Departmentalization is the process of grouping activities and people into distinct organizational units.

Departmentalization is most often done according to function, but it can be determined by geographic line, product or service, customer, process and equipment, or time. Rather than being able to design new departments, supervisors most often must assign activities and employees to existing departments to achieve efficiency and stability.

A project- or matrix-type organizational structure places managers in charge of project teams whose members are drawn from different departments or even from outside the organization, that is, temporary employees. Line supervisors manage the employees in regular departments. This structure facilitates more efficient use of employees on multiple projects with a minimum disruption of regular assignments.

However, a matrix structure may create problems of priority scheduling and employee accountability.

To perform effectively, a supervisor must have authority. In their own departments, supervisors have line authority to direct their employees. Employees in staff-authority positions furnish counsel, guidance, advice, and service in a specialized field.

Staff supervisors with specialized knowledge and skills support line managers and others throughout the organization. They often take responsibility for ensuring that certain policies and procedures are uniformly and consistently carried out. Line-andstaff-type organizational structures are the norm in large-scale enterprises.? P-987