Released this past November, the list is based on data collected from the Web of Science and highlights some of the world’s most influential scientific minds by naming the researchers whose publications over the previous decade have included a high number of Highly Cited Papers placing them among the top 1% most-cited.
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We wish to congratulate all of the researchers named and especially our authors on this amazing accomplishment! We are happy and proud to share in their success!
IntechOpen is proud to announce that 179 of our authors have made the Clarivate™ Highly Cited Researchers List for 2020, ranking them among the top 1% most-cited.
\n\n
Throughout the years, the list has named a total of 252 IntechOpen authors as Highly Cited. Of those researchers, 69 have been featured on the list multiple times.
\n\n\n\n
Released this past November, the list is based on data collected from the Web of Science and highlights some of the world’s most influential scientific minds by naming the researchers whose publications over the previous decade have included a high number of Highly Cited Papers placing them among the top 1% most-cited.
\n\n
We wish to congratulate all of the researchers named and especially our authors on this amazing accomplishment! We are happy and proud to share in their success!
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1. Introduction
In order to apply sustainable solutions to problems related to food production, the biotechnological potential of endophytic microorganisms has been prospected in the agronomic area. The use of beneficial microorganisms in agricultural production aims for pest control, improvement of productivity and plant development, and/or recovery of ecological systems. Endophytes play a role in evolution of plant and in resistance of stresses through the production of bioactive metabolites, changes in enzyme metabolism, and gene expression related to resistance [1], and those beneficial effects of various endophytic genera may be the combined [2].
2. Biological control
Biological control of phytopathogens occurs when living microorganisms repress the development of the etiological agent in the plant [3]. Endophytes can act inducing resistance, promoting antibiosis and/or competition in consequence of the mutualistic relation with the plant [4]. These processes can occur independently, but the overlap of mechanisms may also happen [5], like is observed in the association of Beauveria bassiana and Metarhizium brunneum against the complex of Fusarium, the control ocurrs by competition and antibiosis [6].
The physiological definition of resistance is the delay or impediment of entry and/or subsequent activity of the pathogen in the plant [7]. Plants have numerous and efficient defense mechanisms naturally triggered when exposed to elicitors [8] that can be stimulated by the endophytes presence. The plant defense mechanisms are induced after the recognition of molecular patterns associated with pathogens/microbes (PAMPs/MAMPs), or plants’ molecular patterns associated with damage (DAMPs) and effectors, by proteins or by nucleotide-binding leucine-rich repeat (NB-LRR) [9]. Endophyte induces systemic resistance on plants providing an alert state, the priming [10, 11]. Priming plants exhibits faster and stronger responses against pathogen attacks because transcription factors and signaling proteins have already accumulated in cells. This defense induction is a consequence of molecular signaling during the establishment of plant-endophyte symbiosis [10]. An example of the host-induced resistance by endophytes is the frequent isolation of Curtobacterium flaccumfaciens in plants without symptoms of citrus variegated chlorosis, suggesting that this endophyte has a role in the resistance of the citrus plant [12].
A reprogrammed genetic transcription occurs in plants associated with endophytes. The Epichloë festucae symbiosis with ryegrass (Lolium perenne var. Lolii) enhances gene expression of jasmonic acid (JA) precursors [13], and the expression of the systemic defense genes HvPr17b and HvHsp70 in barley is associated with the presence of the endophyte Piriformospora indica [14]. Further, presence of endophytes may alter pathogenesis-related proteins (PR-proteins) concentration, as chitinase, peroxidase, glucanase and cellulase in cucumber inoculated with Trichoderma harzianum [15], lignin and cellulose in Theobroma cacao in symbiosis with Colletotrichum tropicale [16], and PR2, PR6, PR15, and PR16 in rice with Bacillus subtilis [17]. The resistance response induced by symbiosis of plant-endophyte is systemic. Studies have shown that gene expression or protein production related to host defense was evidenced in plant portions distant from those inoculated with Klebsiella pneumoniae [18], Rhizobium etli [19], and Pseudomonas fluorescens [20].
The resistance induction is also related with the activity of defense enzymes, such as phenylalanine ammonia lyase, polyphenol oxidase, superoxide dismutase, peroxidase, ascorbate peroxidase, and guaiacol peroxidase. Pseudomonas fluorescens induces resistance related to the activity of lipoxygenase, catalase, aminocyclopropane carboxylate oxidase, and phenylalanine ammonia lyase [20]. Pseudomonas fluorescens is also capable to induce systemic resistance in plants by producing 2,4-diacetylphloroglucinol [21].
The vast majority of endophytes are biotrophic [22]. Therefore, it is important to consider that when colonization of the plant by biotrophic endophytes begins, the salicylic acid (SA) route activates defenses, so endophytes need to be able to suppress this defense by specific effectors. The expression of the Ca2+/calmodulin kinase enzyme is capable to suppress the pathway of SA [23]. In addition, the possibility of recruiting gibberellic acid (GA) reduces the proportion of DELLA proteins, altering the salicylic acid and jasmonic acid (JA) signaling [24]. The suppression of the SA stimulates JA route precursors and genes, which increases resistance to chewing insects and necrotrophic fungi and promotes susceptibility to biotrophics [10, 22]. To ensure plant protection against biotrophic fungi and sucking insects, endophytes have the ability to biosynthesize compounds responsible for antibiosis; besides they can also control these organisms through mycoparasitism and competition.
The endophytes are able to biosynthesize secondary metabolites, which are important for plant colonization processes [2] and are toxic to insects, pathogens [10], and algae [25]. These compounds are classified as alkaloids (amines and amides; indole derivatives), steroids, terpenoids (sesquiterpenes, diterpenes, monoterpenes), isocoumarin derivatives, quinones, flavonoids, phenylpropanoids and lignans, peptides, phenol and phenolic acids, aliphatic compounds, and chlorinated metabolites [25]. The antagonistic activity of endophytes associated with antibiosis is described for different cultures, like potato [26, 27] and turmeric rhizome [28].
Alkaloids are an important group of metabolites produced by endophytes; some characterized classes are ergot alkaloids, diterpene indole, pyrrolizidines, and peramine. These compounds have important biological activity (antitumor, antimicrobial), including the reduction of insect performance [10, 13]. The resistance of chickpeas (Cicer arietinum) colonized by endophytic Streptomyces spp. against Sclerotium rolfsii is attributed to the production of phenols and flavonoids by the endophyte [29]. Nematicide compounds such as 4-vinylphenol, methionine, piperine, and palmitic acid were evidenced to have high concentrations in soybean colonized by Bacillus simplex [30].
The need for nutritional factors, like carbon, nitrogen, and iron, may also promote biological control. Direct parasitism is a fungus-fungus antagonism, in which one directly attacks another and utilizes its nutrients [31]. This kind of control, independent of a systemic defense response, was observed with the colonization of previously endophyte-free leaves of Theobroma cacao that significantly decreases necrosis in the local of inoculation when challenged with Phytophthora sp. [32]. Endophyte colonization can directly control a phytopathogen even without inducing defense mechanisms such as PR-proteins, like evidenced by the control of Trichoderma stromaticum over Moniliophthora perniciosa [33]. A scanning electron microscope showed that the Trichoderma endophytes cause deformities in the mycelia of Pythium aphanidermatum and Rhizoctonia solani, such as hyphal fragmentation, perforation, lysis, and mycelial degeneration [28]. A strain of Trichoderma harzianum showed in vitro growth contact points that suggest mycoparasitic activity against Fusarium solani [34]. Endophytic and epiphytic fungi isolated from fruits of organic Olea europaea were able to inhibit mycelial growth, germination, and sporulation and cause pathogenic hyphae abnormalities of Colletotrichum acutatum, particularly at mycelial contact [35]. In addition, endophytic fungi from Pachystachys lutea, mainly Diaporthe sp. perform antagonistic activity against Colletotrichum spp. and Fusarium oxysporum, in which contact interactions of the endophyte with the pathogen predominated [36].
Competition and direct parasitism require endophyte-pathogen contact, but those microorganisms have very little to no direct contact with the plant. Because of this, contact mechanisms are not the most important biological control pathway [4].
3. Plant growth promoters
Endophytic bacteria promote plant growth directly or indirectly: directly, producing phytohormones or enzymes [37, 38] and indirectly, contributing to plant nutrient uptake through nitrogen fixation, phosphate solubilization, or iron transformation [39, 40]. For this, the inoculant competes with an adapted indigenous microbiota; therefore, for the colonization of plant, some bacterial characteristics are important, such as motility and polysaccharide production [41, 42, 43, 44].
Ethylene and indole-3-acetic acid (IAA) are phytohormones that are involved in almost all aspects of plant growth and development, from seed germination to shoot growth, and they control the response of the plant to stress [45, 46]. Plant growth is promoted by reducing ethylene levels and increasing IAA. Biotic and abiotic stresses result in increased ethylene production in plants, leading to inhibition of root elongation, lateral root development, and root hair formation. Plant-associated microorganisms can increase root growth and budding of plants by reducing ethylene levels [47]. The endophytic bacteria can produce an enzyme called 1-aminocyclopropane-1-carboxylate (ACC) deaminase, which hydrolyzes ACC, an ethylene immediate precursor, relieving stress and improving the growth of plants under disturbed conditions [42, 48, 49]. An inoculum from Burkholderia phytofirmans with the gene responsible for producing mutated ACC deaminase was unable to promote root growth of canola. The reintroduction of the ACC deaminase gene restored the microorganism’s ability to promote plant growth, highlighting the importance of the enzyme in promoting host plant growth [48]. On the other hand, the IAA is an auxin, a growth hormone that promotes differential cell elongation and functions as the plant growth regulator. Besides being produced by plants, IAA may also be produced by root-associated bacteria, such as Enterobacter spp., Pseudomonas spp., and Azospirillum spp. [50].
Endophytic bacteria can benefit the host by producing cytokines and gibberellins. Corn endophytic bacteria, Azospirillum lipoferum, produce gibberellin, which is important in relieving plant stress [51]. Similarly, extracts of two endophytic bacteria from Gynura procumbens, Pseudomonas resinovorans, and Paenibacillus polymyxa presented cytokines [52].
Nitrogen is the most important nutrient for plant growth and productivity. Although abundant in the atmosphere, it is not available to plants. For this, it requires to be transformed by a biological nitrogen fixation (BNF) process in which N2 is converted to NH3 by bacteria expressing nitrogenase, such as Burkholderia spp., Azoarcus sp., Gluconacetobacter diazotrophicus, Herbaspirillum sp., Azospirillum brasilense, and Paenibacillus sp. [53, 54, 55]. Nitrogen-fixing endophytes outperform rhizosphere microorganisms in this process allowing plants to thrive even in nitrogen-limited soil environments, promoting plant health and growth [56]. Endophytic nitrogen-fixing bacteria can also increase the buildup and the nitrogen fixation rate in plants residing in soils with nitrogen limitation.
Phosphorus is an important micronutrient for the enzymatic reactions of plant physiological processes [57]. Although present in large quantities, most of the soil phosphorus is insoluble and therefore unavailable to the plant. In addition, almost 75% of phosphorus applied as fertilizer forms complexes in the soil, which prevents its absorption by the vegetable [58]. The endophytic bacteria can increase soil phosphorus availability to plants by solubilizing precipitated phosphates through mechanisms of acidification, chelation, ion exchange, and the production of organic acids [59]. They can also increase the availability of phosphorus in the soil by secreting acid phosphatase, which can mineralize organic phosphorus [60]. Furthermore, endophytic bacteria can prevent phosphate adsorption and fixation under phosphate-limiting conditions and assimilate solubilized phosphorus [61]. Studies show that endophytic populations of cactus, strawberry, sunflower, soybean, and other legumes have the ability to solubilize phosphate [62, 63, 64]. A study examined the role of phosphate-solubilizing endophytic bacteria in cactus cultivation and observed that inoculated plants grew well without added nutrients and that their growth was comparable to fertilized plants. This indicates that endophytic bacteria provide the limiting nutrient to seedlings [65].
Iron is a component of proteins that control physiological processes such as respiration and transpiration [66]. Generally, it occurs in the ferric insoluble form, unavailable to the plants. The endophytic bacteria produce iron chelators called siderophores that may bind to insoluble ferric ions allowing this nutrient uptake by plants [66, 67, 68]. The action of bacterial-produced siderophores has already been correlated with the growth of cultivars such as corn, including shoot and root biomass [69], and on tomato development in hydroponic crops [70].
The ability to promote plant growth by endophytic bacteria may be influenced by host genotype [71]. However, many endophytic bacteria can have a wide range of hosts, such as B. phytofirmans, which promote growth of Arabidopsis thaliana, grapes, corn, potatoes, grass, tomatoes, and wheat [72, 73, 74]. Similarly, the bacterial genotype also influences the capacity and potential of stimulatory effects over host plants. For example, the individual ability of different B. phytofirmans strains to promote growth of a single potato cultivar [75] and the plant colonization by different Salmonella enterica isolates were observed [76]. Therefore, colonization and growth promotion of plants by endophytic bacteria are active processes controlled by genetic factors of both partners.
4. Bioremediators
The prompt development of agriculture has made it possible to increase the food supply all over the world. However, the intensification of agricultural activities brought serious environmental impacts, which not only affect food security but also have impacts on socioeconomic aspects. These impacts comprise contribution to air pollution, impacts on land, waste of water, loss of biological and ecological diversity, and perturbation of global biogeochemical cycles. The pollutants generated by agricultural activities can affect the global or local scale. An example of global-scale agro-environmental problem is the increase in atmospheric concentrations of the greenhouse gasses (GHG) and carbon dioxide (CO2) through deforestation and nitrous oxide (N2O) arising from crop production. Agriculture is the largest water consumer and the main source of nitrate, ammonia, and phosphate pollution. These pollutants affect the local scale; some examples are the salinization of irrigated lands and the buildup of nitrate fertilizer residues in groundwater and surface water [77, 78, 79, 80, 81].
Most of the negative environmental impacts generated by the intensification of agricultural activities can be reduced or prevented [77]. The use of new technological approaches, physicochemical- or biological-based, could remove pollutants from nature. Biological-based methods are preferred due to the low cost and because they are less harmful to the environment. Atlas and Pramer [82] defined the term bioremediation as “the use of biological agents to reclaim soils and waters polluted by substances hazardous to human health and/or the environment.” In other words, bioremediation is a biological-based method involving the use of living organisms, such as plants or microorganisms (bacteria, fungi, and algae), to remove pollutants from the environment [83].
Degradation of pollutants by a microorganism demands favorable conditions of nutrients, temperature, pH, and oxygen. Bacteria and fungi are commonly used in bioremediation strategies, because they are ubiquitous and capable in withstanding different environmental conditions, so they can be used for a broader range of application. There are two main mechanisms of bioremediation: biosorption and bioaccumulation. Biosorption involves sequestration of pollutants thought binding onto surfaces, such as the cell wall. Bioaccumulation involves transport and accumulation of pollutants in the cells and, in some cases, the transformation of pollutants into less harmful compounds [78, 83]. The degradation of target pollutants can also be achieved by employing nonliving subcellular entities of biological origin as bioremediators [84]. To overcome the instability due to the rapid decline in the inoculated cell amount during its competition with indigenous microorganisms, some authors have proposed solutions. For example, a new strategy for the efficient removal of phenylurea herbicides from contaminated soil uses transgenic plants. Transgenic Arabidopsis thaliana plants expressing a bacterial N-demethylase (PdmAB) that demethylated isoproturon were constructed. The synergistic relationship between the transgenic plant and Sphingobium sp., which is capable of mineralizing the intermediate of isoproturon excreted from the transgenic plant in the rhizosphere, is an innovative strategy of treatment [85].
Endophytes can remove pollutants by employing either the biosorption or the bioaccumulation mechanisms [83, 86, 87, 88, 89, 90]. They have the ability of decreasing and/or removing contaminants from soil, water, sediments, and air. Endophytic fungi have a great potential to manage toxic pollutants; many studies report those fungi to clean up environmental pollutants, such as white rot fungi like Phanerochaete chrysosporium that can degrade pesticides, dyes, and xenobiotics [91, 92]. There are several examples of endophytic microorganisms with promising applications in bioremediation [93]. As an example, symbiotic fungal endophytes from agricultural, coastal, and geothermal native grasses colonized tomato plants and conferred disease, salt, and heat tolerance, respectively. Coastal plant endophyte colonized rice and conferred salt tolerance. In addition, coastal and geothermal plant endophytes conferred drought tolerance to monocot and eudicot hosts [88]. In leguminous plants including soybean, salinity is correlated with poor yield and reduction in plant growth [94]. Basidiomycetous endophytic fungus Porostereum spadiceum was reposted to produce six types of gibberellins that reduce the effects of salinity in soybean by modulating endogenous phytohormones of the seedlings [95].
Heavy metals are one example of pollutants generated by agricultural activity that bioremediators can remove. The use of some pesticides and fertilizers can introduce into the environment copper (Cu), and some insecticide and herbicides can contain lead (Pb). Fungi have emerged as potential biocatalysts to access heavy metals and transform them into less toxic compounds [92, 96]. Endophytic fungi isolated of Portulaca oleracea growing in metal-contaminated soils increased the biomass Brassica napus. The results indicated that the endophytic fungus strain had the potential to remove heavy metals from contaminated water and soils [97]. Bioremediation of Pb-contaminated soil occurs by cultivation of Solanum nigrum combined with Mucor circinelloides [22]. Endophyte isolates from Phragmites also showed potential to metal tolerance and absorption of Cu, Pb, and chromium (Cr) [98].
Phytoremediation is the process that uses plants associated with microorganisms to remediate contaminants from soil, sludge, sediments, wastewater, and groundwater [92, 96]. Plants naturally harbor endophytes that may have natural tolerance and adaptation toward the pollutants. Studies explored the potential of using endophytes associated with plants for removal of pollutants in this process of phytoremediation [86, 88, 96, 99]. Plants growing in metal-contaminated soils accumulate the pollutant consumed directly or indirectly by humans and animals [100, 101]. Besides the human risk, polluted soil slows plant growth and reduces the biomass accumulation, compromising some crop productivity [102, 103]. Endophytic fungi resistant to different metals, including cadmium, lead, zinc (Zn), chromium, manganese (Mn), and cobalt (Co), are associated with plant species present in contaminated sites, indicating that these microorganisms have metal bioremediation potential [83, 97, 98, 99, 104, 105]. Chromium toxicity influences a number of processes that can lead to low yield. The accumulation of Cr from industrial activities in soil is a serious threat to some crops [106, 107, 108]. To minimize the Cr effects from contaminated soils, it is possible to use plants that harbor endophytic fungi that act as bioremediators. In experiments, strains of Aspergillus fumigatus, Rhizopus sp., Penicillium radicum, and Fusarium proliferatum isolated from healthy plants were able to remove Cr from soil and culture media as well as biotransform it from highly toxic hexavalent to least toxic trivalent form, instead of simply storing it. Roots of Lactuca sativa colonized by those endophytes restored its normal growth into Cr-contaminated soil, making them potential candidates as biofertilizer in Cr-contaminated soil. Likewise, Rhizopus sp. and F. proliferatum reduced the translocation of Cr to the leaves, making it safer for human consumption [102]. Other biofertilizer candidates to be used in fields affected with heavy metals are the endophytic Mucor sp. MHR-7 that presented tolerance to chromium, manganese, cobalt, copper, and zinc by biotransformation and/or accumulation of those metals in its hyphae. Co-cultivation of MHR-7 reduced in 90% the Cr absorption and promoted growth in mustard cultivation [103].
Studies reported the use of Mucor sp. in another remediation strategy called phytoextraction. Phytoextraction refers to the removal of heavy metal from the soil through their uptake by a metal-accumulating plant. One limitation is the long growth cycle of those plants. One strategy is to combine plants with endophytes that promote stress tolerance to toxicity and high biomass accumulation, increasing metal accumulation in plant tissues. Oilseed rape plants combined with Mucor sp. strains promoted stress tolerance to Cd and Pb, increasing biomass of plants and reducing the concentrations of those metals in the soil [109]. Similar results were found using the fungal endophyte Peyronellaea associated with maize under heavy metal stress [110], and the Microsphaeropsis sp. strain isolated from Solanum nigrum has also been studied for their biosorption capacity of cadmium [111]. Mercury volatilization and bioaccumulation of this metal in plant tissues mediated by endophytic fungi were demonstrated with Aspergillus sp. A31, Curvularia geniculata P1, Lindgomycetaceae P87, and Westerdykella sp. P71 on maize and Aeschynomene fluminensis [112].
Similar to metal pollutants, triphenylmethane (TPM) dyes are water-soluble organic compounds extensively used in industrial processes and have adverse effects on living organisms. TPM is phytotoxic for several cultivated plants, such as Sorghum bicolor, Triticum aestivum, Vigna radiata, Lemna minor, and Zea mays [83]. A Diaporthe sp. endophyte presented biosorption and biodegradation potential on TPM dyes. The microorganism removed TPM dyes through biodegradation and biosorption [113]. Other endophytes, Pleurotus ostreatus, Polyporus picipes, and Gloeophyllum odoratum, also demonstrate potential to remove TPM dye [114, 115].
5. Conclusion
Endophytic microorganisms are inestimable natural resources for solving problems in different areas such as human health, veterinary, industrial and ecological systems, and agronomy. In contrast to current agricultural practices that degrade systems and produce food with high concentrations of various contaminants, endophytes are a sustainable alternative to increase crop productivity. For this, they can be exploited by the ability to control pests, to promote plant growth, and by the bioremediation potential. This is possible because these microorganisms are able to induce resistance mechanisms in the host, release compounds with biological activity, compete for space and nutrients with pathogens, provide nutritional elements present in the soil, stimulate the production of phytohormones and cytokines, and neutralize the presence of pollutants in the system. Ultimately, bioprospecting and the use of endophytes in agriculture are a viable alternative to the need of increased food production with quality and sustainably.
Acknowledgments
The authors would like to acknowledge CAPES (Coordenação de Aperfeiçoamento de Pessoal de Nível Superior), Brazil.
\n',keywords:"endophyte, agriculture, biological control, plant growth promoter, inoculant, bioremediator",chapterPDFUrl:"https://cdn.intechopen.com/pdfs/71430.pdf",chapterXML:"https://mts.intechopen.com/source/xml/71430.xml",downloadPdfUrl:"/chapter/pdf-download/71430",previewPdfUrl:"/chapter/pdf-preview/71430",totalDownloads:266,totalViews:0,totalCrossrefCites:0,totalDimensionsCites:0,hasAltmetrics:0,dateSubmitted:"October 23rd 2019",dateReviewed:"February 12th 2020",datePrePublished:"March 12th 2020",datePublished:"June 17th 2020",dateFinished:null,readingETA:"0",abstract:"The endophytic microorganisms have the potential to improve the yield of agricultural crops. They can be used as biological control, plant growth promoter, or bioremediators. The action of endophytes in controlling phytopathogens, insects, and weeds that harm agriculture may be the result of microbial interactions with other organisms or the production of bioactive metabolites. Also, microorganisms can have the ability to favor plant growth and convert toxic compounds present in the soil. The presence of pollutants in the substrate reduces its quality for plant development, so bioremediation also impacts agricultural production. Therefore, prospecting endophytic microorganisms with agronomic potential may provide sustainable alternatives to increase crop yield.",reviewType:"peer-reviewed",bibtexUrl:"/chapter/bibtex/71430",risUrl:"/chapter/ris/71430",book:{slug:"sustainable-crop-production"},signatures:"Fabiana Tonial, Francine Falcão de Macedo Nava, Ana Luisa Gayger and Talita Bernardon Mar",authors:[{id:"314027",title:"Dr.",name:"Fabiana",middleName:null,surname:"Tonial",fullName:"Fabiana Tonial",slug:"fabiana-tonial",email:"fabianatonial@upf.br",position:null,institution:null},{id:"314247",title:"Mrs.",name:"Francine",middleName:null,surname:"Falcão De Macedo Nava",fullName:"Francine Falcão De Macedo Nava",slug:"francine-falcao-de-macedo-nava",email:"175522@upf.br",position:null,institution:{name:"Universidade de Passo Fundo",institutionURL:null,country:{name:"Brazil"}}},{id:"314248",title:"Mrs.",name:"Ana Luisa",middleName:null,surname:"Gayger",fullName:"Ana Luisa Gayger",slug:"ana-luisa-gayger",email:"anna.luisa1995@hotmail.com",position:null,institution:{name:"Universidade de Passo Fundo",institutionURL:null,country:{name:"Brazil"}}},{id:"314249",title:"Dr.",name:"Talita",middleName:null,surname:"Bernardon Mar",fullName:"Talita Bernardon Mar",slug:"talita-bernardon-mar",email:"talitabernardon@gmail.com",position:null,institution:{name:"Universidade de Passo Fundo",institutionURL:null,country:{name:"Brazil"}}}],sections:[{id:"sec_1",title:"1. 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Endophytes from Phragmites for metal removal: Evaluating their metal tolerance, adaptive tolerance behaviour and biosorption efficacy. Desalination and Water Treatment. 2016;57:6959-6966. DOI: 10.1080/19443994.2015.1013507'},{id:"B99",body:'Fu X-Y, Zhao W, Xiong A-S, Tian Y-S, Zhu B, Peng R-H, et al. Phytoremediation of triphenylmethane dyes by overexpressing a Citrobacter sp. triphenylmethane reductase in transgenic Arabidopsis. Applied Microbiology and Biotechnology. 2013;97:1799-1806. DOI: 10.1007/s00253-012-4106-0'},{id:"B100",body:'Wang S, Shi X. Molecular mechanisms of metal toxicity and carcinogenesis. In: Shi X, Castranova V, Vallyathan V, Perry WG, editors. Molecular Mechanisms of Metal Toxicity and Carcinogenesis. Boston, MA: Springer US; 2001. pp. 3-9'},{id:"B101",body:'Clemens S, Ma JF. Toxic heavy metal and metalloid accumulation in crop plants and foods. Annual Review of Plant Biology. 2016;67:489-512. DOI: 10.1146/annurev-arplant-043015-11230'},{id:"B102",body:'Bibi S, Hussain A, Hamayun M, Rahman H, Iqbal A, Shah M, et al. Bioremediation of hexavalent chromium by endophytic fungi; safe and improved production of Lactuca sativa L. Chemosphere. 2018;211:653-663. DOI: 10.1016/j.chemosphere.2018.07.197'},{id:"B103",body:'Zahoor M, Irshad M, Rahman H, Qasim M, Afridi SG, Qadir M, et al. Alleviation of heavy metal toxicity and phytostimulation of Brassica campestris L. by endophytic Mucor sp. MHR-7. Ecotoxicology and Environmental Safety. 2017;142:139-149. DOI: 10.1016/j.ecoenv.2017.04.005'},{id:"B104",body:'Sun L, Cao X, Li M, Zhang X, Li X, Cui Z. Enhanced bioremediation of lead-contaminated soil by Solanum nigrum L. with Mucor circinelloides. Environmental Science and Pollution Research. 2017;24:9681-9689. DOI: 10.1007/s11356-017-8637-x'},{id:"B105",body:'An H, Liu Y, Zhao X, Huang Q , Yuan S, Yang X, et al. Characterization of cadmium-resistant endophytic fungi from Salix variegata Franch in three gorges reservoir region, China. Microbiological Research. 2015;176:29-37. DOI: 10.1016/j.micres.2015.03.013'},{id:"B106",body:'Tchounwou PB, Yedjou CG, Patlolla AK, Sutton DJ. Heavy metal toxicity and the environment. In: Luch A, editor. Molecular, Clinical and Environmental Toxicology: Volume 3: Environmental Toxicology. Basel: Springer Basel; 2012. pp. 133-164'},{id:"B107",body:'Gill RA, Ali B, Cui P, Shen E, Farooq MA, Islam F, et al. Comparative transcriptome profiling of two Brassica napus cultivars under chromium toxicity and its alleviation by reduced glutathione. BMC Genomics. 2016;17:885. DOI: 10.1186/s12864-016-3200-6'},{id:"B108",body:'López-Bucio J, Hernández-Madrigal F, Cervantes C, Ortiz-Castro R, Carreón-Abud Y, Martínez-Trujillo M. Phosphate relieves chromium toxicity in Arabidopsis thaliana plants by interfering with chromate uptake. Biometals. 2014;27:363-370. DOI: 10.1007/s10534-014-9718-7'},{id:"B109",body:'Zhu S-C, Tang J-X, Zeng X-X, Wei B-J, Yang S-D, Huang B. Isolation of Mucor circinelloides Z4 and Mucor racemosus Z8 from heavy metal-contaminated soil and their potential in promoting phytoextraction with Guizhou oilseed rap. Journal of Central South University. 2015;22:88-94. DOI: 10.1007/s11771-015-2498-6'},{id:"B110",body:'Shen M, Liu L, Li D-W, Zhou W-N, Zhou Z-P, Zhang C-F, et al. The effect of endophytic Peyronellaea from heavy metal-contaminated and uncontaminated sites on maize growth, heavy metal absorption and accumulation. Fungal Ecology. 2013;6:539-645. DOI: 10.1016/j.funeco.2013.08.001'},{id:"B111",body:'Xiao X, Luo S, Zeng G, Wei W, Wan Y, Chen L, et al. Biosorption of cadmium by endophytic fungus (EF) Microsphaeropsis sp. LSE10 isolated from cadmium hyperaccumulator Solanum nigrum L. Bioresource Technology. 2010;101:1668-1674. DOI: 10.1016/j.biortech.2009.09.083'},{id:"B112",body:'Pietro-Souza W, de Campos Pereira F, Mello IS, Stachack FFF, Terezo AJ, Cunha CN, et al. Mercury resistance and bioremediation mediated by endophytic fungi. Chemosphere. 2020;240:124874. DOI: 10.1016/j.chemosphere.2019.124874'},{id:"B113",body:'Ting ASY, Lee MVJ, Chow YY, Cheong SL. Novel exploration of endophytic Diaporthe sp. for the biosorption and biodegradation of triphenylmethane dyes. Water, Air, & Soil Pollution. 2016;227:109. DOI: 10.1007/s11270-016-2810-6'},{id:"B114",body:'Przystaś W, Zabłocka-Godlewska E, Grabińska-Sota E. Biological removal of azo and triphenylmethane dyes and toxicity of process by-products. Water, Air, & Soil Pollution. 2012;223:1581-1592. DOI: 10.1007/s11270-011-0966-7'},{id:"B115",body:'Gangadevi V, Muthumary J. Isolation of Colletotrichum gloeosporioides, a novel endophytic taxol-producing fungus from the leaves of a medicinal plant, Justicia gendarussa. Mycologia Balcanica. 2008;5:1-4. DOI: 10.1.1.457.1000'}],footnotes:[],contributors:[{corresp:"yes",contributorFullName:"Fabiana Tonial",address:"fabianatonial@upf.br",affiliation:'
Passo Fundo University, Passo Fundo, Brazil
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1. Definition of risk
Risk is defined in terms of uncertain events which may have positive or negative effect on the project objectives. Risks include circumstances or situations, the existence or occurrence of which, in all reasonable foresight, results in an adverse impact on any aspect of the implementation of the project. Various definitions of risks are presented in Table 1.
The combination of a probability of an event and its consequences
3
Association of Project Management Body of Knowledge [1]
Project Risk is an uncertain event or condition, that, if it occurs, has a positive/negative effect on project objectives. A risk has a cause and if it occurs, a consequence.
4
British Standard BS IEC 62198:2001
Combination of probability of an event occurring and its consequences on project objectives
5
www.business.dictionary.com/definition/risk.html
A probability or threat of damage, injury, liability, loss, or any other negative occurrence that is caused by external or internal vulnerabilities and that may be avoided through preemptive action.
“A chance or possibility of danger, loss, injury or other adverse consequences” and the definition of risk is “exposed to danger.” However, taking risk can also result in positive outcome. A third possibility is risk related to uncertainty of outcome.
Risk has been interpreted as Risk = hazard × exposure where Hazard is defined as the way in which a thing or situation can cause harm and exposure as the extent to which the likely recipient of the harm can be influenced by the hazard
Table 1.
Definitions of risk.
2. Classification of risks
Classification and definition of risks is furnished in Table 2.
Risk
Definitions
Pure risk
A risk which has chance of loss or no loss. Example. A building may get affected by fire or not. These are best covered by insurance
Speculative risk
Involves chance of gain/loss. Example. A builder may take a risk by promoting a new venture depending upon the prevailing conditions in the vicinity of proposed project, but it may bring him gain/loss.
Fundamental risk
These are external to a project and which, if they materialise, would be on a large scale and cannot be prevented. These risks are associated with major natural, economic, political or social changes and generate large scale losses. Examples are: Floods, earthquakes, fluctuation of exchange rates, etc. This risk may or may not be insurable.
Particular risk
These are project specific risks and are identified within the parameters of a project and can be controlled during the implementation of a project, e.g. quality risks, safety risks, legal risks, etc.
Table 2.
Classification of risks and their definitions.
Source: Project Risk Management, D Van Well-Stam et al., Kogan Page Publications, 2003.
3. Introduction to risk management
Risk management is a planned and a structured process aimed at helping the project team make the right decision at the right time to identify, classify, quantify the risks and then to manage and control them. The aim is to ensure the best value for the project in terms of cost, time and quality by balancing the input to manage the risks with the benefits from such act. It is just a cost benefit analysis.
Risk management is a continuous process which is to be implemented in any project from inception to completion. However, in order to realise its full potential, risk management should be implemented at the earliest stage of a project, i.e. feasibility design and construction. Risk is an uncertain event or condition that, if occurs, has a positive or negative effect on a project’s objectives. Components of risk are the probability of the occurrence of an event and the impact of the occurrence of that event. There are many sources of uncertainty in construction projects, which include the performance of construction parties, resources availability, contractual relations, etc. because of which, construction projects face problems that cause delay in the project completion time. Success of a project is measured by its ability to get completed within the budgeted cost and time. These goals are interrelated where each parameter has an impact when other parameters get affected. An accurate cost estimating and scheduling should be performed in order to meet the overall budget and time deadline of a project. As such, risk management becomes an integral part of construction management which intends to identify and manage potential and unforeseen risks during the period of implementation of the project; hence, the necessity of risk management [5].
4. Definitions of risk management
Definitions of risk management are presented in Table 3.
Sl. no
Definition of risk management
1
https://en.wikipedia.org/wiki/Risk_management Risk Management is the identification, evaluation, and prioritization of risks followed by coordinated and an economical application of resources to minimise, monitor, and control the probability or impact of unfortunate events [6] or to maximize the realization of opportunities.
2
Nadeem Ehsan et al., 2012 Risk Management in a project involves the identification of influencing factors which could have negative impact on the the cost, schedule and quality objectives of the project and quantification of impact of potential risk and implementation of mitigation measures to minimise the potential impact of risk
3
Bahamid et al., 2017 Risk Management is defined as organized and comprehensive method tailored towards “ organizing”, “identifying” and “responding” to risk factors in order to achieve project goals.
4
www.stakeholdermap.com/risk/risk-management-construction Risk Management in construction consists of planning, monitoring and implemeting the measures needed to prevent exposure to risk. To do this, it is necessary to identify the hazards, assess the extent of risks, provision of measures to control the risks and to manage residual risk
5
www.vp-projects.kau.edu.sa Risk management is a systematic method of identifying, analysing, treating and monitoring the risks that are all involved in any activity/ process and is a systematic method that minimises the risks which may be an impediment to attainment of objectives
6
Cleden [4] Risk is exposure to the consequences of uncertainty. In a project context, it is the chance of something happening that will have an impact upon objectives. It includes the possibility of loss or gain, or variation from a desired or planned outcome, as a consequence of the uncertainty associated with following a particular course of action. Risk thus has two elements: the likelihood or probability of something happening, and the consequences or impacts if it does.
7
Project Risk Management, D Vanwell-Stam, Kogan Page India publications, 2004 The entire set of activities and measures that are aimed at dealing with risks in order to maintain control over a project
8
www.gpmfirst.com/risk.management-construction Risk Management is a means of dealing with uncertainty – identifying sources of uncertainty and the risks associated with them, and then managing those risks such that negative outcomes are minimized (or avoided altogether), and any positive outcomes are capitalised upon.
9
Risk Management in Construction Projects by NICMAR [2] Risk Management is the planned and structured process of bringing the project team make the right decisions at the right time by identifying, classifying and quantifying the risks and then for managing and controlling them,
10
Dr Patrick et al., 2006 retrieved from feaweb.aub.edu.lb Risk Management is “a systematic way of looking at areas of risk and consciously determining how each should be treated. It is a management tool that aims at identifying sources of risk and uncertainty, determining their impact, and developing appropriate management responses”
11
http://economictimes.indiatimes.com/definition/risk-management Risk Management refers to the practice of identifying potential risks in advance, analysing them and taking precautionary steps to reduce/curb the risk.
Table 3.
Definitions of risk management.
5. Importance of risk management in construction projects
Construction projects are extremely complex and fraught with uncertainty. Risk and uncertainty can potentially have damaging consequences for the construction projects. Hence, risk analysis and risk management has come to be a major feature of the project management in construction projects. Construction projects are unique, inherently complex, dynamic and risks emanate from multiple sources. The interests of individuals and organisations who are actively involved in a construction project may be positively or negatively affected depending upon the course which a project takes from concept to completion. Multiple stakeholders with varied experience and skills have different expectations and interests in the project which creates problems for smooth execution of the project. Risk management is a concept which many construction companies have never thought of, despite the fact that, the risks can be better controlled if they are identified in the first instance and a well-structured mitigation mechanism is in place. Risk management helps the key project participants namely the client, contractor/developer, consultant and supplier to meet their commitments and to minimise negative impacts on construction project performance in relation to cost, time and quality objectives. Success of a construction project is associated with three aspects of time, cost and quality outcomes.
Successful commissioning of any project, necessarily calls for sound planning on various fronts and getting the project executed in a competent manner. An organisation executing a project would have to reckon with the various risks to which the project may be exposed to and these have to be managed effectively. The construction industry, being vulnerable is potentially more prone to risks and uncertainties than any other industry. The process of taking a project from the conceptual stage to its final completion and putting into operation is quite complex and entails painstaking process at every stage. Construction industry is highly fragmented in that each of its participants—designers, constructors, planners, suppliers, etc. can be highly skilled in their own area and yet there is no clear perspective as to how all the players can come on the same platform for achieving the objectives.
Construction industry is also dependent on quality of its people rather than technology. The increasing technological complexity and more complex interdependencies and perpetual shortage of resources namely materials, equipment, technical/supervisory staff, finance, etc. calls for a comprehensive risk management framework which will insulate the risks of the participants to a great extent.
Given the nature of the construction sector, risk management is an extremely important process. It is most widely used in such of those projects where susceptibility to risks is very high and is characterised by planning, monitoring and controlling the risks in a more structured and formal manner. The most efficient method of identifying the risks is to study a project of similar size which was executed in the recent past which gives an insight into the failure/success of the project. In order to be sure that the project objectives are met, the portfolio of risks associated with all stakeholders should be considered across the project life cycle (PLC). In later stages, risk management when applied systemically helps to control those critical elements which can negatively impact project performance. Keeping track of identified threats will result in early warnings to the project manager if any of the objectives, time, cost or quality, are not being met. There are a plethora of risks which are to be identified in the construction industry and which can be faced in each construction project at any point of time regardless of its size and scope. Frequent change in scope is one of the major risks in any construction project. If revised scope or design is implemented, it can have effect in the form of additional resources of time and cost. Early project completion may be as troublesome as delays in a schedule. Completing too early which may be a result of insufficient planning or design problems can lead to a low quality of final product and increased overall cost. Thus it is important to keep a balance in the concept of time–cost-quality trade-off, which more widely is becoming an important issue for the construction sector. Risks may vary depending on the project scope, types and are to be treated accordingly.
Risk identification, the first step in the risk management process is usually informal and is performed in various ways, depending on the organisation and the project team. Identification of risks relies mostly on past experience and study of similar executed projects. This being a preliminary stage, a combination of tools and techniques may be used to identify the risks in any project. Here are many methods that fit specific types of challenges and projects especially at identification stage. Risks and threats may be difficult to eliminate, but when they have been identified, it becomes easy to take actions and have control over them. Risk management will be more effective if the source of the risks have been identified and allocated before any problems occur. The main purpose of risk management is that the stakeholders should prepare for potential problems that can occur unexpectedly during the course of a project. Risk management will not only facilitate anticipating problems in advance, but also preparing oneself for the potential problems that may occur unexpectedly. Handling potential threats is not only a way to minimise the losses within a project, but also a way to transform risks into opportunities which can lead to economic and financial profitability. The purpose of identifying risks is to obtain a list of risks which has got the potential to have a cascading effect on the progress of project and different techniques are applied for managing/mitigating the same. In order to find all potential risks which might impact a specific project, different techniques are applied. The project team should use a method they are familiar with so that the exercise will be effective. Effective identification of risks is the first step to a successful risk management.
Parameter
Methodology
Documentation reviews
A structured review of project documentation, study of history of execution of similar projects and quality of plans as well as the consistency between those plans and project requirements/ assumptions would be an indicator of risks in the project
Information gathering techniques
Brainstorming
Delhi technique
Checklist analysis
Cause and effect diagram
Questionnaires
SWOT analysis
Expert judgement
Table 4.
Identification of risks: tools and techniques.
6.1.1 Risk identification techniques
Tools and techniques for risk identification are presented in Table 4.
Various risks that confront a construction industry are not limited to and include financial, economical, political, legal environmental, technical, contractual, planning/scheduling, design, quality operational labour, stakeholder safety and security, logistics and construction.
6.2 Risk assessment
Risk assessment is the second stage in the risk management process where collated data is analysed for potential risks. Risk assessment is described as short listing of risks starting from low impact highest impact on the project, out of all threats mentioned in the identification phase. Risk assessment consists of qualitative risk assessment and qualitative risk assessment.
6.2.1 Qualitative risk assessment
This involves registration of identified risks in a formal manner. A risk register is used for formalising this process which is not limited to the following
Classification and reference
Description of the risk
Relationship of the risk to other risks
Potential impact
Likelihood of occurrence
Risk response/mitigation strategy
Allocation of risks to stakeholders.
6.2.1.1 Classification and reference
Classification is an aid to identifying the source of risk. Examples are furnished below (Table 5).
Risk
Classification
Environmental
Site conditions, health and safety issues at site
Contractual
Client, contractor, sub-contractor, etc.
Design
Planning permission, preliminary and detailed design, etc.
Table 5.
Classification of risk and its reference.
Referencing refers to unique reference number given for each of the identified risks.
6.2.1.2 Description of the risk
This involves giving a brief description of the risk. The description must be unique in order to avoid confusion with similar risks in the risk management process.
6.2.1.3 Relationship to other risks
In any project, it is extremely rare that any activity is independent of activities which occurs concurrently or consequentially and this will always be the case for risks also for successful implementation of risk management,
6.2.1.4 Potential impact (I)
Impact of risk on a project is measured in terms of cost and quality. Since this assessment is done at an early stage of the project, information may not be available to accurately predict the impact of risk on the project. At this stage, the risk is classified suitably and accordingly high impact risks are to be given more fundamental consideration than that of medium/low/negligible risks by ranking the impact of risks on a scale of 1 (low) to 10 (high).
6.2.1.5 Likelihood of occurrence (P) and calculation of risk factor (RF)
Based on intuition and experience, the likelihood of occurrence (P) of risks and its impact (I) is to be given on a suitable scale ex. 1–10 (1 refers to low probability and 10 refers to high probability). The risk factor for each of the identified risks is calculated by the formula RF = P + I – (P*I) (where the values of P and I are brought on a scale of 0–1 by dividing the values with 10).
6.2.1.6 Risk response/mitigation strategy
This action is taken to reduce, eradicate or to avoid the identified risks. The most common among the risk mitigation methods are risk avoidance, risk transfer, risk reduction and risk sharing. Based on the competency in handling the risks, the identified risks are allocated to respective stakeholders who will be responsible for addressing those risks.
6.3 Quantitative risk assessment
This risk assessment is normally taken for such of those risks which are classified are high/critical/unmanageable as per the qualitative risk assessment. The purpose of this assessment is to find the amount of contingency to be inserted in the estimate for the risks undergoing this assessment so that in case the risks occur, there would be sufficient budgeted amount to overcome the extra expenditure.
Quantitative methods need a lot of analysis to be performed. This analysis should be weighed against the effort and outcomes from the chosen method. Complex and larger projects require more in depth analysis as compared to projects which are small in size. The purpose of carrying out quantitative analysis is to estimate the impact of a risk in a project in terms of scope, time, cost and quality. The suitability of this analysis is more for medium and large projects as these projects have more complex risks as compared to smaller projects.
The detailed quantitative assessment of risk is the one which is identified as risk analysis. In undertaking quantitative assessment, the potential impact of risks in terms of time, cost and quality is quantified. While preparing the estimate, it is generally split into two distinct elements, namely (1) base estimate of those items which are known and a degree of certainty exists and (2) contingency allowance for all uncertain elements of a project. Historically, contingencies have been calculated on a rule of thumb basis varying from 5 to 10% on risk-free base estimate. By adopting risk management approach, contingencies are set up to reflect realistically the risks that are inherent in the project. When used correctly, contingency allowances ensure that expenditure against risks is controlled. The methods for quantitative risk assessment are described below.
6.3.1 Scenario technique: Monte Carlo simulation
The Monte Carlo method is based on statistics which are used in a simulation to assess the risks. This is a statistical technique whereby randomly generated data is used within predetermined parameters and produce realistic project outcomes. The overall project outcome is predicted by randomly simulating a combination of values for each risk and repeating the calculation a number of times and all outcomes are recorded. After completing the simulations required, the average is drawn from all of the outcomes, which will constitute the forecast for the risk. It is important to realise that parameters and appropriate distribution within which the random data is simulated is itself a series of subjective inputs. Accurate and realistic project outcomes will not be generated if inaccurate parameters are set. Different scenarios are generated by simulation are used for forecasting, estimations and risk analysis. Data from already executed projects is normally collected for simulation purpose. The data for variables is presented in terms of pessimistic, most likely and optimistic scenarios depending upon the risks encountered, i.e. pessimistic value means lot of risks and optimistic value means least risks. The result from this method is a probability of a risk to occur is often expressed as percentage. The most common way of performing the Monte Carlo simulation is to use the program Risk Simulator Palisade Software, where more efficient simulations can be performed.
6.3.2 Modelling technique: sensitivity analysis
This is a method used to demonstrate the variable impact on the whole caused by a change in one or more element or risk. It is used to test the robustness of choices made where rankings have been established, particularly when those rankings are considered to be marginal. It can identify the point where variation in one parameter will affect decision making. A typical method for carrying out sensitivity analysis is by use of a spider diagram which shows the areas in the project which are the most critical and sensitive The higher the level of uncertainty a specific risk has, the more sensitive it is concerning the objectives. In other words, the risk events which are the most critical to the project are the most sensitive and appropriate action needs to be taken (Heldman, 2005). Disadvantage with this analysis is that the variables are considered separately, which means that there is no connection between them (Perry, 1986 and Smith et al.. 2006). The method requires a project model in order to be analysed with computer software. According to Smith et al. (2006), the project stands to be benefited if the analysis is carried out in the initial phases of a project in order to focus on critical areas during the execution of the project.
6.3.3 Decision tree
Decision tree analysis is commonly used when there is sequence of interrelated possible courses of action and future outcomes in terms of time and cost. This method of analysis is commonly used when certain risks have an exceptionally high impact on the two main project objectives, i.e. time and cost. Where probabilities and values of potential outcomes are known or can be estimated, they are used for quantification to provide a more informed basis for decision making. Each decision process expected value (EV) which forms the basis for decision making process. A sample problem on decision tree is given in Table 6.
Method
Design time (months)
Construction period in months and probabilities
Total time (construction period + design time) (months)
This can be depicted in the form of decision trees and the expected value (EV) in terms of time for each of the three scenarios is furnished. The least of this i.e. construction management will be preferred since it consumes less time.
6.3.4 Multiple estimating using risk analysis
Multiple estimating using risk analysis (MERA) attempts to provide a range of estimates. These are presented as risk free base estimate, average risk estimate (ARE) and maximum likely risk estimate (MLRE). ARE is the sum of risk free base estimate and average risk allowance and MLRE is the sum of ARE and maximum risk allowance.
MERA attempts to finds a level i.e. the estimate that has a 50% chance of being successful. This is known as average risk estimate (ARE) which is found out by multiplying the average allowance with average probability of occurrence. Maximum risk allowance is found out by multiplying the maximum allowance with maximum probability of occurrence of that risk. This is added to ARE to get MLRE which is the estimate that has 90% chance of not being exceeded.
6.3.5 Quantitative risk assessment: outputs
The output of quantitative risk assessment is presented in Table 7.
Parameter
Outputs
Probabilistic Analysis of project
Estimates are made of potential project schedule and cost outcomes listing the possible completion dates and costs with their confidence levels. This output is described as cumulative distribution and also risk tolerances for permitting quantification of cost and time contingency reserves. Contingency reserves bring the risk of overshooting stated project objectives to acceptable levels to the organisation
Prioritised list of quantified risks
This list includes risks that pose the greatest threat or present the greatest opportunity in a project. These risks also have the greatest impact on cost contingency
Trends in quantitative risk analysis results
As the risk analysis is repeated, a trend becomes apparent that leads to conclusions affecting risk responses, Historical information on project’s schedule, cost, quality and performance reflects new insights gained through quantitative process. This takes the form of quantitative risk analysis report.
Table 7.
Quantitative risk assessment: outputs.
6.4 Risk response planning
The risk response will be in the form of mitigation by adopting necessary strategies in respect of positive and negative risks which is furnished below (Tables 8–10).
Risk mitigation strategy
Description
Risk avoidance
Risk avoidance involves changing the project management plan to eliminate the threat entirely. The project manager may isolate the project objectives that are in jeopardy. Examples: (a) Extending the schedule of an activity; (b) Changing the strategy or reducing the scope of work; (c) Changes in clauses of contract regarding abnormal price rise of any material or dealing with extra quantum of work.
Risk transfer
Risk transfer requires shifting some or all of the negative impact of a threat along with ownership of the response to a third party. Examples are
Risk transferred to Consultant
Design Risk, technical Risk and Foundations for all major structures
Risk transferred to Insurance Company
Security of materials at site, Fire Hazards, Boiler operations, safety of electrical rooms, loss in Turbines and Generators, Unforeseen Risks, etc.
Risk reduction
Risk reduction implies reduction in the probability and consequence of an adverse risk event to be within acceptable threshold limits. Conducting detailed tests or choosing a more stable supplier are some examples. Risk reduction is adopted where the resultant increase in costs is less than the potential loss that could be caused by the risk being mitigated. Examples are:
Preparedness to tackle any natural disaster
Detailed site investigation where adverse ground conditions are known to exist but the full extent is not known. A detailed ground investigation was performed upon which an estimate was prepared.
Contingency planning
Removal of engineering/structural barriers
Strengthening the quality assurance procedures
Paying higher amount than recommended by Govt for land acquisition
Design as per standards
Risk acceptance
This strategy is adopted when it is not possible to eliminate all risks from a project. This strategy indicated that the project team had decided not to change the project management plan or is unable to identify any other suitable response strategy. This requires no action except to document the strategy leaving the project team to deal with risks as they occur
Table 8.
Strategies for mitigating negative risks.
Risk mitigation strategy
Description
Exploit
This strategy is selected for risks with positive impacts where the organisation wishes to ensure that the opportunity is realised. This strategy seeks to eliminate the uncertainty associated with a particular risk by ensuring that the opportunity is exploited. Examples are assigning the most talented resources of the organisation to the project to reduce the time for completion or providing at a lower cost than originally planned
Share
Sharing a positive risk involves allocating some or all of the ownership of the opportunity to a third party capable of capturing the opportunity for the benefit of the project. Risk sharing, joint ventures, etc. are examples of this strategy
Enhance
This strategy is used to enhance the positive impact of an opportunity. Identifying and maximising key drivers of risks may increase their probability of occurrence. Examples are adding more resources to an activity for completing it before scheduled time
Accept
Accepting an opportunity means willing to take advantage if it comes along, but not pursuing it actively.
Contingent response strategies
Some responses are designed for implementation only if certain events occur. It is appropriate for the project team to prepare a contingency response plan that will be executed under certain predefined conditions if there will be sufficient warning to implement the plan
Expert judgement
Expert judgement is from knowledgeable individuals pertaining to the actions to be taken on a specific and a defined risk.
Table 9.
Risk mitigation strategies for positive risks/opportunities.
Source: Project Risk Management, Van Well Stam et al. 2008.
Sl. No
Contents
1
Identified risk. Their descriptions, areas of project affected, their causes and how they affect project objectives
2
Risk owners and assigned responsibilities
3
Prioritised list of project risks based on the outputs from quantitative analysis reports
4
Agreed upon response strategies and specific actions taken to implement the strategy
5
Triggers, symptoms and warning signs of risks occurrence
6
Fallback plans as a reaction to a risk that has occurred and primary response proved to be inadequate
7
Contingency reserves to be calculated based on quantitative risk analysis of the project and the threshold risk of the organisation.
Table 10.
Contents of risk response: outputs.
6.5 Monitoring and controlling risks: inputs
Inputs to monitoring and controlling of risks are presented in Table 11.
6.5.1 Monitoring and controlling risks: tools and techniques
Tools and Techniques for monitoring and controlling risks are furnished in Table 12.
Parameter
Inputs
Risk register
The key inputs to risk register includes identified risks and owners of risk, agreed upon risk responses, specific actions to be implemented, symptoms/warning signs of any risk, residual/secondary risks, list of low priority risks and contingency measures in terms of time/cost
Risk management plan
The risk management plan should contain risk tolerances, assignment of manpower including bearer of risk, time and other resources to project risk management
Work performance information
Work performance information related to various performance results is to be quantified in terms of deliverable status, schedule progress and costs incurred.
Performance reports
Performance reports will be analysed for variance analysis, earned value data and forecasting the likely date of completion of project
Monitoring and controlling of risks will result in identification of new risks, reassessment of current risks and closing of risks that are not a threat to project. Project risk assessment is to be performed regularly. The frequency and depth of assessment depends on how the project progresses relative to the objectives.
Risk audits
The purpose of risk audits is to examine and document the effectiveness of risk responses in dealing with identified risks and their root causes as well as effectiveness of the risk management process meetings. A separate risk audit meeting may be held or it may be included in routine project review meetings.
Earned value analysis
Variance analysis is done by comparing the planned results with actual. Trends in execution of a project are reviewed using performance information and based on earned value analysis, deviation from cost and schedule targets is determined which may indicate potential impact of threat/opportunities.
Technical performance measurement
This measures technical accomplishments during project execution and will help in forecasting degree of success in achieving the project scope and it may expose the degree of technical risk faced by the project
Reserve analysis
This compares the amount of contingency reserves available at any time to the amount of risk remaining in the project to determine whether the reserves are adequate
Status meetings
Project risk management should be an agenda item at all status review meetings. The amount of time for any item will depend on risks that have been identified, their priority and difficulty of response. Frequent discussions about risk make it more likely that concerned stakeholders will identify risks and opportunities.
Table 12.
Monitoring and controlling risks: tools and techniques.
To maximise the efficiency of risk management, the risk management process should be continuously developed during the entire project.
The benefits from risk management finally go to the stakeholders involved. A clear understanding and awareness of potential risks in the project contributes to better management of risks by suitable mitigation techniques. Another benefit of working with risk management is increased level of control over the whole project and more efficient problem solving processes which can be supported on a more genuine basis
Risk management when conducted effectively, reduce sudden surprises. The advantage with risk management is that the stakeholders are aware as to the risk that they have to bear among all the risks that have been identified in a project and can prepare themselves accordingly, should any eventuality occur. No doubt, this formal exercise may translate into extra cost for an activity, but if taken in holistic manner, the benefits will far outweigh the costs. This has another advantage in that there is no passing of buck as risks are either shared/retained or transferred depending upon the ability of the stakeholder to handle the risk. The three approaches to risk management are normally risk natural firm which does not invest much in risk management but is still aware of important risk, risk averse firm where no investments are made and the last one is risk seeker wherein the organisation is prepared to face all risks and is often called gambler. The outcome of the objectives of project naturally depends upon the path adopted by the firms in their approach to risk management.
8. Conclusions
The fact that there are manifold risks which can be identified in any construction project is explained by their size and complexity. Bigger the project is, the larger the number of potential risks that may be faced.
Occurrence of risk is stimulated by several factors. Most often the risks faced in any project are financial, environmental (surrounding location of project and overall regulations), time, design and quality. The technology used for construction and the internal environment also contributes to risk which can have substantial bearing on the outcome of a project.
Risks are directly proportional to complexity of a project. Bigger and more complex a project is, the more resources are required to complete it. In spite of identifying all potential risks, there might be more potential threats. Therefore, the project team should not solely focus on management of those identified risks but also be alert for any new potential risks which may arise during execution.
Risk management is a tool for managing risks in a project and a project manager should be prepared for managing uncertainties not included in a risk management plan.
Effective management of risky project demands rapid and realistic predictions of alternative courses of action and positive decision making and requires flexible attitudes and procedures.
Perception of severity and frequency of occurrence of risk is to be done in tandem between the stakeholders. This will eliminate lot of unnecessary correspondence as well as misunderstanding and friction between the stakeholders
Insurance is just one aspect of risk mitigation and it cannot absorb all the risks. Insurance is project specific and it should be taken as per the needs of client/contractor. Other ways of risk mitigation needs to be explored.
Adoption of good project management practices like proper planning and implementation, willingness of stake holders to share the risks in the project is essential for success of a project
Executing a complex project requires meticulous planning, i.e. planning to the smallest details, and this can be achieved through concerted dedication from the concerned stakeholders.
Risks are to be thoroughly studied and understood before bidding for the project.
Special care should be taken regarding the seasonal variation of labourers, so that the construction activities does not get delayed due to shortfall in manpower resources during execution, which can have adverse effects on cost and time
Proper risk allocation techniques should be framed between the stakeholders so that in the event of occurrence of a risk, this will eliminate doubts as to which stakeholder should address the risk
Given its complexity, risk management is a very important process in construction projects. It is most widely used in those projects which exhibits high level of uncertainty. Formal planning, assessment and monitoring/control process characterises risk management in such projects.
Risk management procedures should be initiated in the early stages of the project where planning and contracting of work, together with the preliminary capital budget are being chalked out. In later stages, Risk management applied systemically, helps to control those critical elements which can have negative impact on project performance.
Keeping track of identified threats, will result in early warnings to the project manager if any of the objectives, time, cost or quality, is being met or not.
Risks in complex construction projects can be mitigated by entering into various agreements like execution, operation/maintenance, etc.
Proper risk strategy formulation and research is necessary based on real life experiences so that identification of potential risks and providing solutions can produce effective and efficient risk strategies to overcome impacts of risk events.
Risk identification is the first step in the risk management process. It means that the identification of risks which is informal relies mostly on past experience of similar executed projects and that of advice from experts. There are a good number of methods for identifying the risks in a project and a combination of methods may be used for identification of risks in a project.
Handling potential threats is not only a way to minimise losses within the project, but also a way to transform risks into opportunities, which can lead to economical profitability and finally, .it is suggested that if risks are given due care at all stages of the project, stakeholders will be showered with manifold benefits subsequent to commissioning of project
\n',keywords:"risk management, risk assessment, risk mitigation",chapterPDFUrl:"https://cdn.intechopen.com/pdfs/64630.pdf",chapterXML:"https://mts.intechopen.com/source/xml/64630.xml",downloadPdfUrl:"/chapter/pdf-download/64630",previewPdfUrl:"/chapter/pdf-preview/64630",totalDownloads:1163,totalViews:1768,totalCrossrefCites:0,dateSubmitted:"April 19th 2018",dateReviewed:"August 8th 2018",datePrePublished:"March 8th 2019",datePublished:"April 17th 2019",dateFinished:null,readingETA:"0",abstract:"Cost saving and timely performance are of utmost importance to all stakeholders who are involved in a construction project that is owner, contractor, consultant and subcontractor. The prime causes of risks in construction projects involve delay and failure to complete the work at specified cost and within the agreed time frame. Unexpected delays in construction projects are caused by internal and external environments embedding several risk factors which may occur concurrently. The cost overrun and schedule overrun not only influence the construction industry’s completion of a project but can also have profound effect on the economy of a country. Even though the failure of the construction projects to get completed within the budgeted cost and time has received attention by researchers, lot more need to be researched as to what can be done to have tight leash on construction projects so that they can be brought on track. In order to meet the stiff deadlines involving complexity of construction projects, the scheduling of projects should be flexible enough to accommodate changes without negatively affecting the overall project cost and duration. This chapter deals with Perspectives on Risk Assessment and Management Paradigms as applicable to any project in general and construction industry in particular.",reviewType:"peer-reviewed",bibtexUrl:"/chapter/bibtex/64630",risUrl:"/chapter/ris/64630",signatures:"K. Srinivas",book:{id:"7573",title:"Perspectives on Risk, Assessment and Management Paradigms",subtitle:null,fullTitle:"Perspectives on Risk, Assessment and Management Paradigms",slug:"perspectives-on-risk-assessment-and-management-paradigms",publishedDate:"April 17th 2019",bookSignature:"Ali G. Hessami",coverURL:"https://cdn.intechopen.com/books/images_new/7573.jpg",licenceType:"CC BY 3.0",editedByType:"Edited by",editors:[{id:"108303",title:"Prof.",name:"Ali G.",middleName:null,surname:"Hessami",slug:"ali-g.-hessami",fullName:"Ali G. Hessami"}],productType:{id:"1",title:"Edited Volume",chapterContentType:"chapter",authoredCaption:"Edited by"}},authors:[{id:"255339",title:"Prof.",name:"K",middleName:null,surname:"Srinivas",fullName:"K Srinivas",slug:"k-srinivas",email:"ksrinivasap@gmail.com",position:null,institution:null}],sections:[{id:"sec_1",title:"1. Definition of risk",level:"1"},{id:"sec_2",title:"2. Classification of risks",level:"1"},{id:"sec_3",title:"3. Introduction to risk management",level:"1"},{id:"sec_4",title:"4. Definitions of risk management",level:"1"},{id:"sec_5",title:"5. Importance of risk management in construction projects",level:"1"},{id:"sec_6",title:"6. Risk management process",level:"1"},{id:"sec_6_2",title:"6.1 Identification of risks",level:"2"},{id:"sec_6_3",title:"6.1.1 Risk identification techniques",level:"3"},{id:"sec_8_2",title:"6.2 Risk assessment",level:"2"},{id:"sec_8_3",title:"Table 5.",level:"3"},{id:"sec_8_4",title:"Table 5.",level:"4"},{id:"sec_9_4",title:"6.2.1.2 Description of the risk",level:"4"},{id:"sec_10_4",title:"6.2.1.3 Relationship to other risks",level:"4"},{id:"sec_11_4",title:"6.2.1.4 Potential impact (I)",level:"4"},{id:"sec_12_4",title:"6.2.1.5 Likelihood of occurrence (P) and calculation of risk factor (RF)",level:"4"},{id:"sec_13_4",title:"6.2.1.6 Risk response/mitigation strategy",level:"4"},{id:"sec_16_2",title:"6.3 Quantitative risk assessment",level:"2"},{id:"sec_16_3",title:"6.3.1 Scenario technique: Monte Carlo simulation",level:"3"},{id:"sec_17_3",title:"6.3.2 Modelling technique: sensitivity analysis",level:"3"},{id:"sec_18_3",title:"Table 6.",level:"3"},{id:"sec_19_3",title:"6.3.4 Multiple estimating using risk analysis",level:"3"},{id:"sec_20_3",title:"Table 7.",level:"3"},{id:"sec_22_2",title:"6.4 Risk response planning",level:"2"},{id:"sec_23_2",title:"6.5 Monitoring and controlling risks: inputs",level:"2"},{id:"sec_23_3",title:"Table 11.",level:"3"},{id:"sec_26",title:"7. Benefits with risk management",level:"1"},{id:"sec_27",title:"8. Conclusions",level:"1"}],chapterReferences:[{id:"B1",body:'Association of Project Management Body of Knowledge. Retrieved from: http://www.cs.bilkent.edu.tr/~cagatay/cs413/PMBOK.pdf'},{id:"B2",body:'Banaitiene N, Banaitis A. Risk Management in Construction Projects. Retrieved from: https://cdn.intechopen.com/pdfs/38973/IntechRisk_management_in_construction_projects_pdf'},{id:"B3",body:'Chicken JC, Posner T. The Philosophy of Risk, Vol. 21. London: Thomas Telford; 1998'},{id:"B4",body:'Cleden D. Managing Project Uncertainty, 1st ed. Great Britain: Gower Publishing Ltd; 2009'},{id:"B5",body:'Cooper D, Grey S, Raymond G, Walker P. Project Risk Management Guidelines—Managing Risk in Large Projects and Complex Procurements. Wiley Publishers; 2005. ISBN 9780470022825'},{id:"B6",body:'De Marco A, Thaheem MJ. Risk analysis is construction projects—A practical selection methodology. American Journal of Applied Sciences. 2014;11(1):74-84'},{id:"B7",body:'Institute of Risk Management. Retrieved from: https://www.theirm.org/media/886059/ARMS_2002_IRM.pdf'},{id:"B8",body:'Adams J. 1995. Retrieved from: http://www.john-adams.co.uk/wp-content/uploads/2017/01/RISK-BOOK.pdf'},{id:"B9",body:'Hopkin P. Fundamentals of Risk Management. 5th ed. Great Britain: Kogan Page Limited; 2013'},{id:"B10",body:'Project Management Institute. Guide to Project Management Body of Knowledge. 4th ed. USA: PMI; 2008. ISBN 978-1-933890-51-7'},{id:"B11",body:'Risk Management. India: School of Distance Education, National Institute of Construction Management and Research'}],footnotes:[],contributors:[{corresp:"yes",contributorFullName:"K. Srinivas",address:"ksrinivasap@gmail.com",affiliation:'
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Openness - We communicate honestly and transparently. We are open to constructive criticism and committed to learning from it.
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