Understanding Types of Organization: PMP Certification

The Project Management Professional (PMP) certification is an internationally recognized credential that can be used to prove competency in project management. You can find a PMP certification in nearly any country, but it's especially common in the United States. The exam itself has four levels of difficulty − Foundation, Practitioner, Master, and Expert.

In this article, we'll discuss the importance of PMP certification and the different types of organizations that are covered by the PMP certification. We'll also give you a sneak peek into the kinds of jobs that are available once you've completed the PMP certification program. So if you're ready to take your business to the next level, then read on!

What is a PMP Certificate?

A PMP Certificate is an internationally recognized certification that demonstrates competence in project management. It can help businesses improve their overall efficiency and effectiveness when managing projects.

What are the Benefits of Acquiring a PMP Certificate?

The main benefit of having a PMP Certification is that it proves to your clients and other stakeholders that you have the knowledge and skills necessary to manage Projects successfully. This can lead to increased confidence in your ability to deliver on promised deadlines, lower costs due to reduced defects, and improved customer satisfaction ratings.

Another major benefit of acquiring a PMP Certification is its global recognition. Many businesses choose to award their team members with a PMP certificate once they have achieved certain milestones or met specific requirements related to project management excellence. This helps create better communication across teams, as everyone working on projects will have a common understanding of standards and best practices associated with the profession.

Types of Organizations

Achieving PMP certification is one of the most popular professional development goals for business professionals. Depending on your role within an organization, you may need different types of PMP certification.

Here are four different types of organizations under PMP certification −


Functional organization is the latest trend in business management, and it's gaining steam fast. Many businesses are looking for ways to improve their efficiency and productivity, and functional organization is a great way to do that.

What is The Functional Organization?

Basically, it's a style of management that emphasizes getting tasks done efficiently and effectively without wasting time on unimportant details. The goal is to have everything organized into clear goals and objectives so everyone knows exactly what needs to be done and when it needs to be done. This makes communication between team members much easier because everyone understands the overall goal.

The benefits of using functional organizational practices include improved employee satisfaction, higher production levels, reduced error rates, and less wastefulness. In short, functional organizational practices can lead to major improvements in all areas of your business!

The PMP certification process provides you with the necessary skillset needed for the successful implementation of Functional Organizational Practices.


Projectized organizations are teams that are assigned projects by the organization. Team members have specific roles and can be reassigned to different projects, depending on their state of expertise and skill set.

Projectized organizations also promote employees to higher-level positions within the company or demote them to lower-level positions if necessary. This provides an opportunity for individuals from all levels of experience within an organization to learn from each other by working together on various tasks within a team environment.

There are several benefits to using PO, including increased efficiency, better communication between team members, and improved overall morale.

However, there are some factors to keep in mind when implementing Projectized Organization at your workplace −

  • First and foremost, PO should be implemented with consensus among team members; if not agreed upon early on, it may result in discord down the road.

  • Secondarily, make sure each unit operates under clear expectations so that everyone understands their role within the system. Clear boundaries help prevent overwhelmed or overstretched employees from happening.


A matrix organization is a combination of functional and projected structures. Matrix organizations have a functional manager at the top, who oversees all employees in one or more functional teams, and then there is also a project manager to oversee projects.

According to the PMP Institute, "A matrix organization is defined as one in which there is dual or multiple managerial accountability and responsibility. However, the term matrix means quite different things to different people and in different industries."

There are several advantages to using a matrix organization over other types of management systems −

  • It enhances communication between different departments − Each department has access to all information necessary for completing its assigned task. This prevents duplication or confusion among team members regarding specific details pertaining to their jobs.

  • It allows employees freedom in selecting their assignments − Employees aren't confined by rigid job descriptions. They're able to explore new areas and learn new things whenever they feel inclined--provided those areas fall within their skill set related to the project at hand.

  • It leads directly towards improved efficiency − Teamwork becomes more streamlined as each employee focuses exclusively on his or her assigned task rather than trying to coordinate activities with unrelated colleagues.


A composite structure is a PMP certification that changes the authority level of the project manager from project to project. In this type of organization, there is a matrix structure with a project manager, functional manager, and other people who report directly to them.

This allows for better communication and coordination between different teams, as well as increased accountability. It also helps to minimize overlap and duplication of effort, which can lead to faster completion times and improved quality.

There are several benefits to using a composite structure in your organization, including −

  • Improved Communication & Coordination − When projects are managed at an authority level higher than simple projects, it becomes much easier for everyone involved to communicate across disciplines and boundaries. This leads to more streamlined decision-making and smoother execution throughout the entire process.

  • Increased Accountability & Responsibility − With each team reporting directly back up the chain of command, there is greater assurance that everything is being done according to plan. And since all participants are held accountable for results, chaos or inconsistency won't be tolerated - consequences will likely follow!

  • Reduction In Overlap & Duplication Of Effort − By consolidating multiple tasks under one roof with clearly defined goals and objectives, you'll reduce the amount of redundant work and wasted time. Plus, by breaking down larger projects into manageable chunks, you're sure that every task gets completed on schedule - with accuracy and quality intact!


To conclude, the PMP certification is a great achievement for any business that wants to gain in-demand knowledge on project management. With this certification, you can make your company more efficient and able to handle any kind of new project.

The only downside of having a PMP is that it requires a lot of time and effort as well as lots of practice. However, if you're determined enough, you can easily get through it without many issues. The project management field has become increasingly complex, and it’s important to have a thorough understanding of its concepts before you can start making sense of the information overload from your current position.

Updated on: 29-Dec-2022


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