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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.

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Presentation on theme: "Managing in a Matrix Structure. Contents  What is a Matrix Structure?  The Challenges posed by a Matrix Structure  Fundamental success factors  Roles."— Presentation transcript:

1 Managing in a Matrix Structure

2 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

3 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, and  Operational Divisions A grid-like organizational structure that allows an organization to address multiple business dimensions using various command structures. A.T. Kearney

4 What is a Matrix Structure? Typical – two dimensional diagram: HR Marketing & Sales FinanceComm’s Other Specialist Functions Functional Divisions Operations Divisions Geograpic Reprsentation Customer Group Product Group

5 What is a Matrix Structure? SANParks – two dimensional diagram: Conservation Services Tourism, Marketing & Sales Finance HR Functional Divisions Operations Divisions K N P Parks People and Conservation Corporate Support Services Legal Services Corp Comm’s

6 What is a Matrix Structure? SANParks – three dimensional diagram: Conservation Services Tourism, Marketing & Sales Finance HR Functional Divisions Operations Divisions K N P Parks People and Conservation Corporate Support Services Legal Services Corp Comm’s Projects and Strategy

7 Challenges of Matrix Structures  Role conflict arising from accountabilities and responsibilities – Divisional Strategy as well as Local Operational Requirements oWhat are each division’s deliverables? oWho is accountable for delivery? oWho is responsible to deliver?  Dual or multiple (projects and strategic delivery) reporting lines oTo whom is the employee accountable? oEmployee 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

8 CFO Finance GM: Finance Manager: Administration Manager: Supply Chain Example – Finance Senior Manager Financial Admin Senior Manager Finance Senior Manager Financial Control Accounts Clerk Payroll Admin Credit Controller Accounts Recon Director KNP Snr Manager Finance KNP Manager Procurement Manager Admin Manager Financial Control Snr Manager Finance Parks Finance Manager TMNP Park Manager TMNP Director Parks

9 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

10 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

11 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

12 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?

13 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

14 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

15 Conclusion It is not about ME and MY division – it is about US and OUR organization!

16 Thank You Sydney Soundy Chief Operating Officer - SANParks Tel Fax Cell

17 CFO Finance GM: Finance Manager: Administration Manager: Supply Chain Example – Finance Senior Manager Financial Admin Senior Manager Finance Senior Manager Financial Control Accounts Clerk Payroll Admin Credit Controller Accounts Recon Director KNP Snr Manager Finance KNP Manager Procurement Manager Admin Manager Financial Control Snr Manager Finance Parks Finance Manager TMNP Park Manager TMNP Director Parks


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