Project Cost Management and Performance of Urban Road Projects in Kenya

Abstract

The construction industry has complexity in its nature because it contains a large number of parties such as clients, contractors, consultants, stakeholders, shareholders, and regulators. The urban road projects have been experiencing poor performance in form of delays in completion, high cost, and low quality. This paper sought to determine the relationship between project cost management and the performance of urban road projects in Kenya. The study adopted descriptive survey research, while the target population was 408 construction registered professionals within Kenya urban roads authority projects. A sample size of 202 was used. Primary data was collected through the administration of questionnaires. Findings revealed that project cost management had a positive and statistically significant influence on the performance of urban road projects in Kenya. The study concluded that project cost management significantly contributes to the enhanced performance of urban road projects in Kenya. The study recommended that construction firms’ management needs to strengthen project cost management. In particular, the management should focus on enhancing the following project cost management aspects: resource acquisition, cost estimation, cost budgeting, and cost control. Keywords: Project cost management, Performance, Urban road projects