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Which of the following statements are true with respect to advantages of functional structure?

A. It leads to product specialization

B. It facilitates expansion and growth

C. It promotes control and coordination within a department

D. It promotes flexibility and initiatives

E. It makes training of the employees easier

Choose the correct answer from the options given below:

Solution

Correct Option: 2

Functional structure promotes control and coordination within a department (C) and makes training easier since focus is on limited skills (E). Product specialisation, growth facilitation, and flexibility are advantages of divisional structure, not functional.

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