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A matrix organization. Matrix management is an organizational structure in which some individuals report to more than one supervisor or leader—relationships described as solid line or dotted line reporting, also understood in context of vertical, horizontal & diagonal communication in organisation for keeping the best output of product or services.
Organizational architecture, also known as organizational design, is a field concerned with the creation of roles, processes, and formal reporting relationships in an organization. It refers to architecture metaphorically, as a structure which fleshes out the organizations.
In business and project management, a responsibility assignment matrix [1] (RAM), also known as RACI matrix [2] (/ ˈ r eɪ s i /; responsible, accountable, consulted, and informed) [3] [4] or linear responsibility chart [5] (LRC), is a model that describes the participation by various roles in completing tasks or deliverables [4] for a project or business process.
The multidimensional organization is a new organization form, compared to the U-form, the M-form and the H-form. It transcends the restrictions with the M-form or multi-unit organization, as well as the problems with the matrix-organization. Examples of firms with a multidimensional organization are IBM, Microsoft, and ASML. [5]
A matrix organization frequently uses teams of employees to accomplish work, in order to take advantage of the strengths, as well as make up for the weaknesses, of functional and decentralized forms. An example would be a company that produces two products, "product A" and "product B".
The theories of organizations include bureaucracy, rationalization (scientific management), and the division of labor. Each theory provides distinct advantages and disadvantages when applied. The classical perspective emerges from the Industrial Revolution in the private sector and the need for improved public administration in the public sector.
The most beneficial aspect of a hierarchical organization is the clear command-structure that it establishes. However, hierarchy may become dismantled by abuse of power. [47] Matrix organizations became a trend (or management fad) in the second half of the 20th century. [48]
The contingency theory views organization design as "a constrained optimization problem," meaning that an organization must try to maximize performance by minimizing the effects of varying environmental and internal constraints. [44] Contingency theory claims there is no best way to organize a corporation, to lead a company, or to make decisions.