1. Consider a company which is about to embark upon a project for the first time. A competent Project Manager is available, but this firm has never had to handle a complex project before and now has to set up the most suitable organization. The project manager is immediately faced with the question that often causes much controversy:

• Should the company take all the key people destined to work on the project and place them under the direct management of the Project Manager, so that a purpose-built team will carry out the project?

Or, at the other extreme:

• Would it be better to have a weak or balanced functional matrix in which the Project Manager, although held responsibility for the whole project, has no direct line authority over the workforce? The project manager must then rely on the goodwill and cooperation of all the line managers for the success of the project.

Based on the information above, discuss FIVE properties essential for the efficient structure of a project organization.