Means or Departmentation

Departmentalization results from the division of work and the desire to obtain organization units of manageable size and to -c managerial ability. Organization structure and design arc shaped significantly by the departmentalization followed. The chief means of departmentalization arc by : (1) function. (2) product, (3) territory. (4) customer, (5) process, (6) task force. and (7) matrix. An organizer is free to use any means of departmentalization in constructing an organization structure. In fact, in any given structure several means are typically used.

·       Departmentalization by function: As mentioned, this is perhaps the most common form of departmentalization. Personnel is another major function in many disorganization encompasses recruitment. selection, training compensation, health and  labor relations.

·         Departmentalization by product: This method places all the resources and authority under one manager to get a product or service produced and marketed. Sometimes some of the products of a company may become so prominent as to deserve special consideration and this may lead to the creation of separate department to take care of the product/products concerned.

·     Departmentalization by territory : This method is followed where nearness to local conditions appears to offer advantages, such as low cost of operation and opportunitics to capitalize on attractive local conditions as they arise. Territorial departmentalization is especially popular fur sales where division appears feasible according to some geographic market segregation. It also provides a good arrangement for training and because the executive can demonstrate his/her ability in a certain territory and thus merit promotion to a more important area.

     Departmentalization by customer type: This organizational form is used when great emphasis is placed on effectively serving different customer types. For instance, full-time day students and part-time night students of graduate business programs in universities usually are different in demographic profile and personal needs. Wholesale and retail public are very different in many industries, as are government and private sector cove Thus, for instance, banks may be departmentalized according to the types of customers.

     

     Departmentalization by process This type is logical when the machinery or equipment used requires special skill for operating. or is of a large capacity, which eliminates organizational dividing. or have technical facilities which strongly suggest a concentrated location. Economic and technological considerations are the foremost reasons for the adoption of process departmentalization. It is commonly found in production and frequently at operative levels.

 

    Using a process as a guide. there are two basic patterns available: (i) serial and (ii) unit assembly. The pattern followed will determine. in part, the organizational units adopted. In few instances are any of these patterns used in pure form. More commonly, part of the work is processed under one pattern, part under another, and so forth. Under the serial pattern, work moves through a single channel or assembly line and progresses step by step to completion as it passes the various work stations. This arrangement permits an employee to be highly specialized by an individual work process and usually requires you brief breaking-in time for the attainment of satisfactory output. However. the "cycle time", or total elapsed time from the beginning to the end in , of a unit of work, may be short, and there is also the possibility of reduced employee work interest under the serial arrangement.

    Simultaneous handling is one way of expressing the unit assemble arrangement Different employees perform different work steps on give amount of work at the same time. To illustrate, the work to be done divided among employees A, B and C. Simultaneously, employee performs one particular operation on a batch of work. B operates on h batch, and likewise C on her batch of work. At appropriate times tl different batches of work arc shifted among the employees for completion of the total job.

     Departmentalization by task force : This arrangement involve assigning to a team or task force a definite project or block of work which extends from the beginning to the completion of a wanted an definite type and quantity of work. A task force is usually relatively small perhaps not over a dozen members. It exists for the life of the project, an  is then disbanded. It has a leader, is self-contained, and includes all the necessary knowledge and skill for performing the work. This has gained favor for many research projects, particularly missile or weapons systems and outer space projects. It is widely used in public accounting firms, advertising agencies, and management consonant organizations, and it has proved effective for special projects concerning the factory or office.

   

   Task force departmentalization does have shortcomings. However, some members feel frustrated, have a sense of insecurity, and complain of in stable organizations. These are brought about by the dismantling of the project organization at the completion of its mission and assigning the members to other project organizations. The determination of promotion and the building of identifiable careers are also knotty problems.