CYPRUS INTERNATIONAL UNIVERSITY INSTITUTE OF GRADUATE

STUDIES AND RESEARCH

THESIS APPROVAL CERTIFICATE

The thesis study of BUSINESS ADMINISTRATION Department graduate student AMINU

ABDULRAHMAN with student number ……….. Entitled “THE EFFECT OF PROJECT
MANAGEMENT PRACTICES ON PERFORMANCE OF CONSTRUCTION PROJECTS
IN NIGERIA” has been approved with unanimity/majority of votes by the jury and has been
accepted as a Master of Business Administration Thesis.

Thesis Defense Date: ______________________

Jury Members Signature

1. Supervisor __________________

Prof. Dr.__________________

2. Member __________________

Assoc. Prof. Dr. __________________

3. Member __________________

Assoc. Prof. Dr. __________________

Director of the Institute

Prof. Dr. Tahir ÇELİK

i
CYPRUS INTERNATIONAL UNIVERSITY INSTITUTE OF GRADUATE
STUDIES AND RESEARCH
PROJETAPPROVAL DOCUMENT

Aminu Abdulrahman [Student Number] from International Relations has completed and
submitted his Term Project [Code of Project] on [Date] certify that I have read this report and
that in my opinion it is fully adequate in scope and quality as a term project for the degree of
Master of [Area].

(Name and Signature)

Project Supervisor

Director of the Institute

ii
 Prof. Dr. Tahir ÇELİK
DECLARATION

NAME AND SURNAME: AMINU ABDULRAHMAN

TITLE OF THE THESIS: THE EFFECT OF PROJECT MANAGEMENT

PRACTICES ON PERFORMANCE OF
CONSTRUCTION PROJECTS IN NIGERIA

SUPERVISOR(s):

Year: 2024

I hereby declare that all information in this document has been obtained and presented in
accordance with academic rules and ethical conduct. I also declare that, as required by these
rules and conduct, I have fully cited and referenced all material and results that are not original to
this work.

I hereby declare that the Cyprus International University, Institute of Graduate Studies and
Research is allowed to store and make available electronically the present thesis.

Date: __________________

Signature: __________________

iii
 ACKNOWLEDGEMENT

All thanks be to Allah (S.W.T) the most merciful, who in his infinite mercy, I lived to see the

end of this project successfully. May his blessings and peace be upon our leader Muhammad

(S.A.W), his household members, companions and those who follow the right path till the day of

judgement.

I specially appreciate the support and encouragement of my supervisor for his patience,

contribution, constructive guidance and feedback during the process of this project. May Allah

(S.W.T) reward you.

My regards goes to my parents whom contributed to see the success of this project, may Allah

(S.W.T) reward you. May Allah (S.W.T) continue to guide us, Ameen.

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 ABSTRACT

This study investigated the effects of project management on the performance of construction
companies in Nigeria. Project management is an integral process designed to facilitate successful
project implementation and client satisfaction. To investigate the effects of project management
and performance, the ten knowledge areas of project management were correlated with
performance indicators. This study has six specific objectives; to investigate how important is
project management knowledge areas in determining the success of construction projects. To
find out how construction companies in Nigeria utilize project management knowledge areas. To
examine how performance indicators account for the success of construction projects. To find
out the correlation between project management and project performance. To find out the
Challenges of Militating Project Management Practices in Nigeria. To proffer the possible
solution to the identified challenges to Project Management Practices in Nigeria. The study
adopted a survey research design and sampled (n-165) construction companies in Nigeria. The
data collected were analyzed using statistical analysis like descriptive and regression analysis
respectively. The study finds that; project management and project performance are essential for
service delivery among construction companies. Project management has a positive correlation
to project performance. Financial setbacks, human resources, and lack of technical know-how
are the key setbacks to the implementation of project management. The study recommends that;
the government should subsidize the price of construction equipment; project management
should be compulsory for every project. The government should enact a law that regulates
construction projects and performance in Nigeria

Keywords: Project Management, Construction Projects and Knowledge Area.

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 THE CONTENT PAGE

THESIS APPROVAL CERTIFICATE....................................................................................................i

PROJETAPPROVAL DOCUMENT.......................................................................................................ii
DECLARATION......................................................................................................................................iii
ACKNOWLEDGEMENT........................................................................................................................iv
ABSTRACT...............................................................................................................................................v
THE CONTENT PAGE...........................................................................................................................vi
LIST OF TABLES.....................................................................................................................................x
LIST OF FIGURES..................................................................................................................................xi
ABBREVIATIONS..................................................................................................................................xii
Chapter One...............................................................................................................................................1
Introduction...............................................................................................................................................1
1.1. Background to the Study...............................................................................................................1
1.2 Research Questions........................................................................................................................3
1.3 Justification of the Study...............................................................................................................4
1.4 Aim and Objectives of the Study..................................................................................................4
1.5 Methodology...................................................................................................................................5
1.6 Achievement...................................................................................................................................5
1.8 Structure of the Thesis..................................................................................................................6
Chapter Two..............................................................................................................................................7
Project Management and performance...................................................................................................7
2.0 Introduction...................................................................................................................................7
2.1 Conceptual Review........................................................................................................................7
2.1.1 Project Management..................................................................................................................7
2.2 Project Management Knowledge Areas.......................................................................................8
2.2.1 Project Integration Management..............................................................................................9
2.2.2 Project Scope Management.....................................................................................................10
2.2.3 Project Time Management......................................................................................................11
2.2.4 Project Cost Management.......................................................................................................12
2.2.5 Project Quality Management..................................................................................................13
2.2.6 Project Human Resource Management.................................................................................14

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2.2.7 Project Communications Management..................................................................................15
2.2.8 Project Risk Management.......................................................................................................15
2.2.9 Project Procurement Management.........................................................................................16
2.2.10 Project Stakeholder Management..........................................................................................17
2.3 Construction Extension Project Management Knowledge Areas............................................18
2.4 Agile Methodology and Project Management...........................................................................21
2.5 Why Project Management is Important in Construction Industries.......................................23
2.6 Project Management Tools and Technologies in Nigeria..........................................................24
2.8 Challenges of Project Management in Nigeria Construction Companies...............................26
2.9 Performance Management..........................................................................................................28
2.9.1 Key Performance Indicators...................................................................................................28
Table 2.1: Key Performance Indicators.............................................................................................29
2.9.2 Performance Model.................................................................................................................29
2.10 Empirical Review.........................................................................................................................31
Chapter Three..........................................................................................................................................33
Methodology............................................................................................................................................33
3.0 Introduction.................................................................................................................................33
3.1 Research Hypotheses...................................................................................................................33
3.2 Research Design...........................................................................................................................33
3.3 Method of data collection............................................................................................................33
3.4 Population Size.............................................................................................................................34
3.5 Method of Data Analysis.............................................................................................................35
3.5.1 Pearson Correlation Test........................................................................................................35
3.5.2 Cronbach's Alpha Test............................................................................................................36
3.6 Validity of the Research Instrument..........................................................................................36
3.7 Reliability of the Research Instrument......................................................................................37
Reliability Test.........................................................................................................................................37
3.8 Field Experience and Limitation of the Study...........................................................................38
Chapter Four...........................................................................................................................................39
Questionnaire...........................................................................................................................................39
4.1 Introduction.................................................................................................................................39
4.1.1 Section A: Demographic Information:...................................................................................39
4.1.2 Section B: Importance of Project Management Knowledge Areas:.....................................39

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4.1.3 Section C: Utilization of Project Management Knowledge Areas:......................................39
4.1.4 Section D: Performance Indicators:.......................................................................................40
4.1.5 Section E: Project Management and Project Performance:.................................................40
4.1.6 Section F: Challenges Militating Project Management Practices in Nigeria:.....................40
4.1.7 Section G: Solutions to the Challenges:..................................................................................40
Chapter Five............................................................................................................................................41
Data Analysis...........................................................................................................................................41
5.1 Demographic Distribution...........................................................................................................41
Table 5.1: Frequency Distribution of the Type of Construction Company.....................................41
Figure 1: Gender...............................................................................................................................42
Table 5.2: Education Level.................................................................................................................42
Figure 2: Education..........................................................................................................................43
Table 5.3: Management Cadre...........................................................................................................43
Figure 3: Management Cadre...........................................................................................................44
Table 5.4: Type Of construction.........................................................................................................44
Figure 4: Types of Construction Company.......................................................................................45
Table 5.5: Ownership of Construction Company..............................................................................45
Figure 5: Ownership of Construction Company...............................................................................46
Table 5.6: Ownership Structure.........................................................................................................46
Figure 6: Ownership structure of construction Company.................................................................47
Table 5.7: Years of Operation............................................................................................................47
Figure 7: Years of Operation of the Construction Company.............................................................48
Chapter Six..............................................................................................................................................49
Results and Discussion............................................................................................................................49
6.1 Analysis and Discussion of Data from First Research Question..............................................49
6.1.1 Section B: Importance of PM Knowledge Areas...................................................................49
Table 6.1: Importance of the project management knowledge areas..............................................49
6.1.2 SECTION C: Utilization of Project Management Knowledge Areas..................................50
Table 6.2: Utilization of Project Management Knowledge Areas....................................................50
6.1.3 SECTION D: Performance Indicators..................................................................................51
Table 6.3: Performance Indicators.....................................................................................................51
6.1.4 SECTION E: Project Management and Performance.........................................................52
Table 6.4: Project Management and Performance...........................................................................52

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 Figure 8: Project Management Improves the Performance of Construction Projects in Nigeria.......52
Table 6.5: Project management improves the quality of construction projects in Nigeria............53
Project management improves the quality of construction projects in Nigeria..............................53
Figure 9: Project Management Improves the Quality of Construction Projects in Nigeria...............53
Table 6.6: Project cost management has impacts on Construction cost..........................................54
Figure 10: Project Cost Management has Impacts on Construction Cost.........................................54
Table 6.7: Project time management has an impact on Construction time.....................................55
Figure 11: Project Time Management Has an Impact on Construction Time...................................55
Table 6.8: Project communications management have impacts on Client satisfaction..................56
Figure 12: Project Communications Management Have Impacts on Defects Clients Satisfaction....56
Table 6.9: Project risk management have impacts on Client satisfaction.......................................57
Figure 13: Project Risk Management Have Impacts on Defects Clients Satisfaction.......................57
Table 6.10: Project Procurement Management impacts on Project Productivity..........................58
Figure 14: Project Procurement Management Impacts on Profitability Productivity........................58
Table 6.11: Companies who implement project management outperform others..........................59
Figure 15: Companies Who Implement Project Management Outperform Others...........................59
6.1.5 SECTION F: Challenges Militating Project Management Practices in Nigeria.................60
Table 6.12: Challenges Militating Project Management Practices in Nigeria.................................60
6.1.6 SECTION G: Solutions to Challenges....................................................................................61
Table 6.13: Solutions to the Challenges..............................................................................................61
6.2 Test of Hypothesis........................................................................................................................62
Table 6.14: Correlational analysis test of project management practices and performance.......62
Table 6.15: Correlational analysis test of implementation of 10 knowledge areas of project........63
Table 6.16: Regression analysis test of challenges militating the utilization of project..................64
6.3 Findings........................................................................................................................................65
Chapter Seven..........................................................................................................................................67
Conclusion and Recommendation..........................................................................................................67
7.1 Conclusion....................................................................................................................................67
7.2 Recommendation.........................................................................................................................68
References................................................................................................................................................69

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 LIST OF TABLES

Table 2.1: Key Performance Indicators---------------------------------------------------------------29

Table 5.1: Frequency Distribution of the Type of Construction Company--------------------41
Table 5.2: Education Level-------------------------------------------------------------------------------42
Table 5.3: Management Cadre--------------------------------------------------------------------------43
Table 5.4: Type Of construction------------------------------------------------------------------------44
Table 5.5: Ownership of Construction Company----------------------------------------------------45
Table 5.6: Ownership Structure-------------------------------------------------------------------------46
Table 5.7: Years of Operation---------------------------------------------------------------------------47
Table 6.1: Importance of the project management knowledge areas----------------------------49
Table 6.2: Utilization of Project Management Knowledge Areas--------------------------------50
Table 6.3: Performance Indicators---------------------------------------------------------------------51
Table 6.4: Project Management and Performance--------------------------------------------------52
Table 6.5: Project management improves the quality of construction projects in Nigeria--53
Project management improves the quality of construction projects in Nigeria---------------53
Table 6.6: Project cost management has impacts on Construction cost------------------------54
Table 6.7: Project time management has an impact on Construction time--------------------55
Table 6.8: Project communications management have impacts on Client satisfaction------56
Table 6.9: Project risk management have impacts on Client satisfaction----------------------57
Table 6.10: Project Procurement Management impacts on Project Productivity------------58
Table 6.11: Companies who implement project management outperform others.-----------59
Table 6.12: Challenges Militating Project Management Practices in Nigeria.----------------60
Table 6.13: Solutions to the Challenges----------------------------------------------------------------61
Table 6.14: Correlational analysis test of project management practices and performance
-----------------------------------------------------------------------------------------------------------------62
Table 6.15: Correlational analysis test of implementation of 10 knowledge areas of project
-----------------------------------------------------------------------------------------------------------------63
Table 6.16: Regression analysis test of challenges militating the utilization of project------64

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 LIST OF FIGURES

Figure 1: Gender...........................................................................................................................42
Figure 2: Education......................................................................................................................43
Figure 3: Management Cadre.......................................................................................................44
Figure 4: Types of Construction Company..................................................................................45
Figure 5: Ownership of Construction Company...........................................................................46
Figure 6: Ownership structure of construction Company............................................................47
Figure 7: Years of Operation of the Construction Company........................................................48
Figure 8: Project Management Improves the Performance of Construction Projects in Nigeria. 52
Figure 9: Project Management Improves the Quality of Construction Projects in Nigeria.........53
Figure 10: Project Cost Management has Impacts on Construction Cost....................................54
Figure 11: Project Time Management Has an Impact on Construction Time..............................55
Figure 12: Project Communications Management Have Impacts on Defects Clients Satisfaction
.......................................................................................................................................................56
Figure 13: Project Risk Management Have Impacts on Defects Clients Satisfaction..................57
Figure 14: Project Procurement Management Impacts on Profitability Productivity..................58
Figure 15: Companies Who Implement Project Management Outperform Others......................59

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 ABBREVIATIONS

CORBON: (Council OF Registered Builders of Nigeria)

SPSS: (Statistical Package for the Social Sciences)
FDD: (Feature-Driven Development)
XP: (Extreme Programming)
TDD: (Test-Driven Development)
PP: (Pair Programming)

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 Chapter One

Introduction

1.1. Background to the Study

The neglect of project management practices has dire implication on the performance of a
construction project. These neglects could be correlated to the present situation faced by
construction projects in Nigeria. The performance of construction companies in Nigeria in the
past decades is worrisome as major cities in Nigeria like Abuja, Lagos, Kano and Port Harcourt
witnessed an increased rate of building and infrastructure (Bridge and Flyover) collapse on daily
basis. Between 2003-2023, a total of 271 buildings were documented to have collapse in Lagos
the commercial capital of Nigeria and 531 infrastructures were recorded to have collapse nation-
wide within the said period (Punch, 2023). This trend cannot be neglected. The construction
industry is vital for nations building and development. This is because the development of every
nation can be measured by physical infrastructure such buildings, roads and other key
construction projects (Takim & Akintoye, 2019).

The scenario has been linked to several factors which include lack of performance evaluation of
ongoing and completed projects and failures of construction companies to utilize and implement
the core knowledge areas of project management. Performance is determined by the extent how
input achieved a desired result. In a nutshell, it is a process of quantifying both the efficiency and
effectiveness of an action in a building project (Neely et al., 2005). It is imperative to note here
that performance tend to provide answers to the following key questions; “What to measure?”,
“Which measures are used?”, “How to measure?” and “How to interpret results?” (Sandanayake
and Oduoza, 2007).

In order to ensure that construction projects meet desired criteria for effective performance, eight
(8) key performance indicators (KPIs) have been developed to measure performance. Latham
(1994) developed key performance indicators for construction companies. They are; Client
satisfaction, public interest, Productivity, Project performance Quality, Research &development,
Training, recruitment and Financial.

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On the other hand, project management entails overall planning, coordination, and control of a
project from beginning to completion. It is aimed at meeting a client's requirement to produce a
functionally and financially viable project. The management of construction projects requires
knowledge of modern management principles as well as an understanding of the design and
construction process.

Pinto (2007) divided the project activities into four different project life cycle phases:
conceptualization, planning, execution, and termination. Project Management Institute, PMI
(2008) noted a fifth phase of Monitoring and Controlling which interfaces between execution
and termination. According to Irefin (2013), the only goals that project management pursues
during these stages are stakeholder creation and customer satisfaction.

The usefulness of project management to construction companies lies in the effective utilization
of the key knowledge areas of project management. The key area plays an apt role in ensuring
that projects are effectively delivered on time and in optimum quality. The ten (10) key
knowledge areas according to (PMI, 2013) are; project integration management, project scope
management, project time management, project quality management, project human resource
management, project communications management, project risk management, project
procurement management, project stakeholder management and project cost management. It is
essential to note that the key knowledge areas provide a detailed description of the process inputs
and outputs along with a descriptive explanation of tools and techniques utilized throughout the
project management processes to generate every result.

It is pertinent to note that project management tools and technologies are very essential for
project management. It is therefore pertinent to note that this study seeks to assess the
implementation of project management tools and technologies among construction companies in
Nigeria.

At this juncture, it is sine qua non to declare as follows the problem statement of this research.

1. Certain project risk, project team, project budget and project technology and innovation
are known to affect the performance of a construction project. A construction project's
ability to meet its goals for time, money, quality, and stakeholder satisfaction is a key
indicator of success.

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 2. Despite the usefulness of project management in ensuring the success of construction
projects. Adhering to the practice of project management among Nigeria construction
companies has been linked to the challenges facing many construction companies and
construction projects. The same neglects have been extended to the performance
evaluation after projects have been completed which is supposed to determine the success
of such projects.
3. Gaps in the extant literature have identified three strands of problems that are inherent to
construction projects in Nigeria in terms of implementation of project management for
project performance in Nigeria. The first strand of the problem deals with having a
knowledge of project management and its 10 key knowledge areas. Most companies in
Nigeria struggle to meet up with human and financial resources to ensure the effective
utilization of project management tools and technologies, according to Okolo (2021),
companies in Nigeria struggle to procure and maintain modern project management tools
due to the instability of the naira to the dollar. Also, most construction companies are
underfunded making it difficult to make use of project management tools and
technologies.

Secondly, another strand of problem analysis borders on the ability of Nigerian construction
companies to effectively utilize the ten knowledge areas of project management for effective
performance evaluation of projects. It is essential to note that the ten knowledge areas of project
management are key to effective project management. Most construction companies lack the
requisite knowledge and skills to properly harness the values of project management in Nigeria,

The final strand of the problem associated with the implementation of project management tools
and technologies among construction companies in Nigeria are lack of finance, technical
knowledge, and constraints from project owners or the failure of project financial to finance
some aspects of the projects.

1.2 Research Questions

The study adopts the following research questions;

1. Is project management knowledge areas important for success of construction projects?

3
 2. How does construction companies in Nigeria utilize project management knowledge
areas?
3. Are performance indicators important for success of construction projects?
4. Is there correlation between project management and project performance?
5. What are the Challenges Militating Project Management Practices in Nigeria?
6. What are the possible solution to the identified challenges to Project Management
Practices in Nigeria?

1.3 Justification of the Study

There are several literatures on project management and its effects on the performance of
construction companies, after a care study of those literatures, this study identified three key
lacunas in the available literature that justifies this study references; the first is that the effects of
the ten knowledge areas of project management on the ten performance indicators have not been
correlated in previous literature. Also, there is a lacuna in literature as previous studies on project
management and performance have not been carried out using Nigerian Construction Company.
The study also tends to adopt a difference methodological approach in the study the impacts of
project management and performance of construction companies in Nigeria.

1.4 Aim and Objectives of the Study

The scope of study covers construction companies operating in Nigeria and their application of
projects management and performance indicators for the success of construction projects. This
study aims "to assessment of the implementation of project management tools and technologies
among construction companies in Nigeria", why the specific objectives of the study are.

1. To investigate who important is project management knowledge areas in determining the

success of construction projects.
2. To find out how construction companies in Nigeria utilize project management
knowledge areas.
3. To examine how performance indicators account for the success of construction projects.
4. To find out the correlation between project management and project performance.
5. To find out the Challenges Militating Project Management Practices in Nigeria.

4
 6. To proffer the possible solution to the identified challenges to Project Management
Practices in Nigeria.

1.5 Methodology

To accomplish the goals outlined in section 1.4, this study employed a survey research design.
The survey method was chosen as it allows for the extraction of expert opinions with survey
data. The study collaborated with professional organizations such as Council OF Registered
Builders of Nigeria (CORBON) and companies to gather data.

A short and precise questionnaire was developed and was distributed at the Council of
Registered Builders of Nigeria (CORBON) conference in Abuja, Nigeria.

The survey results were analyzed and interpreted using the Statistical Package for the Social
Sciences (SPSS). Furthermore, the results were thoroughly scrutinized using both Pearson
correlation and regression analysis techniques.

1.6 Achievement

The adopted methodology provided field data information on the compliance level of project
management and performance effects among Nigerian construction companies. The study is a
departure from a theoretical perspective on project management among Nigeria companies to
provide a field or practical insight on project management and project performance among
Nigeria companies.

The study achieved the following objectives using the methodology stated in 1.5:

1. Rate using weighted mean and standard deviation the level of compliance of project
management and performance indicators among construction companies in Nigeria.
2. Provided statistical evidence on the construction companies in Nigeria utilize project
management knowledge areas.
3. Use Pearson 2-tail correlation to determine the level of relationship between project
management and performance indicators using the key knowledge areas and performance
indicators.
4. Revealed how financial challenges, human resources threats and lack of technical
knowledge affects project management in Nigeria.

5
 5. Shows how this problem could be solved through enacting relevant laws, making project
management and performance evaluation compulsory and subsidizing price of
construction material.

1.8 Structure of the Thesis

Chapter One discusses the background information on project management and performance
among Nigerian companies. The chapter discussed issues arising from the utilization of project
management tools and technologies. It discussed the ten knowledge areas in project
management. The study discussed three problems associated with project management. The
study also itemized the research questions and objectives in this section. Chapter Two was based
on the literature review. The review of the literature was divided into three parts; the conceptual
review was the basic concepts associated with the study. The empirical review reviewed key
empirical works related to the study. Finally, the gap in literature was also discussed in this
section. In chapter three, the study discussed the key methodology adopted in the study. These
range from the research design, method of data collection, and the method of data analysis. The
study adopted quantitative research design, survey as the method of data collection, and
descriptive analysis as the method of data analysis. Chapter four explains the questionnaire used
for the research chapter five was dedicated to data analysis. Chapter six discusses the results and
chapter seven was on summary, conclusion, and recommendation.

6
 Chapter Two

Project Management and performance

2.0 Introduction

This section adopts a systematic review of literature in the following thematic headings,
conceptual and empirical review of related literature. The study reviewed extensively the
concepts of project management, the knowledge areas of project management, construction
extension project management knowledge areas key performance indicators other key issues in
project management and performance.

In addition, the study explores the importance of project management in Nigerian construction
industries and the challenges faced by Nigerian construction industries. The chapter also includes
an empirical review of similar studies to uncover gaps, overlaps, and conflicts that can aid in
accurately identifying, and describing the study.

2.1 Conceptual Review

2.1.1 Project Management

Project management in construction companies spans different forms of management objectives.

The term cuts across waste management, financial management, etc., and other forms of
management in the construction sites that are intended to make building projects seamless.

Civil engineering projects are construction projects whose lifespan ranges from a couple number
of years and funding is very capital intensive due to the present economic realities. To ensure the
durability of such projects, effective project management is required from the onset before
setting to the construction sites. Project management involves effective planning, resources, and
team management of projects to achieve the desired results (Okon & Akpan, 2015) . The core of
project management is the control of materials and methods, scope and time, resources, and
people to achieve a desired result.

It involves the planning and implementation of projects from the very beginning when it was
conceived till the finishing stage to ensure strict compliance with standard rules to the
satisfaction of the clients (Okwandu & Agundu, 2005). This is objectively carried out to satisfy

7
the client's objectives in terms of utility, function, quality, time, and cost, and the establishment
of relationships between resources, integrating, monitoring, and controlling the contributors to
the project and their output, and evaluating and selecting alternatives in pursuit of the client's
satisfaction with the project outcome.

In a swift departure from the above definition of project management, (Olaniyan et al., 2020)
construed project management as both science and arts which involves critical planning and
organization, control and implementation to carefully executive a project so that risk and
obstacles could be managed for optimal results and performance ( Sidney et al., 2017) . Also,
Project work has been defined as a temporary endeavor (PMI, 2008), a sequence of events
(Nwachukwu and Emoh, 2011), a continuously evolving process (Irefin, 2013), by putting to use
human and non-human resources (Turner, 1993), to create a product or service.

From Henri Fayol’s definition of management, Nwachukwu and Emoh (2011) defined
management as planning, directing, controlling, and coordinating individual, group, or
organizational goals and objectives with the ultimate aim of achieving maximum benefit. PMI
(2008) defined project management as the application of knowledge, skills, tools, and techniques
to project activities to meet the project requirements. The project activities are identified by Pinto
(2007) in four distinct project life cycle phases namely Conceptualization, Planning, Execution,
and Termination. Project Management Institute, PMI (2008) noted a fifth phase of Monitoring
and Controlling which interfaces between execution and termination. Irefin (2013) stated that
Project management integrates through these phases with the sole aim of creating stakeholders
and customer satisfaction.

2.2 Project Management Knowledge Areas

The broad spectrum of project management has been grouped into ten (10) key knowledge areas.
The grouping represents a set of key activities and areas that constitute a professional field,
project management field, or area of specialization. The ten (10) key knowledge areas according
to (PMI, 2013) are; project integration management, project scope management, project time
management, project quality management, project human resource management, project
communications management, project risk management, project procurement management,
project cost management and project stakeholder management. It is essential to note that the key

8
knowledge areas provide a detailed description of the process inputs and outputs along with a
descriptive explanation of tools and techniques used to produce each outcome within the project
management processes.

2.2.1 Project Integration Management

Project integration management entails all the key processes and activities to identify, define,
combine, unify, and coordinate the various processes and activities in a project. The process of
project integration management includes the following:

i. Develop Project Charter: The creation formalizes a project's existence and grants
permission to use organizational resources for the project (Sabyasachi, 2017). A project
charter does not take into account any money that was pledged or exchanged during its
establishment; hence it cannot be regarded as a contract. The usefulness and
completeness of a project charter template as a project management tool were assessed by
Hayes (2000). A hospital-based clinical laboratory created and launched an information
system development project charter.
ii. Develop Project Management Plan: The project plan, also called a project management
plan, answers the who, what, where, why, how, and when of the project—it's more than a
Gantt chart with tasks and due dates. The purpose of a project plan is to guide the
execution and control project phases
iii. Direct and Management Project Work: Direct and manage project work is a project
management process that involves leading a team, managing resources, and overseeing
project completion. It involves executing a strategy considering unexpected events, client
requests, and budget changes to ensure project completion.
iv. Monitor Integrated Change Control: The procedure for monitoring, assessing, and
summarizing project progress to fulfill the performance goals specified in the project
management plan. Conforto and Amaral's 2010 qualitative review of two technology-
based businesses in Brazil found that using straightforward, iterative, visual, and agile
methodologies, combined with conventional project management best practices,
effectively manages new product projects.
v. Perform Integrated Change Control: This involves going over each change request,
giving the go-ahead, and overseeing adjustments made to project deliverables,

9
 organizational process assets, and organizational procedures. According to (Aubry,
Hobbs, Muller, and Blomquist, 2010), project management offices are dynamic and
constantly changing in terms of their charter and organizational structure. They discussed
the characteristics of these transition project management offices and their motivations
using empirical data. They put out a process view, according to which the conditions that
set off the project management offices' transformation will also create results in terms of
the transformation's implications. A total of 184 people responded to the worldwide web-
based survey they used to gather data on project management office moves. The findings
of factor and correlation analyses showed that a multilevel dynamic process rooted in a
particular organizational context shift is responsible for the project management offices'
movement from one configuration to the next.
vi. Close Project/Phase: it involves finalizing all activities project/phase.

2.2.2 Project Scope Management

Project scope management defines and outlines all work included within a project, such as
objectives, tasks, outputs, and deadlines. Project scope management identifies and documents all
project objectives, goals, deliverables, deadlines, and budgets during the planning process.

i. Plan Scope Management: This involves developing an action plan that will define,
validate, and control the project scope and it also provides guidance and direction on how
the scope will be managed.
ii. Collect Requirements: This involves determining, documenting, and managing
stakeholder needs and requirements to meet the project objectives. This process also
provides the basis for defining and managing the project scope and product scope.
iii. Define Scope: It is a process of developing a detailed description of the project and
product i.e., the project, service, or result boundaries.
iv. Create Work Breakdown Structure: The process of subdividing project deliverables and
project work into smaller, more manageable components and provides a structured vision
of what has to be delivered.
v. Validate Scope: The process of formalizing acceptance of the completed project
deliverables activities and bringing objectivity to the acceptance process increases the
chance of final product, service, or result acceptance by validating each deliverable.

10
 vi. Control Scope: The process of monitoring the status of the project, and product scope and
managing changes to the scope baseline and baseline to be maintained throughout the
project.

2.2.3 Project Time Management

Project time management means effective management of time and processes required to
complete a project when due. It involves.

i. Plan Schedule Management: Scheduling and mapping out timelines for every aspect of
the project. The process of establishing the policies, procedures, and documentation for
planning, developing, managing, executing, and controlling the project schedule,
guidance, and direction on how the project schedule will be managed in the project.
ii. Define Activities: Abbasi and Arabiat conducted research to schedule project activities
based on maximum net present value and minimum duration. They combined minimum
late start and shortest processing time priority rules, developing a new hybrid heuristic.
Statistical analysis results showed that the late start and shortest processing time heuristic
produced higher net present value, minimizing project time, and meeting due dates,
avoiding delay costs, and maximizing net present value. These heuristics can be used in
project scheduling with constrained resources.Sequence Activities: The process of
identifying and documenting relationships among the project activities and defining the
logical sequence of work to obtain the greatest efficiency.
iii. Estimate Activity Resources: The process of estimating the type and quantities,
descriptions of resources, equipment/supplies required to complete the activity which
allows more accurate cost and duration estimates for the project.
iv. Estimate Activity Durations: The process of approximating the amount of time needed to
complete individual activities with estimated resources, which is a major input into the
development schedule process in the project.
v. Develop Schedule: The process of analyzing activity sequences, durations, resource
availabilities, and schedule constraints to generate the project schedule model for
completing project activities. (Vanhoucke, Vereecke, and Gemmel, 2005) stated the
project scheduling game is based on information technology-supported simulation in
which it explains the complexity of scheduling sequences of activities for real-life

11
 projects. By focusing on the project scheduling game, they explained how it supported
the realization of a massive water purification project at a Belgium water distribution
company, Vlaamse Maatschappij voor Water voorziening. During the examination of the
project, they used a basic approach a critical path method network problem, and analyzed
the time and cost relationship for each activity performed during this project.
vi. Control Schedule: The process of monitoring the status of project activities to update and
manage changes to the schedule baseline to achieve the plan recognize deviation from the
plan take corrective and preventive actions and thus minimize risk.

2.2.4 Project Cost Management

Project cost management is a budget process or strategy that involves estimating, budgeting, and
controlling costs, to keep expenditures within the approved budget.

i. Plan Cost Management: It involves effective planning ahead of time. The process of
establishing the policies, procedures, and documentation for planning, managing,
expanding, and controlling project costs throughout the project.
ii. Estimate Costs: The procedure for creating a financial resource estimate that is required
to finish project activities. According to Eden, Ackermann, and Williams (2005),
significant cost overruns can also occur in the private sector when it comes to public
construction projects like bridges, airports, and public buildings. Researchers analyzed
industrial projects that unexpectedly overran, focusing on delays and disruptions. They
found that project managers alone are responsible for cost inflation.
iii. Determine Budget: The procedure for creating a financial resource estimate that is
required to finish project activities. Williams and Ackermann's study on cost overruns in
public construction projects revealed that project managers alone are responsible for cost
inflation. They used a computer simulation model to analyze three extreme network types
and developed an optimal crashing strategy for a project evaluation review technique
network to minimize total cost.
iv. Control Costs: The procedure for keeping an eye on the project's progress, updating the
project costs, managing modifications to the cost baseline, and providing the information
needed to identify deviations from the plan so that corrective action can be taken, and risk
may be reduced. According to (Miranda and Abran, 2008), it's critical to predict the

12
 additional effort required to complete an ongoing project within its intended scope and
delivery date when it has been underestimated. They also created a model to determine
the necessary expenditures. In their opinion, project contingencies should be based on the
time needed to recover from the miscalculation.

2.2.5 Project Quality Management

In addition to supporting ongoing process improvement initiatives carried out on behalf of the
performing organization, it comprises the processes and activities of the performing organization
that decide on quality policies, objectives, procedures to implement, and responsibilities within
the framework of the project. Processes for quality management ensure that project and product
requirements are fulfilled and verified.

i. Plan Quality Management: The process of determining the standards and/or quality
requirements for the project and its output, recording how the project will prove that it
complies with these criteria, and managing, and validating the project as it moves
forward. According to (Kuprenas, Kendall, and Madjidi, 1999), the systems used in
spaceship component manufacture are intricate and expensive to construct. A spacecraft
is very costly and complex to repair after launch. Strict requirements for dependability
and quality are crucial in this context. As part of a larger spaceship project, a case study
on project quality management was carried out for the manufacture of printed circuit
board electronics components. Project managers employed Pareto analysis to investigate
printed circuit board data for fault categories to resolve process issues.
ii. Perform Quality Assurance: To make sure that the proper operational definitions and
quality standards are followed and to support the enhancement of quality processes, the
process of auditing the quality requirements and the outcomes of quality control measures
is performed. Quality management systems are more efficient in meeting customer
demands and are more productive, according to (Gupta and Graham, 1997). One of the
biggest offshore oil drilling businesses in the world, Diamond Offshore Drilling, Inc., is a
project-driven organization. To address the quality management concerns, they
conducted a case study on the company's quality management method. The beginning,
execution, and aftermath of the management systems program were also covered, with a

13
 focus on the ongoing enhancement of workplace safety, the environment, upkeep,
training, equipment updates, and customer satisfaction.
iii. Control Quality: The process of tracking and documenting the outcomes of carrying out
quality activities to evaluate performance and suggest required adjustments by
determining the root causes of subpar process or product quality and suggesting or acting
upon them; additionally, verifying that project deliverables as required by important
stakeholders for ultimate approval. According to Rever (2007), project quality
management is an essential component of any project, and every project measure ought to
include a run chart or control chart. These charts should address the question, "How are
we doing over time?" Pareto charts are a suitable tool for categorizing data, and scatter
plots are a suitable tool for visually illustrating any correlation between two variables.

2.2.6 Project Human Resource Management

Project human resource management describes the processes that enable the project manager to
organize and lead the project team. A subset of the project team is the project management team,
which is responsible for leadership activities in each of the five major process groups.

i. Plan Human Resource Management: Raiden and Neale's (2009) research on human
resource management techniques emphasizes the importance of resourcing in
organizations. They used case studies of seven top construction companies to examine
human resource practices, including planning, recruitment, selection, team deployment,
performance management, and administration. The study aimed to devise a strategy for
project resourcing that balanced the needs of the business, the project, and individual
employees.
ii. Acquire Project Team: The process of confirming human resource availability and
obtaining the team necessary to complete project activities and outlining, and guiding the
team selection and responsibility assignment to obtain a successful team.
iii. Develop Project Team: The process of improving competencies, team member
interaction, improved teamwork, enhanced people skills, motivated employees, reduced
staff turnover rates, and improved overall project performance to enhance project
performance.

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 iv. Manage Project Team: Jetu, Riedl, and Roithmayr (2011) conducted research on cultural
patterns impacting human factors for project success, focusing on Ethiopia's service
industry. They examined the underlying causes of Ethiopian customs in project team
behavior.

2.2.7 Project Communications Management

Project communication management is a crucial aspect of project management as it ensures all

stakeholders are kept informed about the project’s progress, issues, and changes, thereby
facilitating effective decision-making and collaboration. Al to the organization, which impacts or
has an influence on the project execution or outcome.

i. Plan Communications Management: Project management involves creating a clear and

helpful strategy for project communications, considering stakeholder information
demands and organizational resources. The complexity of report creation varies based on
project data structure, and identifying information needs and sources can simplify report
structures. Analyzing construction project results helps determine who needs what
information.
ii. Manage Communications: Hossain and Kuti's 2008 study highlighted the impact of
network interconnectivity on coordination, highlighting the need for effective stakeholder
communication strategies and cross-agency analyses to ensure efficient project
information production.
iii. Control Communications: Throughout the project life cycle, effective communication
management is crucial to ensure optimal information flow and meet the needs of all
stakeholders.(Dietrich, Eskerod, Dalcher, and Sandhawalia, 2010) reported that, despite
the inherent difficulties and complexity associated with multi-partner cooperation, there
was an increase in collaboration and the correlation of value with the consumers in many
project-based sectors. The study developed a conceptual framework highlighting
collaboration elements, knowledge integration, project success, and interdependencies in
multi-partner projects, identifying 8 antecedents, three outcome elements, and 15
mechanisms.

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2.2.8 Project Risk Management

Project risk management is the process of identifying, analyzing, and responding to any risk that
arises over the life cycle of a project to help the project remain on track and meet its goal. Risk
management isn’t reactive only; it should be part of the planning process to figure out the risk
that might happen in the project and how to control that risk if it occurs.

i. Plan Risk Management: The risk management plan for a project requires effective
communication and stakeholder agreement to ensure its effective execution throughout
the project life cycle.
ii. Identify Risks; the process involves documenting existing risks, identifying potential
project impacts, identifying their characteristics, and providing the project team with the
necessary knowledge to anticipate events.
iii. Perform Qualitative Risk Analysis: Project managers use risk short-listing to reduce
uncertainty and focus on high-priority risks, assessing their probability of occurrence and
project impact.
iv. Perform Quantitative Risk Analysis: (Krane, Rolstadas, and Olsson 2010) conducted a
study on risk information analysis to reduce project uncertainty. They categorized risks
into operational, long-term, or short-term strategic objectives, and studied 1,450 risk
elements in seven large projects. Results showed risks to strategic objectives rarely occur
in risk registers.
v. Plan Risk Responses: The process of developing alternatives, addressing the risks by
their priority, inserting resources, and activities into the budget, scheduling, and planning
as needed to reduce threats to project objectives.
vi. Control Risks: A study by Taylor (2006) found that project managers in Hong Kong use
various risk management strategies, including control, negotiation, research, and
monitoring, to manage uncertain situations with limited resources. The study suggests
practical alternatives to traditional prescriptions may be necessary.

2.2.9 Project Procurement Management

It administers contracts or purchase orders and obtains the goods, services, or outputs required
from sources other than the project team members. It also encompasses the procedures critical to

16
change control and contract administration. The company may purchase goods or services or act
as a vendor of project outcomes. Controlling any contract issued by an outside company that is
purchasing project deliverables from the performing organization and managing the contractual
duties imposed on the project team by the contract are further aspects of procurement
management.

i. Plan Procurement Management: The process involves recording project procurement

choices, outlining strategy, and locating potential vendors, determining whether to use
outside assistance, determining acquisition needs, and estimating timelines. Value stream
mapping was used by (Bevilacqua, Ciarapica, and Giacchetta, 2008) to assess and
redesign for controlling a project's materials procurement stage. A company specializing
in offshore oil rig design and construction used integrated definition, stream analysis,
activity-based costing, and discrete event simulation to assess the effects of new materials
management policies on project completion time.
ii. Conduct Procurements: The process of obtaining seller responses, selecting a seller, and
awarding a contract with alignment of internal and external stakeholder expectations
through established agreements.
iii. Control Procurements: The process of overseeing the fulfillment of contracts,
maintaining the relationships between buyers and sellers, and making any adjustments to
the terms of the agreement. According to Rose and Manley (2010), construction clients
employ monetary incentives to entice stakeholders to support high-level project
objectives. The study examined Australian building projects and procurement strategies,
recommending a fair incentive structure and rewards for excellent performance to
encourage contractors.
iv. Close Procurements: The process of closing each project procurement by making
agreements and related documentation for future reference.

2.2.10 Project Stakeholder Management

To effectively involve stakeholders in project decisions, activities, and execution, it comprises

the procedures necessary to identify the human resources or organizations that may have an
impact on or be impacted by the project; analyze stakeholder expectations and their impact on

17
the project; and maintain constant communication with stakeholders to understand their needs
and expectations.

i. Identify Stakeholders: The process of identifying the human resources or organizations

that could impact or be impacted by a decision, activity, or outcome of the project; and
analyzing and documenting relevant information regarding their interests, involvement,
interdependencies, influence, and potential impact on project success. It allows the
project manager to identify the appropriate focus for each stakeholder or group of
stakeholders.
ii. Plan Stakeholder Management: The process of creating management plans that are
appropriate for including project stakeholders at each stage of the project, taking into
account their demands, interests, and possible influence on the project's outcome. Handle
Stakeholder Engagement: This refers to the process of interacting and collaborating with
stakeholders to fulfill their requirements and expectations, resolve problems, and
encourage suitable stakeholder participation in project operations through the project. It
gives the project manager the ability to maximize stakeholder support and decrease
opposition, thus raising the likelihood that the project will succeed.
iii. Control Stakeholder Engagement: The process of monitoring overall project stakeholder
relationships and adjusting strategies and plans for engaging project stakeholders to
maintain or increase efficiency and effectiveness as the project evolves and its
environment changes.

2.3 Construction Extension Project Management Knowledge Areas

Particular project (i.e., construction) types may include further knowledge areas where they are
critical for them. For the construction industry, in addition to the ten project knowledge areas,
there are additional four knowledge areas these knowledge areas are project safety management,
project environmental management, project financial management, and project claim
management.

1. Project Safety Management

Safety planning is crucial for ensuring a safe construction project, assessing risks and hazards
specific to the project site and deciding on mitigation steps. This involves surveying the site's

18
physical and geographical risks and reviewing typical risks associated with the construction
type. A project safety plan, based on government laws, contracts, and owner requirements, is
developed to guide the project. Safety refers to safeguarding against injury and avoidable
accidents, while health encompasses the well-being from unhealthy working conditions.
Designers have a moral responsibility to ensure the safety of construction workers,
maintenance staff, demolition workers, and the public. Safety administration and records are
maintained to track safety performance and improve performance.

2. Project Environmental Management

CE-PMI emphasizes the importance of environmental management in construction projects,

involving identifying environmental features, planning mitigation, auditing, and
environmental condition inspection. Akanni, Oke, and Akpomiemie (2015) highlight the
need for proper management of environmental factors influencing project performance. Their
study in Nigeria identified 29 factors impacting building project performance, categorized as
political, legal, construction technology, financial, socio-cultural, and physical. The study
suggests that stakeholders should focus on economic, financial, and political clusters for
successful management and prevention of cost and time overruns. Thomas and Martin (2004)
emphasize the importance of considering physical effects in construction management
strategies.

Olotuah and Olotuah (2007) investigated the existing real estate law and policy in Nigeria,
revealing that it is inadequate to meet sustainable development aspirations. To address these
issues, real estate laws and policies should be geared for sustainable development in Nigeria.

i. Environmental Planning: Environmental planning is figuring out which

environmental requirements apply to the project, what kind of environmental impact
it will have, and how to meet those criteria. One of the most important processes that
helps with project planning is environmental planning, which should be carried out
concurrently with other project planning procedures. In addition, it involves an
assessment of the environmental factors encircling the project construction site, the

19
 type of project operations, and the environmental effects of such activities (CE-PMI,
2000).
ii. Environmental Assurance: To ensure that the project will meet the applicable
environmental requirements, it is necessary to regularly conduct planned and
methodical operations within the environmental management. It needs to be done
through the project. All parties involved in environmental protection should get
assurances (CE-PMI, 2000).
iii. Environmental Control: The project involves monitoring project outcomes to ensure
they meet environmental requirements and eliminate subpar results. Environment
control is essential, with a separate procedure for specific needs outlined in standards
and laws, known to all stakeholders.
3. Project Financial Management

Financial management, as defined by Paramasivan and Subramanian (2008), is a crucial

component of overall management and deals with the responsibilities of the financial
manager inside the company. The process of obtaining and overseeing the project's financial
resources, which includes determining the project's income source and assessing or revising
the net cash flows for the construction project, is outlined in (CE-PMI, 2000.)

i. Financial Planning and Control: The phase of financial planning management for
construction projects involves identifying all project requirements linked to finances,
placing those requirements on a timeline and quantifying them, and allocating
resources to guarantee the timely completion of financial chores. Financial control
makes ensuring that bonds are lowered when needed, that project partners' payments
are requested as needed, and that all insurance and bank withdrawals or deposits are
made on schedule. All items are kept within the financial cash forecast and budget
thanks to cost and financial controls (CE-PMI, 2000).
ii. Financial Administration and Records: The process of designing and maintaining a
financial information storage or retrieval database for the smooth running of the
financial control system.
4. Project Claim Management

In building projects, claim management is a crucial procedure. It outlines the procedures

20
 needed to minimize or stop claims from occurring as well as how quickly construction claims
should be handled when they do (CE-PMI, 2000).

According to Hughes and Barber (1992), a claim is only a request, demand, application for
payment, or notice of supposed entitlement or right to which a contractor believes he is entitled,
whether properly or erroneously then, and upon which there has been agreement. might be
categorized as extra contractual and contractual claims, or as Hughes and Barber (1992) said,
there are three different kinds of claims.

1. Claims under the contract;

2. Claims under the common law, equitable and statutory remedies; and
3. Ex-gratia claims.
i. Claim Identification: The identification of a claim starts with the scope and
contract terms appear to be a change requiring a contract adjustment. Proper
identification involves what the contract requires a documented description of the
activity viewed as extra to that required by the contract (CE-PMI, 2000).
ii. Claim Quantification: In this process, claim activity is reviewed and decisions are
taken on whether it is worthy of pursuing as a claim or not after this claim is
quantified in terms of additional compensation or a time extension to the contract
completion or other date is finalized (CE-PMI, 2000).
iii. Claim Prevention and Resolution: In this process, emphasis was given on how to
avoid or prevent claims from arising. If the well-scoped and risk-allocated
contract is well-performed then there are very less chances of having any claims
(CE-PMI, 2000). After putting a lot of concerted effort to prevent claims they still
may arise. A justifiable disagreement is possible as to whether the claim in
question is a contract change or not, or whether the claimed amount of
compensation or time change requested is correct.

2.4 Agile Methodology and Project Management

Agile plays a concerted role in project management as it is very effective in the planning and
management of projects. It is important to note that agile methodology is an umbrella
terminology that covers all aspects of adaptive planning, faster delivery, continuous

21
improvement, and the ability to evolve (Edeki, 2015). It is important to note that the agile
framework contains a process of agile movement. These procedures are based on the common
operating premise that the product is refined through continual iteration feedback until it is tested
and integrated for advanced software delivery. Agile software development is more than Scrum,
Feature-Driven Development (FDD), or Extreme Programming (XP). It is more than practices
such as Pair Programming (PP), Test-Driven Development (TDD), stand-ups, sprints, and
planning sessions. Agile software development can be sketched as an umbrella term for a set of
practices and frameworks based on the values and principles narrated in the Agile Manifesto.

There are over twelve agile principles. These principles are:

a) The highest priority in Agile is to satisfy the customer through early and continuous
delivery of valuable software.
b) Agile processes welcome changing requirements, even late in development, and harness
change for the customer's competitive advantage.
c) Deliver working software frequently, with a preference for a shorter timescale from a
couple of weeks to a couple of months.
d) Businesspeople and developers are mandated to work together throughout the project
every day.
e) Build projects around motivated individuals. Please give them the environment and
support that they need. Trust individuals to get things done.
f) The most effective and efficient method to convey information to a development team is
face-to-face conversation.
g) In Agile, the working software is one of the primary measures of progress.
h) Agile processes promote sustainable development. Therefore, the sponsors, developers,
and users should maintain a constant pace indefinitely.
i) In Agile methodologies, continuous attention to technical excellence and good design
enhances the project's agility.
j) The simplistic art of maximizing the amount of work not done is essential.
k) In Agile, the best requirements, architectures, and designs emerge from self-organizing
teams. L. Agile teams reflect on becoming more effective at regular intervals, then tune
and adjust their behavior accordingly.

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The Agile Manifesto, a set of principles and values, focuses on people, interactions, and tools in
software development. Valuing people over processes and tools is crucial for adaptability and
meeting client expectations. Communication is a key aspect of this approach, as it is flexible and
occurs as needed. Agile simplifies documentation, allowing the development team to complete
tasks without becoming engrossed in details. Azmee (2010) highlights the importance of
working with customers instead of negotiating contracts.

Agile approaches involve active participation from the client, ensuring the solution meets their
business requirements. Sharma et al. (2020) emphasize the importance of adapting to change, a
concept frowned upon in traditional software development. Agile approaches allow for rapid
changes and better collaboration between the team and the client, ensuring the success of the
project.

2.5 Why Project Management is Important in Construction Industries

The benefits of project management in construction industries cannot be overemphasized. Apart

from serving as a guide to project standardization, (Magaba et al., 2014) noted that one very
potential benefit of project management is that it reduces the chances of project performance
shortfalls which are due to the following factors inexperience, incompetence, inappropriate
planning techniques application, planning challenges, inadequate understanding of influencing
factors for project planning, and poor understanding of project planning success indicators.

Furthermore, (Magaba et al., 2014) maintain that project management increases the probability
of success in any construction work. This is because the pitfalls that could emanate from wrong
timing, budgets, financial constraints, and legal complications have been planned and addressed
before they could manifest and impair the success of the projects. While project oversight
services evolve throughout the project, construction management is intended to optimize best
industry practices, prudent management decision-making, and effective and transparent project
controls and reporting methods (Sidney, 2019).

It is important to note that construction management is vital in construction industries especially

when carrying out a big project that would be cost-effective, the process is ideal to manage cost
and time and avoid any significant delay to the projects. Given the above assertion, (Sani &
Adua, 2022) noted that there is a need for a management term that would be dedicated to the task

23
of ensuring strict compliance with the project management template designed for any project. It
is imperative to note that without a professional construction management team, an unforeseen
problem risks derailing the entire project. When a project includes a construction manager early
in the process, the construction manager is not only able to better plan for potential problems, but
the project also benefits from the construction manager’s ability to find money and time-saving
opportunities.

Moreover, it is noted that construction management climates the factors that contribute to project
failure to the barest minimum (Sani & Adua, 2022). The factors are a lack of effective planning
and costing and, the use of nonprofessionals at a very sensitive part of the construction. It is
important to note that project management creates an avenue for evaluation, and re-consultation
of the project template at every stage of the construction project.

The above practice reduces the chances of project failure at all levels of project implementation.
Also, scholars (Okwandu & Agundu, 2005) observed that project management creates a scenario
of project audits at every level of the project. It is observed that to ensure that large projects
succeed, and money is wasted, more sophisticated construction management firms employ
estimators, accountants, and cost control specialists. These additional functions can benefit
projects in a variety of ways. One way that an audit can help a project is that it can help detect
fraud. This can include contractor overbilling, inappropriate cost-shifting, abusive change-order
practices, and other abnormalities. Audits can also verify contractor compliance with
government requirements (i.e., prevailing wage, disadvantaged business enterprise). Violation of
these requirements can slow down or even stop a project mid-stream. Lastly, an audit can help
keep a project within budget by allocating responsibility for unexpected costs to the proper party.

Project management strategies ensure effective and regular reporting of the success of every
stage to the large management team or the project anchors. The act of regularly providing reports
at every stage by the project construction management teams is very effective in ensuring that it
succeeds as planned. The volume of documentation created by the construction management
team may seem extreme, but careful adherence to regular tracking makes it easy to see when
something goes off course. The earlier a deviation from the schedule is detected, the easier and
less costly it is to adjust and correct the problem (Sidney et al., 2009).

The use of technology and advanced scientific tools for project management is very important.

24
Most construction companies depend on heavy and advanced tech to gather building information
from large projects and analyze that information to make a more informed decision about that
project. Here technology contributes immensely to project management. This is because digital
technology with its ability to capture, transmit, and analyze mass data is becoming a critical
component for successful project oversight and delivery. Choosing a construction management
firm with a high level of technological expertise can benefit the project in the long run.

2.6 Project Management Tools and Technologies in Nigeria

The advent of science and technology has changed the traction of project management around
the globe. Modern precision tools and technology are now applied in project management to
ensure the accuracy and reliability of strategy and process. There is a growing trend in the
construction sector to introduce new technologies into the practice of design and construction in
response to pressures to reduce costs, improve efficiency, productivity, and safety, and meet
sustainability goals (Loosemore, 2014)

Construction technologies are tools, machines, or even old tools that were retrofitted to help
achieve a goal, perform a specific function, or solve a problem in the construction sector (Lund
& Lundin, 2019). Extent research on the use of technologies for construction project
management has revealed that in Nigeria 25% of existing companies used technologies and
modern software for project management with 20% of these companies using the Microsoft
project for project management (Joshi & Kalyandugrmath, 2021). Also, another study by (Yong
et al., 2021) has listed over twenty-six (26) technologies that have been in used globally for
project management. These technologies range from building information modeling (BIM),
radio-frequency identification (RFID), immersive media (e.g. virtual reality, AR, mixed reality,
and gaming technology), multidimensional building modeling, web services, etc. It was observed
that among the listed technologies, BIM stands out as the most used technology at present
(Farashah, 2022).

The value or the role of these technologies is great and contributes immensely to the success of
construction projects. Modern technology and tools have always been known as technology that
can provide the necessary strategies to achieve an optimum result (Ermakov et al., 2020) . This
technology provides a better response to current and future demands and enhances performance

25
and productivity in the construction industry. Case studies of technology implementation and
evidence have shown that the application of additive manufacturing (AM) or 3D printing in
construction, for instance, is beneficial in terms of waste reduction, providing design flexibility
and constructability, as well as saving manpower (Wilkinson, 2020.)

Similarly, numerous productivity benchmark studies show the tangible and intangible benefits of
using building information modeling (BIM). For example, Stanford University's Center for
Integrated Facilities Engineering suggested 7%, 40%, and 80% reductions in project time, cost,
and time spent on cost estimation, respectively. Over the past decade, implementing new
technologies in construction practice has been recognized as an important business strategy and
has drawn increased attention from stakeholders of many kinds in the construction sector
( Alharbi & Alamoudi, 2019).

Apart from the high accuracy ratio of the most advanced technology used for project
management in construction companies, most of these technologies fast-track the number or
volume of work done within the shortest possible time.

In the review of the impact of the use of big data analytics in the management of construction,
the documents reviewed revealed that the use of advanced technologies and tools has a
significant impact on the volume of work done within the shortest possible time (Dubinina et al.,
2018). Also, a systematic review and meta-analysis were conducted on visualization
technologies such as AR (augmented reality)/VR and how they have been implemented in
construction health and safety management and noted perceived implementation barriers in the
wider industry. It is paramount to note that the automation and robotic technologies in the
construction industry identified the gaps in their current applications and set out the underlying
scientific and technological conditions that will enable their effective implementation in the
sector.

2.8 Challenges of Project Management in Nigeria Construction Companies

Generally, project management in construction companies in Nigeria is very broad because

different construction projects require different management strategies. Given these, several
management challenges have been created or encountered in the process of ensuring that
construction projects are effectively managed.

26
There are serious loopholes and challenges in construction project management in Nigeria. A
review of over thirty-five empirical studies on project management has revealed ten different
management challenges in construction industries in Nigeria. The first of such challenges is the
problem of a lack of clear-cut objectives in the management of certain projects. It has been
revealed that sometimes several or many project constructors in Nigeria do not have a clear view
of what certain projects require (Nagapan et al., 2019). The implications are that whenever there
is no clear view of the requirements of certain projects making necessary plans and decisions
would be very difficult. Not having a clear picture lead to time-wasting, material, and resource
waste and could contribute to a larger consequence of general project failures (Zhang et al.,
2023).

Also, another common challenge to project management in construction companies in Nigeria is

financial strain and the weakness of the local currency (Naira) to the dollar. Construction
projects are much cost demanding. These cost-demanding projects imply that a lot of money is
needed to ensure that certain requirements and ends are met (Czekała et al., 2023). In the process
of ensuring this, currency exchange becomes a very disturbing factor as most often the
fluctuation in the exchange rate makes issues more complicated and twisted. In Nigeria, a
shortage of funds is key challenge to construction project management.

Furthermore, there is equally the problem of unregulated demand and pressure from clients.
Most clients mount pressure and make unprofessional demands and suggestions on construction
companies (Ratnasabapathy et al., 2019). To remain in the good book of the client, construction
engineers run into a bigger problem of unnecessarily hastening projects thereby causing a bigger
problem.

Effective communication is crucial for project management in construction companies.

Insufficient communication can lead to missed work and problem identification. A project
manager should establish a ladder notifying teams of progress and roadblocks, allowing for
timely problem resolution. Cloud-based solutions can enhance communication (Joshi &
Kalyandugrmath, 2021).

More still, time management is very important in project management in construction

companies. Failure to keep up with time and duration could negatively affect projects and the
relationship that exists between the client and the company. Time limitations are considered by

27
many stakeholders to be the biggest problem that leads to subpar designs, high accident rates,
and economic loss. To make up for missed deadlines and prevent more delays and increased
expenses, contractors may take shortcuts (Yong et al., 2021).

Project managers must address many factors that contribute to delays and create procedures that
satisfy specifications. Effective project tracking and scheduling techniques can help overcome
this obstacle. People in the construction business often collaborate with people they can trust. A
cohesive group of people can function as an extraordinarily effective team. However, such teams'
talent disparity can result in some delays (Lund & Lundin, 2019). Recognize these skills gaps
before they influence the project, either directly or indirectly. As soon as these holes are
identified, close them. It becomes challenging to do tasks effectively in the absence of defined
goals or job duties. When there is no goal in place, a building project may overrun its budget or
be delayed (lack of structure). One of the most important components of managing a
construction project is performance management. They all require specific jobs to do to improve
performance management and maintain everyone's focus. Divide more ambitious objectives into
more manageable daily goals for each person (Ermakov et al., 2020). Hold them responsible by
using established procedures. You may maintain order throughout in this manner.

2.9 Performance Management

Performance management in construction companies is a strategy adopted to ensure that the

work done correlates with defined goals and objectives set before the beginning of the projects.
Cain (2004) identified PM as the first stage in any improvement process that benefits the end
users as well as the organizations. Therefore Kulatunga et al. (2007) emphasised that PM is
important for organizations to evaluate its actual objectives against the predefined goals and to
make certain that they are doing well in the competitive environment. Traditionally, PM in
construction is approached in two ways: in relation to the product as a facility and in relation to
the creation of the product as a process (Kagioglou et al., 2001).

2.9.1 Key Performance Indicators

There are several scholarly arguments whether the performance of projects should focus on
company performance or on the individual projects carried out by the company. Scholars believe
that a good craft is known from his work not from qualifications. Therefore, measuring

28
construction performance focuses more on projects rather than the construction organizations
(Kagioglou et al., 2001). The researchers and the industrial experts agree that the lack of
appropriate performance measurements have become one of the principal barricades to promote
improvements in the construction industry (Alarcon and Serpell, 2001).

Kagioglou et al. (2001) argued that traditional indicators such as cost, time and quality do not in
isolation, provide a balance view of the projects‟ performance. Researchers further stated that
implementation of three traditional indicators in construction projects is apparent at the end of
the project and therefore they can be classified as „lagging‟ indicators of performance. Salminen
(2005) developed a system for measuring construction site performance. The researcher analyzed
the measurement results to determine the success factors for a construction site. Kagioglou et al.
(2001) mentioned that the project performance would be addressed on an induction basis by all
companies involved in the project.

Table 2.1: Key Performance Indicators

Latham (1994) Egan (1998) Construction Construction Industry

Productivity Board (1998)
Network (1998)
Client satisfaction Construction cost People Capital cost
Public interest Construction time Processes Construction time
Productivity Defects Client Partners Time Predictability
Project satisfaction (product) Products Cost Predictability
performance Client satisfaction Defects
Quality Research (service) Profitability Safety
& development Productivity Safety Productivity
Training and Cost predictability Turnover & profitability
recruitment (const.) Time Client satisfaction
Financial predictability (const.)
Cost predictability
(design) Time
predictability (design)
Source: Adopted from Mbugua et al., (1999)

29
2.9.2 Performance Model

There are two recognized performance evaluation models; there are the Balanced Scorecard
approach and the Analytic hierarchy process tool. The Balanced Scorecard (BSC) is a
performance measurement system developed in early 1990s‟ by Professor Robert S. Kaplan and
David P. Norton. The BSC has been described as a set of measures that gives top managers a fast
but comprehensive view of the business (Kaplan and Norton, 1996). Hence, it translates an
organization‟ mission and strategy into a comprehensive set of performance measures and
provides a framework for strategic performance management (Kaplan and Norton, 1996).
Traditional BSC consisted of four perspectives.

It includes financial measures that emphasis the results of actions already taken, and it
complements with operational measures on customer satisfaction, internal business processes
and the organizations‟ innovation and improvement activities. Kaplan and Norton (1993)
emphasized that BSC is not a template that can be applied to businesses in general or even
industry wide. Researchers further added the view that different market situations, product
strategies, and competitive environments require different scorecards while business units devise
customized scorecards to fit their mission, strategy, technology and culture. Hepworth (1998)
and Ahn (2005) suggested that additional perspectives should be included if applicable and
necessary. Lee et al (2008) also mentioned “depending on the sector in which a business operates
and, on the strategy chosen, the number of perspectives can be enlarged, or new perspectives can
be replaced by the other”.

The AHP was first introduced by Saaty in 1971 to solve the scarce resources allocation and
planning needs for the military (Saaty, 1980). AHP is about breaking a problem down and then
aggregating the solutions of all the sub-problems into a conclusion (Saaty, 1994). Further, it
facilitates decision making by organizing perceptions, feelings, judgements and memories into a
framework that exhibits the forces that influence the decision. Clinton et al. (2002) suggested
that the AHP tool is mathematically rigorous yet easy to understand because it focuses on
making a series of simple paired comparisons. Ahmed and Rafiq (1998) stated AHP helps not
only in identifying major competitors of a company but also to assess the performance of the
organisation on each attribute relative to its principal competitors. Rangone (1996) described
AHP as a multi-attribute decision tool that allows financial and non-financial quantitative and

30
qualitative measures to be considered and trade-offs among them to be addressed. Recently the
AHP has been applied to several decision-making areas. Rangone (1996) enhanced the
application of AHP to measure and compare the overall performance of different manufacturing
departments based on multi-attribute financial and non-financial performance criteria. Dey
(2001) applied AHP tool for construction risk management and Chan et al. (2004) used AHP
method to determine the priority of processes for Occupational Health and Safety Management
Systems for the Hong Kong construction industry.

Ahmed and Rafiq (1998) identified BSC and AHP as common tools, which assess common
frameworks‟ role in benchmarking. Stewart and Mohamed (2001) looked at potential
applications and benefits of using the BSC as framework to evaluate the performance
improvement resulting from information technology implementation by a construction
organisation. According to Sale and Sale (2005), using the AHP to structure the BSC requires the
decision maker to first structure the problem as a hierarchy. Sale and Sale (2005) combined AHP
and BSC tools to create a technique that is superior to the use of either one in isolation.

2.10 Empirical Review

There are several related empirical literatures on the subject under study; Nyang’au and Kamau
(2018) researched on “Effect of Project Management Practices on Performance of Construction
Projects in Laikipia County, Kenya”. The study adopted a survey research design. The study
targeted 350 respondents from those construction companies. The study seeks to establish the
effect of project management practices on performance of construction projects in Laikipia
County. The study has the following objectives to determine the effect of project risk on
performance of construction projects in Kenya, to investigate how project team affect
performance of construction projects in Kenya, to find out the effect of project budget on
performance of construction projects in Kenya, to find out how project technology and
innovation affect performance of construction projects in Kenya.

Also, Ogohi (2019) researched on “Effect of Project Management on the Performance of

Selected Construction Firms in Nigeria”. A survey research design was adopted, and copies of
questionnaire were administered on 272 employees in the project and engineering department of
the selected construction companies, using disproportionate stratified sampling technique. The

31
data collected were analyzed using descriptive statistics, linear regression model, and Pearson
product moment correlation. The questionnaire was validated using content validity. The
reliability of the questionnaire was confirmed by determining the correlation coefficient of the
data collected at two different periods. The study discovered that project management practices
carried out by construction firms to enhance performance. It is recommended that more attention
be placed on organizing project management practices according to their effect and influence and
more emphasis should be put on communication and risk management by developing plans for
effective communication and risk handling when carrying out projects.

In “Financial management of construction projects: Hyperledger fabric and chain code solutions
( Grigorievna Verstina et al., 2015) . The study adopted a systematic analysis and review of
financial management in construction companies. The study adopted a decentralized financial
management system to deal with all financial tasks across various construction stages using
blockchain technology. Under different delivery approaches and payment methods, the proposed
system enables parties to record/invoke their transactions safely and automatically, with no third-
party involvement. The proposed system is tested on a real-life case project, where results
corroborate its ability and workability in providing a secure and scalable platform for all project
parties.

Literature in project management “Investigation into project management tools and techniques
currently used in practice Title: Investigation into PM tools and techniques currently used in
practice”. The author adopted a survey research design to investigate project management. The
study noted that project management is the key to the success of most construction projects. The
study noted that poor funding and lack of project management techniques are the pitfalls of
project management in Nigeria (Farashah, 2019).

Also, in “How technology affects project management”. The author adopted a systematic review
of the role of technology in project management. The study analyzes the role of various
technologies in project management. The study attested that modern technologies have given
credence to effective project management techniques. The study attested that technology not
only plays a key role in the management of projects but also the management of waste from
construction sites (Lund & Lundin, 2020.).

Furthermore, in “An Analysis of the Use of Information Technology for Project Management in

32
the New Zealand Construction Industry”. The study surveyed over 75 construction companies to
ascertain the role of information technology in project management in a construction company.
The study noted that technology has contributed to the accuracy of project timelines around the
world.

Project management has also improved the management of waste around the world especially in
Nigeria.

Chapter Three

Methodology

3.0 Introduction

The data for this research was drawn from a questionnaire within the purview of the objectives of
this research and the existing literature. The analysis was carried out using a statistical program
for social sciences SPSS. In this chapter the research hypotheses are defined, the research design,
method of data collection, population, and sample size, method of data analysis, validity,
reliability and limitations of the research are stated. The survey data was be analyzed using
statistical methods.

3.1 Research Hypotheses

The study adopts the following hypotheses;

H01: Project management knowledge areas important for success of construction projects

H02: Performance indicators important for success of construction projects.

H03: There is significant relationship between project management and project performance.

3.2 Research Design

This study adopted a survey research design. According to Mills (2020), the primary method of
data collection in research design involves surveys, used to gather insights from individuals or

33
groups regarding a specific concept or topic. (Singleton & Straits, 2009) emphasize the
importance of survey research, which uses structured questions to gather specific information
from construction companies. Survey research, which can use quantitative, qualitative, or mixed
methods, is a crucial tool in social and psychological research. It can range from targeted street
interviews to rigorous studies using multiple instruments, ensuring reliable and accurate data
collection.

3.3 Method of data collection

The quantitative data was be collected through a survey. The survey permits the sampling of the
opinions of respondents. The act of gathering data from a sample of people by asking them
questions is known as survey research. With the aid of the designed questionnaire 280
questionnaires were distributed to both foreign and local construction companies’ operation in
Abuja Nigeria

The instrument adopted for data collection is a questionnaire on a five (5) Likert scale. The
questionnaire be divided into seven (7) sections, the first section is on the demography of the
companies and the remaining sections was measure section by section the items in each of the
research questions.

3.4 Population Size

Due to the nature of the research topic, only construction companies registered under the Nigeria
Corporate Affairs Commission was sampled. The sampling type was purposive sampling
methods in order to create room to sample only construction companies that are in active
operation.

Number of Companies to be sampled = 280

The sample size was determined based on the 280-sample size. The sample size was statistically
determined using Taro Yamane’s formula.

To this extent the sample size is determined by:

34
 N
n= 2
1+ N (e)

Where n = the sample size

N = population

e= margin of error (5%)

280
Therefore, n= 2
1+280 ( 0.05 )

280
n=
1+280 (0.0025)

280
n=
1+0.7

280
n=
1.7

n=164.7

= 165 respondents companies were sampled.

3.5 Method of Data Analysis

This study research descriptive statistical and regression analysis methods for its data analysis.
Descriptive Statistics form a major component of all quantitative data analysis. The responses of
the respondents were analyzed statistically using the Statistical Program for Social Sciences,
SPSS. Qualitative analysis was considered for this study by utilizing statistical techniques such
as frequency counts, percentages, arithmetic means, and histogram in frequencies. The raw data
was classified and tabulated in simple percentages and charts after ensuring that they were
carefully collated. This was followed by analysis and interpretation of findings. Consequently,
for the magnitude of findings received to be useful, easily summarized, and comprehensible, the
researcher adopted a descriptive approach.

Importance of project management knowledge areas, effective utilization of the knowledge

35
areas, company’s performance against key performance indicators, challenges limiting the
utilization of the knowledge areas and possible solutions to the challenges are ranked according
to the highest mean of each variable.

However, this meant that all generated data were reduced to manageable dimensions in order to
attain the primary objectives of the study. More also, Pearson product moment correlation would
be adopted to analyze the hypothesis formulated with the use of SPSS.

3.5.1 Pearson Correlation Test

The degree of linear correlation between two variables, X and Y, is measured statistically by the
Pearson correlation coefficient, also referred to as Pearson's r, the Pearson product-moment
correlation coefficient (PPMCC), or bivariate correlation. According to the CauchySchwarz
inequalities, its value falls between + 1 and − 1. A perfect positive linear correlation is
represented by a value of +1, a perfect negative linear correlation by a value of −1, and no linear
correlation by a value of 0. In scientific fields, the Pearson correlation coefficient is frequently
utilized.

3.5.2 Cronbach's Alpha Test

An indicator of internal consistency that gauges how closely connected a group of things are to
one another is Cronbach's alpha. It is frequently employed as a scale reliability indicator. High
alpha values, however, do not always indicate that the scale is one-dimensional. The range of
acceptable Cronbach's alpha test scores is shown in Table 2. (Glen, 2022).

Cronbach’s Alpha Internal Consistency

α ≥ 0.9 Excellent

0.9 > α ≥ 0.8 Good

0.8 > α ≥ 0.7 Acceptable

0.7 > α ≥ 0.6 Questionable

0.6 > α ≥ 0.5 Poor

36
 0.5 > α Unacceptable
3.6 Validity of the Research Instrument

Validity is often defined as the extent to which an instrument measures what it asserts to measure
(Blumberg et al., 2005). Validity of a research instrument assesses the extent to which the
instrument measures what it is designed to measure (Robson, 2011). It is the degree to which the
results are truthful. So that it requires research instrument (questionnaire) to correctly measure
the concepts under the study (Pallant, 2011). For analyzing the validity of the research
instrument, the questionnaire was tailored along research questions, to enable the researcher have
clarity of the questionnaire items/statements; so that the questions asked would be clearly
responded to by respondents. To ascertain the validity of the research, face validity was
conducted by the research supervisor. Thus, this type of validity is often used to describe the
appearance of validity without empirical testing.

3.7 Reliability of the Research Instrument

Reliability refers to a measurement that supplies consistent results with equal values (Blumberg
et al., 2005). It measures consistency, precision, repeatability, and trustworthiness of a research
(Chakrabartty, 2013). Reliability of study also indicates the extent to which it is without bias
(error free), and hence ensures consistent measurement cross time and across the various items in
the instruments. It indicates that the observed score of a measure reflects the true score of that
measure. Reliability in a study is a necessary, but not sufficient component of validity (Feldt &
Brennan, 2009).

Furthermore, in reliability, emphasis is placed on the issue of consistency in measuring what an

instrument is supposed to measure. In this research work, the Cronbach’s Alpha test was used to
establish the reliability of the research instrument. Cronbach's Alpha is the most widely
recognized measure of reliability developed to measure reliability or internal consistency
(Stephanie, 2014). It is expressed in terms of a reliability coefficient. Although, there is no
prescribed standard but a scale that renders a reliability coefficient of 0.70 and above is usually
regarded as a reliable instrument.

37
Reliability Test

Scale: ALL VARIABLES

Case Processing Summary

N %
Cases Valid 165 100.0
Excluded 0 .0
Total 165 100.0
a. Listwise deletion based on all variables in the procedure.

Reliability Statistics
Cronbach's Alpha N of Items
.999 23

The result from the pilot test above showed that all the variables together have a Cronbach’s
alpha of 0.999, and has achieved the minimum criterion hence, the questions are acceptable to be
reliable.

3.8 Field Experience and Limitation of the Study

Limitation of the study are those characteristics of design methodology that impacted or
influenced the interpretation of the finding from this research. Access to the firm’s confidential
data were seemingly restricted and controlled to avert the possibility of sensitive records such as
project management, performance of Construction Company and challenges militating the
utilization of project management. Also, due to time constraints, a relatively small sample size
would be adopted and as such it limits the extent to which one can generalize the issues raised.
Again, because of time constraint, it would have helped to have samples from other
organizations outside the studied firms. Lastly, it was also observed that there were few available

38
past research studies that gave vivid descriptions to project management practices and
performance of construction companies in Nigeria.

39
 Chapter Four

Questionnaire

4.1 Introduction

The questionnaire aims to collect information on project management knowledge areas and
project performance in Nigeria's construction sector. It uses a five-point Likert scale and is
divided into seven sections. The first section covers the demographic data of the companies
surveyed, the second focuses on the importance of project management knowledge areas in the
Nigerian construction sector, the third on how these knowledge areas are utilized, the fourth on
evaluating the performance of construction companies, the fifth on investigating the relationship
between project management practices and project performance in Nigeria, the sixth on
exploring challenges facing project management practices in Nigeria, and the seventh on
suggesting solutions to these challenges in Nigerian construction companies.

4.1.1 Section A: Demographic Information:

This section collects general information about the respondent, such as:

i. Gender, Educational qualification, Management level,

ii. Type of Construction Company,
iii. Ownership of Construction Company,
iv. Ownership Structure of Construction Company,
v. Years of Operation of the Construction Company.

4.1.2 Section B: Importance of Project Management Knowledge Areas:

i. This uses a Likert scale (5 = Outstanding, 1 = Poor) to assess the importance of project
management knowledge areas for project success in Nigeria: Integration, Scope, Time,
Cost, Quality, HR, Communication, Risk, Procurement, Stakeholder.

4.1.3 Section C: Utilization of Project Management Knowledge Areas:

This section, again using a Likert scale, evaluates how effectively the respondent's company
implements the project management knowledge areas listed in Section B. This helps understand

40
the gap between perceived importance and actual practice within the company.

4.1.4 Section D: Performance Indicators:

This segment uses a Likert scale to evaluate the respondent's organization's performance on key
indicators by Latham (1994). KPIs include Client Satisfaction, Public Interest, Productivity,
Project Performance Quality, Research and Development, Training and Recruitment, and
Financial.

4.1.5 Section E: Project Management and Project Performance:

This section uses a different format (SA = Strongly Agree, SD = Strongly Disagree) to
investigate the respondent's opinion on the relationship between project management practices
and project performance in Nigeria. Statements in this section address:

i. The influence of project management on project performance, quality, and cost.

ii. The impact of communication and risk management on project outcomes.
iii. The potential benefits of project management for companies.

4.1.6 Section F: Challenges Militating Project Management Practices in Nigeria:

This section rates obstacles in Nigeria companies using a Likert scale (5 = Major Challenge, 1 =
Minor Challenge). Obstacles include financial constraints, lack of technical expertise, and
shortage of human resources.

4.1.7 Section G: Solutions to the Challenges:

This section uses a Likert scale (5 = Very Effective, 1 = Not Effective) to evaluate strategies for
addressing challenges in Section F and improving project management in Nigeria. Strategies
include Subsidizing construction materials, Implementing PM laws, creating project monitoring
teams and providing education opportunities.

41
 Chapter Five

Data Analysis

In this chapter, the researcher is going to look at descriptive analysis using frequency distribution
of the respondents, regression analysis and correlation analysis of the results using statistical
packages for social sciences SPSS.

5.1 Demographic Distribution

The table below shows the demographic distribution of construction companies involved in the
survey. A total of one hundred and eighty (180) questionnaires were distributed across
construction companies in Abuja, the Nigeria Federal Capital Territory. At the end of the
timeframe for the return of the question only one hundred and sixty five (165) questionnaires
were returned and used for the analysis of Data.

Table 5.1: Frequency Distribution of the Type of Construction Company

Gender
Frequency Percent Valid Percent Cumulative Percent
Valid Male 135 81.8 81.8 81.8
Female 30 18.2 18.2 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024

42
 Figure 1: Gender

The survey was distributed roundly among different construction companies. In the following
frequencies distribution, 135 (81.8%) of the total respondents are male while 30 (18.2%) are
female. This shows that majority of the respondents are male.

Table 5.2: Education Level

Education
Frequency Percent Valid Percent Cumulative Percent
Valid 25 15.2 15.2 15.2
FSLC/SSCE
OND/HND 18 10.9 10.9 26.1
B.sc/B.A/B.eng 77 46.7 46.7 72.7
M.sc/MBA/P.hD 37 22.4 22.4 95.2
Others 8 4.8 4.8 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

43
 Figure 2: Education

The survey was distributed roundly among different construction companies. In the following
frequencies distribution, 25 (15.2%) are FSLC/SSCE holders, 18(10.9%) are OND/HND holders,
77 (46.7%) are Bsc/B.eng holders, 37 (22.4%) are M.sc/MBA/P.hD holders while 8(4.8%) are
others.

Table 5.3: Management Cadre

Management Cadre
Frequency Percent Valid Percent Cumulative
Percent
Valid Top Mgt 40 24.2 24.2 24.2
Middle level Mgt 80 48.5 48.5 72.7
Lower Level Mgt 45 27.3 27.3 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

44
 Figure 3: Management Cadre

The survey was distributed roundly among different construction companies. In the following
frequencies distribution, 40 (24.2%) are top management, 80(48.5%) are middle level
management, while 45 (27.3%) are lower level management.

Table 5.4: Type Of construction

Types of construction company

Frequency Percent Valid Percent Cumulative Percent
Valid Residential 85 51.5 51.5 51.5
Commercial 46 27.9 27.9 79.4
Infrastructural 22 13.3 13.3 92.7
Industrial 12 7.3 7.3 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

45
 Figure 4: Types of Construction Company

The survey was distributed roundly among different construction companies. In the following
frequencies distribution, the majority of the respondents are civil contractors who engage in
residential building construction representing 85 (51.5%) of the total respondents and companies
that engage in commercial building construction represent 46 (28.7%) of the total respondents,
while companies that engage in infrastructure construction represents 22(13.3%) and finally
companies into industrial construction represents 17(7.3%) of the respondents.

Table 5.5: Ownership of Construction Company

Ownership of Construction Company

Frequency Percent Valid Cumulative
Percent Percent
Valid Private 33 20.0 20.0 20.0
Joint ownership 30 18.2 18.2 38.2
State 30 18.2 18.2 56.4
Limited Liability 72 43.6 43.6 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

46
 Figure 5: Ownership of Construction Company

The survey was distributed roundly among different construction companies. In the following
frequencies distribution, 33 (20.0%) are private, 30 (18.2%) are joint ownership, 30 (18.2%) also
are state while 72(43.6%) are limited liabilities.

Table 5.6: Ownership Structure

Ownership Structure of Construction Company

Frequency Percent Valid Cumulative Percent
Percent
Valid Foreign 63 38.2 38.2 38.2
Indegenous 102 61.8 61.8 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

47
 Figure 6: Ownership structure of construction Company

The survey was distributed roundly among different construction companies. In the following
frequencies distribution, 63 (38.2%) are foreign while 102(61.8%) are indigenous.

Table 5.7: Years of Operation

Years of Operation of the Construction Company

Frequency Percent Valid Percent Cumulative Percent
Valid 0-10 Years 80 48.5 48.5 48.5
10-20 years 17 10.3 10.3 58.8
20-30 years 26 15.8 15.8 74.5
30-40 years 15 9.1 9.1 83.6
40-50 years 17 10.3 10.3 93.9
50+ years 10 6.1 6.1 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

48
 Figure 7: Years of Operation of the Construction Company

The survey was distributed roundly among different construction companies. In the following
frequencies distribution, 80 (48.5%) has 0-10years of operation, 17(10.3%) has 10-20years of
operation, 26(15.8%) has 20-30years of operation, 15(9.1%) has 30-40years of operation,
17(10.3%) has 40-50years of operation while 10(6.1%) has 50+ years of operation.

49
 Chapter Six

Results and Discussion

6.1 Analysis and Discussion of Data from First Research Question

In this section, correlation analysis is used to determine the level of relation or the nexus between
project management and project performance.

6.1.1 Section B: Importance of PM Knowledge Areas

Table 6.1: Importance of the project management knowledge areas

Descriptive Statistics

S/N 10 KNOWLEDGE AREAS MEAN Std Deviation RANK

1 Scope Management 4.6303 .48419 2
2 Time Management 3.7212 1.13475 9
3 Cost Management 3.7515 1.52382 7
4 Quality Management 4.4606 .73665 3
5 Human Resource 3.9030 1.13816 6
Management
6 Communication Management 3.3333 1.42424 10
7 Risk Management 4.2545 1.05145 5
8 Procurement Management 3.8242 1.33869 8
9 Stakeholder Management 4.4242 1.12701 4
10 Integration management 4.6848 .46599 1

Source: Researcher Field Survey 2024.

The mean of the distribution was utilized to rank how the sampled responder perceive the
importance of the 10 knowledge areas in their area of expertise. From the rank column, it shows
Integration management was valued more in the distribution while communication management
was ranked last in the distribution. It is also important to note that the result obtained from the
distribution that all the 10 knowledge areas are above the 3 showing that they are all important.

50
It is important to note that despite this ranking some companies with different structures of
ownership have different experiences in the application of the 10 knowledge areas.

6.1.2 SECTION C: Utilization of Project Management Knowledge Areas

Table 6.2: Utilization of Project Management Knowledge Areas

Descriptive Statistics

N Mean Std. Deviation Rank

Integration management 165 2.47 1.015 8
Scope Management 165 2.73 1.196 7
Time Management 165 2.16 1.299 2
Cost Management 165 2.70 .899 6
Quality Management 165 2.39 1.034 9
Human Resource Management 165 2.75 1.112 5
Communication Management 165 3.46 .991 3
Risk Management 165 4.05 1.365 1
Procurement Management 165 2.76 .732 4
Stakeholder Management 165 3.85 1.372 2
Valid N (listwise) 165
Source: Researcher Field Survey 2024.

From the table above, the utilization of project management knowledge area has a mean of 2.47
for integration management, 2.73 for scope management, 2.16 for time management, 2.70 for
cost management, 2.39 for quality management, 2.75% for human resource management, 3.46
for communication management, 4.05 for risk management, 2.76 for procurement management,
and 3.85 for stakeholder management. However, communication and risk management is well
utilized by the organizations with a mean of 4.05 and 1.365 in the standard deviation.

The ranking stated that the top 3 most utilized knowledge areas are Rist Management with mean
of 4.05, stakeholder management 3.85 and Communication Management with 3.46. For
reference the bottom 3 most utilized knowledge areas according to the table are Time
Management with the mean of 2.16, Integration Management 2.47 and quality management 2.39.

51
However, it is also important to note that the result obtained from the distribution that only 3 of
the 10 knowledge areas have a mean above the 3 showing that that even are not properly utilized.
It is important to note that despite this ranking some companies with different structures of
ownership have different experiences in the application of the 10 knowledge areas.

6.1.3 SECTION D: Performance Indicators

Table 6.3: Performance Indicators

Descriptive Statistics

N Mean Std. Deviation Range

Client satisfaction 165 4.09 1.199 1
Public interest 165 3.38 1.524 3
Productivity 165 3.81 1.328 2
Project performance Quality 165 3.33 1.432 4
Research and Development 165 3.28 1.047 4
Training and Recruitment 165 2.66 .815 7
Finance 165 2.84 1.144 6
Valid N (listwise) 165
Source: Researcher Field Survey 2024.

From the table above, performance indicator has a mean of 4.09 for client satisfaction, 3.38 for
public interest, 3.81 for productivity, 3.33% for project performance quality, 3.28 for research
and development, 2.66 for training and recruitment, while 2.84% for finance. However, client
satisfaction is the key performance indicator. The mean and standard deviation of the distribution
were utilized to rank how the sampled companies responded to performance indicators. From the
rank column, it shows that client satisfaction is at the helm and was valued more in the
distribution while Training and Recruitment was ranked last in the distribution. It is important to
note that the score generated is above the average mean of 3.

52
6.1.4 SECTION E: Project Management and Performance

Table 6.4: Project Management and Performance

Project management improves the performance of construction Projects in Nigeria

Frequency Percent Valid Percent Cumulative Percent
Valid SD 10 6.1 6.1 6.1
D 17 10.3 10.3 16.4
U 36 21.8 21.8 38.2
A 20 12.1 12.1 50.3
SA 82 49.7 49.7 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

Figure 8: Project Management Improves the Performance of Construction Projects in Nigeria

From the table above, responses of the respondents has 10(6.1%) strongly disagree, 17 (10.3%)
disagree, 36(21.8%) undecided, 20(12.1%) agree while 82(49.7%) strongly agree. This shows
that majority of the respondents strongly agree that project management improves the
performance of construction Projects in Nigeria.

53
Table 6.5: Project management improves the quality of construction projects in Nigeria

Project management improves the quality of construction projects in Nigeria

Frequency Percent Valid Percent Cumulative

Percent
Valid SD 12 7.3 7.3 7.3
D 36 21.8 21.8 29.1
U 15 9.1 9.1 38.2
A 92 55.8 55.8 93.9
SA 10 6.1 6.1 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

Figure 9: Project Management Improves the Quality of Construction Projects in Nigeria

From the table above, responses of the respondents has 12(7.3%) strongly disagree, 36 (21.8%)
disagree, 15(9.1%) undecided, 92(55.8%) agree while 10(6.1%) strongly agree. This shows that
majority of the respondents agreed that project management improves the quality of construction
projects in Nigeria

54
Table 6.6: Project cost management has impacts on Construction cost

Project cost management has impacts on Construction cost

Frequency Percent Valid Percent Cumulative Percent
Valid SD 20 12.1 12.1 12.1
D 36 21.8 21.8 33.9
U 20 12.1 12.1 46.1
A 63 38.2 38.2 84.2
SA 26 15.8 15.8 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

Figure 10: Project Cost Management has Impacts on Construction Cost

From the table above, responses of the respondents has 20(12.1%) strongly disagree, 36(21.8%)
disagree, 20(12.1%) undecided, 63(38.2%) agree while 26(15.8%) strongly agree. This shows
that majority of the respondents agreed that project cost management has impacts on
construction cost.

55
Table 6.7: Project time management has an impact on Construction time

Project time management has an impact on Construction time

Frequency Percent Valid Percent Cumulative Percent

Valid SD 15 9.1 9.1 9.1
D 30 18.2 18.2 27.3
U 90 54.5 54.5 81.8
A 24 14.5 14.5 96.4
SA 6 3.6 3.6 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

Figure 11: Project Time Management Has an Impact on Construction Time

From the table above, responses of the respondents has 15(9.1%) strongly disagree, 30(18.2%)
disagree, 90(54.5%) undecided, 24(14.5%) agree while 6(3.6%) strongly agree. This shows that
majority of the respondents agreed that time management has an impact on Construction work.

56
Table 6.8: Project communications management have impacts on Client satisfaction

Project communications management have impacts on Client satisfaction

Frequency Percent Valid Percent Cumulative Percent

Valid SD 13 7.9 7.9 7.9
D 51 30.9 30.9 38.8
U 18 10.9 10.9 49.7
A 73 44.2 44.2 93.9
SA 10 6.1 6.1 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

Figure 12: Project Communications Management Have Impacts on Defects Clients Satisfaction

From the table above, responses of the respondents has 13(7.9%) strongly disagree, 51(30.9%)
disagree, 18(10.9%) undecided, 73(44.2%) agree while 10(6.1%) strongly agree. This shows that
majority of the respondents agreed that project communications management have impacts on
client satisfaction.

57
Table 6.9: Project risk management have impacts on Client satisfaction

Project risk management have impacts on Client satisfaction

Frequenc Percent Valid Percent Cumulative

y Percent
Valid SD 5 3.0 3.0 3.0
D 16 9.7 9.7 12.7
U 49 29.7 29.7 42.4
A 89 53.9 53.9 96.4
SA 6 3.6 3.6 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

Figure 13: Project Risk Management Have Impacts on Defects Clients Satisfaction

From the table above, responses of the respondents has 5(3.0%) strongly disagree, 16(9.7%)
disagree, 49(29.7%) undecided, 89(53.9%) agree while 6(3.6%) strongly agree. This shows that
majority of the respondents agreed that Project risk management have impacts on Client
satisfaction.

58
Table 6.10: Project Procurement Management impacts on Project Productivity

Project Procurement Management impacts on Project Productivity

Frequency Percent Valid Percent Cumulative Percent

Valid 15 9.1 9.1 9.1
SD
D 23 13.9 13.9 23.0
U 16 9.7 9.7 32.7
A 40 24.2 24.2 57.0
SA 71 43.0 43.0 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

Figure 14: Project Procurement Management Impacts on Profitability Productivity

From the table above, responses of the respondents has 15(9.1%) strongly disagree, 23(13.9%)
disagree, 16(9.7%) undecided, 40(24.2%) agree while 71(43.0%) strongly agree. This shows that
majority of the respondents strongly agreed that project procurement management impacts on
project productivity.

59
Table 6.11: Companies who implement project management outperform others.

Companies who implement project management outperform others.

Frequency Percent Valid Percent Cumulative

Percent
Valid 20 12.1 12.1 12.1
SD
D 12 7.3 7.3 19.4
U 116 70.3 70.3 89.7
A 9 5.5 5.5 95.2
SA 8 4.8 4.8 100.0
Total 165 100.0 100.0
Source: Researcher Field Survey 2024.

Figure 15: Companies Who Implement Project Management Outperform Others

From the table above, responses of the respondents has 20(12.1%) strongly disagree, 12(7.3%)
disagree, 116(70.3%) undecided, 9(5.5%) agree while 8(4.8%) strongly agree. This shows that

60
majority of the respondents could not decide if companies who implement project management
outperform others.

6.1.5 SECTION F: Challenges Militating Project Management Practices in Nigeria.

Table 6.12: Challenges Militating Project Management Practices in Nigeria.

Descriptive Statistics

N Mean Std. Deviation Rank

Finances 165 4.09 1.199 1
Technical know-how 165 3.81 1.356 2
Human resources 165 3.67 1.149 3
Absence of 165 3.04 1.446 4
accountability
Valid N (listwise) 165
Source: Researcher Field Survey 2024.

From the table above, the challenges militating project management practices in Nigeria has a
mean of 4.01 as finances, 3.81% for technical know-how, 3.67% for human resources, while
3.04% represent absence of accountability. This implies that finance, technical know-how and
effective human resources practices is a major challenge of project management in Nigeria,
although the standard deviation indicates a high spread of scores and potential diversity of
opinions among the respondent which can be connected to the foreign construction companies as
they are more equipped with facilities that enables them to properly adopt project management.

61
6.1.6 SECTION G: Solutions to Challenges.

Table 6.13: Solutions to the Challenges

Descriptive Statistics

N Mean Std. Deviation Rank

Subsidizing 165 3.34 1.102 4
construction
materials
Enacting adequate 165 3.02 .873 5
laws on PM
Making project 165 3.57 .919 3
management
obligatory
Education 165 4.10 1.241 1
Stakeholders’ 165 3.96 1.336 2
involvement in
project planning
Valid N (listwise) 165
Source: Researcher Field Survey 2024.

From the table above, solution to the challenges militating project management practices in
Nigeria has a mean of 3.34 as subsidized construction materials, 3.0% for enactment of adequate
laws on project management, 3.57 for setting up of project monitoring team, 4.10 for education,
while 3.96 represent stakeholder involvement in project planning.

This survey found out that there is a strong consensus amongst respondent that education is a
critical solution for addressing challenges faced by construction companies.

62
6.2 Test of Hypothesis

Table 6.14: Correlational analysis test of project management practices and performance
of construction companies.

Correlations

Project Performance of
management construction
practices companies
Project management Pearson 1 .796**
practices Correlation
Sig. (2-tailed) .000
N 165 165
Performance of Pearson .796** 1
construction Correlation
companies Sig. (2-tailed) .000
N 165 165
Correlation is significant at the 0.01 level (2-tailed).

Key: r = Correlation coefficient, Sig = Level of significance (p value).

Source: Project management practices and performance of construction companies, March

2024.

Table 21 above shows Correlation output. The results are organized in a 2 x 2 matrix, where
column 1 and column 2 represent project management practices and performance of construction
company’s variables, respectively. Each cell of this matrix presents the Pearson’s r correlation
between the variables, the significance levels for each correlation, and the number of subjects
represented by each correlation from which the degrees of freedom can be obtained (for
Pearson’s r df = n - 2). The cells forming the diagonal of this matrix, row 1 column 1 and row 2
column 2, represent each variable’s correlation with itself. These correlations are meaningful;
thus, the significance levels are provided. From the table above, the correlation between project
management practices and performance of construction companies is .796** and has a
significant level of .000 degree of freedom.

63
Thus, we can conclude that these two variables are significantly and strongly positively
correlated. That is, there is a significant relationship between project management practices and
performance of construction companies. This implies that construction companies can perform
better if the project management practices is effective.

Table 6.15: Correlational analysis test of implementation of 10 knowledge areas of project

Management and performance indicators.

Correlations

Implementation of Performance
10 knowledge areas indicators.
Implementation of 10 Pearson 1 .938**
knowledge areas Correlation
Sig. (2-tailed) .000
N 165 165
Performance Pearson .938** 1
indicators. Correlation
Sig. (2-tailed) .000
N 165 165
Correlation is significant at the 0.01 level (2-tailed).
Key: r = Correlation coefficient, Sig = Level of significance (p value).

Source: Implementation of 10 knowledge areas and performance indicators, March 2024.

Table 22 above shows correlation output. The results are organized in a 2 x 2 matrix, where
column 1 and column 2 represent implementation of 10 knowledge areas and performance
indicators variables, respectively. Each cell of this matrix presents the Pearson’s r correlation
between the variables, the significance levels for each correlation, and the number of subjects
represented by each correlation from which the degrees of freedom can be obtained (for
Pearson’s r df = n - 2). The cells forming the diagonal of this matrix, row 1 column 1 and row 2
column 2, represent each variable’s correlation with itself. These correlations are meaningful,
thus, the significance levels are provided. From the table above, the correlation between

64
implementation of 10 knowledge areas and performance indicator is .938** and has a significant
level of .000 degree of freedom.

Thus, we can conclude that these two variables are significantly and strongly positively
correlated. That is, there is a significant relationship between implementation of 10 knowledge
areas and performance indicators. This shows that the key 10 knowledge areas needs to be
implemented for construction companies to perform up to expectation.

Table 6.16: Regression analysis test of challenges militating the utilization of project
management and performance of construction companies in Nigeria.

Variables Entered/Removed

Model Variables Entered Variables Removed Method

1 Performance . Enter
a. Dependent Variable: Utilization of Project Management
b. All requested variables entered.
Model Summary
Model R R Square Adjusted R Square Std. Error of the
Estimate
1 .888a .788 .786 .568
a. Predictors: (Constant), Performance

ANOVA

Model Sum of Squares df Mean F Sig.

Square
1 Regressio 195.064 1 195.064 605.0 .000b
n 68
Residual 52.548 163 .322
Total 247.612 164
a. Dependent Variable: Utilization of Project Management
b. Predictors: (Constant), Performance
Coefficients

65
 Model Unstandardized Standardiz T Sig.
Coefficients ed
Coefficients
B Std. Error Beta
1 (Constant) -.082 .135 -.612 .541
Performance .821 .033 .888 24.59 .000
8
a. Dependent Variable: Utilization of Project Management
Regression coefficient of R = .888 or 88% indicates that relationship exists between independent
variables and dependent variables. The coefficient of determination R 2 = 0. 788 which shows that
78% of variation in project performance is explained by utilization of project management
practices. The adjusted R-square in the table shows that the dependent variable, (project
performance) is affected by 78% by independent variable (project management practices). This
shows that there are positive effects of project management practices on project performance.

Also, the coefficient of determination for project management practices is positive (.541) and is
highly significant (0.000) in organizational performance. The p-value of 0.000 is less than the t-
statistic value of 24.598 and the standard error value of 0.033. This implies that a unit increase in
project management practices will lead to a 78 percent performance increase in project
performance. Therefore, the Null hypothesis is rejected, and alternate hypothesis is accepted,
meaning that there is a significant relationship between utilization of project management and
performance of construction companies.

6.3 Findings

The study made six distinct findings in line with the research objectives.

The first finding of the study is that “project management knowledge areas important for the
success of construction projects". The descriptive analysis and the mean derived from the
respondents showed that all the elements of project management are essential for the success of
construction projects. Data analyzed from the respondents showed that all elements of project
management knowledge areas have positive impacts on the success of construction projects.

Secondly, the study reveals that” construction companies in Nigeria utilize project management

66
knowledge areas". The survey examined how often companies utilize different project
management knowledge areas. While the average utilization across all areas is below 3,
indicating room for improvement, some areas are prioritized more than others. Risk
management, stakeholder management, and communication management are the most used, with
risk management having the highest average score. In contrast, time management, integration
management, and quality management are used the least. It's important to note that these
rankings may not apply to every company, as ownership structures can influence which areas
they focus on.

Thirdly, “performance indicators are important for the success of construction projects "From the
descriptive analysis of the response of the respondent’s performance indicators are effective in
monitoring and keeping track of the performance of construction in line with determined
objectives.

Fourthly, there is a correlation between project management and project performance. The
regression analysis carried out by correlating the elements of project management knowledge
areas and performance indicators showed a positive relationship between project management
and performance. Therefore, is succinct to say that adherence to project management practice
accounts for project performance.

Also, the study found that there are three key problems militating against the implementation of
project management and performance management among construction companies in Nigeria.
They are financial challenges, human resources challenges, and technical knowledge. The study
also found that these challenges are experienced differently by foreign and local companies.

Finally, the study finds that the above problems could be settled by; the government should
subsidize the price of construction equipment; project management should be compulsory for
every project. The government should enact law that regulates construction projects and
performance in Nigeria.

67
68
 Chapter Seven

Conclusion and Recommendation

7.1 Conclusion

It was concluded that project management ensures the effective performance of construction
projects and client’s satisfaction. Strictly adherence to the Project management tools and
technologies are effective in the planning and management of construction projects. Adherence
to project management technics is key to project performance. The utilization of the ten (10)
knowledge areas is effective in the smooth execution of construction projects. The problems
associated with the adoption of construction management among Nigerian construction
companies are lack of finance, lack of human capital management, and how to militate against
the adoption of project management tools and technologies.

The study established that most of the respondents were satisfied with the project achieving its
goals and objectives. This is because most of the projects engaged experts prior to the
commencement of the projects leading to good preparation. The study also envisaged that many
respondents believed that projects management is key for effective project performance to a
great extent. However, it was the preserve of the experts because all the architectural designs
were done by experts such as architects, quantity surveyors, environmental experts. Despite the
usefulness of project management in determining project performance, this study observed that
financial constraints, lack of human resources managements are major setback to project
management in Nigeria.

More also, if project management practices are well managed, there is a very high possibility of
having a viable project that will guarantee a sound business success. This is associated with the
corresponding increase with the cost of production. One of the key principles of project quality
management is that quality is planned in, not inspected in. Planning for quality is more cost
effective than inspecting work results and doing the work over, or correcting problems to adhere
to quality demands. Time management is often critical for any successful project. The most
common cause of bloated project budgets is lack of schedule management. In conclusion,
encouraging team collaboration through team cooperation and shared decision making will in a
short time improve the success of construction firms.

69
7.2 Recommendation

The study makes the following recommendation in line with the findings:

1. Project management and performance evaluations are ideal for project execution and
government should make adequate laws to ensure adherence.
2. Construction companies should prioritize project management tools as it is effective for
projects performance.
3. The government should subsidize and reduce taxes on construction technologies and
tools as they are at the health of every construction project.
4. Management of construction firms should take measures to ensure that project
management skills and strategies are adequately considered in the planning and execution
of construction projects.
5. To minimize total project cost on the side of the clients, the project managers should be
innovative enough and creative in the way they apportion project cost
6. Management of construction firm should review project performance with focuses on
evaluating projects efficiently and in context, identifying important improvement
opportunities and leading project and organizational management practices, these can be
put in place to give stakeholders confidence in the control and delivery of their projects
without waste.
7. Lastly, a very good project management framework should take cognizance of cultural,
structural, practical and personal elements to eliminate unnecessary elongation of time of
project delivery.

70
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