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Advantages And Disadvantages Of Organisational Functions

Decent Essays

M2: Analyse the advantages and disadvantages of the interrelationships between organizational functions and its impact that can have upon organizational structure.

Organizational functions within an organization are Sales and Marketing, production, human resources, finance, Research & development, and Purchasing etc. Each of them work together to achieve the organizational objectives. Interrelation of these function relay on the base on dependency and also the structure of organization. Relationship of these function different in each organizational structure. Interrelation of these function have some advantages and disadvantages.
Interrelation improve employee’s skills as the get knowledge from other functions. Produced quality work as …show more content…

To make these goals effective and efficient objectives are important. It gives an organization right direction to achieve its goal, that is why organizational objectives should be specific, measurable, achievable, realistic and time bound (SMART).
Here is an example: ABC Company introducing a new detergent to the market in their first year marketing objectives is ‘to capture 5% of the detergent market in Britain within the first year of operation’.

Organisational structure:
Organizational structure is a system that consists of explicit and implicit institutional rules and policies designed to outline how various work roles and responsibilities are delegated, controlled and coordinated. Organizational structure also determines how information flows from level to level within the company (investopedia.com, 2017). If one level or department does not undertake its function accurately the entire business suffers, because all the departments interrelated to each other. There are generally four types of organizational structure: Functional Divisional Matrix Project-based.

The relationship between different organisational functions and how they link to organisational objectives and structure.

There are different organizational functions within an

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