Managing in a Matrix Structure

1. Managing in a Matrix Structure

2. Contents • What is a Matrix Structure? • The Challenges posed by a Matrix Structure • Fundamental success factors • Roles and Responsibilities • Coordination and Collaboration • The Required Skills Sets • The Benefits of Matrix Management • Conclusion

3. What is a Matrix Structure? A grid-like organizational structure that allows an organization to address multiple business dimensions using various command structures. A.T. Kearney A matrix structure is characterised by an organogram that promotes horizontal and vertical interaction of responsibilities and authority. Larger organizations are forced into matrix structures as a result of the need to divide the organization into manageable units, thus the coming into being of organizational divisions. Typically organizational are divided into: • Functional Divisions, and • Operational Divisions

4. What is a Matrix Structure? Typical– two dimensional diagram: Functional Divisions HR Marketing & Sales Finance Comm’s Other Specialist Functions Product Group Operations Divisions Customer Group Geograpic Reprsentation

5. What is a Matrix Structure? SANParks – two dimensional diagram: Functional Divisions Conservation Services Tourism, Marketing & Sales Finance People and Conservation Corporate Support Services Legal Services Corp Comm’s HR Parks Operations Divisions K N P

6. What is a Matrix Structure? SANParks – three dimensional diagram: Functional Divisions Conservation Services Tourism, Marketing & Sales Finance People and Conservation Corporate Support Services Legal Services Corp Comm’s HR Parks Projects and Strategy Operations Divisions K N P

7. Challenges of Matrix Structures • Role conflict arising from accountabilities and responsibilities – Divisional Strategy as well as Local Operational Requirements • What are each division’s deliverables? • Who is accountable for delivery? • Who is responsible to deliver? • Dual or multiple (projects and strategic delivery) reporting lines • To whom is the employee accountable? • Employee time allocation to project vis a vis normal/routine business deliverables • Competition for same resources • Employee performance appraisal • Grade vis a vis Role • Culture and attitude

8. Example – Finance CFO Finance Director KNP Director Parks GM: Finance Manager: Supply Chain Manager: Administration Snr Manager Finance Parks Park Manager TMNP Snr Manager Finance KNP Senior Manager Finance Senior Manager Financial Control Senior Manager Financial Admin Manager Procurement Accounts Clerk Credit Controller Finance Manager TMNP Manager Admin Payroll Admin Accounts Recon Manager Financial Control

9. Fundamental Success Factors • Clear roles and responsibilities • Excellence in Coordination and Collaboration • Culture and attitude shift • Roles and tasks are more important than formal grades and hierarchy • Willingness to adopt new roles and behaviours • Flexibility: • Time management • Multi-tasking • Multiple reporting relationships • “Ownership” of employees • Shared responsibility for employee assignments • Mixing projects and routine business activities • Appropriate deployment of employees

10. Roles and Responsibilities

11. Roles and Responsibilities

12. Coordination and Collaboration Ensuring coordination and identification of roles through The Power of RASIC: • Responsible – who is responsible to do it? • Approve – who must approve? • Support – whose support must be sought? • Inform – who needs to be informed? • Consult – who must be consulted?

13. The Required Skills Sets Matrix Management requires a move from “Command and Control” to “Interpersonal Skills” and involvement style of management. The skills required are: • Team-building • Conflict Management and Confrontational Skills • Negotiations Skills • Communication Skills • Time Management Skills

14. Benefits of Matrix Management The potential benefits of a well managed Matrix Structure are: • Breaking down silo’s – creating organizational focus • Flattening the hierarchy of organizational levels • Exposure and breadth of experience through interaction with varied organizational disciplines • Improved capability for the management of change • Higher and better use of employees’ time and talent • Opportunity to identify hidden talent • Opportunity to breed self-management and leadership

15. Conclusion It is not about ME and MY division – it is about US and OUR organization!

16. Thank You Sydney Soundy Chief Operating Officer - SANParks sydneys@sanparks.org Tel 012-426 5136 Fax 012-426 5536 Cell 0828887690

17. Example – Finance CFO Finance Director KNP Director Parks GM: Finance Manager: Supply Chain Manager: Administration Snr Manager Finance Parks Park Manager TMNP Snr Manager Finance KNP Senior Manager Finance Senior Manager Financial Control Senior Manager Financial Admin Manager Procurement Accounts Clerk Credit Controller Finance Manager TMNP Manager Admin Payroll Admin Accounts Recon Manager Financial Control