Matrix Organisation: A Case Study in a Government Department

This article describes the effects of the implementation of a matrix structure into a division of a large New South Wales Government organisation. The existing organisation structure had proved inappropriate for the execution of divisional tasks, with the resultant emergence of problems of co‐ordination, planning and control. A Task Force recommended that a matrix structure be introduced, since this appeared more suited to the complex nature of the division's workload. In the period under review, various benefits and problems associated with the organisation change emerged. The benefits included improvements in efficiency and flexibility, and job and client satisfaction. In general, the problems which arose are those often associated with matrix structures; for example, role confusion and ambiguity, and role conflict. It is argued that to a large extent the problems originated more from poor planning and management of the organisation change process and ignorance of the pervasive influence of the organisation context than from inherent weaknesses in the matrix structure.