department and overseen by the upper management. This form of organization is also known as the M-form, or multidivisional form. In an entity with a divisional design some activities are centralized at the corporate level while others are left up to the individual division. This kind of organization can be said to have pooled interdependence which means that the divisions basically act independently and the results are pooled at the entity headquarters. General Motors is a very good example of a divisional organization. At one time they had six divisions all making automobiles. These divisions were Cadillac, Oldsmobile, Pontiac, Buick, Chevy, and GMC, or General Motors Coach. Each of these divisions had within it multiple departments including production, research and development, and marketing. Each division had control over
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