Project stakeholder's engagement and performance: A comparison between complex and non-complex projects using SEM

The large number of stakeholders in a project is a source of complexity because their inter-relationships can lead to complex interactions, an inadequate understanding of the other stakeholders and conflicting stakeholder interests. Although several studies have investigated the role and effects of engaging stakeholders in improving project success, studies examining the relationships between stakeholder engagement (SE) and quantitative and qualitative project performance (PP) in complex projects (CPs) have been limited. This study empirically examined the relationships between SE and project performance within complex and non-CP contexts. The study used an extensive literature review to develop the conceptual model. The study identified 22 factors of measuring SE and project performance's association within the context of CPs. The literature review followed by a questionnaire survey to collect data from quantifying the relationships. One hundred forty-four responses were received from project managers in different locations. The response data were subjected to structural equation modelling analysis. Confirmatory factor analysis was applied to evaluate the measurements model. The current study generated several key findings. In the context of CPs, SE was found to negatively affect quantitative PP but to positively and significantly affect qualitative PP. In non-CPs, SE also positively affects qualitative PP. Further, in the context of CPs, SE negatively affects schedule performance, whereas no significant relationship was found between the two variables in non-CPs. In terms of cost performance, no significant relationship was observed between SE and cost performance for either group. This research provides insight into differences in the relationship(s) between SE and PP in non-complex and CPs. The research also makes recommendations for project team members.