Learning and resource allocation for project organizations in growing and changing markets

In this paper processes for learning and resource allocation in project organizations are presented. These processes are the result of a master thesis project carried out in early 2000 with the sales organization of a telecommunication OEM. The tremendous growth, the change in market structure as well as a very tight labor market situation were the incentives for trying to develop processes that would cope with this situation A brief introduction in the standard problem approach of our research group is given. The changes in the market structure are discussed. This discussion is enhanced with some facts that were emerging at the time the project was carried out, but became really visible at the collapse of the telecommunication branch late 2000, early 2001. The existing project process and the proposed improvements are presented. By now the telecommunication branch is in serious trouble, resulting in severe investment cuts and layoffs. It is shown how the proposed process improvements can provide the knowledge asset management infrastructure, necessary for downscaling operations without destroying the knowledge infrastructure necessary to revive the business.