CASE STUDYSEMCO

The functional organization prevalent in modern business Functional organization is used specifically for the purpose of describing a hierarchal group, company, organization in which it is determined that each individual and particular employee should be charged with the task of defining an individual .

The functional organization should essentially take the entirety of the staff. Each specific category managed by an individual who is of particularly advanced qualification in that area. The greater degree of specializations. Increase in operational efficiency .

Economic flexibility. Co-ordination within the function. Projecting of outstanding skills.

The disadvantages of the functional organization The organization must bear the costs of training and retaining systems personnel possessing the specialized technical and business skills needed to support the requirements of the sponsoring business unit. Slowness to respond to changing external conditions.

Slowness to internally re-organize, barriers that obstruct communication, & a localized focus. The functional application is only funded to support the localized requirements of the business unit that is its benefactor.

The problems and difficulties of multiple commands. Indifferent approach of managers. Problems of co-ordination. Lack of well-defined responsibility.

Pure project organization a useful structure The unrestricted order over project-specific resources increases the chance for the reaching of the achievement, date and cost goals. Clear assignments of tasks, responsibility and authority contribute by reduced conflict potential.

Due to the large identification of the coworkers with the task a high readiness exists to master difficulties. In further consequence project-specific decisions can be found more rapid. The co-operation of co-workers from different divisions makes the reduction possible of interface problems.

A better co-ordination can be achieved and the duration of the project to a necessary minimum be reduced by the keeping of an holistic view. The quality of the results achieves thus a high level.

End of case study