After reading this article you will learn about the merits and demerits of network organisation. Merits of Network Organisation: Network organisation has the following merits: 1. It is very wide in scope. It can link subsidiaries across the world with the head office. Though subsidiaries are linked with the head office, most of the decisions are taken by subsidiaries at [...]
After reading this article you will learn about:- 1. Meaning of Departmentation 2. Importance of Departmentation 3. Basis. Meaning of Departmentation: Departmentation is the foundation of organisation structure, that is, organisation structure depends upon departmentation. Departmentation means division of work into smaller units and their re-grouping into bigger units (departments) on the basis of similarity of features. As the organisation [...]
This article will help you to learn about the diffrerence between functional and divisional departmentation. Difference between Functional and Divisional Departmentation Difference - Functional Departmentmentation 1. Basis: In functional departmentation, departments are created on the basis of functional areas (production, marketing etc.) 2. Specialisation: It is with respect to activities of all products. Production activities of all products (one or [...]