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What are the disadvantages of functional structure??

In the functional structure, functions are all separate, resulting in employees having very little understanding or concern for any area outside of their own functional area. This does not allow for an overall prospective of the company and the company's future.

- This separation leads several barriers in communication and overall cooperation and coordination.

- Individual focus rather than a company focus

- No structure in the way things are run as a company, processes are all separate in each functional area

- The functional specialization does not allow managers in that area to have a broad perspective on the company or other specific areas.

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MajorDisadvantagesof Functional Structure:Include: poor communication and coordination across functions, having too many decisions referred upward in the hierarchy, a loss of clear responsibility for product or service delivery, and slow innovation in response to environmental changes. One of the most serious disadvantages occurs when members of functional departments become overspecialized, develop self-centered, narrow viewpoints, and lose the total system perspective. Failure to communicate and extend support across department lines is common in such situations. This often slows decision making because problems must be referred up the hierarchy for resolution
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