hierarchy and structure.
functional structure strengths and weaknesses - Correct Answer Strength: Specialization
1. companies use a functional organizational structure, people with similar knowledge and
skills are grouped together. This makes it possible for employees to become specialists in
their field.
Strength Productivity
1. Specialization leads to operational efficiencies and enhances productivity levels.
2. Because of their expertise, workers with specialized skills can perform tasks quickly,
efficiently and with more confidence, thus reducing the occurrence of work-related
mistakes.
3. The main goal of functional structures in organizations is to bring the entire human and
informational resources together to meet the organization's goal.
Weakness: Management Issues
1. Communication in organizations with functional organizational structures can be rigid
because of the standardized ways of operation and the high degree of formalization.
2. decision-making process slow and inflexible.
3. Lack of innovation and restricted views of organizational goals, along with too much
focus
Weakness: Unit Coordination
1. their level of cooperation with each other is sometimes compromised.
2. groups may have difficulty working well with each other as they may be territorial.
ultimately can bring down production levels overall, and the company-wide employee
commitment toward meeting organizational goals
define organizational structure - Correct Answer An organizational structure model
functions as the blueprint of a company's employees and job titles
Identifying types of Organizational Hierarchy Structure - Correct Answer flat, mid-sized or
tall
Flat Structures - Correct Answer 1. have very few echelons or tiers in a company with a
flat organizational structure.
, many small companies have flat organizational structures because of the lack of middle
management. The president of the company may employ just a few managers and clerical
workers until the organization grows.
Mid size and larger companies tend to use a _______________ structure, - Correct
Answer a. functional organizational Structure
where technologies, people and tasks are divided into separate functional groups such as
finance, operations, marketing, human resources
b. each group works independently of the others.
c. Companies that use functional organizational hierarchy structures split their
departments into functional areas.
1. accounting, finance, engineering, and marketing
Companies that use a product organizational hierarchy structure..... - Correct Answer
divide departments by product categories.
i. Department stores and retailers use a product organizational structure.
1. example, an executive, such as the vice president of men's clothing, may report to the
president.
functional organizational hierarchy structures have.... - Correct Answer vice presidents,
directors, and managers of marketing, for example, instead of product-oriented titles.
Benefits of a product organizational hierarchy structure - Correct Answer employees can
specialize in a particular product line.
1. specialization fosters the production and the distribution of all products.
2. can be particularly useful when product quality is essential.
.
Companies that use functional organizational hierarchy structures - Correct Answer
efficiently group employees by knowledge, skills and resources
Organizational Hierarchy Disadvantages - Correct Answer 1. duplication of resources
a. Example, the housewares, sporting goods and men's clothing departments in a retail
chain may require separate marketing managers. Three marketing managers may not be
practical and can drive up labor costs.