Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Organising

Question:

Which organizational structure places less emphasis on overall enterprise objectives than the objectives pursued by a functional head?

Options:

Divisional structure

Formal structure

Informal structure

Functional structure

Correct Answer:

Functional structure

Explanation:

The correct answer is option 4- Functional structure.

Grouping of jobs of similar nature under functional and organising these major functions as separate departments creates a functional structure.
A functional structure places less emphasis on overall enterprise objectives than the objectives pursued by a functional head. Such practices may lead to functional empires wherein the importance of a particular function may be over emphasised. Pursuing departmental interests at the cost of organisational interests can also hinder the interaction between two or more departments.