Step 1: Understanding project management.
Project management is the systematic process of planning, executing, and controlling a project to achieve defined goals within time and budget.
It emphasizes flexibility, coordination, and decentralisation for effective decision-making.
Step 2: Nature of project management.
Project management operates under a decentralised structure to allow quick problem-solving and efficient execution.
Centralised policy formulation, on the other hand, involves top-level authority and rigid decision-making, which is not suitable for dynamic project environments.
Step 3: Analysis of options.
- (1) Functional approach: Correctly part of project structure.
- (2) Centralised policy formulation: Correct answer — does not align with project management principles.
- (3) Decentralised implementation: Integral for flexibility and quick action.
- (4) Decentralised policy formulation: Supports project autonomy.
Step 4: Conclusion.
Hence, Project management is not concerned with centralised policy formulation.