Division of Labour and Specialisation

Division of Labour and Specialisation

• Division of Labour is a form of specialisation where the production process is broken down into many separate tasks.

• Specialisation – is when workers produce only what they are good at. They can trade for other goods and services that they need.

Advantages

To the business:

• Specialist workers become quicker at producing goods
• Production becomes cheaper per good because of this
• Production levels are increased
• Each worker can concentrate on what they are good at and build up their expertise

To the worker:

• Higher pay for specialised work
• Improved skills at that job