PDF. The main reason for the simple matrix organisational chart is clearly explained in this example. This large corporation has three operating divisions because it operates in three unrelated market sectors. The matrix org chart assumes that each of these divisions needs a flat functional department structure that are all pretty much the same, but, because their products are so different, there is no point in them being housed together. This means the flat functional is multiplied by three, which results in 4 basic levels of management plus a separate corporate division that focuses on the life of the overall amalgamated corporation, and sells a few services to the operating divisions. To complete this chart, import the flat functional chart appropriate to the operations (e.g. Manufacturing or Sales) for each product division, with upstream/downstream strategic planning and costing, and you have the complete picture. Presented as a simple diagram. (International planning presentation)
H-2018Organi_2.docLarge corporation with three operating divisions, operating in three unrelated market sectors, presented as a simple diagram.
