Editing Software company (section)

== Structure ==

The manager of a software company is usually called the Head Of Development (HOD),<ref>[https://books.google.com/books?id=XvFxROsje8gC&dq=%22Head+of+Development%22&pg=PA12 Greenlit: Developing Factual/Reality TV Ideas from Concept to Pitch p.12]</ref> and reports to the [[stakeholder (corporate)|stakeholder]]s. He or she leads the sub-teams directly or via the managers/leaders depending on the size of the [[organization]]. Usually teams of up to 10 person are the most operational. In bigger organizations, there are in general two models of the hierarchy:

[[File:SoftwareHouse-ClassicStructure.jpg|none|thumb|550px|Typical structure of a software company]]

All the teams are fully independent and they work separately on the different projects. The structure is quite simple and all the employees reports to one person, what make the situation quite clear however it is not a good solution in terms of knowledge exchange and optimal usage of human resources.

[[File:SoftwareHouse-MatrixStructure.jpg|thumb|550px|Matrix structure]]

In this model there are dedicated managers/leaders for each main specialization, "renting" their people for particular projects led by product/project managers, who formally or informally buy the people and pay for their time. This leads to each private employee having two bosses – the product/project manager and the specialized "resource" manager. On one hand it optimizes the usage of human resources, on the other hand it may give rise to conflicts about which one manager has priority in the structure.

There are also a number of variants of these structures, and a number of [[organization]]s have this structure spread and split within various departments and units.