Management
13th Edition
ISBN: 9780133935813
Author: Stephen P. Robbins; Mary A. Coulter
Publisher: Pearson Education (US)
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Question
Chapter P4, Problem 1DQ
Summary Introduction
To determine:
The types of organizational departmentalization used by SB
Introduction: Departmentalization is dividing an organization into official structure composed of several departments. These departments perform various tasks according to their specializations in the organization. Functional, geographical, customer and hybrid are the four types of departmentalization.
Expert Solution & Answer
Explanation of Solution
A retail expert at SB has divided the organization into three departments.
- Geographical: SB has its outlet around the world, the sell their product to people of different company with different culture and belief. So, the SB departmentalized according to the geographical location.
- Functional departmentalization: Organization is departmentalized according to administrative function such as marketing, production, finance research and development. In this type of departmentalization, all the similar or homogeneous activities are clubbed into one unit.
- Product based departmentalization: Departmentalization of SB is also done according to its product. Every product has its own department for deciding its promotional strategies, research and innovation. For example, SB has a division of coffee, baked product and other merchandise as mugs.
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