An Exploratory Analysis of The Project Management and Corporate Sustainability Capabilities For Organizational Success
An Exploratory Analysis of The Project Management and Corporate Sustainability Capabilities For Organizational Success
An Exploratory Analysis of The Project Management and Corporate Sustainability Capabilities For Organizational Success
https://www.emerald.com/insight/1753-8378.htm
Abstract
Purpose – This study investigates whether corporate sustainability capability (CSC) along with project
management maturity (PMM) based capability contribute to perceived organizational success. It also studies
how this contribution varies by project type employed in the organization.
Design/methodology/approach – The research is based on survey data collected from 66 managers of
mostly small service businesses. The survey instrument consisted of a four-part questionnaire with 41
indicators focusing on CSC, maturity in project management knowledge areas and perceived internal and
external organizational success. The SEM methodology, GLM (General Linear Model), and ANOVA are used
for the analysis of the causal relationship among the indicators. The moderating effect of Project Type is
analyzed using the Multi Group Analysis.
Findings – The findings demonstrate the impact of the successful integration of corporate sustainability and
organizational PMM efforts on organizational success. Project management capability strengthens the effects
of sustainability efforts, specifically in economic and social sustainability. Moreover, project type ranging from
derivative to breakthrough moderates this effect.
Research limitations/implications – The findings demonstrate the strategic importance of corporate
sustainability and its integration with organizational project management, valuing project sustainability
management.
Practical implications – The study shows the importance of project management and sustainability
capabilities for organizations in managing projects and developing vision, policy, and guidance with
stakeholders, leading to organizational success.
Originality/value – This study reveals most success is achieved by maturity in stakeholder management,
time, quality, communication and human resource management areas, economic and social sustainability
capabilities demonstrated by platform and breakthrough projects.
Keywords Project management maturity, Sustainability capability, Triple bottom line sustainability,
Capabilities, Organizational success, Project sustainability management, Project type
Paper type Research paper
1. Introduction
Project sustainability management (PSM) promises to bridge a link between project and
sustainability management with a broader organizational focus. Possible integration of
sustainability practices into project management may assist project managers for success
(Gareis et al., 2010; Deland, 2009; Pullman et al., 2012; Weninger and Huemann, 2013; Silvius
et al., 2013; Silvius and Schipper, 2015; Silvius, 2017; Daneshpour, 2015; Guimaraes et al., 2017;
Aaarseth, et al., 2017; Gemunden, 2016; Zuofa and Ochieng, 2016). Along with this promise,
further research is needed in identifying the elements of sustainability relevant to the project
management discipline and in aligning triple bottom line (TBL) sustainability and project
management efforts (Marcelino-Sabada et al., 2015, Martens and de Carvalho, 2016, 2017;
International Journal of Managing
Projects in Business
Vol. 13 No. 4, 2020
The authors would like to thank FGCU Lutgert College of Business Small Business Development Center; pp. 793-817
Lee, Collier, Sarasota County Sustainability Offices, and local chapters of ASHRAE, PMI, and ASQ for © Emerald Publishing Limited
1753-8378
disseminating and participating to the survey conducted in this research. DOI 10.1108/IJMPB-08-2019-0207
IJMPB Carvalho and Rebechini, 2017, Marnewick, 2017; Martens and de Carvalho, 2014). As it stands,
13,4 the value of current project maturity management models (PMMMs) and their contribution to
an organization’s TBL sustainability have not been made clear. Are organizations that are
capable in project management, also capable in sustainability? Do organizations perform better
due to these capabilities? This study aims to answer these questions. The causal links between
project management maturity (PMM) measured by OPM3 – the organizational project and
program capability framework – and corporate sustainability capability (CSC) are studied. The
794 impact of these capabilities on organizational success is determined.
Moreover, organizations are engaged with different types of projects with varying
uncertainty and complexity (Mullally, 2014; Dvir et al., 2006; Lenfle and Loch, 2010), thus the
effects of project management and sustainability capabilities may vary. This study collected
data from small to medium organizations. As previous researchers indicated, most project
management research focused on large organizations or large-scale projects. However, small
to medium enterprises are important drivers of innovation and growth (Pollack and Adler,
2014). Thus, this study raises the following questions:
(1) Does project management capability impact small to medium size organizations’
success and what knowledge areas are emphasized?
(2) Does CSC play a role in small to medium size organizations’ success?
(3) Do PMM and CSC have a combined influence on organizational success?
(4) Does the effect of PMM and sustainability capability vary across project types?
A questionnaire is designed to include the OPM3 (PMI, 2013) based project maturity levels;
the economic, environmental, and social sustainability capability dimensions based on
Baumgartner and Ebner’s sustainability profiles (2010), and perceived measures of
organizational success based on market share and reputation, retention of employees and
customer value, and strong project alignment with sustainability vision. All indicators are
derived from previous research in project management and sustainability. This article
presents the results of the survey conducted with managers or directors of small to medium
size mostly US service organizations. Out of 97 responses received, 66 were complete and
used for the statistical analysis.
Following the literature review on project management capability, PSM, corporate
sustainability, and organizational success, the research model and the methodology are
described. This is followed by the results and implications of findings for businesses.
2. Literature review
2.1 Project management capability based maturity and success
The organizational project management maturity model (OPM3, 2013, 2015) is a framework for
assessing and developing an organization’s capabilities in project, program, or portfolio
management. Previous studies reported lower than expected PMM levels for a broad range of
national and international industries. Level 1 and 2 maturities were common for majority of the
organizations resulting in a 2.5 median maturity out of 5 (Yazici, 2009; Pretorius et al., 2012;
Abdul Rasid et al., 2014; Miklosik, 2014, 2015). Regarding knowledge areas, lower maturity
levels were observed for risk management, cost management and human resource
management, while Level 4 maturity was achieved for project quality and time management.
Risk management lends itself to extensive training requirements and long-term commitment
(Besner and Hobbs, 2008; Jia et al., 2013; Gladden, 2012; Heravi and Gholami, 2018; Yazici, 2018).
Furthermore, previous research showed little evidence with respect to PMM’s direct
contribution to project success, measured using the traditional scope, time, and cost objective
measures (Mullaly, 2006; Yazici, 2009; Pretorius et al., 2012; Killen and Hunt, 2013; Abdul-
Rasid et al., 2014; Torres, 2014; Mir and Pinnington, 2014). The conflicting findings on the CSC and
effects of PMM on project success, led researchers to focus on organizational performance PMM for
(Gorog, 2016; Miklosik, 2014; Mullaly, 2014; Pasian, 2014; Ellis and Berry, 2013; Fernandes,
et al., 2014; Aubry, 2015; Silvius, 2013, Silvius and Schipper, 2015; Silvius, 2017). The concept
organizational
of organizational project maturity implies both improving project management preparedness success
and the associated increasing success rate of the projects in the organizations. Several
organizational enablers, such as organization’s cultural orientation, shared organizational
culture, mature organizational structure, and established management paradigms were 795
found influential in project maturity efforts leading to improved organizational performance
Yazici (2009, 2011); Gorog (2016), Wen and Qiang (2016).
Besides the traditional project success approach related to scope, time and cost objective,
project efficiency, impact on the team, impact on the customer, business success, and
preparation for the future were considered Carvalho and Rabechini (2017), Carvalho et al.,
2015; Shenhar and Dvir (2007). Increased project maturity was expected to bring several
benefits to organizations beyond time, cost, quality, and customer satisfaction. Decreased
project risk, alignment of projects with strategic goals, improved communication between
project management and upper management were indicated among these benefits (Albrecht
and Spang, 2016). As suggested by Brooks et al. (2014) and Gorog (2016), future research
should explore the impact of different maturity models considering both contextual and
organizational factors.
Thus, research in PMM indicates the need for improvement in project management
capabilities based on maturity and signals a paradigm change. Several researchers proposed
the integration of sustainable objectives into project management practices (see Silvius et al.
(2013); Carvalho and Rabechini, 2017; Silvius et al. (2013); Silvius, 2017; Guimaraes et al., 2017),
which are included under PSM research.
H4a
H2a,b,c
Project Type
4. Research methods
Based on the literature review presented above, a survey instrument is developed to measure
the causal links between PMM-based capability, CSC, and resulting perceived organizational
success. For content validity, all indicators were taken from previously validated instruments
and published research studies.
The survey consists of four parts: questionnaire with 41 indicators/questions as further
discussed.
Part 1: Introductory questions consist of organization demographics, such as principal
industry, public or private, size, green certification; revenue, project types most commonly
used, and sustainability reporting (seven questions).
Part 2: Corporate or triple bottom sustainability assessment for three dimensions: economic,
environmental, and social. Six-item questionnaire for economic sustainability, five-item
questionnaire for environmental sustainability, and eight-item questionnaire for
social sustainability assessment where subjects assess their organization at levels 1 to 4.
Each level description is pertinent with the sustainability category, and 1 represents a low level
of maturity, and 4, a mature state of maturity. There are a total of 19 questions for this part.
These questions are adopted from Baumgartner and Ebner’s sustainability profiles (2010).
Part 3: Project management maturity questions: 45 questions of project maturity in nine
knowledge areas using the 1 to 5 Likert scale where each level represents a maturity level; 1
representing an initial state, and 5, an optimizing process state.
Part 4: Organizational success questions: five questions of internal or external project
performance, using the 1 to 5 Likert scale. A value of 5: to a great extent, and 1: to a little
extent.
The economic dimension is based on DSJI (2008) and embraces generic aspects of an
organization that result in economic success and allow the organization to remain in the
market for a long time. It encompasses the environmental and social activities that turn into
savings and economic benefits. Six indicators (EC1–EC6) represent the economic dimension
and measure the following aspects:
EC1: Innovation and technology, efforts in sustainability related R&D.
EC2: Collaboration with business partners, exchange of information.
EC3: Knowledge management (KM) activities of sustainability related knowledge within the
organization.
EC4: Process-related efforts, process management on sustainability.
EC5: Purchase/outsource contracting, sustainability issues in purchase, relationship with
suppliers.
EC6: Sustainability reporting.
IJMPB (1) Environmental dimension of corporate sustainability (ENV1–ENV5).
13,4 As Baumgartner et al. (2010) defined, environmental sustainability capability generally
assessed by the ecological aspects, is measured using five indicators (ENV1–ENV5).
These are:
ENV1: sustainability strategies related to resource use,
802 ENV2: emission,
ENV3: waste and hazardous waste,
ENV4: biodiversity,
ENV5: environmental aspects of the product over the whole life cycle.
These indicators are in line with several previous studies. Marnewick (2017) used energy,
waste, material and resources, and transport dimensions for measuring environmental
sustainability capability. Similarly, Carvalho and Rabechini (2017) incorporated green
procurement, environmental technologies and design for environment variables that focus on
issues like resource utilization, eco-efficiency, and life cycle management.
(1) Social sustainability dimension of corporate sustainability capability (SOC1-SOC8).
Social sustainability is aimed to positively influence all present and future relationships
with stakeholders. It comprises internal and external social aspects and is measured using
eight indicators (SOC1-SOC8). These are:
SOC1: the level of corporate governance,
SOC2: motivation and incentives,
SOC3: health and safety efforts,
SOC4: human capital development,
SOC5: ethical behavior and human rights,
SOC6: controversial activities,
SOC7: no corruption or cartel efforts,
SOC8: corporate citizenship efforts.
These indicators agree with previous research and are more comprehensive. Marnewick
(2017) included human rights, health and safety, and ethical behavior in assessing social
sustainability capability.
Four levels of capability are used to assess economic, environmental, and social
sustainability practices. Matching with these sustainability capability levels, a 1 to 4 Likert
scale is used. Following are the common description of the four capability levels as adopted
from Baumgartner and Ebner (2010):
Level 4: Sophisticated/Outstanding: Systematic planning and deployment of the
sustainability effort. Proactive commitment throughout the organization.
Level 3: Satisfying: Systematic planning and deployment of the sustainability effort.
Level 2: Elementary: Certain measurements and practices exist within mandatory and CSC and
voluntary frameworks. PMM for
Level 1: Beginning: Sustainability efforts are in their initial phase. Some mandatory organizational
frameworks are in place. success
4.2.3 Moderating variable
Project Type is represented under three categories based on the definitions given by Dvir 803
et al. (2006) in their study examining project types, project manager’s personality, and project
success. Dvir et al. (2006) had classified projects based on complexity, novelty, technological
uncertainty, and pace. These criteria are in line with Carvalho and Rabechini’s (2017)
classification dimensions for project complexity but expand further to include team multi-
disciplinary and geographic dispersion. So, considering the previous research, this study
defined project types as derivative, platform, and breakthrough projects with following
descriptions, ranging from low complexity and low uncertainty to high complexity and high
uncertainty:
(1) Derivative projects: Continuous improvement projects, relatively low-complexity and
low-uncertainty projects.
(2) Platform projects: benchmarking, best practice transfer or six sigma improvement
projects, relatively medium level of complexity and uncertainty.
(3) Breakthrough projects: new product/process development, reengineering/change
projects, high level of complexity and high uncertainty.
Respondents were asked about the most common project type in their organization:
1: Derivative, 2: Platform; 3: Breakthrough, and 4: Other, an open-ended category, considering
a combination of these projects, or other ones, such as service projects.
found reliable if alpha is 0.70 or higher (Nunnally, 1978; Henseler et al., 2009; Tenenhaus et al.,
2005). In this study, composite reliability coefficients are above 0.82 and Cronbach alphas are
over 0.71 showing that all scales are reliable. The dependent construct of Performance
composite reliability coefficient is 0.87 and Cronbach alpha is 0.78. Earlier, Carvallo and
Rabechini (2017) and Guimares (2017) had reported 0.7 for project success and PSM
indicators.
Discriminant validity of the measures is acceptable if the AVE of each construct is greater
than the variance among all constructs. This is demonstrated by showing that the square root
of AVE (SAVE) is greater than the correlations among the construct and all other constructs
of the model (Henseler et al., 2009; Tenenhaus et al., 2005; Carvalho and Rabechini, 2017). CSC and
SAVEs of the constructs shown in the diagonal are greater than the correlations between the PMM for
construct and all other constructs.
Table II shows the correlation matrix of the latent variables. The measurements
organizational
demonstrate satisfactory levels of discriminant validity. success
4.2.4.1 Confirmatory factor analysis with covariance based structural equation modeling
(SEM) and partial least squares (PLS)-SEM. PLS is an efficient structural equation modelling
method and is considered better suited for explaining complex relationships, placing minimal 805
demand on sample size and residual distribution. Compared to the better-known factor-based
covariance fitting approach for latent structural modelling (exemplified by software such as
LISREL, EQS), the component-based PLS avoids two serious problems: inadmissible
solutions and factor indeterminacy. The approach estimates the latent variables as exact
linear combinations of the observed measures; therefore, it avoids the indeterminacy problem
and provides an exact definition of component scores (Chin and Newsted, 1999; Ritchie and
Eastwood, 2005). PLS is mostly used for the analysis of non-normal data, small sample size,
and formative measurement of latent variables (Hair et al., 2013; Lowry and Gaskin, 2014).
For model fit, based on WARP-PLS (6.0) that is widely used when dealing with small
sample sizes, all results are acceptable: Average adjusted R-square of 0.381 (p < 0.003),
average block VIF (variance inflation factor) of 1.671, and average full collinearity VIF of
1.884, as less than 3.3. Using covariance-based SEM to assess model fit, the recommended
standards for large sample size data are 0.8–0.9 for GFI (goodness of fit), CFI (confirmatory fit
index), NFI (normalized fit index), and AGFI (adjusted goodness of fit index); <0.06 for
RMSEA (root mean square residual), and min chi square/degrees of freedom (df) ratio < 3.
Based on AMOS 24, for the perceived organizational performance, chi-square is 390.485,
df 5 217, GFI 5 0.72, CFI 5 0.77, NFI 5 0.74, chi-square/df 5 1.61, RMSEA 5 0.12. These are
acceptable based on the common standards, considering the small sample size of this study
(< 250). This agrees with previous research findings that RMSEA tends to increase when
sample size decreases and goodness of fit measures are also affected for sample sizes between
50 and 250 (Anderson and Gerbing, 1984).
5. Results
Responses were mostly from small businesses (64 per cent), with employees less than 500. Out
of the total organizations, 57 per cent had annual revenues less than 10 million USD
(see Figure 2). A total of 86 per cent of the businesses were in the service sector ranging from
retail to health, construction, financial services, retail, logistics, agriculture, entertainment,
and very specialized services. A total of 13 per cent were manufacturing organizations.
A total of 69 per cent of the businesses were privately owned. This profile is common to
the SW Florida region, with small (size and revenue based) and privately-owned businesses
dominating the region. Although engaged in green activities, only 27 per cent of the
businesses were green certified.
Annual Revenues
Number of employees
Not Available
8%
>5000
2001-5000 20%
over $1B <$1 Million
20% 36% 7%
500-2000
$100 million - 9% <500
$1B 64%
7% $10-$100
Figure 2.
million $1-$10 million
Organizations annual 8% 21%
revenue and size
demographics
lowest. This was followed by Project Plan Development. Risk Control was also another area, CSC and
businesses needed to improve. The study shows that with respect to Risk Management, PMM for
55 per cent of the organization were at Level 2 or lower. It seems, although improved
compared to earlier studies mentioned in Literature Review, organizations still struggle in
organizational
an effective risk planning and management for all stakeholders of the projects. success
5.1.1 Comparison of PMM capability based on organizations demographics and project
types. Based on the demographics data collected, PMM scores vary. Private businesses’ mean
project maturity (2.46) was higher than public ones (2.20). This difference was also 807
statistically significant (t 5 4.78, p <5 0.000). Significant differences were also observed
between organizations with varying annual revenues. Businesses with revenues over
10 million show higher overall project maturity (2.62–3.00) than the ones with less than
10 million dollars annual revenues (1.85–2.00, t 5 9.93, p <5 0.0000). With respect to green
certifications, businesses that were certified show higher project maturity than organizations
with no certification (2.42 vs 2.35); however, the difference was not statistically significant
(t 5 1.34, p <5 0.09).
When considering project categories, the highest overall project maturity mean was
observed with platform projects (2.69), compared to derivative (2.45) or breakthrough projects
(2.38). The t test showed that PMM scores of platform projects is significantly higher than the
other two project type PMM scores (t 5 4.56, p <5 0.000, t 5 5.75, p <5 0.000) (see Figure 3).
Platform projects involve benchmarking, best practices, or six sigma improvement, thus
encompass all areas of the organization. Maturity level was closer to 3, indicating more
standardization is implemented across platform projects. Breakthrough projects, on the
other hand, involve change in organizational processes, but the level of maturity for new
product/service efforts or change projects was significantly lesser, calling further
improvement. Same applies to derivative projects, the most common projects organizations
involve with, but with lesser PMM.
Breakthrough
Plaorm
Derivave
Figure 3.
Mean maturity scores
2.20 2.30 2.40 2.50 2.60 2.70 2.80
per project type
Mean maturity score
IJMPB mandatory and voluntary frameworks, but not reaching a satisfying or sophisticated
13,4 capability level. Table III shows the mean and standard deviation range for each
sustainability category.
The mean TBL sustainability capability, comprising all measures of economic,
environmental and social sustainability varies between 1.34 and 2.81 out of 4; the lowest
capability found in biodiversity related strategies, an environmental sustainability measure,
and the highest capability in health and safety efforts, a social sustainability measure.
808 Environmentally, overall respondents rated their capability the lowest of the three
sustainability categories, ranging between 1.35 and 2.05 out of 4; resource use was rated
the highest, biodiversity-related strategies was rated the lowest. When examining social
sustainability, that is overall rated higher than the other two categories, corporate governance
and corporate citizenship efforts, and motivation and incentives were rated the lowest (means:
1.5, 1.6 and 1.66/4), while promising capabilities in health and safety efforts (2.81 / 4), ethical
behavior and human rights practices, and awareness of controversial activities (2.53/4) were
observed.
Based on demographics, with respect to public versus private, publicly owned
organizations were more sustainable than the private ones (2.06/4, vs 1.83/4), although this
difference is only significant at one tail (t 5 1.89, one tail p <5 0.03). Organizations with green
certifications status, as expected, were significantly more capable than the ones who were not
green certified (2.28 vs 1.82 out of 4) (t 5 3.48, p <5 0.000). When these results are compared
with PMM assessment, private organizations were more mature, and no significant
differences were found in PMM based capability with respect to green certifications status
(2.42 vs 2.35), (t–1.34, p <5 0.09).
While privately owned organizations may invest more in project maturity efforts, publicly
owned organizations may face more obligation in their sustainable practices. Similar to PMM
assessment, businesses with revenues over 10 million (2.28 / 4) showed higher capability in
sustainability practices compared to organizations with annual revenues less than 1 or 10
million (1.40–1.69 out of 4) (t 5 6.24, p <5 0.000). Organization size measured by the number
of employees was not found to be a significant factor. Table IV shows the PMM and CSC
scores per demographics.
Business type Public 2.2 4.78, <50.000 2.06 1.89, one tail p <5 0.03
Private 2.46 1.83
Revenues Less than 2.62–3.00 9.93, <5 0.000 – –
10M
Table IV.
Over 10M 1.85–2.00 – Descriptive analysis
Green Certified 2.42 1.34, <5 0.09 2.28 3.48, p <5 0.000 results of PMM and
certification Not certified 2.35 1.82 CSC scores per
Note: * Based on a scale of 5. ** based on a scale of 4 demographics
IJMPB sustainability capabilities on several measures. Economic sustainability capability
13,4 significantly contributed to increased market share, increased reputation, and increased
retention of employees (β 5 0.33–0.379, p 5 0.005–0.03). Social sustainability capability was
significantly linked to increased market share (β 5 0.263, p 5 0.05). Project alignment with
organization’s sustainability vision was the only performance measure environmental
sustainability capability was significantly and positively associated with (β 5 0.38,
p 5 0.007). Economic sustainability capability is by far the biggest contributor in terms of
810 perceived business success. Thus, Hypothesis 3a and 3c are supported, Hypothesis 3b is
partially supported.
5.4.2 Analysis of the moderating effect of project type. The moderating effect of project type
on the relationship among PMM-based capability, CSC (ECO, ENV, SOC), and organizational
success, is tested using multi-group analysis in AMOS, 24. The projects were described by
respondents as derivative, platform, and breakthrough. The fourth type that is a combination
of the three, or service projects was not included. The analysis is conducted for each of the
four organizational success measures: Market share, reputation, retention of employees and
customer value, and project alignment with sustainability vision. Based on the model fit
results, differences between the three project types were significant. Table V shows the multi
group analysis results. X2 difference is significant (p 5 0.002) among the three types.
The standardized regression estimates indicated the positive contribution of PMM on
increased Market Share and increased employee Retention and customer value for all project
categories, although the most contribution is observed for Type 3, that is, breakthrough
projects. Increased project maturity in new product/service or reengineering/change projects
are perceived as linked the most to perceived organizational success, affecting market share,
and employee retention/customer value success parameters. Thus, Hypothesis 4a is partially
supported.
Similarly, the combined effect of PMM and TBL sustainability capability (in economic,
environmental, and social) was found to be strongest with the breakthrough projects
(β values 5 0.569–0.83; p 5 0.000–0.045). This indicates that increased project maturity
significantly contributes to TBL sustainability capability, whether this is economic,
environmental, or social capability. Analyzing the moderating effect of project type for the
causal link between CSC and organizational success, positive contribution of economic
sustainability capability on organizational success is observed for platform and breakthrough
projects, and the contribution of social sustainability capability for derivative projects.
Economic
Sustainability β
Capability (6i) p
β
p
β
p
PMM based β Perceived
Figure 4. capability (9i) p Environmental
Organizaonal
Structural model Success (4i)
results of PMM-based Sustainability
capability, Economic, β Capability (4i)
Environmental, Social p
Sustainability
Capability and Social β
Perceived Sustainability p
Organizational Success Capability (5i)
Derivative Platform Breakthrough
CSC and
projects projects projects PMM for
Constructs X2/df Significance β, p value β, p value β, p value organizational
PMM- external 3.53 0.002 success
perf
PMM-PERF1 0.32, 0.027 0.14, 0.027 0.39, 0.027
PMM-PERF2 – – – 811
PMM- internal 3.8 0.001
Perf
PMM-PERF3 0.37, 0.021 0.08,0.02 0.41, 0.021
PMM-PERF4 – – –
PMM-SUST-PERF 1.87 0.000 – – –
PMM-ECO – – 0.8, 0.000
PMM-ENV – – 0.66, 0.005
PMM-SOC 0.45, 0.032 0.64, 0.05 0.59, 0.02
ECO-PERF1 – 0.69, 0.000 0.89, 0.000
ECO-PERF2 – 0.56, 0.012 0.64, 0.05
ECO-PERF3 – 0.66, 0.000 1.00, 0.000
ECO-PERF4 – 0.46, 0.036 0.78, 0.000
SOC-PERF1 0.63, 0.000 0.57, 0.001 0.39, 0.04
SOC-PERF2 – 0.64, 0.004 –
SOC-PERF3 0.47, 0.02 –0.59, 0.002 0.73, 0.000
SOC-PERF4 0.39, 0.05 0.67, 0.003 – Table V.
ENV-PERF1 0.53, 0.000 – – Multi-group analysis
ENV-PERF2 – – – results for the
ENV-PERF3 – – – moderating effect of
ENV-PERF4 – – – project type
7. Conclusion
This study explored the causal links between PMM-based capability, CSC, and the
moderation effect of project type on organizational success. The significant contribution of
PMM, economic and social sustainability capabilities on organizational success is
demonstrated along with the moderating effect of project type. The most common
categories of derivative, platform, and breakthrough projects were found to moderate with the
capability efforts, indicating different requirements of project and sustainability capabilities
are expected for business success, based on project complexity (uncertainty, structure).
Platform and breakthrough projects enabling economic sustainability capability were found
instrumental in this success. Stakeholder management, time management, quality
management, communication, and human resource management knowledge areas
contributed most to the impact of PMM on organizational success.
Although economic sustainability capability was perceived as the most influential on
organizational success, environmental and social capabilities have certainly a role to play.
Green certified organizations were found more capable in corporate sustainability, so
organizations can continue in their efforts of environmental sustainability. The statistically
significant causal link between PMM and environmental sustainability capability is
promising. Further research can explore the impact of environmental sustainability
capability on organizational success with a larger data set.
Organizations can use these findings to assess their capabilities in managing projects and
their efforts in sustainability management to develop vision, policy, and guidance internally,
as well as with their stakeholders. As this study demonstrated, these capabilities contribute
to the alignment of projects with a sustainability vision and to organizational success. PMM
accompanied with sustainability efforts seems to be the perfect recipe for business success.
Overall, this study contributes to PSM and project maturity research. Nevertheless, it has
its own limitations: majority of the organizations in the study were service organizations,
small to moderate size and more US companies were involved. These are typical
characteristics of the businesses of the region the study took place, and it is valuable to
understand their capabilities and future needs for the region that is ecologically critical. The
study can be extended, however to a wider range sectors and international organizations.
Future studies can continue to examine the effects of triple bottom sustainability on
IJMPB organizational performance measures and determine what specific sustainability elements
13,4 are valuable to allocate resources.
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Corresponding author
Hulya Julie Yazici can be contacted at: hyazici@fgcu.edu
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