Organization structures do not fail, says Jay Galbraith, but management fails at implementing them correctly. This is why, he explains, the idea that the matrix does not work still exists today, even among people who should know better. But the matrix has become a necessary form of organization in today's business environment. Companies now know that if they have multiple product lines, do business in multiple countries, and serve many customer segments through a variety of channels, there is no way they can avoid some kind of a matrix structure and the question most are asking is "How do we learn how to operate the matrix effectively?" In Designing Matrix Organizations That Actually Work, Galbraith answers this and other questions as he shows how to make a matrix work effectively.

Table of Contents:
Preface viii Introduction: Matrix Organizations: What Are They? Where Did They Come From? 1 What Is a Matrix? 3 What Are the Origins of the Matrix? 7 What Happened? 10 The Star Model 12 Implications of the Star Model 17 Part One: Simple Matrix Organizations 21 1. Simple Matrix Structures 25 Two-Dimensional Structures 25 Pharmaceutical R&D Lab Example 35 Summary 40 2. The Two-Hat Model 41 What Is the Two-Hat Model? 41 Examples of Two-Hat Structures 44 Summary 50 3. The Baton Pass Model 51 The Consumer Goods Model 51 The Pharmaceutical Model 54 Summary 63 4. The Matrix Within a Matrix 65 Design Challenges of the Matrix Within a Matrix 65 Matrix Within a Matrix at the Corporate Level 69 Mars Pet Food Example 70 Summary 73 5. Balancing Power and Defining Roles 75 Designing Power Bases 75 Roles and Responsibilities 82 Summary 85 Part Two: Complex Matrix Structures 87 6. The Three-Dimensional Matrix 91 International Strategy 91 The Geography-Dominant Matrix 98 The Balanced Matrix 102 The Business-Dominant Matrix 106 Differentiated Structures 107 Other Three-Dimensional Models 109 Summary 112 7. More Complex Matrix Structures 115 Global Account Teams 115 The Front-Back Hybrid Model 116 Summary 126 8. The IBM Structure 129 The IBM Front-Back Hybrid 129 More Complexity? 136 Summary 137 Part Three: Completing the Star Model 139 9. Communication in the Matrix 143 Informal Communication 144 Formal Communication 145 Summary 150 10. Planning and Coordination Processes 153 Goal Alignment, Dispute Resolution, and Coordination Mechanisms 153 Summary 160 11. Planning Processes in the Complex Matrix 161 What About Complex Matrix Designs? 161 Get the System in a Room 172 Online Processes 175 Summary 178 12. Human Resources Policies 179 Human Capital 180 Social Capital 196 Summary 199 13. Leadership in a Matrix Organization 201 Seeing That Conflicts Are Resolved 202 Managing the Top Team 208 Balancing Power 210 Summary 213 14. Implementing a Matrix 215 Using the Star Model 215 Building Capabilities 218 Summary 229 15. A Synopsis of Matrix Capabilities 231 Epilogue: Personal Stories: The Uses and Abuses of the Matrix 235 Early Phase: “What Is a Matrix, Anyway?” 235 Matrix Takes Off and Becomes Trendy 239 The Phase of Decline 243 The Stealth Matrix Phase 245 Today: Matrix Out of the Closet 247 References 249 About the Author 251 Index 253