What is a Functional Structure?

Groups employees based on specialized job functions (HR, Finance, Marketing).

What are the strengths of a Functional Structure?

Encourages expertise, efficiency in operations.

What are the weaknesses of a Functional Structure?

Poor cross-functional communication, slow decision-making.

What is a Divisional Structure?

Organizes the company based on products, geographic regions, or customer segments.

What are the strengths of a Divisional Structure?

Enhances accountability, market responsiveness.

What are the weaknesses of a Divisional Structure?

Resource duplication, competition between divisions.

What are the implications of traditional structures for modern businesses?

They provide clarity and control but can be rigid and resistant to change.

What are the features of the matrix structure?

Employees report to two managers: a functional manager and a project manager.

What are the strengths of the matrix structure?

Encourages collaboration, improves resource efficiency, enhances flexibility, promotes skill diversification.

What are the weaknesses of the matrix structure?

Conflicting authority, complex decision-making, high coordination costs, potential for power struggles.

How did NASA apply the matrix structure?

To coordinate space missions, ensuring specialists contributed across multiple projects.

How did Boeing utilize the matrix structure?

Engineers report to both functional departments and project managers.

How does Google use the matrix structure?

Cross-functional project teams work on innovations while maintaining alignment with functional areas.

What is the comparison between traditional and matrix structures in terms of decision-making speed?

Traditional structures are faster in stable environments; matrix structures can be slower due to dual reporting.

What is the flexibility comparison between traditional and matrix structures?

Traditional structures are low-hierarchical and rigid; matrix structures are high and adapt to change effectively.

What is the innovation and collaboration comparison between traditional and matrix structures?

Traditional structures have limited cross-functional interaction; matrix structures encourage cross-functional collaboration.

What is the managerial complexity comparison between traditional and matrix structures?

Traditional structures have clear reporting lines; matrix structures have dual authority which may create role ambiguity.

What are the best-suited environments for traditional structures?

Stable, predictable industries.

What are the best-suited environments for matrix structures?

Dynamic, project-driven industries.

What did recent studies highlight about organizational structures?

Many global firms are adopting a hybrid approach, integrating elements of both structures to optimize performance.

What did Burton, Obel & Håkonsson (2021) find about flexible matrix structures?

Companies using a flexible matrix outperform rigid structures in innovation and agility.

What did Mintzberg (2022) conclude about the matrix model?

It works best in environments with rapid technological change, requiring continuous adaptation.

What did Gulati, Puranam & Tushman (2023) discover about balancing control and autonomy?

Firms that successfully balance hierarchical control with project-based autonomy see higher performance and engagement.

What did Child (2020) state about hierarchical structures?

They remain relevant in stable industries, but firms must incorporate cross-functional teams for strategic agility.

What did Davis (2024) predict about the future of organizational design?

It will be hybrid, integrating matrix elements with digital transformation.

What are the key takeaways regarding traditional structures?

They provide stability, efficiency, and control but struggle with adaptability.

What are the key takeaways regarding the matrix structure?

It enhances collaboration, flexibility, and resource utilization but requires strong leadership and communication.

What is recommended for stable organizations?

Retain a functional structure but encourage cross-departmental collaboration.

What is recommended for dynamic industries?

Adopt a matrix structure but ensure clear role definitions to minimize conflicts.

What is recommended for startups?

Begin with a simple structure but transition to a more complex model as the company scales.

OJD_traditional&matrix Flashcards

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37 questions

Show all answers

1.

FLASHCARD QUESTION

Front

What is organizational design?

Back

A crucial determinant of a company's efficiency, adaptability, and performance.

2.

FLASHCARD QUESTION

Front

What are traditional organizational structures characterized by?

Back

Hierarchy and centralized decision-making.

3.

FLASHCARD QUESTION

Front

What is the matrix structure?

Back

A hybrid model that combines functional and project-based reporting lines.

4.

FLASHCARD QUESTION

Front

What are the key types of traditional organizational structures?

Back

Simple Structure, Functional Structure, Divisional Structure.

5.

FLASHCARD QUESTION

Front

What is a Simple Structure?

Back

A low-complexity structure with minimal formalization, usually led by a single authority figure.

6.

FLASHCARD QUESTION

Front

What are the strengths of a Simple Structure?

Back

Fast decision-making, low operating costs.

7.

FLASHCARD QUESTION

Front

What are the weaknesses of a Simple Structure?

Back

Limited scalability, overreliance on one leader.

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