DSST Human Resource Management Exam Prep

Answer - D - A product-based structure is basically organized by a line of products and is typically used when a company has very well-defined product lines that are clearly separate from one another.

Key Takeaway: Also known as a customer-oriented structure, a product-based structure is basically organized by a clear line of products. It is only typically effective for a company with well-defined products lines. In this organizational structure, each product line reports directly to the CEO.