ABSTRACT
This chapter begins with setting out some of the properties that are required for efficient organization. It describes possible organization options, together with their advantages and disadvantages. Effective organizations have clear lines of authority and every member of the project knows what he or she must do to make the project a success. The complement of good management communications is the provision of adequate feedback paths through and across the organization. The matrix option allows the establishment of specialist functional groups which have 'eternal fife', independent of the duration of individual projects. In a project matrix the authority of the project managers is greatest and takes precedence over the authority of the functional managers, at least as far as work allocation and progressing is concerned. Sometimes companies adopt the solution of a hybrid organization, operating a matrix organization in general, but with teams set up for certain projects when the need arises.
