Projects

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Chapter: Chapter05: The Project in the Organizational Structure

Revised by Dwayne Whitten, Texas A&M University

Multiple Choice

1. Identify a major advantage of placing a project in the matrix approach. a) Multiple individuals, including the project manager, take responsibility for managing the project b) The project will have permanent use of representatives from the administrative units of the parent firm c) The division of authority between the project manager and the functional managers is not complex d) There is less anxiety among team members about what will happen to them when the project is completed

Ans: d
Feedback: Refer to section 5.3
Level: easy

2. Identify the statement that is a major advantage of placing a project within a functional department of the parent organization. a) The flexible use of staff increases
b) Expertise is not easily shared across multiple projects
c) The functional division tends to be oriented towards activities particular to its function d) The functional division advocates technological discontinuity

Ans: a
Feedback: Refer to section 5.1.
Level: easy

3. Identify the statement that is a major disadvantage of placing a project within a functional department of the parent organization. a) There is a tendency to suboptimize the function
b) The client is not the primary focus of activity in the function c) The motivation of people assigned to the project tends to be strong d) The functional division does not contain the normal path of advancement for individuals whose expertise is in the functional area

Ans: b
Feedback: Refer to section 5.1.
Level: easy

4. Identify the statement that is a major advantage of placing a project within the pure project organization. a) The functional manager retains full line authority over project team members b) The lines of communication are more complex

c) Centralized authority tends to decrease the speed of decision-making d) A holistic approach to performing the project is supported

Ans: d
Feedback: Refer to section 5.2
Level: easy

5. The sharing of control by a PM with the functional managers when executing a project is a major characteristic of a ________ organizational structure. a) Projectized
b) Pure project
c) Matrix
d) Weak project

Ans: c
Feedback: Refer to section 5.3.
Level: intermediate

6. In a matrix organization, the ______ controls when and what the project members do, while the ________ control who will be assigned to the project and what technology will be used. a) project manager, functional managers

b) organizational manager, project managers
c) functional manager, project managers
d) project manager, divisional managers

Ans: a
Feedback: Refer to section 5.3
Level: intermediate

7. For firms engaged in a large number of projects which are similar, the _________ form of organization is preferred. a) functional
b) pure project
c) matrix
d) mixed organizational

Ans: b
Feedback: Refer to section 5.5
Level: easy

8. The __________ is responsible for helping to manage and organizing the numerous projects. a) project enterprise
b) executive leader
c) project management office
d) PMBOK

Ans: c
Feedback: Refer to section 5.6 – Two Special Cases – Risk Mgmt and the Project Office Level: intermediate

Short Answer

9. Risk management is the process of dealing with ________ in projects.

Ans: uncertainty.
Feedback: Refer to section 5.6.
Level: easy

10. By dividing a large and monolithic organization into smaller, more flexible units, the parent organization is using the technique of ________ to capture some of the advantages of small, specialized organizational units while retaining some of the advantages that come with larger size.

Ans: divisionalization.
Feedback: Refer to section 5.4.
Level: advanced

11. If pure functional and pure project organizations coexist in the firm, the firm is said to have...
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