Case 1: Work Breakdown Structure (WBS)

Matthew: I keep looking at this piece of paper and cannot believe my eyes, or I must not understand it.

Peter: What paper are you looking at? The one I brought?

Matthew: Yes, let me check if I understand it well. The sheet of paper I am holding shows the work breakdown structure (WBS) for the timely termination of the Opto- Mechanical groups portion of work for Project Lada (see Figure below). Is that right?

Peter: Yes, right.

Figure: Project Lada WBS for the Opto-Mechanical Group

These beginning moments of the conversation between Matthew Brandon, the engineering manager of the Opto - Mechanical Group, and Peter Bridgestone, project manager of Lada, do not promise much cooperation. Rather, the atmosphere in which this conversation in Matthews office takes place smells of the open conflict and apparent tension between the meeting participants.

Matthew: Well, on the second page, it shows an estimate of the person-hours and needed calendar time for each of my engineers involved in Project Lada, from now until the end of it.

Peter: Yes. Thats the termination plan for Lada. Whats wrong with it?

Matthew: I dont want to sound negative, but all of it is wrong from details to philosophy.

Peter: Give me details.

Matthew: Your Lada planning indicates at what days on the calendar and how much you need each of my guys from Opto - Mechanical Group. Thats based on the assumption that they are engaged in work on only one project, and thats your project, Lada. Those are the wrong details. As a matter of fact, they are shared among six projects. Since you scheduled them for certain time periods for which they are already scheduled by other projects with higher priorities, those higher - priority projects automatically obtain my guys. Even if you planned properly, there is another issue for which I would not agree with your WBS and related termination plan. I thought we already resolved the ownership issue. You guys, the project management team, own deliverables from the top three levels of the project WBS. And we, the functional groups, own all deliverables in the lower levels the fourth and below. We own them means we plan them, we execute them, and we control them, which means we monitor and report them to you. You have no right to meddle or control activities on our deliverables unless we screw up. To remind you, I found the companys PM charter. It shows that this is the current and ruling division of ownership signed - off on by all engineering managers and project management, and senior management.

But you seem to forget or ignore the PM charter, just as you tried to ignore it during Ladas Map Day. With the termination WBS, it appears again that you would like to micromanage us.

Peter: I see where you come from. Frankly, my intention was not to micromanage you. Give me a few days to go over it, and Ill get back to you.

Questions

1. What is the type of the Work Breakdown Structure (WBS) that is used in the project Lada based on the diagram given in the case? Discuss TWO (2) common types of the WBS and explain in what project scenarios that they are often used? (300 words)
2. What are the pros and cons of having many levels of WBS? (300 words)

3. Based on the case description, what organizational structure (e.g. functional, projectized, etc.) that the Opto- Mechanical Group adopt? Explain the disadvantages of this type of organizational structure which could be evidenced in the case? (400 words)