DEVELOPING MODELS FOR PREDICTING THE IMPACT OF RISK FACTORS ON CONSTRUCTION CONTRACTORS CASH FLOW FORECASTS IN NIGERIA

📄 Project Abstract

Research has shown that construction contractors face challenges when attempting to manage their present and future financial requirements, via cash flow (CF) forecasting and/or the use of cash flow forecasting (CFF) models. Consideration for risk factors impacting on CF forecasts/CFF models has also been identified as a key issue affecting contractors' application of CFF models. The aim of the research is to develop models for predicting the impact of risk factors on CF forecasts predicted by contractors in Nigeria. A list of risk factors that impact on CF forecasts were identified through the review of existing literature on cash flow management, cash flow forecasting, risks in cash flow forecasts and factors contributing to project delays. The identified risk factors were then investigated in relation to the likelihood of occurrence and the impact on CF forecasts, if they occur. Data was collected via a questionnaire survey of contractors operating in the Nigerian construction indus...