The activities that are grouped on the basis of the common customers or on the basis of the type of customers are known as customer departmentalization. According to the type of customers the organization serves, the jobs are grouped assuming the fact that the customers who belong on one group have a common set of problems that have to be solved by the specialists.
For instance, the activities in a fast food restaurant can be grouped in many categories such as takeaway, dine-in and delivery.
One of the most important advantages of Customer departmentalization is that the needs of the customers are focused upon by the company. The disadvantages of customer departmentalization are that duplication of resources can take place.
There are many other competitors both local and international that have come into existence and this has made the competition fiercer. Secondly, it can also be hard for the company to coordinate between different departments such as the quality assurance department, marketing department, research and development department and the other departments in the company. Moreover, customer departmentalization can also lead to decisions that please the company but they might also hurt the company in any way.
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