FUNCTIONAL

STRUCTURE
Cost Leadership Strategy Group 4 Members:
1. Dacuma, Jackielou
2. Gadrinab, Pia
3. Obejero, Marilouna
4. Paquibot, Mary
Justine
 USING FUNCTIONAL STRUCTURE TO IMPLEMENT COST
LEADERSHIP STRATEGY
Operation main function
 Structure is mechanical.
Cost leadership strategy is
more on creating products Formalized procedures guide
that are acceptable at the actions and job roles are
 Large centralized staff oversees activities. highly structured.
lowest possible cost.

This is to converge on the

most efficient approaches, to
make sure that resources are
Process engineering is
properly utilized and
emphasized
Costover research strategy isDecision making must be centralized to maintain cost reduction .
leadership products are created at the
and development.
more on creating products least possible cost.
that are acceptable at the
lowest possible cost
Firms using the cost leadership strategy want to sell large quantities of standardized
products to an industry’s or a segment’s typical customer. The cost leadership form of the
functional structure usually features:

simple reporting few layers in the a centralized a strong focus

relationships decision-making and corporate on process
authority structure staff improvements
THE
END
THANK