A well executed, professionally designed project organization is the prerequisite for any project to be a success. Organizing projects is the task of project management. Only the right project organization ensures that a project leads to the desired goal with the planned budget and in the planned time.
What is meant by project organization in relation to project management?
In project management, the project organization combines all necessary steps to set up and structure a project and to regulate the responsibilities.
Organization is called in this context:
- reduce complexity,
- to keep the scope manageable and manageable,
- define the timelines and intermediate goals as well as
- to coordinate the individual teams.
In this way, the organization ensures that the project is brought to the desired conclusion quickly and reliably.
What are typical forms of project organization?
As an introduction to project organization, the question of forms of project organization is to be answered above all.
There are three forms of project organization, each of which has its advantages and challenges. Selecting the appropriate form is one of the main tasks of project management.
The functional organizational structure
The functional project organization form is located in a department. The specialist manager therefore has a higher authority than the actual project manager. Project organization Example can be the sales or the marketing department.
The project organization advantages of this structure are:
- full resource control, therefore
- fast problem solution,
- easy communication and motivated employees
Challenges can arise because of the functional organizational form:
- Access to experts outside the functional department may be difficult
- the loyalty of the employees more with the specialist department and less with the project team;
- for larger projects the overall project success from the harmonious
cooperation of many functional project managers;
- without a stable network with other departments the view for the overall strategic goal can be lost.
The functional organization is therefore best suited for small, manageable teams with a clearly defined task. For large projects, a different form of organization should therefore be chosen.
The project-related organizational structure
With the purely project-related structure, the teams are put together specifically for the respective project. The project manager has the sole authority and determines the entire course of the project.
One of the advantages of this form of organization:
- Control over the course of the project and the team,
- control over the course of the project and the team,
- all resources are dedicated to the project, therefore
- all resources are dedicated to the project, therefore
- strong sense of identity and good team culture.
The project-based organization also poses challenges because:
- keeping a complete team ready for a project causes high costs
- the return of team members to their functional activities after project completion can be difficult - or even impossible
- the high consumption of resources makes it difficult for the company
operate several project-related structures simultaneously;
This project structure is therefore only advisable for large projects. The structure is simple at the management level and can be best used to develop your own leadership qualities.
The matrix organizational structure
In the matrix structure, resources are divided between the usual work and project work. Often the function manager and the project manager then share responsibility. The success of the project therefore depends crucially on the ability of the two project managers to cooperate.
The advantages of matrix project organization are:
- the high efficiency with which resources are always fully utilized
- the great flexibility to work on many tasks simultaneously
- the rapid response capability with which the team can react to changes
- the challenges
The matrix structure also brings challenges because
- with too many tasks that need to be done at the same time, the
employees can be quickly overloaded;
- the two project managers do not manage to cooperate
to work together, conflicts over resources and priorities are inevitable.
The matrix structures are very popular because of their flexibility. However, it is important with this form of organization that the same project management life cycle and methodology is used in both the business and project-related parts. This makes it easy for team members to switch between the two projects.
Which organizational structure is the right one for the upcoming project is the decision of the project manager and should therefore be made in each individual case.
How can Can Do support your project organization?
As an experienced partner in all questions of project organization, Can Do offers you versatile project organization tools to optimally handle all topics in project organization. With Can Do's advanced project organization techniques, project planning is always safe, simple and fast.
The project management software for agile project management also offers further project management tools that enrich, extend and improve project management.
A successful project organization ensures the progress of the entire project. It provides the basis, points the way and facilitates cooperation. A professional organization is therefore of crucial importance for the success of the project.
If you also want to be well equipped for your next project, contact us!
We are happy to advise you in Germany and Switzerland on the added value of our cloud-based project management solution for your project organization.