Question

This type of organisational structure is most suitable when the size of the organisation is large, has diversified activities and operations require a high degree of specialization:

Options

• Functional Organisation Structure

• Divisional Organisation Structure

• Line Organisation

• Line and Staff Organisation

Answer 1

Functional Organisation Structure

Explanation:

A Divisional Organisation Structure is best suited for large organisations with diversified activities, such as multiple product lines or operating in different regions. It allows each division to focus on its specific area with a high degree of specialization, independent operations, and better accountability.