This document discusses different organizational structures used by companies, including functional, divisional, and matrix structures. It provides examples of each type of structure and outlines their advantages and disadvantages. Specifically, it discusses:
- The functional structure groups employees by skills and expertise into departments like production, marketing, finance, etc. This allows for specialization but can lack coordination.
- The divisional structure separates a company by products, markets, or geography into independent divisions. This improves responsiveness but increases costs and overhead.
- The matrix structure combines functional and project management, with employees reporting to both a functional manager and a project manager. This facilitates collaboration but can be confusing with dual reporting lines.
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