Which structure organizes units and departments based on their functions?

The functional structure is designed to group units and departments based on their specific functions or areas of expertise, such as marketing, finance, human resources, and production. This organizational model allows for specialization, as employees can focus on tasks related to their functional roles. It results in greater efficiency, as individuals acquire deeper knowledge and skills within their areas of expertise. This structure can lead to clear career paths and development opportunities within each department, as roles are clearly defined by the functions they support.

In contrast, other structures have different organizational focuses. For instance, a geographic structure organizes teams based on location, which may be more suitable for companies operating in multiple regions. A product-based structure groups units around specific products or services, allowing for focus on product lines but potentially leading to duplication of resources across departments. The matrix structure, on the other hand, combines functional and product-based structures, resulting in employees reporting to multiple managers, which can enhance flexibility but may also create confusion and conflict in roles. Thus, the functional structure specifically emphasizes organization by function, making it the best answer in this context.