Organizational Structures

  • Organic or Simple – Informal teams where team members work side by side. Most of the startups have this kind of structure.
  • Functional – Most of the manufacturing organizations have this kind of structure. In functional organizations, the functional manager is very powerful, where as the project manager does not have any authority. In a functional organization project manager’s role is more of an expediter (one who follows up and speeds up, without much decision making authority)
  • Multi-Divisional – Organization comprising of different divisions. Each division may have a different organization structure type. For example, R&D division may have a matrix structure where as the manufacturing division may have functional structure.
  • Matrix – In all forms of matrix, the team members report to more than one boss. For example, the technical architect may report to the project manager for project related activities where as he will report to the Chief Architect who is heading the ‘Architectural function’, for the architecture related activities. Matrix organizations are further classified into;
    • Strong Matrix – Project manager has more authority than the functional organization
    • Weak Matrix – Project manager has lesser authority than the functional manager
    • Balanced matrix – Both the project manager and the functional manager share the same amount of power.
  • Project Oriented – Work groups are arranged by projects. Project manager has complete authority.
  • Virtual – Distributed teams. Project managers authority is low to moderate.
  • Hybrid – Mix of all types. Project managers power can be low, moderate or high.
  • PMO – All project managers may report into the PMO. Project managers enjoy very high degree of power.

Functional Organization

Matrix organization