Chap 3 Organization: Structure and Culture 1 What’s Next Chap 3 We have defined our corporate strategy and method for selecting our project. We must define what is the organizational structure which fits our company and provides the best chance for a successful project. What are our choices for structure? How does our corporate culture impact this choice? 2 Functional Organization Chap 3 Uses existing Organizational Structure. Project Manager has high level responsibility but delegates the tasks and management of each task to the appropriate department. Task Control: Functional Manager Resource Control: Functional Manager Project Control: Project Manager Advantages • No Change • Flexibility • In depth Expertise • Easy Post Project Transition Disadvantages • Lack of focus • Poor integration • Slow • Lack of Ownership 3 Functional Organizations Chap 3 4 Dedicated Teams Chap 3 Team members are focused solely on the project. Functional skills are identified and one or more personnel temporarily assigned to the project team for the duration of the project. Project Manager has control and responsibility. Task Control: Project Manager Resource Control: Project Manager Project Control: Project Manager Advantages: • Simple • Fast • Cohesive • Cross functional Integration Disadvantages • Expensive • Internal Strife • Limited Tech Expertise • Difficult Post-Project Transition 5 Dedicated Project Team Chap 3 6 Project Organizational Structure Chap 3 7 Matrix Team Chap 3 Each member supports the project but also has functional responsibilities. Project Manager: What, When, How much, How well. Functional Mgr: How will, impact on functional, functional integration. Negotiated: Who will, Where will, Why will, Is task ok. Advantages • Efficient • Stronger Project Focus • Easier Post-Project Transition • Flexible Disadvantages • Dysfunctional Conflict • Infighting • Stressful • Slow Issues Depend on Matrix Form: Weak; Balanced; Strong 8 Matrix Organization Structure Chap 3 9 Rated Effectiveness of Project Structures by Type of Project Chap 3 10 The Right Project Structure? Chap 2 • Size of project • Strategic Importance • Novelty and need for innovation • Environmental complexity • Budget and time requirements • Stability of resource requirements How do these factors impact which structure to use? 11 Defining an Organization’s Culture Chap 3 12 Organization Supportive of Project Management Chap 3 13 Proposed Project Organization for the Jaguar Project Chap3 14 Jaguar Master Plan Chap3 15