Which structure assembles product chunks or modules provided by outside contractors?

• A. Matrix Structure
• B. Horizontal Structures
• C. Modular Structure
• D. Virtual Structure

Answer: (C)

The main idea here is a modular structure. In this design, the company focuses on integrating and finishing a product by assembling chunks or modules that are designed and produced by outside contractors. This allows the organization to leverage external expertise for specific components while retaining control over system integration, testing, and final assembly. It enables faster development and greater flexibility since modules can come from different suppliers and be replaced or updated as needed.

The other structures don’t fit this pattern. A matrix structure organizes work around cross-functional projects with dual reporting lines, not specifically about outsourcing modules. A horizontal (flat) structure reduces levels of management but doesn’t inherently address external module sourcing. A virtual structure hinges on a network of external partners for most functions, but the key point of assembling externally produced modules into a finished product is most characteristic of a modular structure.