Toys R\' Us has in total over 400 departments, they make everything from welding

Question

Toys R' Us has in total over 400 departments, they make everything from welding equipment, to nails, to plastic rings. Each one of these departments has its own general manager who runs the division like it was his or her own business, and as long as it is outperforming everyone else in that specific market. This type of approach allows for an increase in employee commitment to his or her department and forces the workers to take responsibilities for their own performance. Toys R' Us has what type of structure?

1. matrix 2. market 3. decentralized 4. bureaucratic 5. employee driven

Explanation / Answer

3. Decentralized is the type of structure which Toy R’ Us has. As in this case, Toy R’ Us has decentralized the power to various departments which increases the employee’s commitment.

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