Multitidimensional Organizational Structure

7) A multidimensional organizational structure, also called a matrix organizational structure, may incorporate several structures at the same time. For example, an organization might have both traditional functional areas and major project units. When diagrammed, this structure forms a matrix, or grid (see Figure 2.6).

8) A potential disadvantage is multiple lines of authority. Employees have two bosses or supervisors: one functional boss and one project boss. As a result, conflicts may occur when the boss wants one thing and the other boss wants something else. For example, the functional boss might want the employee to work on a new product in the next two days, while the project boss might want the employee to fly to a two-day meeting. Obviously, the employee cannot do both. One way to resolve this problem is to give one boss priority if there are problems or conflicts.