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Distinguish between 'divisional' and 'functional' structure …

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Distinguish between 'divisional' and 'functional' structure in an organisation on the basis of : (a) size

Posted by Ncert Sollutions 3 years, 4 months ago

CBSE > Class 12 > Business Studies

2 answers

Preeti Dabral 3 years, 4 months ago

Functional structure is formed on the basis of functions to be performed like Production, Finance, Personnel, and Marketing whereas divisional structure is formed on the basis of various product lines, which is further supported by functions. Divisional Structure is broader in scope than the Functional Structure.

Sia ? 3 years, 5 months ago

The key difference between functional and divisional structure is that functional structure is an organizational structure in which the organization is divided into smaller groups based on specialized functional areas such as production, marketing and sales whereas divisional structure is a type of organizational structure where operations are grouped based on divisions or separate product categories.

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