Program/Project Authority versus Organizational Structure

The extent to which the project leaders manage the resources deployed to their projects can vary dramatically according to the impact of the projects on the corporation and whether the resource is located within the company or not. Matrix Project Leader authority and effectiveness tends to vary from “Part-Time Coordinator” to a fully articulated professional “Project Management Office”, depending on the amount of risk, the relative value, cost and commitment the company foresees with any given project. Thus, when risk is high, value is low and the project poses little cost to the company, the staff that works on the project tends to reside within line departments, and the line managers are likely to have a large influence on the conduct of the project. Under these conditions the project leader is likely to be a part-time coordinator. In Bio/pharmaceutical companies, project Leader authority and effectiveness tends to increase from early Discovery to final Drug Development.

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