RISK MANAGEMENT AND PROJECTS SUCCESS: A CASE OF UMUCYO REAL ESTATE CONTRACTOR IN KIGALI, RWANDA

Abstract

The main objective of this research project was to assess the role of project risk management on construction projects success in Rwanda a case study of Umucyo Real Estate Contractor project of RSSB. The study was focusing on specific problems such as to find out risk management practices applied by Umucyo Real Estate Contractor project, and level of performance and assessing the relationship between risk management and project success. The study used both descriptive and analytical study design. The target population was 65 RSSB staff employed in divisions that are closely related to the area of research such as institutional planning, real estate, portfolio management, finance, and quality assurance and internal audit. Others informants were also included such as engineers, site works and Guriro sector authorities. Others sources also used engineers, managers of Contractor Company. The sample size was 56 employees was calculated using Sloven’s formula.

Materials and Methods: This study used Network Theory and Portfolio Theory. Self-administered questionnaires, and Data collection instruments were both primary and secondary, which included questionnaires; interview guide and documentary review and a purposive sampling technique were used. Data were analyzed Using computer software called Statistical Package for Social Scientists (SPSS) version 2.1. An interview was conducted to collect data from the respondents that consisted of project managers, and supervisors.

Results: The study established that there existed a positive relationship between risk management strategies and project success Umucyo Real Estate Contractor. The research realized the importance of risk management practices in project management to achieve process success. Projects managers apply risk management effectively and efficiently the study revealed that all elements of risk management had appositive relationship with project performance at a significance level of 0.01. Results further indicate that project risk management practices had a very strongly positive correlation with project performance (sig: 0.000 < 0.001).

Conclusion: Based on findings we can conclude that risk management practices have contributed to Umucyo Real Estate Contractor project success as shown by inferential statistics, where Chi-Square was used to indicate whether there is high relationship.