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WorksheetsNPA BuOrganizational Structure and Activity Groupings
Total questions: 10
Worksheet time: 5mins
What is the main characteristic of functional grouping in a company structure?
Divisions based on product lines
Operations divided by geographical areas
Departments based on core activities like marketing or finance
Structure organized by customer types
Which of the following is an advantage of functional grouping?
Quick decision making
Brings together employees with similar skills
Highly responsive to external market changes
Minimal communication barriers between departments
Product/service grouping divides an organization into:
Departments based on expertise
Divisions based on products or product ranges
Teams based on customer demographics
Units based on geographical location
What is a disadvantage of customer grouping?
Poor customer loyalty
Slow response to customer needs
Duplication of effort and resources
Inability to identify customer preferences
Place/territory grouping is most commonly used by:
Small local businesses
Online retailers
Technology startups
Large multinational corporations
Which grouping structure divides operations based on the type of technology required?
Functional grouping
Customer grouping
Technological grouping
Product grouping
What is a disadvantage of technological grouping?
High cost of training
Poor product quality
Limited specialist equipment
Lack of staff knowledge
In customer grouping, an organization might divide its operations into:
Finance and marketing departments
Design and production teams
Retail and online operations
Regional and international divisions
Which grouping method would best help a company identify poorly performing products?
Functional grouping
Product/service grouping
Customer grouping
Place/territory grouping
What is an advantage of place/territory grouping?
Low operational costs
Ability to meet the needs of local markets
Minimal duplication of resources
Easy sharing of expertise across departments
