Holding company organization structure

Holding company organization structure (sometimes shortened to H-Form structure) is used for organizations with very diverse product ranges and share relationships where a central (holding) company owns various businesses and acts as an investment company with shareholdings in each of the individual enterprises. The headquarters acts only as a banker, with strategy largely decided by the individual companies.

Definitions

According to the Corporate Strategy by Lynch (4th edition),

Holding company organization structure (sometimes shortened to H-Form structure). Used for organizations with very diverse product ranges and share relationships where a central (holding) company owns various businesses and acts as an investment company with shareholdings in each of the individual enterprises. The headquarters acts only as a banker, with strategy largely decided by the individual companies.