Improving project performance strategy on residential infrastructure based on risk management

Abstract

Project performance is crucial for ensuring long-term success and providing value for learning in subsequent projects. The failure rate of infrastructure development in Bekasi Regency, West Java, exceeded 60% due to external factors that were not properly managed. These external factors necessitate handling involving many stakeholders, both internal and external. This study aims to formulate a strategy to improve the performance of infrastructure projects in Bekasi, West Java, based on risk management, particularly external risks involving multiple parties. Through quantitative analysis by distributing questionnaires to 200 respondents involved in infrastructure development in Bekasi, this study conducted an analysis using SEM-PLS to determine the correlation and significance of each variable dimension to the risk of infrastructure failure in Bekasi, West Java. The results of the quantitative analysis were validated through in-depth interviews with seven experts to develop strategies for improving project performance. The study's outcome is a recommended strategy formulation for contractors and owners to take various strategic steps to address external risks in residential projects, including unpredictable risks and those related to third parties. The implementation of these recommendations is essential to ensure high project performance in terms of cost, quality, time, safety, and environmental considerations in future infrastructure development in Bekasi and other cities with similar characteristics.