1. Geograp
What is the primary basis for organizing a company in a geographical structure?
Apuntes
1. Geographical Structure This structure organizes a company based on geographic regions. Key Characteristics: • Used by companies with a broad geographic footprint. • Each region or location (like North America, Europe, Asia) operates somewhat independently. • Local divisions handle sales, service, and operations based on regional needs. Advantages: • Allows companies to adapt to local cultures, languages, and systems. • Helps serve customers and suppliers more effectively close to their location. • Customization leads to greater customer satisfaction. Disadvantages: • Can be costly due to duplication of roles in each region. • Risk of inconsistent messaging or goals across locations. ⸻ 2. Process-Based Structure This structure is organized around workflow or process stages rather than job roles or departments. Key Characteristics: • Teams are arranged by processes (e.g. R&D, order fulfillment, billing, customer service). • Follows the lifecycle of a product or service from start to finish. Advantages: • Increases efficiency, teamwork, and specialization. • Each process team can focus deeply on their area. • Promotes smooth handoffs between stages. Disadvant...
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