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What is a divisional organizational structure?

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I know about the functional, matrix (weak-matrix and strong-matrix), projectized organizational structures, but today I learned about an organizational structure I didn't know about before, which is the divisional organizational structure. What is it exactly? And which companies use it?
asked 6 years ago by anonymous

1 Answer

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A divisional organizational structure is when a huge company, such as Microsoft for example, splits itself into smaller, more manageable divisions. The divisions will be nearly independent for each other, but they will all work towards the well-being of the company.

For example, Microsoft, at a very high level, has a divisional organizational structure, that consists of:

- Software division (Windows, MS Office, Ms Project, etc...)
- Hardware division (Mouse, Keyboard)
- Gaming division (XBox and its games)
- etc...

As you can see from the above, every division can be further broken down into further divisions...
answered 6 years ago by anonymous

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