Abstract
M.Tech. (Construction Management)
The construction industry is characterized by an array of risks that can hinder construction
managers in the fulfilment of the objectives of a construction project. If these risks are not
properly evaluated before the commencement of a construction project, they could lead to
project abandonment. This has been one of the major problems of the developing nations’
construction industry. Nigeria is one such nation. Hence, this study was focused on the Nigerian
construction industry and how the industry players have been able to respond to risks that occur
during construction projects.
This study evaluated the factors that affect the management of construction risks in the
Nigerian construction industry, the methods of risk management adopted by the industry
players in the management of construction risks in Nigeria, the effectiveness of these methods
and the extent to which the factors that influence risk management affect the Nigeria
construction industry. This study adopted a questionnaire approach in collecting primary data.
These questionnaires were distributed to construction professionals located in Lagos, Port
Harcourt and the Federal Capital Territory (FCT) which happen to be cities in Nigeria where
construction work is prominent. A total of 200 questionnaires were administered through
Google Forms. Out of the total, 150 completed questionnaires were validated as sufficient to
answer the research questions and test whether the research objectives had been met. This
represents a 75% response rate. So as to ensure the reliability of the data gathered through the
questionnaire, a Cronbach’s alpha coefficient reliability test was carried out. Data obtained
were analysed using descriptive statistics and exploratory factor analysis (EFA).
Further analysis carried out on the data using exploratory factor analysis to determine the
correlation and reliability of the factors revealed that construction project managers should
ensure that the history, team size, delivery time, management stability, experience and
availability of resources are checked before the commencement of any project as this reduces
the occurrence of risk. Factor analysis was also carried out on the remaining research questions
and a general conclusion was reached, namely that the Nigerian construction industry is seen
to adopt industry best practices in construction risk management through the use of identifying,
assessing, responding, and control processes. The study recommends that practitioners in the
industry need to increase the awareness of risks related to construction projects and to ensure
its members are trained and updated with evolving construction risks and their management.
Also, a certifying body should be put in place that regulates the activities of construction
practitioners in the country so to ensure proper conformance to the laid down standards.