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Unformatted text preview: o Competitive in dynamic environments requiring both responsiveness and efficiency o Kenan-Flagler has a matrix structure • Advantages of matrix: o Can meet dual environmental demands o Relatively flexible use of resources o Relatively quick reaction times o Relatively good training for both generalists and spets • Disadvantages of matrix: o Lose some economies of scale o Difficult to maintain balance of power o Having multiple bosses can be stressful o Negotiations and conflict resolution can be time consuming and require talented management • What happens when economy goes bad? o Functional leaders gain more power (efficiency and cost cutting) • When economy grows? o Divisional leaders gain more power (more focus on profits)...
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This note was uploaded on 05/30/2011 for the course BUSI 405 taught by Professor Blackburn during the Fall '10 term at UNC.
- Fall '10