Year of Graduation
Logistics Cost Optimization Strategy within the Context of Risk Management in International Construction Projects by the Power of Siberia Gas Pipeline Case
This work considers the question of international construction projects logistics costs optimization taking into account management of corresponding risks using the case of "Power of Siberia" IGP construction. The launch and maintenance of such construction requires the mobilization and involvement of a huge amount of resources at the international level, and in case of change or cancellation it is irreversible for all partners in terms of financial and reputational losses. That is why decisions in such activities are strategic. The purpose of this paper is to develop and test an economically efficient model of reducing logistics costs by optimizing the supply chain, taking into account the growth and occurrence of new logistics risks, as well as the costs of their prevention or compensation of their consequences. The approach proposed in this work allows us to assess the economic feasibility and determine the limit of rational optimization of the logistics chain.