Matrix Organization (The “Adhocracy”)

Often called the “throwaway organizational pattern” or the “adhocracy” by futurist Alvin Toffler, matrix organizational structure involves the creation of a temporary structure within or apart from a traditionally organized structure when the following conditions pertain:

• There is an immediate challenge or crisis faced by the organization that involves multilevels and/or multifunctions of the organization as a rational response.
• The conditions of the organization's environment become highly unstable, ambiguous, and fluid, leaving much uncertainty as to how the organization should respond and casting doubt that any permanent or stable organizational pattern would last very long.
• The nature of a required organizational response would overload the existing chain of command.
• A situation requires a highly unusual and innovative response previously not faced by the organization.
• The political balance of power within an organization is constantly shifting because the organization's objectives and its technology cannot be fixed upon a stable set of objectives or tasks.
• The nature of the problem of issues to be addressed is highly complex and requires a long lead time to pursue, meaning that there will a long chunk of time in which no tangible results will be forthcoming.

The term matrix is often affixed to the U.S. aerospace industry, especially NASA. One set of managerial experts indicates that the most distinguishing feature of a matrix organization versus the traditional bureaucratic, pyramidal structure is that the former is characterized by a multiple command system in which persons may have multiple bosses. Along with this development is the creation of a “matrix culture,” which is quite different from cultures that are connected with permanent bureaucracies. And matrix structures present a whole new array of personnel problems that traditional bureaucratic structures work hard to eliminate, notably a subordinate being caught between two bosses who cannot agree on what the subordinate should be doing. Job and role ambiguity present additional problems for employees who may not be assured of work after a project is completed.

Matrix structures have been described as “high tension” systems, where the potential for conflict is intensified by the demands for interdependent work among the members, the need to process huge amounts of information quickly, and the difficulty of finding a “boss” to arbitrate differences among and between the members. Matrix structures require a high degree of trust and collaboration to become productive and remain productive.

The leadership skills required to manage a matrix structure involve the ability of a boss who is secure professionally, remains objective about various functions and subfunctions and sees the big picture, works collaboratively and easily with people, involves others in decision making when appropriate but is not afraid to make decisions when required, can work in situations with high levels of ambiguity and uncertainty without becoming disoriented or affixed on single solutions, and knows how to work through problems in groups.

In the larger society, examples of matrix structures are the Manhattan Project (building the atomic bomb) and putting a person on the moon. Political campaigns are also examples of matrix organizations in action. The 1993 Academy Award film nominee The War Room showing the organization and operation of President Clinton's campaign managers, James Carville and George Stephanopoulos, is an excellent example.

...