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Analysis of Project Organization Structures

As a project manager, the organizational structure of a company impacts the level of control and influence over resource availability, staff roles, and budget management. There are three main types of organizational structures - functional, project-based, and matrix. In a functional structure, employees work independently within their functions and project managers coordinate through functional managers. A project-based structure groups employees by departmentalized projects, allowing for more collaboration and efficiency under the control of a project manager. A matrix structure combines elements of functional and project-based, with varying levels of influence shared between functional and project managers depending if it is a weak, balanced, or strong matrix model.

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Toju Okonye
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58 views2 pages

Analysis of Project Organization Structures

As a project manager, the organizational structure of a company impacts the level of control and influence over resource availability, staff roles, and budget management. There are three main types of organizational structures - functional, project-based, and matrix. In a functional structure, employees work independently within their functions and project managers coordinate through functional managers. A project-based structure groups employees by departmentalized projects, allowing for more collaboration and efficiency under the control of a project manager. A matrix structure combines elements of functional and project-based, with varying levels of influence shared between functional and project managers depending if it is a weak, balanced, or strong matrix model.

Uploaded by

Toju Okonye
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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Analysis of Project organization

structures
As a project manager, my impact and control is
dependent on what organizational structure the
company applies, which directly influences resource
availability, staff roles and budget management.
The types of organizational structures related to project
management are: Functional, Matrix and Project-based
organizational structure.
In a functional structure, employees are grouped by
their functions such as accounting, marketing, public
affairs, information technology and they all work
independently. Also in this structure, project works are
coordinated by the project manager through the
functional manager who authorizes the delivery and
modification. In other words, the functional manager is
the leader of this structure.
Also on the extreme of organizational structures, is the
project-based structure where the companys employees
are departmentalized but there is more collaboration
between them, which results in better efficiency. In this
structure the employees report directly to the project
manager who in this case, has total control and coordination over project resource, budget and staff.
Whereas on the Matrix organization structure both
functional and project-based structures are inter-laced
in various categories such as weak, balanced or strong,
based on the level of alignment between functional and
project-based structure. The project managers

influence or authority over resource availability, staff


roles and budget management would vary depending
on the category of matrix structure being applied. The
functional structure is more related to a weak matrix,
which steers towards the control of the functional
manager. The strong matrix is more related to the
project-based structure, which is, ran by the projectbased manager. Lastly, influence and authority over a
project is shared equally between a project and
functional manager in the balanced matrix.

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