 The benefits and drawbacks of interrelationships between

organizational functions and the result that they can have upon
organizational structure.
*A functional organizational structure is the most common of the three organizational
structures adopted by most companies. Companies organized by functional group
employees according to their activities in the organization (Boundless Management
article)

1. Human Resources.

Human Resources staffers have their own department, as do employees working in sales,
marketing, finance and technical support. Organizing a company in this way has both
advantages and disadvantages.

*Advantages:

-Almost significant decision-making happens at the top levels of management in a

functional structure. This guarantees that upper management has control completely over
the organization. It also affords a fair career path for employees, from junior-level jobs,
up to the top decision-making jobs.

-A functional structure presents stability and efficiency in large enterprises because all
staffs use similar processes. This also enables large businesses to take advantage of
economies of scale.