Which type of organizational structure is the most suitable for business enterprises where a large variety of products are being manufactured?

Which type of organisational structures is the most suitable for those business enterprises where a large variety of products are manufactured?

  • Functional

  • Divisional

  • Both (1) and (2)

  • None of the above

Divisional

Explanation - 

A corporation dealing in a wide variety of products should have a divisional organisational structure since this system divides personnel into groups depending on products or markets, allowing each division to succeed independently.

Concept: Structure of Organisation

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Which structure of organizational is suitable for large enterprises?

Functional organizational structures are similar to line structures; however, each tier may share information and offer direction horizontally (to one another). This structure is ideal for large companies with many departments and for those companies that need to meet strict deadlines.

Which Organisational structure is suitable for a company manufacturing multiple products?

Divisional structure is suitable for a multi-product manufacturing company.

Is suitable for those business enterprises where a large variety of products are manufactured using different productive resources 1 point?

Divisional structure: - For large diversified organisations activities of personnel are grouped on the basis of different products manufactured. Suitable for those business enterprises where a large variety of products are manufactured using different productive resources.

Which type of structure is suited more to large organizations?

Divisional or Multidivisional Structure The second type is common among large companies with many business units.