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SIGNIFICANT RISK FACTORS IN CONSTRUCTION PROJECTS FROM CONTRACTOR'S PERSPECTIVE

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Author: 
GIDANMANA Philemon Usman
Country: 
Nigeria
Volume & Issue: 
Volume 02, Issue 10 October 2020
Page No: 
427-430
Abstract: 

Construction projects are associated with various risks which must be properly managed to achieve project success. Despite extensive research on managing risks in the construction industry, there are many significant risk factors which still hinder the achievement of project goals. Identification of these risk factors is critical to delivering successful projects. This study, therefore, seeks to investigate risk factors inhibiting success from contractors' perspective considering the key role contractors play in the success of a project. The scope of this study was limited to selected projects handled by renown contractors in Abuja, Nigeria's capital city. Data was collected using structured questionnaire survey distributed to these contractors. The respondents aligned themselves to the 25 common risk factors identified from literature and classified into five broad categories. Statistical approach was used for data analysis. The study found that the five most significant factors in construction projects are: shortage of materials, late delivery of materials, shortage of equipment, poor quality workmanship and cash flow difficulties. All five significant risk factors fall under two broad categories of 'construction' and 'finance'. The findings of this study enhance better understanding of risks and assist contractors deal with various risks encountered in construction projects.