Business Studies

Which organisational structure is suitable for a multi-product manufacturing company? 


SOLUTION
A type of organizational configuration that groups together those employees who are responsible for a particular product type or market service according to workflow. The divisional structure of a business tends to increase flexibility, and it can also be broken down further into product, market and geographic structures.
A divisional organizational structure gives a larger business enterprise the ability to segregate large sections of the company's business into semi-autonomous groups. While generally better suited to larger organizations, in some circumstances a divisional organizational structure may also benefit a smaller business. In all cases, groups are mostly self-managed and focused upon a narrow aspect of the company's products or services. As with any organization structure, divisional structures have both strengths and weaknesses.
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Subjective Medium Published on 18th 09, 2020
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