When using the traditional approach to managing contracted relationships, risk is transferred to the other party. Give a real life example of this. Discuss why this is not conducive of a partnering relationship and how it can impact project innovation.
Fill in the blank(s) with the appropriate word(s).
Answer will vary
When risk is contracted out or transferred to another party, there is no motivation for the organizations involved to work together (pool resources) to mitigate or manage the risk. If risk isn't shared, project innovation will decrease in an effort to decrease the risk.
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