To ensure that DESIGNTECTURE, DSPC is fully protected from liability claims, partners Paige Nalitt (RA), Eric Blandina (RA), Brian Stamler (PE), and Jaime Cardinale (PLA) will be acquiring a $500,000 General Liability policy and a $1,000,000 Professional Liability policy. DESIGNTECTURE is aware that each policy covers different aspects and would like to minimize their risks by purchasing both policies. The General Liability policy will protect the firm from damages that occur from injury occurring on a property connected to the firm and property damage. Any number of issues could arise including accidents, injuries, and claims of negligence that could put the firm in danger of dealing with a law suit. The General Liability policy will
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An indemnification provision would require the firm to be held liable for another party’s (owner, developer, contractor, etc.) legal liability. The idea of indemnification arose to protect owners from being liable to issues that might occur during construction. Since the owner has no control over the site, it should be only fair that they are not responsible for any site-related issues. While signing a contract with an indemnification provision has become more widely accepted, DESIGNTECTURE will only sign a client’s indemnity if it is limited to the firm’s negligence only. It is in the firm’s best interest to not accept liability beyond what is required by law.
The purpose of a risk management plan is to layout the plan and processes in which DESIGNTECTURE will follow to actively manage and minimize risks of the firm throughout its life cycle. Risk is an inherent characteristic of any project and can impact many aspects of a project, including cost, schedule, quality, resources, organizational structure, etc. It is very important for the firm to follow this plan because while some risks have a relatively small effect, others can have a devastating …show more content…
Information on each risk is given to the risk manager and validated by the risk analyst. Potential sources that introduce risks are: A) characteristics of the client B) nature of the project C) use of consultants D) method of project delivery E) types of contracts, etc. Analyze Risks - encompasses the evaluation of probability, outcome, impact, severity, and prioritization. Some problems might happen infrequently but have a severe impact on the project and vice verse. The team needs to have a realistic risk analysis that weighs the probability the event will occur against the potential severity the risk could have. Risk Categories: Time, Value, Event, Threshold
Respond to Risks - A) mitigate the risk by lowering the impact or probability B) transfer the risk to another party C) avoid the risk entirely and do not take on the project
Monitor Risks - a continuous activity necessary to track the state of identified risks and making sure appropriate risk response plans are being
An indemnification provision would require the firm to be held liable for another party’s (owner, developer, contractor, etc.) legal liability. The idea of indemnification arose to protect owners from being liable to issues that might occur during construction. Since the owner has no control over the site, it should be only fair that they are not responsible for any site-related issues. While signing a contract with an indemnification provision has become more widely accepted, DESIGNTECTURE will only sign a client’s indemnity if it is limited to the firm’s negligence only. It is in the firm’s best interest to not accept liability beyond what is required by law.
The purpose of a risk management plan is to layout the plan and processes in which DESIGNTECTURE will follow to actively manage and minimize risks of the firm throughout its life cycle. Risk is an inherent characteristic of any project and can impact many aspects of a project, including cost, schedule, quality, resources, organizational structure, etc. It is very important for the firm to follow this plan because while some risks have a relatively small effect, others can have a devastating …show more content…
Information on each risk is given to the risk manager and validated by the risk analyst. Potential sources that introduce risks are: A) characteristics of the client B) nature of the project C) use of consultants D) method of project delivery E) types of contracts, etc. Analyze Risks - encompasses the evaluation of probability, outcome, impact, severity, and prioritization. Some problems might happen infrequently but have a severe impact on the project and vice verse. The team needs to have a realistic risk analysis that weighs the probability the event will occur against the potential severity the risk could have. Risk Categories: Time, Value, Event, Threshold
Respond to Risks - A) mitigate the risk by lowering the impact or probability B) transfer the risk to another party C) avoid the risk entirely and do not take on the project
Monitor Risks - a continuous activity necessary to track the state of identified risks and making sure appropriate risk response plans are being