1.4. Understanding Organizational Structures

Like projects, organizations are unique, each with its own style and culture that have an influence on how projects are performed. Organizations in general can be structured in one of three ways:

  • Functional

  • Projectized

  • Matrix

Within these structures, variations and combinations exist. Figure 1.6 shows where these structures fall in relation to one another, including the variations that exist in matrix organizations. Knowing the type of structure that an organization operates within is important and impacts how a project manager may proceed. The organizational structure is part of the project environment, which influences how the project is managed. One of the biggest determining factors of an organization's ...

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