Optimization of future manpower requirements in a multi-discipline consultancy

This paper describes the role of matrix management in project-oriented multi-discipline consultants' organizations. The conjicting goals of project managers and functional departmental managers with regard to organization manpower levels are examined. A method, using a microcomputer spreadsheet, is developed to simulate the manpower requirements of multi-discipline organizations subject to a highly variable and uncertain project intake. A simplified model organization has been used to illustrate this procedure. A selection of construction projects, representing the anticipated future workload, with suitable durations and manpower requirements are input in an appropriate random manner into a special spreadsheet template to produce a representation of the variability of manpower requirements for the organization. The best combinations for each functional department, of permanent staff, overtime, and temporary staff at the peak manpower demands are studied. An optimization procedure is presented to minimize manpower costs and avoid over-staffing during trough periods of workload and alternatively under-stafing for peak requirements.