Professional Practice & Standards - Week 1
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Questions and Answers

What is the primary benefit of a well-established unity of command in a project?

  • It ensures a high level of creativity among team members.
  • It allows for more flexible job roles within the team.
  • It encourages independent decision-making among team members.
  • It clarifies roles and obligations for all project members. (correct)

    • Which factor contributes significantly to the effectiveness of information flow among project participants?

  • Stakeholder engagement and interaction. (correct)
  • Team size and diversity.
  • Project manager's leadership style.
  • Complexity of the project tasks.

    • In project management, what does flexibility in organizational structures primarily refer to?

  • The ability to hire more personnel as needed.
  • The freedom for project managers to change project budgets.
  • The capacity to adapt to changing external conditions. (correct)
  • The complexity of tasks assigned to team members.

    • What is a common characteristic of an organic or simple project organizational structure?

    <p>Flexible arrangements with people working side-by-side. (C)</p> Signup and view all the answers

    How does personnel selection impact project success?

    <p>Choosing personnel with adequate skills contributes to objectives accomplishment. (B)</p> Signup and view all the answers

    What is the primary factor influencing how resources are allocated within a project portfolio?

    <p>Organizational structure (D)</p> Signup and view all the answers

    Which of the following organizational structures allows for a project manager to have the most authority over resources?

    <p>Project-based structure (B)</p> Signup and view all the answers

    What is a significant disadvantage of a functional organization?

    <p>Limited resource availability for projects (C)</p> Signup and view all the answers

    What role does 'division of labor' play in organizational structure?

    <p>It enhances specialization by assigning distinct tasks. (D)</p> Signup and view all the answers

    Why is understanding the organizational culture important for project managers?

    <p>It enables avoidance of obstacles and leveraging pathways. (B)</p> Signup and view all the answers

    What does the term 'interdependence' refer to in project management?

    <p>The reliance of project elements on each other and their integration. (B)</p> Signup and view all the answers

    Which of the following best describes the need for a clear organizational type?

    <p>It supports a corporation's objectives and survival. (A)</p> Signup and view all the answers

    What is crucial for balancing the needs of a parent organization with a project?

    <p>Defining the interface in terms of authority and resources (B)</p> Signup and view all the answers

    In a weak matrix organization, who generally manages the project budget?

    <p>Functional manager (A)</p> Signup and view all the answers

    What is the project manager's role in a strong matrix organization?

    <p>Full-time; designated job role (B)</p> Signup and view all the answers

    What type of organization has work groups arranged by job function, with the project manager as a function?

    <p>Strong matrix organization (D)</p> Signup and view all the answers

    Which organization type has the project manager working part-time and sharing duties with functional responsibilities?

    <p>Weak matrix organization (A)</p> Signup and view all the answers

    In a balanced matrix organization, who is responsible for managing the project budget?

    <p>Both project and functional managers (B)</p> Signup and view all the answers

    What distinguishes a project-oriented organization from other types of organizations?

    <p>It offers dedicated resources for each project. (B)</p> Signup and view all the answers

    Which factor is likely to increase the project manager's authority in a matrix organization?

    <p>Being full-time and designated (B)</p> Signup and view all the answers

    How does the role of administrative staff differ across various matrix organization types?

    <p>They have no role in managing project budgets. (A)</p> Signup and view all the answers

    What is the primary responsibility of a project manager within a strong matrix organization?

    <p>Controls the majority of project aspects (B)</p> Signup and view all the answers

    Which of the following best describes the authority of functional managers in a weak matrix organization?

    <p>They execute their assigned segment per the project's master schedule. (A)</p> Signup and view all the answers

    What is an essential task of a project manager acting as a staff assistant in a weak matrix organization?

    <p>Integrates various disciplines' work (B)</p> Signup and view all the answers

    In a balanced matrix organization, which statement correctly reflects the relationship between project managers and functional managers?

    <p>Functional managers are consulted only when necessary. (B)</p> Signup and view all the answers

    Which capability is least associated with project managers in a functional organization?

    <p>Has direct authority over the functional teams (D)</p> Signup and view all the answers

    What is a disadvantage of the functional organizational structure in project management?

    <p>Lack of focus (D)</p> Signup and view all the answers

    What is an advantage of a matrix organizational structure?

    <p>Role flexibility (B)</p> Signup and view all the answers

    Which statement best describes a disadvantage of the project-oriented structure?

    <p>High administrative costs (D)</p> Signup and view all the answers

    What is a potential consequence of having a complex reporting system in a matrix organizational structure?

    <p>Internal strife (A)</p> Signup and view all the answers

    How does the functional organizational structure affect team dynamics?

    <p>Promotes familiarity among team members (B)</p> Signup and view all the answers

    Flashcards

    Unity of Command

    Clear leadership structure; everyone knows who their superiors are and their responsibilities.

    Personnel Skills

    Project success depends on having the right people with the right skills.

    Spans of Control

    Effective project management involves efficient systems and processes with appropriate control levels.

    Flexible Structure

    Organizational structures need to adapt to change; they should be dynamic.

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    Project Size & Duration

    Project size and duration influence how the project is organized.

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    Organizational Structure

    The way a corporation is organized, influencing resource allocation and project manager authority.

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    Project-Based Structure

    A project management structure where resources are grouped around projects.

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    Matrix Structure

    A project management structure where resources report to both project and functional managers.

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    Functional Organization

    A project management structure where resources are grouped by function.

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    Project Manager Authority

    The level of decision-making power a project manager has within an organization.

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    Organizational Culture

    The shared values, beliefs, and behaviors in an organization that affect project management.

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    Division of Labor

    The process of assigning tasks to different departments for specialization.

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    Project Integration

    Connecting project outcomes to the overall organization's operations.

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    Project Manager's Role

    A project manager directs, plans, and monitors the project's progress, often with limited direct authority over functional teams.

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    Matrix Organization

    A structure combining functional and project-based elements, with project managers sharing control but potentially facing difficulty.

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    Weak Matrix Organization

    Project managers in this structure have limited authority where functional managers retain main control over work assignments.

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    Strong Matrix Organization

    Project managers have more authority and control over the project's scope, personnel, and execution. Functional managers provide expertise.

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    Matrix Organization – weak

    Project manager has limited authority and resources; functional managers retain primary control.

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    Matrix Organization – balanced

    Shared authority and resources between project and functional managers.

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    Matrix Organization – strong

    Project manager has significant authority and control over resources; functional managers support.

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    Project-oriented organization

    Work groups organized around projects, with project managers having full-time roles.

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    Functional Manager (Matrix – weak/balanced)

    Manages the project budget in weak and balanced matrix organizations.

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    Mixed Budget Management (Matrix – balanced)

    Both project and functional managers share budget management responsibility in a balanced matrix.

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    Project Manager (Matrix – strong/Project-oriented)

    Full-time project manager manages the budget in strong and project-oriented organizations.

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    Project Manager's Authority (Matrix)

    The level of decision-making power a project manager has within a matrix organization.

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    Functional Organizational Structure

    A structure where specialists are grouped by their expertise, reporting to a functional manager. Project work is coordinated across different departments.

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    Matrix Organizational Structure

    A combination of functional and project structures where specialists report to both a functional manager and a project manager. This enables efficient resource allocation and flexibility.

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    Project-Oriented Organizational Structure

    A structure where team members are dedicated solely to a specific project, reporting directly to a project manager. Focused on achieving project goals.

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    Advantages of Functional Structure

    Benefits include fewer negotiations, reduced conflict, and a focus on specialized expertise, leading to efficient processes and well-defined roles.

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    Disadvantages of Matrix Structure

    Potential drawbacks include higher administrative costs, potential for shared authority confusion, and challenges in reporting due to dual reporting lines.

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    Study Notes

    Professional Practice & Standards - Week 1

    • This week's topic is about organizational structures in a professional practice setting.

    Organizational Structure

    • Organizational structure refers to how a corporation or organization is set up.
    • Key implementation approaches include functional, project-based, and matrix structures.
    • Each approach has its advantages and disadvantages.
    • Organizational structure impacts project management processes, resource allocation, and manager authority within a company's portfolio.
    • Organizational culture influences project management even with similar structures leading to distinct approaches to project execution.
    • Project managers need to understand the particular organizational layout, especially the pathways, obstacles and company culture to effectively manage projects.
    • A well-structured organization allows for better stakeholder identification and team support.
    • Effective project management systems balance the needs of both the project and the parent organization, enabling smooth resource allocation and integration of project outcomes into standard company operations.

    Factors Affecting Organizational Structure

    • Division of labor: clear task allocation among departments for specialization.
    • Background and experience: previous experience with organizational structures is relevant.
    • Interdependence and interactive management: the number of systems, the schedule and cross-organizational interdependency.
    • Authority, responsibility, and leadership: vision, strategy and cohesiveness of the team.
    • Unity of command: clear lines of command for the project members.
    • Personnel: the appropriate skills and talents of personnel on the project.
    • Stakeholders: project participants and stakeholders.
    • Span of control: the number of project participants.
    • Flexibility: the ability to adjust to changing circumstances and conditions in the external environment.
    • Culture values: project worker's loyalty and dedication.
    • Other factors: size of the project/duration, environmental factors, and technology.

    Organic/Simple Structure

    • Work groups are assembled based on interactions.
    • Project manager role can be part-time and/or an assigned position (coordinator).
    • The owner or operator manages the project budget.

    Functional Structure

    • Work groups are organized by the types of jobs being done (e.g. manufacturing, engineering).
    • Project manager may or may not have a designated role (coordinator role); part-time.
    • The functional manager is responsible for the budget.

    Matrix Structure (Weak)

    • Work groups are organized by job function.
    • Project manager is part-time and has overlapping responsibilities.
    • Functional manager controls the budget.

    Matrix Structure (Balanced)

    • Work groups are organized by job function.
    • Project managers are part-time and have overlapping responsibilities.
    • A mix of roles manage the budget.

    Matrix Structure (Strong)

    • Work groups are organized by job function.
    • Project manager is full-time, has a designated role.
    • Project manager controls the budget.

    Project-Oriented (Composite/Hybrid)

    • Work groups are formed around the project itself.
    • Project manager is full-time, and has a designated role.
    • Project manager controls the budget.

    Different Organizational Structures - Examples

    • Functional Organization: A hierarchical structure with specialized departments (e.g., production, marketing) reporting to top-level management.
    • Example of Functional Organization
      • Chief Executive overseeing roles like Production, Marketing, Engineering, and Accounting. These divisions then comprise various staff members.
    • Project-oriented Organization: A structure where teams are formed around specific projects, with a project manager responsible for the project's execution.
      • Project Management roles are centralized under the Chief Executive for coordination purposes, followed by staff.

    Project Management

    • Negotiated issues between project managers and functional managers must be addressed in terms of tasks, resources and overall project execution.
    • Project manager issues are focused on execution and completion.
    • Functional manager issues are focused on execution and alignment with other processes within the organization.
    • A manager’s role in the matrix can include a part-time or full-time commitment.

    Project Manager (Staff Assistant) - Strengths & Responsibilities

    • Schedules and check-lists
    • Information gathering
    • Project completion facilitation
    • Monitoring the project

    Functional Manager Responsibilities

    • Determining who does what, when, and how the work is completed.
    • Making decisions

    Weak, Balanced and Strong Matrix Organization

    • Different types of Matrix Organization arrangements are based on the structure, responsibility and authority of the project manager.

    Advantages and Disadvantages of Organizational Structures

    • Functional: Fewer negotiations, no change, less competition, familiar team members, slower approach.
    • Matrix: Efficient specialist allocation, flexible roles, good flow, easier transitions, higher admin costs, shared authority.
    • Project-oriented: Strong control, fast, central communication, well-defined scope, costly resources, internal strife, limited knowledge sharing.

    References

    • Larson & Gray (2020). Project Management: The Managerial Process
    • San Cristóbal et al. (2018). Analysis of Project Organizational Structures
    • PMBOK Guide 6th Edition (PMI)

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    Professional Practice & Standards Week 1 PDF

    Description

    Explore the fundamentals of organizational structures in professional practice. This quiz covers key implementation approaches such as functional, project-based, and matrix structures, along with their impacts on project management and resource allocation. Understanding these concepts is crucial for effective project management and stakeholder engagement.

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