Developing Collaboration and Operating in a Matrix Management Structure: Ensuring Collective, Cooperative Management

A matrix organization is one where managers report to two bosses, rather than the traditional single boss, and where there is a dual rather than a single chain of command. In some matrix organizations, there are dual command responsibilities assigned to functional departments (e.g. marketing, development, HR, finance) and to product or market departments (e.g. Italy). Other matrix structures are split between area-based departments and either products or functions (e.g. between London and HR). A key question is: why use matrix management? Matrix structures are effective when it is important to be highly responsive to two sectors at the same time; for example, a specific market and group of products. They also work well when there is uncertainty or rapid change in a business or when there are constraints on resources.