An organisation groups its departments according to the different products it sells. This arrangement is known as:

Correct answer: A. Product departmentalisation

  • A. Product departmentalisation
  • B. Functional departmentalisation
  • C. Geographical departmentalisation
  • D. Process departmentalisation

Explanation

Product departmentalisation organises activities around separate products or product lines. Functional departmentalisation instead groups work by functions such as finance, marketing or production.

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About Organizational Behaviour

Organizational behaviour examines how individuals and groups act within workplaces and how organisational structures influence that behaviour. It covers personality, perception, motivation, learning, leadership, communication, teamwork, conflict, power, organisational culture and change. It differs from human resource management, which focuses more directly on managing employment processes and policies.

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