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PROJECT ORGANISATION 3: Functional, matrix and autonomous organisation

It is not only the project management approach that influences project planning, but also the project organisation of a company. It determines the relationships between the various parties involved, the areas of responsibility, the lines of command and the communication channels and ultimately also the project manager's ability to control the project. The project must therefore be integrated into the project-supporting organisation [19] and the project manager must be equipped with formal authorities.

Step 1
Define a suitable organisation (functional, matrix or autonomous) and substantiate the choice.

  • Functional organisation
    Make it clear that the customer is the sole project decision maker in the line organisation. All you do is update the plans and point out any deviations!
  • Matrix organisation
    The project manager is responsible for the timely processing of the WP. The issue of processing quality, responsibility for implementation and the associated overall personnel management, i.e. holiday planning, employee appraisals, etc., is the responsibility of the line manager.
  • Autonomous organisation
    The project manager is responsible for all aspects of the project work. The employees report directly to him and he represents the project internally and externally. In order to fulfil these tasks, the project manager requires appropriate powers such as power of attorney, procuration or general power of attorney as managing director.

Step 2
It must be clarified who will take on the role of deputy project manager. It should be noted that loyalty is more important than expertise. If an advisory board is installed, the members and their competences must also be defined. It must also be determined when and how often the project manager will meet with the client and the sub-project managers for meetings and project reviews.

Procedures after the establishment of the project organisation
The project manager should be introduced to the management team, preferably by the client. The project can then be officially launched, i.e. realisation can begin.