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Management Activity Organising Continued (Organisational Stucture No 3.…
Management Activity Organising Continued
Organisational Stucture No 3. Geographic Structure
E.G based on region, country or continent
E.G Microsoft has sections of the business located in Africa, Europe, North and South America, Asia and the Middle East
In this Structure the business is divided into Geographical Areas
Advantages of a Geographical Structure
Friendly Competition
Promotion
Local Managers
Disadvantages of a Geographic Structure
Conflict between Management
Communication
Duplication of Work
Organisational Structure No 4. Matrix Structure
A matrix type of organisational structure combines the traditional departments seen in functional structures with project teams
In a Matrix Structure individuals work across teams and projects as well as within their own department or function
E.G a project or task team established to develop a new product might include engineers and design specialists as well as those with marketing, financial, personnel and production skills
Advantages of a Matrix Structure
Improves Overall Communication
Provides good training for future managers
Increases Employee Motivation
Disadvantages of a Matrix Structure
Confusion of the Chain of Command
Loss of control
Extensive Training