PRESENTATION ON MATRIX ORGANIZATION By Binaya Silwal Rasna Chitrakar Kritartha Subedi Aashma Thapaliya Yasuf Gurung
Contents Development Definition Functional organization Projectized organization Advantages Disadvantages Ways to overcome disadvantages Types Conclusion
D evelopment Idea generated from us space program . In 1960’s , American president Mr. Kennedy outline his vision to put man on moon. Hence to fulfill this vision NSA has design a new structure . Popularly known as matrix structure . The design get popularity in 1970s and 80s when big companies like IBM , HP , Nestle and CITI Bank used this structure .
Definition A matrix organization is defined as an organization where people have to report to more than one boss. The matrix organization structure is blend of projectized organization and the functional organization and takes the best of the both world. Here the knowledge, skill and talent of an employee is shared between the functional department and project management. In matrix organization, some employee usually work under more than one boss. The first boss will be their functional manager and the other can be a project manager.
Structure
Functional Organization Functional manager controls the structure People are grouped as per their area of specialization Supervised by manager who has expertize on the same field Authority and power flows downwards Tells the character and values of organization
FUNCTIONAL STRUCTURE
Projectized Structure Activities are arranged through portfolio and implement through project Project manager control the project The authority and power flows side ways Responsible for completing the project within a specific deadline and budget Individual are chosen as per need of project
PROJECTIZED STRUCTURE
Advantages Sharing of resources Open communication Dynamic Learn and widen skills Growth as professionals Cope with change
D isadvantages Conflict between PM and FM Confusion on employees Expensive Double effort
Ways to overcome disadvantages Their must be balance between the project and functional manager. This helps to avoid confusion and conflict. There must be well defined and strong communication in all direction. Their must be balance between distribution of power and authority. Any conflict between project and functional manager should be resolved as early as possible Roles and responsibilities should be clearly addressed.
Strong matrix structure Power and authority lies with project manager Project manager have a full time role Project manager have administrative staff under him Project manager control the project budget Have a lot of characteristics of projectized organization Functional manager have limited role
STRONG MATRIX STRUCTURE
Balanced matrix structure Power and authority are shared between both the manager Project manager have a full time role Project manager have a administrative staff under him Both manager controls the project
BALANCED MATRIX STRUCTURE
Weak matrix structure Project manager have a limited power and authority Project manager have a part time role No administrative staff will report to him Project manager have the role of coordinator Functional manager controls the project
WEAK MATRIX STRUCTURE
Conclusion Combination of two structure Uses best of both structure High efficiency and readiness to change Quick market adoption Respond faster to market and costumers Decrease lead time to produce a product Goal Achievement