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Project Management Blog
Thursday, 25 January 2007 21:29

Organizational Set Up

ORGANIZATIONAL SETUP


Functional
This traditional structure groups people by specialization (for example, marketing, contracting, accounting, and so on). The project manager has no formal authority over project resources and must rely on the informal power structure and his or her own interpersonal skills to obtain resource commitments from functional managers. Conflicts tend to develop over the relative priorities of various projects competing for limited resources.

Weak Matrix
The matrix organization maintains vertical functional lines of authority while establishing a relatively permanent horizontal structure containing the managers for various projects. The project managers interact with all functional units supporting their projects. In a weak matrix, the balance of power leans toward the functional manager rather than the project manager. That is, workers’ administrative relationships, physical proximity, and relative time expenditures favor the functional manager.


Strong Matrix
The strong matrix is the same as the weak matrix except that the balance of power favors the project manager rather than the functional manager. The project manager has medium to high formal authority.

Projectized
In a projectized organization, a separate, vertical structure is established for each project.  Personnel are assigned to particular projects on a full-time basis. The project manager has total authority over the project, subject only to the time, cost, and performance constraints specified in the project targets.

These are the functional organizations; project expeditor, which is little more than a functionary who helps support the concept of project management but not really the practice; the project coordinator is a step up from that. Then a weak matrix is where you actually have the project manager getting resources from the functional organizations; a strong matrix is where the balance of power is shifted to the project manager. The way you tell whether or not that balance of power has shifted is where the money and the reporting flow from. If all money and reports are generated by the project and are respected as being from the project, then it is a strong matrix. If the functional organizations are seen as generating revenue for the organization rather than the project organizations, then it is a weak matrix. And finally, PMI’s ideal structure: the projectized organization, a place where the project has its own reporting structure within the organization.

 

PM Level of Authority Matrix

PM Level of Authority Matrix
  PM's Authority Budget control Resource Control PM’s role / Time
Functional Little or None  Functional Manager  Little or none   Part time
Weak Matrix Limited Functional Manager  Limited   Part time
Balanced Matrix Low  Mixed  Low  Full time
Strong Matrix Moderate  Project Manager Moderate  Full time
Projectized High  Project Manager  High  Full time

 

 

Published in Blogs
Thursday, 25 January 2007 21:27

Organization charts

An Organizational Chart represents the structure of an organization in terms of rank. The chart usually shows the managers and sub-workers who make up an organization. The chart also shows relationships between staff in the organization, which can be:

Published in Blogs
Thursday, 25 January 2007 21:20

Project Human Resources

The Project Human Resource Management questions on the PMP® certification exam focus heavily on organizational structures, roles and responsibilities of the project manager, team building, and conflict resolution. The Project Human Resource Management processes include the following:

Published in Blogs
Thursday, 25 January 2007 20:45

Cost Estimating

Analogous estimating - Uses similar historical information to predict the cost of the current project. Such estimates are usually performed early in a project and rely on knowledge of the actual cost outcomes from similar projects.
Published in Blogs
Thursday, 25 January 2007 19:25

Critical Path

The critical path is the longest path to completion in the network diagram. Activities on the critical path have no Slack or Float. The Project Time Management questions on the exam focus heavily on critical path method (CPM), and diagramming methods; the differences between these techniquees; and the appropriate circumstances for their use.

Published in Blogs
Thursday, 25 January 2007 19:16

Activity Duration Estimating

Duration includes the actual amount of time worked on an activity plus the elapsed time.

Effort is the number of workdays or work hours required to complete a task. Effort does not normally equal duration. People doing the work should help create estimates, and the PM should review them. Duration estimating is assessing the number of work periods (hours, days, weeks,) likely to be needed to complete each activity. Duration estimates always include some indication of the range of possible results, for example, 2 weeks + or – 2 days or 85% probability that the activity will take less than 3 weeks. Activity Duration Estimating:

Published in Blogs
Thursday, 25 January 2007 15:18

Organizational Structure

Projects, of course, are not operated in a vacuum. They are parts, or subsystems, of much bigger organizations with much larger goals. Each project has or uses elements such as processes, participants, policies, procedures, and requirements, some of which are dependent upon and interact with related elements in the larger business system. By taking a systematic approach, the project manager can see how all the elements interact, and assess the impact on the individual project. Project managers must recognize the role of the project as a component within an organization. The role of the project, as a component, is to support the business model of the organization as a whole-not to necessarily replace it. Organizations are categorized into one of five models:


Functional
This traditional structure groups people by specialization (for example, marketing, contracting, accounting, and so on). The project manager has no formal authority over project resources and must rely on the informal power structure and his or her own interpersonal skills to obtain resource commitments from functional managers. Conflicts tend to develop over the relative priorities of various projects competing for limited resources.

Weak Matrix
The matrix organization maintains vertical functional lines of authority while establishing a relatively permanent horizontal structure containing the managers for various projects. The project managers interact with all functional units supporting their projects. In a weak matrix, the balance of power leans toward the functional manager rather than the project manager. That is, workers’ administrative relationships, physical proximity, and relative time expenditures favor the functional manager.

Balanced Matrix
A balanced matrix structure has many of the same attributes as a weak matrix, but the project manager has more time and power regarding the project. A balanced matrix still has time accountability issues for all the project team members since their functional managers will want reports on their time within the project. In a balanced matrix the project manager has a full-time role as a project manager with a reasonable level of authority and has a primarily part-time project team

Strong Matrix
The strong matrix is the same as the weak matrix except that the balance of power favors the project manager rather than the functional manager. The project manager has medium to high formal authority.

Projectized
In a projectized organization, a separate, vertical structure is established for each project.  Personnel are assigned to particular projects on a full-time basis. The project manager has total authority over the project, subject only to the time, cost, and performance constraints specified in the project targets.

These are the functional organizations; project expeditor, which is little more than a functionary who helps support the concept of project management but not really the practice; the project coordinator is a step up from that. Then a weak matrix is where you actually have the project manager getting resources from the functional organizations; a strong matrix is where the balance of power is shifted to the project manager. The way you tell whether or not that balance of power has shifted is where the money and the reporting come from. If all money and reports are generated by the project and are respected as being from the project, then it is a strong matrix. If the functional organizations are seen as generating revenue for the organization rather than the project organizations, then it is a weak matrix. And finally, PMI’s ideal structure: the projectized organization, a place where the project has its own reporting structure within the organization.


Published in Blogs
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