Practicing Success

Target Exam

CUET

Subject

Business Studies

Chapter

Organising

Question:

Indigo Limited has a staff of 300 people which is grouped into different departments. The organisational structure depicts that 100 people work in Production department, 150 in Finance department, 20 in Technology department and 30 in Human Resource department. Identify the type of organisational structure being followed by the company.

Options:

Functional structure

Divisional structure

Departmentalization

None of the above

Correct Answer:

Functional structure

Explanation:

The correct answer is option 1- Functional structure.

Based on the information provided, the organizational structure being followed by Indigo Limited appears to be a functional structure. In a functional structure, employees are grouped based on their specialized functions or roles, and each department is responsible for a specific set of tasks. In this case, the company has distinct departments such as Production, Finance, Technology, and Human Resources, each focusing on a specific function or aspect of the business.