Four Organizational Structures

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There are four types of organisational structures which are Functional, Product, Geographic and Customer type. These are all important as each structure can help a business structure in they own way. For example; Function can help businesses structure themselves into different sectors such as production and many more different sectors. Whereas Product structure can help a business structure by separating their product divisions such as separating IPhone from its accessories by cable wire, main plug, headphones and manual book with box. Also Geographical structure can help a business as well into structuring in different areas for example; Apple retail stores in West Yorkshire, North Yorkshire, London, Wales and many more areas. Finally, the …show more content…

The chart shows that each different function is managed from the top.
Advantage of this structure is specialisation which shows that each department focuses on their own work, responsibilities and duties. Also another advantage is accountability, showing that each manager is responsible for their section and would be aware of their and employees working in that particular departments roles. This type of structure allows for more specialisation.
On the other hand, disadvantage for functional structure is that each department may not communicate and interact with another functional group which can lead to a drop in flexibility and in the innovation in other words they would have closed communication that can lead to lack of focus in their work. Also in this type of structure there would a gap between the top and the bottom management. Furthermore, disadvantage can also be that each department can become impervious in order to change where managements can take …show more content…

An advantage of this structure includes serving local communities better by operating to their demands. Also another advantage is that in this structure there would be effective communication between the stores and customers. Also between the work force there would be a strong collaborative at each region and have positive competition between different departments. On the other hand, a disadvantage of geographical structure is the possible conflict between the local and chief management. Another disadvantage of this structure is potential duplication of resources, functions and jobs.
Product Organisational Structures:
This structure outlines a business which is organised in separate divisions where it focuses on different products and services. Also this type of structure in a business functions as an independent unit. In this structure employees are allocated into independent divisions according to the products or services they produce or the geographical area they work and serve in and the type of customers they interact and deal

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