Certification in Supplier Diversity Practice Exam

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What characterizes a project organization?

Focuses on long-term established teams
Organizes around specific projects with temporary teams
Emphasizes hierarchical authority
Requires minimal project management

The correct answer is: Organizes around specific projects with temporary teams

A project organization is characterized by its structure that revolves specifically around individual projects rather than long-term functions or teams. In this setup, teams are formed to meet the unique requirements of a particular project and are typically temporary, disbanding once the project is completed. This allows for a high degree of flexibility and responsiveness to project needs, as resources and expertise can be mobilized efficiently. This organizational approach contrasts sharply with a more traditional structure, which may emphasize long-term established teams that work on ongoing functions, maintain hierarchical authority, or require less intensive project management processes. The project-based focus promotes agility and innovation, making it well-suited for dynamic environments where specific goals and outcomes dictate the work structure.