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Nixon 2011 Leadership Performance Is Significant To Project Success or Failure
Nixon 2011 Leadership Performance Is Significant To Project Success or Failure
www.emeraldinsight.com/1741-0401.htm
IJPPM
61,2 Leadership performance is
significant to project success or
failure: a critical analysis
204
Phil Nixon
Faculty of Social and Behavioral Sciences, University of Queensland,
Received June 2011
Accepted July 2011 Brisbane, Australia
Megan Harrington
School of Mechanical and Mining Engineering, University of Queensland,
Brisbane, Australia, and
David Parker
Business School, University of Queensland, Brisbane, Australia
Abstract
Purpose – This paper seeks to review the current literature in order to explore how performance of
leadership in project management determines project outcomes. The specific causes of project success or
failure have been an area of much debate in the project management literature. Performance of
leadership has been cited as a critical success factor, determining either the success or failure of a project.
Design/methodology/approach – An extensive literature review has been undertaken to explore
our understanding of how project leadership performance impacts on project outcome.
Findings – The mechanisms through which leadership may impact on outcomes are considered.
Implications include the need for project managers to prioritize training in leadership skills, and the
need for continuous professional improvement to enhance leadership outcomes. No single leadership
model is appropriate throughout the duration of the project. Performance, therefore, must be modified
to align with the stages of the project duration.
Research limitations/implications – While the literature has given meaningful insights into
leadership of projects, there has been little research into performance management of project
leadership. The work is the basis of developing a research agenda and establishing a conceptual
framework. The opportunity exists, based on this work, for carrying out research on project leadership
performance and its effect on project outcomes.
Practical implications – Insightful learning has been achieved into project leadership and the failing
of practitioners in appropriate training and development at various stages of the projects life cycle.
Social implications – Projects and project-based management, delivered nationally and
internationally, are of significant importance to organizations. Increasing understanding of the
implications of leadership performance, therefore, is of critical importance.
Originality/value – The literature review has identified significant limitation in project leadership
performance management. It is anticipated that this work will trigger further research.
Keywords Project leadership performance, Project management, Project evaluation, Project managers,
Project success, Project failure
International Journal of Productivity
Paper type Literature review
and Performance Management
Vol. 61 No. 2, 2012
pp. 204-216 Introduction
q Emerald Group Publishing Limited
1741-0401
The performance of leadership is fundamental to how people work together in teams; and
DOI 10.1108/17410401211194699 is reported to be the most researched aspect of human behavior (Dulewicz and Higgs,
2005). Although leadership has also been the subject of much research in project Leadership
management literature, its role in contributing to project success or failure continues to performance
provoke debate. This paper therefore seeks to explore leadership performance in the
context of project management outcomes, where leadership is hypothetically crucial to the
success or failure of a project. This hypothesis is considered in light of leadership
performance theory, empirical studies of leadership performance, and a critical analysis of
the mechanisms through which performance of leadership impacts on project outcomes. 205
Project success and the effect of the project manager on the outcome is frequently
discussed, and yet so rarely agreed upon (Pinto and Slevin, 1988a). Critical success
factors are common in projects today as a means of assessing project success. There
has been a broadening of measurement from simply time, cost (on budget), and
functionality improvement measurement in the 1970s to a more quality-based focus in
the 1980s and 1990s. Project success today embraces stakeholder satisfaction, product
success, business and organization benefit, and team development as measures of
project success (Atkinson, 1999; Baccarini, 1999).
A key question in practice is how to measure project success (Wateridge, 1998). The
Project Management Body of Knowledge (Project Management Institute (PMI), 2008)
frequently refers to project success, but does not give a definition; instead it states that
the project charter should define the success criteria and objectives of the project.
Establishing criteria of success at the planning stage, and therefore by default, failure
if not achieved, is extensively supported in the literature. For example, “For those
involved with a project, project success is normally thought of as the achievement of
some pre-determined project goals” (Lim and Mohamed, 1999, p. 244). Lim and
Mohamed suggest that project success needs to be considered from the perspectives of
stakeholders and identify two perspectives: a macro perspective, which aggregates all
stakeholders and a micro perspective, which considers only those directly involved
with the execution of the project.
An example of different perspectives of a project is the Sydney Opera House
(Thomsett, 2002), which went 16 times over budget and took four times longer than
originally planned. The Opera House is now seen as a success for the nation; and at the
same time a failure from a project management perspective. Conversely, the
Millennium Dome in London was a project on time and on budget but in the eyes of the
British public was considered a failure because it did not deliver the awe and glamour
that it was supposed to generate (Cooke-Davies, 2001).
In the 1980s, research into project success factors intensified. Some authors
identified functionality (performance), project management (schedule, on budget),
commercial success, termination efficiency, and client satisfaction as success factors
(Baker et al., 1988; Pinto and Slevin, 1988a). No explicit reference is made, however, to
the performance of project managers, the composite skill set of the team or the point of
execution of the project (project context). Andersen et al. (1987) examined the pitfalls
that may prevent project success and increase the chances of failure. Such pitfalls
include the way the project was planned, organized, and controlled but does not
consider project team’s performance criteria. Baker et al. (1988) defined “perceived”
project success as meeting the project’s technical specification and/or project’s mission
and attaining a high level of satisfaction from the client, the users, and the project team.
Pinto and Slevin (1988b) conducted a study of project success and identified ten
factors for success; and highlighted the need for excellent communication channels.
IJPPM Interestingly, as part of communication, no clear performance objectives were
61,2 identified as contributing to success.
Turner (1999) defined a strategy for the successful implementation of projects. This
seven forces model (based on the work of Morris and Hough, 1987) contains a “people”
force, representing the people on the project and their management, leadership,
teamwork, and industrial relations. However, there is no acknowledgment of key
206 performance criteria in the delivery of the project – apart from milestones and stage
completion targets.
Cooke-Davies (2001) stated that despite research results and decades of collective
experience of managing projects, project results continue to disappoint stakeholders.
Cooke-Davies focused on cost, time, and quality when studying project success and
identified related success factors – but no consideration was made of individual team
member or team performance.
Jugdev and Müller (2005) reviewed the literature on project success and concluded
that four conditions are necessary, but not sufficient, for success:
(1) Success criteria should be agreed with stakeholders before and during the
project.
(2) A collaborative working relationship should be maintained between project
owner/sponsor and manager.
(3) A project manager should be empowered to deal flexibly with unforeseen
circumstances.
(4) The project owner/sponsors should take an interest in the performance of the
project.
Turner and Müller (2005) reviewed the contribution of the project manager’s
competence and leadership style to project success and concluded that “the literature
has largely ignored the impact of the project manager, and his/her leadership style and
competence, on project success” (p. 59). They found that in the general management
literature, it is widely recognized that the performance of the functional manager’s
leadership style contributes to the success of the organization he or she manages. The
project manager’s performance is ignored when identifying project success factors.
Cannon et al. (2010) suggest that a buyer’s trust of a supplier and the supplier’s
performance affect the buyer’s long-term orientation toward the relationship. They
identified that the relative effects of trust and performance on long-term orientation are
moderated by culture – specifically the individualism/collectivism dimension.
Hypotheses were tested on data from two individualist and two collectivist cultures.
Pullman et al. (2001), highlight that those dealing with multicultural customer
segments face unique performance challenges in developing the appropriate service
strategy. They offer an approach for modeling the preferences of different cultural
segments, evaluating the differences between the segments and determining the
appropriate service strategy for service providers such as those delivering
multi-national projects.
According to Baccarini (1999, p. 25) project success consists of two separate
components, specifically project management success and project product success. He
distinguishes between them as follows:
(1) Project management success focuses on the project management process and in Leadership
particular on the successful accomplishment of the project with regards to cost, performance
time and quality.
(2) Project product success focuses on the effects of the project’s end-deliverable.
The three dimensions of time, budget and quality feature in many definitions of project
management success (Blaney, 1989; Duncan, 1987; Globerson and Zwikael, 2002; 207
Redmill, 1997; Thomsett, 2002). However, time, budget and quality are not sufficient to
measure project management success. Dimensions such as the quality of the project
management process – leadership performance – and the satisfaction of the project
stakeholder’s expectations also need to be considered (Baccarini, 1999, p. 28; Schwalbe,
2004, pp. 109-10). Therefore, extending the traditional triangle – time þ quality þ cost
– to include the performance of the management process provides a more complete
view of project management success.
Belassi and Tukel (1996) have outlined a framework where they can be grouped into
four interrelated areas (Belassi and Tukel, 1996):
(1) the project;
(2) the project manager and team members;
(3) the organization; and
(4) the external environment.
Others have also considered the limitation of traditional success/failure criteria, with
the aim of making outcomes project-context specific. For example, The DeLone and
McLean (1992) model is an important contribution to the literature on IS success
measurement as it was the first study to impose some order in information systems (IS)
researchers’ choices of success measures (Seddon et al., 1999). To construct the model,
DeLone and McLean reviewed 100 papers containing empirical IS success measures
published in seven publications during 1981-1987. They distilled the resulting huge
range of IS success measures into an integrated view of IS success, represented by the
following six dimensions:
(1) System quality: measure of the information processing system itself.
(2) Information quality: measure of information system output.
(3) Information use: measure of recipient consumption of the output of an
information system.
(4) User satisfaction: measure of recipient response to the use of the output of an
information system.
(5) Individual impact: measure of the effect of information on the recipient.
(6) Organizational impact: measure of the effect of information on organizational
performance.
Ten years after the original DeLone and McLean (2003, p. 24) model was published, it
was updated to include:
.
“Service quality” was added as an extra dimension to “information quality” and
“system quality”.
IJPPM .
“Intention to use” was placed alongside “use”.
61,2 .
“Individual impact” and “organizational impact” were collapsed into a “net
benefits” dimension.
Whatever the merits of this particular context-based model, we argue that there is still
insufficient consideration given to the significant influence of leadership; and in
208 particular there is a need for meditative line of sight on leadership performance.
Leadership performance
In considering the effect of leadership performance on the success or failure of a
project, it is important to understand the differences between project management and
project leadership. These differences have been discussed throughout the project
management literature; and invariably leadership traits are associated with project
leadership when contrasted with project management (Yang et al., 2011). Anantatmula
(2010) suggests that project management refers to the planning and organizing of
project activities, through decision-making processes that improve the efficiency and
effectiveness of a project. Leadership, conversely, is about guiding others towards the
attainment of project objectives, “motivating and guiding people to realize their
potential and achieve tougher and challenging organizational goals,” (Anantatmula,
2010, p. 14). Successful leadership convinces people of the need to change, stimulates
new ways of thinking and problem solving, and then encourages them to work
together in order to accomplish project objectives in difficult work environments
(Keller, 1992; Anantatmula, 2010). Leadership also guides people to grow together as
professionals while simultaneously completing their project responsibilities
(Anantatmula, 2010). Although the terms management and leadership continue to be
used to denote different attributes and responsibilities, it is important to note that
overlap exists. Furthermore, in the achievement of successful project outcomes, project
management always involves effective leadership.
It was long believed that leaders were born, not developed, in an archaic theory
based on inherent traits. The “great man” theory dominated empirical and theoretical
work in the early stages of leadership research, dating back to 1869 with Galton’s
Hereditary Genius (Zaccaro, 2007). However, this “great man” theory of genetic leaders
offered insufficient evidence and was discarded in the late 1940s (Zaccaro, 2007),
resulting in a surge of alternative leadership theories. Nevertheless, certain traits are
desirable and comprise a shining facet of the leadership gem. As Ralph Stogdill
observed in 1948:
.
there are a large number of traits;
.
they must fit the situation; and
.
it requires a proactive leader to execute these traits properly (Pierce and
Newstrom, 2011).
Emotional intelligence
Are you lacking emotional awareness in others? This may read like the headline in a
popular magazine, but recent studies have shown a connection between business
results and an “emotional intelligence.” Daniel Goleman (1998) conducted research on a
200 international companies and determined that the traditionally accepted leadership
qualities were lacking the “softer” traits that encourage and contribute to successful
outcomes. Some of the more traditional qualities include intelligence, toughness,
determination and vision, whereas the “softer” traits include self-awareness,
Through these mechanisms, the leader is said to contribute to improved team member
performance, such that they can achieve goals beyond those normally accomplished.
Clarke refers to this as stretching the capabilities of team members, according to
challenges associated with the collective vision (Clarke, 2009). These mechanisms form
the basis for the contribution of leadership to either project success or failure.
However, the overwhelming view in the literature is that leadership performance is 213
significantly important in determining project outcome. This paradox was concluded
in Turner and Müller’s literature research by stating further research was necessary to
better understand the impacts and styles of leadership on the vastly diverse projects
and their outcomes.
Conclusion
In summary, this critique assessed the role and impact of leadership performance in
project management outcomes. The hypothesis that leadership is crucial to a projects
success or failure was considered in light of various leadership theories, empirical
Key performance
Key performance questions indicators
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