
RS15
Cost overruns due to the addition of work
items
RS16
The presence of cracks in the dock
structure
RS17
Setting a poor implementation schedule
RS18
ECONOMIC RISKS
Risks of inflation rates and interest rates
RS19
Deferred payments
RS20
Contractor financial problems
RS21
HR RISK
Lack of skill skills from workers
RS22
Uneven communication between workers
RS23
Shortage of labor numbers
RS24
ENVIRONMENTAL
RISKS
Inaccurate environmental studies
RS25
The response of the surrounding
community is less supportive of the project
RS26
Processed data sources
Table 4. Identify contractor perception risks
Category
Risk Factors
Code
NATURAL RISKS
Occurrence of unexpected things such
as extreme weather (heavy rains,
climate change)
RK1
Force majeur
(flooding, etc.)
RK2
Tides of sea water
RK3
Big Wave
RK4
RISK POLICY
Policy changes resulting from changes
in local government policies
RK5
Riots Occurred
RK6
ENGINEERING RISKS
The design does not correspond to
field conditions
RK7
Delays in obtaining planning approval
RK8
Delays in administration and licensing
processes
RK9
PROJECT RISKS
Work accidents during the project
RK10
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Category
Risk Factors
Code
Inaccuracy of the erection point
RK11
Shifting Erection Locations
RK12
Improper use of stakes
RK13
Heavy equipment damage during the
execution of work
RK14
Procurement of materials that are not
on schedule
RK15
Disagreement of working methods
with contractors
RK16
Procurement of materials that do not
meet specifications
RK17
Lack of equipment in the field
RK18
Cost overruns due to the addition of
work items
RK19
The presence of cracks in the dock
structure
RK20
Setting a poor implementation
schedule
RK21
Changes to specifications or working
drawings
RK22
ECONOMIC RISKS
Risks of inflation rates and interest
rates
RK23
Deferred payments
RK24
Contractor financial problems
RK25
Fuel price increase policy
RK26
HR RISK
Lack of skill skills from workers
RK27
Uneven communication between
workers
RK28
Low worker productivity
RK29
There are differences of opinion with
stakeholders
RK30
Shortage of the number of worker
personnel
RK31
ENVIRONMENTAL RISKS
Inaccurate environmental studies
RK32
The response of the surrounding
community is not supportive of the
construction
project
RK33
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Category
Risk Factors
Code
Noise pollution due to mobilization and
fabrication
RK34
Processed data sources
Table 5.
High
.
risk
(RS) consultant perception
Code
Risk Factors
Prob
(P)
Impact (I)
R=
P*I
Category
RS1
The occurrence of
unexpected things such as
extreme weather (heavy
rains, climate change)
4
4
16
High
RS4
Big Wave
4
4
16
High
RS14
Procurement of materials
is not on schedule
3
4
12
High
RS15
Disagreement of working
methods with contractors
3
4
12
High
RS16
Cost overruns due to the
addition of work items
3
4
12
High
Processed data sources
Table 6.
High risk
(RK) contractor perception
Code
Risk Factors
Prob
(P)
Impact (I)
R= P*I
Category
RK1
The occurrence of ha-
unexpected things such
as extreme weather
(heavy rains, climate
change)
4
4
16
High
RK4
Big Wave
4
4
16
High
RK14
Heavy equipment
damage during the
execution of work
4
4
16
High
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Code
Risk Factors
Prob
(P)
Impact (I)
R= P*I
Category
RK15
Material sourcing is not
on schedule
3
4
12
High
RK19
Cost overruns due to the
addition of work items
4
4
16
High
RK24
Deferred payments
3
4
12
High
RK26
Fuel price increase
policy
3
4
12
High
Processed data sources
Table 7.
Stakeholders
risk response
Code
Risk Factors
Consultant
Contractor
Owner
RS1*/RK1*
Occurrence of
unexpected things such
as extreme weather
(heavy rains, climate
change)
Avoided
Avoided
Avoided
RS4*/RK4*
Big Wave
Avoided
Avoided
Avoided
RK14
Heavy equipment
damage during
execution
Accepted
Accepted
RS14*/RK15*
Procurement of
materials that are not
on schedule
Reduced
Reduced
Reduced
RS15
Disagreement of
working methods with
contractors
Reduced
Reduced
RS16/RK19
Cost overruns due to
the addition of work
items
Reduced
Reduced
Reduced
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Code
Risk Factors
Consultant
Contractor
Owner
RK24
Deferred payments
Accepted
Accepted
RK26
Fuel price increase
policy
Accepted
Accepted
Processed data sources
Consultant perception risk analysis
The results of the analysis according to the opinion of the consultant (RS) there
are five risks of high category and twelve risks of having a moderate category and
seventeen risks of low category. Where the risk with a high category according to the
processing of perception data by the consultant consists of natural risk variables RS1
(occurrence of unexpected things such as extreme weather (heavy rain, climate change))
and RS4 (large waves), project risk variables RS14 (Procurement of materials that are
not on schedule) and RS15 (disagreement of work methods with contractors) and
economic risk variable RS16 (swelling of arena costs for adding work items) As shown in
Table 5, these are high category risk responses that consultants need to manage and
cannot be predicted simply by avoiding them, except for the risk of extreme weather
conditions. Avoiding these risks creates jobs indirectly, thus avoiding those who benefit.
Picture. 1. Consultant risk response
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Contractor perception risk analysis
According to the expert opinion of the contractor, the results of the pilot survey
revealed 34 relevant risks and continued the second phase of the questionnaire,
according to the assessment of the results of the second phase of the questionnaire, 7
entered high risk, 16 medium risk, and 11 risks classified as low risk. The high category
of risk groups are the natural risk variable RK1 (occurrence of unexpected things such as
extreme weather (heavy rain, climate change)) and RK4 (large waves), the political risk
variable RK14 (Heavy equipment damage during implementation), the risk variable of the
RK15 project (procurement of materials that are not on schedule), the economic risk
variable RK19 (cost swelling due to the addition of work items), RK24 (the owner's
deferred payment) and RK26 (fuel price increase policy) according to Table 6.
Figure 2. Contractor perception risk response
Action plan at high category risk
The decision of the risk management action plan is made by the service provider
according to the response of the owner, without neglecting the interests and objectives
of the service provider company. As per Table 8 and Table 9, the management methods
performed or performed by service providers in a given action display not all high risk
categories can be managed through avoidance. The level of risk associated with decision
making, other considerations may need to be considered. , including in the consultant
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risk classification (RS15) Disagreement on work methods with contractors according to
the
owner
for these risks can be reduced because these risks for handling consultants
can regularly conduct meetings and coordinate with contractors to determine work
methods in the field that are in accordance with the conditions when implementing, in
addition to supervision and monitoring of implementation in the field become the
obligation of supervisory consultants so that Disagreements between work methods and
contractors can be eliminated by conducting a perception equation of the method that is
possible to be most suitable to be implemented in the field.
Table 8. Risk mitigation of high category of consultant perception
Perception
Code
Indicator
Mitigation
Consultant
RS1
Natural
Risks
Occurrence of
unexpected things
such as extreme
weather (heavy rains,
climate change)
Optimizing the
implementation during
sunny weather
RS4
Big Wave
Suggesting the right
execution time to the
contractor
RS14
Procurement of
materials that are not
on schedule
Reviewing the
scheduling of mature
material procurement
and coordination with
stakeholders
RS15
Project
Risk
Disagreement of
working methods with
contractors
Coordinating and
meeting with
contractors to equalize
perceptions
RS16
Economic
Risks
Cost overruns due to
the addition of work
items
Recalculate the main
work so that it can be
minimized
Processed data sources
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Table 9. Risk mitigation of high category contractor perceptions
Perception
Code
Indicator
Mitigation
Contractor
RK1
Natural
Risks
Occurrence of
unexpected things
such as extreme
weather (heavy rains,
climate change)
Optimization of
implementation on
sunny weather days and
increasing working
hours with overtime
RK4
Big Wave
Optimization of the
implementation before
the month there is a
large wave
RK14
RK15
Project
Risk
Heavy equipment
damage during
execution
Procurement of
materials is not on
schedule
Bring in new equipment
if repairs cannot be
carried out
Drawing up a material
procurement schedule
and immediately holding
materials according to
the plan after obtaining
approval from the owner
RK19
Economic
Risks
Cost overruns due to
the addition of work
items
Conducting field
inspections properly on
MC 0, related to the
suitability of the volume,
design drawings with
conditions in the field,
so that the right
calculation of volume
and costs can be
obtained.
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Perception
Code
Indicator
Mitigation
RK24
Deferred payments
Coordination with
the
owner
related to the
terms of payment terms
and report formats
RK26
Fuel price increase
policy
Accepting if possible can
include a price increase
in the contractor's cost
estimate
Processed data sources
CONCLUSION
The results of data processing were concluded:
1) Similar perceptions between consultants and contractors on the risk of unexpected
things happening such as extreme weather (heavy rain, climate change) (RS1 / RK1),
large waves (RS2 / RK2), procurement of materials that are not on schedule (RS14 /
RK15) and cost overruns due to the addition of work items (RS16 / RK19);
2) Differences in perceptions between consultants and contractors on the risk of
disagreement of work methods with contractors (RS15), damage to heavy equipment
during implementation (RK14), deferred payments (RK24), and fuel price increase
policies (RK26);
3) The perception equation is the relationship of the determinants of time performance
as the main determinant while differences in perception are other determinants of
time performance that affect the process of carrying out work.
4) Mitigation at high risk becomes an action plan carried out to prevent project delays,
namely: a) coordinating with related parties and making adjustments to policies
imposed by the local government, b) compiling a material procurement schedule and
immediately holding materials according to the plan after obtaining approval from
the
owner
, c) conducting a proper field inspection on MC 0, relating to the suitability of
the volume, design drawings with the conditions in the field, d)coordination with the
owner
related to the terms of payment of the termination and format of the report,
e) accepting if possible can include a price increase in the contractor's estimated costs.
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