a basic problem of the matrix structure is
In this article we look at one relatively new organization form—the matrix—which has gained considerable popularity in recent […], A version of this article appeared in the. As the product manager lost control, a power vacuum developed, into which the functional managers fell, each grabbing for total control. The potential economies come from two general sources: fewer bad decisions and less featherbedding. The question of size is a great concern for many managers who ask, in effect, “That sounds great for a $250-million company with a few thousand employees, but can it work for a $2-billion or $3-billion company with 50,000 employees? The major reason for adopting the matrix structure is that the resources can be straightforwardly shared and thus, it becomes easier to solve relative problems effectively. This impossible clearing procedure represented, in our view, a failure of delegation, not of the matrix. Middleton, “How to Set Up a Project Organization,” HBR March–April 1967, p. 73. The matrix is “done in.”. XIV, No. While it is an effective method, there are some specific disadvantages to the matrix structure. Matrix design is complex enough without the addition of power struggles. In each case, adequate conceptualization by top managers would probably have simplified the organization design and forestalled the layering, which occurred because of power maneuvers. The Matrix Organization Structure can deliver this, provided people have the skills to make the matrix work. The matrix structure has continued to be adopted by organizations that need to take on large-scale and complex projects that may not be efficiently completed within a single department in the organization. Array is a linear data structure that hold finite sequential collection of homogeneous data. Array uses an integer value index to access a specific element. We have in mind three situations—constant clearing, escalation of conflict, and unilateral style—each calling for slightly different preventive action and treatment. There are several other key advantages as well: Perhaps the biggest advantage of a matrix structure is that is brings together highly skilled team members from different departments, allowing the organization to capitalize on the resources it already has rather than seeking expertise and recruiting project team members from outside of the organization. The list of well-known companies that are using some form of a matrix is becoming long and impressive. The body of other consultants are grouped with their fellow specialists but are available for assignment to projects under the leadership of account or client managers. Prevention—If the corporate top management thinks through which dimensions of the company it must balance, and at what level of aggregation, it can keep the matrix from sinking. Prevention and treatment—The best remedies for uncontrolled layering are careful task analysis and reduced power struggles. The matrix organizational structure is a combination of two or more different kinds of organizational structures, such as project management or functional management. Involves bringing together specialists from different parts of the organisation to solve specific problems or to undertake specific projects in teams e.g Features : works are grouped in teams. Indeed is not a career or legal advisor and does not guarantee job interviews or offers. A real estate and construction company provides an example of how a company can anticipate and flexibly respond to an economic crunch that demonstrates the strength rather than the weakness of the matrix. Essentially, the organization used a functional structure. To make decisions in other ways was considered illegitimate and not in the spirit of matrix operations. Identifying leadership with decisive action, they become very frustrated when they have to engage in carefully reasoned debates about the wisdom of what they want to do. If internationalization is still rather piecemeal, MNCs often opt for an international division structure in which all foreign business activities are taken together and managed separate from the domestic business. An example would be a company that produces two products, "product a" and "product b". The matrix organizational structure provides an outline for a project that may demand a more global approach. The matrix structure is one of three basic structural models MNCs have at hand to cope with the problems that arise from the geographic dispersion of their business activities. 1. Regardless, this problem, and its prevention and treatment, needs to be addressed directly without making a scapegoat of the matrix. Are customers complaining a lot, or at least more than usual? This is the critical step. The matrix structure can allow a company to maintain its departmental structure while projects are in progress. When team roles are outlined using a matrix structure, employees may often be required to communicate on a consistent basis with both managers, detailing their overall progress and to clarify any misconceptions of what work they are responsible for. The result was that a mild recession triggered conditions approaching anarchy. As well as noting these personal reactions, senior managers reported a general disappointment with the speed and flexibility of organizational responses. Such people must work on their personal decision-making style or look for employment in a nonmatrix organization. Strengths. The basic building blocks of a matrix organizational structure. Do you know the three types of learning styles? Specialization – this is the division of work within the organization, according to the tasks or functions that the members or personnel specialize in. Projects will always continue to come to an end, but project team members and managers may keep their functional roles throughout the project. In a traditional hierarchical structure, everyone in the organization reports upwards, ultimately, to a single boss. The top manager has many vehicles for doing this: the amount of time he spends with one side of the matrix or the other, pay differentials, velocity of promotion, direct orders issued to one dimension and not to the other, and so forth. The matrix’s most basic advantage over the familiar functional or product structure is that it facilitates a rapid management response to changing market and technical requirements. Either senior management has not understood or been able to implement the matrix concept as well as lower level managers, or the matrix has found its appropriate place. When sinking occurs because of top management misunderstanding, it is likely to occur in conjunction with other pathologies, particularly power struggles. Top managers need to accompany their strategic choice to move toward a matrix with a serious educational effort to clarify to all participants what a matrix is and what it is not. Diagnosis—Many managers who have had no firsthand familiarity with matrix organizations tend to have half-expressed fears that a matrix leads to anarchy. Corporate structures such as the matrix should not have to change because of standard changes in the business cycle. Even if top management should try again, it is likely to get a negative response from lower level managers. The key to prevention is education. 15. For instance, you might consider weekly chats through an office communication app to get a quick overview of the project’s progress from all departments involved. If the answer is no, then some business units should operate as product divisions with the traditional pyramid of command, while others share functional services in a partial matrix. The matrix organization structure can also sometimes lead to work overload on team members, since their project workload is often in addition to their regular functional duties. By using this format, however, we do not mean to suggest that simple first-aid treatment of pathologies will cure them. By allowing different departments to work together, the matrix structure fosters a more open work environment, ultimately making the organization more dynamic. In this case, the company decided to employ the matrix design from the outset in setting up its new operating division at a new plant site. 2. Consider having managers outline clear expectations of what each of their team members will be responsible for. As often as not, when a matrix sinks, it may simply be experiencing a healthy adjustment, and ought to be thought of as settling rather than as sinking. But, when implemented well, it does offer much of the best of both worlds. Often, conflict cannot be resolved; it can, however, be managed, which it must be if the matrix is to work. They list and discuss the following problems: power struggles, anarchy, groupitis, collapse during economic crunch, excessive overhead, decision strangulation, sinking, layering, and navel gazing. By that time the matrix occupies a central place in company conversations and is a familiar part of these organizations. For example, an employee may have a primary manager they report to as well as one or more project managers they work under. Matrix Methods of Structural Analysis presents how concepts and notations of matrix algebra can be applied to arriving at general systematic approach to structure analysis. Working outside of a traditional or hierarchal structure can benefit employees by helping them develop new skill sets and gain valuable experience from working with different departments. But, say, one or two of the managers find the idea to be useful within their divisions. The matrix has some difficulty in staying alive at high levels of a corporation, and a corresponding tendency to sink to group and division levels where it thrives. Diagnosis—Matrix organizations that blossom during periods of rapid growth and prosperity sometimes are cast away during periods of economic decline. First and most important, the matrix can improve quality of business decisions because it helps bring the needed information and emphasis to bear on critical decisions in a timely fashion. 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