Risk Awareness for A/E/C Growth Professionals

A/E/C growth professionals may not see themselves as risk managers, but because risk is a given for any firm in our industry, marketers and business developers must understand where and how our firms are exposed to pitfalls, along with the implications. We bring greater value by having our radar tuned not only for opportunities, but for threats while networking and conducting research. By keeping our teams informed, we are helping to prevent unnecessary loss.

Risk mitigation in the built environment drives purchasing decisions, project delivery methods, hiring decisions, technology use, and contractual language. From banks to insurance companies, developers, contractors, architects, and engineers, to property owners and facilities managers, looking at risk through the framework of physical, regulatory, financial, operational, environmental, technological, legal, and external impacts can provide a thorough assessment of the risk landscape your firm faces. Each type of firm will see risk through a slightly different lens, depending on the role they play in project delivery.

Structural failure, foundation issues, seismic vulnerability, fire hazards, flooding, subsidence, building collapse, material defects, aging infrastructure, deterioration, weathering, and environmental degradation.

Code violations, permit issues, zoning restrictions, regulatory changes, compliance failures, inspection deficiencies, accessibility requirements, safety standards, environmental regulations, and building certifications.

Property valuation, market volatility, occupancy rates, rental yields, construction cost overruns, maintenance expenses, insurance premiums, depreciation, liquidity constraints, and financing risks.

Tenant turnover, vacancy periods, property management issues, utilities failures, security breaches, access control, business continuity, operational disruptions, and service interruptions.

Contamination, hazardous materials, asbestos, lead paint, mold, indoor air quality, noise pollution, waste management, energy efficiency, and sustainability compliance.

System failures, cybersecurity vulnerabilities, data breaches, telecommunications disruptions, HVAC malfunctions, elevator breakdowns, and smart building technology risks.

Premises liability, construction defects, contractor disputes, lease violations, title issues, easement problems, litigation exposure, and insurance gaps.

Natural disasters, climate change impacts, neighborhood decline, transportation disruptions, utility outages, and force majeure events.