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Question on: JAMB Commerce - 2013

The most suitable organizational structure for small or medium sized enterprises is
A
line structure
B
staff structure
C
committee structure
D
functional structure
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Correct Option: A
A line structure is typically the most suitable organizational structure for small or medium-sized enterprises (SMEs). Here's why: * **Simplicity:** Line structures are straightforward and easy to understand. This is beneficial for SMEs as it reduces the complexity of management. * **Clear lines of authority:** It establishes a clear chain of command, which is crucial for quick decision-making and accountability, something that SMEs often need to be agile. * **Cost-effectiveness:** Line structures are less expensive to implement and maintain than more complex structures. * **Direct Supervision:** With fewer layers, managers can directly supervise employees, leading to better control and communication. The other options are less suitable: * **Staff structure:** This structure provides advisory roles but lacks direct authority. * **Committee

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