How does organizational functions impact the organizational structures horizontal vertical and organizational integration?

Answer 1

Resources such as time, money and personnel are scarce. Every enterprise organizes itself to maximize the value and utility of its resources. To succeed, the employees within functional areas must achieve their function specific goals. This is their focus. To succeed as an organization, all the functional areas must work together. This is the focus of the heads of the functional areas. But, when the employees within a functional area ignore the organization as a whole or when the heads of the functional areas don't communicate problems arise. One solution is to hire leaders who do not run a function but instead coordinate the integration of several assigned functions. This limits the number of people who have to communicate effectively together but also costs more and adds an expensive layer of management. Not a problem if your resources are less of an issue than communication. Another solution is to reduce the concentration of functional area duties by creating cross-functional goals and teams. This increases the number of people who must communicate effectively but costs less. Not a problem if communicating is less of an issue than resources.