By : D N Banerjee

16th September, 2011


It is not important how and in what form an organizational structure or managerial hierarchy is created. without any ambiguity. .ORGANIZATION DESIGN LECTURE. about his or her ● ● ● Specific area of responsibility Clearly demarcated level of authority Pin-pointed degree of accountability It is also vitally important to have a clear idea about the functional requirements of a specific project thereby identifying the skills required at various levels before formation of an organization and identifying each team member.16 Any organization that lack clear cut and unambiguous delegation of authority. functional and successful is that every manager within the structure must be absolutely clear. The most vital aspect for an organization to be effective. responsibility and accountability for each level of management is bound to face confusion at various levels leading to lack of commitment.

• Plumbing & Sanitation 4.16 FUNCTIONAL AREAS OF A TYPICAL INDUSTRIAL PROJECT PROJECT FUNCTIONS Engineering A Engineering & Design 1. • Etc. • Electrical 5. •Project Control •Etc. C. Technical Monitoring Commercial Site Activities •Micro Planning of Administrative Activities Human Resource •Technical Supervision Finance •Quality Supervision Procurement •Quantity Tracking Taxation •Schedule Tracking Legal Statutory Compliances •Performance •Information Feed Back Etc. B. • Civil & Structural 3. Costing 8. 44 . • Utilities 6. 7.ORGANIZATION DESIGN LECTURE. • Architectural 2.

16 55 .ORGANIZATION DESIGN A BASIC FUNCTIONAL ORGANIZATIONAL MATRIX Client / Management / Stakeholders PROJECT MANAGER FUNCTIONAL MANAGERS Team Leader Team Leader Team Leader Engineering Site-In-Charge Commercial & Finance Team Members Team Members Team Members LECTURE.

16 DIFFERENCE BETWEEN THE ROLE OF PROJECT MANGER AND FUNCTIONAL MANAGERS PROJECT MANAGER Plans at macro level Provides project requirements/performance criterion Thinks of (Plans) what is to be done Sets policies Organizes the funds Creates Documents Reports to Stakeholders/Management FUNCTIONAL MANGER Plans at micro level Does design & drawing.ORGANIZATION DESIGN LECTURE. BOQ. etc based on requirements /performnace criterion Executes what is to be done Implements policies Provides the requirement Provides the Data Reports to PM 66 .

ORGANIZATION DESIGN LECTURE.holding company Commercial & Project Coordinator Finance EngineeringOverall Planning BU-1 & 2 PM-1 BU-3 PM-2 Common Facilities PM-3 Engineering Site Engineer-1 Engineering Site Engineer-2 Engineering Site Engineer-3 77 .16 EXAMPLE : ORGANIZATIONAL MATRIX OF A LARGE PROJECT Project : 3 separate business units and common facilities were required to be set up on a 150 Acre plot of land under the ownership of one umbrella .16 LECTURE .

16 An organization using a matrix model would typically fix the responsibility.ORGANIZATION DESIGN MATRIX ORGANIZATION LECTURE. ethics and objectives and work together to achieve the goal while creating value for themselves and for the organization 88 . authority and accountability on the lines mentioned earlier Nowadays. the management emphasis is very much on outsourcing of services. In the matrix model the ability to influence and successfully integrate an outside individual or agency within ones own system of operation determines the success of a manager. Matrix is nothing but a state of mind to encourage a person of ones own team or an outsider or another agency to believe in the same values.


should be able to think logically and should have an analytical mind 1010 . non-temperamental.PROJECT MANAGER • LECTURE.Must be able to influence the Management/Client/everyone A decision maker – Must be able to give quick decisions in a stalemate condition A Diplomat – Between stakeholders/Government/Team members/and all SHOULD BE ABLE TO SAY “LETS DO IT” WITHOUT BEING AN AUTOCRAT • • • • • • • • • • By nature the person must be – cool. must have immense patience.16 The qualities essential to be a GOOD and EFFECTIVE Project Manager Top notch Leader .The most vital quality A strategist – to provide leadership for the design & development team A mentor – Providing Counseling and Consultation to the team members A motivator – To the team members for giving out their best A Coach – should be able to provide solutions in time of distress to a team member An Integrator – To integrate the team members from various disciplines A Conflict Manager – To be able to solve problems between team members An Influencer .


team members or clients believe in him • 1212 .SITE ENGINEER LECTURE.16 Qualities essential to be a good Site-In-Charge A site-in-charge is like a captain of a ship or the commander of an army unit at war and must have all the requisite qualities Leadership – To command respect from all •Sound practical knowledge – To understand the job •Cool temperament – to handle a crisis coolly •Physically tough – to withstand the rigors of site work •Moderator – must be able to solve disputes •Motivator – to get the best out of everyone •Problem solver – must give decision instantly •Good Communicator – to be able to make vendors.

Quantity.SITE ENGINEER LECTURE. etc Team Leader Technical Project Manager Team Leader Commercial Engineering Cell Site-In-Charge General Cell 1313 . data and documents to all concerned is of vital importance for proper implementation of a project within the estimated budget and time schedule Review meeting Project Team with Client/Customer Generates Information on Defects/Changes/Modifications Requirement.16 Accurate and timely decimation of information. Specification. Design parameter.


TROUBLE SHOOTING TROUBLE SHOOTING Problem Possible Cause Potential Impact LECTURE.16 Recommended Action Important Team •Not getting along with others Could be a problem if •Create back-ups for all member leaves •Not happy with compensation person of same skill not key persons mid way available in organization •Cross train members •Get a person with higher skill Lack of skills •Overlooked during planning Project will not move as •Re-train existing •Need for new skills discoveredper schedule or might members stall •Recruit from outside mid way through project Inflexible team member •Thinks his way of working the Progress will be slowed •Look for flexibility only way or even blocked when recruiting •Not amenable to new ideas •Interchange responsibilities 1515 .

TROUBLE SHOOTING TROUBLE SHOOTING Problem Possible Cause Potential Impact Tasks on Critical Patch will suffer – serious problem LECTURE.16 Recommended Action •Management need to make priority clear •May need to bolster site management •Change in Site-InCharge •Retrain to impart knowledge •Replace personnel with required knowledge •Accept miscalculation and take corrective action immediately and monitor very closely Time wasted on •Poor planning wrong task or •Poor time management reworking •Weak site management Poor quality of work •Quality standard not clear •Project will not meet •Lack of knowledge-not aware clients requirement •Costly and time of standard consuming to rectify •Miscalculation during task Task running Will get worse everyday behind schedule planning and put project further •Miscalculation during resource behind schedule planning •Reason unknown 1616 .

16 Recommended Action •Check work load and re-organize •Deploy adequate number of members •Give different responsibility – commensurate with capability •Improve working environment •Excessive work load on one •Delay in schedule member due to wrong planning •Poor work quality •Member not capable of •Poor morale handling responsibility •Depression of member •Adverse working condition 1717 .TROUBLE SHOOTING TROUBLE SHOOTING Problem Team Member burnout Possible Cause Potential Impact LECTURE.

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