The structure of matrix organization is complex and multi-dimensional no doubt, but it is capable of reaching … Report a Violation, Project Organisation: Meaning, Merits and Demerits, Line and Staff Organisation: Meaning, Merits and Demerits, Organisation Chart: Meaning, Methods, Uses and Limitations. Matrix organisation or grid organisation is a hybrid structure combining two complementary structures functional departmentation with pure project structure. More on Matrix Organizations: Summary. SWOT analysis or a SWOT matrix is a framework and tool for analyzing the internal and external situations of an organization, a particular business strategy or directions and decisions, a product or a brand, or a specific project or activity, among others. Development of Skills : It helps the employees to widen their skills. You might also consider which resources and tools employees might need to complete the project. The Boston Consulting Group BCG Matrix is a simple corporate planning tool, to assess a company’s position in terms of its product range.. Managerial roles may not be clearly defined. Therefore, the decision are very good. Matrix organisation, also known as grid, is an answer to the growing size and complexity of the undertaking, which require an organisation structure more flexible and technically oriented than the line and staff and functional structures. Most discussions about matrix organizations usually quickly devolve into a debate between two sides: those who love to hate the matrix, and those who hate to love the matrix. 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. Copyright 10. Matrix organizations can be classified as weak, balanced or strong based on the relative authority of the Functional Manager and Project Manager; Each employee within the human resources department, for example, might report to the human resources department manager. The concept of matrix organization was born in the United States, in the aeronautics sector, in the late 1950s. Matrix Organizational Structure The third option is a matrix structure. Resources can be used efficiently, since experts and equipment can be shared across projects. 6 key advantages of the matrix organization Here are the top six reasons (from the academic research and our own consulting experience) why companies introduce a matrix: To meet the needs of global or regional customers who want a consistent international agreement and point of contact. 1. Merits of matrix organization: - Stimulates interdisciplinary co-operation - Develops employee skills - Freezes top managers for planning. The matrix organizational structure originally arose out of the aerospace industry in the 1960s when firms who wanted to contract with U.S. government employees needed to create specific charts to show the structure of the project management team. Demerits. Oftentimes, when implementing a matrix structure, it may be difficult to gauge employee performance when working on a project. Matrix organisation is the imposition of a project structure over the permanent functional structure of the organisation; and members of the project team being subject to a dual line of command (that of the project manager and the concerned functional specialist whose department they originally belong to) forming a matrix or a grid. Simple matrix organization. This is an ideal example of a matrix structure where authority is flowing vertically as well as horizontally. It avoids wastage of time: Present-day management is a complicated process. The matrix organization structure is a balanced combination of several organizational structures to achieve higher efficiency in their dealings. Because of collective information and analysis, committees are 3. A strong matrix organization provides the project manager with equal or more power than the functional manager. For example, a company could have human resources, marketing, operational and finance departments. b) The advantages of a matrix organization are: (1) it gives managers flexibility in assigning people to projects; (2) it encourages inter organizational cooperation and teamwork; (3) it can result in creative solutions to problems such as those associated with product development, and (4) it provides for more efficient use of organizational resources. 2) One advantage of a matrix is that staff can work on both business as usual activities and project work. Circular organisation … This formal organization of a company refers to the structure of jobs, the flow of authority, defining the relations between employees etc. 2. The Origin of the Matrix Organizational Structure The matrix concept originated in … A balanced matrix structure has many of the same attributes as a weak matrix, but the project manager has more time and power regarding the project. The degree of co-ordination required for the organisation at the various levels also acts as a restricting factor. It provides motivation to the project staff as they can focus directly on the completion of a particular project. But it also involves much complexity and demands much communication so that all organizational managers--particularly the project and the functional--can effectively and efficiently work together. Merits of Matrix Organisation. Demerits of Matrix Organization: 1. Development of Skills: It helps the employees to widen their skills. These useful active listening examples will help address these questions and more. The project managers work across the matrix, or horizontally, bringing together team members from different departments to work on and offer input on a single project. In the foregoing pages, an analysis of the features, merits and demerits of the different types of organisation has been made. Matrix Organisation: Meaning, Merits and Demerits (With Diagram) Matrix organisation or grid organisation is a hybrid structure combining two complementary structures functional departmentation with pure project structure. The matrix structure combines the project management structure with the functional management structure to increase efficiency, adapt to changing markets and respond more quickly to market demand. This type of organization is known as a matrix because when the relationship between an employee and the management team is illustrated on a diagram it is in a matrix square. 2. Related: Using Performance Management in the Workplace. A matrix organization is one where functional leaders are responsible for more than one area. In an outlined matrix structure, both the functional manager and project manager have equal authority over project team members, and each may have roles outlined within the matrix. Merits of Matrix Organization: 1. ... Matrix Project Organisation Weak matrix organization structure. Matrix organisation structure is the preferred structure for companies to adopt, to share knowledge and resources ,again improve communication which is the most critical element in project management. When a project ends, both managers and team members can avoid misconceptions about their job security or searching for new projects as a contractor, as they may simply assume their functional roles. Fewer people, more work. Properties or Merits of Matrix Organization: It helps individually focus on focus, talent, and resources on a single project which provides better planning and control. 2. An employee assigned to more than one project could have more than two managers to answer to. In the matrix structure, employees may report to two or more bosses depending on the situation or project. Project manager works like a project coordinator or project expeditor. The Project Manager can source specialist skills by liaising with the Functional Heads and identifying who is available, their ability and ultimately use them on the project. Helps in achieving the ultimate goal i.e please read the following are a few advantages of organizational... Both functionally and the traditional functional and project work the United States, in the organization. Sharing of resources across functions in a matrix structure, each employee has two superiors-one functional superior other! 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