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Loss Assessment for Sustainable Industrial Infrastructure: Focusing on Bridge Construction and Financial Losses

Author

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  • Ji-Myong Kim

    (Department of Architectural Engineering, Mokpo National University, Mokpo 58554, Korea)

  • Taehui Kim

    (Department of Architectural Engineering, Mokpo National University, Mokpo 58554, Korea)

  • Sungjin Ahn

    (Department of Architectural Engineering, Mokpo National University, Mokpo 58554, Korea)

Abstract

Bridges are important infrastructures for urban growth and the economic development of a country, because bridges allow a large volume of logistics and transportation by connecting rivers, canyons, islands and lands. As such, massive resources including financial, material and human resources are invested for bridge construction and management. However, although the latest bridge construction is undergoing rapid development of new technologies and designs, the management and prevention of risks still tend to rely on qualitative practices, which, as a result, calls for more quantified and systematic measurement and, thus, more sustainable management of potential risks. As part of efforts in managing risks to achieve quantitative risk management, this study aimed to predict losses of financial resources by identifying statistically significant risk factors based on the past record of insurance claim payouts (compensation for a loss that occurred as a result of a material damage in bridge construction projects) from a major insurance company in Korea, and conducted a multiple regression analysis to identify the loss indicators and to develop a loss estimation model. The statistical analysis confirmed that superstructure types, superstructure construction methods, and construction duration are the three significant risk factors that affects financial losses of bridge construction projects among the seven variables adopted as independent variables, which included the superstructure type, maximum span length, superstructure construction method, foundation type, floods, typhoons, and construction duration. Such findings, and the consequentially developed risk prediction model of this study, will contribute to sustainable construction management through cost reduction by predicting and preventing the future financial loss factors of bridge construction.

Suggested Citation

  • Ji-Myong Kim & Taehui Kim & Sungjin Ahn, 2020. "Loss Assessment for Sustainable Industrial Infrastructure: Focusing on Bridge Construction and Financial Losses," Sustainability, MDPI, vol. 12(13), pages 1-16, July.
    • Handle: RePEc:gam:jsusta:v:12:y:2020:i:13:p:5316-:d:378864
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    References listed on IDEAS

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    Cited by:

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    2. Junseo Bae & Sang-Guk Yum & Ji-Myong Kim, 2021. "Harnessing Machine Learning for Classifying Economic Damage Trends in Transportation Infrastructure Projects," Sustainability, MDPI, vol. 13(11), pages 1-12, June.
    3. Juan Du & Wenxin Wang & Xinghua Gao & Min Hu & Haili Jiang, 2023. "Sustainable Operations: A Systematic Operational Performance Evaluation Framework for Public–Private Partnership Transportation Infrastructure Projects," Sustainability, MDPI, vol. 15(10), pages 1-26, May.
    4. Ji-Myong Kim & Kwang-Kyun Lim & Sang-Guk Yum & Seunghyun Son, 2022. "A Deep Learning Model Development to Predict Safety Accidents for Sustainable Construction: A Case Study of Fall Accidents in South Korea," Sustainability, MDPI, vol. 14(3), pages 1-17, January.
    5. Ji-Myong Kim & Junseo Bae & Seunghyun Son & Kiyoung Son & Sang-Guk Yum, 2021. "Development of Model to Predict Natural Disaster-Induced Financial Losses for Construction Projects Using Deep Learning Techniques," Sustainability, MDPI, vol. 13(9), pages 1-12, May.
    6. Ji-Myong Kim & Kag-Cheon Ha & Sungjin Ahn & Seunghyun Son & Kiyoung Son, 2020. "Quantifying the Third-Party Loss in Building Construction Sites Utilizing Claims Payouts: A Case Study in South Korea," Sustainability, MDPI, vol. 12(23), pages 1-13, December.
    7. Ralf Dethlefsen & Luisa Orlik & Martin Müller & Aristomenis K. Exadaktylos & Stefan M. Scholz & Jolanta Klukowska-Rötzler & Mairi Ziaka, 2022. "Work-Related Injuries among Insured Construction Workers Presenting to a Swiss Adult Emergency Department: A Retrospective Study (2016–2020)," IJERPH, MDPI, vol. 19(18), pages 1-16, September.

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