A Presentation On Organizational Structure: Departmentation . of functional and project or product patterns of departmentation in the same. Departmentation – Management. 1. DEPARTMENTATION 2. INTRODUCTION Departmentation is a part of the organizationprocess. Departmentation By Task Force When organisation takes up different projects, it forms task forces, which consist of people from different units.

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They focus on a narrow set of activities and projeft performing the same task increases their ability to perform more speedily and efficiently. Reynolds project, and so on.

Here’s how the seven categories above fall into the two supercategories, along with some other information about the two categories:. Steps to effective job design. In large organisations, one person cannot look after all the managerial functions planning, organising etc. Departmentatioj this level, most of the workflow interdependencies are only of the pooled variety: In the traditional organisation structure, every activity was to be done in-house or to own everything.

Inadequate or incorrect marketing, cooperation, finance, or HR strategies. The merits and limitations of this kind of departmentation are given in Table Sense of belonging to team and of common fate. Grouping of activities and personnel into manageable units facilitates administrative control.

Since each basis is suitable to a particular type of organisation, often a combination of various basis is adopted. If planned performance is not achieved, the department responsible becomes answerable. For each process, departments are depattmentation and headed by people skilled and departmentatoin to carry that process.

The matrix structure is most suitable when, first dfpartmentation is strong pressure from the environment ; second, when large amounts of information is required to be processed ; and third, when there is pressure for shared resources. Water-tight compartments are sometimes created amongst departments as people show loyalty towards their departmental managers.


Operations management provides competitive advantage! Change in consumer behaviour, their demand for different goods at different times cannot be easily predicted. These groups are formed temporarily till completion of the project.

Departmentalisation : Meaning, Need and Types

On what basis should we carve up the members of the organization into subunits? This team is composed of employees from the firm who have expertise or skills that can be applied directly projecr the project. Can create significant duplication of effort and knowledge throughout org. Each product division is semi-autonomous and contains different functions.

The paradox of skill. Departmentagion enables departmental heads to be creative in priject decisions with respect to their departmental activities. So a person is, say, a marketing research analyst, and is presently assigned to the Carnation project, which will take 6 weeks, and will then be assigned to the R.

Project boss has authority in relation to project goals. Part and parcel of this hierarchical supervisory system is the cutting up of the organization into groups departments.

Departmentation by projects By OpenStax (Page 2/2) |

Thus, customers of different departmentwtion with different tastes and preferences for the same product are looked after by geographical departments set up in their territories. Threat of substitute products. Positive effects of globalization for developing country business. It can simplify the tasks of management within a workable span.

Since decisions are made by departmental heads for their respective departments, it may delay decision-making for the organisation as a whole. For depadtmentation, a textile mill may be organised into ginning, spinning, weaving, dyeing and finishing departments.

Depending on how many people there are in the organization, the coordinators themselves need to be organized into groups supervised by higher level managers, and so on. Oct 08, Download for free at http: Such an organisation would become an inflexible organisation.

Departmentation by projects

That is why top manages needing a smaller span compared with first-line managers. Geographic proximity of subordinates Nearer the subordinates to supervisor, greater the span. Product departmentation, along with various functional areas appear on the organisation chart as follows: The big advantage of matrix organizations is that they are great for sharing of information and enabling people to coordinate their efforts with larger organizational goals and strategies.


Departmentation means division of work into smaller units and their re-grouping into bigger units departments on the basis of similarity of features. About the chapter editor. Manufacturing paper, for example, requires processes like crushing projecr bamboo, making pulp, purifying the pulp, making porject rolls, and cutting it into rims.

The mind of the entrepreneur: Departmentation helps in sharing resources according to departmental needs. Business to business marketing models.

In the parallel process of departmentation, the number of steps to accomplish the task is the same. Market research to determine the potential market for funeral services in Monterrey, Mexico. This can also result ddepartmentation conflict amongst process managers. Activities are divided into smaller segments, standards of performance can be framed, factors affecting performance can be identified and control can be more objective in nature.

Personnel department has sub-departments to take care of appointments, training, placement and promotion of employees.

Subordinates are trained to carry out functions related to departmentstion product. This still leaves a lot of possibilities. The members of the team manage the project without direct supervision and assume responsibility for the results. Each geographic unit has resources to prlject to the needs of consumers of that area.

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