Departmentalization

Definition

Departmentalization is the process of dividing an organization into different departments, which perform specific tasks or functions related to the organization's operations. This structure allows for specialization and efficient management of resources.

Related terms

Functional Structure: A type of organizational structure that groups employees based on their job functions or roles.

Divisional Structure: An organizational structure that divides the company into divisions, each being responsible for a distinct product line or geographic area.

Organizational Hierarchy: The arrangement of individuals within a corporation according to power, status, and job function