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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:
Which of the following are advantages of a functional organizational structure?In a functional business structure, employees report to a functional manager with the same work specialty. A key advantage of this organizational structure is that it increases productivity because it allows employees to focus on their skills.
What is one of the advantages of a functional organizations?The most obvious advantage of a functional organization is that grouping employees by specialization ensures a dependable level of departmental competence.
What is an advantage of the functional organizational structure quizlet?List advantages and disadvantages of functional organization. -Functional advantages include good discipline, specific knowledge, easy for center control, effective for shared resources, one "boss," and clear path for professionals.
Which of the following is not an advantage of functional organisation structure?Another weakness of functional organizational structure is there could be lack of unit coordination. This means that though the functional units can perform with higher level of efficiency however, there could be difficulty working well with each other thus, cooperation is compromised.
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