PROJECT RISK MANAGEMENT PRACTICES AND PERFORMANCE OF AFFORDABLE HOUSING PROJECTS IN NAIROBI CITY COUNTY, KENYA

Ida Atieno Juma, Dr. Mary Kamaara

Abstract


This study sought to establish the influence of project risk management practices on performance of affordable housing projects in Nairobi city county, Kenya. Specifically, the study sought to examine the influence of risk analysis on performance of affordable housing projects in Nairobi city county, Kenya and to assess the influence risk control on performance of affordable housing projects in Nairobi city county, Kenya. The research used a cross-sectional survey design. The study targeted a total of 176 respondents comprising of projects managers and site engineers in charge of the seven ongoing affordable housing projects in Nairobi City County. Since the target population is small, the study used census method. This implies that all the 176 respondents participated in the study. This study also used questionnaire to collect data relevant to this study. Quantitative data collected was analyzed using descriptive statistical techniques which are frequencies, mean, standard deviation. Inferential statistics which include Pearson correlation and the Regression Analysis Model were used to test the relationship between study variables. The significance of the model was tested at 5% level of significance. The regression analysis revealed statistically significant associations between risk analysis, risk control, and the performance of affordable housing projects in Nairobi City County, Kenya. Risk analysis (β = 0.317, p < 0.001), and risk control (β = 0.386, p < 0.001) all exhibited positive and statistically significant effects on project performance, indicating their substantial influence. The model summary statistics further demonstrated a high level of explanatory power, with an R-squared value of 0.710, indicating that the regression model explained 71.0% of the variance in project performance. These findings highlight the critical role of comprehensive risk management practices in driving the success of affordable housing projects, emphasizing the need for their integration into project planning and execution strategies.

Key Words: Project Risk Management Practices, Risk Analysis, Risk Control, Affordable Housing Projects

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