This give rise to constant conflict as witnessed in this case of SMA: MEPD. The other problem regards drop in the sales, this challenge to the model originates from overload of tasks on sales department with younger and inexperienced sales coordinators. As noted by Knight (2005), the functional departments will work effectively if a matrix strategic plan setting prioritizes on objectives and a matrix budget allocating resources.
These challenges do not imply that project matrix approach is ineffective, but only point out what out to be checked in order to enhance its effectiveness. In this regard, there is a need to carefully manage authority domain by combining expertise, influence and authority. There should be also effective resource control and budget control in order to make it a success. Conflict among the top managers should be solved by defining the roles, responsibility, and authority of each of the actors clearly in a project charter. The failure in the communication from top management after RAT meeting should be solved by enhancing proper methods of horizontal communication to be developed across functional department boundaries. At the same time the managers can turn to alternative approaches for lateral communication: procedures as plans, budgets, schedules, and review, meetings; direct contact between managers; and informal liaison roles (Knight, 2005). These alternative lateral communication techniques help to break down the barriers that seem to separate different disciplines, departments, and geographic locations in SMA: MEPD.
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