CONSTRUCTION MANAGEM

ORGANIZATION

Lecture 3
Ar. Nisha R.C.
What is organization??
Organization is the form of every human
association for the attainment of common purpose
(goal). Mooney and Reiley

Organization is goal oriented technical,

structural, psycho-social and managerial sub
system of its broader environment. Kast and
Rosenzweig
Organization is a group of people
having different knowledge and
skills working together to
achieve an organizational goal
CHARACTERISTIC OF
ORGANIZATION

 Goal
 People
 Structure
 Technology
 Duties and responsibility
 Communication and coordination
 Interaction with the environment
 Continuity
GOAL
Goal is desired future state of
affairs. V.H. Vroom

Goal are the ends towards which

all the activities are aimed – they
are the results to be achieved.
Koontz and Weihrich
CHARACTERISTIC OF GOAL

Specific
Realistic
Measurable
Timebound
Reward linked
NECESSITY
Provide clear vision of future
Focus attention
Reduce uncertainty on decision
making
To understand the
organizational behaviour
………………………..
TYPES OF ORGANIZATION

1. Line or military organization

2. Line and staff organization
3. Functional organization
4. Matrix organization
LINE OR MILITARY
ORGANIZATION

Simple and earliest one

Authority flows directly from
top to bottom step by step
Major decision are made by top
level
 OWNER

ENGINEER

ADMINISTRATIV
ACCOUNTA JUNIOR E
NT ENGINEER
ASSISTANT

WORKERS
LINE OR MILITARY
ORGANIZATION

ADVANTAGE DISADVANTAGE

 Simple  Lack of expert

 Discipline knowledge
 Quick decision  Lack of reverse

 Economical and
feedback system
effective  Possibility of
favoritism, partiality
 Flexible
 Loss of capable person
effect whole
organization
LINE AND STAFF
ORGANIZATION

Addition of experts or advisory

staff in the line organization
 OWNER
LEGAL
ADVISOR/EX
PERTS

ENGINEER

JUNIOR JUNIOR ENG

SURVEYOR ENGINEER CIVIL/ELC/MECH

WORKERS
LINE AND STAFF ORGANIZATION

ADVANTAGE DISADVANTAGE

 Expert advice for  Confusion of position

operating problems  Staff body lack of
 Provision of authority
opportunity for  Misunderstanding and
advancement of friction may appear
skilled worker between line and staff
 Based on
specialization
FUNCTIONAL ORGANIZATION

 Introduced by F.W. Taylor

 Functional expert look after their
respective function and their
subordinate
 Each and every person shall have
certain function to be performed.
 General
Manager

Electro- Electronics & General

Civil Eng.
Mechanical Eng. Computer Eng. Management
Department
Department Department Division

17
Chief
Chief civil Chief elc/mech ele/co Chief
eng eng
mp admin
eng
Ele/co
Civil eng Elc/mech eng mp Admin/a
eng ccount
officer
Jr.eng Jr.eng Jr.eng Admin/a
ccount
workers
workers
worke assistan
rs t
FUNCTIONAL ORGANIZATION

ADVANTAGE DISADVANTAGE

 Focus on expert  Fussy authority

knowledge  Misunderstanding
 Enables skilled worker  Each worker has to
for advancement report to many bossess
 Functional efficiency  Lack of discipline and
will be high coordination
MATRIX ORGANIZATION
 Functional organization with a
project structure.

 Organization members from

functional departments are assigned
the project tasks.
MATRIX ORGANIZATION
General
Manager

20
Electro- Electronics & General
Civil Eng.
Mechanical Eng. Computer Eng. Management
Department
Department Department Division
 MATRIX ORGANIZATION

ADVANTAGE DISADVANTAGE

 Focus on project • Multiple command

objectives • Possibility for conflict
 Enhanced coordination between functional
– Project Manager & department head and
Departmental Heads PM
 Flexibility • Requires high
 Efficient interpersonal skill
 Team feeling • Expensive
 Motivation

 Opportunity for skill

enhancement
STRUCTURE

Size
Pattern
Hierarchies
CONSTRUCTION PROJECT
STRUCTURE
1. Construction work
a) Designing
b) Planning and programming
c) Estimating
d) Supervision
e) Monitoring, reporting and control
2. Financial management and control
a) Procurement
b) Payment
c) Cash
d) Accounting and auditing etc
3. Administration
a) Record keeping
b) Staffing etc
THANK YOU