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Managing in a Matrix Structure
Contents
What is a Matrix Structure?
The Challenges posed by a Matrix
Structure
Fundamental success factors
Roles and Responsibilities
Coordination and Collaboration
The Required Skills Sets
The Benefits of Matrix Management
Conclusion
What is a Matrix Structure?
A matrix structure is characterised by an organogram that promotes horizontal and vertical
interaction of responsibilities and authority.
Larger organizations are forced into matrix structures as a result of the need to divide the organization into manageable units, thus the
coming into being of organizational divisions.
Typically organizational are divided into:Functional Divisions, andOperational Divisions
A grid-like organizational structure that allows an organization to address multiple business
dimensions using various command structures.A.T. KearneyA.T. Kearney
What is a Matrix Structure?
Typical – two dimensional diagram:
HRMarketing& Sales
Finance Comm’sOther Specialist
Functions
Functional DivisionsO
pera
tions
Div
isio
ns
Geo
grap
icR
eprs
enta
tion
Cus
tom
erG
roup
Pro
duct
Gro
up
What is a Matrix Structure?
SANParks – two dimensional diagram:
ConservationServices
Tourism,Marketing& Sales
Finance HR
Functional Divisions
Ope
ratio
ns D
ivis
ions
K N
PP
arks
People andConservation
CorporateSupportServices
LegalServices
CorpComm’s
What is a Matrix Structure?
SANParks – three dimensional diagram:
ConservationServices
Tourism,Marketing& Sales
Finance HR
Functional Divisions
Ope
ratio
ns D
ivis
ions
K N
PP
arks
People andConservation
CorporateSupportServices
LegalServices
CorpComm’s
Projects and Strategy
Challenges of Matrix Structures
Role conflict arising from accountabilities and responsibilities – Divisional Strategy as well as Local Operational Requirements
o What are each division’s deliverables?
o Who is accountable for delivery?
o Who is responsible to deliver?
Dual or multiple (projects and strategic delivery) reporting lines
o To whom is the employee accountable?
o Employee time allocation to project vis a vis normal/routine business deliverables
Competition for same resources
Employee performance appraisal
Grade vis a vis Role
Culture and attitude
CFO Finance
GM: FinanceManager:
AdministrationManager:
Supply Chain
Example – Finance
Senior ManagerFinancial Admin
Senior ManagerFinance
Senior ManagerFinancial Control
Accounts Clerk
Payroll Admin
Credit Controller
Accounts Recon
DirectorKNP
Snr ManagerFinance
KNP
Manager Procurement
Manager Admin
Manager Financial Control
Snr ManagerFinanceParks
FinanceManager
TMNP
Park ManagerTMNP
DirectorParks
Fundamental Success Factors
Clear roles and responsibilities
Excellence in Coordination and Collaboration
Culture and attitude shift Roles and tasks are more important than formal grades and
hierarchy Willingness to adopt new roles and behaviours Flexibility:
Time management Multi-tasking Multiple reporting relationships “Ownership” of employees Shared responsibility for employee assignments Mixing projects and routine business activities
Appropriate deployment of employees
Roles and Responsibilities
Functional Divisions’ Responsibilities
Operations Divisions’ Responsibilities
Formulation and development of Strategy
Formulation and development of Policies
Development and enhancement of Processes and Procedures
Specialist and technical advice and direction
Quality assurance for the functional roles
Joint accountability for outcomes and results
Implementation of strategy and business plans
Employment of staff
Deployment and assignment of employees
Management of employee activities and time schedules
Management of budgets – revenue and expenditure
Employee Performance Evaluation and Rewards
Accountability for performance outcomes and results
Roles and Responsibilities
Project Managers’ Responsibilities
Functional & Operations Divisions’
Responsibilities Responsible for coordination of
specific projects Projects can be both
developmental / formulation and implementation oriented
Responsibility must be followed by equivalent authority
Responsible and accountable for the delivery of the project outputs and outcomes
Responsible and accountable for the performance of employees assigned to the project
Authority over personnel assigned to the project
Defines work activities Develop work schedules Assign responsibilities to project
members Authority over budget allocated to
the project Prepare and manage budgets
Project ownership
Accountable for specialist and technical competence in the project
Accountable for delivery of quality assurance through staff members serving in the project
Coordination and Collaboration
Ensuring coordination and identification of roles through The Power of RASIC:
Responsible – who is responsible to do it?
Approve – who must approve?
Support – whose support must be sought?
Inform – who needs to be informed?
Consult – who must be consulted?
The Required Skills Sets
Matrix Management requires a move from “Command and Control” to “Interpersonal Skills” and involvement style of management.
The skills required are:
Team-building
Conflict Management and Confrontational Skills
Negotiations Skills
Communication Skills
Time Management Skills
Benefits of Matrix Management
The potential benefits of a well managed Matrix Structure are:
Breaking down silo’s – creating organizational focus
Flattening the hierarchy of organizational levels
Exposure and breadth of experience through interaction with varied organizational disciplines
Improved capability for the management of change
Higher and better use of employees’ time and talent
Opportunity to identify hidden talent
Opportunity to breed self-management and leadership
Conclusion
It is not about ME and MY division – it is about US and
OUR organization!
Thank YouThank YouSydney SoundySydney Soundy
Chief Operating Officer - SANParksChief Operating Officer - SANParks
Tel 012-426 5136Tel 012-426 5136
Fax 012-426 5536Fax 012-426 5536
Cell 0828887690Cell 0828887690
CFO Finance
GM: FinanceManager:
AdministrationManager:
Supply Chain
Example – Finance
Senior ManagerFinancial Admin
Senior ManagerFinance
Senior ManagerFinancial Control
Accounts Clerk
Payroll Admin
Credit Controller
Accounts Recon
DirectorKNP
Snr ManagerFinance
KNP
Manager Procurement
Manager Admin
Manager Financial Control
Snr ManagerFinanceParks
FinanceManager
TMNP
Park ManagerTMNP
DirectorParks
