Why matrix? The top six reasons to adopt a matrix and the three that can cause a retreat.
Many organizations have been on a journey towards increased internal and external business complexity, and this has often led to some form of matrix organization structure.
If you read many articles or blog posts about matrix management, you’d be forgiven for assuming that it was a particular form of organization that fell out of favour in the 70’s and 80’s, or that is all about project management.
The reality is very different: matrix organization is now the norm for most large complex organizations. They have to manage cross functional teams, coordinate group wide and international activities, run integrated central functions like HR (human resources) and IT (information technology), and operate with supply chains and customer that span the world.
As matrix management is more complex, there must be some compelling reasons to use it.
This is the first of a series of blog posts examining top six reasons for introducing a matrix:
- Improved access to shared resources, skills and technologies across the organization
- Improved cooperation and communication across the old functional and geographic silos.
- Flexibility through faster decisions
- Improved global or regional projects and systems
- Broader and more multi-skilled people development
- To meet the needs of global or regional customers