Effectiveness of Risk Management in NG-CDF Construction Projects in Nairobi County

Abstract

Globally, performance of a construction project is primarily judged by cost, time, and quality. Performance of any project is measured by the extent of meeting the standards laid down at the start of the project. Risk management has been conceptualized as having a great bearing on the outcome of projects. The purpose of this study was to investigate risk management in relation to performance of National Government Constituency Development Funded construction projects in Nairobi County. The objectives of the study included; to assessing the influence of resource risk management, to investigate the role of risk management procedures, to analyze the influence of risk management policies and finally to develop a framework for enhancing proper risk management in the CDF projects in Kenya. A survey research design was used. The study employed a probabilistic sampling technique of simple random sampling in data collection. The study found a positive correlation between NG-CDF construction projects performance and all its explanatory variables investigated in the study. The study established that Construction risk management is extremely critical for every company. Not knowing where there might be risks on a project leave companies vulnerable and ill-prepared. CDF risk management committee should therefore develop a risk management policy that is consistent with the risk management strategy and Explain the purpose, role and benefits of embedding risk management policy and procedures into firms’ policies and procedures.