Advanced Divisionalised structures are normal in large firms, and occur even when centralised structures would be feasible.

Question:

Advanced Divisionalised structures are normal in large firms, and occur even when centralised structures would be feasible.

Requirements:

(a) Explain and discuss the arguments for divi¬ sionalised structures in large firms. (6 marks)

(b) Explain the costs and potential inefficiencies of a divisionalised structure. (6 marks)

(c) Explain how adoption of a divisionalised structure changes the role of top management and their control of subordinates. (8 marks)

(Total 20 marks) CIMA Stage 4 Management Accounting Control Systems

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