The purpose of this article is to examine and ultimately suggest the most effective method with which to evaluate employees operating within a matrix organization. Part Two aims to describe a real‐time case study and examine performance evaluations in depth as they relate to this case analysis.
This article consists of a comprehensive review of literature demonstrating functional areas within a matrix organization as well as employee evaluation methods within various organizations. It is presented in three sections: defining a matrix organization; demonstrating effective evaluation methods and strategies; and, finally, how the two should work together. Critical incidents are interspersed throughout the article in order to demonstrate how the research compares to the methods employed by a leading aviation engineering firm.
Ineffective evaluation methods within matrix organizations can lead to lower employee morale as well as an ambiguous understanding of employee roles within such an organization. Employee and management buy in and support of an evaluation system and its goals are crucial to the success of the program. The multi‐rater system appeared to be most effective.
Several tools exist to help employers effectively evaluate their employees in a constructive and effective manner. Among them are clear job description and corporate structure, followed by a review of performance by both functional and project managers.
Given the limited research with respect to evaluations within a matrix structure, this paper demonstrates an understanding of a subject that has not been adequately explored.
