Which organization structure groups jobs based on common functions or work specialties, such as Marketing, Finance, and Human Resources?

Explanation

• A Functional Structure organizes employees into departments based on similar operational expertise, skills, and work activities.
• This structure maximizes economies of scale and functional specialization, but can lead to departmental silos (‘functional chimneys’).
• Divisional structures, by contrast, group departments by product line, customer segment, or geographic region.