Functional organisation structure, Project Management

Assignment Help:

Functional organisation

In this type of organisational structure people are grouped into functional divisions such as production or marketing. Every employee reports to a superior. It is hierarchical in nature. The scope of a project is limited to the functional division boundaries. Every division has a project manager who reports  to  his  superior.  Every  project  manager  manages  his  functional division independent of other functional divisions. This hierarchical structure is illustrated in figure.

1818_functional organizational structure.png

Figure: Functional organisation structure

Characteristics

  • Project managers operate within their respective division and pose a level of expertise within their area of responsibility. For example a marketing division manager has knowledge or experience in sales.
  • Both project and functional personnel are managed by Directors of the functional division. They define requirements, schedule work, provide facilities, set priority, acquire and manage resources as per company policies and ensure quality.
  • Employees are assigned projects based on their skills and services.

They may be moved within divisions, wherever they are needed.

Advantages

  • Projects completed will be more accurate since project manager and team members have functional area expertise. As a result, fewer changes will be made during a project life and more practical end products can be produced.
  • Since the project team is accountable for their work. Project personnel's are more committed to their work.
  • Since team members have functional expertise, learning time is reduced; problem situations can be identified and corrected resulting in quick project completion.

Disadvantages

  • Since the focus is more on needs of the functional division, it makes it difficult to see and respond to the needs of the organisation as a whole. It is difficult to enforce enterprise policies and practices uniformly across all functional divisions.
  • There is no standard means by which project control and status reports are communicated to senior management .Hence, making it difficult for senior managers to manage the various projects within the organisation.
  • There is no proper account maintained for project costs.
  • The differentiation between project and functional roles may be vague and projects might be lost on routine work.

Related Discussions:- Functional organisation structure

Briefly discuss features of learning organizations, Question 1: (a) Br...

Question 1: (a) Briefly discuss features of learning organizations. (b) Identify two pitfalls in implementing ‘Citizen's Charters' in public sector organizations. Ques

Contrast cost benefit analysis with investment appraisal, Question: (a)...

Question: (a) Describe cost benefit analysis as used to appraise large public sector investments. (b) Compare and contrast cost benefit analysis with investment appraisal.

Histograms, H i stograms Histograms show a visual summary of the data...

H i stograms Histograms show a visual summary of the data, which is simple to understand. Raw data is difficult to understand and a pictorial representation helps to understa

Principle of parity of authority and responsibility, What is the principle ...

What is the principle of parity of authority and responsibility? The principle of parity of authority and responsibility states which in delegating; managers should match the r

Project organisation structure, P roject organisation In this type of ...

P roject organisation In this type of organisation, the project management needs of all divisions of the company are served by a centralized separate division of skilled manag

Discuss importance of value management in project life cycle, Question: ...

Question: (a) Past projects have shown that cost escalation is a common phenomenon with respect to the amount by which actual costs increases overrun the initial estimated cos

Risk.., explain what is meant by scope risk

explain what is meant by scope risk

Scheduling, external factors affecting scheduling

external factors affecting scheduling

Greater possibility of space utilization, Greater Possibility of Space Util...

Greater Possibility of Space Utilization There will be a greater productive utilization of the floor area under this type of layout. Due to lesser need for temporary storage o

The Walsham Hotel, Compare and Contrast the KN346 investment and the "plain...

Compare and Contrast the KN346 investment and the "plain vanilla" alternative.

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd