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Matrix structure for a growing business consulting firm

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Why is a Matrix structure better suited for a growing business consulting firm rather than a structure that operates in more of a traditional manner, has organizing departments along functional lines?

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Solution Summary

An explanation as to why matrix structures are better suited for consulting firms rather than other more traditional structures.

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Why is a Matrix structure better suited for a growing business consulting firm rather than a structure that operates in more of a traditional manner, has organizing departments along functional lines? I have read information on matrix structures but am finding it difficult to determine how/why it would assist with a business consulting firm. Is it a way to enrich innovation and creativity, team orientation and possibly other aspects?

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Discussion of Key concepts
Organizational structure is the formal decision-making framework by which job tasks are divided, grouped, and coordinated. Organizational structure determines the role and responsibilities within the organization.
Purpose of organization structure
Organization structure is one of the key elements of the strategy implementation. Thus key objectives of it are:
• Building a capable organization
• Allocating ample resources to ...

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