Shanta Berry
Velva Tyson / Organizing the Business
Chapter 2- Assignment
June 11, 2018
2-1: Describe the five basic forms of departmentalization. Functional Departmentalization
were created according to the group’s functions and activities used by manufacturing and
service. Product Departmentalization used by both service and manufacturing company’s by
dividing an organization according to the special product or service created. Process
Departmentalization favored by manufactures by dividing the organization according to product
process used to create goods and service. Customer Departmentalization create departments that
offer products, meets the needs of customers based on groups. Geographic Departmentalization
divide the firm by areas of country or the world.
2-2: What are the advantages and disadvantages of a centralized organizational structure?
The advantage of centralized organization is the checks and balances from upper management.
The disadvantage would be time frames for completion of each project as it has to be approved
by upper management first.
2-3: What is the difference between responsibility and authority. Staff authority is based on
special expertise and might involve advising upper management in area of human resource,
finance, or laws. Where responsibility is an assigned duty to perform a certain task.
Martha Steward Living Omnimedia where I would assign units and groups. The reason why is
because it allows special focus to details based on the area of expertise.