Question

What is an example of lack of development of well-rounded senior managers in a functional structure?

a) A functional structure ensures the comprehensive development of senior managers.
b) Senior managers in a functional structure may become specialists in their area, lacking exposure to diverse functions.
c) Senior managers are well-rounded by default in a functional structure.
d) Lack of development in senior managers is a strength of functional structures.

Answer 1

Senior managers in a functional structure may lack development as well-rounded individuals due to specialization in their fields, which might limit their exposure to diverse business functions. The correct answer is option C.

Step-by-step explanation:

An example of lack of development of well-rounded senior managers in a functional structure is b) Senior managers in a functional structure may become specialists in their area, lacking exposure to diverse functions. In a functional organizational structure, managers typically focus deeply on their specific area of expertise.

This focus can indeed foster a high level of specialization, but it can also lead to a situation where managers are not exposed to other areas of the business and therefore may not develop a broad skill set. Consequently, senior managers might lack a holistic understanding of the business, which is increasingly important in a dynamic and interconnected market.

Functional structures, while fostering deep expertise, can inadvertently encourage siloed knowledge and limit the breadth of experience senior managers gain, which is essential for the strategic decision-making required at higher levels of management. The correct answer is option C.