Cross-Functional Structures: A Review and Integration of Matrix Organization and Project Management

Abstract

In this article, we review and summarize the literature on crossfunctional organization forms that has been published since 1976. We focus on the commonalities of the literatures that deal with matrix organization and project management. With a definition of cross-functional organization in hand, we review the literature for advantages and disadvantages of these organization forms, ending the section with a discussion of the great needfor empirical research to resolve numerous questions and paradoxes. Finally, we review a model for effective cross-functional organizations, comprising environmental influences, organizational characteristics, project characteristics, project team characteristics, project leader characteristics, and project effectiveness. Each section ends with a discussion of needed research, and the article ends with a call for research and theory building regarding cross-functional organizations, which continue to grow in application importance.