Define functional organization.

Define functional organization.

• A. Most simple type
• B. Each group of related activities under one functional head
• C. Basic framework for others
• D. Quasi-military

Answer: (B)

Organizing work by function means grouping related activities into departments such as marketing, finance, production, and human resources, with each group led by a functional head. This setup concentrates expertise, standardizes processes, and provides clear accountability within each function. Therefore, the defining idea is that each group of related activities sits under one functional head. Other descriptions don’t capture this functional grouping or describe unrelated concepts.

Organizing work by function means grouping related activities into departments such as marketing, finance, production, and human resources, with each group led by a functional head. This setup concentrates expertise, standardizes processes, and provides clear accountability within each function. Therefore, the defining idea is that each group of related activities sits under one functional head. Other descriptions don’t capture this functional grouping or describe unrelated concepts.