Other examples of organizational structures: Hierarchical team structureĪ hierarchical structure is an organizational structure which has in place a direct chain of command from the top of the company to the bottom. Narrow scope - Without experienced guidance and extra information from managers, employees from individual departments may possess little knowledge of how their roles relate to the business's overall goals and objectives.Furthermore, morale can be affected when management changes procedures and modifies the work environment without taking input from employees on the ground. Decreased morale - In the long run, employees tend to feel bored and lose morale when their work becomes monotonous.Conflict of interest - Each department has different and sometimes conflicting targets, and these contradictions can often lead to disharmony and conflict within the company.Delay in decision-making - With a lack of communication and coordination between separate departments, there can be major delays in the decision-making process when a dilemma requires the involvement of more than one specialist.This lack of communication and sharing of perspectives can be harmful for the progression of the business eventually. ![]() Segregation - Having departments populated by employees specializing in specific areas means members of different teams do not get the opportunity to meet face to face.What are the disadvantages of a functional organizational structure? ![]()
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