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Ineffectively Managed Transition to Matrix Organization Diminishes Benefits

CHAPEL HILL, NC - October 18, 2006 - Transitioning to a matrix organizational structure can significantly decrease the duplication of specialized resources wasted across departments or product lines under a hierarchical business model. In addition, efficiently deploying resources and skilled employees across a variety of functions generates a robust bottom line through ensuring success of complex projects and fulfillment of clients' needs with the best solutions.

Not surprisingly, only those companies that diligently plan their transition to a matrix organization garner these benefits. Leading benchmarking firm Best Practices, LLC found in a recent study that prior development of clear lines of communication, a top-down process to define goals, and a structured decision-making process led to a highly effective matrix structure. Download a complimentary summary of the study at

The study titled "Benchmarks for Excellence in Designing, Implementing and Managing Matrix Organizational Structures" reveals how companies with more than 5,000 employees measure the effectiveness of their matrix organization, how long the transition took, and what transitional activities best supported the process. Most importantly, it provides best practices and lessons learned in strategic communication, clarifying authority, and tactical implementation from those who have been there.

Interestingly, the study found that most matrix organizations focused accountability on on-site and project managers but that highly effective matrix organizations placed responsibility instead in the hands of product and subject managers. The study further demonstrates how those companies rated most effective delegate levels of responsibility for various decision making processes across manager type.

For more information on this study contact: Dana Brinson, Database Account Manager and Research Analyst at 919-767-9182 or at

Best Practices, LLC, is a benchmarking research firm that conducts work based on the principle that organizations can chart a course to superior economic performance by studying the best business practices, operating tactics and winning strategies of world-class companies. For almost 15 years, our highly credentialed research staff has conducted primary research across every functional corporate area. Visit our website at

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