Consistent with the principles of Adam Smith and Henri Fayol, differentiation has traditionally been accomplished by
A)Paying individuals different amounts based on their expertise
B)Creating specialized jobs and work units that are then organized hierarchically
C)Hiring individuals who have a variety of different backgrounds
D)Increasing the efficiency of work processes
E)Subordinating individual interests to the interests of the organization

Question

Quizplus · Accepted Answer

According to Adam Smith and Henri Fayol, differentiation is achieved by creating specialized jobs and units that are then organized hierarchically. This allows for a clear division of labor, which increases efficiency and productivity. Differentiation also involves assigning different levels of authority and responsibility to positions within the hierarchy.

Consistent with the Principles of Adam Smith and Henri Fayol