Risk Management Practices and Project Performance at Kenya Airports Authority
Abstract
Project performance has gained prominence as a distinctive concept in management that is used in driving the objectives of the business alongside the economic agenda of a country that is still developing like Kenya. The current environment of business is characterized by various turbulences and cut throat competitive forces. These dynamics and competition are triggered by changes in technology, globalization, customers who are additionally requesting and more elevated levels of vulnerability which have resulted in challenges in organizational administration than previously. In some cases, the project deliverables fail even before they are handed over to the project sponsor while many others fail during the project liability period. Delays in completion, upward revaluation of project costs, poor quality workmanships and premature termination of major government projects are common phenomena in Kenya and are a major concern to researchers, project sponsors, contractors and other stakeholders and cast a major doubt whether the government is able to guarantee value for money to the tax-payers. It was on this background that this examination expected to survey the effect of managing of risk tools on performance of project at Kenya Airport Authority. The study specifically ascertained the effect of risk identification, risk reporting, risk analysis and risk control on project performance at Kenya Airport Authority. Systems theory, goal orientation and contingency theories were utilized to reinforce the research. The examination plan for this investigation was descriptive. The research population was made up of 281 staff which were from KAA projects’ board division that have been dealing with various ventures at KAA throughout the previous 5 years. From this population, a sample of 141 staff was considered. The research relied on primary data collected through administering of the questionnaires. The analysis of research data was on the premised on inferential and descriptive (multiple regression analysis). Ethical considerations were duly complied with throughout the research. The study found that risk identification had significant effect on project performance at Kenya Airport Authority. The study found that risk reporting significantly affects project performance at Kenya Airport Authority. The study also found that risk analysis significantly contributes to project performance at Kenya Airport Authority. The study also documented that risk control is significant in predicting the project performance at Kenya Airport Authority. The study recommended that Kenya Airports Authority should put in place adequate institutional framework for effective identification of risks associated with projects. The study recommended that effective risk reporting channels be put in place so as to ensure timely communication of identified risks to management. It is further recommended that Kenya Airport Authority provides enabling environment for proper risk analyses. The study further recommended that effective tools for risk control should be put in place by Kenya Airport Authority.
Keywords: Risk Analysis, Risk Control, Risk Identification, Risk Management, Risk Management Practices, Risk Reporting, Project performance.
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