CAPACITY NEEDS ASSESSMENT AND PERFORMANCE OF CONSTRUCTION FIRMS IN ANAMBRA STATE, NIGERIA

Abstract

In developing countries like Nigeria the construction industry continues to record chronic under-performance, limited access to modern equipment, weak management practices, frequent project delays and cost overruns, which impede the performance of construction firms. This study examined the relationship between capacity needs assessment and performance of construction firms in Anambra State. The specific objectives of the study were to investigate how various aspects of capacity needs such as technical expertise and financial capacity, affect performance of construction firms in Anambra State in terms of efficiency and project execution, To achieve these objectives, two research questions and corresponding hypotheses were formulated to guide the study. The study was anchored on Resource-Based View (RBV) theory primarily credited to Jay Barney (1991). It utilized descriptive survey research design. The population of study consist of 10 construction firms in Anambra state.  Data were collected from both primary and secondary sources with the questionnaire serving as the major instrument of data collection. The data obtained from primary sources were analyzed using both descriptive and inferential statistical techniques. Descriptive statistics, including tables, simple percentages, and mean scores, were employed to present and summarize the data. For hypotheses testing, inferential statistical techniques, specifically the Pearson Product Moment Correlation (r) technique was employed using the Statistical Package for Social Sciences (SPSS) version 25. The hypotheses were tested at a 0.05 level of significance. Findings revealed that technical expertise and financial capacity have significant positive effect on performance of construction firms in Anambra State in terms of efficiency and project execution. Based on these findings, the study concluded that capacity needs assessment is a critical determinant of construction firm performance in Anambra State. It recommends that construction firms should invest in recruiting qualified technical professionals and engage them in continuous capacity building on modern construction technologies, standards, and methodologies in order to improve operational efficiency.