The modern matrix organisation.

The modern matrix organisation.

The modern matrix organisation.

How does one make a modern matrix organisation actually work?

Jonathan Yudelowitz

The idea of the matrix organisation is well known. To run a large modern organisation, one needs certain specialisations – centres of excellence – such as marketing, human capital and finance. Then one will have the different regional sectors of the business or the different product lines.

The trouble is, everyone dislikes the matrix structure. A matrix so often drives dysfunctional politics, passive aggressive compliance and can be confusing. But structure always follows the strategy, yet it always ends up as a matrix of some sort.

There are two common issues. Firstly, how do the business’s specialisations – its centres of excellence – exercise authority over the line functions? How does a line function get what it needs and feel enabled and not dictated to, interfered with or confused by the speciality, which can land up seeming like a competing industry? It all comes down to how do people actually work together.

How does one make the most of the matrix?

We need people in organisations who are passionate and have the ego strength to fight for what they believe in and drive performance and results. Competition can easily become destructive, as it’s easy to believe in diversity of opinion and say ‘we need to achieve a win-win’ outcome; until it means letting go of something you value or accepting the grain of truth in an opposing argument. Compromise can be equally as damaging, as both sides give something up and generally walk away feeling thwarted, with the organisation not getting the value of having different ways of thinking brought to bear.

The best collaboration is between those who could compete but are able to re-purpose and channel their passion and commitment towards collaborating with those that think and operate differently. They need to be able to argue well and strongly but listen attentively and with curiosity to other opinion and opposing views. They need the rhetorical skills to frame an argument, but at the same time the self-esteem and discipline to stay listening especially when things get heated – and to engage effectively with what may be challenging or uncomfortable. Seeing this as part of a ‘soft skill’ set, is core to why Matrix organisations fail. Collaboration is of a higher order than competition and demands nuanced, subtle skill sets as well as emotional maturity; in other words, there is nothing soft about it. Whilst one needs to be able to argue and fight for what one needs and believes one needs the skill and discipline to

always keep an eye on the longer term and bigger picture of value creation and strategy – and to engage in the listening and respect that it takes to get there

It is my contention that running a modern matrix organisation means turning this on its head.

I believe every competitive person in your organisation needs to subordinate their ego needs to succeed and triumph. They need to subordinate their competitive spirit to a spirit of collaboration. They need to partner meaningfully with the people with whom they would traditionally be in competition.

That means turning something primal on its head.

Make no mistake, this will require a great deal of awareness, intention and focus. Your people will need to understand the difference between merely supporting the main functions of your organisation and a real enablement – where they assertively promote their point of view, their expertise, and the principles that underpin their profession.

Moreover, they will need to do so in a way that gets a colleague in a different discipline – in a line function, for example – to pay attention to what they are saying – and then raise their game.

They will need to understand that by allowing each partner the chance to express their point of view – subordinating their competitive spirit to a spirit of collaboration – they can, together, decide what needs to be done. And how it needs to be done.

Most businesses leave this interaction up to chance.

Despite a spirit of collaboration being absolutely vital to the success of a modern matrix business, most leaders leave the interactions between vastly different cells in the matrix up to chance. They think it is sufficient to structure their business as a matrix and then have the appropriate meetings. It isn’t.

It is what happens inside those meetings that is all important.

  • How people prepare for those meetings – making sure they bring the correct information and insights.
  • How the power dynamic is recognised and managed. How it is chaired and facilitated.
  • How people talk. How they explain. How they articulate a business case. How they frame an issue.
  • How they express an opinion – which invites another point of view – as opposed to stating a judgement – which shuts down the conversation.
  • How assumptions are recognised as such – and not presented as facts.
  • How people are attached to a particular point of view because it is their area of expertise, or because they will make money out of it, or because it is their hobby horse.
  • How people pay attention to one another’s points of view.

All these things happen in a meeting. And yet so little attention is paid to them. So little is demanded and expected of them. Chance rules the day.

Understanding the art of collaboration makes all the difference.

Because it is an art.

Collaboration within a matrix organisation is, in fact, a higher form of the competitive spirit where the company, collectively, succeeds and triumphs.

In a matrix organisation, individuals could compete with one another but choose not to. There is a bigger picture. Instead, they choose to engage with one another, so that they can come out with a decision, a way forward, that is better than any of them could have devised on their own.

The art of speaking. The art of thinking. The art of articulation. The art of paying attention.

These qualities are core to the modern matrix organisation.