Even with the most competitive business strategy, if you want to win the game, you need the most effective organizational operating system.
Think about your computer’s operating system. It allows you to run applications like Word®, PowerPoint® and Photoshop®. But if you’re still operating MS-DOS®, you can’t run these complex programs. You’re stuck with very basic programs like VisiCalc®. Remember?
It’s Time to Upgrade Your Operating System!
Similarly, organizations are running their matrix on an old, obsolete operating system, so it’s no wonder that their modern programs aren’t working. The old system, Vertical Management 1.0, will only work if you’re managing a small mom-and-pop business like a grocery store—not if you are managing a chain of stores or any other large and complex organizations.
The Old Operating System
Invented in the 1970s, Matrix Management 1.0 still uses the premises of Vertical Management 1.0. Its new feature was the concept of dual reporting, where a team member reports to a leader, and the leader to a functional boss. Although the system never worked very well, it’s still being used to manage matrix organizations.
Matrix Management 2.0™ is the most up-to-date system on the market. It shifts vertical management to the horizontal dimension: the dimension that executes business strategy and focuses on customers, products, processes and suppliers. It is based on the most current premises available for how to run an organization.
If you’d like to find out more about Matrix Management 2.0, we invite you to read Matrix Management Reinvented: Book 1 – The New Game in Town.
