Economic and Time Risk Factors Influencing the Construction Projects: A Case Study of Lebanese Construction Projects

Abstract

In recent years, Lebanon has been grappling with a multitude of crises across all sectors, presenting numerous challenges that have hindered the progress of the construction industry. The construction industry in Lebanon is plagued by a complex array of risks that can lead to the downfall of construction projects. Therefore, this study is primarily concerned with identifying the most crucial economic and time risk factors influencing the Lebanese construction projects. To achieve the research aim, a questionnaire was initially developed from a review of various sources of literature and then refined to reflect the unique circumstances faced by Lebanon in recent years. In addition to that, some interviews to analyze the economic and time risk factors were conducted among expert respondents in the Lebanese construction industry. Then, the relative important index (RII) was applied in order to classify the major risk factors. The findings obtained from the study reveal that currency fluctuation, risk of war, geological risks, risk of pandemics and vendor failures are the most crucial risk factors that influence the time and cost of the Lebanese construction projects. Finally, in order to mitigate the occurrence of the most critical risk factors identified in this study and ensure successful construction projects in Lebanon, effective risk-management strategies should be implemented. KEYWORDS: Risk factors, Construction projects, Cost, Time, Lebanon.