Types of Team Structures

The first step to having a well-structured team is ensuring clear definitions of roles and responsibilities. Many teams run into problems when these are left ambiguous. Without clear guidelines, confusion reigns, tasks get dropped, and fingers are pointed. That's why it's important to define who does what right from the start.

This clarity isn't just about avoiding chaos — it's about boosting efficiency. When everyone knows their role, there's no stepping on toes or wasted effort.^[1] Tasks get done, deadlines get met, and projects sail smoothly to success. So, skip the guesswork and get those roles and responsibilities locked in tight. Your team will thank you for it.

The complexity of each project determines the ideal team structure. For instance, a large-scale software development project with multiple features and intricate technical requirements will call for a team with specialized roles such as software engineers, UX/UI designers, and quality assurance testers. Meanwhile, a small graphic design project may only need a designer and a project manager.

By figuring out how complex the project is at the start, you can decide what skills are needed and assign the right resources. This makes sure the team can manage the project's needs well, leading to better efficiency and productivity.

The size of your team can heavily influence how it works. Small teams often do well with flexible teamwork. In these teams, everyone talks to each other and shares tasks. But, big teams in large companies need clear roles and a hierarchy. This helps keep work organized and running smoothly.

For example, a team of five designers might do great with a flat setup that lets them be creative and openly talk. But, a team of fifty might need clear divisions into departments to keep things orderly and productive. So, matching the team setup to its size helps teamwork, communication, and overall performance, making the team reach its goals more easily.

Your team's setup should support and enhance the overall objectives and strategies of your organization. For instance, if your company aims to innovate rapidly, your design team structure might prioritize flexibility and cross-functional collaboration.

On the other hand, if your organization focuses on delivering consistent quality, a more hierarchical structure with clearly defined roles and processes might work better for you. By letting organizational goals guide your team structure decisions, you create a framework that propels the entire organization toward success.

The alignment of team capabilities with project requirements is critical for its success. Here's how to effectively evaluate and optimize your team's skills for any given project:

• Determine core and supplementary skills needed for the project, such as UX/UI design and user research
• Use skill inventories, past performance reviews, and discussions to assess the team's current skills
• Identify discrepancies between the project's requirements and the team's expertise
• Invest in training, hire for specific roles, or redistribute tasks within the team to fill gaps
• Regularly reassess team skills and project demands to ensure alignment

Most importantly, promote a work environment that encourages learning, skill development, and innovation. Keep in mind that this skill evaluation applies to when you’re building a new team too.

Based on organizational goals, priorities, skills and expertise needs, and project complexity, teams can be classified into functional, cross-functional, flexible, project-based, and contractual structures.

In functional teams, members are grouped by expertise, like user research, UX/UI design, or visual design. Each group focuses on its specific area, ensuring specialization and deep expertise. This specialization boosts productivity and efficiency, as team members understand their roles clearly. It also promotes consistency and quality, with each group refining its domain.^[2]

However, keep in mind that functional teams may struggle with cross-functional collaboration, leading to silos, communication challenges, and delayed changes.

Cross-functional teams unite experts from various fields, fostering collaboration and comprehensive problem-solving. For instance, a cross-functional team for a mobile app project might include visual designers, UX specialists, user researchers, and developers. This setup encourages collaboration, as diverse skills lead to different perspectives and innovative solutions, considering factors like aesthetics, usability, and technical feasibility. Moreover, knowledge sharing enhances creativity and promotes a culture of continuous learning.

While these teams enable faster decision-making and accountability, keep in mind that they may face coordination issues and potential conflicts due to differing priorities.

Flexible or matrix teams allow team members to retain their specialized expertise within their functional areas while also engaging in collaboration across different projects. Imagine a graphic designer who's part of the design department but simultaneously works with a marketing project team to create compelling advertising materials.

Matrix teams are great because they encourage expertise and teamwork. Everyone contributes their skills and works with people from other departments to reach common goals. This helps with learning and innovation. These teams are also good for communication because they need regular engagement and sharing of information, which helps projects move forward and succeed.

On the flipside, matrix teams can introduce complexity and potential conflicts due to multiple reporting lines and overlapping responsibilities. Decision-making may become more intricate, and establishing clear accountability can be challenging.

Project-based teams are best suited for specific projects or initiatives, coming together to bring a particular vision to life. Imagine a group of user researchers, UX designers, developers, and product managers assembling to revamp the user interface of a popular mobile app. Each member is selected for their specific expertise critical to achieving the project's objectives. Once the redesign is successfully launched and user feedback is positive, the team disbands, with members moving on to apply their skills to new challenges.

The strength of project-based teams lies in their dynamic nature. They can be tailor-made for each project, ensuring that exactly the right people are working together. This flexibility allows for adjusting team sizes based on the project's scope, making sure resources like time, budget, and skills are used as effectively as possible.

However, keeping such teams on track requires strong project management skills, and building team unity can be tough when team compositions frequently change.

Contractual teams are specialized helpers hired for specific projects. For example, imagine a small tech startup that wants to enhance their app's design but doesn't have the budget or need for a full-time designer. So, they bring in an external design team on a contract to tackle the project.

This setup is ideal for companies needing temporary skills or extra hands due to a spike in workload or a gap in expertise. Contractual teams offer flexibility and expertise without the long-term commitment of hiring new staff. Once the project is completed, these teams move on, providing a cost-effective solution for companies to achieve their design goals.^[3]