Appraisal of Risk Management Practices of Small and Medium Construction Companies in Kano State.

ABSTRACT
The aim of this study is to carry out an appraisal of risk management practices of small and medium
construction companies in Kano state with a view to mitigate the severity of Global Risk Factors
(GRF). The specific objectives are: To assess the level of awareness of risk management practices
by small and medium construction companies in Kano state; To identify the current risk
management practices adopted by these companies; To assess the current implementation of risk
management practices adopted by these companies. This study has employed a quantitative
research approach using a descriptive survey design. The target population was small and medium
construction companies operating in Kano state. A proportionate stratified random sampling
technique was used to select the sample. Data was collected through a structured questionnaire on
a five-point Likert scale, covering various aspects of risk management practices, awareness, and
impact on project performance. The collected data was analyzed using appropriate statistical
techniques, such as descriptive statistics, to address the research questions and test the hypotheses.
The findings revealed that most SMEs have formal risk management plans and actively engage in
risk identification, assessment, and mitigation. However, risk monitoring is less consistently
implemented, suggesting a gap in continuous risk tracking throughout project lifecycles. Risk
management responsibilities are often handled by project managers and business owners, with
limited involvement from dedicated risk professionals. This highlights a reliance on multitasking
personnel rather than specialized risk management expertise. Although awareness of risk
management principles is high, formal training and education in the subject remain limited. Many
companies rely on informal training methods such as workshops and on-the-job learning, which
may not fully equip employees with advanced risk management skills. Challenges in implementing
risk management strategies include financial constraints, time limitations, and lack of technical
expertise. Despite these challenges, there is strong recognition of the importance of risk
management for successful project execution.