4- DEPARTMENTATION BY GEOGRAPHY

DEPARTMENTATION BY GEOGRAPHY
Reviewed by Hammad Naziron Apr 01 2013
Rating: 5

Departmentation by geography is followed where geographic marked appear to offer

advantages. Geographic department most often use in sales and production, it is not

use in finance. Departmentalization by geographical regions groups jobs on the basis

of territory or geography. For example merek, a major

pharmaceutical company, have

its domestic sales departmentalized by regions such as Northeast, Southeast, &

Northwest

ORGANIZING CHART

ADVANTAGES

1- It emphasis on local markets and problems.

2- Improves coordination in a region.

3- Better face to face communication.

DISADVANTAGES

1- Increases problem of top management control.

2- Requires more persons with general manager abilities.