Divisionalized Form

example: campuses in a multicampus university. The bulk of the work is done in quasi-autonomous units (divisions). Each division serves its own market and supports its own functional units. The divisional presidents are accountable to the corporate office for profits, sales growth, and return on investment. Divisionalized structure offers economies of scale, ample resources, and responsiveness without undue economic risks. There is however a cat and mouse game between the headquarters and divisions. HQ wants tighter oversight, while divisional managers try to evade corporate control. Another risk is that HQ may lose touch with the operations. Reliable and measurable goals need to be set and reviewed.