Functional Structure

A functional structure is a way to organize a company by dividing it into specialized teams based on their functions or roles, such as marketing, finance, and production. Each department focuses on its specific tasks, promoting efficiency and expertise within those areas. This structure helps streamline operations, as employees in similar roles can easily collaborate and share knowledge. However, it can sometimes create silos, making communication between departments more challenging. Overall, a functional structure supports clear responsibilities and improves organizational effectiveness.