Factors Influencing Enterprise Risk Management Implementation of Construction Firms in Lagos State, Nigeria
Publication: Practice Periodical on Structural Design and Construction
Volume 28, Issue 2
Abstract
Enterprise risk management (ERM) is known to be an important internal component within companies for identifying, evaluating, and managing various risks for the achievement of organizational objectives. The after-effect of the global financial crisis in 2008 as well as continued rising inflation in various countries in recent times has led to a drastic change in the management of risks by organizations. In spite of the benefits of ERM, several factors seem to influence its implementation in construction companies. This study aims to examine the factors influencing ERM implementation of construction contracting firms with the purpose of providing answers to the following research questions: what is the categorization of the factors inhibiting ERM implementation in construction contracting firms? Does the type of ownership of construction contracting firms influence the factors promoting ERM implementation within the respective firms? The study adopted survey research. A purposive sampling technique was used to administer 96 questionnaires to registered contracting organizations involved in the planning and subsequent execution of construction contracts in Lagos state, Nigeria. The data collected were analyzed using descriptive and inferential statistics. The study revealed that top management related and organizational related factors are the significant factors inhibiting ERM implementation. It was also highlighted that there is no significant difference among construction contracting companies on the factors promoting ERM implementation. The study concluded that awareness of the concept by top management aids implementation and supports as a business strategy.
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Data Availability Statement
Some or all data, models, or code that support the findings of this study are available from the corresponding author upon reasonable request: data collected from the research instrument.
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Published In
Practice Periodical on Structural Design and Construction
Volume 28 • Issue 2 • May 2023
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© 2023 American Society of Civil Engineers.
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Received: Feb 5, 2022
Accepted: Sep 17, 2022
Published online: Feb 13, 2023
Published in print: May 1, 2023
Discussion open until: Jul 13, 2023
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