The document discusses different types of project organizations including functional, pure project, matrix, and mixed organizations. It provides details on the structure and advantages and disadvantages of each type. Specifically, it describes the functional organization as housing projects within functional departments led by functional managers. It notes advantages like specialization but disadvantages like lack of coordination. It then explains the pure project organization has a self-contained team fully dedicated to the project, but can result in inconsistencies. Finally, it outlines the matrix organization uses a horizontal structure drawing multi-disciplinary employees to projects without removing them from functions, allowing for better coordination and resource utilization but potentially violating the unity of command principle.

1.  Group :A
 Group Name :Blooming rose
 Semester : 7th
 Section :E

2. Project Organization
The project organization defines the human infrastructure of
the project. This task is designed to define the project
organization chart, the roles, and the relationships of the
project team. The organizational structure clearly identifies
roles and responsibilities of each position, augmenting the
existing role definitions where necessary to cover all of the
responsibilities. The project organization technique that is
used in this step provides a standard set of roles and
responsibilities which can be customized for a particular
project. This should cover all personnel resources required,
both full and part time.

3. Types of Organizations
Functional organization
Pure Project organization
Matrix organization
Mixed organization

4. Functional organization
The end of the project organization spectrum is the
functional project. Its theme is housing the project
within a functional division.
In this form of organization, all activities of the
enterprise are grouped and divided according to
functions like production, marketing, finance and
others. Each department is in the charge of a
specialist who is called functional manager. The
functional manager has a control over the functions
in his charge and no matter on those functions found
in other part of the organization.

5. Functional organization
structure

6. Advantages and disadvantages of
projects in Functional organization
Advantages
 Specialization—It ensures a greater division of labour and
enables the concern to take advantage of specialization of
functions.
 More efficiency—Efficiency of workers is increased as the
workers and other have to perform a limited number of
operations and they get suggestions and instructions from
specialists.
 Separation of mental and physical functions—It ensures the
separation of mental and physical functions. This ensures better
control of the working of the different sections.
 Economy—Standardization and specialization in various fields
facilitates production on a large-scale resulting in economy in
production.

7. Advantages
 Expansion—it offers a greater scope for expansion as compared to line
organization. It does not face the problem of limited capabilities of a
few line managers. The expert knowledge of the functional managers
facilitates better control and supervision in the organization.
 coordination is established: all the persons working within a
department are specialists of their respective jobs. It makes
coordination easier at the departmental level.
 Minimal duplication of efforts:
In this type of organization unnecessary duplication of efforts is
eliminated. For example, the function of finance is only carried out by the
finance department. There is no need to establish two or more
departments. It makes it possible to utilize the human and other resources
effectively.

8. Disadvantages
(1) confusion—the operation of functional organization is too complicated. Workers are
supervised by a number of bosses. This results overlapping of authority and thus creates confusion
in the organization.
(2) lack of coordination—under this, the work is divided into parts and sub-parts. It poses
difficulties in coordinating the functioning of different parts. Thus it is difficult to take quick
decisions.
(3) difficulty in fixing responsibility—because of multiple authority, responsibility for poor
performance cannot be fixed easily on a particular person.
(4) conflict-supervisory staff of equal rank may not always agree on certain issues. Therefore,
there may be frequent conflicts which may lead to non-performance.
5) hurdle in complete development: this system is a hurdle in the way of the complete
development of the employees. Each employee specializes only in a small part of the whole job.
(6) ignorance of organizational objectives: each departmental head works according to his sweet
will. They always give more importance to their departmental objectives. Hence, overall
organizational objectives suffer. For example, to establish its image, the production department
may produce quality product ignoring the fact that market trend favors accepting medium quality
product.

9. Pure Project Organization
A pure project is where a self-contained team
works full time on the project.
A "pure project organization" is a model of a
business where project managers have total
control over the project they oversee. Central
control at the managerial level must be weak for
this to occur. Put simply, a "pure project
organization" might also be termed a "task force."
In the case of a "pure project," the leader of this
task force would have to be given total authority
for a limited period to solve a particular
problem. In business, it is a great challenge to
find an example of such purity.

10. Pure Project Organization
Structure

11. Advantages and disadvantages of
the pure project organization.
Advantages
 The project manager has full line authority over the
project
 All members of the project work force are directly
responsible to the PM.
 When the project is removed from the functional
division, the lines of communication are shortened.
 When there are several successive projects of a similar
kind, the pure project organization can manipulate a
more or less permanent cadre of experts who develop
considerable skill in specific technologies.
 The project team that has a strong and separate
identity of its own tends to develop a high level of
commitment from its members.

12. Disadvantages
1. When the parent organization takes on several projects, it is
common for each on to be fully staffed.
2. In fact, the needs to ensure access to technical knowledge and
skills result in an attempt by the Pm to stockpile equipment and
technical assistance in order to certain that it will be available
when needed.
3. Though individuals Engaged with project develop considerable
depth in the technology of the project, they tend to fall behind
in other areas of their technical expertise
4. Pure project group seems to foster inconsistency in the way in
which policies and procedures are carried out.
5. In pure project organizations, the project takes on a life of its
own.
6. Another symptoms of projectitis is the worry about life after the
project ends.

13. The Matrix Organization
 An organizational structure that facilitates
the horizontal flow of skills and information.
It is used mainly in the management of large
projects or product development processes,
drawing employees from different functional
disciplines for assignment to a team without
removing them from their respective
positions.

15.  Better coordination and control: - This structure is very much suitable to
coordinate and control the functional activities and project activities. Project
manager has got responsibility to establish better coordination and control
system in organization. Functional authority flows downwards and project
authority flows horizontally which enables to establish better control and
coordination.
 Adaptable to dynamic environment: - It is hybrid type of organizational
structure which can easily adjust with changing environment at business world.
The project managers have functional independently and they can get quickly
feedback with information related with project. Along with project mange,
employees from different functional area are specialists and adjustment does
not become problematic.
 Effective utilization of resources: - Project structure makes very much
effective utilization of resources available. The whole staff along with project
manager is specialists in various areas. And has to make maximum utilization of
resources. They know better hoe to utilize project capacity and time, how to
utilize human and financial resources they know better.
Advantages and disadvantages of the Matrix
project organization
Advantages

16. Advantages
 Particular management: - In this type of organizational structure people work in
project as a team. They participate in decision making and problem solving activity.
They make joint team effort. They have authority to carry out day to day activity.
Frequent sharing of ideas and opinion with project manager is common.
 Sufficient time for top management: - It encourages delegation of authority to project
managers. Project managers are responsible for operation of the project. They have
authority to take decision about day to day activity of project. Employee working in
project will also have sufficient authority. Hence, top management will have sufficient
time to think about policy and strategies.
 Excellence in inter disciplinary specialization: - In matrix organizational structure
experts and specialists from various functional areas are combined together and quality
performance becomes possible. All experts from various disciplinary or functional areas
interact with each other and they make excellent specialization.
 Development of team work: - Team work is facilitating project organization or matrix
organization itself is team work. Employees from various functional areas work under
the spirit of team and make the project successful. Team effort is made.

17. Disadvantages
 Violation of unity of command: - They get command from two superior
functional or departmental manager and project manager. He or she has to
report superior at a time project manager and functional manager. He/she
will be in confusion. Unity of command hence is violated.
 Costly structure: - Matrix organizational structure involves huge overhead
cost. There will be much paper work and information collection that involves
heavy cost. Most of the worker or employees are specialist and they are given
high remuneration and facilities and amount is given to project workers in
many cases as incentives.
 Problem of overspecialization: - Matrix organizational structure create
problem of over specialization in some situations. Specialist from both
functional project works gather to show many complex problems of the
organization. As many experts gather to solve problems they waste valuable
time in supporting their own ideas and sometimes problems remains unsolved.
It becomes like the famous saying “Too many cooks spoils the food”.

18. Disadvantages
 Difficult to balance: - There will be two types of specialists functional and project
specialist. And, to make a balance between these two specialist is a difficult task.
Therefore, high level of interpersonal skill or specialists is required to balance these two
types of experts and to maintain balance between project authority and functional
authority is also difficult task.
 Feeling of insecurity: - Those employees who are specially appointed for the projects they
feel a sense of insecurity after the completion of the project. This may cause project
completion delay. Loyalty and commitment towards project may decrease.
 Lack of white coordination: - In a matrix organization there will be a problem of
maintaining effective coordination among project workers, functional workers and among
the workers from various functional areas. Project manager have to make a high level of
exercise to maintain effective coordination in the organization.
 Lack of commitment: - In a matrix organization, there will be lack of commitment among
employees towards project. No one will be responsible and loyal to the completion of the
project. Due to the lack of commitment project completion delays, project cost increases.
Unless and until the project is completed. They will get good amount with salary and
benefit, this also decreases their commitment.

19. Conclusion
After all the previously cited, we can put the question what model to
choose. In other words, the question is how we should establish
connection between the enterprise and its business which exists in a
definite time having the characteristic of continuity, on the one side, and
the project having the characteristic that it is unique and temporary. In
any case, it is necessary to consider the nature of the potential project,
characteristics of different projects, advantages and disadvantages of
every organizational form, different preferences in the culture of the
home organization, as well as to reach the best possible compromise. It is
generally considered that the functional model would be the best choice
for projects where the major focus is oriented on the qualitative
technology application, not on cost minimization, making determined
plans or fast response to changes.

20. All credit goes to
Mohammad Irfan Ali Ayon
ID no :120103046
BGC Trust University Bangladesh
Dept.: BBA(HRM) Semester :7th Date:05.07.2015
fb ID: irfan.ayon.9@facebook.com