Hi, a functional structure is one that organises employees around skills or other resources (eg.) marketing, production, finance. You have the chief executive at the top and like a family tree (CE as parent, following as children) - marketing, production, finance.
line line and staff matrix style cross functional self managed teams
functional structure
Organization functions impact structure because of reporting and authority. When a functional area is linked to executive management, it becomes strategic within the organization.
Most businesses use a functional organizational structure.
Organization structure draws and displays how organization operates and performs its functions through allocation of responsibilities for different functions and processes to different entities. It is the organization structure that defines the reporting and decision making hierarchy of an organization and how project management operates within it. An organization can be structured in many different ways and styles, depending on their types, objectives and functions. Organization structure can be functional style, divisional (multidivisional) style, project team style, or matrix style. A financial goal of any organization is profitability which means how much returns an organization gain on its investments.