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Departmentation 1 Presentation Transcript

  • 1. ORGANIZATIONAL BEHAVIOR
    PRESENTATION BY
    YOGENDRA SHARMA
    SIDDHART GOPE
    SOUVIK SINHA
    SOUDIP
    ABHAY KUMAR
    VIVEK RAJ
  • 2. PRESENTATION TOPIC
    • Select a company and identify the departmentation pattern (or patterns) it uses. Draw an organization chart for the firm. Why do you think the company selected the type of departmentation it did? Would you recommend it?
  • Departmentation
    • Departmentation by enterprise function means grouping of activities according to the functions of an enterprise, such as production , selling and financing
    • 3. Departmentation is a means of dividing a large organization into smaller , flexible units
  • Advantages
    Increase the efficiency of the organization as various activities are grouped together
    Furnishes means of tight control at the top.
    Simplifies training.
    It provides for fixation of standards of performance and ensures effective control
    Creates opportunities for the departmental heads to take initiative
  • 4. Disadvantages
    Reduces coordination between functions as the organization is divided into various parts
    Responsibilities for profits is at top only.
    Slow adaptation to change in environment.
    It increases the levels of management which is expensive and thus increases the gap between the top management and the workers
    Departmentation creates difficulties of communication among the various departments of the organization
  • 5. Factors affecting Departmentation
    To get the benefits of specialization
    Control should be effective so as to ensure clear authority and responsibility
    Coordination should be taken into consideration
    Key activities need to be separated
    Expenses involved in creating separate departments
  • 6. Basis Of Departmentation
    Functional Departmentation
    Product wise Departmentation
    Territorial or Geographical Departmentation
    Process wise Departmentation
    Customer wise Departmentation
    Time wise Departmentation
  • 7. Functional Departmentation
    • Grouping of common or homogeneous activities to form an organization unit is known as functional departmentation
    • 8. Further functions in an organization are divided in two categories basic and secondary functions
    • 9. Basic functions are those which are necessary for the smooth running of the business like production ,marketing , finance
    • 10. When span of management is too large then further departments are created within the main departments they take care of secondary functions
    • 11. In this case like the basic function is marketing but it may further be divided into advertisement , sales , market research
  • Product wise Departmentation
    Product departmentation involves the grouping together of all the activities necessary to manufacture a product or product line
    Eg In an automobile organization the departmentation could be car division , truck division , bus division
  • 12. DEPARTMENTATION BY TERRITORY OR GEOGRAPHY
    Departmentation by territory or geography means
    “ Grouping of activities by area or territory is common in enterprises operating over wide geographic areas”.
    Organizations which are involved in banking , insurance , transportation
    Eg India could be divided into north , south , east , west , central zones
    Further North zone can be divided into Chandigarh , new Delhi , Jalandhar , Ajmer divisions
  • 13. Process Departmentation
    In this processes involved in production or various type of equipments used are taken as basis of departmentation
    The basic aim to do process departmentation is to achieve economic benefit
    Eg process departmentation in case of textile organization can be by dividing the production into spinning , dyeing , weaving , finishing departments
  • 14. Customer wise Departmentation
    Grouping of activities around marketing channels involves making an organization structure reflect the ways an organization reaches the ultimate customer
    Advantage of this type is that it focuses on customer who are the ultimate suppliers of money to the organization
    Eg in pharmaceutical companies different customers could be doctors , hospitals , government , retail stores
    Further it could be wholesale , retail , export
  • 15. Time wise Departmentation
    • In some organizations where work is performed through day and night , the work is divided into shifts
    • 16. Thus when an organization may operates on three shifts, three different departments may exist
  • Wal-Mart Stores.TypePublicTradedasNYSE: WMTDow Jones Industrial Average Component Industry Retailing Founded1962Founder(s)Sam Walton Headquarters Bentonville, Arkansas, United States36°21′51″N 094°12′59″W Number of locations8,970 (2011)Area servedWorldwideKey people Mike Duke (CEO)H. Lee Scott (Chairman of the Executive Committee of the Board)S. Robson Walton (Chairman)
  • 17. DEPARTMENTATION OF WAL-MART
    • AUTO & TYRES
    • 18. APPAREL, SHOES & ACCESSORIES
    Accessories
    Baby
    Bags
    Boys
    Girls
    Juniors
    Men
    Shoes
    Women
    Atv, Motorcycle, RV
    Auto Electronics
    Car Care & Maintenance
    Exterior Accessories
    Interior Accessories
    Tires
    Tires Accessories
    Tools & Equipment
    Wal-mart Tyre & Lube Express
  • 19.
    • Beauty Electronics
    Bath & body
    Fragrances
    Hair Care
    Makeup
    Massage & Spa
    Men’s Grooming
    Shaving
    Auto
    Cameras & Camcorders
    Cell phones & Services
    Computers
    GPS Navigation
    Home Audio & Theatre
    I pad & Ereaders
    IPod & MP3 players
    TV & Videogames
  • 20.
    • MOVIES MUSIC
    Blue-ray discs
    Movie centre
    Movies (DVD)
    New Releases
    Preorders
    TV Shows
    Video on demand by VUDU
    CD Store
    MP3 Downloads
    Musical Instruments
    New Releases
    Preorders
    Top 100 CDs
  • 21.
    • OFFICE PHARMACY
    Break room Supplies
    Business Office Furniture’s
    Home Office Furniture's
    Janitorial Supplies
    Office Technology
    School supplies
    $4 Prescriptions
    Create An Account
    Clinics
    Free Home Delivery
    Medicare
    Mobile Pharmacy
    Refill Prescriptions
    Specialty Pharmacy
    Transfer Prescriptions
  • 22. Yes, we recommend departmentation for the
    following reasons :-
    • It increases the operating efficiency of the employees.
    • 23. It makes the executive alert & responsible in his duties.
    • 24. It increases the prestige & skill of the departmental heads.
    • 25. It help in better co-ordination among the managerial
    personnel.