Matrix working: HR strategy checklist for complex organisations

As organisations evolve in operational complexity reflected in agile solutions and working, many are implementing matrix working arrangements and promoting cross-functional collaboration. There is also pressure on organisations to integrate informal ways of sharing workforce knowledge – not always captured in formal processes. While the benefits of matrix working are well-documented—improved responsiveness to market demands, enhanced project delivery, and better talent utilisation (Galbraith, 2014)—the shift requires HR leaders to critically adapt their talent management strategies.

This article offers a practical framework for HR business partners to think through the strategic adjustments necessary for successful talent management in matrix environments. It includes reflective questions, key challenges, and low-resource strategies to implement change effectively.

Understanding the talent implications of matrix working

Matrix structures, where employees report to multiple managers (e.g. functional and project leads), are designed to break silos and foster cross-disciplinary solutions. However, they also challenge traditional models of performance management, career progression and leadership development (Brock & Shen, 2023).

In matrix environments, power and decision-making are more diffused. Employees may face competing priorities and ambiguous authority lines. These dynamics can lead to stress, underperformance, duplication of work or disengagement unless there is pro-active support and structural capabilities that lend towards matrix working (Torrington et al. 2020). Many organisations introduce matrix working without clear audits of current processes and assessments as to the efficacy of these processes in supporting new ways of working. Even slight changes to expectations and processes, if not carefully managed, can quickly escalate into unhealthy workplace behaviours and environments.

Strategic questions

To future-proof talent approaches, HR leaders should consider:

1. What behaviours and mindsets does matrix working require? Are we recruiting and promoting people who can work across boundaries, manage ambiguity, and influence without authority?
2. How is performance currently assessed? Are appraisal systems accounting for dual reporting lines and cross-functional contributions? Do we gather feedback from multiple sources (e.g. 360 reviews)?
3. What does ‘talent’ mean in a matrix environment? Have we updated our definitions of potential and success to reflect collaboration, influence, and adaptive leadership?
4. How are we supporting managers and teams? Do leaders have the skills to manage shared resources and develop talent outside traditional hierarchies?
5. Are L&D programmes aligned with the new skills required? Do we explicitly develop political awareness, collaboration, and emotional intelligence?
6. Is there an impact on less represented groups? Have we conducted an impact assessment across staff groups by characteristic (e.g. gender, ethnicity, disability, age)?

Common challenges in matrix talent management

Matrix working can unravel well-laid HR plans if not managed with foresight. Typical challenges include:

• Role confusion and accountability gaps – Employees may be unclear on who owns development or feedback.
• Talent hoarding – Managers may resist sharing high performers across functions.
• Inconsistent performance feedback – When reporting lines multiply, feedback may conflict or become diluted.
• Limited visibility of talent – Traditional succession plans may overlook project contributors or informal leaders.
• Lack of employee support – The whole becomes much greater than the parts and this can lead to employee drift if they are not supported across their roles.
• Duplication and increase in workload – This can happen especially with multiple lines of reporting and the need to manage programmes across functions. It can cause a rise in bureaucracy and reduce the agility of organisations.

These issues can erode trust in HR systems unless mitigated through transparency, emotional intelligence and inclusive practices. In organisations that have introduced matrix working without comprehensive justification and communication for the change, employees are likely to be de-motivated and less likely to trust the process. There is also a need to run training programmes for managers to support the new style of working.

Making effective changes with minimal resources

You do not need a major transformation budget to get started. Consider these interventions:

• Map influence, not just hierarchy. Create simple visual tools that show how work gets done across functions. Use this to inform talent reviews and succession plans.
• Pilot cross-functional talent discussions. Begin small. Choose a project team and ask both project and functional leads to jointly review performance and development needs.
• Embed matrix competencies into leadership models. Adjust existing frameworks to reflect key behaviours: collaboration, ambiguity tolerance, and conflict navigation.
• Use existing digital tools for multi-rater feedback. Most platforms now support lightweight 360 assessments. Encourage regular feedback loops rather than annual reviews.
• Host learning circles or peer coaching. Encourage cross-boundary skill sharing. This builds informal networks and surfaces hidden talent.
• Offer just-in-time guidance for dual managers. Create brief “how to manage in a matrix” guides that give line and project leads simple coaching prompts.

Final thought: Talent management is culture work

Talent management in matrix structures is less about redesigning frameworks and more about reshaping culture. It requires HR to act as facilitator, coach, and systems-thinker—supporting people to thrive in complexity, not escape from it. Therefore it is critical to run pilots, collect evidence on efficacy, be clear about principles, and regularly listen to feedback. The most effective talent strategies are those that adapt continuously to how work really gets done.

Matrix talent management checklist for HR business partners

1. Clarify capabilities and behaviours needed
☐ Have we identified the core behaviours essential for success in matrix roles (e.g. collaboration, ambiguity tolerance, resilience, influencing without authority)?
☐ Are job descriptions, competency frameworks, and development plans aligned with these capabilities?

2. Recruitment and onboarding
☐ Are we hiring people who can navigate complexity and work across functional boundaries?
☐ Does onboarding include guidance on working in a matrix, including dual reporting lines and cross-functional expectations?

3. Performance and feedback systems
☐ Have we introduced mechanisms for collecting feedback from both functional and project leads?
☐ Are managers trained to give and reconcile feedback in dual-reporting contexts?
☐ Does our system allow for real-time or continuous feedback across projects?

☐ Are employees clear about the reward strategies that accompany matrix working?

4. Talent visibility and succession planning
☐ Are project-based contributions recognised in succession and promotion discussions?
☐ Have we mapped influence and informal leadership networks, not just formal hierarchies?
☐ Are diverse talent pools reviewed across functions, not just within silos?

5. Manager readiness
☐ Have both line and project managers received training or support on managing in a matrix structure?
☐ Do managers understand how to share responsibility for development and performance?
☐ Is there a clear process for resolving conflicts between managers?

6. Learning and development
☐ Are we offering development in systems thinking, structural change, conflict resolution, and adaptive leadership?
☐ Do employees have access to peer learning opportunities across departments?
☐ Are there just-in-time learning resources (e.g. guides, microlearning, coaching prompts) available?

7. Communication and culture
☐ Are we communicating clearly and regularly about how talent decisions are made in a matrix?

☐ Have we conducted an impact assessment to identify gaps or areas that may exarcebate current inequalities and disparities in workplace talent and progression?
☐ Do employees understand how their work connects to broader strategic goals across teams?
☐ Are we reinforcing collaboration and shared accountability as cultural norms?

8. Low-cost innovations
☐ Have we piloted any quick-win interventions (e.g. cross-team talent reviews, learning circles)?
☐ Are we making full use of existing tech platforms for feedback and performance tracking?
☐ Do we have short guides, templates, or FAQs for managing and working in a matrix?

References

• Brock, D. M., & Shen, W. (2023) Managing in the Matrix: Human Resource Challenges and Solutions. Human Resource Management Journal, 33(1), 15-28.
• Galbraith, J. R. (2014) Designing Matrix Organisations that Work: How to Structure, Manage and Lead Across Boundaries. Jossey-Bass.
• Torrington, D., Hall, L., Taylor, S., & Atkinson, C. (2020) Human Resource Management (11th ed.). Pearson Education.