ABSTRACT
The relational approach to management implies that organizations devote more resources to managing both their relationships with external partners and the risks these relationships involve. Relational risk changes the perspective of behavioral risks, leading to growing conceptual and empirical research in this area. A new approach to holistic risk management is emerging that can be applied to organizations and their relationships, with the latter viewed as dyads or networks. This chapter brings together various models of measuring relational risk and discusses factors affecting the level of uncertainty in inter-organizational collaboration. Empirical studies point to relationship length, network solidarity, and trust as factors reducing the perception of relational risk. At the micro level, relational risk perception is influenced by the personal characteristics of managers, including age, experience, and trust toward others.
