There is increased accountability as everyone has two or more people guiding them on their work. Example Of Matrix Organizational StructureĪ matrix organizational structure allows an organization to decentralize authority, distributing the decision-making power to multiple stakeholders. Large organizations, especially those with global operations and multiple business units benefit from a matrix structure. They are becoming more common in today’s world of business. Big projects or product development processes often rely on matrix structures. ![]() Typically, a project or product manager and a functional manager supervise an employee.Īn individual engages with multiple functional areas and works on different projects. Therefore, an individual reports to two or more managers or team leaders at the same time. While most businesses implement a hierarchical system, a matrix organization creates a reporting relationship by creating a grid i.e., a matrix. Unlike other organizational structures, the matrix structure is complex. Wondering what a matrix organization looks like? Read on!Įxample Of Matrix Organizational Structure They’re able to manage every division because functions and responsibilities are clearly laid out. In a way, Amazon has become a one-stop-shop for all your basic needs.īut how is it possible that Amazon has managed to rope in such a wide variety of products and services in such little time? It’s a matrix organizational structure in disguise. ![]() If you pay close attention to the website, you’ll notice how well-defined every category is and how convenient it’s for you to shop anything and everything. It was a long day at work and you want to take your mind off of things.
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