Product Service Grouping of Staff - Higher Business Management
Provided by
Youtube is a video-sharing platform that offers a wide variety of educational content, including lectures, tutorials, and courses on a wide range of subjects....
Description
Product service grouping is an organizational structure where staff are allocated to divisions based on the products or services a business sells to its customers. This approach allows each division to run independently, with decision-making power and control over their specific product or service. The advantages of product service grouping include its focus on meeting customer needs and allowing decentralized decision-making, which can lead to better understanding of local market conditions. However, the disadvantages may arise from potential duplication of resources and efforts across divisions. The content also touches upon the concept of a decentralized mind structure within an organization, where each division can run as a separate business within a larger entity.