Question:medium

Enumerate any two attributes of functional structure of organisation.

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Functional structure improves specialization but may lead to inter-departmental silos.
Updated On: Jan 14, 2026
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Solution and Explanation

A functional structure categorizes a company by consolidating personnel according to distinct roles or operations. Its two primary characteristics are:
  • Expertise: Personnel are consolidated based on specific skills (e.g., marketing, finance, manufacturing), enabling intense concentration on their functional duties.
  • Operational Streamlining: A distinct labor division and established authority improve efficacy and synergy within units.
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