Federal Manufacturing & Technologies/New Mexico (FM&T/NM) of AlliedSignal is an organization of approximately 300 associates providing operations support, engineering, and other technical services for DOE, New Mexico`s National Laboratories, etc. Work performed is primarily project-oriented and ranges from executing a major long-term contract for retrofitting and maintaining a large fleet of escort vehicles to creating a single, small, prototype electronic device for measuring radiation in a unique environment. FM&T/NM is functionally organized and operates in a classic matrix format with functional departments providing personnel with technical expertise, necessary physical resources, and administrative support to several project-based groups. Like most matrix-based organizations that provide support to diverse customers, FM&T/NM has encountered problems that occur when a group of project managers is expected to work together in using and scheduling a shared set of limited resources for the good of the organization as a whole. The framework for managing projects that we present focuses on developing, understanding, and managing the relationships between the functional organization structure, the system of work processes, and the management of projects. FM&T/NM retains its functional structure which primarily assigns personnel to work processes. The evolving role of the process leader focuses primarily on designing, managing, and improving the process, and the interactions among the subprocesses. The project manager is responsible for (1) translating customer requirements into product specifications, (2) determining the sequence of activities needed to meet project goals, (3) scheduling the required work processes, (4) monitoring project progress, (5) providing liaison between the customer and process leaders, and (6) having the desired product and/or service delivered to a satisfied customer in a timely manner.