edf40wrjww2CF_PaperMaster:Desc
LITERATURE REVIEW
1.1 CONCEPT OF ORGANIZATION, ITS TYPE AND PURPOSE
Organizations have a variety of purposes, from providing free service to the public to making profits. They can be divided into the private, public, not for profit and more recently the project type of organization. Further, organizations can belong to one of three industry classification: Project Management, Program Management or the Product Management. Kerzner explains that historically, project management resided only in the project driven sectors of the marker place. In the non-project driven sector of the market place, corporate survival was based upon products and services, rather than upon a continuous stream of projects. Some of the organizations who believed that they were non project driven are actually “hybrids”
Hybrid Organizations are typically non project driven firms with one or two divisions that are project driven. The management of these organizations has come to realize that they could effectively run their organization on a “management by project” basis and achieve the benefits of both a project management organization and a traditional organization.
To understand project management, it is imperative that we first look at what a project is. The PMBOK Guide defines projects as “a temporary endeavor undertaken to create a unique product, service or result.”
In today’s competitive and complex business world organizations, more so in the hybrid sectors have embraced the project management philosophy and practice. No longer can we simply manage the business by the traditional management principles based on arts, charts, and intuitive experience, there is the need for project managem ...