Chapter 2 -
Culture – unwritten rules of behavior, or norms that are used to shape and guide behavior, that are shared by some subset of organizational members Escalation of commitment – Occurs when, in spite of evidence identifying a project as failing, no longer necessary, or beset by huge technical or other difficulties, organizations continue to support it past the point an objective viewpoint would suggest that it should be terminated. External environment - consists of all forces or groups outside the organization that have the potential to affect the organization. Some elements in a company’s external environment that can play a significant role in a firm’s activities are competitors, customers in the marketplace, the government and other legal or regulatory bodies, general economic conditions, pools of available human or financial resources, suppliers, technological trends and so forth. Functional structure – Most common organizational type used in business today. The logic of the functional structure is to group people and departments performing similar activities into units. It is common to create departments such as accounting, marketing or research and development. Division of labor in the functional structure is not based on the type of product or project supported, but rather according to the type of work performed. In an organization having a functional structure, members routinely work on multiple projects or support multiple product lines simultaneously Heavyweight project organization – refers to the belief that organizations can sometimes gain tremendous benefits from creating a fully dedicated project organization. The concept is based on the notion that successful project organizations do not happen by chance or luck. Measured steps in design and operating philosophy are needed to get to the top and remain there. Intervenor groups – Defined as groups external to the project but possessing the power to effectively intervene and disrupt the project’s development. They are External stakeholders. Matrix organization – Any organizational structure in which the project manager shares responsibilities with the functional managers for assigning priorities and for directing the work of persons assigned to the project. Matrix structure – a combination of functional and project activities, seeks a balance between the functional organization and the pure project form. It achieves this balance is to emphasized both function and project focuses at the same time. Objectives – Something toward which work is to be directed, a strategic position to be attained, a purpose to be achieved, a result to be obtained, a product to be produced, or a service to be performed. Organizational culture – The solution to external and internal problems that has worked consistently for a group and that is therefore taught to new members as the correct way to perceive, think about, and feel in relation to these problems. Organizational structure - Consists of three key elements: 1. Organizational structure designates formal reporting relationships, including the number of levels in the hierarchy and the span of control of managers and supervisors. 2. Organizational structures identifies the grouping together of individuals into departments and departments into the total organization. 3. Organizational structure includes the design of systems to ensure effective communications, coordination and integration of effort across departments. Program – a series designed to achieve strategic goals.
Project management office - (PMO) a centralized unit within an organization or department that oversees or improves the management of projects. It is seen as a center for excellence in project management in many organizations, existing as a separate organizational entity or sub unit that assists the project manager in achieving project goals by providing direct expertise in vital project management duties such as...
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