Which type of organization may lead to duplication of facilities and services, resulting in competing objectives?

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The type of organization that can lead to duplication of facilities and services, resulting in competing objectives, is product organizations. In a product-based structure, the organization is divided into separate teams or divisions, each focusing on specific products or product lines. This can lead to scenarios where different teams may operate independently with their own resources, goals, and processes, which can result in overlapping functions and services.

When multiple divisions are working on similar products or markets, they may inadvertently replicate facilities, processes, and even customer outreach efforts, leading to inefficiencies and confusion due to competing internal objectives. Each product line aims to meet its specific goals, sometimes at the potential expense of overall organizational efficiency or coherence.

This structure may foster innovation within product lines but can also create silos, where effective communication and resource sharing may suffer. As a result, the organization needs to implement strong coordination mechanisms to minimize duplication and align objectives across the different product divisions, ensuring that the overall corporate strategy is not compromised by local objectives.

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