Exam 13: Project Management Organisational Structures

In , project managers come under the projects component of the organisation.

provides a core of functional expertise that is available to all projects.

In , each project is operated like a mini-company.

A disadvantage of a functional organisational structure is that there is a lack of customer focus.

A disadvantage of a functional organisational structure is that there is a stronger allegiance to the function than to the project or the customer.

is found primarily in companies that are involved in very large projects.

In , the project organisation is highly responsive to the customer.

In , all the resources needed to achieve each project are assigned full time to work on that project.

In , project team members can inform the project manager and the functional manager.

A disadvantage of a matrix organisational structure is that a company that uses a matrix organisation structure must establish operating guidelines to assure the balance of power between project managers and functional managers favours one or the other.

A disadvantage of a functional organisational structure is that the hierarchical structure causes communication, problem resolution, and decision making to be fast and efficient.

can be cost-inefficient both for individual projects and for the company.Each project must pay the salaries of its dedicated project team, even during parts of the project when they are not busy.

also facilitates information flow.

A disadvantage of a functional organisational structure is that functional-type organisations can be insular, with each component concerned about only its own performance.

Each concentrates on performing its own activities in support of the company's business mission.

A disadvantage of an autonomous project organisational structure is that there is a high level of knowledge transfer among projects.

In , the project manager is responsible for the project results, while the functional managers are responsible for providing the resources needed to achieve the results.

reduces duplication and overlap of activities.

In , in most cases if an individual serves part time on a project task force, the individual continues to perform her regular functional jobs.

In , one of the team members is designated as the project leader or manager.