organization's structure, how it impacts the way manage a project.
- Svetlana Gubaydullina
- Jan 20, 2022
- 3 min read
Hey again, ready to keep going?
The previous videos explained that knowing what kind of organizational structure you're working in plays a major role in how you prepare for and carry out your project.
An organization's structure provides
the framework for accountability and communication.
As the project manager,
it's vital that you understand who
you're reporting to on each project,
and just as importantly,
who the members of your team report to.
Knowing the organizational structure
also tells you how and
where to get the resources you'll
need so you can get the project done efficiently.
When you understand the organization's structure,
you'll be able to identify how it
impacts the way you manage the project.
One way organizational structure
can impact the way you manage
a project is by the amount of
authority given to the project manager.
Authority has to do with your ability to make decisions
for the project that impact the organization.
In some cases, you might have the authority to do things
like select the vendors
who provide services or goods for the project.
Other times, you might have
a set of vendors selected for you.
Your level of authority and
responsibility will vary from project to project.
Another way organizational structures can impact
project management is through resource availability.
Managing a project is a lot
easier when you know how to access the people,
equipment, and budget that you need.
Let's explore how different structures
can affect the way you manage a project.
In a Classic structure,
you might find yourself with
less authority and a tighter scope.

You may need to rely on getting
approval from the appropriate managers,
directors, and department heads
in order to move forward and complete certain tasks.
In this case, it's likely that these people are in
charge of the people on
your team and the resources you need.
As a project manager working in a Classic structure,
you may depend on the managers in
your organization to approve resources.
In other words, the amount of people
working on your project or the budget that you
have allocated to your project is decided
by the leaders of your department or function.
In a Classic structure,
you may have to go through a chain of approvals and
advocate for more resources if you need them.
For example, if you need a budget increase,
you would report this to your manager.
Then your manager might escalate
this up to their management chain to get approval.
That's the Classic structure;
a traditional top-down arrangement
of employees and authority.
Now, let's explore the Matrix structure.
The main difference with
a Matrix structure is that employees often
have two or more managers
or leaders they'll need to work with and update.
Your team members will have
their functional manager and you, the project manager.
If members are working on multiple projects,
they may have even more managers.

This can affect your authority as a project manager,
as you will need to cooperate with
more than one leader in the organization.
You may need to share resources and negotiate priorities.
The key is to make sure you know who
your stakeholders are and who controls what
since the chain of command isn't always as
clearly defined as in the Classic structure.
Because there isn't always a clear chain
of command in a Matrix structure,
you need to make sure you have identified
and communicated with anyone you might
need to report to and get approval
from well before the project begins.
Once this is established though,
your project within a Matrix structure
should be able to run efficiently.
Matrix structures emphasize a strong project focus
from the team and the organization.
You as the project manager,
generally have more autonomy to make
decisions and gather resources as needed.
As I hope you've noticed, the way
an organization is structured
can have a big impact on
the planning and execution of your project.
Understanding all of this will help you
run and manage a project much more efficiently.
Next, I'll tell you about organizational culture,
another factor that impacts how you
manage your project. Catch you in a bit.

n which of the following ways can organizational structure impact project management? Select all that apply. Project manager authority Correct An organization's structure impacts the amount of authority given to the project manager. Authority has to do with the project manager’s ability to make decisions for the project that impact the organization. Phases of the project life cycle Resource availability Correct Organizational structure can impact project management through resource availability. Managing a project is a lot easier when the project manager knows how to access the people, equipment, and budget the project needs.
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