System View of PM
- System approach is an analytical approach to project management.
- It includes three parts : system philosophy, system analysis and system management.
- System philosophy deals with overall model for thinking about things as systems.
- System analysis deals with problem solving which requires:
1. defining scope of system
2. dividing it into components
3. identifying and evaluating problems
4. examining alternative solutions
5. identifying a satisfactory solution
- System management addresses business, technological and organizational issues before making changes to the system.
Functional and Matrix Organization
Functional Structure
- Functional managers report to the CEO.
CEO
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VP VP VP
Engineering IT HR
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Staff Staff Staff
Project Structure
- Program managers report to the CEO
CEO
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Program Program Program
Manager A Manager B Manager C
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Staff Staff Staff
Matrix Structure
- It is middle ground between functional and project structure.
- A personnel reports to two or more bosses.
CEO
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VP VP Program
Engineering IT Manager
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Staff Staff Staff
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5 engineering ---- 10 IT ------------------ Program manager A
1 engineering ---- 4 IT ------------------- Program manager B
Organization Structure Influence on Projects
| Project Characteristics | Functional | Weak Matrix | Balanced Matrix | Strong Matrix | Project |
|---|---|---|---|---|---|
| Project Manager's Authority | Little or More | Limited | Low to moderate | Moderate to high | High to almost total |
| Percentage of performing organization's personnel assigned full time to project work | Virtually none | 0 - 25% | 15 - 60% | 50 - 95% | 85 - 100% |
| Who controls project budget | Functional manager | Functional manager | Mixed | Project Manager | Project Manager |
| Project manager's role | Part time | Part time | Full time | Full time | Full time |
| Common title for project manager role | Project leader | Project leader | Project manager | Project manager | Project manager |
| PM administrative staff | Part time | Part time | Part time | Full time | Full time |
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