Implement a flat structure with minimal management groups, relying extensively on tagging for cost management, despite potential challenges in policy enforcement and scalability.

Design a deep hierarchy with numerous levels of management groups to precisely mirror the organizational structure, potentially complicating governance and increasing management overhead.

Adopt a balanced approach with a moderate number of management groups, complemented by well-defined policies for governance and cost management, ensuring scalability and compliance.

Focus exclusively on resource groups and subscriptions for organization and governance, disregarding the use of management groups, which may lead to inefficiencies in policy application and cost management.

Combine the use of a balanced number of management groups with Azure Policy for governance and Azure Cost Management for monitoring and optimizing costs, ensuring a comprehensive approach to organization and management.