Question

An organization services clients all over the United States. The products and services are different throughout the regions of the United States. ________________ would be the best type of departmentalization for this organization?

Answer 1

Answer:

Geographic departmentalization

Explanation:

Departmentalization is a process of grouping activities, jobs and people in an organization into departments.

When an organization has its clients located in different regions of a country, it is best to adopt the geographic departmentalization.

This involves grouping the its activities based on geographic territory, so it can maintain better control and provide products and services that specifically suit the needs of its clients in each region or territory.

Answer 2

The correct statement will be that a geographical departmentalization would be suitable for an organization which serves the clients in the entire United States of America.

Adapting to such method of departmentalization will give the organization a better distribution of its networks where it can differentiate its networks across states, cities or may be direction-wise distribution.

Departmentalization

• Departmentalization is a process of differentiation by the way of organization and keeping a central control of the actions that are taken by the various departments.

• Zonal distribution will also help in identifying the local needs and the attractive prices for each region and the target potential customers of each region can be identified.

• All the decisions taken by different departments in the different zones can be bought together to take decisions, which also gives the organization a centralized control.

Hence, an organization whose clients are all over the USA must adapt to the geographical departmentalization to serve the clients better and efficiently.

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