Exploring the Efficiency of AI-Assisted Financial Risk Management for Residential Construction Projects: A Literature Review

The construction industry is integral to global development; however, the sector faces significant challenges led by uncertainties inherent in construction projects, particularly financial risks, including cost overruns and market fluctuations, which further complicate project management, impacting individual firms and the broader industry. Recent advancements in artificial intelligence (AI) have demonstrated the potential to revolutionize various sectors by enhancing operational efficiency, safety, and sustainability. Despite its promise, the construction industry has needed to catch up to adopt AI technologies, often due to the high risks and costs associated with new technologies and the industry’s reliance on established methods. This paper explores the current state of AI adoption in construction. This research aims to outline industry expert’s perceptions for integrating AI into construction projects and address the barriers to adoption. This study explored the potential of AI support systems in improving financial risk management in construction projects.