ACRP Report 116

Guidebook for Successfully Assessing

and Managing Risks for Airport Capital
and Maintenance Projects

Trisha Sqrow-Indianapolis Airport Authority

Mindy Price- Direct Effect Solutions
Traci Holton- Metropolitan Nashville Airport
Authority
 Session Objectives
• Overview the Guidebook
• Discuss methodology of assessing airport
project risk
• Review simple risk assessment example
 Research Objective
Development of a Guidebook to assist airports
in proactively assessing and managing risks
associated with capital and maintenance
projects to ensure project scope, schedule
and budget are met.
Guidebook will contain the following attributes:
• Scalability by project type and complexity
• Organization of material to allow flexibility to
reader
• Immediate applicability of information
• Ability to tailor contents to current environment
 Project Risk Research
Conclusions
• Airports unique in methods and
maturity for project
management and project risk
management practices
• Airports unique in how capital
and maintenance projects are
defined
• Airports similar in types of
projects performed: airside,
landside, terminal
Recommendations
• Complexity of the project can
determine scalability of tool use
• Regardless of formality of
project management practices,
tools apply
• Although staff performing
project work may be different,
tools may be the same
• Need a flexible, simple, clear,
and easy to navigate set of
tools for any type or complexity
of airport project
Project Risk Management Definition
Type of Risk Description Sample Objectives
Management
Generic any uncertainty that, if it occurs,
would affect one or more
objectives.
Project Risk any uncertainty that, if it occurs, Time, cost, performance, quality,
Management would affect one or more project scope, client satisfaction
objectives.

Business Risk Any uncertainty that if it occurs, Profitability, Market share,

Management would affect one or more business competitiveness Internal Rate of
objectives Return, reputation, repeat work,
share price
Safety Risk Any uncertainty that if it occurs, Low accident rate, minimal lost days,
Management would affect one or more safety reduced insurance premiums,
objectives regulatory compliance
Technical Risk Any uncertainty that if it occurs, Performance, functionality, reliability,
Management would affect one or more maintainability
technical objectives
Security Risk Any uncertainty that if it occurs, Information security, physical
Management would affect one or more security security, asses security, personnel
objectives security
Project Risk Management Framework
 Guidebook Structure
Part I
• Overview of risk management process
• Who, what, when, how to apply
Part II
• Step-by-step process
• Key activities, inputs, tools and techniques, outputs, best
practices
Part III
• Tool box
Part IV
• Implementation Plan
Guidebook Organizer
Guidebook
Highlights
 BNA Implementation of Guidebook
Key Steps:
1. Meeting with all project stakeholders
2. Brainstorm potential risks and opportunities
3. Assign probability value
4. Assign impact value to each
5. Scatter plot the data and determine high risk items
6. Insert high risk items into project risk register
7. Develop action plan and identify responsible party
8. Review risk register and update as necessary at all
project milestone meetings.
Probability and Impact Matrix
Probability and Impact Matrix
Risk 2
Opp. 1

Risk 1
 Project Risk Register
Project Phase Response Strategy
Date
Risk or Status &
1. Plan
Detailed 1. Accept
Description of Action Planned
Responsible Status
Identified Review Review
Opportunity
2. Design Planned
2. Prevent ActionDate(s)
for Action Date
Risk/Opportunity Event
3. Construction3. Control Comments
4. Implementation
4. Mitigate
 BNA Example
Reconstruct Taxiway Tango 3
• 75 day project
• At intersection of
Taxiway T4 and Lima
• Asphalt to concrete
• Improved radius to
meet new FAA design
criteria
BNA Example
 BNA Example
Risk 2
Risk 1

Opp. 1
BNA Example