**4. Discussion**

In the 2000s, the literature extensively studied the hard side approaches of risk management as the main approach to managing risk, while each element of the soft side approaches was studied separately [10, 24]. This study investigates these approaches to propose a conceptual framework in order to assess the risk management process implementation and provide a guideline to improve the process by integrating practices and processes from both sides of management.

A major focus of this review is to unpack the current understanding of the soft side of risk management. Also, to investigate the benefits of adopting soft approaches in parallel with the hard ones. However, this can be problematic, given a limited study of the integration concept and its ambiguity in existing literature [12].

Few studies were to be found investigating the influence of both approaches of risk management together (soft and hard) [10]. It is true that without a proper theoretical understanding of the concept of project management soft skills, the practicality would be underdeveloped and might result in improper resource distribution. In addition, risk perceptions manly steer decisions about the acceptability of risks and the core influence on behaviors [73]. However, neither perceptions of nor attitudes toward risk could be taken as equivalents of actual behavior. Consequently, the need to integrate the soft and hard skills was recognized.

The literature provides well-proven models and frameworks to describe and assess the various dimensions of the soft side of risk (e.g. risk attitude, human factors, and emotion) separately [24]. However, these dimensions interact in powerful ways and these interactions can have a significant influence in determining the effectiveness of each separate dimension [71]. On the other hand, the hard skills considered by scholars as baseline competencies that cover only part of the managerial aspects of project uncertainties. [27]. Hence, the hard side is considered essential for the day to day operation, rather than a sufficient tool by itself for managing risks, especially, if the organization commence the risk management process through its people, acting individually and in various groups. In addition, since most projects can present unforeseeable uncertainty, this study suggests the need to integrate the hard and soft sides during the risk management process. **Figure 1** shows a conceptual framework that integrates practices and tools from both sides of risk management to ensure a more efficient risk management process.

#### **Figure 1.**

*Conceptual framework (comprehensive integrated tools and practices within the risk management process).*

**127**

and organizations [71].

*Exploring the Project Risk Management: Highlighting the Soft Side of Project Management*

At the same time, researchers found that there is a strong relationship between the amount of risk management implemented in a project and the level of project success [10]. The earlier risk management was undertaken in a project, the higher is the level of success [17]. Consequently, organizations are giving more attention and value to risk management for improving project efficiency

with a correlation explains 25.3% of the effect on the hard side.

In [10], the impact of the soft approach was investigated with the relationship to project success, and they found that the soft side of risk management appears most prominently and explains 10.7% of the effect on project success. In addition, they investigate the relation to the hard side, and they found a significant correlation between the two sides. Further, they found that the soft side supports the hard side

The hard side has been consolidated over time with the effort of professional associations, companies, and scholars through toolsets, standards, and BoKs [10, 16, 39]. This study combined tools and practices from the literature in order to gather 14 practices and tools that best explains and covers the hard side of risk management, and it was driven from the main 4 process groups of risk management. However, scholars suggest that the impact of this effort on the project success is still weak and can be improved by integrating the soft side of management within the risk management process [10]. Consequently, as illustrated in **Figure 1**, this study focused on three aspects of the soft side to enhance the risk management proficiencies and resulted in three process groups driven from the following literature [10, 22, 24, 26–31, 71, 73, 74, 76–83]. These

• The organization risk attitude, and have four tools and practices: perform individuals mapping to assess their proximity to risk; perform individuals mapping to assess their influence in the organization (level of power); investigate and understand the organizational culture along with the group dynamics and its influence on the organization risk attitude; identify the organization risk attitude with its relevance to the individuals' attitude (risky shift or cautious

• Participative leadership style, and have two tools and practices: create internal communication channels to communicate risk-related issues; show interest

• The relationship with stakeholders within uncertainty condition, and have four tools and practices: perform concentrated environmental analysis for the purpose of uncertainty; increase the tolerance of ambiguity by ensure clarity and specifies vague and unclear information; keep accumulation records of relevant historic data along with hiring more experienced managers to deal with uncertainty; assure to the stakeholders that top management are prepared

and willing to react to any unpredicted disruptions in the project.

This integrated framework provides base guidelines to enhance overall risk management efficiency. For instance, using the practices from the organization risk attitude process group can help to assess, describe, and understand the organization's risk attitudes. Consequently, the action is required to modify attitude, especially, when identified risk attitude is not beneficial to achieve effective risk management [24, 71]. Further, recent studies in the field of emotional intelligence provide means that can promote and manage attitudinal change for both individuals

and willingness to act on all provided information.

*DOI: http://dx.doi.org/10.5772/intechopen.93501*

and effectiveness [12].

groups include:

shift).

#### *Exploring the Project Risk Management: Highlighting the Soft Side of Project Management DOI: http://dx.doi.org/10.5772/intechopen.93501*

At the same time, researchers found that there is a strong relationship between the amount of risk management implemented in a project and the level of project success [10]. The earlier risk management was undertaken in a project, the higher is the level of success [17]. Consequently, organizations are giving more attention and value to risk management for improving project efficiency and effectiveness [12].

In [10], the impact of the soft approach was investigated with the relationship to project success, and they found that the soft side of risk management appears most prominently and explains 10.7% of the effect on project success. In addition, they investigate the relation to the hard side, and they found a significant correlation between the two sides. Further, they found that the soft side supports the hard side with a correlation explains 25.3% of the effect on the hard side.

The hard side has been consolidated over time with the effort of professional associations, companies, and scholars through toolsets, standards, and BoKs [10, 16, 39]. This study combined tools and practices from the literature in order to gather 14 practices and tools that best explains and covers the hard side of risk management, and it was driven from the main 4 process groups of risk management. However, scholars suggest that the impact of this effort on the project success is still weak and can be improved by integrating the soft side of management within the risk management process [10]. Consequently, as illustrated in **Figure 1**, this study focused on three aspects of the soft side to enhance the risk management proficiencies and resulted in three process groups driven from the following literature [10, 22, 24, 26–31, 71, 73, 74, 76–83]. These groups include:


This integrated framework provides base guidelines to enhance overall risk management efficiency. For instance, using the practices from the organization risk attitude process group can help to assess, describe, and understand the organization's risk attitudes. Consequently, the action is required to modify attitude, especially, when identified risk attitude is not beneficial to achieve effective risk management [24, 71]. Further, recent studies in the field of emotional intelligence provide means that can promote and manage attitudinal change for both individuals and organizations [71].

*Concepts, Applications and Emerging Opportunities in Industrial Engineering*

integrating practices and processes from both sides of management.

the need to integrate the soft and hard skills was recognized.

risk management to ensure a more efficient risk management process.

*Conceptual framework (comprehensive integrated tools and practices within the risk management process).*

In the 2000s, the literature extensively studied the hard side approaches of risk management as the main approach to managing risk, while each element of the soft side approaches was studied separately [10, 24]. This study investigates these approaches to propose a conceptual framework in order to assess the risk management process implementation and provide a guideline to improve the process by

A major focus of this review is to unpack the current understanding of the soft side of risk management. Also, to investigate the benefits of adopting soft approaches in parallel with the hard ones. However, this can be problematic, given a limited study of the integration concept and its ambiguity in existing literature [12]. Few studies were to be found investigating the influence of both approaches of risk management together (soft and hard) [10]. It is true that without a proper theoretical understanding of the concept of project management soft skills, the practicality would be underdeveloped and might result in improper resource distribution. In addition, risk perceptions manly steer decisions about the acceptability of risks and the core influence on behaviors [73]. However, neither perceptions of nor attitudes toward risk could be taken as equivalents of actual behavior. Consequently,

The literature provides well-proven models and frameworks to describe and assess the various dimensions of the soft side of risk (e.g. risk attitude, human factors, and emotion) separately [24]. However, these dimensions interact in powerful ways and these interactions can have a significant influence in determining the effectiveness of each separate dimension [71]. On the other hand, the hard skills considered by scholars as baseline competencies that cover only part of the managerial aspects of project uncertainties. [27]. Hence, the hard side is considered essential for the day to day operation, rather than a sufficient tool by itself for managing risks, especially, if the organization commence the risk management process through its people, acting individually and in various groups. In addition, since most projects can present unforeseeable uncertainty, this study suggests the need to integrate the hard and soft sides during the risk management process. **Figure 1** shows a conceptual framework that integrates practices and tools from both sides of

**4. Discussion**

**126**

**Figure 1.**
