Research On Optimization Of Company A’s Matrix Project Management Organization

Matrix project management is an important branch of modern project management. Since matrix organization structure was applied to the Swedish company AESA’s management practice in the late1970s, many organizations have put it into use for its flexibility and efficiency. By now, matrix project management has been widely used in various project-based organizations.Company A, as a state-owned research institution, has to manage a large number of research projects as well as construction and management projects effectively. By applying the matrix project management theory and methods in project management, Company A has earned a high degree of flexibility and improved the efficiency of human resources significantly, especially on the central technical staffs, saving the cost of expenses. Organizing stuff with various specialties and skills from different areas to work together results in significant synergy effect which is similar with1+1>2, and resonance effect which promotes the development of the areas involved and helps to solve non-structural problems and implement complex projects in the organization either.But for years, as the company’s management system has been constructed on the research projects in major, research projects have established a performance evaluation system while unfortunately, other types of projects such as construction and management projects merely follows this evaluation system and results in that the incentive system of research projects takes main part of the motivation on project team members. Both lead to the fact that emolument and other motivation are mainly decided by the host department.As the number of construction and management projects and the importance to the company’s development was increasing, the former system was no longer suitable for new project type’s requirements, and problems were emerging very soon, such as less enthusiasm for work of team members, difficulties in pushing project forward, and inefficiency, poor quality in working outcomes. The author has been engaged in project management for years, familiar with the management of various types of projects, trying to look for methods by learning and arranging the theories, meanwhile analyzing the current situation of matrix project management of Company A through combining with practical experience.In this paper, an analytical model with organization structure, division of responsibilities, management communication, performance evaluation, and motivation is proposed through basic theory combing. By accessing to relevant literature, research interviews, questionnaires, case study, summing up and etc., and the use of organization block diagrams, flowcharts, etc., this paper analyzes the current situation of Company A. Recognizing the project managers, team members and the project itself as an organic whole, combining with the model, this paper obtains the correlation in project performance, project management, and motivation, and proposes the following recommendations:developing unified project management platform and holding multi-project work undertaken guidance; optimizing the allocation of responsibilities and strengthening the daily management of the project; improving the performance evaluation system and enhancing the accuracy of the evaluation; insuring motivation corresponding to performance evaluation to improve the incentive effects.This paper is divided into five chapters:Introduction, the Relevant Theoretical Basis, History and Current Situation of Company A, Matrix Project Management Optimization Analysis of Company A, Application Analysis in Case. Firstly, the author introduces the background of this paper and the latest research achievements in related fields; Secondly, the author obtains the analytical model by combing economic theories and management theories to find the applicable theories, methods; Then the author analyzes the matrix project management application status and existing problems of Company A on the basis of its history; Furthermore, on the basis of analytical model and applicable theories, methods, the author analyzes how to optimize the performance of projects, which leads to the recommendations for improvement; Finally, the effects of performance evaluation and motivation is compared in a case.In this paper, normative analysis, qualitative analysis, case study and relevant methods are used. The involved data and materials of Company A come from the management institutions, databases, human resource department and project team members.In this paper, the author analyzes the current situation of Company A by studying on economics and management theory of related areas. According to the characteristics of A company, an analytical model with the organization structure, the division of responsibilities, management communication, performance evaluation, motivation and suggestions designed from the perspective of the overall system are proposed. The paper provides reference for those who hold research on management activities of organizations or enterprises with matrix management.Because of the time, theoretical and practical experience limitation, further detailed study is needed on recommended conclusions, including how to determine the content, and intensity, frequency of motivation. In order to enhance the rationality and feasibility of the relevant measures, the furthermore improvement of performance can be gained.