Organization:
Structure and Culture
Chapter 3
Of all the things I’ve done, the
most vital is coordinating the
talents of those who work for us
and pointing them towards a
certain goal.”
— Walt Disney
Organizations Structure and
Culture
O Once management approved a project then
the question becomes, how will the project
be implemented?
O Who will do the work? What will the
structure be?
Project Management
Structures
1. Functional Organization
2. Dedicated Project Teams
3. Matrix Structure
Functional Organization
O One approach to organizing projects is to
simply manage them within the existing
functional hierarchy of the organization.
O Elements of the project are sent off to
departments that are responsible for the
task.
Advantages
O No Change
O Flexibility
O In-Depth Expertise
O East Post Project Transition
Disadvantages
O Lack of focus
O Poor Integration
O Slow
O Lack of ownership
Dedicated Teams
O Team that operated as a separate unit from
the parent organization
O Blockbuster Online
O Full Time Project Manager with project
specialists.
O Specialists may be from within or outside of
the parent company
Advantages
O Simple
O Fast
O Cohesive
O Cross-functional Integration
Disadvantages
O Expensive
O Internal Strife
O Limited Expertise
O Difficult Post-Project Transistion
Projectitis
O A lesson from Apple…..
Matrix Arrangement
O New Innovative approach to project
management!
O Project management is “overlaid” on the
current structure.
Advantages
O Efficient
O Strong Project Focus
O Easier Post-Project Transition
O Flexible
Disadvantages
O Conflict
O Infighting
O Stressful
O Slow
What Type is Best?
O Depends on:
O Size of Project
O Strategic Importance
O Need for Innovation
O Budget and Time Constraints
Culture
O Refers to a group of shared norms, beliefs,
values, and assumptions which binds
people together
Forest Lake Organization
O What is our structure here?
O How are special projects handled?
O How could projects be better handled? Any
recommendations?