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How is the matrix organisation created?
Matrix organization is created through merging (as two complementary structures, as like) pure project organization and also functional organization. The project related teams are composed of persons drawn through the functional departments for the period of the project.
While their assignment is over, they return to their individual departments. Throughout continuation of the project, those persons have two bosses as one, by the functional department as well as second of the concerned project.
Many organisations are making decisions to outsource some of their activities. Though, when considering the option to outsource, organisations have to consider the transaction cost
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