Organizational structures are often designed in such a way as to facilitate efficiency in the organizations operations and ensure that the main objectives are met. Paramount Pictures Corporation is a film production organization which has a matrix organizational structure as is discussed forthwith. Film production organizations generally benefit from such a structure because it allows for flexibility and for maximum utilization of skills (Worren, 2013), talent and resources. Paramount Pictures deals with the production and distribution of films, which is the organization’s main source of revenue.
Advantages of the Matrix structure
This structure allows for a high flexibility in resource use. Paramount pictures may for instance choose to hire actors who demand low wages for certain projects in order to direct their resources to another. Moreover, depending on the nature of the project, the number of necessary crew may be varied accordingly to minimize costs.
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It takes little time to make any necessary changes due to the high flexibility levels.
Disadvantages
The matrix structure often results to a higher number of conflicts than other structures, due to duplicity in accountability structures. Most of the functions are also interdependent thereby necessitating high levels of harmony (Worren, 2013).
Administrative costs may also be quite high due to the high level of coordination required.
Recommendations
The structure could be adjusted to allow for integration of work processes that are highly interdependent (Worren, 2013). This would prevent conflicts and increase efficiency.
The organizational structure should be designed in such a way that the key responsibilities in the organization are handled by permanent personnel. For instance, the company should have project coordinators who handle all or most of its projects, instead of hiring new project managers or coordinators for each project.
Reference
Worren, N. (2013, May 26) How to align structure and processes…Five ideas about organization design…Part 3. Retrieved from https://www.youtube.com/watch?v=VgpHjMC9WUA
