Project Organization – types and their suitability for implementing various types of organization
Ques: Project Organization – types and their suitability for implementing various types of organization.
Ans: Project organization makes an alignment between the project and the parent company to deliver or complete the project effectively and efficiently. There are three types of project organization:
Functional organization: In this part of project is assigned to various functions of company such as marketing, product development, sales etc so that specialist would do their part of work. It is mainly used when one functions plays dominant role in completion of project.
Pure project organization: this is referred as creation of separate project teams to complete task. This is unit which is self independent and has own staff to do work that is own team of people. The organization is developed in such a way that functional department helps the project teams in their work.
Matrix organization: this organization structure is a combination of functional and pure project organization both. This type of structure optimizes the use of resources available with the company. The boundaries between the project team and functional units is not very strict hence make it flexible which makes it more popular among the firms to use this structure but decision making process is very slow in this type of structure as various functional departments and project group should agree for the work to make it inot action.