Specialization
The second principle of building organization structure is
specialization. Specialization can be decided in a number
of ways, arranging all similar and associated tasks under one head. For example,
a business organization can be structured on the specialization such as
Manufacturing, Marketing, Accounting and Personnel. A hospital can be structured on the basis
of specialization such as General Medicine, Surgery, Heart diseases, Orthopedics
and so on. The specialization principle brings clarity in organization
functions, helps to select right people and group them properly, aids in
functional planning and control of the activities of the organization.
