The process of logical grouping of similar nature functions into manageable units for the purpose of overall coordination of organizational resources is departmentation.In an organization many people perform various activities in different situation.Their nature,process and procedure may vary.It is not possible to perform all the works at a time and also by group of people.It is essential to classify activities into manageable units.the process of logical grouping of similar functions into manageable units for the purpose of overall coordination of organizational resources is departmentation.Thus departmentation divides the large and complete organizational function into smaller and flexible units to complete the work in efficient and effective manner.
"Departmentation is the means of dividing a large and monolithic functional organization into smaller flexible and administrative units" -Louis A, Allen
"The process of combining jobs into groups is termed departmentation" -Ivaneevich, Donnelly, Wilson
The concept of departmentation develops with performance of the work in systematic and efficient manner.Generally, works are divided into small manageable units according to the nature and entrusted to a departmental head.Departmental head is responsible for each and every work of the concerned department.
Departmentation maintain to facilitates to maintain communication, coordination and control among all the resources of the enterprise and finally contributes to gain organizational goals.It creates a separate unit with some independent responsibility to departmental managers who in turn improve their working efficiency and effectiveness.Besides, it also facilitates to supervise and to maintain control over all functional units and thus expansion of the organization becomes easier.
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