Project based organisations

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In any organization, the purpose and vision are of vital importance to convey to all parties. Project-based organisations utilise organisational structures to enhance the vision and underlying goals of the organisation and its portfolio and thus enhancing the understanding of purpose across multiple project and programs. (Project Management Institute, 2017)

Project-based organisations create a specific context, thus setting a framework, in which selected tasks can be generalised and made easier for companies dealing with many projects as part of their program or portfolio management. However, project-based organisation in themselves can differ in context and can either be standalone, part of, under or in interaction with a permanent organisation.(Turner and Miterev, 2019) (Thiry and Deguire, 2007) This article investigates:

Big idea:

  • how the creation of a project-based organisation can help stabilize specific factors whilst keeping flexibility for the changing nature of projects. (Jerbrant, 2013) (Jerbrant and Karrbom Gustavsson, 2013)(Pryke, 2017)
  • how the above mentioned structure influences the leadership, discussing both centralised and decentralised management (Project Management Institute, 2017)
  • how project-based organisation can be a supportive framework for program and portfolio management and its success. (Petro and Gardiner, 2015)

Application:

  • how to utilise the benefits of having an project-based organisational structure, drawing on the theory above in the applied field. (Mahura and Birollo, 2021)
  • how knowledge sharing and learning can happen within the organisation to help learn across the project within the organisation. (Mahura and Birollo, 2021)

Limitations:

  • how the framework has flexibility as a core, and this can also a limitation because project-based organisation can differ so much it becomes more difficult to understand and generalise across project based organisations (Turner and Miterev, 2019)
  • in line with the above and the theory how knowledge sharing could be a strength but if not done is one of the weak links of project-based organisations


Contents

Big Idea

What are project based organisations?

  • Organisation carrying out many projects (Sundqvist et al., 2014)
  • An organizational structure that helps the overall project management of all projects.(Söderlund et al., 2014)
  • Further elaborate using the key reference (Davies and Hobday, 2005), waiting to be delivered from librabry

What are the key aspect of project based organisations?

  • Knowledge- transfer is one of the key things to utilised to reap the benefits of PBOs(Sundqvist et al., 2014)
  • Innovation (creativity) in PBO's (Söderlund et al., 2014)(Thiry and Deguire, 2007)
  • Efficiency… effectiveness…. These are the kay aspect that PBO structures focus on improving more holistically (Sundqvist et al., 2014)

How do project based organisations relate to program management

  • Connecting to project management and the PMI (or other standard) – there is multiple levels of project and they form huge complexities within organisations(Söderlund et al., 2014). The different levels may be called programs and portfolios, and need management as well, and this management need to be and embedded part of the context of the project, programs and portfolios. (Project Management Institute, 2017)
  • The theories on project management and organisational structures have not always been interrelated and investigated as correlating topics and theories. (Sundqvist et al., 2014)

Why choose a project based organisation structure?

This chapter will answer:

  • Problem it solves: organisational structures instead of operational project management – the framework and context of the project management has an influence on the management and the success (Leiringer and Zhang, 2021)
  • How Efficiency and effectivness can be improved (relate to the key aspects of PBO's)
  • how PBO's can help stabilize specific factors whilst keeping flexibility for the changing nature of projects. (Jerbrant, 2013) (Jerbrant and Karrbom Gustavsson, 2013)(Pryke, 2017)
  • How PBO's can be a supportive framework for program and portfolio management and its success, due to several tasks being streamlined across project (Petro and Gardiner, 2015)
  • How PBO's are different from Matrix organising structure (Davies and Hobday, 2005)
  • Explain how they tackle fast change and innovation (Davies and Hobday, 2005)


Application

When to choose a project based organisation structure?

  • how and in what context to utilise the benefits of having an project-based organisational structure, drawing on the theory above in the applied field. (Mahura and Birollo, 2021)
  • how the above mentioned structure influences the leadership, discussing both centralised and decentralised management (Project Management Institute, 2017)
  • how knowledge sharing and learning can happen within the organisation to help learn across the project - and when this is is relevant and when it is not (Mahura and Birollo, 2021)

A case study

  • Not yet specified (will be chosen later to fit the context of the rest of the wiki article)

The main steps to get started

Limitations

What to be aware of in project based organisations

  • how the framework has flexibility as a core, and this can also a limitation because project-based organisation can differ so much it becomes more difficult to understand and generalise across project based organisations (Turner and Miterev, 2019)
  • in line with the above and the theory how knowledge sharing could be a strength but if not done is one of the weak links of project-based organisations
  • More to be added

The status qou in the litterature

  • a lot of articles referring to project based organisations but a lot may not use the terminology Project-based organisation, but rather describe it or call it something else
  • Articles often refer to it but do not describe it in greater detail – one book had “project based organisation” in the title but did not refer to that actual term once in the text of the book. (Pryke, 2017)
  • “The embeddedness in projects” is pointed out by (Sundqvist et al., 2014), to be one of the acknowledgements one needs to make.
    • When is an organisation project based?
    • How embedded should the project practice be in an organisation to call it project based?
    • Do project based organisations have the same structure? Is it a question of structure or a question of the amount of project or that the organisation have somehow organised themselves around project in some way (not specified/defined by literature)
  • The definition of a project is highlighted as a part of the discussion on project management and organisation theories – this is the most important thing to remember (Söderlund et al., 2014)

Annotated bibliography

Davies, A., Hobday, M., 2005. The project-based organisation, in: The Business of Projects: Managing Innovation in Complex Products and Systems. Cambridge University Press, pp. 117–147. https://doi.org/10.1017/CBO9780511493294.007

Jerbrant, A., 2013. Organising project-based companies: Management, control and execution of project-based industrial operations. Int. J. Manag. Proj. Bus. 6, 365–378. https://doi.org/10.1108/17538371311319070

Jerbrant, A., Karrbom Gustavsson, T., 2013. Managing project portfolios: balancing flexibility and structure by improvising. Int. J. Manag. Proj. Bus. 6, 152–172. https://doi.org/10.1108/17538371311291071

Leiringer, R., Zhang, S., 2021. Organisational capabilities and project organising research. Int. J. Proj. Manag. 39, 422–436. https://doi.org/10.1016/j.ijproman.2021.02.003

Mahura, A., Birollo, G., 2021. Organizational practices that enable and disable knowledge transfer: The case of a public sector project-based organization. Int. J. Proj. Manag. 39, 270–281. https://doi.org/10.1016/j.ijproman.2020.12.002

Petro, Y., Gardiner, P., 2015. An investigation of the influence of organizational design on project portfolio success, effectiveness and business efficiency for project-based organizations. Int. J. Proj. Manag. 33, 1717–1729. https://doi.org/10.1016/j.ijproman.2015.08.004

Project Management Institute, I. (PMI), 2017. 1.8 Relationships among Portfolio Management, Organizational Strategy, Strategic Business Execution, and Organizational Project Management. Stand. Portf. Manag. (4th Ed.

Pryke, S., 2017. Managing Networks in Project‐Based Organisations, Managing Networks in Project‐based Organisations. Wiley-Blackwell.

Söderlund, J., Hobbs, B., Ahola, T., 2014. Project-based and temporary organizing: Reconnecting and rediscovering. Int. J. Proj. Manag. 32, 1085–1090. https://doi.org/10.1016/j.ijproman.2014.06.008

Sundqvist, E., Backlund, F., Chronéer, D., 2014. What is Project Efficiency and Effectiveness? Procedia - Soc. Behav. Sci. 119, 278–287. https://doi.org/10.1016/j.sbspro.2014.03.032

Thiry, M., Deguire, M., 2007. Recent developments in project-based organisations. Int. J. Proj. Manag. 25, 649–658. https://doi.org/10.1016/j.ijproman.2007.02.001

Turner, R., Miterev, M., 2019. The Organizational Design of the Project-Based Organization. Proj. Manag. J. 50, 487–498. https://doi.org/10.1177/8756972819859746

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