Which organizational structure is defined by organizing the hierarchy along department functions?

The function-based structure is characterized by grouping employees and resources according to their specific functions or roles within the organization, such as marketing, finance, human resources, and production. This structure enhances efficiency as it allows for specialization, where members of each functional department can develop expertise in their area. Coordination and communication are typically streamlined within departments, facilitating focused execution of tasks and projects.

In this type of structure, the hierarchy is organized in a traditional manner, making it easier to manage and understand the responsibilities of different levels within each function. This clarity helps in effectively aligning the team with the broader organizational goals.

The other types of structures each have distinctive characteristics that differentiate them from function-based structures. A geography-based structure organizes teams based on location, which can help in catering to local markets but does not focus on function. A flat organizational structure minimizes hierarchical levels, promoting a more decentralized decision-making process but can lead to lack of clarity in roles and responsibilities. Lastly, a tall organizational structure has many levels of hierarchy, which can create layers of bureaucracy and slow down decision-making processes but is not inherently focused on function as the defining characteristic.

Thus, the function-based structure stands out for its clear organizational alignment with department functions, enhancing operational efficiency through specialization.