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Chapter 2 EEF

Organizational process assets (OPAs) such as policies, procedures, templates and lessons learned are internal to an organization and influence project management. Projects operate within an organization's structure, which can be functional, projectized, or use a weak, balanced, or strong matrix. A project management office (PMO) provides varying degrees of support, control, or direct management of projects depending on whether it is supportive, controlling, or directive.

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Mubeen Akram
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0% found this document useful (0 votes)
20 views

Chapter 2 EEF

Organizational process assets (OPAs) such as policies, procedures, templates and lessons learned are internal to an organization and influence project management. Projects operate within an organization's structure, which can be functional, projectized, or use a weak, balanced, or strong matrix. A project management office (PMO) provides varying degrees of support, control, or direct management of projects depending on whether it is supportive, controlling, or directive.

Uploaded by

Mubeen Akram
Copyright
© © All Rights Reserved
Available Formats
Download as PDF, TXT or read online on Scribd
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CHAPTER 2

THE ENVIRONMENT IN WHICH


PROJECTS OPERATE
PROJECT INFLUENCES
• Projects exist and operate in environments that may
have an influence on them.
• These influences can have a favorable or unfavorable
impact on the project.
• Two major categories of influences are:
• Enterprise environmental factors (EEFs) and
(EEFs originate from the environment outside of the
project and often outside of the enterprise)
• Organizational process assets (OPAs).
(OPAs are internal to the organization)
WHAT IS ORGANIZATION

a group of people who work together


An organization is a social arrangement which pursues
collective goals, controls its own performance
Key Elements: people, structure, business processes,
politics and culture
Business Functions:
 Specialized tasks performed in a business organization,
including sales, HR, marketing, accounts, production,
finance etc.
SOPs:
 Formal rules for accomplishing tasks that have been
developed to cope with expected situation.
Organizational process assets (OPAs):
are the plans, processes, policies,
procedures, and knowledge bases
specific to and used by the
performing organization. These
assets influence the management of
the project.
ORGANIZATIONAL PROCESS
ASSETS (OPAS):
• Lessons learned
• Completed Schedules
• Risk Data
• Earned Value Data
• Policy (HR, Health, Procurement, Confidentiality etc.)
• Processes / Procedure ( financial control procedure etc.)
• Templates (report formats, contract template etc.)
• Checklists
• Organizational communication requirements
2.4 ORGANIZATIONAL SYSTEMS

• Projects operate within the constraints


imposed by the organization through their
structure and governance framework.

• To operate effectively and efficiently, the


project manager needs to understand
where responsibility, accountability, and
authority reside within the organization.
FUNCTIONS OR PRINCIPLES OF
MANAGEMENT
• Division of work using specialized skills and availability to perform work;
• Authority given to perform work;
• Responsibility to perform work appropriately assigned based on such
attributes as skill and experience;
• Discipline of action (e.g., respect for authority, people, and rules);
• Unity of command (e.g., only one person gives orders for any action or
activity to an individual);
• Unity of direction (e.g., one plan and one head for a group of activities
with the same objective);
• General goals of the organization take precedence over individual goals;
• Paid fairly for work performed;
FUNCTIONS OR PRINCIPLES OF
MANAGEMENT
• Optimal use of resources;
• Clear communication channels;
• Right materials to the right person for the right job at the
right time;
• Fair and equal treatment of people in the workplace;
• Clear security of work positions;
• Safety of people in the workplace;
• Open contribution to planning and execution by each
person; and
• Optimal morale.
UNDERSTANDING ORGANIZATIONAL
STRUCTURES

•Functional Organizations
•Projectized Organizations
•Matrix Organizations
(page# 84)
FUNCTIONAL ORGANIZATIONAL CHART
FUNCTIONAL ORGANIZATIONS
PROJECTIZED ORGANIZATIONAL CHART
PROJECTIZED ORGANIZATIONS
• Project managers have ultimate authority
over the project.
• The focus of the organization is the project.
• The organization’s resources are focused on
projects and project work.
• Team members are collocated.
• Loyalties are formed to the project, not to a
functional manager.
STRONG MATRIX ORG CHART
WEAK MATRIX ORG CHART
BALANCED MATRIX ORG CHART
COMPARING MATRIX STRUCTURES
Weak Matrix Balanced Matrix Strong Matrix
PM’s Title Project coordinator, project Project manager Project manager
leader, or project expeditor

PM’s Focus Split focus between project Projects and project work Projects and project work
and functional responsibilities

PM’s Power Minimal authority and power Balance of authority and Full time on projects
power
Org Style Most like functional Blend of both weak and Most like a projectized
organization strong matrix organization
PM Reports Functional manager A functional manger, but Manager of project managers
to shares authority and power
2.4.4.3 PROJECT MANAGEMENT
OFFICE
• A project management office (PMO) is an organizational
structure that standardizes the project-related governance
processes and facilitates the sharing of resources,
methodologies, tools, and techniques.

• The responsibilities of a PMO can range from providing


project management support functions to the direct
management of one or more projects.
TYPES OF PMOS
• Supportive. Supportive PMOs provide a consultative role to projects by
supplying templates, best practices, training, access to information, and
lessons learned from other projects. This type of PMO serves as a project
repository. The degree of control provided by the PMO is low.

• Controlling. Controlling PMOs provide support and require compliance


through various means. The degree of control provided by the PMO is
moderate. Compliance may involve:
• Adoption of project management frameworks or methodologies;
• Use of specific templates, forms, and tools; and
• Conformance to governance frameworks.

• Directive. Directive PMOs take control of the projects by directly managing


the projects. Project managers are assigned by and report to the PMO. The
degree of control provided by the PMO is high.

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