Abstract:
Road construction sector is one of the key economic sectors and is the main force
motivating Ethiopian national economy. However, it suffers from a number of
problems that affect time, cost and quality performances. On the other hand, Risk
management increase level of control over the whole project and is more efficient
problem solving process. This research aimed to investigate risk management practice
affecting project deliverables in road construction projects under Ethiopian Road
Authority, Jimma district and recommend remedial measures.
Road construction projects prone to delay in the past ten years have been identified and
the risk management practice of project stakeholders has been assessed in comparison
with standard risk management plan on literatures using questionnaire and case study.
Findings of the investigation tools proved that risk management is not practiced in road
projects in a structured way but some of its components exist in terms of Environmental
Impact Assessment (EIA), Social Impact Assessment (SIA), Quality Management
System and insurance. However, the proper practice of risk management having its own
structure is crucial to avoid failures in achieving project objectives. Therefore, the
research has made recommendations for the road construction industry, to develop risk
management manual that would be prepared including basic theoretical information as
well as ready-to-use guidance for each risk management process to be an effective tool
for project managers in setting priorities and showing places of success and failure to
maximize profit.
