November 27, 2016 at 9:19 pm #1626
As Dr.Simon mentioned, there are several types of organizational structure which a company can function within, each having their own set of advantages and disadvantages. Consider collaboration projects, that is, two or more companies come together to develop and manufacture a product.
In your opinion,which organizational structure would be more efficient? Why?
November 27, 2016 at 10:13 pm #1635
For collaboration projects, I would consider a Product Organizational Structure. This structure has managers reporting to the head of the company by product type. Each division within the organization is dedicated to a particular product line. This certainly makes collaboration among two or more companies easier, especially if a company is only called by another company for one or two products. This type of organizational structure can also shorten product development cycles. A diagram of a Product Organizational Structure is shown below:
- This reply was modified 1 year, 5 months ago by Khemraj Singh.
November 27, 2016 at 10:26 pm #1640
I have worked on several projects like this before with some good and bad outcomes. From an engineering point of view, this can be a pain if the work culture and engineering processes are different in both companies. Also, if there are intellectual properties that one or more companies are trying to protect during this collaboration, this can make the process more cumbersome.
So to answer your question and based on my experience, it’s not so much the org structure that has impacted efficiency during collaboration, but more so processes, working culture and skill sets.
November 28, 2016 at 1:21 pm #1658
I think matrix organization structure is most ideal for collaboration projects. To break down what a matrix is, it is an organizational structure that distributes responsibilities among two or more dimensions. A matrix organization structure takes multiple perspectives into account and makes one head person to run more than one group. The quality of decesions can then be enhanced because different perspectives are taken into account. Resources are utilized more effectively since each organization have different specialists needed in various other departments. It is more expensive to have duplicates throughout the collaborated project. Therefore, using a matrix structure will give the opportunity of sharing resources.
December 14, 2016 at 2:22 pm #1831
I agree with Adrian that processes are most important during collaboration. One company may utilize the waterfall method of managing projects while another may use agile. It should be up to the company organizing the collaboration to get each company to agree on a certain process. Standardization is also critical to ensure everything flows the same and everything is done the same regardless if one company thinks their process is better than the others. The point of collaboration is for everything to work together seamlessly to produce a quality product.
November 21, 2017 at 4:32 pm #5459
I think the matrix organization is the most efficient. The matrix organizational structure has a great influence on the project management. The matrix evolves to fill a need for an organization capable of dealing with great project size and complexity. It has greatly added to the versatility and effectiveness of project management. The matrix also permits project management to be effective not only for very large projects but small projects as well, and is extremely valuable for solving multidisciplinary problems. The advantages of a matrix organization are: good management of resources, no department or project silos, and knowledge transfers well from project to project and between departments.
November 21, 2017 at 5:19 pm #5462
I also agree with Adrian. If there is a set up for a collaboration, the organizational structure shouldn’t matter, but more so that the companies are working together and being efficient. However, companies individually can decide how they want to run their organizational structure to ensure proper efficiency. In this case, I believe that the matrix organization would be good since it consists of project managers, functional managers, and employees of the functional managers for each specialized area. With this structure you can develop a diverse team of employees with specialized areas that can bring great ideas to the project.
November 24, 2017 at 9:00 pm #5577
Each organizational structure has its own advantages and disadvantages. So when initiating a project, it is important to figure out the benefits of a structure in order to take advantage of its benefits. In terms of collaboration, it would be a good idea to use a matrix structure. The dual management structure creates a double check system to ensure that the device and the project is done in a timely manner. I agree with the posts above where the matrix structure may help in expediting the project. A matrix structure has an efficient communication chain which is important especially when there are a lot of moving parts involved.
November 25, 2017 at 9:21 am #5595
When two or more companies come together and decide on collaborating on a project, it is very important that the project is ran smoothly. There are issues that arise within a company when working on a project let alone collaborating with another company. That is why it is vital that there is an organizational structure set in place to keep the project running efficiently. The type of organizational structure that would best fit this scenario is matrix. With matrix organization, there are both functional managers and project managers present. With both set of managers, there is better organization between the two companies. In addition, it will keep a balance of management between the companies, instead of one company having more decision making power over the other. Also, with other types of organization structures, there is typically one person in charge. With matrix organization, there is more openness to other people’s opinions and give different perspectives on how to improve the project.
November 25, 2017 at 6:33 pm #5610
I also agree with Adrian. I have worked with establishments where different companies have come together to work on a project and some of these companies have actually merged. Believe it or not basic communication becomes a problem. This lack of communication may create distrust and uncertainty in a workplace. This often leads to lower employee engagement levels. When managing key projects it is very important to keep both parties informed at all times. Both parties may have their own organizational structures but it all boils down to how seamlessly they work together.
November 26, 2017 at 4:28 pm #5635
I believe when two companies team up, there needs to be some type of organization that occurs so that effective communication occurs and that the product is being developed well enough to be put on to the market. As said previously, I believe that the matrix organization is the best way to keep that good management and keep a good communication between the two companies. Although Dr. Simon says there are some disadvantages, the benefits definitely outweigh them. Some of the disadvantages are that everyone has two or more bosses, the department schedules can conflict, and functional heads and project leaders must negotiate for resources. These are some small disadvantages that can be worked around to allow the product on the market and to have it be successful and introduce major profits. The project manager would just have to work a little extra to meet everyone’s schedules and to make sure that everyone is doing their job. They would also have to put some more time in order to obtain certain resources for the team to work with. But to answer the question, the project manager may have it a little easier to be a part of the project-based organization since it is organized in that way and they can delegate work a little bit more easier. But for it to be effective, I do believe that the matrix organization would gear towards a more effective system in terms of profits and getting the product on the market efficiently.
November 26, 2017 at 6:25 pm #5654
The main goal in this type of situation is to find an organizational structure that both parties can agree on for the duration of the collaboration. Communication is the most important factor for such a task to be successful. The type of structure that best fits this scenario is a matrix organization.
Matrix organization allows for multiple functional and project managers to be present from both companies. This ensures that the goals and interests of both companies are recognized and met. This indirectly creates a system of checks and balances where one company’s interests do not over power the others. Functional and project-based organizations typically leave one person in charge. This tends to disrupt the balance and would create a one sided collaboration.
November 26, 2017 at 7:31 pm #5659
When working on projects where other companies are involved. I think that the most efficient type of organization is the functional or matrix organizations. I think that is important simply because every individual is representing the entire company, and company culture is very important to representing the company. For productivity of the project being correct is probably the next best thing. Having a team that support each other is essential.
November 26, 2017 at 8:15 pm #5667
In total agreeance with Adrian and amandaally1029. I also believe that the process of collaboration and working environment matters a lot than the organizational structure of the company. However, it is a priority for any company to choose an organizational structure for the project to run efficiently. Certainly, the matrix structure is an effective structure for collaborative projects. This structure ensures that a team is diverse with members well qualifies or suited in certain fields. Also, this structure helps to tap resources better and have good communication between department.
November 26, 2017 at 8:33 pm #5671
I agree with @tilak‘s post. I think that the matrix organization will allow for a more open communication between staffs of each company which will result in a clearer, defined goals in which everyone involved will be on the same page all throughout the completion of the project. I also agree that there will be an indirect system of checks and balances so people will be working nicely with one another without feeling overpowered or favored by the other company. These type of issues can be the cause of the project to fail which can be costly for both companies.
November 26, 2017 at 8:49 pm #5674
Although I agree with @Adrian and many others about the matrix organization, I actually work in a small collaborating environment that use the project-based organization well. We were managed by a manager who reports to the boss. We report directly and remotely to the manager who is from a different organization (the communication was really great because he was really good in replying emails and he always had answers). He organized all the tasks and communicate with the boss. We knew of other projects through team meeting. Though it was true that limited knowledge was shared between teams, our projects were very different and it wasn’t needed. All different teams were great with each other and we actually enjoyed having a specific project to work on in depth rather than being pulled in various directions.
November 26, 2017 at 8:53 pm #5675
Matrix Organization would be successful in collaboration projects in which two or more companies come together to develop and manufacture a product. Matrix approaches to projects and other initiatives are typically less expensive than establishing dedicated project teams, and the diversity of the team members makes them superior to many purely functional teams. In this situation, It is preferable because such project would last at least 5 year and Matrix organization is good for long-term focus and commitment. It’s also good way for Knowledge transfers from project to project and between departments.
November 26, 2017 at 11:56 pm #5706
I agree with the previous post: matrix organizations are definitely better suited for collaboration projects. They are more efficient and would save resources and allow for a more seamless flow between departments in the project.
November 27, 2017 at 12:56 am #5710
I agree with smk45 that matrix organizational structure is the most ideal for collaboration projects. Staffers in a matrix organizational structure report to a product line manager and a functional manager who determines the direction on product offerings and help with skills, review and prioritization of work respectively. In collaborative projects, more often than not, resources are poorly utilized. Matrix organizational structure address this challenge as it allows equipment and experts to be shared across projects. Moreover, all projects and products are formally coordinated across various departments in matrix structure, making this structure the most suitable for collaboration projects.
December 2, 2017 at 8:54 pm #5800
I would consider a Product Organizational Structure for collaboration projects. In this structure, managers report to head of the company and analysts report to managers. Their main idea is the product line. Therefore, their main goal is product line too. This way it makes collaboration easier for companies since each department knows their role.
You must be logged in to reply to this topic.