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Organizations With Hierarchical Structures Are Easily Graphed and Defined
Organizations With Hierarchical Structures Are Easily Graphed and Defined
A well-known feature of this hierarchical model is that everyone in the organization reports to a single
boss. The matrix structure is different in striking ways:
There are two kinds of managers: functional managers and project managers
The balance of power between functional and project managers isn't organizationally defined
Instead of disassembling the functional structure to create this temporary project structure, the
matrix structure retains the functional structure and superimposes on it a temporary project
structure. Team members continue to report to functional managers, but also report to project
managers. Effectively, every team member now has two bosses.
Because the two organizations have different timelines – one relatively permanent, the other
designed to expire with the completion of the project – the kinds of managerial discontent that
can arise when a sub-unit in an organization "steals" employees to work on a project is muted. In
ideal matrix structures, the two structures share resources equally without territorial struggles,
because as each functional manager knows, the project structure will eventually dissolve. Other
advantages of matrix structures noted in one of the seminal academic studies of these structures
are:
Background:
Thematrixorganizationaldesignoriginatedandgainedacceptanceprimarilyintheaerospaceindu
stry.Thetraditionalfunctionalorgani-
zationalstructure(Fig1)appearedinappropriateforthedynamicatmosphereofhighlycomplexan
drapidlychangingprojects(Kingdon,1973).Thefunctionalstructureconcentratedonspecializati
onwithinafunctionbutwasnotideallysuitedtomultipleprojects,technology,anddissimilarcusto
mers(Rowen,Howell,andGulliotti,1980).
Benefits:
Inordertothoroughlyexaminethematrixconcept,onemustappreciatethepositivefeaturesinadditiontothedr
awbacksofthisorganizationalapproach.Thematrixdesignattemptstocombinetheadvantagesofboththefunc
tionalandprojectdesigns.Itisdesignedtohandlesituations
thatrequirethecontinueduseofhighlyspecializedskills(advantageofthefunctionalstructure)whilealsorequir
ingextensivecoordinationandintegrationofmanydiverseactivities(advantageoftheprojectstructure)(Alhan
ese,197H).Figure3isanexampleofatypicalmatrixorganization.Inamatrix,eachprojectisadistinctentityunder
theresponsibilityofaprogrammanager.Theprogrammanagerhaslimitedpositionauthorityanddoesnothave
absolutecontroloverpersonnelandresources.Allprojectsaresupportedbysegmentsofthefunctionaldisciplin
es,suchasengineeringormanufacturing.Theprogrammanagercoordinateswiththefunctionalmanagers,who
controlthefunctionalexperts,toarrangethenecessaryworkeffort.Whentheprojectiscom-
pletedorwhenthespecificfunctionaljobisfinished,thesefunctionalpeoplearereassignedtoeithertheirfuncti
onalunit(homeoffice)ortoanotherproject.Withrelativelysmallprojects,whichdonotrequirefull-
timeexperts,functionalpersonnelmaybeassignedtomorethanoneprojectatatime.Thisarrangementisoftenr
eferredtoasa"basket"operation.Regardlessofthearrangement,thematrixdesignofferssomeimportantadva
ntagesoverotherorganizationalstructures.
MATRIXDISADVANTAGES:
Therehavebeenmanyweaknessesidentifiedasinherenttothematrixorganizationalstructure.Th
estructureitselfsometimessimplycreatestheclimateforpotentialproblems.Theseverityofthesp
ecificproblemsisdependentonthematrixapplicationandthepeopleinvolved.Theproblemsthat
willbeaddressedinthischapterarepowerstruggles,two-
bossdilemma,interpersonalskillsdependency,professionals,costofcommunication,groupitis,u
ncontrolledlayering,navelgazing,anddecisionstrangulation