ABSTRACT
Organizations are systems of human and physical elements created to achieve goals. As with all of systems, they are partly described by their structure-the form of relationships that bond their elements. In all organizations two kinds of structures coexist. One is the formal structure, the published one that describes normative superior-subordinate relationships, chains of command, and subdivisions and grouping of elements. The other is the informal structure, the unpublished one that describes relationships that evolve through the interactions of people. Whereas the formal organization prescribes how people are supposed to relate, the informal organization is how they actually do relate. This chapter deals primarily with the formal organization structure of projects and project organizations are structured, depending on project goals and available resources.
