Functional Organizations

Reduces duplication of activities
Encourages technical expertise
Creates narrow perspectives
Difficult to coordinate

Improves decision making
Fixes accountability for performance
Increases coordination of functions
Hard to allocate corporate staff support
Loses some economies of scale
Fosters rivalry among divisions

Reinforces & broadens technical excellence
Facilitates efficient use of resources
Balances conflicting objectives of the organization
Increases power conflicts
Increases confusion & stress for 2-boss employees
Impedes decision making

Dotted-line supervision
Liaison roles
Temporary task forces
Permanent teams
Integrating managers

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