Tuesday, April 13, 2010

Essentials of effective implementation functional structure

Essentials of effective implementation functional structure
It is based on functional of an organization.Functions are primary activities,such as production,marketing,finance,and human resource.The chief executive has line managers under him.This structure is suitable for smaller companies with narrow product range and single dominate business.
Advantages
  1. There is clear definition of authority,responsibility,roles and tasks.Functional exports is developed.
  2. Specialists manage senior and middle levels.Efficiency is achieved through specialization.
  3. There is direct supervision and control by chief executive.
  4. Career development of functional mangers is facilities.
Disadvantage
  1. Managers are overburdened with routine matters.They neglect strategic issues.Narrow specialization is promoted.
  2. Coordination is poor between functions.
  3. It is difficult to cope diversity due functional focus of manager.
  4. Failure to adapt with environmental changes.
  5. Decision delays are common due to functional rivalry and conflict.

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