Let's look at examples of different types of international divisional management structures with a global approach.
Globally oriented product structure
This is a system in which a company divides its work into departments by product type, and each of them independently deals with the entire world market. This option is used by enterprises with different types of goods, different production technology and sales methods. But there are also problems: weak coordination between departments, duplication of work.
Types of divisional management structures
Globally oriented regional structure
This structure means that the teacher database company divides its activities into sections according to geographical areas. Each region is considered as an independent unit, and several areas make up the entire scope of the enterprise. The main focus here is on adaptation to the requirements and needs of different territorial markets.
This approach is most often used in industries where technological change occurs slowly. The advantages include closer interaction with geographic areas. However, the disadvantage can be poor coordination between departments and duplication of tasks.
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Mixed (hybrid) structure
Combines various elements of other types. Understanding that different systems have their own advantages and limitations led to the emergence of a mixed format.
This hybrid approach allows companies to create more flexible and adaptive organizational structures that can better suit their specific circumstances and needs. The option is popular among large multinational corporations, especially when their activities are highly diversified and varied.
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