Why do we have Matrix organisations?

This is a response to a LinkedIn question.  Forrest Christian suggested in a comment to another post that I post my responses here as well. Those of you are LinkedIn members can read the whole question and all other answers here .

My answer was:
No matter how a company is organized formally, for stuff to get done people need to communicate and work across boundaries. Researchers have done social network analysis in organizations and have seen that some bosses cannot handle this; they force everything to go through them, so of course they end up being bottlenecks.

My belief is that matrix organizations were “invented” to address the non-cooperation between unit managers. But we still have a lot of turf wars and alpha-male behavior. We also see organizations apparently in endless committee meetings.

My opinion is that matrix organizations were a “quick fix” to a larger and more deep-running problem. If we “solve” those problems we will not need matrix organizations. Managers needs to be selected ,trained and rewarded for abilities to:

  • work with talented staff who do not need constant direction
  • being able to work in collaboration and yet be held accountable
  • that company results are more important than personal position

Paul Holmstrom

Major organizations and consulting firms that provide Requisite Organization-based services

A global association of academics, managers, and consultants that focuses on spreading RO implementation practices and encouraging their use
Dr. Gerry Kraines, the firms principal, combines Harry Levinson's leadership frameworks with Elliott Jaques's Requisite Organization. He worked closely with Jaques over many years, has trained more managers in these methods than anyone else in the field, and has developed a comprehensive RO-based software for client firms.
Former RO-experienced CEO, Ron Harding, provides coaching to CEOs of start-ups and small and medium-size companies that are exploring their own use of RO concepts.  His role is limited, temporary and coordinated with the RO-based consultant working with the organization
Founded by Gillian Stamp, one of Jaques's colleagues at Brunel, the firm modified Jaques;s work-levels, developed the Career Path Appreciation method, and has grown to several hundred certified assessors in aligned consulting firms world-wide recently expanding to include organization design