Stakeholder Engagement Strategies and Road Construction Project Performance
Nziyumvira Innocent Lucien · Amolo Elvis Juma Amolo
International Journal of Finance & Banking Studies · 2025 · Vol. 14 / Issue 1 · 68-78
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Abstract
Projects that actively engage stakeholders experience fewer conflicts, smoother execution, and stronger alignment between project deliverables and stakeholder satisfaction. Despite the recognized significance of stakeholder engagement, there is a lack of empirical research, especially addressing the Rwandan construction sector that quantifies the influence of stakeholder participation on project performance. The general objective of the study was to examine the effect of stakeholder engagement strategies on performance of road construction projects in Musanze District, Rwanda. The study was based on Stakeholder Theory, Agency Theory, and the Theory of Change. The research design included descriptive and correlational research designs to explore how different stakeholder engagement strategies affected the performance of RUDP. A sample size of 122 respondents out of 176 stakeholders involved in the Rwanda Urban Development Project (RUDP were selected through random sampling. Data collection involved questionnaires, interviews, and documentary techniques using reports and records from RUDP. A pilot study was conducted on 13 respondents, representing 10% of the overall sample size. Reliability was assessed through Cronbach's Alpha gave 0.815 and validity was assessed using the content validity index of 0.86. Data analysis involved descriptive and inferential statistics of correlation and regression at a significance level of 0.05 using the SPSS version 25. Based on the findings, the hypothesis that: there is no significant effect of stakeholder involvement (P=0.000<0.05); stakeholder collaboration (P=0.000<0.05); stakeholder participation (P=0.000<0.05) and; stakeholder empowerment on performance of road construction projects, were rejected, confirming that stakeholder engagement strategies have significant positive effect on performance of road construction projects. The study recommended that the management of RUDP enhance stakeholder involvement by establishing effective communication channels, fostering collaboration among government agencies, contractors, and local stakeholders. Future research could explore the impact of digital tools on stakeholder engagement in road construction projects.
Keywords: {'name': 'Stakeholders Engagement Strategies, Stakeholder Involvement, Stakeholder Collaboration, Stakeholder Participation, Stakeholder Empowerment, Performance of Road Construction Projects'}
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Nziyumvira Innocent Lucien
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Amolo Elvis Juma Amolo
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