When we talk about innovation in organizations, we tend to focus on ideas, methodologies, or people. But there is an often overlooked yet profoundly influential element: organizational structure. How do we organize ourselves to innovate?
In principle, any organizational structure can be valid for fostering innovation, as long as it is accompanied by an appropriate culture, committed leadership, and flexible processes. However, there are structures that, by their very nature, are more likely to stimulate change: the matrix structure and the project-based structure.
The matrix structure combines two organizational dimensions: by function and by project or product. This dual approach allows for the integration of specialization and focus, generating synergies between diverse teams. Although it can generate tensions in decision-making, when well managed, it promotes interdepartmental collaboration and fosters the emergence of innovative solutions.
The project-based structure, on the other hand, is based on the creation of temporary, multidisciplinary teams to address specific challenges. This organizational form provides agility, fosters autonomy, and allows people to engage in initiatives that give meaning to their work. It is especially useful in contexts where innovation must respond to rapid changes in the environment.
However, adopting a more flexible structure does not in itself guarantee innovation. This organizational form must be accompanied by governance that balances freedom and alignment, guarantees resources and time for experimentation, and prevents traditional structures from becoming imposed through inertia.
Ultimately, innovation is also a matter of form. The way we organize ourselves can foster or block people’s creative potential. Choosing more adaptive, project-oriented structures is a commitment to a more vibrant, connected, and evolving organization.