Theorizing the path dependencies and hierarchical structure of the multidimensional risks in green building projects

Abstract

Green buildings are designed, constructed, and operated to reduce the consumption of energy, electricity, water, materials, and natural resources over the whole lifecycle. However, the added sustainability objectives expose green building (GB) projects to additional uncertainties and unpredictable risks. This paper conducted a systematic literature review to identify, categorize, and theorize the chain reactions of various risks in GB projects. Results revealed ninety-six (96) critical risk factors (CRFs) for GB projects. The study derived nine (9) broad taxonomies of the CRFs, including financial, material and equipment, design, technical, stakeholder, management, environmental, legal, and regulatory risks. These taxonomies parade different levels of criticalities based on mean citation scores. The five most persistent taxonomies include design, regulatory, material and equipment, financial, and technical risks. A Pareto analysis revealed sixty (60) vital CRFs for green building projects. The study developed a hierarchical structural model explaining how the various risks influence each other in GB projects. Therefore, this study not only provides a comprehensive list of CRFs, as frame of reference, for researchers and practitioners, but also can inform more efficient resource allocation and introduce novel perspectives for managerial practices in GB projects.