Correct option is B
Product-based departmentalization is a common form of organizing a company in which the various functions are organized around specific products or product lines. Some of the advantages of product-based departmentalization include:
Advantages of product-based departmentalization
Focus on specific products- It leads to continuous and undivided attention to the product.
Faster decision-making- It motivates departmental head to improve his performance.
Flexibility- It enables top management to compare the performances of different products.
Improved accountability -It helps in increasing better coordination between the departments and increases accountability in them.
Product-based departmentalization does not help in reducing a smaller number of managerial personnel in the departments.
Hence (b) option is not correct.
