Answer to Question 1
Division of labor is the process of dividing work tasks among workers. It is a fundamental organizing activity found at all levels of society around the globe. Division of labor makes the organization more complex and establishes interdependencies between the workers and between the organization and its environment.
The major benefits that accrue to an organization as a result of division of labor are increased accountability, reduced uncertainty, decreased time and money expenditure. It also takes into consideration the natural skills and abilities of each worker.
The costs of division of labor can be measured in terms of the scattering of work among several units and risk to the overall mission of the organization. It also creates differences among workers and makes coordination very costly for the organization.
Answer to Question 2
A