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In a functional organizational structure, specialization refers to the division of labor where employees are grouped based on their specific skills and functions. While this can lead to high levels of expertise within each department, one of the main disadvantages is decreased communication between departments.

Because each department tends to focus intensely on their specialized tasks, there can be a tendency for silos to develop. These silos may lead to misunderstandings and a lack of coordination between departments, as employees might not have as much visibility or understanding of what other teams are doing. This can hinder collaboration on projects that require input from multiple areas of expertise, thereby impacting overall organizational efficiency and effectiveness.

In scenarios where cross-departmental cooperation is necessary, the lack of communication can result in duplicated efforts, missed opportunities for collaboration, and an overall reduction in the organization's ability to respond quickly and effectively to changing circumstances or challenges. Therefore, while specialization can enhance individual expertise, it can also impair the fluid exchange of information and ideas necessary for a cohesive organizational effort.