Question : Case Study 22: Global Innovations
Matrix structure promotes effective:
Option 1: Centralization
Option 2: Specialization
Option 3: Cross-functional collaboration
Option 4: Hierarchical control
Correct Answer: Cross-functional collaboration
Solution : The correct answer is (c) Cross-functional collaboration
A matrix structure promotes effective cross-functional collaboration. In a matrix organizational structure, employees often report to both a functional manager and a project manager. This dual reporting relationship encourages collaboration and communication across different functions or departments. Employees from various specialized areas work together on projects, bringing diverse expertise and perspectives to the table. This collaboration can lead to increased creativity, better problem-solving, and a more holistic approach to decision-making, making cross-functional collaboration a key advantage of the matrix structure.