29 Oct 2022

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Organizational Structure Types: Functional, Matrix, Projectized

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The structure of an organization influences the manner in which projects are managed and the authority and reach of the manager. There are three different types of structures that managers can work in them, i.e., functional, project and matrix. In a functional structure, the manager and the resources perform the same function of a company. The advantages include working well with small teams, as well as projects as there is full control over the members and required resources. Experts can easily be accessed because they are in the same area. Problems can be quickly resolved as it is easy to get everyone together. Project communication tools can be restricted due to the small size of the team. The team members are always enthusiastic and ready to work. There are high chances of closing the project ( Burke & Barron, 2015; Lester, 2015 ). 

The downsides of a functional structure include; work taking place in a silo which might restrict access to individuals other functions. Individuals are likely to be loyal to the department or team manager then to work hence it has the potential of creating conflicts. A substantial project can end up with a functional project manager from the function resulting in some work falling through the cracks if the project managers do not work in unison. The structure has the potential to isolate an employee does not network widely in the organization, and therefore it is difficult to maintain a strategic focus (Meredith, Mantel & Shafer, 2016 

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Matrix organizational structure 

It involves the sharing of resources across business and projects. It has a dotted line responsibility or two managers, i.e., project and team managers. The functional structure is usually first, and the project manager assumes the dotted line. The structure separates power and authority from the functional manager as well as the project manager. 

Matrix structures are conventional as they allow the manager to implement flexible choices on how they spend their time. Some of the advantages include efficient utilization of resources which can quickly move between projects as needed. There are additional benefits of working indifferent things. The teams and individuals are responsive especially in new projects that come along and requiring immediate action. Everyone uses the same project management lifecycle enabling faster movement between projects. 

The disadvantages of this structure include conflicts between projects especially if the resources are the same. One project cam also ring-fence the best resources including people. Disputes between business and project tasks can arise especially if the managers are issuing different priorities. Resources can conflict with the future career development. 

Project organizational structure 

Dedicated teams are established to work and the on a project where the manager is likely to have project management responsibilities for the members. Such projects can include substantial construction activities or corporate initiatives with dedicated teams. The manager reports to the sponsor and the board and has ultimate authority. The team members work directly for the project manager (Meredith, Mantel & Shafer, 2016 

There are many advantages in such a structure including more control over team members. The team has an elaborate sense of identity and has the potential of creating the strongest team culture. The entire team is focused on the goals and therefore any conflicts of loyalty arise with the responsibility of the people. It is much easier to schedule work as resources are dedicated to the project. The manager is aware of the available team members and surprises do not occur as members are unlikely to pull off on short notice to another manager. The projects managed in such structures are an ideal environment for enhancing project management skills including other technical skills (Meredith, Mantel & Shafer, 2016 

Some of the disadvantages of this architecture include; such a structure is expensive to maintain as it is an option for massive projects only. Removal of some individuals from the functional jobs might make it difficult for them to go back to the project primarily fit long. The activities of the project are stretching and going back to previous tasks after an extended period of the elongated multidisciplinary environment in a new project is not appealing. Managing a transition following a long project is even painful. The closure of a project means lost jobs especially if other businesses have moved on and there is no different available role. Dedicated teams use more resources just to undertake a single project. They can also limit the number of projects done by a company at any one time mainly if different projects require the same skills. The project managers conduct line management for the teams implying that they spend their time on human resources (Kondrashov, 2016). 

For project management, the best structure is Project organizational structure because of its applicability to different projects and the ability to use dedicated teams, and the manager has line management responsibilities. The structure affects process management by determining the manner in which managers perform their work. The ability of a project manager to dedicate resources to a particular process ensures that such activities run in a smooth way without interruption. Process management cannot run smoothly on the functional structure due to the conflict of interests between different functions. Similarly, matrix structure brings in complexity which might make it difficult to run a project. The data obtained from the computer system in addition to the personal information will be examined in the pre and post-hiring process. Performance management will also help determine the success of the individual in the assigned tasks (Meredith, Mantel & Shafer, 2016; Preget, 2013). 

References 

Burke R., Barron, S., (2015). Project Organization Structures. (2015).  Project Management Leadership,  53-68. doi:10.1002/9781119207986.ch4 

Kondrashov, Y. (2016). Project management automation in the organizational structures. doi:10.18334/9785912921506 

Lester, E. I. (2014). Organization Structures.  Project Management, Planning and Control,  41-43. doi:10.1016/b978-0-08-098324-0.00009-3 

Meredith, J. R., Mantel, S. J., & Shafer, S. M. (2016).  Project management: a managerial approach . Singapore: Wiley. 

Preget, L. (2013). Understanding Organizational Change as an Interactional Accomplishment: A Conversation Analytic Approach.  Journal of Change Management,    13 (3), 338-361. doi:10.1080/14697017.2013.822675 

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