Divisional structures tend to be more flexible and innovative because of
A)their work-flow focus.
B)the preference employees have for centralized decision-making.
C)their proximity to a heterogeneous customer base.
D)the high level of centralization in the structure.
E)the tendency to ignore opportunities.

Question

Quizplus · Accepted Answer

Divisional structures are designed to group employees and resources based on their focus on specific products or services. This allows for a more specialized and efficient work-flow within each division, resulting in increased flexibility and innovation. By contrast, a highly centralized structure can stifle innovation due to a lack of autonomy and decision-making power at the lower levels of the organization.

Divisional Structures Tend to Be More Flexible and Innovative Because