An Assessment of Contractors’ Risk Management practices in Building Construction Projects: The case of Addis Ababa City Administration
| dc.contributor.advisor | Birhanu Denu (PhD) | |
| dc.contributor.author | Taye Melese | |
| dc.date.accessioned | 2024-03-13T11:22:28Z | |
| dc.date.available | 2024-03-13T11:22:28Z | |
| dc.date.issued | 2022-06 | |
| dc.description.abstract | By its very nature the construction industry is prone to risky situations that affect projects undertaken. Thus, there should be a risk management system to manage risks and ensure project objectives and thereby maintain success. In the process of running construction projects, often times, and contractors are challenged by .various risks that need to be addressed. This study was conducted with the aim to assess the risk management practices of contractors who are currently operating in Addis Ababa, and they are all engaged in Building Construction projects. It tried to identify the major construction risk factors and examine their level of severity on project objectives. The study also explored the different preventive and remedial methods used as well as the relative use of different risk management practices and the common risk analysis techniques employed by contractors. Two tools, questionnaire and interview, were employed to collect relevant data. The questionnaire was distributed to 39Level one contractors who were legally registered by Addis Ababa City Administration Building construction Permit Authority. For the data collected through questionnaire survey, the SPSS and relative importance Index were used for analysis. The results of the survey showed that the risk that belong to the major risk categories such as Physical, Design, Financial, construction and political were identified as high risk factors, and they affect construction projects significantly. Some of the risks identified from each category were: Poor safety procedures resulting into Accident Occurrence, Awarding the design to unqualified designers, Exchange rate fluctuation, Unrealistic Project Schedule, Lack of qualified & competent professionals and Changes in design. The finding showed that that contractors tend to use Avoiding risks as a method of risk prevention. Increasing the working hours was used as remedial method used by contractors. Also, the study identified that comparing Analysis which is comparing similar projects through similar conditions was the most used technique by contractors to analyze risks. However, the results from the interview discussion revealed that it is uncommon to analyze risks systematically. Risks are usually addressed after they happen, and contractors are often busy with fighting the fire instead of having advance precautions about the potential risk or threats. Based on the findings, the study recommended that risks that were identified as high in terms of their level of severity (such as the ones mentioned above) should be given attention in order to minimize the challenges building construction projects encounter and realize project objectives. For this to happen, there should be a well-established risk management system which considers risk as one of the major crucial components of construction projects. Besides, contractors should undergo proper professional training that targets risk preventative, Remedial and analysis techniques. | |
| dc.identifier.uri | https://etd.aau.edu.et/handle/123456789/2512 | |
| dc.language.iso | en_US | |
| dc.publisher | Addis Ababa University | |
| dc.title | An Assessment of Contractors’ Risk Management practices in Building Construction Projects: The case of Addis Ababa City Administration | |
| dc.type | Thesis |