Organisations and People Flashcards
(126 cards)
Organisation structures :
Functional - no separate function or organisation , projects managed within the (line) organisational structure , based around BAU e.f finance , IT , Products, HR
Project - team is multi disciplinary and moves from project to project , possibly an interim structure with BAU responsibilities re-resourced , focussed on the project and delivering change
Matrix - individuals work for two (or more) managers - project manager(s) and mine manager , needs careful prioritisation and good working relationship
Organisational structures: projects don’t operate in isolation when we talk about project context we are referring to how the project operates as part of a wider organisation. How the organisation is structured will provide a :
Management hierarchy, lines of reporting and who and how information will flow throughout it.
Most organisations are permanent, this contrast with projects which are temporarily undertaking , which means the organisation will need to understand how their projects will fit within their structure.
Essentially there are parts of the business which will change the organisation, the permanent elements tend to be those That;
Run the organisation , whilst any that change it will be temporary
Permanent and Dempsey structures: the project team will likely work across both the permanent and the part parts of the organisation and how easy or challenging this will be is determined by how the organisation structures Iredell: this can influence :
Where our staff come from , reporting and even how much control a project manager might have over their team
Permanent and Dempsey structures: there are three organisational structures that a project might take place within, these are:
Functional , Matrix and Project structures
Permanent and Dempsey structures: which structure we are working within can indicate who will have the most authority between a functional manager and a project manager:
Functional structures provide - the functional manager with the most authority
Whilst project structures give the authority to the project manager,
Matrix structure tries to balance the authority evenly between functional and project managers
It is unusual for an organisation to adhere entirely to one of these structures entirely , most will be a form of matrix
Functional - when an organisation arranged itself into specialist departments known as functions that provides a specific set of skills and outputs to the organisation this is known as ;
Functional. These function could be areas such as IT , HR and customer services
Functional - a fully functional structure is focused primarily on day to day activity so projects are rare activities. Because of this they don’t rent to have a dedicated project management function when deciding that they want to run a project to develop one of the functions ( for example a human resource project) then the resources are likely to be drawn from ?
Within HR
— the resources are drawn from within the function
Advantages of running projects within a functional organisation:
- flexible resourcing - can draw resources to support our project from other functions
- expertise - each function is full of experts , which can provide advice to our project that is based on working within the same organisation.
- development - using staff from within our own organisation means that they will be able to develop their own skills supporting projects and this in turn can develop their functions and business.
- staff Retention - when the project finish , the staff don’t leave the organisation , they will return to their function .
- clear lines of communication - the functional manager has authority , which means there are clear lines of communication for the team working within a project I.e any problems? Talk to their functional lead.
Functional - considerations :
- it isn’t set up to run project - meaning it can be inflexible and unable to adapt to the ways a project works and will need to be delivered.
- lack of perspective - very inward focus Internal experts mean that they are less likely to identify outside the box solutions as they don’t tend to bring external staff to support the project.
- loyalty to function- this can mean that project team are perhaps more focused on their functional objectives rather than delivery of the project.
- lack of project management expertise - because the project team will made of people from the function that correspond to the nature of the project , their expertise may be in their functional role but may lack experience of delivering a project
Matrix- a matrix structure will be set up similarly to a functional , in that it will arrange itself into functions with specific focus as well as including functions that deal specifically with :
Delivering changes for example project management and programme management functions
Matrix- with the matrix structure people will remain within their functions but will be temporarily assigned to projects to support project delivery. Once their work on a project is completed then they can ,
Return to their original functions ready to be ‘loaned’ out to another project .
Matrix- organisations tend to lean towards a matrix structure when a project requires :
Many different skills, needs to be managed distinctly from a specific function but can still draw upon expertise from within the organisation.
Simply put we want to get the best of both functional and project structures
Matrix- the project managers that are used to lean projects will be drawn from the project function and will report to the board. Whereas staff from other functions will find their day to day project activities will come under ?
The authority of the project manager and their functional manager
Advantages of a matrix structure:
- Allows quicker response to changes as the projects aren’t constrained to a function.
- tailored projects - because the project are outside of functions, they can be tailored to suit organisational needs, rather than made to ‘fit’ into a function that is chosen simply because it is ‘closer’ to the project objectives rather than other functions .
- flexible resources - can share resources more fluidly, so one person can potentially support several potentially in-related who might need their expertise.
- consistency - allows best practice to be shared across multiple projects and allows expertise to develop as Staff will return back to their functions upon project completion.
- two managers- two sources of information and guidance tailored to both function and project approach .
Disadvantages of a matrix structures:
- complex - allocating resources from multiple functions into projects can be time consuming and difficult to manage
- project manager doesn’t have as much power as their team will still partially within their functions
- conflicting loyalty between function and project as the people could be torn between delivery of functional objectives versus their project objectives
- staff might be stretched thin supporting multiple unrelated projects
- two manager two sources of contradicting information and guidance biased towards function or project approach
Weak , balanced and strong matrix structures :
How much authority the functional or project manager will have usually depends on which type of matrix structure we are using.
There are three, weak , balanced and strong
Weak , balanced and strong matrix structures: STRONG
a strong matrix structure closely resembles a project structure. This means that they authority over staff will lie primarily with the project manager , so that means there will be strong line of reporting between the project team and the project manager.
Most if not all decisions regarding resources , control of work and staff objectives will lie with the project manager whilst the functional manager will be able to support any functional matters though have minimal involvement beyond this
Weak , balanced and strong matrix structures: BALANCED
This approach balances the authority between the project manager and functional manager evenly. This mean that any activities more traditionally associated with the functional role , such as training , development of functional objectives etc can be managed by the functional manager where as anything that corresponds with day to day involvement with a project such as holiday request , appraisals etc can be managed by the project manager.
This means that both the functional and project activities are lest likely to cross over and take time away from the other , though to work effectively there needs to be clear lines of communication and reporting , matrix structure can be challenging if these reporting lines are not defined and can cause conflict and conclusion for people working within it if not well established.
Weak , balanced and strong matrix structures: WEAK
A weak matrix structure is closest to resembling a functional structure.
This means that the functional manager has the leading authority over matters such as staff management , priorities, cost etc as business focus is more on functional delivery , with most of the decision making resting with them.
The project manager will typically have a minimal role regarding staff activity and priorities with their focus primarily on coordinating project activities.
Project Structure - a project structure is usually how a organisation arrange themselves if they deliver lots of large , complex projects. Such as
Construction or film industry
Project Structure - the business will have few, if any established functions and these will be mainly focused with recruitment of temporary project staff to support any projects that the organisation has decided they want to undertake. Because there is unlikely to be any permanent employees to support projects , most of the team are usually sourced ?
Externally
Project Structure - once the project is complete , the team delivering it will disband and unlike the functional or matrix organisation the project manager has ?
Complete management authority over the team and will report to the board directly ( and or programme manager if it falls under a programme)
Advantages of a project structure:
- Project focus. All communication, objectives and task are focused on project delivery without having to consider functional needs
- dedicated teams - the team gave no split loyalty and have a clear line of reporting which can help develop a strong team identity
- external staff can provide different perspectives that can come from experiences outside if an organisation, increasing the changes of innovation and new solutions,
- project manager authority means that the project manager has complete control over the direction , hiring and objectives of their team and task, it will also allow their teams to develop specific project management skills.