Quiz 3: Chartering Projects

Business

In a strong (project) matrix , the role of a functional manager is making sure that the team members' organizational needs and professional development are met. Here the project manager takes most of the decisions related to the project and normally does not require getting approval from the functional manager. The project manager of a weak matrix usually performs a part-time role. He is mostly a project coordinator, which is normally an administrative role yet having certain limited authority over the project and requires reporting to a higher-level manager. The control of the project budget is in the hands of a functional manager, and all chief project decisions needs clearance of the functional manager.

Co-location: Co-location is a technique in which the team members of a particular project are located close to one another in order to achieve better communication, improve decision making and reduce response time among them. It is a strategy which helps enhance productivity of the employees in the particular project. The advantages of co-location are listed below: 1. It helps in enhancing control over the team as all the members involved are found close to each other. 2. It develops more customer focused teams. 3. It does effective amalgamation of the efforts put in by the each member of the project. The disadvantages of co-location are listed below: 1. The team gets isolated from the whole organization. 2. The team members get so much involved in one project that they form their own working norms that may divert from the overall organizational working norms. 3. At times, co-location requires acquisition of new infrastructure to place whole team in one place.

Organizational structure: Organizational structure includes activities like task allocation, decision making responsibility, authority-responsibility relationship. It is a framework within which the organization functions. An organization can be structured using different methods. These methods are defined below: 1. Functional organization : Functional organization is the organization structure in which every employee in under single superior, employees are grouped depending upon their area of specialization and are managed by superiors having expertise knowledge in the area. Advantages 1. Individuals understand clearly what they are expected to do as only one superior is instructing them. 2. The functional manager can share resources among different projects as he heads individuals of different project. Disadvantages 1. The functional manager may not have knowledge about disciplines other than his area of specialization. 2. The communication and decision making slows down due to long channels of communication. 2. Projectized organization: A projectized organization is the organization where the project manager has the full power over all the resources relating to the project. It includes assigning resources to the project, setting budgets, directing the work of people involved with the project. Advantages 1. The communication and decision making is swift as one project manager is responsible for the whole project. 2. Individuals understand clearly what they are expected to do as they report to only one boss, that is the project manager. Disadvantages 1. All team members are assigned to one project even if the project does not require their whole time. 2. The project manager may locate the members onsite rather within the organization, this may lead to people developing their own work norms and disregard those of the organization. 3. Matrix organization : Matrix organization is the organization structure where both the project manager and the functional manager work together for directing work to the members and assigning priorities in the project. The team members report to both the project manager and the functional manager. Advantages 1. Cooperation between various departments and projects is quite good as both the managers are involved. 2. Flexibility in decision making is there as the decision making authority is shared between the two managers. Disadvantages 1. Two bosses might try to work differently as per what they feel is right and this may lead to conflicting advice. 2. Decisions might get delayed as two different people are involved in decision making. An organization needs to consider advantages and disadvantages of the various organizational structures to choose the best suited structure type for it.

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