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ORGANIZATIONAL STRUCTURES

ORGANIZATIONAL STRUCTURES. By: WIJI NURASTUTI, MT. ORGANIZATIONAL WORK FLOW. Organizational are continually restructured to meet the demands imposed by the environment. Restructuring can change the role of individuals in the formal and the informal organization.

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ORGANIZATIONAL STRUCTURES

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  1. ORGANIZATIONAL STRUCTURES By: WIJI NURASTUTI, MT

  2. ORGANIZATIONAL WORK FLOW • Organizational are continually restructured to meet the demands imposed by the environment. Restructuring can change the role of individuals in the formal and the informal organization. • In the discussion of organizational structures, the following definitions will be used: • Authority is the power granted to individuals (possibly by their position) so that they can make final decisions. • Responsibility is the obligation incurred by individuals in their roles in the formal organization to effectively perform assignments • Accountability is being answerable for the satisfactory completion of a specific assignment. (Accountability = authority + responsibility) • Trust is the key to success here. The normal progression in the growth of trust is a follows: • Even though a problem exists, both the project and functional managers deny that any problem exists • when the problem finally surfaces, each manager blames the other • As trust develops, both managers meet face-to-face to work out the problem • The project and functional manager begin to formally and informally anticipate problem

  3. STRATEGIC BUSINESS UNIT (SBU) PROJECT MANAGEMENT • An SBU is a grouping of functional units that have the responsibility for profit (or loss) of part of the organization’s core business. Figure 3-17 shows how one of the automotive suppliers restructured into three SBUs; one each for Ford, Chrysler and General Motors. • A more recent organizational structure and a more complex one is shown in Figure 3-18. in this structure, each SBU may end up using the same platform (i.e., powertrain, chassis and other underneath components). The platform managers are responsible for the design and enhancements of each platform, whereas the SBU program managers must adapt this platform to a new model car

  4. SPBU Ford Programs SPBU GM Programs SPBU Chrysler Programs Program Managers FIGURE 3-17. Strategic Business Unit Project Management

  5. SBU SBU SBU Platform Project Management SPBU Program Managers Platform Platform Platform FIGURE 3-18. SBU Project management using platform management

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