Chapter 3 Organization: Structure and Culture

Comprehensive vocabulary flashcards covering project management structures, the Project Management Office (PMO), and organizational culture concepts from Chapter 3.

Functional organization

A project management structure where top management decides to implement a project and different segments are distributed to appropriate functional areas.

Dedicated project teams

Units that operate as separate entities from the rest of the parent organization, pull together specialists to work full time, and are lead by a full-time project manager.

Projectized organization

An organizational structure where projects are the dominant form of business and the entire organization is designed to support project teams.

Matrix management

A hybrid organizational form in which a horizontal project management structure is overlaid on the normal functional hierarchy.

Weak matrix

A matrix form very similar to a functional approach, except that there is a formally designated project manager responsible for coordinating project activities.

Balanced matrix

A matrix form where the project manager defines what needs to be accomplished and the functional managers are concerned with how it will be accomplished.

Strong matrix

A matrix form where the project manager controls most aspects of the project, including scope trade-offs and assignment of functional personnel.

Projectitis

A negative dimension of dedicated project teams characterized by a "we–they" attitude between the project team and the rest of the organization.

Project Management Office (PMO)

A centralized unit within an organization or department that oversees and supports the execution of projects.

Weather station

A type of PMO that tracks and monitors project performance.

Control tower

A type of PMO that focuses on improving project execution.

Resource pool

A type of PMO that provides the organization with a cadre of trained project managers and professionals.

Command and control center

A type of PMO that has direct authority over the project.

Organizational Culture

A system of shared norms, beliefs, values, and assumptions that binds people together, thereby creating shared meanings.

Riverboat trip metaphor

A comparison where the organizational culture is the river and the project is the boat.

In-depth expertise

An advantage of the functional organization where specialized knowledge and technical depth are maintained within functional areas.

Lack of ownership

A disadvantage of the functional organization where project participants may only feel responsible for their individual segment.

Cross-functional integration

A strength of dedicated project teams where specialists from different areas work closely together toward a common goal.

Internal strife

A weakness of dedicated project teams where conflict may arise between the team and the parent organization.

Dual focus

A characteristic of matrix structures providing a balance between functional/technical expertise and project requirements.

Dysfunctional conflict

A disadvantage of the matrix arrangement caused by the tension between functional and project managers.

Strategic importance

A project consideration used in choosing a structure based on how vital the project is to the firm's success.

Novelty

A project factor considering the need for innovation and how much new ground the project covers.

Environmental complexity

A project consideration referring to the number of external interfaces involved in a project.

Stability of resource requirements

A factor in choosing a structure based on how consistent the need for personnel and equipment remains throughout the project.

Physical Characteristics of culture

Diagnosis category including architecture, office layout, décor, and attire, such as a $20$-story modern building.

Public Documents

Cultural identification source that includes annual reports, internal newsletters, and vision statements.

Organizational Behavior

Cultural characteristic involving pace, language, meetings, and decision-making styles.

Folklore

Cultural element consisting of stories, anecdotes, heroines, heroes, and villains within an organization.

Standards of behavior

A function of organizational culture that clarifies and reinforces how members should act.

Social order

A function of organizational culture that helps create stability and predictability within the firm.

Negotiated Issues

Areas in a matrix structure where project and functional managers must collaborate, such as "Who will do the task?"

Functional Manager (Strong Matrix)

Managers who have title over their people but serve primarily as subcontractors for the project.

Project Manager (Balanced Matrix)

The individual responsible for establishing the overall plan, setting schedules, and monitoring progress.

Project Manager (Matrix Responsibilities)

The person responsible for answering "what," "when," "how much money," and "how well the total project was done."

Functional Manager (Matrix Responsibilities)

The person responsible for answering "how," "where," and "is the task satisfactorily completed."

Easy post-project transition

A shared strength of both functional and matrix organizations where specialists can return to their functional homes after project completion.

Difficult post-project transition

A weakness of dedicated project teams regarding the uncertainty of where specialists will go once the project is finished.

Infighting

A disadvantage of matrix management involving competition for resources and authority between managers.

Flexibility

An advantage of functional and matrix organizations allowing for the efficient shifting of specialists between tasks.

Dual chain of command

A matrix structure feature where participants report simultaneously to both functional and project managers.

Innovation need

A project consideration that evaluates if a project requires a unique, creative approach rather than standard procedures.

Budget and time constraints

Specific project limitations that influence whether a more dedicated or streamlined structure is necessary.

Subcultures

Distinct cultural groups that exist within various departments of a parent organization.

Standards of Behavior Function

The role of culture in clarifying and reinforcing the rules for how employees should treat one another and their work.

Pace

A behavioral cultural characteristic, such as being "brisk but orderly" at Power Corp.

Integrity

A value found in Power Corp's public documents defined as being honest with others and meeting high ethical standards.

Formal business attire

A physical characteristic of culture involving white shirts, ties, and power suits.

Hierarchy of decision making

A behavior pattern where power appears to increase based on office floor level or organizational rank.

Subordinates' word choice

A behavioral observation where employees choose their words very carefully when talking to superiors.