Project Risk Management of EPC Based on Structural Equation Modeling

Abstract

This paper takes Zhijiang road EPC project as an example. By sorting out and analyzing relevant literature at home and abroad, EPC project risks are divided into five categories and 22 subcategories. The five categories are contract risk, design risk, procurement risk, construction risk and external environment risk. Data are collected by questionnaire. The structural equation model is established to make qualitative and quantitative analysis of Zhijiang road project. Research shows that contract risk is the most important. Then, the importance of risk decreases step by step, following the order of external environmental risk, design risk, construction risk and procurement risk.