Risk-Based Development Plan for Subsidized Housing

Proceedings of The 5th International Conference on Business, Management and Finance

Year: 2022

DOI:

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Risk-Based Development Plan for Subsidized Housing

Bella Anggini Putri, Erman Arif Sumirat

ABSTRACT: 

The property sector is the pillar of the economy, but there is a huge gap between housing needs and the number of existing houses. The existence of this gap has made the government launch the One Million Houses program, for low-income people. The million houses program then became a new opportunity for developers because of the subsidies scheme provided by the government. The existence of economic potential with a clear target market made new developers emerge, such as PT MJP. In the process of building subsidized housing, developers experience various challenges, both internal and external. PT MJP has difficulty finding new locations that hinder business processes. This research was conducted with the aim of identifying what risks are the most influential in the development of subsidized housing and mitigation. The conceptual framework used is ISO: 31000 Risk Management to identify, analyze, evaluate and mitigate. The Analytical Hierarchy Process is used to convert qualitative assessments of stakeholders into quantitative ones so that the weight of the assessment is measurable. The value of the risk level obtained becomes the basis for developing a risk management framework.

keywords: analytical hierarchy process, government program, ISO 31000 risk management, property, real estate developer.