Organisation Structure

Organisation Structure:

A project organisation is a structure that facilitates the implementation and coordination of project activities and is undoubtedly related to project success. Choosing an appropriate project management structure is crucial as the best system balances the requirements of the project with the requirements of the company. All projects are unique which is why a number of aspects should be considered when deciding the most suitable project structure design such as the organisational environment, project characteristics and level of authority. A project structure can take on various forms with each form having its own advantages and disadvantages.

There are three approaches which consist of:
1. Functional Organisation
2. Dedicated Teams
3. Matrix Structure

Identifying the project structure is only a part of organising the project. In order for the project to be successful, there must be effective implementation and application. This requires ongoing interaction, integration and collaboration among all individuals involved in the project. Having a structure in place facilitates open communication as it defines the levels of authority and the relationships among all project members. This is displayed using a graphical illustration known as an organisational chart. The organisations aim is to promote the interaction of individuals and to achieve the projects goals within the specified constraints of scope, budget, time and quality. 

Examples of organisation structures:

Book Publisher: 

Best suited - Teams operate as separate units under the leadership of a full-time project manager. In a projectised organisation where projects are the dominant form of business, functional departments are responsible for providing support for its team.

Least suited - Matrix structure.

Advertising Agency:

Best suited - Functional organisation. Different segments of the project are delegated to respective functional units. Coordination is maintained through normal management channels. Used when the interest of one functional area dominates the project or one functional area has a dominant interest in the project’s success.

Least suited - Matrix structure.

Consultancy Firm:

Best suited - Matrix structure. Hybrid organisational structure is overlaid on the normal functional structure. There are usually two chains of command (functional and project) and the project participants report simultaneously to both functional and project managers. The matrix structure optimises the use of resources and allows for participation on multiple projects while performing normal functional duties. Additionally, it achieves a greater integration of expertise and project requirements.

Least suited - Dedicated teams.

Progress Status Report

What is a progress status report?

Establishing a progress status report is the last stage in the project monitoring system. Before this can be carried out, organisations must determine what data to collect; how, when, and who will collect the data in addition to, analysis of the data. Usually, a progress status report is designed and communicated in written or oral form.

What does a progress status report contain?

A common progress status report includes the following elements:

·      Progress since last report

·      Current status of project:

Ø Schedule

Ø Cost

Ø Scope

·      Cumulative trends

·      Problems and issues since last report:

Ø Actions and resolution of earlier problems

Ø New variances and problems identified

·      Corrective action planned

Who is the progress report of use to and why?

The progress status report is utilised throughout the organisation as different stakeholders e.g. project team, peers, customers etc. and levels of management e.g. top, middle and lower require a variety of project information. All the people involved in the project have different interests and concerns in mind which is why the progress status reports should be designed for the right audience.

All managers use progress status reports general to overview what is going on in their team. Managers meeting face-to-face with their employees is vital and so is having a written summary of the project aspects that they identify as the most important. Taking senior management as an example, their main interests consist of checking to see if the project is remaining on track in regards to time and cost. If the answer is no, then the next concern is to analyse what went wrong and to identify and carry out corrective action. However, an IT manager is solely concerned about their deliverables and work packages.

A progress status report can be seen as an opportunity for project team members. This allows the members to showcase any achievements and communicate any issues that require the assistance and support of the Project Manager.

Regarding a project, a progress status report is an extremely valuable tool that is used to track, manage cost, increase visibility, identify risk and obtain control. As well as this, it is considered very practicable as it enables individuals to gain knowledge/ experience and helps to drive the projects success.