A correlation study on project success and entrepreneurial performance, and the moderating effect of project risk

Abstract

Background: This study will elaborate on previous research investigating the relationship between project success (customer perception; project characteristics; project performance; project team) and entrepreneurial performance (improved entrepreneurial action; company characteristics) and how project risk moderates this relationship.

Aim: The research aim is to investigates the correlation between project success and entrepreneurial performance and how project risk moderates the relationship. This way, a better understanding of organisational performance and the contribution that project success can make is established.

Setting: Survey data were collected from 369 South African project-oriented organisations.

Method: The research design is a formal, ex post facto study, incorporating existing statistical measures between project success and entrepreneurial performance and how project risk moderates this relationship. Linear regressions were used to investigate these complex correlations and explore possible causal relationships. These regressions demonstrated possible patterns of relationships that appear consistent with specific causal interpretations and inconsistent with others.

Results: Companies' characteristics or entrepreneurial activity are not significantly predicted by industry type or experience. Despite organisations initiating new projects, it does not necessarily imply innovation. Moreover, since most data came from people with less than five years in the field, it strongly indicated that lack of experience adversely affected the study.

Conclusion and Contribution: There's only partial consistency between the results and previous studies, as volatility, uncertainty, complexity, and ambiguity limit the reliability of project success. Practitioners and researchers can still benefit from the present study results despite its misalignment with previous research.