Chapter 8 Organization Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Functional Organizations Figure 8-1 Delta Manufacturing, Inc. President Human resources Finance and administration Marketing Engineering Manufacturing Procurement Electronics engineering Software engineering Mechanical engineering Design Receiving & inspection Purchasing Customer service Domestic sales International sales Fabrication Assembly Testing Production scheduling Project coordination Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Dedicated Project Team Figure 8-2 Zeus Electronics, Inc. President Human resources Finance and administration Marketing Engineering Manufacturing Procurement Project manager Project team Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Project Organization Structure Figure 8-3 Central Engineering Systems, Inc. President Marketing Human resources Engineering Manufacturing Procurement Finance and administration Legal Alpha Project Project Manager Beta Project Project Manager Subcontractors Other projects Electrical Mechanical Software Fabrication Assembly Test Systems Hardware Software Subcontractor X Subcontractor Y Subcontractor Z Assembly Test Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Matrix Organization Structure Figure 8-4 Zeus Electronics, Inc. President Human resources Finance Director of projects Engineering Manufacturing Marketing Project administration Design engineering Electronics engineering Software engineering Mechanical engineering Technical documentation Assembly Testing Quality Domestic sales International sales Customer service Project A project manager Project B project manager Project C project manager 1 1/2 2 3 Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Division of Project Manager and Functional Manager Responsibilities in a Matrix Structure Table 8-1 Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Key Dimensions Defining an Organization’s Culture Figure 8-6 Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Cultural Dimensions of an Organization Supportive of Project Management Figure 8-8 Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Organization of Product Development Projects at ORION Figure 8-9 Project manager Deputy planning and control management Electronics system engineer Mechanics system engineer Team leader Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Traditional Master Plan at ORION Figure 8-10 Activities/time 4-7 Years 1-4 Years Design reviews Design and development Production and delivery ILS SDR PDR CDR TRR PRR Laboratory tests Environmental tests Build production line and test equipment Documentation and training program Training Production and deliveries Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Proposed Project Organization for the Jaguar Project Figure 8-11 Project manager Deputy production manager Electronics system engineer Mechanics system engineer Team leader Deputy planning and control management QA manager ILS manager Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Jaguar Master Plan Activities/time 3-4 Years 1-4 Years SDR PDR CDR TRR Figure 8-12 Activities/time 3-4 Years 1-4 Years Design reviews Design and development Production and delivery ILS SDR PDR CDR TRR PRR Laboratory tests Environmental tests Build production line and test equipment Documentation and training program Training Production and deliveries Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Mechanisms for Sustaining Organizational Culture Figure A8-1 Methods for maintaining organizational culture Formal statement of principles Top management behavior Reactions to organizational crisis Allocation of rewards and status Rituals, stories, and symbols Recruitment of employees who fit the culture Organizational culture Removal of employees who deviate from the culture Irwin/McGraw-Hill ©The McGraw-Hill Companies, 2000

Figure 8-5. Rated Effectiveness of Different Project Structures by Type of Project Very Effective Ineffective Functional Organization Matrix Balanced Project Construction New Product From: D.H. Gobeli & E.W. Larson. Relative Effectivness of different project structures. Project Management Journal, 18 (d),June 1987, p. 85.