Types Of Global

Organizational
Structures :
1:International Division structure :

The overseas unit is an

adjunct(helper/assistant) to the parent
country, it handles all international activities
which may be organised by function , product
or geographic area. All of the overseas
subsidaries are under the authority of
international division net.
Example : Coca-cola.
2 : World- Wide Functional Structure

In this each functional department is

responsible for its activities around the world
for eg: manufacturing department is
responsible for world wide manufacturing
activities. So also with finance, marketing ,
R&D , HRM.
3: Geographic Area Structure

In the world wide activities are organized by

dividing the globe into different geographical
areas. The regional managers as a vice-
president of each area is responsible for all
business activities within that geographical
area.
4: Product Organizational Structure

This is most common organizational structure

followed by MNC’s . The product design
assigns world wide responsibility for specific
product or product group to separate
division within firm. The manager who is
incharge of product division has authority for
his product line on global basis.
Example : HUL
5 : Mixed Structure

Most firms follow a hybrid design which suits

there purpose by size, strategy , technology ,
environment & culture.
6: Matrix Structure

This is most complex form of international

organisational design. It emerges when one
design is super imposed on the top of an
existing but different firm . It permits a form too
form specific product groups using members
from existing functional departments. These
product groups can plan , design, develop,
produce and market new products with
appropriate input from eacch technical area .
7: Network/Virtual Organizational Structure

It is a form of organization in which many

functions of MNCs are contracted out other
independent firms and coordinated through
the use of “ infotech “ network as if they were
single corporation.
Thank you !!!