Functional Organisation Structure

Q.

Mc Donalds, the fast food giant, made major changes in its menu to be able to survive the Indian market. Which characteristic of management is highlighted?

Q.

State the features of formal organisation.

Q.

What is meant by functional structure of an organisation? Explain any two of its advantages and limitations.

Q.

Mr. Ajay after completing MBA from USA comes to India to start a new business under the banner Ecom Creations Ltd. He launches a new product in e-learning for Senior Secondary School students in Commerce stream, which already has an established market in UK and USA but not in India. His business starts flourishing in India. Now more Indian companies entered into the market with other subjects also.

Identify and quote the lines from the above paragraph which highlight the significance of understanding business environment.

Q.

Draw a diagram depicting a divisional structure.

Q.

A network of social relationship that arise spontaneously due to interaction at work is called:

(a) Formal Organisation

(b) Informal Organisation

(c) Decentralisation

(d) Delegation

Q.

Which of the following is not a merit of divisional structure?

1. It promotes flexibility and faster decision-making.

2. It ensures that different functions get due attention

3. It facilitates expansion and growth as new divisions.

4. It promotes product specialisation.

Q.

What is divisional structure? Discuss its advantages and limitations.

Q.

Under this type of organisational structure, manpower is grouped on the basis of different products manufactured.

Q.

Functional structure and Divisional structures are types of ___ organisation.

1. Informal organisation

2. Both A and B

3. None of these

4. Formal organisation

Q.

___ structure promotes control and coordination within a department.

Q.

Difficulty in interdepartmental coordination is one of the limitations of which organisation structure?

1. Divisional

2. Functional

3. Informal

4. None of these

Q. In which organisation is the principle of scalar chain completely followed?

[0.80 marks]

1. Formal organisation
2. Informal organisation
3. Functional structure
4. Divisional structure

Q.

___ structure is suitable for a uni-product manufacturing company.

1. Divisional

2. Informal

3. Functional

4. None of these

Q.

State six characteristic of co-ordination.

Q.

___ structure comprises of separate business units or divisions.

Q.

In KCF Ltd, a food joint, it is being observed that sales are declining day-by-day as the company is not able to produce products as per the satisfaction of customers. Suggest, if the company imposes a control system, it would be effective or not.

Q.

What would be the organisational structure for a uni-product manufacturing company?

Q.

Rohan, a sole proprietor was running a food catering business in North Delhi. The business was quite successful. Due to excess demand in the market, he expanded his business and separated departments as a purchase, production, finance, and marketing. Which type of organisational structure should he adopt?

Q.

Maan and Shaan Ltd. is manufacturing baby bottles and has separate departments of production, sales, and finance. Which type of sturcture you would suggest to them and state some of its advantages?

Q. Neha runs a factory wherein she manufactures shoes. The business has been doing well and she intends to expand by diversifying into leather bags as well as western formal wear thereby making her company a complete provider of corporate wear. This will enable her to market her business unit as the one stop for working women. Which type of structure would you recommend for her expanded organisation and why?

Q. Which of the following structure of direction & coordination is characterized by wide spans of control, little formalization a low degree of departmentalization and authority centralized in a single person?

1. Mechanistic structure
2. Simple structure
3. Team structure
4. Bureaucracy

Q.

After obtaining higher education in the United States, Ms. Chetna returns to India to start a new business named Revelations Ltd. and launches a new product which is already established in United Kingdom, Germany, United States, and Sweden but not in India. She recognises the need for that product in India by modifying and changing in terms of the consumers' needs in India and gets recognition. After seeing her success, more Indian companies try to enter the market with new substitutes.

(i) Which advantage or benefit of understanding the business environment is indicated while seeing the success of Revelations Ltd.?

(ii) As more companies enter into the market with new substitutes, which advantage of understanding the business environment do you think is applicable and how?

Q. What term is used to refer to physical arrangement of machines and equipment needed to manufacture a product?

Q.

Maan and Shaan Ltd is manufacturing baby bottles and has separate departments of production, sales, and finance.___ structure is suitable for this company.

Q. Functional structure is not suitable for an organisation which requires high degree of specialisation.

1. True
2. False

Q. Functional organisational structure is based on making departments on the basis of similar functions.

1. False
2. True

Q.

Functional structure is suitable for a large and diversified organisation.

1. False
2. True

Q. What is the responsibility of executive vice-president and other manager during the system study?

1. Planning
2. Controlling
3. Directing
4. Organizing

Q. Write Short Notes on the following:

Nature of Co-ordinating.