Departmental Isolation: Silo systems are characterized by the isolation of departments or functional areas within an organization. Each department operates independently, focusing solely on its own goals and objectives without much interaction or collaboration with other departments.

Communication Barriers: Siloed structures often lead to communication barriers between departments. Information sharing is limited, which can result in duplicated efforts, misunderstandings, and missed opportunities for collaboration.

Inefficiencies and Redundancies: Without effective communication and coordination across departments, inefficiencies and redundancies are common. Different departments may develop similar solutions or processes independently, leading to wasted resources and efforts.

Lack of Innovation: Silo systems can stifle innovation as ideas and insights from one department may not reach or be utilized by others. Without cross-pollination of ideas and perspectives, organizations may struggle to innovate and adapt to changing market conditions.