NEW GUIDELINES to help stamp out multi-million pound cost overruns on capital projects were launched by the Institution of Civil Engineers and the Institute of Actuaries this week.
The new methodology, known as the Risk analysis and management of projects handbook, aims to help engineers understand and place a value on construction risks.
It works by providing a framework for identifying and quantifying all the risks involved in a project. It then shows how risks can be reduced or eliminated and recommends ways of implementing and reviewing risk reduction methods.
The handbook was developed in response to high profile cost overruns such as the new British Library, where costs spiralled from £166M to £511M over 10 years. Past president of the Institution and RAMP working party member Professor Tony Ridley claimed the process would help build confidence in the City for major civils projects and facilitate funding of privately financed schemes in the future.
He added: 'The significance of this initiative is that it brings together both engineering and financial expertise in a joint approach to risk.'
The RAMP Handbook is available from Thomas Telford Publications priced £30. Tel: (0171) 665 2464.