What do you mean by divisional structure?

The divisional structure is a type of organizational structure that groups each organizational function into a division. … Each division contains all the necessary resources and functions within it to support that product line or geography (for example, its own finance, IT, and marketing departments).

What are the advantages of a divisional structure?

The advantages of divisional structure in organizations are specialization and efficiency. For example, functional divisions keep your marketing, IT, R & D, HR, and other teams in departments of their own. The drawback is that departments can silo and be unwilling to cooperate with the other divisions.

What is meant by divisional structure of Organising explain its any two advantages and any two limitations?

1. Development of Skills: Handling all aspects relating to a product line enhances various skills in a divisional head and thus makes him worthy of promotion to next higher level. 2. Accountability: Performance measurement of each division is easily possible since the divisional heads are accountable for profits.