上海交通大学：《工程项目管理 Engineering Project Management》教学资源（PPT课件）Chapter 13 Types of Project Organizations

上浒充通大学 SHANGHAI JIAO TONG UNIVERSITY Project Management Dr.HU Hao 六漏 School of Naval Architecture Ocean and Civil Engineering Shanghai Jiao Tong University 2012

Project Management Dr. HU Hao School of Naval Architecture Ocean and Civil Engineering Shanghai Jiao Tong University 2012

图 上游充通大学 SHANGHAI JLAO TONG UNIVERSITY Part 3 THE KEY TO PROJECT SUCCESS Chapter 13 Types of Project Organizations

Part 3 THE KEY TO PROJECT SUCCESS Chapter 13 Types of Project Organizations

上游充通大粤 SHANGHAI JIAO TONG UNIVERSITY Learning Objectives © The characteristics of the three types of organization structures: ●Functional ●Project ●matrix The advantages and disadvantages of each

Learning Objectives The characteristics of the three types of organization structures: • Functional • Project • matrix The advantages and disadvantages of each

上游充通大学 SHANGHAI JIAO TONG UNIVERSITY Functional-Type Organization Used in businesses that sell and produce standard products. Groups consist of individuals performing the same function. Periodically undertake in-house projects. Team members can be assigned to the project. Team members continue regular functional jobs. Project manager does not have complete authority over team

Functional-Type Organization Used in businesses that sell and produce standard products. Groups consist of individuals performing the same function. Periodically undertake in-house projects. Team members can be assigned to the project. Team members continue regular functional jobs. Project manager does not have complete authority over team

上游充通大粤 SHANGHAI JIAO TONG UNIVERSITY Functional-Type Organization(Cont.) President HR Finance and Admin Vice President Vice President Marketing Engineering Manufacturing Procurement Vice President Vice President Vice President Vice President Customer Service Systems Fabrication engineering Purchasing Manager Manager Manager Manager Software Domestic Sales Receiving and Engineering Assembly inspection Manager Manager Manager Manager International Electronics Sales Engineering Testing Manager Manager Manager

Functional-Type Organization (Cont.) President Marketing Vice President Customer Service Manager Domestic Sales Manager International Sales Manager Engineering Vice President Systems engineering Manager Software Engineering Manager Electronics Engineering Manager Manufacturing Vice President Fabrication Manager Assembly Manager Testing Manager Procurement Vice President Purchasing Manager Receiving and inspection Manager HR Vice President Finance and Admin Vice President

上游充通大学 SHANGHAI JIAO TONG UNIVERSITY Project-Type Organization Used in companies in the project business,not selling products. Work on multiple projects at a time. Project team is dedicated to one project. Project manager has complete authority over team. Each project team tends to be isolated

Project-Type Organization Used in companies in the project business, not selling products. Work on multiple projects at a time. Project team is dedicated to one project. Project manager has complete authority over team. Each project team tends to be isolated

上游充通大粤 SHANGHAI JIAO TONG UNIVERSITY Project-Type Organization(Cont.) President Marketing HR Vice President Vice President Finance Admin Vice President Project A Project B Project Project Manager Manager Manufacturing Manufacturing Engineering Manager Manager Engineering Manager Procurement Manager Manager Procurement Manager Consultants Subcontractors

Project-Type Organization (Cont.) President Project A Project Manager Consultants Procurement Manager Engineering Manager Manufacturing Manager Project B Project Manager Engineering Manager Manufacturing Manager Procurement Manager Subcontractors Marketing Vice President HR Vice President Finance & Admin Vice President

上游充通大学 Matrix-Type Organization SHANGHAI JIAO TONG UNIVERSITY A mix of functional and project organization structures. © Used in companies that work on multiple projects at a time. Provides project and customer focus. Retains functional expertise. Individuals can be assigned to various types of projects. Both project managers and functional managers have responsibilities. The Project Manager is the intermediary between customer and company. The Functional Manager decides how tasks will be accomplished

Matrix-Type Organization A mix of functional and project organization structures. Used in companies that work on multiple projects at a time. Provides project and customer focus. Retains functional expertise. Individuals can be assigned to various types of projects. Both project managers and functional managers have responsibilities. The Project Manager is the intermediary between customer and company. The Functional Manager decides how tasks will be accomplished

上游充通大学 SHANGHAI JIAO TONG UNIVERSITY Matrix-Type Organization(Cont.) President Engineering Manufacturing Financing Customer Manager Manager Manager Service Manager Project A Project B Project C Project D

Matrix-Type Organization (Cont.) President Project A Project B Project C Project D Engineering Manager Manufacturing Manager Financing Manager Customer Service Manager

上降充通大学 Advantages and Disadvantages SHANGHAI JIAO TONG UNIVERSITY Advantages Disadvantages No duplication of activities Insularity Functional Structure Functional excellence Slow response time Lack of customer focus Cost-inefficiency Control over resources Low level of Project Structure Responsiveness to knowledge transfer customers among projects Efficient utilization of resources Functional expertise Dual reporting available to all projects relationships Matrix Structure Increased learning and Need for balance of knowledge transfer power Improved communication Customer focus

Advantages and Disadvantages Advantages Disadvantages Functional Structure • No duplication of activities • Functional excellence • Insularity • Slow response time • Lack of customer focus Project Structure • Control over resources • Responsiveness to customers • Cost-inefficiency • Low level of knowledge transfer among projects Matrix Structure • Efficient utilization of resources • Functional expertise available to all projects • Increased learning and knowledge transfer • Improved communication • Customer focus • Dual reporting relationships • Need for balance of power