As the project manager, you know it is important to get the project off to a good start. You are working with your project sponsor to decide on the optimal project management structure for this project. You are confident that either a dedicated project team structure or a matrix structure will work for the project, but the project sponsor thinks either will fail. Describe how you will reassure the project sponsor that either structure will be successful. Explain the pros and cons of each structure and how they support a large project.

QUESTION

You have been hired to lead a project (for example, a relocation of a corporate HQ office), similar to this project, Marriott to Move Headquarters to Downtown Bethesda With $62 Million in Incentives.

As the project manager, you know it is important to get the project off to a good start. You are working with your project sponsor to decide on the optimal project management structure for this project. You are confident that either a dedicated project team structure or a matrix structure will work for the project, but the project sponsor thinks either will fail. Describe how you will reassure the project sponsor that either structure will be successful. Explain the pros and cons of each structure and how they support a large project.

ANSWER

 Choosing the Optimal Project Management Structure for a Large-scale Corporate Headquarters Relocation

Introduction

A successful project requires a strong foundation, and choosing the right project management structure is crucial for achieving project objectives. In the case of relocating a corporate headquarters, such as the Marriott’s move to Downtown Bethesda, it is essential to reassure the project sponsor that both the dedicated project team structure and the matrix structure can lead to project success. This essay will outline the benefits and drawbacks of each structure and how they support large projects, helping to alleviate the project sponsor’s concerns.

Dedicated Project Team Structure

The dedicated project team structure involves assembling a cross-functional team solely dedicated to the project. Here are its pros and cons:

Pros

Clear project focus: With a dedicated team, all members are fully committed to the project’s goals, ensuring a high level of focus and accountability.

Efficient communication: Direct communication channels within the team facilitate quick decision-making and efficient collaboration (6 Best Communication Channels for Your Team | Podium, n.d.).

 Streamlined coordination: The team’s exclusive dedication to the project allows for better coordination and synchronization of efforts, enhancing overall efficiency.

Cons

Resource limitations: As team members are solely focused on the project, their availability for other organizational needs may be limited.

 Lack of functional expertise: Without the involvement of functional departments, specialized expertise may be lacking, potentially leading to knowledge gaps.

How it supports a large project

In a large-scale relocation project like Marriott’s headquarters, the dedicated project team structure offers several advantages:

– High project focus ensures that critical tasks, such as site selection, permits, logistics, and stakeholder management, receive dedicated attention.

– Efficient communication channels help overcome potential complexities and bottlenecks, leading to faster decision-making and problem-solving.

– Streamlined coordination allows for effective resource allocation and task management, enabling the project to stay on track and meet deadlines.

Matrix Structure

The matrix structure involves a dual reporting system where project team members report to both the project manager and their functional managers. Here are its pros and cons:

Pros

 Functional expertise: Matrix structure allows project team members to draw upon their functional expertise while working on the project, ensuring a comprehensive approach (Patterson, 2022).

Efficient resource utilization: Since team members have dual reporting, they can balance project work with their functional responsibilities, making resource allocation more flexible.

Improved knowledge sharing: Collaboration between functional departments and the project team fosters knowledge transfer and promotes innovation.

Cons

Complex communication channels: The matrix structure introduces additional layers of communication, potentially leading to confusion and delays if not managed effectively.

Competing priorities: Team members may face conflicting demands from the project and their functional roles, making it challenging to balance responsibilities.

How it supports a large project

For a large-scale project like relocating a corporate headquarters, the matrix structure offers several advantages:

– Functional expertise ensures that specialized knowledge from various departments, such as IT, facilities, and HR, is leveraged to address specific project requirements.

– Efficient resource utilization allows organizations to maintain regular operations while executing the project, minimizing disruptions and maximizing productivity.

– Knowledge sharing and collaboration foster cross-functional innovation, enabling the project team to identify and implement best practices from different areas of expertise.

Reassuring the project sponsor

To address the project sponsor’s concerns, it is crucial to highlight the following points:

– Both the dedicated project team structure and the matrix structure have proven successful in similar large-scale projects.

– The choice of the optimal structure depends on the specific context, organizational culture, and project requirements.

– The pros and cons of each structure can be effectively managed through appropriate planning, communication protocols, and stakeholder engagement (Best Practices for Implementing Stakeholder Engagement Software – SustaiNet, n.d.).

– As the project manager, a comprehensive analysis of the project’s needs and the organization’s capabilities will be conducted to select the most suitable structure.

Regular monitoring and evaluation throughout the project will ensure adjustments can be made to overcome any potential challenges that arise.

Conclusion

The success of a large-scale project, such as relocating a corporate headquarters, depends on choosing the right project management structure. Both the dedicated project team structure and the matrix structure offer unique advantages that can be harnessed to support the project’s objectives. By highlighting the benefits and drawbacks of each structure, reassurances can be provided to the project sponsor, helping them understand that with effective planning, communication, and stakeholder engagement, either structure can lead to project success. A well-chosen project management structure will lay the groundwork for a successful headquarters relocation project, driving organizational growth and prosperity.

References

6 Best Communication Channels for Your Team | Podium. (n.d.). https://www.podium.com/article/communication-channels/ 

Best Practices for Implementing Stakeholder Engagement Software – SustaiNet. (n.d.). https://sustainet.com/implementing-stakeholder-engagement-software/ 

Patterson, D. (2022, April 15). 2.2. Structures. Pressbooks. https://ecampusontario.pressbooks.pub/hrstrategicprojectmanagement/chapter/2-2-structures/