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Advantages and disadvantages of matrix organizational structure

Some of the advantages and disadvantages of a matrix organizational structure are as follows. Also, you can check out the advantages and disadvantages of organizational structure to know more about it.

Pros or advantages of matrix organizational structure:

  1. It enhances organizational flexibility.
  2. It is a clear articulation of project objectives.
  3. Team members have the opportunity to learn new skills.
  4. it will increase communication efficiency.
  5. It will improve employees motivation.
  6. Employees can develop new skills.
  7. It will collaboration between different departments.
  8. It provides an efficient way for the organization to use its human resources.
  9. Team member serves as a bridge to their department.
  10. It will increased employee professional development.
  11. It will allow for interdepartmental communication.
  12. There are opportunities for employees growth.
  13. There are opportunities to save money.
  14. Possibility of conflicts arising during project carrying over to functional management.
  15. Retention of expert teams through the life of the project.
  16. Workable way of integrating project objectives with functional objectives.
  17. Project management train managers to become leaders of the successful company.
  18. The project structure develops team spirit and high morale.
  19. There are fewer areas of organizational disruption over time.
  20. Rapid dispersion of team members back into the functional organization upon project completion without organization disruption.

Cons or disadvantages of matrix organizational structure:

  1. Employees are uncertain about reporting relationships.
  2. The dynamics of group behaviour may lead to slower decision making. Dominance by one person, compromise decision or its loss focus.
  3. More time may be required for coordination task-related activities.
  4. Reduce employees effectiveness.
  5. Team roles may not be clearly defined.
  6. Sometimes work will be overload.
  7. Difficult for measuring employees performance.
  8. Possible structure collapse in crunch time.
  9. Increase in management overhead costs.
  10. There may be uncertainty as to who is in command.
  11. Difficult for establishing priorities suiting both functional and project management.
  12. It will increase organizational complexity.
  13. There are still resources allocations issues.
  14. Potential for conflicting management directives.
  15. Sometimes decision-making proceeds can be slow down.
  16. There can be goal misalignment within the workplace.
  17. Possible slowdowns in management reaction to events when two strictures required for solutions.
  18. Two problem managers, leaving the team members stuck in the middle.
  19. There can be a loss of middle authority.
  20. There can be a snowball effect.


Explore more information: 

  1. Advantages and disadvantages of functional organizational structure
  2. What are the advantages and disadvantages of divisional structure

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Divya Chauhan
Divya Chauhan is an expert writer with 10+ years of experience as a content writer. They specialize in making complex topics like IT, Health, and general topic easy to understand. Divya has written over thousands of articles to help people with their content. Prior to joining Way2benefits’s editorial team in 2020, Divya worked as a Professor of BCA college and freelancer blogger.