| Abstract: | The main objective of this research was to analysis the effect of risk management on projects performance
and how it affects project time performance. Since the problem of the study was lack of completion of project
at a given time schedule, this research is conducted mainly to analysis usage of risk management on projects
in order to check what should be done to improve projects performance as reflection of effective risk
management. The research targeted project managers and other staff related to project management in the
company. This research used quantitative method of data collection, it is based on a scheduled questionnaire
survey to collect the primary data using purposive sampling of nearly or fully completed projects. Data from
respondents by rating on a Likert scale were processed and analyzed through SPSS. The extent of
agree/disagree of respondents about research variables was assessed by using the Mean Score (MS). Risk
management method is documented, based on questionnaire survey in percentage through tables. Significant
factors of the risk were identified by ranking the risk factors based on the response of respondents regarding
their probability of occurrence. The objective of studying the impact was achieved through testing using
regression analysis between risk management process (risk identification, risk assessment, risk mitigation,
risk implementation and risk monitoring) as the independent variables with time schedule as dependent
variables. This study showed a positive linear relationship between risk management and project
performance. Specifically, effective identification of risk analysis as well as risk mitigation at planning and
implementation of a considerable level of stage involve large statistical effect about the performance of
project. Findings also revealed that risk management process require a bit of improvement in organizational
projects. In addition, the thesis makes a contribution to practice. The findings of this study can assist project
managers in improving existing risk mitigation strategies, which will benefit many stakeholders in the
Ethiopian Electric Power sector in streamlining the project development process and lowering project risks. |
