Final answer:
The statement that Functional Organizational structure is more flexible than both Decentralized and Matrix structures is false. Functional structures are more hierarchical, making them generally less adaptable than the other two structures, which allow for more collaborative and responsive organizational dynamics.
Step-by-step explanation:
In response to the question of whether the Functional Organizational structure is more flexible than both the Decentralized and Matrix structures, the answer is B.) False. A functional organizational structure is characterized by a hierarchical organization where each employee has a defined role and set of responsibilities within their department. This traditional structure can be less flexible compared to a Decentralized or Matrix structure where there's a greater distribution of authority and a combination of departmental and project-based structures, respectively. Matrix and decentralized structures allow for more adaptability in rapidly changing business environments, as they facilitate faster decision-making and better collaboration across different functions. Considering the current trends in the workplace that emphasize teamwork and the shift away from rigid hierarchy, it's clear that structures allowing for quick response to change, like matrix and decentralized structures, are becoming more desirable. They enable integration of diverse skills and ideas, making them more apt to navigate the complexities of today's global business landscape. According to Dillon's Rule, which is often applied within government systems, local governments do not have inherent freedom and flexibility but operate under the authority of the state. This shows that even outside the corporate world, flexibility can be constrained by the underlying organizational structure, which in this case is B.) False as well.