Investigation of the Relationship Between Transformational Leadership and Project Success

Abstract

Projects have been executed since the beginning of mankind and have provided us with some remarkable achievements. Projects come in many different shapes and sizes, and many organizations depend on the success of projects for survival. Interest in project management has grown rapidly over the past decade, however it has been identified that projects are continuing to fail at astounding rates. Project management has evolved drastically over the years, which has been influenced by an increase in complexity. Several factors that have influenced higher complexity in project environments include globalization, population growth, technological advancements, and social changes. Traditional project management methods have been questioned whether they are sufficient enough to manage these projects that contain higher complexity which lead to uncertainties. Therefore, project management observed a shift in focus from traditional ‘hard’ skills towards people oriented ‘soft’ skills. Similarities have been drawn between the ‘soft’ skills of project management and the transformational leadership style. Transformational leadership skills contain characteristics that can solve or manage the challenges that arise from complexity. The transactional leadership style, also referred to as ‘hard’ skills, is also essential for projects as they provide the foundation containing the objectives relating to scope, budget, and time. These two leadership styles are complimentary of each other when exhibited simultaneously and effectively. It has been identified that transformational leadership is critical factor for project success. It is especially critical in projects with high complexity. However it has also been determined that projects that are stable and straightforward still require transformational leadership displayed as projects contain people and their emotions, which are not predictable and require emotional intelligence.