Which structure is described as grouping jobs by function and by division?

Which structure is described as grouping jobs by function and by division?

• A. Matrix Structure
• B. Functional Structure
• C. Divisional Structure
• D. Network Structure

Answer: (A)

Grouping jobs by function and by division is characteristic of the matrix structure. In a matrix setup, people are organized into functional areas (such as marketing, engineering, or finance) while also being assigned to product lines or divisions (like Product A or Product B). This creates dual reporting lines: a functional manager oversees expertise and consistency in a discipline, while a product or project manager drives accountability and coordination for a specific product or division. The result is a structure that combines the efficiency of specialized functions with the focus and autonomy of division-based groups, enabling better cross-functional collaboration for each product or project. Functional structures keep everyone grouped strictly by function, with little cross-division coordination. Divisional structures group by product or division but tend to duplicate functional resources within each division. Network structures rely on outsourcing and a core firm coordinating a web of external partners, rather than tightly integrating function and division within a single organization.

Grouping jobs by function and by division is characteristic of the matrix structure. In a matrix setup, people are organized into functional areas (such as marketing, engineering, or finance) while also being assigned to product lines or divisions (like Product A or Product B). This creates dual reporting lines: a functional manager oversees expertise and consistency in a discipline, while a product or project manager drives accountability and coordination for a specific product or division. The result is a structure that combines the efficiency of specialized functions with the focus and autonomy of division-based groups, enabling better cross-functional collaboration for each product or project.

Functional structures keep everyone grouped strictly by function, with little cross-division coordination. Divisional structures group by product or division but tend to duplicate functional resources within each division. Network structures rely on outsourcing and a core firm coordinating a web of external partners, rather than tightly integrating function and division within a single organization.