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  • 1.  Matrix organizations

    Posted 05-25-1998 14:28
    >Subject: Re: [MG-ED-DV] Matrix Organization: Operationalizing the dot
    >Author: Management Education and Development Discussion
    ><MG-ED-DV@MAELSTROM.STJOHNS.EDU> at MTMETM04
    >Date: 5/21/98 9:06 PM
    >
    >
    >Aaron,
    >We have been successfully implementing and practising such processes for
    >over ten years now and what follows is based on our experience here and
    >overseas:
    >
    [...]
    >To recap, a picture of the ideal organisation is developed (ideal being one
    >that has every position or function within it aiming to play its part in
    >achieving the organisation's goals and objectives), and the skills and
    >knowledge needed to fill this picture are defined. Once that is done a close
    >look is made at what currently exists and plans are developed to draw the
    >two together.

    "Yes, but ---"

    Phil outlines an excellent way to form a matrix organization. However, two
    aspects bear mention that I did not discern from reading the response.

    Note that Phil's recipe starts and hinges on a adequate, accurate and
    timely delineation of organizational objectives in the first place. These
    must address not only the objectives relative to customers, suppliers,
    stakeholders as organizations but also the objectives relative to such
    concepts such as profitability, technology renewal, quality and balance of
    power. So the first question is: What is the likelihood that any company
    can articulate adequate, accurate and timely objectives? Related questions
    are: Must this be done in advance of "going matrix?" Must Machievelli be
    jailed in order for a matrix to sustain or will simple denial suffice)?

    Secondly, it is not clear how the matrix, once formed, is capable of: 1)
    adapting to changes in its environment, 2) adapting to changes in the
    relative competencies of its incumbents (certainly learning is happening at
    differential rates in various locales) and 3) eschewing adaptation
    altogether in favor of innovation. So the second question is: How is
    adaptation accomplished? Is it accomplished "en-matix" or is there some
    other organizational form that must acccompany the matrix (as the pilot
    fish accompanies the whale)? Also, how does innovation (the opposite of
    "we've always done it that way and are world-class leaders because we are
    getting better at it at a rate of 14% annually, thank you very much").
    Innovation typically comes from without rather from within. So, if the
    only people we hire are the ones that best fit our analyzed needs
    (including their "team-ness" behavior), how do the pioneers get into the
    organization?

    In terms of Prof. Adizes' Life Cycle Model, the matrix recipe given may
    work in the mid to late phases of an organization. Yet, Prof. Starkermann
    and others have shown the benefits of a matrix in any stage. Am I
    misreading the recipes or is there yet another form of matrix that should
    be acknowledged and promulgated?

    Jack Ring
    Innovation Management
    sendmail: jring@amug.org
    -


  • 2.  Matrix organizations

    Posted 05-25-1998 18:12
    Jack makes a number of very good points which I agree weren't covered too
    well in my original posting. So, here goes......

    Jack wrote -
    >Note that Phil's recipe starts and hinges on a adequate, accurate and
    >timely delineation of organizational objectives in the first place. These
    >must address not only the objectives relative to customers, suppliers,
    >stakeholders as organizations but also the objectives relative to such
    >concepts such as profitability, technology renewal, quality and balance of
    >power. So the first question is: What is the likelihood that any company
    >can articulate adequate, accurate and timely objectives?

    From Phil:
    I'm not sure that any company can articulate anything. Without sounding too
    pithy on the subject, it is the people who articulate the objectives, not
    the organisation. This means that the competencies of each staff member
    should be such that they are capable of doing this - from both the point of
    view of the staff members responsible for developing and maintaining the
    objectives to those who are responsible for providing input into this
    maintenance and on to those who are responsible for doing whatever it is
    they do to make achievement of these objectives a reality.

    Although a good, solid set of goals and objectives is the ideal, they don't
    just appear - and certainly don't just appear in their final form (if they
    ever could, would or should). They have to evolve. All goals and objectives
    have to start somewhere (even the best Fortune 500 companies have emerging
    goals and objectives) and in my experience if all staff are involved in
    developing and achieving these goals and objectives then there is an
    evolving and growing ownership that takes up the impetus and momentum of
    achievements. However, as I said, this is really only best carried out by
    people who have the competencies to do so.

    I should point out here that many countries have different opinions on what
    'competency' means. In the US there is a generally accepted definition of
    'competency' that isn't shared by most other countries.

    Competency, to many, means simply being capable of doing the job. But, the
    modern definition of competency means also being able to do this job in a
    variety of contexts and situations (including in a team environment,
    against current or emerging organisational goals and objectives etc.),
    being able to manage all of the little things that go to make up the larger
    job (eg, planning and organising one's daily schedule, balancing
    conflicting requirements etc), and being able to respond to irregularities
    and breakdowns in routine (eg, rectifying problems and offering alternate
    solutions, choosing between alternatives, accessing data and information to
    solve problems etc). If a performance statement is written to cover the
    competency required to fill a certain function then it will include all of
    the above - not just a statement that says "Do the job". Thought I'd better
    get that in so that we all know where my comments are coming from.

    Also from Jack: Related questions are: Must this be done in advance of
    "going matrix?" Must Machievelli be jailed in order for a matrix to
    sustain or will simple denial suffice)?

    From Phil:
    I don't believe that a clear definition of the goals and objectives must be
    completed before "going matrix". I think a useful goal or objective for a
    project team might be to come up with clearer goals and objectives for the
    mid- to long-term future. Another might be (as we've done with so many
    organisations) 'develop a matrix structure'. Similarly, a 'competency' (see
    above) for management at all levels would be to monitor and review goals
    and objectives on an ongoing basis to ensure that they are either being
    achieved or are updated to take into account new or emerging work
    requirements. Obviously doing this means something different at senior
    management than it does on the factory floor but both can have an equal
    responsibility for ensuring that their share of the desired outcome is
    achieved. For example, Joe Floorsweeper could have, as one of his/her
    competencies, "Contribute to planning meetings in a timely and effective
    way" (or whatever). Wherever it is practised this competency could be taken
    to mean: contribute to staff suggestion schemes, speak up at planning
    meetings, or simply to tap the supervisor on the shoulder and say "I think
    we can do this better!" And he/she will be assessed on how well he/she does
    this through the normal appraisal and feedback process in the organisation.
    (If there is no process then senior management will be assessed on whether
    or not they adopt and use such a process. If they don't then clearly they
    are not as competent as they would wish.) Freda Manager, on the other hand,
    would have as one of her competencies: "Suggestions are sought from all
    staff on relevancy of existing goals and objectives and recommendations for
    improvement" (or whatever). Another element of work on which a staff member
    is assessed for competence.

    So, goals and objectives can appear out of thin air (as they usually do)
    but they don't necessarily have to be in their final, pristine form before
    the organisation can begin to move ahead. We don't always need to know what
    lays around the next corner before we set out on our trip. Simply reviewing
    and increasing goals and objectives is, in my experience, one method of
    moving ahead regardless of the point at which the goals start their life.

    >Jack again:
    >Secondly, it is not clear how the matrix, once formed, is capable of: 1)
    >adapting to changes in its environment, 2) adapting to changes in the
    >relative competencies of its incumbents (certainly learning is happening at
    >differential rates in various locales) and 3) eschewing adaptation
    >altogether in favor of innovation. So the second question is: How is
    >adaptation accomplished? Is it accomplished "en-matix" or is there some
    >other organizational form that must acccompany the matrix (as the pilot
    >fish accompanies the whale)? Also, how does innovation (the opposite of
    >"we've always done it that way and are world-class leaders because we are
    >getting better at it at a rate of 14% annually, thank you very much").
    >Innovation typically comes from without rather from within. So, if the
    >only people we hire are the ones that best fit our analyzed needs
    >(including their "team-ness" behavior), how do the pioneers get into the
    >organization?

    From Phil:
    I think all of these questions can be answered along the lines of the
    following: As I said above, it is not the matrix (or the organisation) that
    makes things happen - it is the people. Matrixes don't move to counter new
    or emerging threats - the people do. If the competencies of each function
    within the matrix are written correctly (and, sadly, in my experience very
    few are) then the people holding those functions will have responsibility
    for adapting to change, adapting to changes in the competencies of
    themselves (ie, the incumbents of the function), and becoming more
    innovative (if I read the last question correctly).

    One of the bad habits we have when discussing organisations is that we
    actually speak only of the organisation (or matrix) as if it itself was
    capable of change. It is the people that change and grow, not the
    organisation. The latter is, after all, only a bunch of bricks and mortar -
    anything that happens within it does so because of, and on behalf of, the
    people. Why is it that so many business get sold with their "good will" and
    not just their contents and customer lists? So, if we talk about the people
    more than we talk about the organisation we are capable of seeing what
    needs to be done to make change happen. IBM, wonderful organisation. But
    look what people did to it not so long ago. Now that those people have
    changed IBM is coming back. IBM the organisation did nothing - its people
    have done all the work (both good and bad).

    To me a matrix organisation is only really a way to describe how it is
    structured in terms of functions (but, sadly, some of these can very easily
    turn into little fiefdoms if the people let it happen). It doesn't require
    the overlaying of any other structure to make things happen. It takes a
    change in the way the competencies for each function within it are
    described and the application of the skills and knowledge of the
    individuals filling these functions.

    >
    >In terms of Prof. Adizes' Life Cycle Model, the matrix recipe given may
    >work in the mid to late phases of an organization. Yet, Prof. Starkermann
    >and others have shown the benefits of a matrix in any stage. Am I
    >misreading the recipes or is there yet another form of matrix that should
    >be acknowledged and promulgated?
    >

    Another problem I've seen over the years is that when one 'fad' isn't
    working someone comes along with another to take its place. TQC, MBO et al
    have lost their favour when those who knew how to make them happen moved
    on. Matrix or any other kind of organisation must have commitment right
    throughout to make it work. If not then everything will degenerate back to
    what is most comfortable for the ethos and customs of the organisation -
    usually a hierarchical structure in which the person with the loudest voice
    is the boss and those who couldn't be bothered arguing (or are too scared
    to argue) follow along. Sadly, those with the loudest voice are not always
    at management level either - there are many organisations where the
    employee representation is much stronger than the management leadership so
    no matter what form of structure is in place, it will always be run in a
    manner most likely to appease those with the most to lose.

    I guess I was talking about the ideal but, don't we all aspire to 'the
    ideal'? If every organisation was run well then we'd have nothing to
    compare outselves to and nothing to dream about emulating. At the end of
    the day, because people will be people it is really left up to us to keep
    this dream alive.

    Thanks for the thoughts Jack. It's a shame there are so many miles between
    us because I'd love to kick over some of these concepts over a cup of coffee.

    Regards

    Phil Rutherford

    ------------------------------------
    P D Rutherford & Associates Pty Ltd
    Competency-based systems specialists
    61 2 6230 4823
    robnphil@ozemail.com.au