Organization Structure of Matrix system

organization structure of matrix system From the MBA think-tank Encyclopedia (http://wiki.mbalib.com/)

Directory [Hide] 1 What is the matrix system organization structure. 2 The characteristics of the matrix System 3 matrix structure of the advantages of 4 matrix structure of the disadvantage of 5 matrix structure of the application of 6 case study of 6.1 cases one: IBM matrix organizational structure [1] 7 related entries 8 references

Edit What is the matrix system organization structure.

Matrix Organization (organization) is "in the functional organization of a body, for a particular task, the establishment of an ad hoc group is responsible for, this ad hoc group with the original organization, in the form of a cross, that is, matrix-type organization." ”

In the organizational structure, it is the division of functions and the Division of the Product (project) together to form a matrix, one management staff with the original functional departments to maintain organizational and business contacts, and participate in the project team work. The functional department is a fixed organization, the project team is a temporary organization, the completion of the task will be automatically dissolved, its members back to the original department work. As shown in the figure.

[Edit] the characteristics of matrix system organization

Matrix organization is an organization form which is formed to improve the disadvantage of horizontal linkage difference and lack of elasticity in line function system. It is characterized by the establishment of a cross-functional specialized agency around a specific task, for example, to form a special product (project) team to engage in new product development, in the research, design, testing, manufacturing at various stages, by the relevant departments to send people to participate, and strive to make a combination to coordinate the activities of the relevant departments, Ensure the completion of the task. This kind of organization structure form is fixed, the personnel is change, need who, who comes, the task completes after can leave. The project team and the person in charge are also temporarily organized and appointed. After the task is completed, the person concerned returns to the original unit to work. Therefore, this kind of organization structure is very suitable for the horizontal collaboration and the research project. [Edit] Advantages of matrix structure

The advantages of matrix structure are:

(1) The combination of horizontal and vertical relationship between enterprises is beneficial to collaborative production.

(2) For the specific task of personnel allocation is conducive to the use of individual advantages, set the length of the family, improve the quality of project completion, improve labor productivity.

(3) The irregular combination of various departments is conducive to information exchange, increase mutual learning opportunities, improve professional management level. [Edit] Disadvantages of matrix structure

the disadvantage of the matrix structure is: the responsibility of the project leader is greater than the power, because the people who participate in the project are from different departments, the affiliation is still in the original unit, only to "battle", so the project responsible for their management difficulties, there is not enough incentive and punishment means, The dual management of this type of personnel is a congenital defect of the matrix structure, because the project composition personnel from various functional departments, when the task is completed, still need to return to the original unit, so it is easy to produce temporary ideas, the work has a certain impact. Because the project generally involves more professional, and the project leader of the project's success and failure has a pivotal role, so requires the project leader has a high degree of coordination and rich experience, but excellent project leader is more difficult to find. [Edit] The scope of application of matrix structure

The matrix structure is suitable for some major projects. Enterprises can be used to complete a broad, temporary, complex major projects or management reform tasks. Particularly suitable for the development and experimental units, such as scientific research, especially applied research units. [Edit] A case study of organizational structure [edit] case ONE: IBM matrix organizational structure [1]

1987, Ye Chenghui of Electronics Engineering from the University of California, Berkeley, joined IBM San Francisco in the United States as a programmer. Because do not like programming and other technical work, dream of doing Business (dobusiness), when the manager (more like to communicate with people), he volunteered to the sales department to do, after nearly 5 years of efforts to get promoted, become a front-line manager. Mr. Ye then returned to IBM Hong Kong to be the product manager. Because the individual "strong morale", the performance is good, and "Gunton Henton", almost every two years he can jump a step, now, Ye Chenghui is IBM Greater China Area Server System Division AS/400 product general Manager.

From San Francisco to Hong Kong to Guangzhou to Beijing; From the general staff to the first line manager, and then to the current line manager, from the general product marketing, to gradually focus on the server products, and then to the AS/400 product manager, over the past more than 10 years, Ye Chenghui has been in IBM's "mega-multi-dimensional Matrix" in the continuous movement and upgrade. In his view, IBM's matrix organization is a very special environment, "in this matrix environment, I learned a lot of things." "IBM is a huge company that naturally divides its departments. Division by region, business function, customer community, product or product line is a common phenomenon in the enterprise, and IBM is no exception in the past. "In the last seven or eight years, IBM has really done matrix organization." "This means that IBM has organically combined the various divisions, and its organizational structure forms a" living "stereo network-multidimensional matrix. IBM is divided into regional areas, such as the Asia-Pacific region, China, southern region, and according to the product system division, such as PC, Server, software and other business departments, not only in accordance with the banking, telecommunications, small and medium-sized Enterprises and other industries division, there are sales, channels, support and other functions of All these criss-cross divisions are organically integrated into one. For one of the employees in this matrix, such as Ye Chenghui Manager, he is a member of IBM Greater China and a member of IBM's as/400 product system and, of course, can be divided into other departments according to other standards.

What is the benefit of IBM's matrix organization structure? Mr. Ye Chenghui that the obvious point is that matrix organizations can make up for the lack of a single division of enterprises, the benefits of a variety of corporate division to fully play out. Obviously, if the enterprise does not carry out geographical subdivision, for example, only greater China and no South China, east China, Hong Kong, Taiwan, can not be targeted at the characteristics of the regional market to work in-depth. And if only geographical division, for a certain product such as as/400, there will not be a person who can understand the characteristics of the product in different places, because each region will only value the entire business of the region. For example, according to industry division, will be dedicated to the study of various industries customers of IBM products demand, so more effective grasp of the key markets of various products.

"Without such a matrix structure, it would be very difficult for us to promote products in a particular market," he said. "Ye Chenghui said. For example, in the Chinese market to promote as/400 this product, due to the existence of matrix organization structure, we have the South China, east China and other regions of the team, there are financial, telecommunications, small and medium-sized enterprises and other industry teams, marketing, technical support and other functional departments of the team, as well as specialized as/400 product team, We can easily open the situation by coordinating and cooperating with each other. "

First of all, as as/400 product Manager, I will be more aware of the product in the local strategy. In China, As/400 's customers are mainly in banking, the insurance industry, unlike the United States, is mainly in the retail and circulation industries; in the Asia-Pacific region, as/400 products still need to go to the lower end, not just high-end; the as/400 price, configuration and quantity needed per month in the Chinese market, only product managers, can be more clear. From the product line, I need to order with the U.S. factory to ensure supply. From the point of view of product sales, as/400 product departments need to assist the functional departments of the relevant areas, do a good job of promotional activities, and then need all regions, the industry sales force to sell products. For example, I need to do some media interviews, the local responsible for the media PR department to assist. Another example, I think ' Lotus Treasure Box ' (for the Chinese market tailored as/400) in addition to the main bank, but also vigorously to the SME market, then need to be responsible for SME industry in China and the general manager to reach a consensus. Of course, ' Lotus treasure box ' to the low-end to go, but also need to be involved in distribution channels, at this time, the need to be responsible for channel management of the functional departments to coordinate. In a sense, we are also "customer" relationship, I will create better conditions for all sectors, the industry to promote as/400. "Ye Chenghui said.

everything has its "two sides". Matrix organization in the enhancement of enterprise product or project promotion ability, market penetration ability, also exists its inherent drawbacks. Obviously, in the matrix organization, everyone has more than one boss, up and down need more communication and coordination, so, "IBM managers meeting time, communication time, is certainly longer than many small enterprises, may also cause the decision-making process to slow down." "In fact, this is not a problem, because most of the cases are good, and the managers of IBM know what a good decision should be," said Mr Hui. "In addition, every employee has a different boss to assess his performance, no one is the final decision, the results will be more comprehensive," everyone will be more focused on the work, rather than trying to impress the boss. "At the same time using different standards to divide the enterprise sector, will form a matrix organization." Clearly, within such an organizational structure, the way to assess employee performance can not be simple. In the view of a particular customer, IBM only "unique customer export", all kinds of products are sold by a salesperson, the product department, industry departments to spend a great deal of effort to promote products, customers, but for each transaction, often by the IBM employees in their region to finalize; The question is how to calculate the final performance. What is the contribution of the product department, and how much is the region and the industry department respectively? Ye Chenghui said: "In fact, IBM after years of exploration, has already solved this problem." Now, we have three levels of sales-products, industries and regions, at the same time, we also take three-tier assessment, such as through the joint efforts of the South region to sell a bank 10 sets of as/400, then the sales to the southern region, as/400 product sector and the financial sector are credited. "Of course, at any level, the sum is the same." For example, from the Zhou Weixian position of the Greater China region, the total sales of all the major industries in Greater China, or the total sales of all products in Greater China (services), three numbers are the same, can explain his performance.

in the eyes of the outside world, IBM's huge chariot is progressing steadily and changing very slowly. Ye Chenghui thinks, this is actually a kind of misunderstanding. For the grassroots staff, for the more senior managers, these two changes relatively small, relatively stable. For example, an ordinary employee into IBM, do as/400 sales, almost four or five years time will not change, then, may have the opportunity to become a line manager. For example, the general manager of the Asia-Pacific region may not change for many years, because it is not easy to be familiar with such a large area of business and establish a good customer relationship. So the outside world feels that IBM is slow to change. "However, the changes within the IBM matrix are very rapid." The middle-tier managers will change their jobs in about two years, or change their bosses, and change subordinates, thus prompting the entire organization to innovate and keep moving forward. "I've changed over 10 bosses in more than 10 years at IBM," Ye Chenghui said. Every boss has different strengths and I've learned a lot from them. In fact, every IBM employee will have such luck. The Matrix organization structure is organic, which can guarantee the steady development and guarantee the change and innovation within the organization. So, the IBM company often circulated a word: no matter who is changed.