An organization’s culture, style, and structure influence how it’s projects are performed.
The organization’s level of project management maturity and it’s project
management systems can also influence the project.
An organization’s culture and style affect how it conducts projects.
Cultures and styles are learned and shared and may have a strong
influence on a project’s ability to meet its objectives.
A project manager
should therefore understand the different organizational styles and cultures
that may affect a
project. He needs to know which
individuals in the organization are the decision makers or influencers and work
with them to increase the probability of project success.
In light of globalization,
understanding the impact of cultural influences is critical in projects involving
diverse organizations and locations around the world. Culture becomes a
critical factor in defining project success, and multicultural competence
becomes critical for the project manager.
Organizational Structures
Organizational
structures range from functional to projectized, with a variety of matrix
structures in between.
Functional
Organization
The classic functional organization,
shown in Figure 2-1, is a hierarchy where each employee has one clear superior.
Staff members are grouped by specialty, such as production, marketing,
engineering, and accounting at the top level. Specialties may be further
subdivided into focused functional units, such as mechanical and electrical
engineering. Each department in a functional organization will do its project
work independently of other departments.
Matrix
Organization
Matrix organizations, as shown in
Figures 2-2 through 2-4, reflect a blend of functional and projectized characteristics.
Matrix organizations can be classified as weak, balanced, or strong depending
on the relative level of power and influence between functional and project
managers.
Weak Matrix Organization
Weak Matrix Organization
Weak matrix organizations maintain
many of the characteristics of a functional organization, and the role of the
project manager is more of a coordinator or expediter.
A project expediter works as staff
assistant and communications coordinator. The expediter cannot personally make
or enforce decisions. Project coordinators have power to make some decisions,
have some authority, and report to a higher-level manager.
Balanced And Strong Matrix Organizations
Strong matrix organizations have many
of the characteristics of the projectized organization, and have full-time
project managers with considerable authority and full-time project administrative
staff. While the balanced matrix organization recognizes the need for a project
manager, it does not provide the project manager with the full
authority over the project and project funding.
Projectized Organization
At the opposite end of the spectrum to
the functional organization is the projectized organization, shown in Figure
2-5. In a projectized organization, team members are often colocated. Most of
the organization’s resources are involved in project work, and project managers
have a great deal of independence and authority.
Projectized organizations often have
organizational units called departments, but they can either report directly to
the project manager or provide support services to the various projects
