This is fascinating. Whenever I heard about matrix management it always seemed a bit weird that you have essentially two organisational structures in tension with each other - the function group lead is always going to be in tension with the product managers over how their products are resourced. I guess an obvious failure mode is you end up just stripping on direction out which is what they're doing here. One thing that goes unsaid in these situations is often the decision making for how that's done is quite political.