What characterizes a matrix structure in an organization?

A matrix structure in an organization is characterized by the formation of project teams that are composed of employees from various functional areas. This approach allows for greater flexibility and communication across departments, enabling organizations to address complex projects more efficiently.

In a matrix structure, employees typically report to more than one manager, such as their functional manager and the project manager, which encourages collaboration and the sharing of diverse skills and expertise. This collaborative approach means that resources can be allocated dynamically, depending on project needs, and innovation is often stimulated as different perspectives come together to solve problems.

The other options highlight different organizational structures that do not embody the principles of a matrix system. For instance, a single management focus would suggest a more traditional hierarchical structure, while employees working only in their functional areas indicates a siloed approach that limits cross-functional collaboration. Decision-making by a single owner reflects a centralized structure that contradicts the cooperative decision-making aspect inherent to a matrix organization.