Time-based departmentation is a method of organizing a
company into departments based on the time factor, such as hours of the day or
shifts. This method can be applied in industries with high volume, repetitive
tasks, and a stable workflow, such as manufacturing and retail. Here are the
advantages and disadvantages of time-based departmentation:
Advantages:
- Easy
to Implement: The time-based departmentation is easy to understand and
implement, as it is based on a simple and straightforward criterion.
- Flexibility:
This method of departmentation provides flexibility to employees as they
can be assigned to different shifts as per their convenience.
- Optimal
Use of Resources: By dividing the work into shifts, the company can ensure
that its resources, such as machinery and equipment, are being used
optimally.
- Better
Supervision: Time-based departmentation enables better supervision and
coordination, as each shift is assigned a supervisor who is responsible
for the work carried out during their shift.
- Increased
Productivity: By dividing the work into shifts, the company can ensure
that the work is being carried out continuously, leading to increased
productivity.
Disadvantages:
- High
Labor Costs: Time-based departmentation may result in increased labor
costs, as the company may have to pay for additional staff to cover
multiple shifts.
- Lack
of Specialization: This method of departmentation may result in a lack of
specialization, as employees may not have the opportunity to specialize in
a particular area of work.
- Difficulties
in Managing Overtimes: The company may have to deal with difficulties in
managing overtimes, as the workload may vary from shift to shift.
- Decreased
Employee Morale: The employees working different shifts may feel isolated
from their co-workers and this may result in decreased employee morale.
- Decreased
Work-Life Balance: Time-based departmentation can lead to decreased
work-life balance, as employees may have to work on irregular shifts and
weekends.
In conclusion, time-based departmentation can provide
benefits to the company in terms of increased productivity and better
supervision, but it may also have some disadvantages such as increased labor
costs and decreased employee morale. The company must weigh the advantages and
disadvantages and determine if this method of departmentation is the right fit
for its operations.
