Thesis: Influence of stakeholder management on project performance at the state department of housing & urban development Nairobi, Kenya.
Authors
Wanyamu, Martin MuriukiAbstract
This study addressed significant performance issues within the State Department of Housing and Urban Development in Kenya, where housing projects frequently experienced schedule delays, cost overruns, and quality concerns. The Affordable Housing Program, which faced a 2-million-unit housing deficit, struggled due to limited funding, high construction costs, financing constraints, and regulatory hurdles. The primary objective of this research was to explore the influence of stakeholder management practices on project performance within the Affordable Housing Program at the State Department of Housing and Urban Development in Kenya. The study pursued the following specific aims: to evaluate stakeholder needs and expectations on project performance, to analyze the effect of communication on project performance, and to assess the influence of stakeholder involvement on project performance. The research was grounded in stakeholder theory, agency theory, and Grice's theory of implicature. A descriptive research design was employed, targeting 5871 project managers and civil servants overseeing Affordable Housing Program projects in different regions within Nairobi. Stratified sampling was used to account for regional variations, with a sample v size of 375 project managers determined using the Yamane formula. Structured questionnaires served as the primary data collection tool, with a pilot study conducted on 8% of the sample size. Reliability was assessed using Cronbach's alpha, with values exceeding 0.7 considered reliable. Data analysis methods included frequencies, percentages, means, standard deviations, correlation analysis, and regression analysis, with a significance level set at 95% confidence for two-tailed analysis. The findings were presented through figures and tables, offering insights for improving project performance in the affordable housing sector. Descriptive statistics revealed that stakeholders placed the highest priority on affordable housing (mean = 4.44), quality (mean = 3.77), and infrastructure development (mean = 3.68). However, regression analysis indicated that stakeholder needs and expectations (p = .308) did not significantly impact project performance. Communication, with a mean score of 4.32, emerged as the most significant predictor, positively influencing project outcomes, including timely completion (mean = 4.25), budget adherence (mean = 4.32), and stakeholder satisfaction (mean = 4.33). Stakeholder involvement (p = .870), although emphasized, did not show a statistically significant influence on project performance. The study concluded that communication was the critical driver of project success, while stakeholder needs and involvement, though important, did not directly affect performance outcomes in measurable ways. The study recommended enhancing communication practices, improving feedback mechanisms, and educating stakeholders on their resource contributions. Strengthening sustainability practices (mean = 3.73) and adopting more proactive risk management strategies were also advised. Additionally, leveraging technology for enhanced project monitoring was suggested to ensure projects met timelines, budgets, and quality standards.
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