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The disadvantage of matrix management is that employees can become confused due to conflicting loyalties. The belief is that a properly managed cooperative environment can neutralize these disadvantages. Overall, matrix management typically thought to be an outdated method to organize a company The belief in the 70's and 80's was that a matrix organization would be the best way to manage project complexity. It has been proven to not be true over the years by the failures of companies such as IBM, HP, and AT&T. A matrix organization in itself is complex, breaks down over time, and hinders the ability of managers to effectively lead.

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