Factors influencing performance of development projects funded by department for international development: a study of Somaliland development fund

Abstract

In order for optimal project performance to be attained, adopted projects need to apply appropriate techniques, knowledge, tools and skills so as to ensure that the projects actually strive to fulfill desired mandate hence become successful. In order to effectively manage projects, a five sequential processes ought to be followed that entails; initiation; planning; execution; controlling and lastly project closure. The purpose of the study was to examine the factors influencing performance of development projects funded by DFID; a study of Somaliland Development Fund (SDF).The study was guided by the following specific objectives; to determine the influence of technical expertise on the performance of Somaliland Development Fund Projects (SDFP), to examine the influence of political instability on the performance of Somaliland Development Fund Projects, to establish the influence of stakeholders involvement on the performance of Somaliland Development Fund Projects and to determine the influence of management expertise on the performance of Somaliland Development Fund Projects.The study used two theories; resource based view and the stakeholder theory. The study adopted descriptive research design. The target population comprised of managers, government officials and employees involved in the implementation of the SDFP, community members were also targeted. This study adopted a probabilistic sampling technique whereby stratified random technique was used to select sample size of 63 respondents from the target population. The primary data was collected using structured questionnaires. A pilot study was conducted to test the reliability and validity of the research instrument. The study computed percentages, means and frequencies that helped in analysis of the collected data. In addition, frequency tables and percentages were used to appropriately present the results of analysis and a multivariate regression analysis was used to determine the factors that affect performance of SDFP. The study found out that technical skills enables managers to develop plans on costs and expenditure needed to achieve the project goals, create work plan from inception to the completion of the project as well attract the required qualified personnel to work on the intervention activities, majority of the respondents indicated to a great extent that performance of Somaliland Development Fund (SDF) is affected by political instability. The appetite for political interference by political elites, especially in procurement related activities may greatly affect the performance of the projects, stakeholders are important to the implementation, monitoring and evaluation of the donor activities and the responsibility of top management characterised by their expertise to ensure good and effective management of the implementation phase of activities. The study concludes that there was positive effect of technical expertise on the overall performance of the SDF projects, participatory engagement of stakeholders and managing of political interests fosters contribution of all experts and political elites involved in project implementation and good coordination leads to greater project efficiency that has positive link to project performance. The study recommends for a combination of multiple factors to ensure successful performance of development projects. It is a combination of staff technical expertise, stakeholders’ engagement, management of political interference through well-organized strategic management team.