This study undertakes a critical analysis of risk management as a formal technique for managing risks in project execution. It specifically probes into the proximate sources of risk into construction projects in Nigeria, the level of awareness and use of the technique amongst Nigerian construction professionals with a view to properly situating the remote causes of project distress and abandonment in Nigeria. In carrying out the study, large scale construction projects were targeted. Primary data came from a Personal Contact Interview Approach using Objective Evaluation Questionnaires on top Project managers, Engineers, Quantity surveyors and Architects in the projects. Textbooks, professional journals and conference/workshop papers provided the input for the secondary data. Analysis of feedback was by factor analysis and regression analysis. The study found out that the level of awareness and application of sophisticated tools and techniques of risk management among construction professionals in Nigeria is low. Also it was found out that design efforts, construction activities and environmental issues constitute proximate sources of risk to construction projects. The conclusion therefore is that the high incidences of construction project failures and abandonment can be significantly attributed to the low level of awareness and consequently inadequate application of modern techniques of risk management by construction professionals. The study therefore makes a recommendation for capacity building in the relevant areas of risk management for professionals in the Nigerian construction industry among others.
