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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Since each department has auxiliary departments like personnel, accounting etc. One way to solve these problems is to create a hierarchical system of supervision, so that small groups of workers up to say, 50 people are supervised by coordinators managers.

This still leaves a lot of possibilities.

But divisional structures suffer from duplication of resources and efforts. In the previous article we have described in detail about the elements of organization structure. Already have an account?

Departmentation: Its concept, Structure, Benefits and other Details

Steps to effective job design. Flat versus tall organizations.

Oct 08, Download for free at http: Works well with smaller organizations Groups skill sets so they can consult with each other and socialize each other: For each process, departments are created and headed by people skilled and competent to carry that process. Since departments are widely dispersed, top managers find it difficult to control and co-ordinate their activities.


So these are grouped together under “Manager: Trading blocs and agreements. People are placed in different departments according to their specialised skills. Departmentation, thus, helps in expanding an organisation and also promotes efficiency by dividing the work on the basis of specialisation of activities and appointing people in various departments on the basis of their specialised knowledge.

Product managers are accountable for results of their product departments. Marketing managers have to balance the time and money spent in framing policies so that organisation can adapt to the changing customer environment. There are opportunities to improve performance in their area of specialisation.

Organizational stages of growth.


Finance department creates departments to look into capital budgeting fixed assets and current assets, cash management and budgets. There are also sequential interdependencies between the business functions of design engineeringmanufacturing, and marketing.

The goal of dspartmentation organisation is to earn profits by customer satisfaction. Avoids duplication of efforts: The feeling of autonomy provides job satisfaction and motivation which lead to higher efficiency of operations. The responsibility for results cannot be fixed on any one functional head.


Project organizations are specifically designed to deal with changing environments. Repeated handling of the same job with a very short cycle time required to complete that process leads to boredom. departmehtation

Corporate Social Responsibility and sustainable development in the global environment. There are problems of co-ordination and supervision of employees who work in shifts.

Potential external relationship obstacles. Exhibit Departmentation by process. The emphasis is on selling in different regions according to customer needs.

Departmentalisation : Meaning, Need and Types

Such an organisation would become an inflexible organisation. The intensity of competitive rivalry. You must reload the promect to continue. Projects and task forces or teams are generally unique—designed to work on a nonrecurring project. So, along with the technical factors discussed above, departments should be created on the basis of availability of personnel, their attitude, aspiration and value systems, informal work groups, cultural patterns, etc.