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Project Management Structures Explained

The document outlines three project organizational structures: Pure Project, Functional Project, and Matrix Project. Each structure has its advantages and disadvantages, such as the Pure Project offering full authority and quick decision-making but risking resource duplication, while the Functional Project maintains technical expertise but may weaken motivation. The Matrix Project attempts to combine the strengths of both, enhancing communication and minimizing resource duplication, but can lead to conflicts due to dual management.

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0% found this document useful (0 votes)
6 views2 pages

Project Management Structures Explained

The document outlines three project organizational structures: Pure Project, Functional Project, and Matrix Project. Each structure has its advantages and disadvantages, such as the Pure Project offering full authority and quick decision-making but risking resource duplication, while the Functional Project maintains technical expertise but may weaken motivation. The Matrix Project attempts to combine the strengths of both, enhancing communication and minimizing resource duplication, but can lead to conflicts due to dual management.

Uploaded by

Vy Phan
Copyright
© All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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CHAPTER 14

Pure Project
When innovation and speed are the priorities, a small project-focused team
is used. In this case, team members are assigned solely to the team for the
duration of the project. This pure project structure is where a self-contained
team works full time on the project.
Pure project
A structure for organizing a project where a self-contained team works full time on the project.
ADVANTAGES
The project manager has full authority over the project.
Team members report to one boss. They do not have to worry about
dividing loyalty with a functional-area manager.
Lines of communication are shortened. Decisions are made quickly.
Team pride, motivation, and commitment are high.
DISADVANTAGES
Duplication of resources. Equipment and people are not shared across
projects.
Organizational goals and policies are ignored, as team members are
often both physically and psychologically removed from headquarters.
The organization falls behind in its knowledge of new technology due
to weakened functional divisions.
Because team members have no functional area home, they worry
about life-after- project, and project termination is delayed.
Functional Project
At the other end of the project organization spectrum is the functional project,
housing the project within a functional division.
Functional project
In this structure, team members are assigned from the functional units of the organization. The team
members remain a part of their functional units and typically are not dedicated to the project.
ADVANTAGES
A team member can work on several projects.
Technical expertise is maintained within the functional area even if
individuals leave the project or organization.
The functional area is a home after the project is completed.
Functional specialists can advance vertically.
A critical mass of specialized functional-area experts creates synergistic
solutions to a project’s technical problems
DISADVANTAGES
Aspects of the project that are not directly related to the functional area
get shortchanged.
Motivation of team members is often weak.
Needs of the client are secondary and are responded to slowly
Matrix Project
The classic specialized organizational form, the matrix project, attempts to
blend properties of functional and pure project structures. Each project
utilizes people from different functional areas. The project manager (PM)
decides what tasks will be performed and when, but the functional
managers control which people and technologies are used. If the matrix
form is chosen, different projects (rows of the matrix) borrow resources
from functional areas (columns). Senior management must then decide
whether a weak, balanced, or strong form of a matrix is to be used. This
establishes whether project managers have little, equal, or more authority
than the functional managers with whom they negotiate for resources.
Matrix project
A structure that blends the functional and pure project structures. Each project uses people from
different functional areas. A dedicated project manager decides what tasks need to be performed and
when, but the functional managers control which people to use.
ADVANTAGES
Communication between functional divisions is enhanced.
A project manager is held responsible for successful completion of the
project.
Duplication of resources is minimized.
Team members have a functional “home” after project completion, so
they are less worried about life-after-project than if they were a pure
project organization.
Policies of the parent organization are followed. This increases support
for the project.
DISADVANTAGES
There are two bosses. Often the functional manager will be listened to
before the project manager. After all, who can promote you or give you
a raise?
It is doomed to failure unless the PM has strong negotiating skills.
Suboptimization is a danger, because PMs hoard resources for their
own project, thus harming other projects.
Note that regardless of which of the three major organizational forms is
used, the project manager is the primary contact point with the customer.
Communication and flexibility are greatly enhanced because one person is
responsible for successful completion of the project

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