Organizational Structure is the formal arrangement of jobs within an organization. To develop an organization structure, managers go through a process called organizational design that involves decisions on about six key elements i. e. work specialization, departmentalization, and formalization etc. I’ve analyzed Citibank’s organizational structure according to these factors. Work Specialization is used to describe the degree to which activities in organizations are divided into separate jobs. This means that an entire task is not done by one individual but instead is broken down into jobs done by different people.
In Citibank, tasks are divided into different jobs according to the requirements and work specialization can be seen. For example, in the distribution of debit cards, more than one person is involved in the process. There is a CRM (customer relation manager) and a CRO (customer relation officer) while the CRM deals with validation of debit cards and the CRO deals with the transactions relating to debit cards. This can be an example of customer departmentalization. Departmentalization is the basis by which jobs are grouped together. In case of Citibank you can see two major forms of departmentalization i. e. unctional and geographical departmentalization.
You can also see a minor form, customer departmentalization. First of all they have divided into departments according to the functions i. e. dealing with cash, banking operation, sales and for each of the above categories there is a separate department. According to the geographical departmentalization, there are regional as well as branch managers. This shows that Citibank is a highly departmentalized organization. However one type, product departmentalization, is not present. In Citibank, cross-functional teams are not present; departments work on their own.