For the third question, Aquarius Advertising Agency has at least four choices in re-organising its firm. These are: the Functional Structure, Divisional Structure, Matrix Structure and the Horizontal Structure (Baker, 1999). A functional organisation structure will enable in-depth knowledge and skill development; it will also enable the organisation to accomplish functional goals and it will answer the organisation’s aim to slow down it’s response time to environmental changes. But this structure is best only for a firm with few products and it will not solve the firm’s present problem of poor co-ordination and co-operation between departments (Baker, 1999; Duncan, 1979). A divisional organisation structure suited to fast change in unstable environment, it will also lead to client satisfaction since product responsibility and contact points are clear, it will also give high co-ordination across functions, and provides adaptability to differences in products, regions, and clients (Baker, 1999; Duncan, 1979). But like... [continues]
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