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MB0049 : Compare the following: a. Traditional Vs. Projectised Organization b. Reengineering Vs. E-engineering

Posted on: October 21, 2011

MB0049 : Compare the following:  

a. Traditional Vs. Projectised Organization

b. Reengineering Vs. E-engineering

Comparison between traditional and projectised organisation

Traditional organizations

Projectised organizations

They have the formal organisation structure, with departments, functions, sections having a hierarchy of managers and their assistants. They have teams comprising members who are responsible for completing one entire deliverable product.
All of the managers function on a continuous basis catering to a series of requirements issued by the planning department. The teams will have all the resources required to finish the jobs.
An assembly of various units of their production forms a products and a variety of such products make up the business of the company. They have a time schedule within which all the elements of the projects have to be completed.
No particular member or a department or a team is responsible for the completion of any particular product. Their creativity and innovation is in particular respect of their jobs. There is greater accountability among team members and everyone is responsible for the delivery.
Most of the members do not get exposed to other areas of operations in the organisation. They become specialists and insular. It is found that a sense of ‘ownership’ of the project motivates team members to be creative, cooperative among them to achieve high productivity.

Reengineering Vs. E-engineering


This is a process by which managers redesign a bundle of tasks into roles and functions so that organisational effectiveness is achieved. By doing so dramatic improvements in critical measures of performance like cost, quality and service are expected. There will be a radical rethink about the business processes adopted.

A business process may be of any activity like inventory control, product design, orders processing, and delivery systems. No reference is taken to the existing process and an entirely new process is adopted. The following rules for reengineering are effective:

  • Make changes with the outcome in mind – not the tasks that result in them.
  • Make the users of the results of the process effect the change.
  • Let the people on the spot decide on the solution – decentralise.


The term E-Engineering refers to the attempts of companies to make use of all kinds of information systems, to make their functions efficient. New information systems are installed for conducting all business processes in the organisation. The use of electronic communication within the organisation enables frequent interactions between employees and results in better communication.

Typically meetings require their presence, but with teleconferencing a lot of time and money is saved. Data have repositories which are accessible, transferable and updatable instantly and used by all concerned. Cross-functional workflows make it easier to coordinate activities. The increase in efficiency makes the organisation meet customers’ requirements faster. All these result in widespread utilisation of knowledge in the organisation. It helps in creating and making available high quality of information. The information system also comprises of intranet and internet solutions to carry on their regular activities online.

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