MBA NOTES

What do you mean by departmentation?

What do you mean by departmentation?

Departmentalization which also known as departmentation which means to the grouping of operating works into professions, the combination of professions into effective work groups and the combination of groups into divisions often termed as ‘Departments’.


The groups of activities into departments is the important part of the process of setting up organization, whenever enterprise expands their business and its seems that the size of the expansion of the business
cannot be efficiently managed by one person then departments and the levels develop from the grouping of activities.

According to Koontz and O’Donnell,

“A department is a distinct area, division or branch of an enterprise over which a manager has authority for the performance of specified activities.”‘

In the words of Louis Allen,

“Divisionalisation is a means of dividing the large and monolithic functional organization into smaller flexible administrative units.”

In other words, departmentation is the process of categorizing and grouping all the activities of an enterprise into different units and sub-units. The aim is to help the carrying out of the actions efficiently for accomplishing organization goals.

The organization made more effective by departmentation. It would be very difficult task to manage a large enterprise without divisionalisation or departmentation.

The formation of a sequence of smaller departments enables the executives to get them specialized their jobs and responsibility.

This will be helpful for the organization to allocate the work only to those who are best in their works or jobs when they assign for particular jobs which they have expert then the executives can focus their experience and interest only on that work assigned to them departmentally rather than focused on overall company interests and policies.

Departmentalization additional helps the executive to direct and control the work to be done under his
department.

The executive under this system will also get an opportunity to show his skill and experience regarding various challenges to be handled in his department.

Please go through following article COMMON BARRIERS TO EFFECTIVE COMMUNICATION.

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