5.1 Organising for Project Management

Question 1

What is the dynamics between organisation trade offs?

Answer 1

We benefit from division of labour but sacrifice coordination

Question 2

What is the cost of Specialization?

Answer 2

Coordination

Question 3

Name 3 Coordination Mechanisms

Answer 3

1- Price
2- Routines
3- Mutual Adjustment

Question 4

Name 4 reasons why we need new organizational structures

Answer 4

(1) Need for speed, market responsiveness and flexibility
(2) Need for broader areas of knowledge.
(3) Rapid expansion of technology
(4) Difficulty to control large number of activities.

Question 5

What are the 3 organisational issues related to projects

Answer 5

1- How to tie the project to a parent firm
2- How to organize the project
3- How to organize activities common to multiple projects

Question 6

What are the 3 main organisational structures?

Answer 6

• Functional (Traditional)
• Matrix
• Pure Project

Question 7

What is a Functional organisational structure?

Answer 7

Large investment in one functional area with in depth application of technology

Question 8

What is a Project Based organisational structure?

Answer 8

Handling a large number of similar projects

Handling a one-time project not focused on one functional area

Question 9

What is the source of efficiency?

Answer 9

Specialisation/Division of Labour

Question 10

What is the main problem with Matrix organisational structure?

Answer 10

Poor communication

Question 11

Organisational structures are not…

Answer 11

Static, they evolve over time