Organisational structure.

Organisational structure.

1. Organise by function

   • Mainly in Limited companies
   • Each functional area does one part of work in the business.
     • Marketing
     • Customer service
     • finance
     • HR
   • Advantage : Specialists concentrate on that particular job
   • Disadvantage: Department communication

2. Organise by Product

   • Mainly large manufacturers
   • Product based structure.
   • Advantage: Managers make decisions relevant to each sector
   • Disadvantage: wasteful duplication

3. Organise by Region

   • Mainly multinational businesses
   • Regional or national divisions
   • Advantage: Day to day control is easier
   • Disadvantage: wasteful duplication