When a job or task is broken down into separate tasks.
What are the benefits of division of labour?
Quicker
More efficient
Cheaper to train an operative to perform the specific task
Specialists -> higher quality output
Shows individual performance
What are the drawbacks of division of labour?
Very critical to perform tasks to meet dealines
Lots of pressure on the team
If 1 person gets something wrong, it affects the team and the end product
Very repetitive, may cause demotivation -> increasing staff turnover
Need skilled workers -> have to pay them more
What is specialisation?
You specialise in one certain product, this means they can become the best in their industry as they understand their market in greater detail, and demand increases as customers want your product because it is what the business is renowned for.
Similarities of Division of Labour and Specialisation
High quality
Lower costs
Increased efficiency
Difference of Division of Labour and Specialisation
Specialisation occurs on the business, but there may be division of labour when manufacturing the specialised product.