Departmentation by territory

Departmentation by territory

It is highly suitable for the enterprise whose activities are widely dispersed. For example, in the case of assembly plants or wholesaling, where identical activities are performed at different work centres, territorial division of activities may be undertaken.

Merits:

1.       It leads to economy in the terms of time and money. The enterprise can benefit from lower freight, lower rents and lower labour costs.

2.       It enables the enterprise to gain intimate knowledge about the customers in the local markets.

3.       It facilitates effective span of control.                           

Demerits:

1.       It requires employment of a number of managerial personnel.

2.       It dilutes control from the headquarters.

3.       It may lead to duplication of activities.   

   Related Questions in Biology

  • Q : System approach of organizational design

    System approach of organizational design There are various implications of systems approach in the management including organizational design. Systems approach of mo

  • Q : Describe Safety Training Safety

    Safety Training: It is an effective training program which reduces the number of injuries and deaths, legal liability, property damage, illness, workers' compensation claims, and missed time from work. The safety training will too help in raising the

  • Q : Explain the term dicoumarol Explain the

    Explain the term dicoumarol? How does this substance perform in the clotting procedure and what are various illustrations of its toxicity?

  • Q : Leaders and Leadership skills Paper

    The Leaders and Leadership skills of those serving in the Armed Forces - The Struggles / Achievements Then and Now. Final paper will be 30 to 35 double spaced pages. Paper will be written in the third person and contain about 15 to 20 references or citations, which is the expectation for

  • Q : Impact of Environment on Operational

    It is an imperative that when formulating Operational plans the environments in which the business operates in are considered, identify the environments and the tools used to analyze the impact of environment each on planning.

  • Q : Gray matter and white matter of the

    State some of the respective constituents of gray matter and of white matter of the spinal cord?

  • Q : Division of flowering plants Specify

    Specify the two main groups into which the flowering plants get divided?

  • Q : American crow falcon Why American crow

    Why American crow falcon is kept under the Order Pesseriformes?

  • Q : Concepts of variability-natural

    Using concepts of variability, natural selection and environmental pressure how does the synthetic theory elucidate the Darwinian natural selection?

  • Q : Theories of Group Formation -

    There are four theories, which explain why the groups are formed. These include: 1)     Propinquity theory: quite often, individuals affiliate with one another because of spatial or geo-graphical proximity. In an organization, employees who work in the

©TutorsGlobe All rights reserved 2022-2023.