Q.Grouping similar and related jobs into departments such as production, marketing and finance is known as:
(A) Delegation
(B) Departmentalisation
(C) Decentralisation
(D) Staffing
This question checks recognition of the specific terminology used in the organizing process.
(A) Delegation — incorrect. Delegation refers to a superior entrusting a subordinate with authority and responsibility to perform a specific task; it is about transferring authority downward, not about grouping activities into departments.
(B) Departmentalisation — correct. This is the step in the organizing process where similar and related activities (e.g., all activities relating to production, or all activities relating to marketing) are grouped together into a single department or unit, so that they can be coordinated and supervised as one logical group.
(C) Decentralisation — incorrect. Decentralisation refers to the systematic dispersal of decision-making authority throughout the organisation, away from a small group at the top; it concerns where decisions are made, not how work is grouped into departments.
(D) Staffing — incorrect. Staffing is the separate management function of filling the departments and positions created during organizing with suitable people; it comes after departments have already been formed, not the act of forming them.
(B) Departmentalisation
Unlock everything free for 14 days
- Full step-by-step solutions
- Concept-first explanations
- Methods, shortcuts & mistakes
- PYQ mapping + timed mock tests
Full access for 14 days. No credit card required.