Business

Pros and Cons of Housing a Project in Functional Form

Pros and Cons of Housing a Project in Functional Form

Pros or Advantages of housing a project in a functional form: The major advantages of housing a project in a functional form are given below –

  • There is maximum flexibility in the use of staff.
  • Individual experts can be utilized by many different projects.
  • Specialists in the division can be grouped to share knowledge and experience.
  • The functional division also serves as a base of technological continuity when individuals choose to leave the project, and even the parent firm.
  • Finally, and not the least important, the functional division contains the normal path of advancement for individuals whose expertise in the functional area.

Cons or Disadvantages of housing a project in a functional form: The disadvantages of housing a project in a functional form are as follows –

  • A primary disadvantage of this arrangement is that the client is not the focus of activity and concern.
  • The functional division tends to be oriented toward the activities particulars to its function.
  • Occasionally in functionally organized projects, no individual is given full responsibility for the project.
  • The same reasons that lead to a lack of coordinated effort tend to make a response to client needs slow and arduous.
  • There is a tendency to sub-optimize the project.
  • The motivation of people assigned to the project tends to be weak.
  • Such an organizational arrangement does not facilitate a holistic approach to the project.