Empirical Study of Project Managers Leadership Competence and Project Performance

Abstract

The role of a project manager’s leadership competence in improving project performance is critical. However, little attention has been given to people-related competencies of the project manager as a leader. This study aims to develop and test a model of project manager leadership competence. To investigate the influence of a project manager’s leadership competence on project performance, 289 project managers working on public sector projects in Pakistan were surveyed. Both exploratory and confirmatory factor analyses were used to analyze interrelationships among specific competencies and to explain these competencies in terms of their common underlying dimensions. Hierarchical Regression Analysis and Structural Equation Modeling were employed to test research hypotheses and the model. Findings from this study demonstrate that all five leadership competencies of a project manager are significantly related to achievement of project performance in terms of schedule, cost, and quality, as well as stakeholder satisfaction.