Definition: [dɪˈvɪʒ.ən.əl ˌɔː.ɡən.aɪˈzeɪ.ʃən ˈstrʌktʃə(r)] is a kind of organizational figure that connects those workers who are responsible for a specific product type or market service in accordance with the working process of movement from one department to another. This structure is mostly built to advance flexibility and can be subdivided into local structures, market, and product. Every group has its definite functions and tasks, and this phenomenon makes the working process more constitutional and organized. The divisional organizational structure is extremely necessary when a company contains a lot of products, markets, and regions. Thus, it increases the cost of products.
Divisional Organizational Structure In a Sentence:
A divisional organizational structure mostly includes few coextensive teams working with the focus on the specific product.
Because of increase in their market, company executives decided to create a divisional structure to create the more organized business.
Synonyms and related words: functional structure, functional departmentalization, functional organizational structure, regional structure.