Read the passage and answer the following questions:

Case: Organising at Stellar Electronics

Stellar Electronics, a fast-growing tech company, decided to reorganize its operations to improve efficiency and innovation. The management focused on defining an organizational structure and implementing effective delegation practices.

The company adopted a functional organizational structure, dividing departments into R&D, production, marketing, sales, and customer service. Each department had specialized teams led by managers responsible for achieving departmental goals.

A clear hierarchy was established, ensuring communication flowed efficiently between levels. Each employee knew their reporting authority, reducing confusion and overlapping roles.

The CEO delegated decision-making authority to departmental heads, empowering them to make quick decisions. Tasks were delegated based on employee expertise, which increased accountability and motivation.

Weekly inter-departmental meetings ensured that different departments worked in harmony to achieve the company's objectives.

The reorganization led to improved productivity, faster decision-making, and better employee satisfaction. The company launched its flagship product six months ahead of schedule and gained a competitive edge in the market.

Stellar Electronics demonstrated how a well-defined organizational structure and effective delegation contribute to achieving business goals.

Who received decision-making authority in the new structure?

Departmental heads

The correct answer is Option 3: Departmental heads

The passage states, "The CEO delegated decision-making authority to departmental heads, empowering them to make quick decisions."