6 Basic Building Blocks 1.Designing Jobs (Job Specialization) 2.Grouping Jobs (Departmentalization) 3.Establishing Reporting Relationships
6 Basic Building Blocks 4.Distributing Authority 5.Coordinating Activities 6.Differentiating Between Positions
Geographic Departmentalization ABC Enterprises ABC Enterprises Central Punjab Group Central Punjab Group Sindh Region Sindh Region South Punjab Group South Punjab Group Northern Region Northern Region
Geographic Departmentalization ABC Enterprises ABC Enterprises Central Asian Group Central Asian Group Eastern Australia Group Eastern Australia Group European Group European Group Western North America Group Western North America Group
Advantages Geographic Departmentalization Responsive to the demands of different market areas. Unique resources located close to the customer
Disadvantages Geographic Departmentalization Duplication of resources. Difficult to coordinate across departments.
Matrix Departmentalization ABC International Western Europe Latin America Central & Eastern Asia Global Corporate & Investment Bank Global Corporate & Investment Bank Global Investment Management Global Consumer Global ICT Country Managers in Spain, France, Ireland, etc. Country Managers in Spain, France, Ireland, etc. Country Managers in China, Japan, etc.
Delegation The process by which managers assign a portion of their total workload to others.
Reasons for Delegation 1. To enable the manager to get more work done by utilizing the skills and talents of subordinates.
Reasons for Delegation 2. To foster the development of subordinates by having them participate in decision making and problem solving that allows them to learn about overall operations and improve their managerial skills.