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Related Experiment Videos

Matrix management: not a structure, a frame of mind.

C A Barlett, S Ghoshal

    Harvard Business Review
    |June 8, 1990
    PubMed
    Summary

    Leading corporations often struggle with strategy implementation due to complex organizational structures. Focusing on individual manager attitudes and behaviors, rather than top-down changes, is key to aligning capabilities with strategic goals.

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    Area of Science:

    • Business Strategy
    • Organizational Behavior
    • Management Science

    Background:

    • Strategic thinking in leading corporations has surpassed organizational capabilities.
    • Complex business challenges require sophisticated strategic responses.
    • Elaborate organizational matrices can hinder strategy implementation.

    Purpose of the Study:

    • To explore effective methods for aligning strategic thinking with organizational capability.
    • To identify strategies for enhancing corporate agility and coordination across divisions.
    • To propose an alternative to top-down structural changes for improving strategy execution.

    Main Methods:

    • Analysis of organizational structures and their impact on strategy implementation.
    • Focus on bottom-up approaches targeting individual manager attitudes and behaviors.
    • Examination of successful techniques employed by companies like NEC, Philips, and Unilever.

    Main Results:

    • Top-down structural changes are less effective than bottom-up approaches.
    • Companies can improve strategic execution by focusing on individual manager commitment.
    • Three key techniques enhance manager capabilities and alignment with corporate goals.

    Conclusions:

    • Aligning strategic thinking with organizational capability requires fostering a shared corporate vision.
    • Training and career path management are crucial for broadening manager perspectives and goal identification.
    • Co-opting individual ambitions into the corporate agenda builds a strong value matrix for effective decision-making.

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