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Matrix ( or project-based) organisations 

A Matrix structure organisation contains teams of people created from various sections of the business. These teams will be created for the purposes of a specific project and will be led by a project manager. Often the team will only exist for the duration of the project and matrix structures are usually deployed to develop new products and services. The advantages of a matrix include

• Individuals can be chosen according to the needs of the project.                              
• The use of a project team which is dynamic and able to view problems in a different way as specialists have been brought together in a new environment.
• Project managers are directly responsible for completing the project within a specific deadline and budget.

Whilst the disadvantages include

• A conflict of loyalty between line managers and project managers over the allocation of resources.
• If teams have a lot of independence can be difficult to monitor.
• Costs can be increased if more managers (ie project managers) are created through the use of project teams.