Matrix management is associated with a matrix organizational form. A matrix form of organization is an organizational structure with two or more (a) channels of command, (b) lines of budget authority, (c) sources of performance reward, and (d) so forth. Among the advantages of the matrix organization are the following: (a) different strategic priorities may be both managed directly and represented in total enterprise planning; and (b) rapid strategic response to changing conditions is facilitated. Among the disadvantages of the matrix organization are the following: (a) fixing responsibility is often more difficult than in conventionally organized firms; and (b) personnel are, at times, confronted with conflicting loyalties.
This research examined, at a general level, the concept of matrix management. More specifically, this research assessed the following statement: "Critics have described matrix management as being costly, cumbersome, and overburdening to management, whilst proponents praise its efficiency and flexibility" (Larson & Gobeli, 1987, p. 126).
Placing Matrix Management in Perspective
Most organizational structures are product/process- or functional-based (Gortner, Mahler, & Nicholson, 1998). Mixed organizational structures, however, have long been common. The hybrid organizational structure attempts to combine the advantages of both product/process-based and functional-based structures "while avoiding the weaknesses of each" (Gortner, Mahler, & Nicholson, 1998, p. 121). The matrix organizational structure groups staff into functional areas, with temporary assignments to special project groups, or teams. Such special project teams are multi-functional in character. This approach to the team concept "produces a matrix in which the columns represent projects and the rows represent functional departments" (Gortner, Mahler, & Nicholson, 1998, p. 121). The matrix is "a fairly complex form of organization and ...