Which of the following statements about matrix organization is true?
A) It creates an environment in which the unity-of-command principle is strictly followed.
B) It is a collection of independent, mostly single-function firms that collaborate to produce a good or service.
C) It is composed of dual reporting relationships in which some employees report to two superiors.
D) It involves holding employees together by contracts that stipulate results expected, rather than by hierarchy and authority.
E) It results in a centralized decision-making system.

Question

Quizplus · Accepted Answer

Matrix organization is composed of dual reporting relationships in which employees report to two superiors. This creates a complex network of communication channels and can provide flexibility and specialized expertise in the organization. The other options are incorrect because A, D, and E are not true characteristics of matrix organization, and B describes a different type of organizational structure, which is a network.

Which of the Following Statements About Matrix Organization Is True