Timms mn1107, 996d107, 2790107 2011 undergraduate study in economics, management, finance and the social sciences this is an extract from a subject guide for an undergraduate course offered as part of the. The goals must be realistic and achievable that ensure efficient utilization of the resources and satisfy the enterprise objectives. It helps the utilisation of manpower and other natural resources of the organisation. Each of these are grouped into separate departments such as production department, marketing department, finance department and personnel department. Departmentation organizational structure marketing scribd. Mechanisticorganic organizationsan axiomatic theory. The first step in designing an organization structure is to divide whole work into a number. Product managers are accountable for results of their product departments. It includes departmentation, delegation of authority, fixing of responsibility and establishment of relationship. Effects of job specialization and departmentalization on. Organizing in management basic elements of organization.
Concepts of management and organization nature, importance and functions of management, systems approach to management. Departmentation or departmentalisation is the process of grouping the activities of an. In the previous article we have described in detail about the elements of organization structure. Departments are created and activities of similar nature are grouped in one unit. Helps utilization of manpower and other natural resources we learn a continuous learning forum. The main challenge in creating an organisation structure. Chain of command the path that a directive or answer or request should take through each level of an organization. The premise of departmentation, departmentaion is by numbers, time of duty, function, procedure or equipment, location or territory, product, customer, business sector or distribution channel, service, clients. But the most commonly adopted bases of departmentation are there could be further extension of this basis of departmentation. So, in this way, the entire organization is divided into parts, i. How jobs are grouped together is called departmentalization. Nature of organizing, formal and informal organization. The appropriate division of organisational activities into departments for the purposes of.
Departmentalization refers to the formal structure of the organization, composed of various departments and managerial positions and their relationships with each other. As the organisation grows in size, the work is divided into units and subunits. Departmentalization means grouping activities and people into departments, making it possible to expand organizations, at least in theory, to an indefinite degree. They deal with phases of the two primary aspects of organizing. Nature of organising organisation levels and span of control in management organisational design and structure departmentation, line and staff. The nature and purpose of organizing basic departmentation. After the objectives of an organization are established, the functions that must be performed are determined. Nature and importance of planning types of plans 3 hrs. Types of departmentation 11 ways in which departmentation may be carried out. Departmentalization or simply departmentation refers to the grouping of operating tasks into jobs, the combining of jobs into effective work groups and the combining.
This article throws light upon the six different basis of departmentation in an organisation. Departmentation and decentralization, types and evaluation of mechanistic and organic structures of organization and suitability. Departmentalization or departmentation is a process wherein jobsteams are combined together into functional units called as departments on the basis of their area of specialization, to achieve the goals of the organisation. Apparel or garment industry is the final stage of textile manufacturing where cloth is cut into different parts and sews to make various types of apparel. Learning objectives explain the concept of organizing describe the importance of organizing explain the element of organizing process of organizing explain the meaning, advantages and disadvantages of formal and informal organization distinguish between formal and informal organizationjune 27, 2012 nature. The first step in designing an organization structure is to divide whole work into a number of jobs to ensure that no important activity is left out. The aim is to facilitate the carrying out of the activities efficiently for achieving overall results. From the study of the various definitions given by different management experts we get the following information about the characteristics or nature of organization, 1 division of work.
Basis of departmentation by simple numbers, time, function, product, process, geographical region, marketing channel and a few others with examples the main objective of the departmentation is to achieve the organized objective, so various activities are grouped or divided on the following bases. In other words, there can be no organization without division of. Departmentation by territorygeographic departmentation 4. Departmentation by region or area, departmentation by customers, departmentation by process, departmentation by time, departmentation by numbers, departmentation by marketing channels and model questions. A department is an organization unit that is headed by a manager who is responsible for its activities. Mechanisticorganic organizations an axiomatic theory.
Significance and relevance to modern civilized society. Functional departmentation is the process of grouping activities by functions performed. Organizations size and span of control practical management. It is the process by which activities are grouped and each group is known as department.
Read this article to learn about the meaning, process, principle and importance of organising. Management science notes pdf ms pdf notes entrepreneurship and organization, departmentation and decentralisation, types of organization structures line organization, line and staff organization, functional organization. Management science pdf notes ms notes pdf smartzworld. Lunenburg sam houston state university abstract mechanistic and organic organizations are opposite ends of a continuum of organizational structure possibilities. Every manufacturing unit, except a small one has to perform certain basic functions such as production, marketing, finance and personnel. Organization is the process of dividing up of the activities. Departmentalisation advantages functional structure. Departmentation can provide a necessary degree of specialisation of executive activity for efficient performance. Abstract job specialization is the degree to which the overall task of the organization is broken down into smaller component parts. In simple words, departmentation is the process of classifying and grouping all the activities of an enterprise into different units and subunits. Functional departmentaion it is grouping of activities on the basis of similarities of functions. In the words of allen, departmentation is a means of dividing a large and monolithic functional organisation into.
Departmentation by time, enterprise function, geography, product. Similar activities of a business are grouped into major departments. Principles of management study material include principles of management notes, principles of management book, courses, case study, syllabus, question paper, mcq, questions and answers and available in principles of management pdf form. The ultimate purpose of management is to achieve certain goals over a period of time.
It is also important to bear in mind that any change in an organisation may have effects extending beyond the. According to the principle of optimum departmentation, departments in an organization must be so created and maintainedas to facilitate the best attainment of the common objectives of the enterprise. Steps in planning levels of planning the planning process mbo 3 hrs. The procedure of grouping of activities into units with the end goal of organization is called departmentation. The various principles of authority delegation and of departmentation are fundamental truths about the process of organizing. By functions, process, products, territory, numbers, committees and a few others. Departmentation by customers departmentation by customers places greater emphasis on the customers and distinguishes one type from the other. Departmentation types in management framework iibm lms. Functional departmentalization can be used in all types of organizations.
Major principles or guides for the managerial functions of. Different departments in garment industry clothing industry. It is a function of providing every thing useful to the business organization. Organizations size and span of control organizations size is determined by number of its employees, the largeness of its operation, and its market reach and share.
The nature of activities performed by different organisations is different. Departments are the various parts or divisions of an enterprise. A work group brought together for performing certain functions of similar nature. Matrix departmentalization attempts to combine functional and task force project departmentalization designs to improve the synchronization of multiple components for a single activity i. Concepts and f0rmats when two or more people work together to achieve a group result, it is an organization. Departmentation is part of the organizational process. In this type of organization, authority flows from top to bottom.
Types of organization types of departmentalization centralization and decentralization organization is a system of cooperative activities of two or more persons. Patterns of departmentation organizations are divided into smaller units a process called departmentation or departmentalization 1. Departmentalization, on the other hand, is the grouping of jobs. The purpose and nature of planning the purpose and nature of planning may be summarized by reference to the following principles. For example, the division could be industrial buyers, wholesellers, government, and public undertakings, agriculturists, etc. Nature of organising function characteristics of organization, importance of organization. Departmentation means division of work into smaller units and their regrouping into bigger units departments on the basis of similarity of features. Departmentation linestaff authority and decentralization effective organizing and organizational culture global organizing.
Nature and characteristics of management management guru. Unit iii the nature of organizing and entrepreneuring organizational structure. Learning objectives explain the concept of organizing describe the importance of organizing explain the element of organizing process of organizing explain the meaning, advantages and disadvantages of formal and informal organization distinguish between formal and informal organizationjune 27, 2012 nature of. All the process of garment manufacturing are done in different sections in garment industry. It also poses a very different challenge for the organizations leaders, while small organizations are build for. Nature of organizing legal froms of organization an organization is a group of individuals who work together toward a common goal.
In this article i will discuss various departments in apparel manufacturing industry. Organisation as a system, steps in the organisation process, organisation. Departmentation and division of labour are same things. In the words of allen, departmentation is a means of dividing a large and monolithic functional organisation into smaller, flexible, administrative units. The nature and purpose of planning objectives strategies, policies and planning premises decision making global planning.
Departmentalization is the process of breaking down an enterprise into various departments. Centralization is the procedure by which the exercises of an association. Departmentalization is a process used to classify the functions, activities. Formal and informal organization, organizational divisionthe department, the structure and process of organizing, the span of management. Here you can download the free lecture notes of management science pdf notes ms notes pdf materials with multiple file links to download.
Authority based on bureaucracy or professional norms fred c. To survive and grow two or more people working together must organise themselves to achieve common objectives. Basis of departmentation there are two broad forms of organisation structure or departmentation. Departmentation is the foundation of organisation structure, that is, organisation structure depends upon departmentation. Its concept, structure, benefits and other details.
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