Journal of Business & Financial Affairs

Project Monitoring and Evaluation and Project Success in Local Government in Rwanda

Abstract

Rusibana Claude* and Twagirayezu Didace

Efficiency of road infrastructure projects is essential for the economic growth and development of any country. These projects play a critical role in the economy in terms of wealth creation and provision of employment opportunities. Infrastructure covers a range of services, from public utilities such as power, telecommunications, water supply, sanitation and sewerage, solid waste collection and disposal, and piped gas; to public works such as roads, dams and canal works, railways, urban transport, ports, waterways and airports. Massive investments are put into infrastructure projects. Throughout the world, the business environment within which construction project operate continues to change rapidly for betterment of citizens, projects management are still failing to adapt and respond to the complexity of the new environment tend to experience survival problems. With increasing users of the road’ requirements, environmental awareness and limited resources and high competition, lack of skills of contractors have to be capable of continuously improving the efficiency of the project during implementation Efficient performance of road infrastructure projects is essential for economic growth and development of any country. Local construction firms contribute significantly towards realization of this goal. However, road projects experience challenges in completing within the budgeted cost, time schedule and attaining the desired quality. This research sought to establish the effects of project monitoring and evaluation on project success in local government road projects. The study carried out in the Kicukiro District on the Cricket road construction project in Rwanda, Gahanga Sector. The target population was 827, where the sample size used was 90 selected using probability sampling technique and the systematic sample method was used. The researcher used an explanatory research design to establish the causal relationship of the variables under study. Data were collected using questionnaire and analysed using SPSS version 22. The Statistical findings indicated that staff technical skills during the M&E are not statistically significant on project success. Technical skill of staff is not significant on project completion period as planned at p-value of 0.81>0.05; and not significant to meeting project costs compared to estimated project cost at p-value of 0.479>0.05, while not significant on helping the project to achieve its desired goals where the p-Value was 0.540>0.05. These statistics indicated that having technical skills does in M&E does not matter in project success. Possessing skills is not enough as using them properly, professionally and technically to enhance the project performance. The statistical findings indicated that the M&E budget is not significant on project completion on time as planned at p-value of 0.959>0.05 and not at the same time significant on meeting project costs as estimated at a coefficient of significance of p-value 0.745>0.05 and finally not significant on project meeting its set goals at p-value of 0.816>0.05. This shows that project performance is not only due to the available budget and approved, it depended on how the budget is effectively allocated to the task of monitoring and evaluation of the project as stipulated in the project design and implementation plan. It is clear from the regression analysis that stakeholder’s involvement in M&E helps the project management to collect feedback on what have been compared to the expected that satisfy the stakeholders needs. The findings indicate that, stakeholder’s engagement in M&E and feedback is significant on project competition on time compared to the expected time at a p-value of 0.01<0.05, but not significant on meeting project costs as budgeted at p-value of 0.760>0.05 while not significant also to project achieving its goals at p-value of 0.217>0.05. Due to lack of major influence during the project design and implementation, the feedback of stakeholders during the monitoring and evaluation may not have so much significant effect on the project success.