The best project organization that would suit the development of large touring class motorcycles is the matrix organization. The matrix organization is a structure that encourages the even stream of abilities and data. It is utilized predominantly as a part of the administration of substantial undertakings or item advancement procedures, drawing workers from distinctive utilitarian controls for task to a group without expelling them from their particular positions (Sy, 2005). Workers in a matrix association report on regular execution to the project manager whose power streams horizontally. They likewise keep on investigating their general execution to the leader of their area of expertise whose power streams vertically inside of his or her specialization.
In this matrix organization, the project manager reports to the General Manager whereby the GM delegates the duties and responsibilities to the project manager. The experts in the various fields will maintain their duties and responsibilities in their respective fields in terms of the development of the larger touring class motorcycles. Performance and execution are important in the success of the project whereby the tasks and activities are coordinated and organized. Strategic goals for the project can only achieved through careful implementation and execution. Effective processes are important for the organization to achieve strategic goals it has set as it assists the workers to achieve the business goals and improve consistent performance. Innovation and creativity is also an essential part in effective processing because it enhances convenience and ease of work.
In the matrix organization, a detailed assessment should be carried out in the whole organization to find out what areas are performing very well in order to maintain them, what areas need to be improved in order corrective action should take place, and areas that should be scrapped completely from the system. The assessment should be focused on areas such as mechanical and electrical department, on the same time, quality assurance should be guaranteed. One of the most important points to consider is experience from the past activities. It is important to learn from past mistakes; this has the effect of reducing development costs, reducing time wastage and increasing efficiency and effectiveness. The project should adopt systems that have already been established i.e., learning from the best. The project should try to emulate methods that have been established before and have been successful.
The project should determine the development costs of each functional area. The aim of the project is to produce motorcycles that can travel long distances therefore they can be produced within a reasonable range e.g. between 1300cc -2400cc. the factors that should be considered in determining the capacity are; fuel consumption, cost-effectiveness and operation costs. The benefits of this matrix organization is that the cost, the time, and the quality of the project are better managed and the organization is versatile such that fast corrective actions can be applied in order to adjust the project in the desired direction.
The strategy that the executives would use in the organization to balance short term and long term needs would be a balanced scoreboard strategy; this being a transition stage for the company, it needs to find a competitive advantage in order to satisfy the customers and at the same time retain them. The balanced scoreboard will help in monitoring and controlling organization performance against the set objectives (Antos, 2009). The Balance scoreboard will assist the managers to gauge the performance of the business during this transition and to determine if the new product is conforming to the client’s needs. The Balance scoreboard will help the organization in four perspectives; the internal growth, business process, the customer and the financial. This strategy will cover both short term and long term needs.
The internal growth perspective involves both learning and training of the employees. The company should strive to improve the corporate culture of the organization in order to be able to effectively develop the new larger touring class motorcycles. Communication between the workers and also the leaders is also imperative in order to solve problems and share on issues concerning the development. With the dynamic technological world, the workers need to be in a constant learning mode. The business perspective is concerned about the internal processes of the organization. The organization should have metrics that assist in detecting how the organization is running during this transition. The activities and results should be able to conform to the objectives of the organization.
The customer perspective is concerned with customer satisfaction. All businesses in the world are driven by customer satisfaction, and there is no point of being in business if one cannot satisfy the client’s needs. The organization should interact and seek information from their consumers so that they can produce motorcycles that are accepted by the clients. The balanced scoreboard will enable the organization to keep track of the financial performance of the old product at the same time keeping track of the financial performance of the new product; this will enable the organization to build additional capacities.
There are two important aspects that should be considered by the leadership of the project i.e., management aspects and technical aspects. Management involves the direction, integration, communication, planning, control and monitoring of the project for successful completion. On the other hand, technical aspects involve the practical techniques that are involved in the development of the larger touring class motorcycles. The leadership style being called for here is both autocratic and participative leadership. The autocratic leadership entails individual control over all decisions in the project with minimal contribution by the group members (Fisher, 1993). This type of leadership is important because the project will require strong leadership in order to get tasks accomplished efficiently. An autocratic leadership brings about skilled labour because most of the decisions are made by the leaders, and therefore the technical members should not be worried about making tough decisions. Blending in participative style with autocratic style can be beneficial to this project. An autocratic style can hinder the stakeholder involved from participating in decision making but loosening up the autocratic style by having the employees involved in decision making will reduce impartiality and increase objectiveness in decision making.
The three risk mitigation strategies that can be employed in the project are; risk acceptance, risk limitation and risk transference. There are risks that cannot be avoided or mitigated; therefore, the project team has to accept the costs of the risks. Some of the risks that cannot be avoided by this project are credit risks, project failures, and natural accidents. Risk acceptance is important the risk level is insufficient to justify the cost of risk avoidance (Miller, 2008). Risk limitation involves a balance of both risk acceptance and risk avoidance by taking an action that will reduce the effects in case an event occurs. Lastly, risk transference can be defined as handling certain risks to a third party e.g. outsourcing some of the operation to third parties in order to concentrate on core competencies.