Matrix Org Chart Complete Guide

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A traditional hierarchy represents Organization Structure more often. The CEO or GM tops the chart, followed by department managers and their respective teams. Ever wonder how this typical structure suits the requirements of multi-project environments? That too has common resources.

Organizational structures act as the backbone of an organization. They impact the information flow, cost, and efficiency. So, you should choose the organizational structures for your business wisely. As the organization grows, you have to reconsider the traditional Organizational Structure. The Matrix Organization Chart outperforms the traditional Organizational Structures for multi-project environments. Apart from functional lines, it incorporates horizontal linkages in organizational structure. The increased links enhance lateral communication, trust, and support mechanism. Thus, ensuring team productivity and enabling fast adaptation to dynamic market requirements.

In this article, you will find everything about Matrix Structure Organization Chart. From the pros and cons of Matrix Organization to the tools required to create one. This article covers all you'd like to know.

Matrix Organizational Chart cover

1. What is Matrix Organization?

A Matrix Organization Structure is a combination of two different structures or hierarchies. It includes a Functional Hierarchy and a Project Hierarchy. It is also termed a Mixed Organizational Structure. Generally, in organizational structures, employees report to a single manager. But, the Matrix Organization Structure has a multi-command system. In the simplest form, the employees report to at least two managers. The Matrix Organizational Chart contains two types of links.

The typical vertical lines represent the functional departments. For example, an employee reports to the department manager. Besides, Matrix Organization Structures have horizontal linkages. They link a project manager with several departments. For example, a manager acquiring resources from both operations and sales departments. These extra reporting structures show reporting to more than one chain of command.

Matrix vs. Functional Organization

Although Functional Hierarchy is the base of Matrix Organization. Yet it differs from Functional Organization. The difference lies in the structure and management of both. Matrix Organization Structure groups employees into two different operational facets altogether. The Functional Organization Structure groups employees with the same expertise in similar areas. For instance, human resources, sales, marketing, and more. The multi-facets make the matrix structures complex compared to Functional Structures.

2. Advantages and Disadvantages of Matrix Organization

Matrix Organization Structure is a multi-command system. It enhances communication, collaboration, and interaction. But in contrast, confuse employees. Here are some advantages and disadvantages of the Matrix Organization Structure:

Agility and Flexibility:

  • The structure ensures agility and flexibility.
  • It leads to fast adaptation to dynamic market requirements.

Collaboration and Teamwork:

  • Both vertical and horizontal links allow the free flow of information. This will result in productivity.
  • The multi-facet structure increases the frequency of lateral communication.
  • Multi-command chains enhance collaboration and support mechanisms. It ensures effective resource allocation.

Complications and Delays:

  • Multi-command system complicates the structure and confuses employees.
  • Reporting to many authorities causes slow response time and delays.

Conflicts:

  • A multi-command system and authority bias lead to poor decision-making.
  • Conflicts and divided loyalties also emerge due to compromise in a single chain of command.
  • Dual reporting also leads to unclear accountabilities.

Role Ambiguity:

  • Role ambiguity leads to the irresponsible behavior of employees.
  • Multi-commands, conflicts, dual reporting, and authority bias cause personal issues. Such issues can lead to staff turnover.

Matrix Organization Structure needs some prerequisites to increase efficacy. If the management and staff are not trained, the organization will suffer. Yet, a power balance between managers can help. Support training programs on teamwork and conflict management can lead to organizational benefits.

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3. Types of IT Organizational Structures

Matrix Organization has several variations. Every organization can have its own tailored structure based on their need. Here are three basic types of matrix organization:

Types of IT Organizational Structures

1. Weak Matrix Structure

A Weak Matrix Organization Structure resembles a functional structure. The Functional Manager is the most prominent entity in the hierarchy. The Project Manager has authority, but it reports to the Functional Manager. Employees work under both but report to the Functional Manager.

2. Balanced Matrix Structure

In this Structure, the Project Manager has more authority compared to the Weak Structure. Yet, the Functional Manager is the prime entity. Employees work under both but report to the Project Manager.

3. Strong Matrix Structure

Both managers experience the same authority. The Project Manager is the primary contact for employees. The Functional Manager gives secondary instructions.

4. How to Create a Matrix Organization Chart? (With Templates)

Creating a Matrix Organization Chart requires patience and expertise. Several websites are offering built-in Templates to make the process simple for you. EdrawMax is the best platform. You can create a personalized Organization Chart. You can also customize an existing template. It is compatible with several operating systems and also provides an Online version.

Creating with EdrawMax

Create a Matrix Organization Chart

To use EdrawMax create your account using your personal/professional email address. Log in to your account at any time using this registered email. Here, you can create a personalized Matrix Organization Chart using templates.

  • You can get a blank canvas by clicking "+" in EdrawMax Online.
  • You can also choose a built-in Matrix Organization Structure Template using "Search".

Choose from hundreds of free templates and customize them. EdrawMax provides various objects, workflows, and links to create your desired Organization Chart. The drag-and-drop feature enhances the ease of use. You can also import more images, icons, or media content from your system or any online source. It also provides several features, such as online collaboration and social media sharing.

Example Templates

You can create Matrix Organization Chart with EdrawMax’s pre-designed free templates. Here are some examples for you:

The above template describes the Matrix Organization Chart. It shows an organization's internal structure and functioning. The general manager occupies the highest level in the hierarchy. Managers; including production, finance, marketing, sales, development, and research; occupy the next level. The general manager gives directions to all these managers. They report to the general manager. Further, each manager has their own team that reports to the relevant manager.

Apart from these vertical linkages, there are horizontal linkages in the team. The project managers control these links. The project manager teams span employees from various departments. These selected employees report to project managers along with their team managers. This dual reporting establishes the multi-command system in Matrix Structure Organizational Chart.

The second template depicts Organizational Chart for a sports event. A Matrix Organization Structure is the best way to visualize a sports event. Such events involve several stakeholders and cross-functional linkages. You cannot visualize them by simple hierarchy. The event involves several teams, such as operations, support, coordination, marketing, and more. The teams coordinate with their CEOs across functional lines. Further, there are several precincts in the operations team. Each requires facilities like transportation, spectator service, technical services, etc.

5. Conclusion

The organizational relationships or linkages often exceed the traditional hierarchy. So, you use Matrix Organization Structures. They cover multi-command systems and dual reporting. In simple cases, employees report to two managers. Generally, they are a functional manager and a product manager. Such organizational structures become complex and hard to visualize. EdrawMax provides an easy solution to visualize such structures. It has 12000+ customizable templates. Its easy-to-use online platform has several features. EdrawMax is the best option to create Matrix Organization Charts.

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