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Functional organization is a type of organizational structure that uses the principle of specialization based on function or role. It allows decisions to be decentralized since issues are delegated to specialized persons or units, leaving them the responsibility of implementing, evaluating, or controlling the given procedures or goals.
A functional organizational structure is a structure that consists of activities such as coordination, supervision and task allocation. The organizational structure determines how the organization performs or operates. The term "organizational structure" refers to how the people in an organization are grouped and to whom they report.
A vertical structured organization or a "tall" company describes a chain of management, usually with a CEO at the top delegating authority to lower-level managers through mid-level managers. Horizontal or "flat" companies , however, have fewer middle-managers, which implies that high-level managers are more involved in daily tasks and interact ...
Organizing is the function employed to achieve the overall goals of the organization. Organization harmonizes the individual goals of the employees with overall objectives of the firm. Composition of individuals and groups. Individuals forms a group and the groups forms an organization. Thus, organization is the composition of individual and ...
This organizational type assigns each worker two bosses in two different hierarchies. One hierarchy is "functional" and assures that each type of expert in the organization is well-trained, and measured by a boss who is a super-expert in the same field. The other direction is "executive" and tries to get projects completed using the experts.
Functional management is the most common type of organizational management. The organization is grouped by areas of speciality within different functional areas (e.g., finance, marketing, and engineering). Some refer to a functional area as a "silo".
Staff and line are names given to different types of functions in organizations. A line function is one that directly advances an organization in its core work. [1] This always includes production and sales, and sometimes marketing. [2] A staff function supports the organization with specialized advisory and support functions. [3]
Organization development (OD) is the study and implementation of practices, systems, and techniques that affect organizational change. The goal of which is to modify a group's/organization's performance and/or culture. The organizational changes are typically initiated by the group's stakeholders.