Question

1. Describe the term “departmental thought world”.
2. Why do firms have the “departmental thought world”?

Answer 1

DEPARTMENTAL THOUGHT WORLD: It basically refes to the idea of the companies to divide a complex organisation into several departments which make it easy to run the firm.

The organisation can be divided into some of the following departments:

1) Production: It refers to the department which carries forward the work of producing the goods at the given time and also acts as a quality reviewer because the product before sending to the market is quality checked to make sure that the products which are going to be delivered are the best and free from any default.

2) Accounts/Finance : This department takes care of all the financial deeds of the company ie it controls all the long term and short term financial requirements of the firm so that it never runs out of money and also makes sure that the right amount of money is being used and there is no overspending. It also deals with the salaries of th entire firm.

3) Supply chain  management department : It makes sure that the products are produced on time and the finished goods are reached at the destination on time ,It provides the customers with the customer service and the exact tracking details as where the product is at that particular time so that the customer is aware of his products.

4) Information technology : It is concerned with all the types of computer related errors like software updation,manage IP's, firewalls and troubleshooting. It is one of the most important department because the entire work today is done on the computer and it is very important to have people who can look after daily errors.

5) Human resource : This department deals with recruitment of the required positions when the vacancies are announced so they have the work of bringing qualified,skilled manpower to the firm. They have the reponsibility of hiring the employees who can bring laurels to the company and be an asset to the company as well.

Why do firms have departmental thought world?

The reasons are

1) Organisational structure: As the deparmentation causes the division of an organisation which makes the firm very smooth and efficient and thus profitable because there is no confusion and every department has an experienced leader who can tnstruct their employees, so basically the handling of organisation becomes very easy. In the absense of departments it becomes very difficult to figure out who is doing what.This is the reason the firm adopt department thought world.

2) Efficiency : As each and every person performs the work given to him and there is no interference of any other work to be done so this increase the efficiency of the employees and thus the firm.

3) Coordination : As a single department works on the same project and every person is given difeerent work which is later on accumulated, so the coordination is very important here. And is this matter the employees learn to coordinate with each other.

4) Specialisation: The employees are given the work they are experienced or skilled in which in turn brings the best out of that person. For eg, if a person is good in programming but given job of a manager , how would he handle it? But if given the specialition of programming, he will surely enjoy it and bring good outcomes.

5) Control: It is easy to control the employees in a department by the departmental head rather than controlling the employees of an entire firm by a single manager in the absense of departments.

Hence the departmentation is really important in a firm.