Once management approves a project then the question becomes, how will the project be implemented. This article examines three different organizational structure mechanics used by firms to implement projects: functional organization, dedicated project teams, and matrix structure. Although not exhaustive, these organizational structures and their variant forms represent the major approaches for organizing projects. The advantages…
Category: Portfolio Management
The Need for an Effective Project Portfolio Management System
Implementation of projects without a strong priority system linked to strategy creates problems. Three of the most obvious project portfolio management problems are discussed below. A project portfolio management system can go a long way to reduce, or even eliminate, the impact. Portfolio Management key questions How can the implementation gap be narrowed so that…
Resources Conflicts, This is How to Have it All
Most project organizations exist in a multi-project environment. This environment creates the problems of project inter dependency and the need to share resources. For example, what would be the impact on the labor resource pool of a construction company if it should win a contract it would like to bid on? Will existing labor be…
Organization Politics, How To Become The Puppet Master
Organization politics exist in every office and can have a significant influence on the portfolio management system when it comes to which projects receive funding and high priority. This is especially true when the criteria and process for selecting projects are ill-defined and not aligned with the mission of the firm. Project selection may be based…
Implementation Gap, A Real Problem Even Today
In organizations with short product life cycles, it is interesting to note that frequently participation in strategic planning and implementation includes participants from all levels within the organization. However, in perhaps 80 percent of the remaining product and service organizations, top management pretty much formulates strategy and leaves strategy implementation to functional managers. This will…