The Control Matrix

Matrix structures are generally designed and adopted in order to improve flexibility in spite of potential conflicts and substantial coordination costs. However, there exist hints that in some cases matrix structures, or at least portions of matrix structures, are adopted precisely in order to generate conflicts and competition that allow for better control.We approached this issue by means of a twofold investigation. First of all, we analysed the published organization charts of Forbes 2000 world’s largest firms. Secondly, we submitted a questionnaire to organizational consultants.Our findings suggest that, in some instances, the centralized functions of large multidivisional companies are used as additional authority lines that generate partial matrix structures. These structures make decision-making more difficult, but allow top management to exert greater control