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

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प्रश्न

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

Cost involved

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उत्तर

Basis Functional Structure Divisional Structure
The cost involved Less expensive and economical because
functions are not duplicated.
Expensive and not so economical because resources are required in different departments and there is a higher rate of duplication of
work
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2013-2014 (March) Foreign Set 2

वीडियो ट्यूटोरियलVIEW ALL [1]

संबंधित प्रश्न

Name the type of 'organisational structure' which promotes efficiency in utilisation of manpower.


'My Car Ltd.' decided to set-up its new car manufacturing factory in the backward area of West Bengal where very less job opportunities were available. People of that area welcomed this effort of 'My Car Ltd.' The company also decided to provide facilities like school, hospital, market etc. in the factory premises so that the people are attracted to join the factory as workers.

'My Car Ltd.' started earning huge profit. Another competeting company asked its production manager 'Arvind' to investigate the reasons of earning huge profits by 'My Car Ltd.'

Arvind found that in both the companies there was systematic co-ordination among the various activities to achieve organisational goals. Every employee knew who was responsible and accountable to whom. The only difference was that in his organisation communication took place only through the scalar chain, where as 'My Car Ltd.' was allowing flow of communication in all the directions as per the requirement which lead to faster spread of information as well as quick feed-back.

a. Identify the type of organisation which permits the flow of communication in all the directions in 'My Car Ltd.'

b. Also state an advantage of the type of organisation identified in part (a) above.

c. State any two values which 'My Car Ltd.' wants to communicate to the society.


'Himalaya Ltd', is engaged in manufacturing of washing machines. The target of the organisation is to manufacture 500 washing machines a day. There is an occupational specialisation in the organisation which promotes the efficiency of employees. There is no duplication of efforts in such type of organisation structure.

Identify the type of organisation structure described above


Differentiate between formal and informal organization on the basis of the following:

Authority


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

Formation


Differentiate between formal and informal organisations on the basis of

  1. origin,
  2. authority, and
  3. flow of communication.

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


A network of social relationships that arises spontaneously due to interaction at work is called:


Which of the following does not follow the scalar chain?


Grouping of activities on the basis of product lines is a part of ______.


Which of the following is not a merit of divisional structure?


Which of the following is not true about formal organisation?


The employees of ABC co. have formed a Dramatics club for their recreation. Name the type of organisation formed by the and state one of the features of such an organisation.


Which of the following gives shape to the organisation structure?


Which type of organisational structures is the most suitable when the size of the organisation is large and is producing one line of product?


______ is the process of dividing work into manageable activities and then grouping the activities which are similar in nature.


Yummy Foods Ltd. has its registered office in Lucknow, manufacturing unit in Kanpur and marketing department in Chandigarh. ______ type of organisational structure should be adopted by the company to achieve its objectives.


An organization structure is deliberately designed by the top management to facilitate smooth functioning of the organisation. Which of the following is not a feature of such a structure?


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.

______ organisations are formed spontaneously as a result of social interaction among employees in an organisation.


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