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Explore the most basic type of organisational structure where activities belonging to each management function is grouped together

Life Orientation Grade 12 Study Guides and Summary Notes

Explore the most basic type of organisational structure where activities belonging to each management function is grouped together:

Divisional Organisational Structure

In a divisional structure, people are grouped together based on the product or service they provide, not the work they do. For example, a large corporation such as General Electric has divisions for electronics, transportation, and aviation, each with its own team of accountants, marketers, etc. Global corporations may have divisions based on different geographic areas. On a smaller scale, a restaurant that also provides catering services may have separate divisions to oversee weddings, corporate events and business within the main restaurant.

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