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A Differential Between 'Functional and 'Divisional' Structure of Organising on the Basis of the Following: Specialisation - Business Studies

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प्रश्न

A differential between 'Functional and 'Divisional' structure of organising on the basis of the following:

Specialisation

उत्तर

Basis Functional Structure Divisional Structure
Specialisation Brings in operational specialisation. Brings in product specialisation.
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2013-2014 (March) Foreign Set 2

व्हिडिओ ट्यूटोरियलVIEW ALL [1]

संबंधित प्रश्‍न

Answer the following question:
Aradhana and Gandharv are heads of two different departments in 'Yumco Ltd.' 'They are efficient managers and are able to motivate the employee of their respective departments to improve performance. However, their drive to excel in their own sphere of activity instead of giving emphasis on objectives of the enterprise has hindered the interaction between the departments that Aradhana and Gandharv are heading. Often there are inter-departmental conflicts and they have become incompatible. This has proved to be harmful in the fulfillment of the organisational objectives. The situation has deteriorated to such an extent that the CEO of 'Yumco Ltd.' has hired a consultant, Rashmi, to resolve the problem. After studying the situation closely, Rashmi found that the problem has arisen due to inflexibility and a narrow perspective on the part of both Aradhana and Gandharv. She is of the view that this situation is a result of the type of organisational structure 'Yumco Ltd.’ has adopted.
From the above information, identify the organisational structure adopted by ‘Yumco Ltd.’ and state any three advantages of the structure so identified.


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State its any two advantages of the divisional structure


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Neha runs a factory wherein she manufactures shoes. The business has been doing well and she intends to expand by  diversifying into leather bags as well as western formal wear  thereby making her company a complete provider of corporate  wear. This will enable her to market her business unit as the  one stop for working women. Which type of structure would  you recommend for her expanded organisation and why?


Answer the following question.
Voltage fluctuations have been common and quite high in India. They harm our electrical appliances like televisions, refrigerators, and air conditioners, often leaving them in a permanently damaged condition. N-Guard Company decided to manufacture stabilizers for North India where the voltage fluctuation ranges from 220 V to 230 V. Once the demand for North India was taken care of, they decided to launch stabilizers of varying voltages from 90 V – 260 V for meeting the requirements of voltage fluctuations in other regions of India also. Three engineers were appointed for South, West and East regions of India, as the voltage was different in all the three regions.

Though all the engineers were appointed to manufacture stabilizers but the product differed from region to region.

(a) Identify the organisational structure of the N-Guard Company.

(b) State any two advantages and two limitations of the structure identified in the above para.


Which structure of organisation is helpful in locating the inefficient employees?


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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.
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  2. 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.

  1. Identify and state the organisational structure adopted by the company.
  2. State two benefits and two limitations of the identified structure highlighted in the above case.

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