Impact of Risk Management and Benefits Management on Project Success with the Moderating Role of Effective Project Governance

Abstract

This study explores the influence of Risk Management (RM) and Benefits Management (BM) on Project Success (PS) with the moderating role of Effective Project Governance (EPG). This research has also been aimed to provide appropriate pathways for managers and management by directing on the possible way of focusing on project success. The study was conducted among the project managers and project associates of project-based organizations in Pakistan. Data were collected from 190 respondents working in various organizations and having foremost experience to handle numerous projects. The results of the study indicate that risk management and benefits management have a significant impact on PS. The study shows that the moderating role of effective project governance significantly moderates the relationship between benefits management and PS and has an insignificant impact on the relationship between risk management and PS. The studys conceptual framework is duly overarched by the agency theory with supportive philosophies of stewardship theory and classical management theory simultaneously. This research will provide adequate guidelines to the project managers, leaders, and stakeholders to ascertain the importance of project risk management. Nonetheless, the managers will use this research to chalk out innumerable strategies for their project risks and take care of possible risk occurrences and its circumvention in managing the projects. Benefits management is an indispensable and essential aspect which has been highlighted in this research thoroughly. However, the benefits management has created a strong impact, which is directing towards the success of the project, significantly. In future, managers will also be able to manage their projects for maximizing its edge from benefits management concept, too. EPG, as a moderator, has played a decisive role among BM and PS and insignificantly moderates among risk management and PS. There is positive moderation which implies that managers, leaders and supervisors should be well-aware of effective project governance concept, and it should be implemented. Effective project governance is significantly associated with the success of the project. Managers, engineers and supervisors should be given training on how effective project governance can be implemented, so that maximum benefit for the project may be achieved.