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Project Management Organizational Structure SICT Unit Credit Value : 2 Essential Learning time : 80 hours Cikguhadi.com.

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Presentation on theme: "Project Management Organizational Structure SICT Unit Credit Value : 2 Essential Learning time : 80 hours Cikguhadi.com."— Presentation transcript:

1 Project Management Organizational Structure SICT Unit Credit Value : 2 Essential Learning time : 80 hours Cikguhadi.com

2 Learning objectives Understand organizations, including the four frames and organizational structures. Explain why stakeholder management and top management commitment are critical for a project’s success. Learn the concept of a project phase and project lifecycle.

3 Organization Definition: A social unit of people that is structured and managed to meet a need or to pursue collective goals. Projects cannot be run in isolation They have to operate in a broad organizational environment

4 Project managers must learn how to work well within the four organizational frames: structural, human resource, political and symbolic. The frames are based on Lee Bolman and Terrence Deal in Reframing Organizations. They suggest that project managers who can understand these four frames will improve their leadership and management. Organization

5 Structural Frame Human Resource Frame Political FrameSymbolic Frame Organization Frames

6 “The RATIONAL side of an organization” Focuses on roles, responsibilities, coordination and control. Emphasize rationality, analysis, logic, facts and data. Believe strongly in the importance of clear structure and well-developed management systems. Structural Frames

7 Problem arises when: – Structure does not fit the situation. Main challenge would be attuning structures to tasks, technology or environment. Structural Frames

8 “The PEOPLE side of an organization.” Focuses on the harmony between the needs of the organization and the needs of people He/she cares of people who are involved in a project and in an organization. Human Resource Frame

9 believe in the importance of coaching, participation, motivation, teamwork and good interpersonal relations. Human Resource Frame

10 Problem arises when: – Organization and people are in a bad relationship/no harmony. Main challenge would be developing harmony by attuning organizational and people needs. Human Resource Frame

11 “The CONFLICT side of an organization” Sees organizations as arenas or contests. Believe strongly that every organizations are competing for limited resources and fighting for power. Political Frame

12 In order to survive, they build networks, allies, coalitions. Political Frame

13 Problem arises when: – Misuse of power. Power concentrated in the wrong places or is too broadly dispersed. Main challenge would be how to appropriately use the power to foster networks and alliances to acquire resources. Political Frame

14 “The CULTURAL side of an organization.” Focuses on meaning and faith. Sensitive to organization’s history and culture. Symbolic Frame

15 believes that the essential task of management is to provide vision and inspiration. Inspires and excites people with his/her actions and visions. Symbolic Frame

16 Problem arises when: – Uncertainties among people causing meaning and faith to be lost. Main challenge would be to create and maintain inspiration, meaning and faith. Symbolic Frame

17 An organizational structure facilitates the coordination and implementation of project activities. The main purpose is to create an environment which fosters interactions between team members with a minimum amount of conflicts. Structures can take on various forms. Each with its own advantages and disadvantages. Organizational structure

18 The rationality of an organization practicing a particular structure depends on their business type and size. The three basic structures are: Functional, Project and Matrix Organizational structure

19 Bringing together one specialized area into one organizational unit. This brings efficiency within themselves. i.e communication among department is good. Functional type organization is insular. It means that they’re only concerned with their own performance and with little interest with other type of specialists. Functional-Type organization

20 This lack of communication makes an organization slow and inflexible. Suitable for small organization. Functional-Type organization

21 Structure is built around functions. General Management System Engineering Software Engineering Verification & Validation Software Quality Assurance System engineer SW engineer V&V engineer SQA engineer Functional-Type organization

22 Groups each organizational functions into divisions. Each division has full control and quipped with its own resources. No conflict with other divisions due to this. However since each divisions has its own function, there is a heavy duplication of resources, skills and expertise. Suitable for large organization. Project-Type organization

23 Structure is built around projects General Management Project AProject BProject C System engineer SW engineer V&V engineer SQA engineer System engineer SW engineer V&V engineer SQA engineer System engineer SW engineer V&V engineer SQA engineer Project-Type organization

24 Composite of functional and project. Teams are formed based on their specialized area but each are involved in different projects. Hence there is skill diversification and training across function is easier and manageable. However, employees may face unclear roles and inconsistent job demands due to interdependencies between functional departments. Suitable for large organization. Matrix-Type organization

25 Composite of functional and project. General Management System Engineering System engineer SW engineer V&V engineer SQA engineer SW Engineering V&V Engineering SQA Engineering Project A Project B Matrix-Type organization

26 Stakeholders are the person involved in or affected by project activities (see lecture 1 notes) Project manager must take time to identify, understand and manage a good relationship with all project stakeholders Four frames of organization are essential in meeting all the stakeholders’ needs and expectations Stakeholder executives/top management are very important stakeholders Stakeholder management

27 From time to time project managers would require approval in order to obtain project resources. Top management has the power to approve them. Top management also deals with political issues that often arises when a project manager cuts across to seek cooperation from other people in an organization. Top management serve as a mentor and coach project managers on their leadership issues. Top management

28 Close-Out Implementation Not to be confused with project process groups (next lecture). Project lifecycle is a series of activities/phases in conducting a project. Four phases of a traditional project lifecycle: Development Concept Project phases and project lifecycle

29 Concept – Rough assessment of project. Identify needs, approaches, problems and solutions. Development – A more detail assessment of project. Outline what the project will accomplish, assign who will do what work, identify time taken and how much will be the cost. Project phases

30 Implementation – Real work now began according to proposed plan, schedule and budget. Close-Out – All work has been completed and project is terminated. Project phases

31 – A project should pass through each of the phases successfully before stepping into the next phase – Management reviews/phase exits/kill points should occur at each phase to evaluate the project’s progress, likely success, and continued compatibility with organizational goals. The importance of project phases and management reviews

32 You own a website design company. Organize your company team into Functional, Project and Matrix Structure. Tips: Think of what kind of professions are involved in building a website. ACTIVITY

33 Summary Project managers must learn how to work well within the four organizational frames: structural, human resource, politcal and symbolic. An organizational structure facilitates the coordination and implementation of project activities. The three basic structures are: Functional, Project and Matrix

34 Summary Project lifecycle is a series of activities/phases in conducting a project. The phases are: concept, development, implementation and close-out A project should pass through each of the phases successfully before stepping into the next phase


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