Your university is probably an M-form organization. Its president administers schools, for example, a college of business and a college of liberal arts. The college of business Each of these in turn has a dean who is responsible for faculty departments such as economics and finance. Why is an M-form more likely than a U-form to be an efficient way of organizing a university and to organize the schools within it?
In most universities faculty with specialized interests will often attempt to break off from existing departments and form ones devoted to their own specialties. Do you expect that this will produce an inefficiently large number of departments? Why do you expect that pressure by employees to form fragmented departments will be a smaller problem in for-profit corporations than in nonprofit or governmental universities?