Exploring the nexus of stakeholder management, project performance and stakeholder satisfaction in Malaysian residential building projects: A PLS-SEM approach

Abolghasemi, M.; Al-Mhdawi, M. K. S.; Rahimian, F. and Qazi, A. (2026) Exploring the nexus of stakeholder management, project performance and stakeholder satisfaction in Malaysian residential building projects: A PLS-SEM approach. Engineering, Construction and Architectural Management, 33(3), pp. 2089-2117. ISSN 0969-9988

Abstract

Purpose – In this research, the authors distributed a survey to 156 residential construction developers and 468 buyers to assess the level of perceived agreement of developers and buyers on the key indicators for measuring stakeholder management, project performance and stakeholder satisfaction. Following this, a partial least squares structural equation modelling (PLS-SEM) model was developed to quantitatively analyse the direct impacts of stakeholder management on both project performance and stakeholder satisfaction, and to analyse the mediating role of stakeholder satisfaction in enhancing project performance. Design/methodology/approach – This paper seeks to investigate the direct effects of stakeholder management on project performance and stakeholder satisfaction within residential construction projects, and also examine the mediating role of stakeholder satisfaction in enhancing project performance by surveying residential buildings' developers and buyers in Malaysia. Findings – This research found that effective stakeholder management directly improves project performance and stakeholder satisfaction within Malaysian residential construction projects. It further identified that stakeholder satisfaction significantly enhances project performance, serving as a critical mediator in the relationship between stakeholder management and project performance. Practical implications – This study enhances the understanding of stakeholder management, stakeholder satisfaction and project performance in the Malaysian construction industry, offering strategic insights that emphasise the importance of stakeholder-centric practices for improving project outcomes, ensuring better collaboration and fostering enhanced project performance. Integrating these insights with digital technologies like building information modelling can lead to clearer communication, more informed stakeholder engagement, and, ultimately, enhanced project efficiency and satisfaction. Originality/value – This paper offers empirical evidence on the critical role of stakeholder management and satisfaction in enhancing project performance in Malaysia's residential construction projects, providing novel insights into stakeholder-centric approaches that contribute to improved project outcomes.

Item Type: Article
Uncontrolled Keywords: project performance; residential building projects; stakeholder management; stakeholder satisfaction
Index terms: stakeholder engagement, stakeholder satisfaction, project performance, residential construction, construction industry, key indicator, efficiency, mediator, building information modelling, direct effect, Malaysia, residential building, satisfaction, project outcome, methodology, collaboration, evidence, partial least square, digital technology, stakeholder management, surveying, structural equation modelling, survey
Subjects: project completion, construction type, evaluation and assessment methods, research methods, factor and component analysis, Geography, health monitoring assessment and metrics, project delivery, participation process, data collection methods, computing systems, dispute resolution, community and social dimensions, statistical analysis, information systems, industry analysis, performance management, construction integration, management, project management theory and practice
Topics: Digital Applications, Organizational Design, Business Strategy, Research Practice, Stakeholder Management, Construction Technology, Legal Issues, Quality Management, Health and Safety, Project Management, Geographical Context
Descriptive scope: 5 PCTEA

N.B. Descriptive scope is a count of how many of the five facets of empirical research are indicated by the words used in title, abstract and keywords. It is not intended as a judgement on the research; merely a count of the kind of word we would expect to indicate Phenomenon, Concepts, Theoretical framing, Empirical techniques, Analytical techniques. If all five are present, then a code of “5 PCTEA” will indicate this. If you feel the coding for this record is questionable, we welcome discussion around the terms we matched or the way we categorized them. The facet you would expect may not be coded, or a facet may be coded inappropriately. This can also bear on a larger question, of which facets should be treated as defining in construction management research. Please get in touch, and we will look at it. More details here