Which of the following is an example of a divisional organization structure?
A. Structure groups all employees with the same kind of job together.
B. Structure is temporary and will likely disband after project is complete.
C. Structure allows employees to focus more on department goals rather than company-wide goals.
D. Structure is organized either by product or region.

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Answer:

D. Structure is organized either by product or region.

Explanation:

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The example of a divisional organization structure is the structure is organized either by product or region.

What is divisional organization?

A divisional organizational structure gives a larger business enterprise the ability to segregate large sections of the company's business into semi-autonomous groups. While generally better suited to larger organizations, in some circumstances this formal structure may also benefit a smaller business. In all cases, groups are mostly self-managed and focused upon a narrow aspect of the company's products or services. As with any organization structure, divisional structures have both strengths and weaknesses.

What are benefits of divisional organization?

Divisions work well because they check a team to focus upon a indivisual product or service, with a leadership structure that supports its major strategic objectives. Having its own president or vice president makes it more likely the division will receive the resources it needs from the company.

What are disadvantages of divisional organization?

A divisional organisation also has weaknesses. A company comprised of competing divisions may allow office politics instead of sound strategic thinking to affect its view on such matters as allocation of company resources. Thus, one division will sometimes act to undermine another. Also, divisions can bring compartmentalization that can lead to incompatibilities. For example, Microsoft's business-software division developed the Social Connector in Microsoft Office Outlook 2010. They were unable to integrate Microsoft SharePoint and Windows Live until months after Social Connector could interface with LinkedIn.

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