Project Risk Management Practices and Project Success: The Moderating Role of Transformational Leadership
DOI:
https://doi.org/10.62843/jrsr/2025.4d192Keywords:
Project Risk Management, Risk Identification, Risk Assessment, Risk Transfer, Project Success, Transformational Leadership, Moderation, Public Sector, PakistanAbstract
This study examines how operationalised project risk management practices (PRMPs), risk identification, risk assessment, and risk transfer, affect project success in Pakistani public sector organisations. It also tests the moderating role of transformational leadership (TL) in the relationship between PRMPs and project success. The study closes gaps in the literature because, although risk management techniques are often debated in theory, they are rarely used methodically in practice, particularly in project-based businesses in developing nations. 186 employees of a public-sector project-based organization in Pakistan were given structured questionnaires with validated Likert scales as part of a quantitative, cross-sectional descriptive approach. The sample size was conveniently calculated using Yamane's (1967) method. According to Cohen, Cohen, West, and Aiken (2013), the data were analysed in SPSS utilising reliability, descriptive, multicollinearity and heteroscedasticity diagnostics, correlation analysis, multiple regression, and hierarchical moderation analysis. The findings show that risk identification (β = 0.39, p < 0.01), risk assessment (β = 0.34, p < 0.01), and risk transfer (β = 0.28, p < 0.01) all have favourable and substantial effects on project success, accounting for 52% of the variance in project success. According to moderation analysis, there is a substantial positive relationship between risk management methods and project performance (ΔR² = 0.09, p < 0.01). Drawing from the theories of Expected Utility Theory, Social Exchange Theory, and Transformational Leadership Theory, the study adds to the body of knowledge on project management by validating an integrated model in the context of Pakistan's public sector and recommending that top management take transformational leadership into account as a crucial facilitator of risk-aware project execution.
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