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A functional organizational structure is one where authority is primarily held by the functional manager. This structure has been widely used in large corporations. Staff is organized by function, such as human resources, accounting, sales, and manufacturing. In the functional structure the functional manager holds management responsibilities such as budget and staffing (resource) authority. In a functional organization, the project manager is a part-time role. In addition, the project's administrative staff is part-time on the project.

Other organizational structures are weak matrix, balanced matrix, strong matrix, or projectized. An organization may use different structures in various parts.

Related: role, roles and responsibilities

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