PROJECT RISK MANAGEMENT AND PROJECT PERFORMANCE IN NATIONAL REFERRAL HOSPITALS IN KENYA
Abstract
National referral hospitals in Kenya face significant challenges related to project performance, particularly in the management of healthcare infrastructure and services. Despite their critical role, many of these institutions encounter issues with project execution, leading to delays, cost overruns, and suboptimal outcomes. Ministry of health statistics reveal that over 40% of healthcare projects in Kenya’s national referral hospitals exceeded their budgets by more than 30%, and over 35% faced delays of six months or more. This study therefore sought to assess the influence of project risk management on project performance in national referral hospitals in Kenya. Specifically, the study sought to determine the effect of project risk control on project performance in national referral hospitals in Kenya and to assess the effect of project risk communication on project performance in national referral hospitals in Kenya. In this study, a descriptive research design was employed. The total target population was therefore 280 respondents comprising of 35 top managers, 105 middle managers and 140 lower level managers. The Yamane formula was adopted to calculate the study sample size. Therefore, the study sample size was 165 respondents. The stratified random sampling method was adopted to select the study sample size. This study 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 was used to test the relationship between study variables. The significance of the model was tested at 5% level of significance. Data was analysed using Statistical Package for Social Sciences (SPSS) software. The study results were presented through use of tables and figures. From the findings the study concludes that project risk control has a significant effect on project performance in national referral hospitals in Kenya. The study also concludes that project risk communication has a significant effect on project performance in national referral hospitals in Kenya. Based on the findings the study recommends that the management of national referral hospitals should adopt a data-driven approach that leverages advanced analytics and real-time monitoring.
Key Words: Project Risk Management, Project Performance, National Referral Hospitals, Project Risk Control, Project Risk Communication
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