Which of the following advantages does a functional organizational structure offer a company?
Show Functional Organization : All of the companies define its organizational structure to determine the reporting relationships that will exist in the company. It simply states who works for who. Organizations choose their organizational structure based on many factors like: size, its geographic location, the manner of delivering different products and services that they will offer. A functional organization is the most common type of organizational structure. This is where the organization is divided into smaller groups based on its special functions such as IT, finance or marketing. This departmentalization allows greater operational efficiency because the employees have their skills and knowledge to be shared within the group. The basis of this functional organization structure is an arrangement where a worker has different managers for different areas of the organization operation. Since this type of structure has many departments, it could also have several reporting structures as well. In a functional organization structure, the reporting relationships are grouped based on the specialty or functional area. Separate areas are established to take care of different concerns. Functional Organization The advantages of Functional Organization:
The disadvantages of Functional Organization:
What are the advantages of functional organizational structure?Advantages of a functional structure
specialisation - departments focus on one area of work. productivity - specialism means that staff are skilled in the tasks they do. accountability - there are clear lines of management. clarity - employees understand their own and others' roles.
What is an advantage of the functional organizational structure quizlet?Functional structure is task or knowledge-based. Ie. HR department, Sales department. Advantages: fosters professional identity, create pools of talent for organization, allows expertise in supervision.
What are the main features of functional organizational structure?The features of functional organization are as follows:
(i) The entire organizational activities are divided into specified functions, such as operations, finance, marketing, personnel relations, etc. (ii) Each functional area is put under the charge of a functional specialist.
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