Functional Structure

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  • Functional Structure
    • Operates a series of seperate departments under the leadership of one senior manager
    • Advantages
      • Allows the business to be coordinated from the top to have a sense of overall direction
      • It provides clear lines of communication and authority
      • It lets specialists operate in particular areas, such as marketing and research and development
    • Disadvantages
      • Senior managers may become very remote as the business grows
      • Decision making may be slow because of long lines of communication
      • It provides little coordination and direction to those lower in the organisation


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