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How many types of departmentalization may a large organization use at one time?
AOnly one, since mixing them breaks the chart
BOnly two, one for staff and one for line units
CSeveral types can be integrated in one company
DNone, because large firms abandon departments
Answer & Solution
Correct answer: C. Several types can be integrated in one company
1. The five bases of departmentalization are not mutually exclusive.
2. Many large organizations use several types of departmentalization at once.
3. A firm can group by product at one level and by region at another without breaking its chart.
4. Large firms keep departments, so abandoning them is not an option offered anywhere.
_Source: OpenStax Introduction to Business (CC BY 4.0), Ch 7 "Designing Organizational Structures", section 7.1 Traditional Structures_
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