Global Management: Chapter 11: Leading and Leadership Development The...
Transcript of Global Management: Chapter 11: Leading and Leadership Development The...
Global Management:
Chapter 11: Leading and Leadership Development
The Late Grace Hopper:
Managers need to spend time dealing with the status quo and focus more on “fighting out
what needs to be changed”
“The present moment is the domain of managers. The future is the domain of leaders”
Leaders become great by bringing out the best in people
Leaders are expected to focus on long term goals while dealing with short term ones
The Nature of Leadership
Leadership: the process of inspiring others to work hard to accomplish important tasks
Leadership is one of the most popular management topics
Leading (to inspire the effort) : communicate the vision, build enthusiasm, motivate
commitment hard work
Leadership and Power:
Leadership essentially begins with the ways a manager uses power to influence the
behavior of other people
Power: ability to get someone else to do something you want done or to make things
happen the way you want
Power of Position:
Reward Power: is the capacity to offer something of value as a means of influencing
other people
Coercive power: the capacity to punish or withhold positive outcomes as a means of
influencing other people
Legitimate Power: the capacity to influence other people by virtue of formal authority or
the rights of office
Personal Power:
Expert power: is the capacity to influence other people because of specialized knowledge
Referent Power: is the capacity to influence other people because of their desire to
identify personally with you
Leadership and Vision:
Great leaders get extraordinary things done in organizations by inspiring and motivating
others toward a common purpose
Successful leadership is associated with a vision: a clear sense of the future
Are able to turn vision into accomplishment
Visionary Leadership: brings to the situation a clear sense of the future and an
understanding of how to get there
Lorraine Monroe Leadership Institute: “to develop and support public school leaders who
view solid education as a necessity of transforming children’s lives and who are
committed to leading consistently high achieving schools where all students, beginning
with kindergarten, are prepared to enter and graduate from college”
There leadership is backed up by the statement, “we can reform society only if every
place we live, every school, workplace, church and family becomes a site of reform”
Leadership as Service:
Servant leadership: is follower-centered and committed to helping others in their work
Empowerment: enables others to gain and use decision making power
Servant leaders empower others by providing them with the information, responsibility,
authority and trust to make decisions and act independently
“institutions function better when the idea, the dream, is the fore, and the person, the
leader is seen as servant to the dream
Leadership Traits and Behaviours:
Leadership Traits:
Physical characteristics such as a person’s height, weights and physique make no
difference in determining leadership success
A comprehensive review by Shelley Kirkpatrick and Edwin Locke indentifies these
personal traits of many successful leaders
Drive: successful leaders have high energy, display initiative and are tenacious
Self confidence: successful leaders trust themselves and have confidence in their abilities
Creativity: successful leaders are creative and original in their thinking
Cognitive ability: successful leaders have the intelligence to integrate and interpret
information
Job-relevant knowledge: successful leaders know their industry and its technical
foundations
Motivation: successful leaders enjoy influencing others to achieve share goals
Flexibility: successful leaders adapt to fit the needs of followers and the demands of
situations
Honesty and integrity: successful leaders are trustworthy’ they are honest, predictable
and dependable
Leadership Behaviors:
Leadership style: is the recurring pattern of behaviors exhibited by a leader
A study by the University of Michigan focused attention on two dimensions of leadership
style: concern for the task to be accomplished and concern for the people doing the work
A leader high in concern for the ask plans and defines the work to be done, assigns task
responsibilities, sets clear work standards, urges task completion, and monitors
performance results
A leader high in concern for people acts warm and supportive toward followers,
maintains good social relations with them, respects their feelings, is sensitive to their
needs, and shows trust in them
Effective leaders were high in both concerns for people and concerns for task
Classic Leadership Styles:
Autocratic style: a leader with this style acts in a unilateral, command and control fashion
Human relations style: a leader who emphasizes people over task
Laissez-faire style: a leader who displays a do the best you can and don’t bother me
attitude
Democratic style: a leader who emphasizes both tasks and people
Contingency approaches to leadership
Fiedler’s Contingency Model:
An early contingency leadership model was developed by Fred Fiedler, he proposed that good
leadership depends on a match between leadership style and situational demands.
Understanding Leadership Style
Fiedler believes that the key to leadership success is putting our existing styles to work in
situations for which they are the best fit
Can be either a task motivated worker or a relationship motivated worker
The either/or concept is important
Understanding Leadership Situations:
In Fiedler’s model, the amount of control a situation allows the leader is a critical issue in
determining the correct style situation fit
Three contingency variables are used to diagnose situational control: quality of leader
member relations good or poor) measures the degree to which the group supports the
leader. The degree of task structure (high or low) measures the extent to which task
goals, procedures, and guidelines are clearly spelled out. The amount of position power
(strong or weak) measures the degree to which the position gives the leader power to
reward and punish subordinates
Matching Leadership style and situation:
In Fiedler’s research, neither the task oriented nor the relationship oriented leadership
style proved effective all the time
Proposition 1: a task oriented leader will be most successful in either very favourable
(high control) or very unfavourable (low control) situation
Proposition 2: a relationship oriented leader will be most successful in situations of
moderate control
Hersey- Balanced Situational Leadership Model:
Hersey Blanchard situational leadership model suggests that successful leaders do adjust
their styles
The possible combinations of task oriented and relationship oriented behaviors result in
four leadership styles (listed below)
Delegating: allowing the group to take responsibility for task decisions; a low task, low
relationship style
Participating: emphasizing shared ideas and participative decisions on task directions; a
low-task, high relationship style
Selling: explain task directions in a supportive and persuasive way; a high task, high
relationship style
Telling: giving specific task directions and closely supervising work; a high task, low
relationship style
The delegating style works best in high readiness situations with able and willing, or
confident followers. The telling style works best at the other extreme of low readiness,
where followers are unable and unwilling, or insecure. The participating style is
recommended for low to moderate readiness followers- able but unwilling, or insecure,
the selling style is for moderate to high readiness followers- unable, but willing or
confident
Leadership styles should be adjusted as followers change over time
Path-Goal Leadership Theory:
Third contingency leadership approach advanced by Robert House
This theory suggests that an effective leader is one who clarifies paths by which followers
can achieve both task related and personal goals
Path-goal theorists believe leaders should shift back and forth among these four
leadership styles to create positive path-goal linkages
Directive leadership: letting subordinates know what is expected; giving directions on
what do and how; scheduling work to be done; maintaining definite standards or
performance; clarifying the leader’s role in the group
Supportive leadership: doing things to make work more pleasant; treating group
members as equals; being friendly and approachable; showing concern for the well being
of subordinates.
Achievement oriented leadership: setting challenging goals; expecting the highest levels
of performance; emphasizing continuous improvement in performance; displaying
confidence in meeting high standards
Participative leadership: involving subordinates in decision making; consulting with
subordinates; asking for suggestions from subordinates; using these suggestions when
making a decision
Path Goal Contingencies:
Follower Contingencies: ability, experience, locus of control
Leader styles: directive, supportive, participative, achievement oriented
Environmental contingencies: task structure, authority system, work group
Leader effectiveness
Substitutes for Leadership:
Substitutes for leadership: are factors in the work setting that direct work efforts
without the involvement of a leader
Possible substitutes include: ability, experience and independence; task characteristics
such as routineness and the availability of feedback; and organizational characteristics
such as a clarity of plans and formalization of rules and procedures
Leader Member Exchange Theory:
Not everyone is treated the same by the leader
People “in the group” get more and better tasks, people outside the group don’t
The premise underlying leader-member exchange theory is that, as a leader and follower
interact over time, their exchanges end up defining the follower’s rule
Leader Participation Model:
The Vroom-Jago leader-participation model indicates that leadership success results
when the decision making method used by a leader best fits the problem being faced
Leaders choice fall into three category: (stated below)
Authority decision: is made by the leader and then communicated to the group
Consultative decision: is made by a leader after receiving information, advice or
opinions from group members
Group decision: is made by group members themselves
The Vroom Jago model specifies that the leader’s choice among the decision making
method is governed by three rules: 1) decision quality (based on information needed for
problem solving) 2) decision acceptance 3) decision time
Consultative and group decisions work best when:
- the leaders lacks sufficient expertise and information to solve the problem alone
- the problem is unclear and help is needed to clarify situation
- acceptance of the decision and commitment by others are necessary for implementation
- adequate time is available to allow for true participation
Issues in Leadership Development:
Charismatic leaders: develops special leader- follower relationships and inspires
followers in extraordinary ways
Transformational Leadership:
Leadership scholars James MacGregor Burns and Bernard Bass suggest that the research
and models discussed so far tend toward transactional leadership: uses tasks, rewards,
and structures to influence and direct the efforts of others
Burns sees the analytical approach in which transactional leaders change styles, adjust
tasks and allocate rewards to achieve positive influence
Transformational leadership: is inspirational and arouses extraordinary effort and
performance
Transformational leadership qualities include the following:
Vision: having ideas and a clear sense of direction; communicating these to others;
developing excitement about accomplishing shared dreams
Charisma: using the power of personal reference and emotion to arouse others
enthusiasm faith, loyalty, pride and trust in themselves
Symbolism: identifying heroes and holding spontaneous and planned ceremonies to
celebrate excellence and high achievement
Empowerment: helping others develop by removing performance obstacles, sharing
responsibilities and delegating truly challenging work
Intellectual stimulation: gaining the involvement of others by creating awareness of
problems and stirring their imaginations
Integrity: being honest and credible, acting consistently out of personal conviction, and
following through on commitments
Emotional Intelligence and Leadership:
Emotional Intelligence: is the ability to manage our emotions in social relationships
“the ability to manage ourselves and our relationships effectively” Daniel Goleman
Goleman believes that emotional intelligence skills can be learned
A leader strong in emotional intelligence possesses self-awareness
The emotionally intelligent leader is good at self-management or self-regulation (think
before doing something)
Emotional intelligence in leadership involves motivation in being able to work hard with
persistence and for reasons other than money and status. Leaders with emotional
intelligence display social awareness or empathy.
Gender and Leadership:
Gender similarities hypothesis: holds that males and females have similar
psychological properties
Women are expected to be nourishing while men are seen as the “take charge”
Interactive leadership: leaders are strong communications and act in a democratic and
participative manner with followers
Moral Leadership:
Moral leadership: is always good and right by ethical standards
Moral leadership begins with personal integrity, a concept to the notion of
transformational leadership
Integrity: in leadership is honesty, credibility and consistency in putting values into
action
Integrity earns the trust of followers
Authentic leadership: activates positive psychological states to achieve self-awareness
and positive self-regulation
Fred Luthans believes that authentic leadership is activated by the positive psychological
states of confidence, hope, optimism and resilience
Drucker’s “Old fashioned” Leadership
Peter Druccker looks at “good-old fashioned” look at the plain hard work it takes to be
successful leader
Believes that leadership is work
Effective leadership is defining and establishing a sense of mission, a good leader sets
goals, priorities and standards
Scholar and consultant Jay Conger says that many managers “confuse persuasion with
taking bold stands and aggressive arguing”
Credible communication: earns trust, respect and integrity in the eyes of others
Easier to get people to do things for you when they trust you
Communication Barriers:
Poor Choice Channels:
Communication channel: is the pathway through which a message moves from sender
to receiver
Poor Written or Oral Expression:
Be prepared, set the right tone, sequence points, support your points, accent the
presentation, add the right amount of polish, check your technology, don’t bet on the
internet, be professional
Failure to recognize Nonverbal signs:
Nonverbal communication: takes place through gestures and body language
Mixed message: results when words communicate one message while action, body
language, or appearance communicate something else
Physical Distractions:
Status Effects:
Filtering: is the intentional distortion of information to make it appear most favourable
to the recipient
Information filtering is often found in communications between lower and higher levels
in organizations
Hierarchy of authority in organizations creates another potential barrier to effective
communications (not being able to criticize the boss)
Improving Communication
Active Listening:
Active listening: helps the source of a message say what he or she really means
Listen for message content, listen for feelings, respond to feelings, note all cues,
paraphrase and restate
Constructive feedback:
Feedback: is the process of telling someone else how you fell about something that
person did or said
Give feedback directly and with real feeling, make sure that feedback is specific rather
than general, give feedback at the acceptable time, make sure it is valid and is given in
small doses
Space Design:
Proxemics: involves the use of space in communication
Physical layout of an office or room is a form of nonverbal communication
Channel Selection:
People communicate with one another using a variety of channels that vary in channel
richness: is the capacity of a communication channel to effectively carry information
Communications such as written reports, memos, and text messages are very low in
richness because of impersonal, one-way interaction with limited opportunity for
feedback.
(low richness) <- postings, e-bulletins, reports / memos, letters / email, text messages, voice
mail / telephone, instant messaging / face to face meetings, video conferences -> (high
richness)
Electronic Communication:
People tend to forget the formal way of typing up a business letter or things of that sort
when using electronic communication. They use slang, and shorten various points.
Tips on managing email:
Read items only once
Take action immediately to answer, move to folders or delete
Purge folders regularly of useless messages
Send group mail and use “reply to all” only when really necessary
Get off distribution lists that are without value to your work
Send short message in the subject line, avoiding a full text message
Put large files on websites instead of sending them as attachments
Use instant messaging as en email alternative
Don’t forget the basic rue of email privacy; there isn’t any
Electronic grapevines: use electronic media to pass messages and information among
members of social networks
Interactive Management:
Management by wandering around (MBWA): managers spend time outside their
offices to meet and talk with workers at all levels
Interactive management also takes many electronic forms- including online discussion
forums, chat rooms, electronic office hours, executive blogs, and video conferencing
When executives suspect that they are having communication problems, communication
consultants can be hired to conduct interviews and surveys of employees on their behalf
Cross cultural communication:
Hard to communicate without having a mutual language to speak from
Sample culture variations in nonverbal communications:
- Eye movements (oculesics): Chines and Japanese may only show anger in their eyes,
a point often missed by westerners
- Touching (haptics): Asian cultures typically dislike touching behaviours; Latin
cultures tend to use them in communicating
- Body motions (kinesics): gestures, shrugs and blushes can mean different things;
“thumbs up” means “A-OK” in North America, but is vulgar in the Middle East
Ethnocentrism: is the tendency to consider one’s culture superior to any and all others
Chapter 5 (Entrepreneurship and Small Business Management):
People with innovative ideas for a business:
Don’t always get the chance to turn into reality
The nature of Entrepreneurship:
Entrepreneurship: is risk taking behaviour that results in new opportunities
Who are the entrepreneurs?
Entrepreneur: is willing to pursue opportunities in situations others view as problems or
threats
Characteristics of Entrepreneurs:
Internal locus of control: Entrepreneurs believe that they are in control of their own
destiny; they are self-directing and like autonomy
High energy level: Entrepreneurs are persistent, hardworking and willing to exert
extraordinary efforts to succeed
High need for achievement: Entrepreneurs are motivated to accomplish challenging
goals; they thrive on performance feedback
Tolerance of ambiguity: Entrepreneurs are risk takers; they tolerate situations with high
degrees of uncertainty
Self-confidence: Entrepreneurs feel competent, believe in themselves and are willing to
make decisions
Passion and action orientation: Entrepreneurs try to act ahead of problems; they want to
get things done and not waste valuable time
Self-reliance and desire for independence: Entrepreneurs want independence; they are
self-reliant; they want to be their own bosses, not work for others
Flexibility: Entrepreneurs are willing to admit problems and errors and are willing to
change a course of action when plans aren’t working
Diversity and Entrepreneurship:
Necessity-based entrepreneurship: takes place because other employment options don’t
exist.
They offer women and members of visible minorities opportunities to strike out on their
own and gain economic independence, providing a pathway for career success that may
be blocked otherwise
Entrepreneurship and Small Business:
Small business: has fewer than 100 employees, is independently owned and operated
and does not dominate its industry
Smaller businesses are prevalent in the service and retailing secotrs of the economy.
Higher cost of entry make them less common in other industries, such as manufacturing
and transportation
How to get started:
Motivations to start a business: wanting to be your own boss and control your future,
going to work for a family-owned business and seeking to fulfill a dream
Common ways to get started is to buy an existing one or buy and run a franchise: is a
form of business where one business owner sells to another the right to operate the same
business in another location
Internet Entrepreneurship:
You can do less work to earn a higher profit
Family Businesses:
Family businesses: is owned and controlled by members of a family
Small businesses must also: meet challenges of strategy, competitive advantage and
operational excellence
Family business fraud: occurs when family members have major disagreements over
how the business should be run
Succession problem: is a the issue of who will run the business when the current head
leaves
Succession plan: describes how the leadership transition and related financial matters
will be handled
How Many Small Businesses Fail:
Lack of Experience: not having sufficient know-how to run a business in the chosen
market or area
Lack of expertise: not having expertise in the essentials of business operations, including
finance, purchasing, selling and production
Lack of strategy and strategic leadership: not taking the time to craft a vision and
mission, nor to formulate and properly implement a strategy
Poor financial control: not keeping track of the numbers, and failure to control business
finances
Growing too fast: not taking the time to consolidate a position, fine-tune the organization
and systematically meet the challenges of growth
Insufficient commitment: not devoting enough time to the requirements of running a
competitive business
Ethical failure: falling prey to the temptations of fraud, deception and embezzlement
New Venture Creation:
When your interest is low-tech or high-tech, on-line or off-line, opportunities for new
ventures are always there for the true entrepreneur. To pursue entrepreneurship and start a
new business, you need good ideas and the courage to give them a chance.
First-mover advantage: comes from being first to exploit a niche or enter a market
Life Cycles of Entrepreneurial Firms:
The firm begins with the birth stage: where the entrepreneur struggles to get the new
venture established and survive long enough to test the viability of the underlying
business model in the marketplace. The firm then passes into the breakthrough stage:
where the business model begins to work well, growth is experienced, and the complexity
of managing the business operation expands significantly. Next comes the maturity stage:
where the entrepreneur experiences the advantages of market success and financial
stability, while also facing the continuing management challenge of remaining
competitive in the changing environment.
Writing the Business Plan:
Business Plan: describes the direction for a new business and the financing needed to
operate it
Banks and other financiers want to see a business plan before they loan money or invest
in a new venture; senior managers want to see a business plan before they allocate scarce
organizational resources to support a new entrepreneurial project
What to include a business plan:
-executive summary: overview of the business purpose and highlight of key elements of
the plan
-Industry analysis: nature of the industry, including economic trends, important legal or
regulatory issues, and potential risks
-Company description: mission, owners and legal form
-Products and services description: major goods or services, with competitive uniqueness
-Market description: size of market, competitor strengths and weaknesses, five year sales
goals
-Marketing strategy: product characteristics, distribution, promotion, pricing and market
research
-Operations description: manufacturing or service methods, supplies and suppliers and
control procedures
-Staffing description: management and staffing skills needed and available, compensation
and human resource systems
-Financial projection: cash flow projections for one to five years, break even points, and
phased investment capital
-Capital needs: amount of funds needed to run the business, amount available and
amount requested from new sources
-Milestones: a timetable of dates showing when key stages of the new venture will be
completed
Choosing the Form of Ownership:
Sole proprietorship: is a form of business where an individual pursues a profit
Partnership: is a form of business where two or more people agree to contribute
resources to start and operate a business together
Corporation: is a legal entity that exists separately from its owners
Limited liability corporation: is a hybrid business form combining advantages of the
sole proprietorship, partnership and corporation
Financing the New Venture:
Debt financing: involves borrowing money that must be repaid over time, with interest
Equity financing: involves exchanging ownership shares for outside investment monies
Equity financing is usually obtained from venture capitalists: make large investments in
new ventures in return for an equity stake in the business
The hope is that a fast-growing firm will gain a solid market base and either be sold at a
profit to another firm or become a candidate for an initial public offering: or IPO, is an
initial selling of shares of stock to the public at large
When large amounts of venture capital aren’t available to the entrepreneur, another
important financing option is the angel investor: is a wealthy individual willing to invest
in a new venture in return for equity in a new venture
Chapter 8 (Organization Structures and Design)
Management Scholar and Consultant:
Henry Mintzberg points out that, as organizations change rapidly in today’s world, people
within them are struggling to find their places
Mintzberg questions: “what parts connect to one another?” “How should processes and
people come together?” “Whose ideas have to flow where?”
Organizing as a Management Function:
Organizing: arranges people an resources to work toward a goal
- Organizing: divide up the work, arrange resources, coordinate activities
- Controlling: to ensure results
- Leading: to inspire effort
- Planning: to set the direction
What is Organization Structure?
Organization Structure: is a system of tasks, reporting relationships and
communication linkages
Any structure should both allocate tasks through a division a labour and provide for the
coordination of performance results. A structure that does both of these things well is an
important asset, helping to implement an organization’s strategy
Formal Structures:
The concept of structure best in the form of an organization chart: describes the
arrangement of work positions within an organization
Formal Structure: is the official structure of the organization
The basic of an organization’s formal structure, includes:
-Division of work: Positions and titles show work responsibilities
-Supervisory relationships: Lines show who reports to whom
-Communication channels: Lines show formal communication flows
-Major subunits: Positions reporting to a common manager are shown
-Levels of management: Vertical layers of management are shown
Informal Structures:
Informal Structure: set of unofficial relationships among an organization’s members
(coffee, dates)
Social network analysis: identifies the informal structures and their embedded social
relationships that are active in an organization
Informal structures can be susceptible to rumour, carry inaccurate information, breed
resistance to change, and even divert work efforts from important objectives
Traditional Organization Structures
Given the division of labour, however, decisions must be made regarding
Departmentalization: process of grouping people and jobs into work units
These decisions have traditionally resulted in three major types of organizational
structures; functional, divisional and matrix structures
Functional Structures:
Functional structures: groups together people with similar skills who perform similar
tasks
Members of functional departments share technical expertise, interests and
responsibilities
Advantages of Functional Structures:
Economics of scale with efficient use of resources
Task assignments consistent with expertise and training
High-quality technical problem solving
In-depth training and skill development within functions
Clear career paths within functions
Disadvantages of Functional Structures:
Problems include difficulties in pinpointing responsibilities for things like cost
containment, product or service quality, and innovation
Functional chimneys problem: lack of communication and coordination across
functions
Divisional Structures:
Divisional structure: groups together people working on the same product, in the same
area, with similar customers or on the same processes
Divisional structures are common in complex organization with diverse operations that
extend across many products, territories, customers and work processes
Product Structures:
Product structure: groups together people and jobs focused on a single product or
service
They clearly identify costs, profits, problems and successes in a market area with a
central point of accountability
Geographical Structures:
Geographical structure: groups together people and jobs performed in the same
location
They are typically used when there is a need to differentiate products or services in
various locations, such as in different parts of a country
They are also quite common to international operations, where they help focus attention
on the unique cultures and requirements of particular regions
Customer Structures:
Customer structures: groups together people and jobs that serve the same customers or
clients
The goal is to best serve the special needs of the different customer groups
Process Structures:
Work process: is a group of related tasks that collectively creates a valuable work
product (order fulfillment by catalogue)
Process structure: groups jobs and activities that are part of the same processes
Advantages/ Disadvantages of Divisional Structures:
Advantages:
More flexibility in responding to environmental changes
Improved coordination across functional departments
Clear points of responsibility for product or service delivery
Expertise focused on specific customers, products, and regions
Greater ease in changing size by adding or closing down divisions
Disadvantages:
Can reduce economies of scale and increase costs through the duplication of resources
and efforts across divisions
Can create unhealthy rivalries as divisions compete for resources and top management
attentions and emphasize division needs to the detriment of the goals of the organization
as a whole
Matrix Structures:
Matrix structure: combines functional and divisional approaches to emphasize project
or program teams
In effect, it is an attempt to gain the advantages and minimize the disadvantages for each.
This is accomplished in the matrix by using permanent teams that cut across functions to
support specific products, projects or programs
Workers in a matrix structure belong to at least two formal groups at the same time – a
functional group and a product, program or project team. They also report to two bosses –
one within the function and the other within the team
The matrix organization has gained a strong foothold in the workplace, with applications
in diverse setting as manufacturing (e.g aerospace, electronics, pharmaceuticals), service
industries (e.g banking, brokerage, retailing), professional fields (e.g accounting,
advertising, law), and the non-profit sector (e.g municipal, provincial and federal
agencies, hospitals and universities
Advantages of Matrix Structures:
Better cooperation across function
Improved decision making; problem solving takes place at the team level where the best
information is available
Increased flexibility in adding, removing or changing operations to meet caning demands
Better customer service; there is always a program, product, or project manager informed
and available to answer questions
Better performance accountability through the program, product or project managers
Improved strategic management; top managers are freed from lower level problem
solving to focus more time on strategic issues
Disadvantages of Matrix Structures:
The two boss system is susceptible to power struggles, as functional supervisors and team
leaders vie with one another to exercise authority
The two boss can also be frustrating if it creates task confusion and conflicting work
priorities
Team meetings in the matrix can take lots of time, and the teams may develop “groupitis”
Horizontal Organization Structures:
Matrix structure is one part of a broader movement toward more horizontal structures that
try to improve communication and flexibility by decreasing hierarchy, increasing
empowerment, and better mobilizing human talents
Team Structures:
Team structure: uses permanent and temporary cross-functional teams to improve
lateral relations
Cross functional team: brings together members from different functional departments
Project teams: are convene for a particular task or project and disband once it is
completed