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Overview of Divisional Organizational Structures | Organizational Design | MeanThat

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Text Comments (2)
William McCabe (2 years ago)
Hi there, could you please explain a bit more on how a Product Division structure is different from a Functional structure? In my understanding, both these structures can be used for a company with similar products and with centralised support functions - is that not so? Is the difference that the Product Division structure is used for a LARGE number of similar products, whereas the Functional structure is used for a SMALL number of similar products? Thank you!
MeanThat (2 years ago)
hi. i have more videos which explain each of these structures, those might help you :) but yea, i think you are right. Functional structure is the one where essentially every company begins. Problems with this structure starts to occur when number of cuatomers and/or products start to increase and they are forced to move to Product structure or something such

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