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Subjects

Business Studies

Functional structure

In Class 12 Business Studies, Functional Structure is studied under the chapter Organising. Students learn how an organisation groups similar activities into departments such as production, marketing, finance and human resources. The topic explains the role of specialisation, departmental authority, coordination and accountability in improving efficiency. It also helps students understand the main advantages and limitations of this structure, including expertise and clarity of responsibility, as well as possible delays and conflicts between departments.

Easy · Level 1 · 2 questions

Practice questions

01If departments are formed by grouping similar work, which management function is identified?

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Answer and explanation

02If a plan has been prepared but resources have not been arranged, which management function is incomplete?

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