Which form of departmentalization increases the risk of duplication and underutilization of resources?
A)Divisional structure
B)Functional structure
C)Simple structure
D)Matrix structure
E)Network structure

Question

Quizplus · Accepted Answer

The divisional structure organizes departments around products, services, or geography, which can result in duplication of resources and underutilization of specialized resources. Each division may have its own resources, such as marketing, finance, and human resources, which can be redundant and inefficient. Additionally, in a divisional structure, each division may focus on its own goals and objectives, which may not align with the overall goals of the organization.

Which Form of Departmentalization Increases the Risk of Duplication and Underutilization