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MANAGEMENT OF THE PROJECT-ORIENTED COMPANY 18-25
TABLE 18.11 Relationship between the Management Paradigm and the Project
Management Approach
Traditional Management New Management
Paradigm Paradigm
Traditional project • Fitting culture • Cultural combination is
management • Inefficient projects hardly conceivable
• Dominance of the line • High potential for conflicts
organization
Systemic project • Cultural differences • Fitting culture
management • Efficient projects are • Efficient projects
possible, yet… • “Empowerment” of the
• High potential for conflicts projects
The management paradigm existing within a company creates a cultural frame-
work for the performance of projects and programs. Even though a traditional man-
agement paradigm suits a traditional, method-oriented project management approach,
it results in inefficient projects. Efficient projects based on a systemic, process-
oriented project management approach are promoted by a new management paradigm.
The relationships between the management paradigm of a project-oriented company
and the practiced project management approach are depicted in Table 18.11.
Subcultures in the Project-Oriented Organization
By applying project and program organizations, subcultures are developed in the
project-oriented company. This development of project- and program-specific cultures
contributes to the success of projects and programs; that is, it is functional for the
project-oriented company.
As a subsystem of an organization, a project can be distinguished from other sub-
systems, such as departments or other projects. Basically, the cultural division process
into subcultures can be performed as far as desired. However, it is a prerequisite that
the relevant cultures be characterized by their own values, rules, and behavior pat-
terns, which can be learned and shared by the members.
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