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प्रश्न
State any three limitations of divisional structure of an organisation.
State any two disadvantages OF divisional structure
उत्तर
Limitations of divisional structure:
1) Departmental Conflicts: With simultaneous functioning of multiple departments, it may happen that a conflict arises between departments with regard to decisions such as allocation of funds and resources. For example, a conflict may arise with regard to the division of workforce among departments
2) Increase in Cost: As each division functions separately, several activities which are common to the organisation are performed for each division separately. In other words, there is the duplication of activities. This leads to an increase in the overall cost for the organisation
3) Ignorance of Overall Objectives: It may happen that in achieving the divisional goals, the overall organisational goals take a backseat. In other words, while focusing on divisional objectives, divisional managers ignore the overall organisational objectives.
संबंधित प्रश्न
State its any two advantages of the functional structure
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Cost involved
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'Saarthi', the name has been associated with the manufacturing and sale of Fashion products since 1960, when Kapil Saarthi opened his first retail fashion clothing outlet in Ahmedabad. Sarthi Cosmetics was incorporated in India in 1940, and became a member of the S & M family of companies in 1959. Sarthi Perfumes began operations in Gujarat in an existing administrative S&M facility in 1985. An important difference between S&M and most other companies is that instead of operating as one large corporation it operates as 180 smaller companies each focused on a specific product and area, implying selective dispersal of authority, recognising the decision makers need four autonomy, as decision making authority is pushed down the chain of command. It enables the company to maintain short lines of communication with customers and employees, and accelerate the development of talent.
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- Identify and state the organisational structure adopted by the company.
- State two benefits and two limitations of the identified structure highlighted in the above case.
Diligent developers, a website design company in Bangalore is a startup initiative of Mr. Maniraj which aims at achieving a profit margin of 10% in its first year. Mr. Maniraj appointed Mr. Advait as the Digital marketing Head, Mr. Kiyansh as the head of Backend department and Mr. Nirved headed the Graphics Designing Department. Since each head was specialised in specific skills, it resulted in increased efficiency and better coordination. However, problems arose when Mr. Advait started considering group objectives superior to organisational objectives and stopped exchanging information with Mr. Kiyansh and Mr. Nirved. The company had to bear the brunt of lack of coordination and was unable to achieve its objectives. |
- Identify and state the organisational structure adopted by the company.
- State two benefits and two limitations of the identified structure highlighted in the above case.
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