Advantages or benefits of functional organizational structure are as follows
1. Highly Specialized
Functional organization hires experts and specialists to perform different types of jobs. Each department is specialized and ensures a division of labor.
2. More Efficiency
Experts and specialists can perform the given task more effectively and efficiently because they can understand the work better than normal employees. So, the organization can be benefited.
Departmental heads handle overall operating functions of related department. So, top level management has enough time for policy making and decision making function.
4. Economy
Due to specialization, it facilitates large scale production. Large scale production lowers the cost of production.
5. Better Control
Functional organization practice division of work. It segregates physical and mental functions. Works are performed by skilled employees of related field. This helps to boost the performance and brings positive output.
5. Better Control
Due to joint supervision of work (by departmental head and top level management), it is easy to control whole organizational activities.
6. Scope For Development
This type of organization provides different training and conducts other development programs to the superiors and subordinates. It helps them to improve their skills and opportunity for future development.
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7. Division Of Work
Functional organization practice division of work. It segregates physical and mental functions. Works are performed by skilled employees of related field. This helps to boost the performance and brings positive output.
8. Scope For Expansion And Mass Production
In functional organization, expansion is possible because of capable managers and supervisors. Mass production is also possible because of high level of work speed of experts.
