Project Management In Organisational Strategy Commerce Essay

Undertaking Management has achieved a great success in our modern society as compared to the clip it was introduced, it has truly helped administrations in planning, procuring, managing and commanding resources to a achieve specific ends. The engagement of undertaking direction in the administrations has truly improved the organizational schemes by adding values and benefits, in order to get a alone ends and aims which give rise to a good competitory benefit towards other corporate administration ( Patton & A ; White, 2002 ) . Most corporate administrations find it hard to explicate strategic programs and implement them at the operational degree. At the top, in-between and underside of the corporate constructions, jobs frequently occur in managing the corporate vision and scheme, the answerability of most senior caputs, and boards of manager are frequently seen as generalizations instead than particulars. The working degrees frequently see corporate program as menace, and withstand them. The intermediate degrees of concern respects corporate schemes as necessitating merely nominal consideration and support. Indeed most in-between directors have placed their involvement on self-serving enterprises that supports whatever strategies the company can be after. This affects the manner strategic planning is supposed to work, the most superior caputs of the administration ought to present specific programs with the aid of cardinal directors and experts throughout the concern. Then the overall concern should implement the strategic programs with great committedness. One position in literature assumes that the undertaking direction attack enables concern and organizational scheme to be implemented expeditiously, therefore cut downing the clip in explicating scheme to implementing scheme ( Hauc and Kovac, 2000, Gareis, 1989, Partington, 1996 ) . In regard to this position is the construct of strategic alliance.

A concern is best aligned with regard to its organizational schemes when the involvements of the stakeholders in the concern are in confederation with the strategic aims of the concern itself ( Turner and Muller, 2003 ) . This can be achieved by concentrating the concern assets upon the administrations scheme. These assets include employees, invention, concern procedures and net income demands. Concentrating these assets on the organizational ends, it will better the alliance of the organizational schemes.

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Project direction is turning quickly by going a standard manner of making concern in administrations. Majority of the administrations accomplish their ends through undertakings. Undertakings are a agency of turn toing and organizing activities that can non be addressed within organizational bounds and can frequently be used to accomplish administrations strategic program ( Project Management Institute, 2004 ) . The development of strategic programs is to run into ends and aims in an administration, and it besides requires extended analysis of the internal and external administration environments.

Harmonizing to ( Tom Burns, 1994 ) Organization is a stable environment which comprises of several elements like hierarchal control, division of labor, formal regulations. He farther concluded that these elements are efficient ways to form routing and activity in an organisation.

( Blau & A ; schoenherr, 1971 ) Argued that larger organisation were different than the smaller 1s, because they allow more clarified division of labor. However larger organisations besides had a lesser per centum of decision makers, doing them to hold less clear hierarchy of authorization than the smaller organisations. ( Blau & A ; schoenherr, 1971 ) Explains his statement that organisations need certain sort of administrative independency on volume of concern they conduct, and the figure of decision makers does non increase proportionately as the volume of work grows. The growing of an administration depends on its strategic aims and end.

Table: Example of Strategic Objectives and ends. ( ESI international, 2006 )


Business Goal

Business Scheme

Nigerian bottling Company

. Regain market portion late lost to rivals

.Increase productiveness

.Price decrease

. Improve quality

.Vigorous advertizement

MTN Nig Ltd

( GSM Providers )

.Achieve a widest web coverage of the state

.Best telecommunication company in the state

. Establish more Customer Centres in the state

.Reduced call duty

.Introduction of assorted inducement merchandises

Manchester City

.Win the Champions League

.Win the Premier conference

.Invest in high quality football players.

.Hire a universe category manager

This examples illustrates the strategic program to be achieved within a certain of period of clip ( e.g. within three old ages, six old ages and so forth ) . Projects need a good clip direction in deploying their schemes, and the execution of these schemes requires actions in finishing the undertaking undertakings ( ESI International, 2006 ) .Every Undertaking is meant to hold a undertaking to be accomplished within a given clip in the administration and this achievement may be taken as mileposts. Milestones provide an chance to track and pull off undertakings harmonizing to achievement in a peculiar timeline, in add-on the working hours is allocated and assigned to each undertakings. A Undertaking is successful when the clip, cost, and quality affect the concluding undertaking result ( Cookie-davies, 2007 ) . Undertakings are meant to fulfill client and stakeholder likewise, thereby bring forthing desired consequences. The consequences of the undertaking demand to run into the strategic aims of the undertaking. During the execution procedure there should be a linkage between the undertaking and the strategic program.

Figure 1: Undertaking and Strategy ( ESI international, 2006 )

Phase 1

Define vision and Mission

Phase 3

Identify ends and aims

Phase 2

Analyse External & A ; Internal Environments

Phase 5

Implement Strategy through undertakings

Phase 4

Formulate schemes to accomplish aims

The figure above shows the procedure of undertaking direction in relation to strategic direction. Strategy is defined by ( Patton & A ; White, 2002 ) as a comprehensive set of actions or activities which guide and direct the usage of house ‘s resources to carry through the organisations visions and end. These ends enable organisation to vie with other rivals in the market by bettering the value of their merchandises and services in the administration. To find administrations project picks and precedences, there is a demand to utilize undertakings to present the administrations chosen scheme. ( Patton & A ; White, 2002 ) Suggest that schemes should be driven down to the operational degrees of the organisation where they can rapidly germinate into a big figure of undertakings. Undertakings derived from the high degree strategic program are the assorted specific cross-organizational alterations that are necessary to implement the schemes, ends and vision of the strategic program. The strategic program should be alining with the organizational construction, and the execution of each undertaking should back up the organizational construction. As Organisations pursue legion undertakings, the resources such as financess, equipment, range and clip quality should be readily available for efficient execution of the undertakings. Most undertakings suffer reverses due to deficient resources to manage the undertakings. In transporting out a undertaking there is a demand to cognize what the administration entails, and whether the undertaking is in alliance with the organizational scheme.


Strategic Management helps administrations in formulating and implementing schemes in a complex environment with set of aims in alliance with the organizational construction ( Hauc & A ; Kovac, 2000 ) . Large administrations need a functional construction in order to pull off legion Numberss of undertakings in the administration. When the administration is non capable of managing frequent undertakings, due to its minimum construction, it usually leads to hapless direction of the undertakings. However, ( Anderson & A ; Merna, 2003 ) assume that the ground for undertaking let-down frequently initiates in hapless direction at the beginning during scheme readying, comparatively than downstream achievement. ( Maylor, 2001 ) Drives farther to suggest that more than 80 per cent of all complications at the undertaking degree are triggered by abortions at the board degree in administrations to present clear policies and precedences. This is notwithstanding of ( Archibald ‘s, 1988 ) declaration that if high-level directors want to pull off their administrations strategically, they must offer active undertaking direction patterns connected with strategic direction patterns. Detecting the information engineering practises how it aligned with the organizational scheme.

2.1 Alliance of IT scheme with Organisational Strategy and Structure

( Venkatraman, 1989 ) In his probe on IT impact, suggested that IT could construct a advancement thoroughfare for new net income making activities. He argued that IT has an indispensable organizational and strategic dimension. ( Cash.J & A ; Konsynski.B, 1985 ) Explained that distributing outside the internal, proficiency focal point and the abilities now exits for organisations to put in new IT applications that influence information and engineering qualities to achieve assorted beginnings of competitory advantages in the market place. Current survey shows that IT has inclined to transform traditional administrations into numeral digital endeavors ( Prosenjit.K. & A ; Morin, 2002 ) . They aid endeavors to make electronic associations with their clients and traders through Exchange Electronic Data engineering ( EED ) ) , to section markets and electronic phases with their rivals ( notably through market places ) and to effortlessly make new planetary markets.EED engineering, for illustration, increases dealingss between two spouses by enabling societal exchanges and the coordination of incomes and manners of fluctuation and cooperation ( Baile, 2003 ) .Effective direction of Information Technology schemes in most cooperation ‘s requires alignment to be able to cut down functional complexnesss in the administrations.

Assorted footings and definitions have been used in the literature to depict the construct of corporate scheme and IT scheme alliance in the administration. For ( Woolfe & A ; Cash, 1992 ) “ strategic alliance ” occurs when a house has coordinated its whole scheme and its IT systems ( Chan & A ; Huff, 1993 ) explain that organisations typically attain “ strategic alliance ” by go throughing over three degrees: consciousness, integrating and alliance. The consciousness degree specifies that the house has gotten to a degree of consciousness in placing and moving upon the significance of holding Information System ( IS ) more closely associated with the concern. The 2nd degree is concerned with integrating operational concern and Information System thoughts and activities. The concluding degree ( strategic alliance degree ) concern integration IS with the organisation ‘s indispensable schemes and nucleus competences. ( Papp & A ; Lufthman, 1995 ) Defines ‘strategic alliance ‘ as the suited usage of IT in the integrating and enlargement of concern schemes and corporate ends.

Figure 2: Strategic Alignment Model

Figure 2 demonstrates that, if a house wants to bring forth best passage degrees, it should aline its IT scheme with its scheme and its organisational construction. In others words, houses can acknowledge best modus operandi degrees by alining IT scheme with corporate scheme and construction.

Information Technology Strategy is defined in footings of the picks associating to the arrangement of the industry in the information engineering market. It imitates the set of ends ( decisions ) , means ( agendas ) and implicit in guesss that relate to these picks. Three components motivate this scheme and have important opposite numbers with corporate scheme. These are engineering range, typical competencies, and administration construction. Technology range, tantamount to concern range, denotes to the signifiers and assortment of IT functionality that will be made gettable to the organisation. Strategic picks associating to scope often centre on credence of an germinating engineering. For illustration, utilizing adept systems to regionalize the backing specializer to the autonomous agents aids new concern schemes for an damages bearer. Likewise, the usage of an electronic imagination system for paper-intensive procedures like recognition cards enables new methods of distinction for a fiscal service house. The critical construct is how these picks place the house in the IT market. The picks might increase or diminish the house ‘s trust on certain sellers. Distinctive competences refer to those acceptances that upset the ability of the house to separate its IT substructure. As with typical characteristics of a concern scheme, there are some sums of individualisms that may distinguish the engineering scheme pursued. In add-on the grade of connectivity mirrored in the substructure can impact countenances such as obtainability or entree to information, tractableness or cost. Decisions to accept or offer criterions such as runing systems ( e.g. , UNIX ) , communicating protocols ( e.g. , OIS ) , application milieus ( MAPA, SQL, etc. ) or hardware ( e.g. , common PC design ) , rise the prospective for connectivity through traders and openly affect tractableness and handiness within and between organisations. Of class, acceptance of such criterions besides decreases the ability to utilize precise information systems as a competitory barrier and therefore must be judged in footings of nowadays or developing concern scheme.

2.2 Benefits of Strategic Alignment

Strategic alliance emphasizes verve, eliminates idling, eliminates contradictory work and defines the proficiencies and competences which deliver competitory advantage to the organisation. Other of import benefits result from the alliance ‘s engagement to project coordination, such as consequence redundancy riddance, undertaking struggle riddance, and undertaking outcome quality confidence. The struggle, redundancy and coordination troubles experienced by many concerns in pull offing undertakings may go up from an absence of alliance in the concern itself, and non in misdirection of the single endeavors and undertakings. Alignment besides has many other benefits, some of which may be more of import to an organisation that wants to set its current alliance than the chief benefit of supplying focal point. Some of these benefits include:

Advancing the net income of creativeness and undertaking activities by concentrating corporate incomes on the concern activities where they will hold the greatest optimistic impact. With unequal resources, this ability is critical to the overall success of the concern. A concern needs to clarify both scheme and the part with association of stakeholders in the concern which will be required to set into action. The action of back uping the hallmark of the strategic program and its elucidation into corporate and territory strategic programs, helps in shortening the realization of strategic programs by eliminating excess undertaking activity, avoiding struggles and recognizing all the fencings that need to be devastated to guarantee success.

Success is besides derived by pulling the corporate nature and values, procedures, capablenesss, competences, and resource worlds jointly to implement the organisation ‘s scheme. This reduces cost by get rid ofing the demand to rectify enlistments that are instigated by conflicting undertakings and evading undertakings that are focused on concern activities that do non back up scheme. Administrations scheme provides flexibleness and construction to alter scheme rapidly. Alignment besides supports the quick, effectual rating of the impact of altering strategic programs. . Alignment makes scheme existent, traveling beyond mottos, symbol and historically unfilled purposes by supplying stability and simpleness of intent from the top of the organisation down to the operating degree as scheme becomes infused throughout the entire procedure.An aligned organisation can do non-strategic administration alterations rapidly, within its strategic model. This supports market maneuverability, a critical capableness for concerns


Obviously concerns are likely better at constructing scheme than at implementing it. Virtually every concern contains attending as a strategic aim, most direct bettering focal point as a precedence. Many executives believe that focal point is a cardinal success histrion to significant progresss in corporate competency, usefulness and tractableness. However, deficiency of focal point is a widespread delinquent in concerns today. Most concerns do non set strategic programs into pattern. In most instances, runing degrees of direction work about corporate programs, and present merely insincere attending and support. In other instances, corporate scheme is wholly ignored and becomes “ bookcase art. ” It is hard to alter scheme and the existent operations rapidly in response to new chance or market force per unit areas. The organisation ever seems to be behind the competition and the market. In the market topographic point scheme executing is non placed within a formal planning and measuring construction.

There is a distribution of intent and purpose in administrations construction as directors at many degrees try to understand the scheme and so to calculate out how they will be affected and what they will necessitate to make to do it go on. Few directors understand the scheme beyond its simplest ends. Many senior directors attending is non focused on the right ends and concern activities to derive the most resource purchase, nor to obtain the greatest positive impact in presenting corporate scheme.

There are noticeable political quandary in the administration restricting the scheme. In this respect most of the company ‘s director ‘s see the environment intensely competitory and biased. Directors by and large do non swear each other and tend to mention troubles upward, instead than settling among their equals.


The benefits of IT alliance with concern scheme are of diverse indispensable to the long-run success of every administration that employs engineering. Satisfactory alliance may take some clip to accomplish, but it helps organizational construction, if it is approached in a methodical, mode. Administrations develop good consciousness of concern context and important factors that may impact the concern, with suited cognition of the IT estates and value ironss. Alignment makes administrations to cognize where they are traveling, and how to acquire at that place, understand what have to done otherwise in the hereafter, larn how to utilize IT in doing things better, and doing better informed concern and engineering determinations. A figure of premises in the literature and in some instances highlighted tactlessness to the complexness of alliance and undertaking direction pattern