Question

it is an organisation structure followed by large scale service organisation whose activities are geographically sptead.
find the organisation structure and its merit and demrit​

Answer 1

Answer:

1. It is a divisional Structure

2. merits and demerits are:

Advantages:

Each division functions as an autonomous unit which leads to faster decision making.

It helps in fixation of responsibility in cases of poor performance of the division

It helps to develop the skill of the divisional head.

It facilitates expansion and growth as new divisions can be added without interrupting the existing operations.

Disadvantages

Conflict may arise among different divisions with reference to allocation of funds.

It may lead to increase in costs since there may be a duplication of activities across products.

It is not suitable for small organisations.