The Impact of Residual Risk and Resultant Problems on ISD Project Performance

This research investigates the impact of residual risk that remains after implementing risk interventions to cope with the high uncertainty of information systems development (ISD) projects. This research considers how residual risk impacts project performance and: 1) evaluates the impact of specific categories of residual risks highlighted within the ISD risk literature (actor, technology, task, and structure) on project performance; and 2) demonstrates the mediation role of categorical problems caused by residual risk within actor, technological, task and structure on project performance. Data from 92 projects analyzed using partial least squares found support for mediation, and not direct effects between: 1) actor project problems and the effects of actor residual risk, 2) task project problems and the effects of task residual risk, and 3) technology project problems and the effects of technology residual risk on ISD project performance.