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Question
Grouping of activities on the basis of product lines is a part of ______.
Options
Delegated organization
Divisional organisation
Functional organisation
Autonomous organization
Solution
Grouping of activities on the basis of product lines is a part of Divisional organisation.
Explanation:
Activities are categorised by product or geographical territory in the divisional organisational structure. When a company has a large number of products of various categories, it chooses a divisional structure.
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RELATED QUESTIONS
What is meant by 'functional structure' of an organisation?
The differential between 'Functional and 'Divisional' structure of organising on the basis of the
following:
Formation
A company manufacturing sewing machines set up in 1945 by the British promoters follows formal organisation culture in totality. It is facing lot of problems in delays in decision making. As the result it is not able to adapt to changing business environment. The work force is also not motivated since they cannot vent their grievances except through formal channels, which involve red tape. Employee turnover is high. Its market share is also declining due to changed circumstances and business environment. You are to advise the company with regard to change it should bring about in its organisation structure to overcome the problems faced by it. Give reasons in terms of benefits it will derive from the changes suggested by you.
Write a short note on: Formal organisation.
Grouping of activities on the basis of functions is a part of
Which of the following factors are of informal organisation that support the working of formal organization?
______ is suitable for multi-product companies focusing on 'differentiated products'.
Which type of organisational structures is the most suitable for those business enterprises where a large variety of products are manufactured?
Match the STRUCTURE in an organisation in Column I with the appropriate EXPLANATION in Column II.
| Column I | Column II | ||
| (1) | Organisation Structure | (i) | Grouping activities on the basis of products |
| (2) | Functional Structure | (ii) | Framework within which managerial and operating tasks are performed. |
| (3) | Divisional structure | (iii) | Grouping of similar jobs and organizing them as separate departments. |
Which type of organisational structure is the most suitable when the size of the organisation is large and is producing one line of product?
